NACWA October 2005 Legislative Update

This edition of the National Association of Clean Water Agencies’ Legislative Update, current through November 2, 2005, 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 (http://www.nacwa.org/private/leg_index.cfm) in the Member Pipeline section of the NACWA website.

President Recommends Further Cuts to Clean Water SRF
The beleaguered Clean Water State Revolving Fund (CWSRF), already suffering from a 33 percent cut over the past two years in EPA’s budget, has been targeted for an additional 18 percent cut by President Bush to help pay for post-hurricane restoration in the Gulf Region. The request was in a package of budgetary rescissions submitted October 28 to Congress (http://www.whitehouse.gov/news/releases/2005/10/print/20051028-6.html). Although EPA’s budget for fiscal year (FY) 2006 was signed into law this summer, the President’s request, if approved by Congress, would cut the CWSRF by another $166 million.

Under the President’s proposed reallocation of $2.3 billion, none of the funds would be redirected to Gulf Coast wastewater utilities to help them rebuild their systems. Karen Gautreaux, Deputy Secretary of Louisiana Department of Environmental Quality, reports that her state needs nearly $6 billion for wastewater treatment plant restoration in southeastern Louisiana. Gautreaux had been told in recent months that much-needed repairs to POTWs should be paid for out of the Louisiana Clean Water Revolving Fund loan program. If Congress approves the rescission, Louisiana will receive only about $8.5 million this year.

The President is also finalizing his budget for FY 2007, which he will deliver to Congress in early February 2006. Although EPA officials cannot confirm proposed funding levels, the request for the CWSRF could fall below $700 million, a historic low for the program.

Clean Water Trust Fund Bill Ready for Introduction
The Clean Water Trust Act of 2005 was sent October 5, to the leadership of the House Subcommittee on Water Resources & Environment along with a formal request to the chair and ranking member of the subcommittee to take the lead in introducing the legislation (http://www.nacwa.org/private/leg_outreach.cfm). The bill and a summary are posted with the NACWA Legislative Alert 05-05 (http://www.nacwa.org/private/legreg/legalrts/la05-5.cfm). Member organizations of the Water Infrastructure Network (WIN), conservation organizations, and other stakeholder groups are reviewing the Trust Act, with 19 national groups officially signed onto the bill.

As of October 21, supporting organizations include: NACWA, Rural Community Assistance Partnership, The Associated General Contractors of America, Ducks Unlimited, American Concrete Pressure Pipe Association, Western Coalition of Arid States, American Society of Civil Engineers, Construction Management Association of America, Design Build Institute of America, Theodore Roosevelt Conservation Partnership, American Council of Engineering Companies, Association of Equipment Manufacturers, National Association of Towns and Townships, Trout Unlimited, Underground Contractors Association of Illinois, American Sportfishing Association, Plastics Pipe Institute, American Supply Association, and the International Association of Fish and Wildlife Agencies.

NACWA has been meeting with other senior Republican subcommittee members to discuss introduction of the bill, along with the ranking democrat, in the event that Subcommittee Chairman John J. Duncan (R-TN) declines to introduce the measure. NACWA is working to get the Trust Act introduced before the Congress leaves town for the Thanksgiving holiday. Once the bill is introduced, NACWA will work with its members and other supporting organizations to recruit 200 House members as cosponsors, conduct briefings, and schedule hearings in 2006.

Senate Committee Finalizing Bill Report
Earlier this year, the Senate Environment and Public Works (EPW) Committee unanimously passed S. 1400, the Water Infrastructure Financing Act of 2005 (http://www.nacwa.org/private/legreg/legupdate/leg_tracker.cfm). EPW Committee staff are still finalizing a report that will accompany the amended legislation when it is filed in the Senate, making it eligible for consideration on the Senate floor. The bill would provide $20 billion for EPA’s Clean Water State Revolving Fund (CWSRF) and $15 billion for the Agency’s Drinking Water State Revolving Fund (DWSRF) over five years. The legislation also includes $3 billion in grants for critical clean water and drinking water projects and a new grants program to capitalize revolving funds in eligible states to support projects to control water pollution from agricultural sources. The bipartisan bill, introduced by the chairs and ranking members of the full EPW Committee and the Fisheries, Wildlife and Water Subcommittee, emphasizes watershed planning, assistance for small and disadvantaged communities, innovative technologies, and alternative management approaches. During markup, Senator Joseph Lieberman’s (D-CT) amendment to add Davis Bacon prevailing wage provisions to the bill was accepted on a voice vote over the objections of EPW Committee Chairman James Inhofe (R-OK). Davis Bacon amendments to similar bills over the last few years have prevented the legislation from reaching the Senate floor. Committee staff reports that they will try to move the bill to the floor for a vote next year.

NACWA issued a press release following the markup (http://www.nacwa.org/advocacy/releases/072005.cfm), expressing concern that the federal government would be unable to meet the authorized funding levels in the coming years. NACWA urged the committee to consider financing its bill through a new clean water trust fund, similar to those that exist for highways and aviation, to ensure full funding for S. 1400.