I 

108TH CONGRESS 

1ST SESSION H. R. 2123

To amend the Safe Drinking Water Act and the Federal Water Pollution 

Control Act concerning water pollution resulting from discharges of perchlorate. 

IN THE HOUSE OF REPRESENTATIVES 

MAY 15, 2003

Mrs. CAPPS (for herself, Mr. BISHOP of New York, Ms. LOFGREN, Mr. 

HONDA, Mr. BEREUTER, Ms. DELAURO, Mr. GEORGE MILLER of California, Mr. GRIJALVA, Mr. MCGOVERN, Mrs. DAVIS of California, Mr. 

SANDERS, Ms. LEE, Mrs. MALONEY, Mr. THOMPSON of California, Ms. 

MCCOLLUM, Mr. LANTOS, Ms. ROYBAL-ALLARD, Ms. EDDIE BERNICE

JOHNSON of Texas, Ms. LINDA T. SA ́NCHEZ of California, and Ms. JACKSON-LEE of Texas) introduced the following bill; which was referred to 

the Committee on Transportation and Infrastructure, and in addition to 

the Committee on Energy and Commerce, for a period to be subsequently 

determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

A BILL

To amend the Safe Drinking Water Act and the Federal 

Water Pollution Control Act concerning water pollution 

resulting from discharges of perchlorate.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Preventing Perchlorate 

5 Pollution Act of 2003’’. 
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1 SEC. 2. MAXIMUM CONTAMINANT LEVEL FOR PER2 CHLORATE. 

3 Section 1412(b)(12) of the Safe Drinking Water Act 

4 (42 U.S.C. 300g–1(b)(12)) is amended by adding at the 

5 end the following: 

6 ‘‘(C) PERCHLORATE.—

7 ‘‘(i) DECLARATION OF PERCHLORATE

8 AS CONTAMINANT.—Congress declares that 

9 perchlorate is a contaminant subject to 

10 regulation under this title. 

11 ‘‘(ii) MAXIMUM CONTAMINANT

12 LEVEL.—Not later than July 1, 2004, the 

13 Administrator shall establish a maximum 

14 contaminant level for perchlorate that pro15 vides an adequate margin of safety for vul16 nerable populations (including children and 

17 pregnant women). 

18 ‘‘(iii) REGULATION.—On and after 

19 the date of establishment of the maximum 

20 contaminant level under clause (ii), the Ad21 ministrator shall regulate perchlorate as an 

22 inorganic contaminant in accordance with 

23 part 141 of title 40, Code of Federal Regu24 lations (or a successor regulation).’’. 
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1 SEC. 3. PERCHLORATE POLLUTION PREVENTION. 

2 The Federal Water Pollution Control Act is amended 

3 by inserting after section 406 (33 U.S.C. 1346) the fol4 lowing: 

5 ‘‘SEC. 407. PERCHLORATE POLLUTION PREVENTION. 

6 ‘‘(a) DEFINITIONS.—In this section: 

7 ‘‘(1) FUND.—The term ‘Fund’ means the Per8 chlorate Pollution Prevention Fund established by 

9 subsection (i)(1). 

10 ‘‘(2) PERCHLORATE STORAGE FACILITY.—

11 ‘‘(A) IN GENERAL.—The term ‘perchlorate 

12 storage facility’ means a facility that stores 

13 more than 375 pounds of perchlorate over the 

14 course of a calendar year. 

15 ‘‘(B) EXCLUSION.—The term ‘perchlorate 

16 storage facility’ does not include a facility that 

17 stores perchlorate for a retail or law enforce18 ment purpose. 

19 ‘‘(b) DISCHARGE OF PERCHLORATE.—

20 ‘‘(1) NOTIFICATION.—

21 ‘‘(A) IN GENERAL.—Any person that, 

22 without regard to intent or negligence, causes 

23 or permits to occur a discharge of perchlorate 

24 into or on any waters of the United States shall 

25 notify the Administrator and the appropriate 
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1 State water pollution control agency of the dis2 charge as soon as practicable after—

3 ‘‘(i) the person has knowledge of the 

4 discharge; and 

5 ‘‘(ii) the notification may be provided 

6 without substantially impeding cleanup or 

7 other emergency measures. 

8 ‘‘(B) CONTENTS OF NOTICE.—A notice 

9 under subparagraph (A) shall include—

10 ‘‘(i) the volume of perchlorate dis11 charged; 

12 ‘‘(ii) a description of the extent of the 

13 discharge; 

14 ‘‘(iii) a copy of each document relat15 ing to any monitoring for potential dis16 charges undertaken by the person on or 

17 before the date of the discharge; and 

18 ‘‘(iv) a description of any actions 

19 taken by the person in response to the dis20 charge. 

21 ‘‘(C) FAILURE TO PROVIDE NOTICE.—For 

22 each day for which a person fails to provide the 

23 notice required by subparagraph (A), the per24 son shall—

25 ‘‘(i) be guilty of a misdemeanor; and 
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1 ‘‘(ii) be punished by a fine of not less 

2 than $500 nor more than $5,000. 

3 ‘‘(2) DISCHARGE UNDER PERMIT.—Paragraph 

4 (1) applies to a discharge of perchlorate under a 

5 permit issued under section 402. 

6 ‘‘(3) PENALTIES.—A penalty collected under 

7 paragraph (1)(C)(ii) shall be deposited in the Fund. 

8 ‘‘(c) SUBMISSION OF INFORMATION.—Not later than 

9 January 1, 2005, each owner or operator of a perchlorate 

10 storage facility that has been operated, by that owner or 

11 operator or by any other person, at any time after January 

12 1, 1950, shall submit to the Administrator and the appro13 priate State water pollution control agency a report that 

14 includes, for the period beginning on January 1, 1950 (or 

15 such later date as the perchlorate storage facility initiated 

16 operations), and ending on the date of submission of the 

17 report—

18 ‘‘(1) the volume of perchlorate stored during 

19 each calendar year at the perchlorate storage facil20 ity; 

21 ‘‘(2) a description of each method of storage 

22 used; and 

23 ‘‘(3) a copy of each document relating to any 

24 monitoring undertaken for potential discharges from 

25 the perchlorate storage facility. 
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1 ‘‘(d) LIST OF PERCHLORATE STORAGE FACILI2 TIES.—Not later than June 1, 2005, and annually there3 after, the Administrator, in consultation with each State 

4 water pollution control agency, shall publish in the Federal 

5 register a list of perchlorate storage facilities operating in 

6 the United States at any time during the period—

7 ‘‘(1) beginning on January 1, 1950; and 

8 ‘‘(2) ending on the date of publication of the 

9 list. 

10 ‘‘(e) LIST OF PERCHLORATE DISCHARGES.—Not 

11 later than June 1, 2005, the Administrator, in consulta12 tion with each State water pollution control agency, shall 

13 annually publish in the Federal Register a list of dis14 charges of perchlorate that occurred during the 1-year pe15 riod preceding the date of publication of the report (in16 cluding a list of locations at which perchlorate was de17 tected in groundwater within the State during that pe18 riod). 

19 ‘‘(f) PENALTIES.—

20 ‘‘(1) IN GENERAL.—An owner or operator of a 

21 perchlorate storage facility that violates subsection 

22 (c) shall be liable for a civil penalty of not less than 

23 $500 nor more than $5,000 for each day of viola24 tion. 
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1 ‘‘(2) DETERMINATION OF AMOUNT.—In deter2 mining the amount of a civil penalty, a court of com3 petent jurisdiction shall consider all relevant cir4 cumstances, including—

5 ‘‘(A) the extent of harm or potential harm 

6 caused by the violation; 

7 ‘‘(B) the nature of the violation; 

8 ‘‘(C) the period over which the violation oc9 curred; 

10 ‘‘(D) the frequency of any past violations 

11 by perchlorate storage facility involved; and 

12 ‘‘(E) any action taken to remedy the viola13 tion. 

14 ‘‘(3) DEPOSIT IN FUND.—A penalty collected 

15 under paragraph (1) shall be deposited in the Fund. 

16 ‘‘(g) REGULATIONS.—Not later than June 1, 2005, 

17 the Administrator shall promulgate regulations that—

18 ‘‘(1) require each perchlorate storage facility—

19 ‘‘(A) to meet minimum, industry-estab20 lished training standards; and 

21 ‘‘(B) to be operated in a manner consistent 

22 with industry-established best management 

23 practices; and 

24 ‘‘(2) implement an outreach effort to educate 

25 owners and operators of perchlorate storage facilities 
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1 concerning the regulations promulgated under this 

2 subsection. 

3 ‘‘(h) STATE LOAN PROGRAM.—

4 ‘‘(1) IN GENERAL.—The Administrator, in co5 ordination with each State water pollution control 

6 agency, shall carry out a loan program to assist pub7 lic water suppliers and owners of private wells in ac8 quiring or providing water that meets applicable 

9 Federal and State standards for drinking water to 

10 replace water contaminated by perchlorate. 

11 ‘‘(2) APPLICATIONS.—A public water supplier 

12 or owner of a private well that seeks to receive a 

13 loan under paragraph (1) shall submit to the Admin14 istrator an application that is in such form, and that 

15 contains such information, as the Administrator 

16 shall require. 

17 ‘‘(3) AMOUNT.—A loan provided under para18 graph (1) shall be for not less than $10,000 and not 

19 more than $750,000. 

20 ‘‘(4) TERM.—The term of a loan provided 

21 under paragraph (1) shall be—

22 ‘‘(A) not more than 20 years, if the loan 

23 is secured by real property; or 

24 ‘‘(B) not more than 10 years, if the loan 

25 is not secured by real property.
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1 ‘‘(5) INTEREST RATE.—The interest rate for a 

2 loan shall be equal to the rate of interest applicable 

3 at the time of the loan commitment to Federal secu4 rities having a term of 10 years. 

5 ‘‘(6) USE OF LOAN FUNDS.—Funds from a loan 

6 provided under paragraph (1) may be used to pay 

7 up to 100 percent of costs incurred by the recipient 

8 of the loan in acquiring or providing water that 

9 meets applicable Federal and State standards for 

10 drinking water to replace water contaminated by 

11 perchlorate. 

12 ‘‘(7) LOAN FEE.—The Administrator may 

13 charge a loan fee, not to exceed an amount equal to 

14 2 percent of the amount of the loan, to an applicant 

15 for a loan under paragraph (1). 

16 ‘‘(8) DEPOSIT IN FUND.—The Administrator 

17 shall deposit in the Fund repayments, including in18 terest, on loans provided under paragraph (1) and 

19 loan fees collected under paragraph (7). 

20 ‘‘(i) PERCHLORATE POLLUTION PREVENTION

21 FUND.—

22 ‘‘(1) ESTABLISHMENT.—There is established in 

23 the Treasury of the United States a revolving fund, 

24 to be known as the ‘Perchlorate Pollution Prevention 
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1 Fund’, to be used in carrying out this section, con2 sisting of—

3 ‘‘(A) such amounts as are deposited in the 

4 Fund under subsections (b)(3), (f)(3), and 

5 (h)(8); and 

6 ‘‘(B) any interest earned on investment of 

7 amounts in the Fund under paragraph (3). 

8 ‘‘(2) EXPENDITURES FROM FUND.—

9 ‘‘(A) IN GENERAL.—Subject to subpara10 graph (B), upon request by the Administrator, 

11 the Secretary of the Treasury shall transfer 

12 from the Fund to the Administrator such 

13 amounts as the Administrator determines are 

14 necessary—

15 ‘‘(i) to carry out this section; and 

16 ‘‘(ii) to provide loans under subsection 

17 (h). 

18 ‘‘(B) ADMINISTRATIVE EXPENSES.—An 

19 amount not exceeding 5 percent of the amounts 

20 in the Fund shall be available in each fiscal 

21 year to pay the administrative expenses nec22 essary to carry out this section. 

23 ‘‘(3) INVESTMENT OF AMOUNTS.—

24 ‘‘(A) IN GENERAL.—The Secretary of the 

25 Treasury shall invest such portion of the Fund 
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1 as is not, in the judgment of the Secretary of 

2 the Treasury, required to meet current with3 drawals. Investments may be made only in in4 terest-bearing obligations of the United States. 

5 ‘‘(B) ACQUISITION OF OBLIGATIONS.—For 

6 the purpose of investments under subparagraph 

7 (A), obligations may be acquired—

8 ‘‘(i) on original issue at the issue 

9 price; or 

10 ‘‘(ii) by purchase of outstanding obli11 gations at the market price. 

12 ‘‘(C) SALE OF OBLIGATIONS.—Any obliga13 tion acquired by the Fund may be sold by the 

14 Secretary of the Treasury at the market price. 

15 ‘‘(D) CREDITS TO FUND.—The interest on, 

16 and the proceeds from the sale or redemption 

17 of, any obligations held in the Fund shall be 

18 credited to and form a part of the Fund. 

19 ‘‘(4) TRANSFERS OF AMOUNTS.—

20 ‘‘(A) IN GENERAL.—The amounts required 

21 to be transferred to the Fund under this sub22 section shall be transferred at least monthly 

23 from the general fund of the Treasury to the 

24 Fund on the basis of estimates made by the 

25 Secretary of the Treasury. 
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1 ‘‘(B) ADJUSTMENTS.—Proper adjustment 

2 shall be made in amounts subsequently trans3 ferred to the extent prior estimates were in ex4 cess of or less than the amounts required to be 

5 transferred. 

6 ‘‘(j) REPORTS.—Not later than 1 year after the date 

7 of enactment of this section, and annually thereafter, the 

8 Administrator shall submit to the Committee on Environ9 ment and Public Works of the Senate and the Committee 

10 on Transportation and Infrastructure of the House of 

11 Representatives a report that describes progress made in 

12 implementing this section. 

13 ‘‘(k) NO EFFECT ON STATE LAW.—Nothing in this 

14 section preempts or otherwise affects any State law (in15 cluding any State law that contains a requirement that 

16 is more stringent than a requirement under this section).’’.

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