| To: | Members & Subscribers |
| From: | National Office |
| Date: | May 13, 1997 |
| Re: | LA97-2 |
AMSA Testifies During First CWA Hearing of 105TH Congress
AMSA Testifies on CWA Infrastructure Needs
AMSA testified during the first Clean Water Act (CWA) hearing
of the 105th Congress, which was convened by the House Transportation
& Infrastructure Subcommittee on Water Resources & Environment.
AMSA Board Member Erwin Odeal, Executive Director, Northeast
Ohio Regional Sewer District, represented the Association and
presented testimony responsive to the hearing's theme "Clean
Water and Drinking Water Infrastructure Needs." Subcommittee
Chair Sherwood Boehlert (R-NY) called the hearing to address traditional
CWA funding issues as well as the viability of using privatization
as a tool to meet current and future CWA needs. A second CWA
hearing took place on April 29 addressing wetlands.
The hearings are viewed as both fact finding and educational for
the House Transportation & Infrastructure Committee, the largest
committee in the House of Representatives. Membership of the
committee grew from 63 during the last Congress to 73 this year,
with 25 new members. The Water Resources and Environment Subcommittee
alone has 34 members.
AMSA's testimony drew heavily on the findings of the Association's
recently released 1996 Financial Survey for needs-related information.
AMSA highlighted the pay-offs of investing in the national clean
water program and urged Members of Congress to continue to provide
funding. AMSA also took the opportunity to promote the Association's
goal of comprehensive watershed management and linked it to the
funding issue. Copies of AMSA's 1997 Financial Survey, Evaluating
Privatization: An AMSA Checklist and Managed Competition: Developing
& Responding to RFQs and RFPs were forwarded, along with the
testimony, to the committee. The testimony is included with this
Legislative Alert.
Chairman Shuster Endorses Public-Private Partnerships
In his opening statement, House Transportation & Infrastructure
Committee Chair Bud Shuster (R-PA) stated that his Committee's
"goal is to reauthorize and revitalize the (Clean Water)
Act this Congress." He noted that the hearings are the first
in a series of CWA investigations that the Water Resources &
Environment Subcommittee will be conducting. He expected that
additional hearings would likely cover nonpoint source pollution,
watershed protection, and "various regulatory issues."
While noting that it is not without controversy, Chairman Shuster
endorsed public-private partnerships as an effective means to
financing local infrastructure needs. He also stated that "we
should reauthorize and adequately fund the Clean Water Act State
Revolving Fund (SRF), increase state and local flexibility to
use such funds, [and] target assistance to hardship communities."
Perciasepe Challenged on Agency FY'98 SRF Request
EPA Assistant Administrator for Water Bob Perciasepe was challenged
by both Transportation & Infrastructure Chair Shuster and
Water Resources & Environment Subcommittee Chair Sherwood
Boehlert (R-NY) to defend the Agency's decision to request less
money for the State Revolving Fund (SRF) in Fiscal Year 1998 (FY'98)
than last year's allocation. The Agency requested $2.078 billion
for water infrastructure programs in FY'98, a decrease of $158
million from 1997. The decrease includes a $100 million reduction
in funding for the Clean Water and Safe Drinking Water SRFs.
The 1998 Administration request proposes $1.075 billion be directed
to the Clean Water SRF, $725 million to the Drinking Water SRF,
$150 million to Mexican border communities and $128 million for
other needy communities.
In his opening statements, Chairman Shuster stated, "While
the Administration's FY'98 budget request for Clean Water (SRF)
infrastructure falls $275 million short of the mark provided last
year, I remain hopeful they will want to join with us and others
in efforts to improve water infrastructure programs." During
the hearing, Chairman Boehlert stated that the Agency's request
would cause a problem for the committee because Committee members
would authorize more than requested and have a difficult time
justifying it to other Members of Congress. It was also stated
by both Congressmen that the only way to approach Clean Water
Act reauthorization would be in a bipartisan manner that both
plan to support during the 105th Congress.
In response to member criticism of the Agency's proposal, Perciasepe
stated that the proposed cut in the state revolving loan fund
would not create any problems. He said that the wastewater SRF
needs to receive just under $6 billion over the next five years
in order to revolve at about $2 billion annually over the next
several decades.
Perciasepe Calls for SRF Flexibility, Supports Watersheds
In his testimony, Assistant Administrator Perciasepe promoted
continued federal investment in the clean water program through
the SRF and grants to needy communities. He stated that over
the new few years, the Agency would be working with states to
improve long-term planning for the use of the SRFs and encourage
the creative use of financial assistance to support projects that
prevent pollution and address needs on a watershed basis.
In his concluding remarks, Perciasepe stated, "The bottom
line is that the Clean Water SRF should be viewed, not only as
a mechanism for funding wastewater plants, but as a tool to assist
in the financing of a wide range of projects needed to improve
water quality in a watershed." He stated that the Agency
would work with states to facilitate watershed planning and implementation
and encourage States to identify pollution prevention opportunities
related to drinking water and clean water.
Also testifying during the hearing were representatives from the
U.S. Conference of Mayors, the National League of Cities, the
Water Environment Federation, the New York State Environmental
Facilities Corporation, the Association of State and Interstate
Water Pollution Control Administrators, the Council of Infrastructure
Financing Authorities, the Pennsylvania Rural Water Association,
the National Utility Contractors Association, Clean Water Action,
and Save the (Long Island) Sound, Inc.
AMSA Submits Hearing Statement to Appropriations Committee
AMSA submitted a Statement for the Record in the form of a
letter to Representative Jerry Lewis (R-CA), Chair of the House
Appropriations Subcommittee on VA, HUD & Independent Agencies
on May 2 addressing fiscal year 1998 funding for EPA. The subcommittee
scheduled had two days of hearings to take testimony from stakeholder
organizations on the Agency's budget. AMSA's comments focused
on the needs identified in the Association's 1996 Financial Survey
and spoke to the issue of POTW privatization. A copy of the letter
is attached.
ATTACHMENTS
