To facilitate remediation of perchlorate contamination in water sources in the State of California, and for other purposes.

Summary: California Perchlorate Contamination Remediation Act - Establishes the California Perchlorate Cleanup Fund. Directs the Secretary of the Treasury to transfer amounts from the Fund to the Administrator of the Environmental Protection Agency (EPA) for the federal share of grants to California water authorities for the cleanup of water sources and supplies contaminated by perchlorate. Directs the Administrator, in awarding such grants, to give priority to activities in the Santa Clara Valley, the San Gabriel Valley, Sacramento County, a region within the natural watershed of the Santa Ana River, and any other region that has a damaged water source contaminated with perchlorate.

Authorizes the Administrator to provide grants to nonfederal entities for research and development of perchlorate remediation technologies.

Urges the Administrator to establish a national drinking water standard for perchlorate.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``California Perchlorate Contamination 
Remediation Act''.

SEC. 2. PURPOSES.

    The purposes of this Act are--
            (1) to provide grants for remediation of perchlorate 
        contamination of water sources and supplies (including 
        wellheads) in the State;
            (2) to provide grants for research and development of 
        perchlorate remediation technologies; and
            (3) to express the sense of Congress that the Administrator 
        should establish a national drinking water standard for 
        perchlorate.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) California water authority.--The term ``California 
        water authority'' means a public water district, public water 
        utility, public water planning agency, municipality, or Indian 
        tribe that is--
                    (A) located in a region identified under section 
                4(b)(3)(B); and
                    (B) in operation as of the date of enactment of 
                this Act.
            (3) Fund.--The term ``Fund'' means the California 
        Perchlorate Cleanup Fund established by section 4(a)(1).
            (4) State.--The term ``State'' means the State of 
        California.

SEC. 4. CALIFORNIA PERCHLORATE REMEDIATION GRANTS.

    (a) Perchlorate Cleanup Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a fund, to be known as the ``California 
        Perchlorate Cleanup Fund'', consisting of--
                    (A) any amount appropriated to the Fund under 
                section 7; and
                    (B) any interest earned on investment of amounts in 
                the Fund under paragraph (3).
            (2) Expenditures from fund.--
                    (A) In general.--Subject to subparagraph (B), on 
                receipt of a request by the Administrator, the 
                Secretary of the Treasury shall transfer to the 
                Administrator such amounts as the Administrator 
                determines to be necessary to provide grants under 
                subsections (b) and (c).
                    (B) Administrative expenses.--An amount not to 
                exceed 0.4 percent of the amounts in the Fund may be 
                used to pay the administrative expenses necessary to 
                carry out this subsection.
            (3) Investment of amounts.--
                    (A) In general.--The Secretary of the Treasury 
                shall invest such portion of the Fund as is not, in the 
                judgment of the Secretary of the Treasury, required to 
                meet current withdrawals.
                    (B) Interest-bearing obligations.--Investments may 
                be made only in interest-bearing obligations of the 
                United States.
                    (C) Acquisition of obligations.--For the purpose of 
                investments under subparagraph (A), obligations may be 
                acquired--
                            (i) on original issue at the issue price; 
                        or
                            (ii) by purchase of outstanding obligations 
                        at the market price.
                    (D) Sale of obligations.--Any obligation acquired 
                by the Fund may be sold by the Secretary of the 
                Treasury at the market price.
                    (E) Credits to fund.--The interest on, and the 
                proceeds from the sale or redemption of, any 
                obligations held in the Fund shall be credited to and 
                form a part of the Fund.
    (b) Cleanup Grants.--
            (1) In general.--Subject to paragraph (3), the 
        Administrator shall provide grants to California water 
        authorities, the total amount of which shall not exceed 
        $50,000,000, to pay the Federal share of the cost of activities 
        relating to cleanup of water sources and supplies (including 
        wellheads) in the State that are contaminated by perchlorate.
            (2) Federal share.--The Federal share of the cost of an 
        activity described in paragraph (1) shall not exceed 50 
        percent.
            (3) Eligibility; priority.--
                    (A) Eligibility.--A California water authority that 
                the Administrator determines to be responsible for 
                perchlorate contamination shall not be eligible to 
                receive a grant under this subsection.
                    (B) Priority.--In providing grants under this 
                subsection, the Administrator shall give priority to an 
                activity described in paragraph (1) that is carried out 
                in 1 or more of the following regions in the State:
                            (i) The Santa Clara Valley.
                            (ii) A region within the natural watershed 
                        of the Santa Ana River.
                            (iii) The San Gabriel Valley.
                            (iv) Sacramento County.
                            (v) Any other region that has a damaged 
                        water source as a result of perchlorate 
                        contamination, as determined by the 
                        Administrator.
    (c) Research and Development Grants.--
            (1) In general.--The Administrator shall provide grants, 
        the total amount of which shall not exceed $8,000,000, to 
        qualified non-Federal entities (as determined by the 
        Administrator) for use in carrying out research and development 
        of perchlorate remediation technologies.
            (2) Maximum amount of grant.--The amount of a grant 
        provided under paragraph (1) shall not exceed $1,000,000.

SEC. 5. EFFECT OF ACT.

    Nothing in this Act affects any authority or program of a Federal 
or State agency in existence on the date of enactment of this Act.

SEC. 6. SENSE OF CONGRESS.

    It is the sense of Congress that the Administrator should establish 
a national drinking water standard for perchlorate as soon as 
practicable after the date of enactment of this Act.

SEC. 7. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to carry out this Act 
$58,000,000, to remain available until expended.