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Engineering News-Record
(c) 2004 McGraw-Hill, Inc.

Monday, December 20, 2004

Volume 253, Number 24
Washington Observer

Water: Trade Group Offers Infrastructure Trust Fund Proposal

Sherie Winston Tom Ichniowski

The Association of Metropolitan Sewerage Agencies is drafting a bill that could raise as much as $5 billion a year by taxing bottled beverages to fund water infrastructure improvements. But the preliminary proposal will have a long, tough road ahead to garner enough industry and congressional support. AMSA argues that with federal aid for states' water revolving funds flat or declining, alternatives are needed. The group wants industry feedback before seeking congressional allies to introduce the bill in 2005. For now, it calls for a 5ยข tax on water and soft drinks.

But the American Water Works Association will "adamantly oppose" any water tax contained in any bill, says Al Warburton, director of legislative affairs. Other water groups also are cool to the idea.