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NACWA Legislative Update August 2006

Member Pipeline - Legislative - August 2006 Update

To: Members & Affiliates, Legislative Policy Committee,
Legal Affairs Committee, Clean Water Funding Task Force
From: National Office
Date: August 4, 2006

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This edition of the National Association of Clean Water Agencies (NACWA) Legislative Update, current through August 4, 2006, provides information on the activities of the 109th Congress of interest to the nation’s publicly owned treatment works (POTWs). For more detailed information regarding NACWA activities related to specific legislation, click on the web links in selected news items, or contact NACWA’s Lee Garrigan at 202/833-4655 or lgarrigan@nacwa.org.

NACWA advocates on behalf of its members before Congress. You can find individual bills through NACWA’s Bill Tracker (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm), which provides a direct link to congressional websites where bill texts and summaries are posted. You can find NACWA letters, statements, alerts, updates and related documents under Legislative in the Member Pipeline section of the NACWA website (http://www.nacwa.org/private/leg_index.cfm).

CLEAN WATER FUNDING

House, Senate Committee Agree to Once Again Cut Clean Water Loan Program
The House has passed the Department of the Interior, Environment, and Related Agencies Appropriations Act of 2007 (H.R. 5386) (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm#3), including a $200 million cut to the U.S. Environmental Protection Agency’s (EPA) clean water state revolving fund (CWSRF). The Senate Appropriations Committee on June 29 agreed with the House action that would drop funding for the CWSRF to $688 million. The cut is part of a long-term plan to end all federal capitalization of the program in fiscal year (FY) 2011. The $200 million budget cut, if agreed to by the full Senate, would reduce the nation’s primary infrastructure program for water quality projects from $886.8 million in the current fiscal year to $687.6 million. Federal funding for the CWSRF has been slashed nearly 50 percent from $1.35 billion in FY 2004. NACWA and other national, state and local groups continue to oppose the cuts.

Due in large part to the advocacy efforts of NACWA and its members, the House did include in H.R. 5386 the much needed $1 million to continue the National Biosolids Partnership (NBP) environmental management system (EMS) for biosolids program. The Senate, however, as in years past, did not include funding for the EMS program. NACWA does anticipate, however, that the Senate will accede to the House request and keep the NBP funding in the final conferenced version of the bill. Other programs receiving funding in EPA’s budget include $841.5 million for EPA’s drinking water state revolving fund (DWSRF) and $2 million for the Water ISAC. The House bill contains $200 million for 146 targeted infrastructure grants that primarily fund individual water infrastructure projects in members’ districts. The Senate Appropriations Committee measure contains $210 million for 195 individual projects. Although the House bill eliminated a $1.182 million line item for wastewater operator training grants, the Senate Appropriations Committee added $1 million to EPA’s budget to continue the program. The full Senate must still vote on the spending bill this fall, before it can go to a conference committee where differences between the House and Senate versions will be resolved.

House Members Sign Up to Cosponsor the Clean Water Trust Fund Bill
NACWA continues to recruit cosponsors for the Clean Water Trust Act of 2005 (H.R. 4560) (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm). As of June 30, NACWA members had helped to recruit many of the 18 Representatives who have signed on to H.R. 4560. Cosponsors of the bill include: John Conyers (D-MI), Randy Kuhl (R-NY), Mike McIntyre (D-NC), Neil Abercrombie (D-HI), John Boozman (R-AR), Ed Case (D-HI), Jim Saxton (R-NJ), Melissa Bean (D-IL), Harold T. Ford, Jr. (D-TN), Harold Rogers (R-KY), Stephanie Tubbs Jones (D-OH), Thomas E. Petri (R-WI), Fred Upton (R-MI), Phil English (R-PA), Cynthia A. McKinney (D-GA), Bernard Sanders (I-VT), Tim Murphy (R-PA), and Gwen Moore (D-WI).

Representative John J. Duncan (R-TN), Chairman of the House Water Resources & Environment Subcommittee and sponsor of H.R. 4560, sent a ‘Dear Colleague’ letter (http://www.nacwa.org/private/leg_outreach.cfm) to all House members soliciting their support for the Clean Water Trust Act of 2005. NACWA also delivered letters (http://www.nacwa.org/private/leg_outreach.cfm) to every Member of the House seeking support for and co-sponsorship of the Clean Water Trust Act of 2005. The letters, and follow-up emails to Chiefs of Staff, outlined the pressing need for a federal trust fund and the ramifications in the coming years if the need is not met. An overview of the bill and a list of supporting organizations accompanied the letter. A more recent invitation to House staff to meet on the measure elicited an enormously positive response with nearly 100 offices desiring to discuss H.R. 4560 further. NACWA and other member organizations of the Water Infrastructure Network (WIN) will schedule and conduct one or more briefings on the bill in August and September. The goal is attract as many cosponsors as possible before the end of the congressional session.

NACWA members are being encouraged to actively recruit their House members as cosponsors of H.R. 4560 by utilizing the materials in Legislative Alert 06-04 (http://www.nacwa.org/private/legreg/legalrts/la06-4.cfm) which provided instructions, a ‘Sample Letter’ and a fact sheet on the bill. Legislative strategy discussions for the 110th Congress will be convened with stakeholders later this year to resolve remaining issues and prepare for the reintroduction of clean water trust fund legislation next year. Currently, the Water Resources and Environment Subcommittee Ranking Minority Member Eddie Bernice Johnson (D-TX) and other Democrats, although supportive of clean water infrastructure legislation, have been unable to cosponsor the bill because it does not include Davis Bacon prevailing wage provisions. On the other side of the aisle, some Republicans are supportive of funding legislation but have stated that they want a revenue source identified before signing on as cosponsors of the bill. NACWA is hopeful that it can engage the subcommittee in future discussions on these issues to have a strong consensus-based bill ready for introduction in 2007.

SECURITY

New House Chemical Security Bill Would Require Switch to Safer Technologies
The House Homeland Security Subcommittee on Economic Security, Infrastructure Protection, and Cybersecurity, July 31 passed the Chemical Facility Anti-Terrorism Act of 2006 (H.R.5695) (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm) along with an amendment that would require high-risk facilities to consider using inherently safer technologies (IST). The addition of the amendment has reduced the chances of the legislation passing the House this year. NACWA met with Committee staff prior to the markup to express concern with the bill’s impact on local government-owned facilities.

Rep. Dan Lungren (R-CA), introduced H.R. 5695 in late June with the Chairman of the full Homeland Security Committee, Rep. Bennie G. Thompson (D-MS) and 9 other cosponsors. The bill widely tracks the tiered approach of the Senate bill but exempts drinking water facilities based on the passage in the 107th Congress of the Public Health Security and Bioterrorism Preparedness and Response Act of 2002 (P.L. 107-188, H.Rept. 107-481). Title IV of the Bioterrorism Act amended the Safe Drinking Water Act (SDWA) to address threats to drinking water security. Section 1433 was added to the SDWA and required each community water system serving more than 3,300 individuals to conduct and complete by June 30, 2004 an assessment of the system’s vulnerability to terrorist attacks as well as prepare or revise an emergency response plan incorporating the results of the vulnerability assessment.

Since POTWs are not covered under any existing security laws, NACWA member utilities that report to EPA under Section 112(r) of the Clean Air Act could be covered by the bill. The bill may be taken up in September by the House Energy and Commerce Committee.

Wastewater Security Legislation Passes Senate Environment Committee
The Senate Environment and Public Works (EPW) Committee approved May 23 the Wastewater Treatment Works Security Act of 2005 (S. 2781) (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm) by a vote of 10-8 along party lines. NACWA provided input into the drafting process and supports the bill, which was introduced by EPW Committee Chairman James M. Inhofe (R-OK), Sen. Lincoln Chafee (R-RI), Chair of the Fisheries, Wildlife, and Water Subcommittee, and EPW Committee member Sen. Lisa Murkowski (R-AK). The bill would authorize $200 million in grants to conduct vulnerability assessments and make security enhancements, $15 million for technical assistance for small POTWs, $5 million over five years to non-profit organizations to improve vulnerability self-assessment methodologies and tools, and $25 million over five years for research and review of collection systems and treatment works. It was the second time in three years that the Committee passed wastewater security legislation.

Chairman Inhofe introduced S. 2781 to address the findings of a May 1 Government Accountability Office (GAO) report on wastewater treatment plant security entitled, Securing Wastewater Facilities: Utilities Have Made Important Upgrades, Though Further Improvements to Key System Components May Be Limited by Costs and Other Constraints (GAO-06-390) (http://www.gao.gov/new.items/d06390.pdf). The study reported that while no federal law requires wastewater facilities to conduct vulnerability assessments, most facilities have completed, have underway, or plan to complete some type of security assessment. Chairman Inhofe requested the study to assess the state of security at the nation’s clean water utilities and gather data on how they have assessed and addressed potential vulnerabilities since September 11, 2001.

The EPW Committee is preparing a report on the legislation passed by the committee which, when complete, will make the bill eligible for floor consideration. NACWA supported S. 2781 in a May 22 letter (http://www.nacwa.org/getfile.cfm?fn=2006-05-22Inhofe.pdf) to Chairman Inhofe and will continue to work with the EPW Committee to pass reasonable security legislation.

Senate Committee Approves Chemical Security Bill . . . Could Cover Some POTWs
The Senate Homeland Security and Governmental Affairs (HSGA) Committee has unanimously passed the bipartisan Chemical Facility Anti-Terrorism Act (S. 2145) (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm#2). NACWA and other municipal, water and wastewater organizations argued in a July 6 letter (http://www.nacwa.org/private/leg_outreach.cfm) to the full Senate that water and wastewater facilities should not be covered by the bill and asked Senators to withhold their support for S. 2145 until the issues surrounding the inclusion of water and wastewater facilities has been satisfactorily addressed. NACWA also engaged in extensive discussions with Senate staff prior to the markup after sending a letter (http://www.nacwa.org/private/leg_outreach.cfm) in May to the leaders of the HSGA Committee — Chair Susan Collins (R-ME) and Ranking Member Joseph Lieberman (D-CT) — alerting them to the clean water community’s concerns with the legislation. Currently, S. 2145 would apply to POTWs covered under section 112(r) of the Clean Air Act — up to 30% of NACWA members — subjecting them to extensive security planning and reporting requirements intended to address private sector chemical plant security. NACWA sought comments from its members on the bill via Legislative Alert 06-02 (http://www.nacwa.org/private/legreg/legalrts/la06-2.cfm).

NACWA has repeatedly reminded the committee that wastewater security legislation has traditionally been under the jurisdiction of the Senate EPW Committee which passed a bill earlier this year to address wastewater system security issues (see related story below). NACWA has urged Senators Collins and Lieberman to modify S. 2145 to remove clean water utilities from the definition of covered facilities. In a June 12, 2006 letter (http://www.nacwa.org/private/leg_outreach.cfm) to the bill’s cosponsors, EPW Committee Chairman Inhofe also objected to the inclusion of wastewater facilities in the bill and claimed that his committee should retain jurisdiction over wastewater security. As a result, Sen. Inhofe has placed a ‘hold’ on the bill which will prevent S. 2145 from being placed on the Senate calendar for a floor vote. NACWA is engaged in continuing discussions with both committees to favorably resolve the outstanding issues.

ENVIRONMENTAL PROTECTION

NACWA Farm Bill Reauthorization Paper Ready for Release
NACWA members continued a discussion of opportunities to improve water quality in the upcoming Farm Bill during the July meeting of the NACWA Legislative Policy Committee held in conjunction with NACWA’s 2006 Summer Conference and 36th Annual Meeting in Seattle, Washington. The discussion centered on a draft NACWA options paper that recommends four strategies for the Association to pursue during the reauthorization process. The paper entitled, 2007 Farm Bill Reauthorization and Potential Benefits for NACWA Members, will be sent in early August to all NACWA members via a Legislative Alert. The paper provides a summary of the conservation programs in the 2002 Farm bill, background on the World Trade Organization (WTO) talks which will dictate how the new farm bill will be structured, and a review of opportunities to strengthen programs in the bill that address agricultural nonpoint pollution.

Although international agriculture trade negotiations broke down in late July, Senate Agriculture Committee Chairman Saxby Chambliss (R-GA) stated that the drafting of a new farm bill next year will stay on schedule. Because the current Farm Bill expires at the end of 2007, Congress may have pass an extension of the deadline before a new, six-year bill can be approved by Congress and signed into law.

Water Resources Development Act Passes Senate
The Water Resources Development Act (WRDA) of 2005 (S. 728), last renewed by Congress six years ago, was approved in July by the Senate. The House passed its versions of the Army Corps of Engineers bill (H.R. 2864) in July 2005. Both of the bills and their accompanying reports can be found on the NACWA Bill Tracker (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm). In addition to funding a significant backlog of Corps projects, the WRDA bills include grants for some NACWA members for specific water resource and infrastructure projects. During debate on the $12 billion Senate bill, a new provision was approved that would require an independent review of all water construction projects over $40 million. The House bill does not include such a provision. A conference committee comprised of House and Senate members will be appointed to address the differences between the two bills. A final measure could be signed into law before the November mid-term elections.