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Obey Eyeing Amendment to Boost Wastewater Fund in EPA Bill

Darren Samuelsohn, E&E Daily senior reporter

House Appropriations Committee ranking member David Obey (D-Wis.) is expected to offer an amendment on the House floor later this week that would increase funding in the U.S. EPA spending bill for the agency's major wastewater infrastructure account, according to sources on and off Capitol Hill.

Obey is considering several different tactics to boost EPA's Clean Water State Revolving Loan Fund, which for the coming fiscal year faces a $240 million cut, down to $850 million.

Sources familiar with the bill, H.R. 2361, said one approach Obey is considering would boost the wastewater account to its fiscal year 2004 level of about $1.35 billion. Obey would offset the $500 million increase with a reduction in recent tax cuts for some of the highest-income Americans.

The $500 million amendment is likely to be ruled out of order by the House parliamentarian, sources say, leading Obey also to weigh a second amendment that would increase funding for the wastewater program by between $100 million and $200 million.

Chances for Obey finding success in passing such an amendment remain unclear. Support for increased wastewater funding reaches across party lines, but any moves to increase spending also flies in the face of GOP budget hawks who want to keep all of this year's spending bills on a tight leash.

George Behan, a spokesman for Environment and Interior Appropriations Subcommittee ranking member Norm Dicks (D-Wash.), confirmed yesterday that Obey intends to offer an amendment on the wastewater funding issue. But Behan said a final decision had not been made on specific strategies.

The $26.2 billion spending bill for EPA, the Interior Department and U.S. Forest Service is on track for House floor debate as early as tomorrow evening. The exact timing is still up in the air as House GOP leaders must first complete debate on the first-ever reauthorization bill for the newly created Department of Homeland Security.

When the House Interior and Environment appropriations spending bill does come up, it is expected to be under an open rule that allows members to offer as many funding-related amendments as they wish so long as they include offsets from elsewhere in the bill. Policy-related amendments that limit EPA's ability to spend funding on certain functions, a popular strategy used by lawmakers concerned with specific agency actions, are also likely to be allowed.

Rep. Alcee Hastings (D-Fla.) is weighing a couple of amendment options related to EPA's environmental justice enforcement efforts, including report language that would try to pressure the agency into better implementation of a 1994 executive order from President Clinton that mandated the agency's attention on such issues. Hastings may also try to address a cut of $1.9 million for environmental justice enforcement, which would go from $5.8 million this year down to $3.9 million, Hastings spokesman Fred Turner said.

Also expected is language from Reps. Clay Shaw (R-Fla.) and Bart Stupak (D-Mich.) that would prevent EPA from issuing new guidance on a controversial method for treating sewage during storm events. And Rep. Jay Inslee (D-Wash.) is still considering whether to offer an amendment that would restore $12 million in cuts to EPA's civil, criminal and Superfund enforcement accounts, Inslee spokesman Scott Baker said yesterday. According to the House GOP bill, EPA would see a $3 million drop in civil enforcement, $2 million reduction in criminal police efforts, and another $7 million for Superfund enforcement.

On the wastewater account, this year's dilemma for supporters of more funding face a new wrinkle because the agency must now compete for money with Interior and the Forest Service. Previously, Interior and the Forest Service had their own appropriations panel, and EPA's budget was a small piece of legislation that included almost $100 billion in spending for veterans' health care, public housing, NASA and other agencies.

If members wanted to increase EPA spending in past years, their decisions about finding offsets did not involve taking funds from programs related to the environment. That paradigm has shifted this year for EPA's budget, and it has been most apparent with the GOP-imposed cuts on the wastewater loan fund. While Republicans have taken the popular program beyond Bush's budget request of $730 million, it still represents a cut from the current $1.09 billion level.

House Republicans had originally wanted to cut the wastewater account down to about $750 million, which is close to Bush's request of $730 million. But Democrats found offsets elsewhere in EPA's budget from unused previous agency appropriations and managed to get a $100 million increase before the House Interior and Environment Appropriations Subcommittee marked up the bill two weeks ago.

Proponents of more wastewater funding have been looking for more funds since the subcommittee markup, but finding more offsets suitable to the bill's authors has been particularly difficult. "Obviously if it was that easy, we would have done it," said a House GOP aide.

Lee Garrigan, a spokeswoman for the wastewater industry's National Association of Clean Water Agencies, said her organization has been lobbying this year to get the revolving loan fund restored to its recent historic high of $1.35 billion. But she also conceded that Obey and other supporters are having more trouble this year than in the past.

"I don't know if the money is there," Garrigan said. "Obviously they can't agree to something if it's not real money."