Water Quality Protection and Job Creation Act of 2016

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) In General.--This Act may be cited as the ``Water Quality 
Protection and Job Creation Act of 2016''.
    (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Amendment of Federal Water Pollution Control Act.
                    TITLE I--WATER QUALITY FINANCING

            Subtitle A--Technical and Management Assistance

Sec. 101. Technical assistance.
Sec. 102. State management assistance.
Sec. 103. Watershed pilot projects.
Sec. 104. Nonpoint source management programs.
       Subtitle B--State Water Pollution Control Revolving Funds

Sec. 111. Capitalization grant agreements.
Sec. 112. Water pollution control revolving loan funds.
Sec. 113. State planning assistance.
Sec. 114. Intended use plan.
Sec. 115. Technical assistance.
Sec. 116. Authorization of appropriations.
 TITLE II--ALTERNATIVE WATER SOURCE AND SEWER OVERFLOW AND STORMWATER 
                                 GRANTS

Sec. 201. Pilot program for alternative water source projects.
Sec. 202. Sewer overflow control grants.

SEC. 2. AMENDMENT OF FEDERAL WATER POLLUTION CONTROL ACT.

    Except as otherwise expressly provided, whenever in this Act an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of the Federal Water Pollution 
Control Act (33 U.S.C. 1251 et seq.).

                    TITLE I--WATER QUALITY FINANCING

            Subtitle A--Technical and Management Assistance

SEC. 101. TECHNICAL ASSISTANCE.

    (a) Technical Assistance for Rural and Small Treatment Works.--
Section 104(b) (33 U.S.C. 1254(b)) is amended--
            (1) by striking ``and'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(8) make grants to nonprofit organizations--
                    ``(A) to provide technical assistance to rural, 
                small, and tribal municipalities for the purpose of 
                assisting, in consultation with the State in which the 
                assistance is provided, such municipalities and tribal 
                governments in the planning, developing, and 
                acquisition of financing for eligible projects 
                described in section 603(c);
                    ``(B) to provide technical assistance and training 
                for rural, small, and tribal publicly owned treatment 
                works and decentralized wastewater treatment systems to 
                enable such treatment works and systems to protect 
                water quality and achieve and maintain compliance with 
                the requirements of this Act; and
                    ``(C) to disseminate information to rural, small, 
                and tribal municipalities and municipalities that meet 
                the affordability criteria established under section 
                603(i)(2) by the State in which the municipality is 
                located with respect to planning, design, construction, 
                and operation of publicly owned treatment works and 
                decentralized wastewater treatment systems.''.
    (b) Authorization of Appropriations.--Section 104(u) (33 U.S.C. 
1254(u)) is amended--
            (1) by striking ``and (6)'' and inserting ``(6)''; and
            (2) by inserting before the period at the end the 
        following: ``; and (7) not to exceed $100,000,000 for each of 
        fiscal years 2017 through 2021 for carrying out subsections 
        (b)(3), (b)(8), and (g), except that not less than 20 percent 
        of the amounts appropriated pursuant to this paragraph in a 
        fiscal year shall be used for carrying out subsection (b)(8)''.

SEC. 102. STATE MANAGEMENT ASSISTANCE.

    (a) Authorization of Appropriations.--Section 106(a) (33 U.S.C. 
1256(a)) is amended--
            (1) by striking ``and'' at the end of paragraph (1);
            (2) by striking the semicolon at the end of paragraph (2) 
        and inserting ``; and''; and
            (3) by inserting after paragraph (2) the following:
            ``(3) such sums as may be necessary for each of fiscal 
        years 1991 through 2016, and $300,000,000 for each of fiscal 
        years 2017 through 2021;''.
    (b) Technical Amendment.--Section 106(e) (33 U.S.C. 1256(e)) is 
amended by striking ``Beginning in fiscal year 1974 the'' and inserting 
``The''.

SEC. 103. WATERSHED PILOT PROJECTS.

    Section 122(c) is amended to read as follows:
    ``(c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $120,000,000 for each of fiscal 
years 2017 through 2021.''.

SEC. 104. NONPOINT SOURCE MANAGEMENT PROGRAMS.

    Section 319(j) (33 U.S.C. 1329(j)) is amended by striking 
``$70,000,000'' and all that follows through ``fiscal year 1991'' and 
inserting ``$200,000,000 for each of fiscal years 2017 through 2021''.

       Subtitle B--State Water Pollution Control Revolving Funds

SEC. 111. CAPITALIZATION GRANT AGREEMENTS.

    Section 602(b) (33 U.S.C. 1382(b)) is amended--
            (1) in paragraph (13)(B)(iii), by striking ``; and'' and 
        inserting a semicolon;
            (2) in paragraph (14), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(15) the State will use at least 15 percent of the amount 
        of each capitalization grant received by the State under this 
        title after September 30, 2016, to provide assistance to 
        municipalities of fewer than 10,000 individuals that meet the 
        affordability criteria established by the State under section 
        603(i)(2) for projects or activities included on the State's 
        priority list under section 603(g), to the extent that there 
        are sufficient applications for such assistance.''.

SEC. 112. WATER POLLUTION CONTROL REVOLVING LOAN FUNDS.

    Section 603(d) (33 U.S.C. 1383(d)) is amended--
            (1) by striking ``and'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting a semicolon; and
            (3) by adding at the end the following:
            ``(8) to provide grants to owners and operators of 
        treatment works that serve a population of 10,000 or fewer for 
        obtaining technical and planning assistance and assistance in 
        financial management, user fee analysis, budgeting, capital 
        improvement planning, facility operation and maintenance, 
        equipment replacement, and other activities to improve 
        wastewater treatment plant management and operations, except 
        that the total amount provided by the State in grants under 
        this paragraph for a fiscal year may not exceed one percent of 
        the total amount of assistance provided by the State from the 
        fund in the preceding fiscal year, or 2 percent of the total 
        amount received by the State in capitalization grants under 
        this title in the preceding fiscal year, whichever amount is 
        greatest; and
            ``(9) to provide grants to owners and operators of 
        treatment works for conducting an assessment of the energy and 
        water consumption of the treatment works, and evaluating 
        potential opportunities for energy and water conservation 
        through facility operation and maintenance, equipment 
        replacement, and projects or activities that promote the 
        efficient use of energy and water by the treatment works, 
        except that the total amount provided by the State in grants 
        under this paragraph for a fiscal year may not exceed one 
        percent of the total amount of assistance provided by the State 
        from the fund in the preceding fiscal year, or 2 percent of the 
        total amount received by the State in capitalization grants 
        under this title in the preceding fiscal year, whichever amount 
        is greatest.''.

SEC. 113. STATE PLANNING ASSISTANCE.

    Section 604(b) (33 U.S.C. 1384(b)) is amended by striking ``1 
percent'' and inserting ``2 percent''.

SEC. 114. INTENDED USE PLAN.

    (a) Integrated Priority List.--Section 603(g) (33 U.S.C. 1383(g)) 
is amended to read as follows:
    ``(g) Priority List.--
            ``(1) In general.--For fiscal year 2017 and each fiscal 
        year thereafter, a State shall establish or update a list of 
        projects and activities for which assistance is sought from the 
        State's water pollution control revolving fund. Such projects 
        and activities shall be listed in priority order based on the 
        methodology established under paragraph (2). The State may 
        provide financial assistance from the State's water pollution 
        control revolving fund only with respect to a project or 
        activity included on such list. In the case of projects and 
        activities eligible for assistance under subsection (c)(2), the 
        State may include on such list a category or subcategory of 
        nonpoint sources of pollution to be addressed.
            ``(2) Methodology.--
                    ``(A) In general.--Not later than 1 year after the 
                date of enactment of this paragraph, and after 
                providing notice and opportunity for public comment, 
                each State shall establish a methodology for developing 
                a priority list under paragraph (1).
                    ``(B) Priority for projects and activities that 
                achieve greatest water quality improvement.--In 
                developing the methodology, the State shall seek to 
                achieve the greatest degree of water quality 
                improvement, taking into consideration--
                            ``(i) the requirements of section 
                        602(b)(5);
                            ``(ii) whether such water quality 
                        improvements would be realized without 
                        assistance under this title; and
                            ``(iii) whether the proposed projects and 
                        activities would address water quality 
                        impairments associated with existing treatment 
                        works.
                    ``(C) Considerations in selecting projects and 
                activities.--In determining which projects and 
                activities will achieve the greatest degree of water 
                quality improvement, the State shall consider--
                            ``(i) information developed by the State 
                        under sections 303(d) and 305(b);
                            ``(ii) the State's continuing planning 
                        process developed under sections 205(j) and 
                        303(e);
                            ``(iii) whether such project or activity 
                        may have a beneficial impact related to the 
                        purposes identified under section 302(a);
                            ``(iv) the State's management program 
                        developed under section 319; and
                            ``(v) conservation and management plans 
                        developed under section 320 with respect to an 
                        estuary lying in whole or in part within the 
                        State.
                    ``(D) Nonpoint sources.--For categories or 
                subcategories of nonpoint sources of pollution that a 
                State may include on its priority list under paragraph 
                (1), the State shall consider the cumulative water 
                quality improvements associated with projects or 
                activities carried out pursuant to the listing of such 
                categories or subcategories.
                    ``(E) Existing methodologies.--If a State has 
                previously developed, after providing notice and an 
                opportunity for public comment, a methodology that 
                meets the requirements of this paragraph, the State may 
                use the methodology for the purposes of this 
                subsection.''.
    (b) Intended Use Plan.--Section 606(c) (33 U.S.C. 1386(c)) is 
amended--
            (1) in the matter preceding paragraph (1) by inserting 
        ``and publish'' after ``each State shall annually prepare'';
            (2) by striking paragraph (1) and inserting the following:
            ``(1) the State's priority list developed under section 
        603(g);'';
            (3) in paragraph (4), by striking ``and'' at the end;
            (4) by striking the period at the end of paragraph (5) and 
        inserting ``; and''; and
            (5) by adding at the end the following:
            ``(6) if the State does not fund projects and activities in 
        the order of the priority established under section 603(g), an 
        explanation of why such a change in order is appropriate.''.
    (c) Transitional Provision.--Before completion of a priority list 
based on a methodology established under section 603(g) of the Federal 
Water Pollution Control Act (as amended by this section), a State shall 
continue to comply with the requirements of sections 603(g) and 606(c) 
of such Act, as in effect on the day before the date of enactment of 
this Act.

SEC. 115. TECHNICAL ASSISTANCE.

    Section 607 is amended to read as follows:

``SEC. 607. TECHNICAL ASSISTANCE.

    ``(a) Simplified Procedures.--Not later than 1 year after the date 
of enactment of this section, the Administrator shall assist the States 
in establishing simplified procedures for treatment works to obtain 
assistance under this title.
    ``(b) Publication of Manual.--Not later than 2 years after the date 
of the enactment of this section, and after providing notice and 
opportunity for public comment, the Administrator shall publish a 
manual to assist treatment works in obtaining assistance under this 
title and publish in the Federal Register notice of the availability of 
the manual.''.

SEC. 116. AUTHORIZATION OF APPROPRIATIONS.

    Title VI (33 U.S.C. 1381 et seq.) is amended by adding at the end 
the following:

``SEC. 609. AUTHORIZATION OF APPROPRIATIONS.

    ``There is authorized to be appropriated to carry out the purposes 
of this title the following sums:
            ``(1) $2,000,000,000 for fiscal year 2017.
            ``(2) $3,000,000,000 for fiscal year 2018.
            ``(3) $4,000,000,000 for fiscal year 2019.
            ``(4) $5,000,000,000 for fiscal year 2020.
            ``(5) $6,000,000,000 for fiscal year 2021.''.

 TITLE II--ALTERNATIVE WATER SOURCE AND SEWER OVERFLOW AND STORMWATER 
                                 GRANTS

SEC. 201. PILOT PROGRAM FOR ALTERNATIVE WATER SOURCE PROJECTS.

    (a) Selection of Projects.--Section 220(d) (33 U.S.C. 1300(d)) is 
amended by striking paragraph (2) and redesignating paragraph (3) as 
paragraph (2).
    (b) Committee Resolution Procedure.--Section 220 (33 U.S.C. 
1300(e)) is amended by striking subsection (e) and redesignating 
subsections (f) through (j) as subsections (e) through (i), 
respectively.
    (c) Definitions.--Section 220(h)(1) (as redesignated by subsection 
(c) of this section) is amended by striking ``or wastewater or by 
treating wastewater'' and inserting ``, wastewater, or stormwater or by 
treating wastewater or stormwater''.
    (d) Authorization of Appropriations.--Section 220(i) (as 
redesignated by subsection (c) of this section) is amended by striking 
``$75,000,000 for fiscal years 2002 through 2004'' and inserting 
``$75,000,000 for each of fiscal years 2017 through 2021''.

SEC. 202. SEWER OVERFLOW CONTROL GRANTS.

    Section 221 (33 U.S.C. 1301) is amended--
            (1) by amending the section heading to read as follows: 
        ``sewer overflow and stormwater reuse municipal grants'';
            (2) by amending subsection (a) to read as follows:
    ``(a) In General.--
            ``(1) Grants to states.--The Administrator may make grants 
        to States for the purpose of providing grants to a municipality 
        or municipal entity for planning, design, and construction of 
        treatment works to intercept, transport, control, treat, or 
        reuse municipal combined sewer overflows, sanitary sewer 
        overflows, or stormwater.
            ``(2) Direct municipal grants.--Subject to subsection (g), 
        the Administrator may make a direct grant to a municipality or 
        municipal entity for the purposes described in paragraph 
        (1).'';
            (3) by amending subsection (e) to read as follows:
    ``(e) Administrative Requirements.--A project that receives 
assistance under this section shall be carried out subject to the same 
requirements as a project that receives assistance from a State water 
pollution control revolving fund under title VI, except to the extent 
that the Governor of the State in which the project is located 
determines that a requirement of title VI is inconsistent with the 
purposes of this section. For the purposes of this subsection, a 
Governor may not determine that the requirements of title VI relating 
to the application of section 513 are inconsistent with the purposes of 
this section.'';
            (4) by amending subsection (f) to read as follows:
    ``(f) Authorization of Appropriations.--
            ``(1) In general.--There is authorized to be appropriated 
        to carry out this section $500,000,000 for each of fiscal years 
        2017 through 2021.
            ``(2) Minimum allocations.--To the extent there are 
        sufficient eligible project applications, the Administrator 
        shall ensure that a State uses not less than 20 percent of the 
        amount of the grants made to the State under subsection (a) in 
        a fiscal year to carry out projects to intercept, transport, 
        control, treat, or reuse municipal combined sewer overflows, 
        sanitary sewer overflows, or stormwater through the use of 
        green infrastructure, water and energy efficiency improvements, 
        and other environmentally innovative activities.''; and
            (5) by amending subsection (g) to read as follows:
    ``(g) Allocation of Funds.--
            ``(1) Fiscal year 2017.--Subject to subsection (h), the 
        Administrator shall use the amounts appropriated to carry out 
        this section for fiscal year 2017 for making grants to 
        municipalities and municipal entities under subsection (a)(2) 
        in accordance with the criteria set forth in subsection (b).
            ``(2) Fiscal year 2018 and thereafter.--Subject to 
        subsection (h), the Administrator shall use the amounts 
        appropriated to carry out this section for fiscal year 2018 and 
        each fiscal year thereafter for making grants to States under 
        subsection (a)(1) in accordance with a formula to be 
        established by the Administrator, after providing notice and an 
        opportunity for public comment, that allocates to each State a 
        proportional share of such amounts based on the total needs of 
        the State for municipal combined sewer overflow controls, 
        sanitary sewer overflow controls, and stormwater identified in 
        the most recent survey conducted pursuant to section 516 and 
        any other information the Administrator considers 
        appropriate.''.

Summary: Water Quality Protection and Job Creation Act of 2016 The bill amends the Federal Water Pollution Control Act to reauthorize through FY2021 and revise specified wastewater infrastructure programs and water pollution control programs, including the clean water state revolving fund program and a grant program for protecting groundwater quality.