I 

117TH CONGRESS 

1ST SESSION H. R. 1352 

To establish a trust fund to provide for adequate funding for water and 

sewer infrastructure, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 25, 2021 

Mrs. LAWRENCE (for herself, Mr. KHANNA, Mr. MICHAEL F. DOYLE of Pennsylvania, Mr. GALLEGO, Ms. PINGREE, Mrs. WATSON COLEMAN, Ms. 

BARRAGA ́N, Mr. LEVIN of Michigan, Ms. NORTON, Mr. JONES, Ms. 

HOULAHAN, Miss RICE of New York, Mr. JOHNSON of Georgia, Mr. 

NADLER, Mr. CARSON, Ms. STEVENS, Ms. SCHAKOWSKY, Mr. CASTEN, 

Mrs. BEATTY, Ms. JOHNSON of Texas, Mr. RASKIN, Ms. MOORE of Wisconsin, Ms. VELA ́ZQUEZ, Ms. NEWMAN, Mr. FOSTER, Mr. HASTINGS, Mr. 

COHEN, Mr. ESPAILLAT, Mr. CONNOLLY, Mr. KIM of New Jersey, Mr. 

NEAL, Ms. MENG, Mr. DESAULNIER, Ms. MATSUI, Mr. HUFFMAN, Mrs. 

BUSTOS, Mr. DELGADO, Mr. WELCH, Mr. SIRES, Mr. LAWSON of Florida, Ms. CHU, Mr. SUOZZI, Mrs. CAROLYN B. MALONEY of New York, 

Mr. THOMPSON of Mississippi, Mr. YARMUTH, Mr. GRIJALVA, Mr. RUSH, 

Ms. OCASIO-CORTEZ, Ms. JAYAPAL, Ms. BUSH, Mr. MFUME, Ms. 

SLOTKIN, Ms. CLARKE of New York, Ms. DEAN, Ms. OMAR, Mr. 

CICILLINE, Mr. CARTWRIGHT, Mr. LIEU, Mr. BRENDAN F. BOYLE of 

Pennsylvania, Mrs. HAYES, Mr. BOWMAN, Ms. PRESSLEY, Ms. BASS, Ms. 

TLAIB, Mr. POCAN, Mr. RUPPERSBERGER, Ms. BLUNT ROCHESTER, Mr. 

LOWENTHAL, Mrs. NAPOLITANO, Ms. LEE of California, Mr. 

AUCHINCLOSS, Ms. LEGER FERNANDEZ, and Ms. BONAMICI) introduced 

the following bill; which was referred to the Committee on Transportation 

and Infrastructure, and in addition to the Committees on Energy and 

Commerce, Ways and Means, and Agriculture, 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 


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A BILL 

To establish a trust fund to provide for adequate funding 

for water and sewer infrastructure, and for other purposes. 

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; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Water Affordability, Transparency, Equity, and Reli6 ability Act of 2021’’. 

7 (b) TABLE OF CONTENTS.—The table of contents for 

8 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Water Affordability, Transparency, Equity, and Reliability Trust Fund. 

Sec. 3. Report on affordability, discrimination and civil rights violations, public 

participation in regionalization, and data collection. 

Sec. 4. Technical assistance to rural and small municipalities and tribal governments. 

Sec. 5. Residential onsite sewage disposal system improvement. 

Sec. 6. Household water well systems. 

Sec. 7. State water pollution control revolving funds. 

Sec. 8. Use of State revolving loan funds under the Safe Drinking Water Act. 

Sec. 9. Drinking water grant programs. 

Sec. 10. Requirement for the use of American materials in drinking water. 

Sec. 11. Labor provisions. 

9 SEC. 2. WATER AFFORDABILITY, TRANSPARENCY, EQUITY, 

10 AND RELIABILITY TRUST FUND. 

11 (a) ESTABLISHMENT.— 

12 (1) IN GENERAL.—Subchapter A of chapter 98 

13 of the Internal Revenue Code of 1986 is amended by 

14 adding at the end the following: 


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1 ‘‘SEC. 9512. WATER AFFORDABILITY, TRANSPARENCY, EQ2 UITY, AND RELIABILITY TRUST FUND. 

3 ‘‘(a) CREATION OF TRUST FUND.—There is estab4 lished in the Treasury of the United States a trust fund 

5 to be known as the ‘Water Affordability, Transparency, 

6 Equity, and Reliability Trust Fund’ (referred to in this 

7 section as the ‘Trust Fund’), consisting of such amounts 

8 as may be appropriated or credited to such Trust Fund 

9 as provided in this section or section 9602(b). 

10 ‘‘(b) TRANSFERS TO FUND.— 

11 ‘‘(1) IN GENERAL.—There are hereby appro12 priated to the Trust Fund such amounts as the Sec13 retary from time to time estimates are equal to the 

14 increase in Federal revenues attributable to the 

15 amendment made by section 2(b) of the Water Af16 fordability, Transparency, Equity, and Reliability 

17 Act of 2021. 

18 ‘‘(2) LIMITATION.—The sum of the amounts 

19 appropriated under paragraph (1) during any fiscal 

20 year shall not exceed $34,850,000,000. 

21 ‘‘(c) EXPENDITURES.—Amounts in the Trust Fund 

22 are available, without further appropriation and without 

23 fiscal year limitation, for the purposes described in section 

24 2(c) of the Water Affordability, Transparency, Equity, 

25 and Reliability Act of 2021.’’. 


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1 (2) CLERICAL AMENDMENT.—The table of 

2 parts for subchapter A of chapter 98 of such Code 

3 is amended by inserting after the item relating to 

4 section 9511 the following new item: 

‘‘Sec. 9512. Water Affordability, Transparency, Equity, and Reliability Trust 

Fund.’’. 

5 (b) IMPOSITION OF TAX.— 

6 (1) IN GENERAL.—Section 11(b) of the Internal 

7 Revenue Code of 1986 is amended by striking ‘‘21’’ 

8 and inserting ‘‘24.5’’. 

9 (2) EFFECTIVE DATE.—The amendments made 

10 by this Act shall apply to taxable years beginning 

11 after December 31, 2020. 

12 (c) ALLOCATION OF FUNDS.—The Administrator of 

13 the Environmental Protection Agency and the Secretary 

14 of Agriculture shall allocate, for a fiscal year, the funds 

15 available, at the beginning of such fiscal year, in the Water 

16 Affordability, Transparency, Equity, and Reliability Trust 

17 Fund, established by section 9512 of the Internal Revenue 

18 Code of 1986, as follows: 

19 (1) CLEAN WATER PROGRAMS.—Of such 

20 amount, the Administrator shall make available— 

21 (A) 0.5 percent for making grants under 

22 section 104(b)(8) of the Federal Water Pollu23 tion Control Act; 


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1 (B) 1.5 percent for making grants under 

2 section 106 of such Act (33 U.S.C. 1256); 

3 (C) 2.5 percent for making grants under 

4 section 222 of such Act; 

5 (D) 2.5 percent for making grants under 

6 section 319 of such Act (33 U.S.C. 1329); and 

7 (E) 45 percent for making capitalization 

8 grants under section 601 of such Act (33 

9 U.S.C. 1381). 

10 (2) SAFE DRINKING WATER FUNDING.—Of such 

11 amount, the Administrator shall make available— 

12 (A) 0.5 percent for providing technical as13 sistance under section 1442(e) of the Safe 

14 Drinking Water Act (42 U.S.C. 300j–1(e)); 

15 (B) 43.5 percent for making capitalization 

16 grants under section 1452 of such Act (42 

17 U.S.C. 300j–12); and 

18 (C) 3 percent for making grants under sec19 tion 1465 of such Act. 

20 (3) HOUSEHOLD WATER WELL SYSTEMS.—Of 

21 such amount, the Secretary shall make available 1 

22 percent for making grants under section 306E of the 

23 Consolidated Farm and Rural Development Act (7 

24 U.S.C. 1926e). 


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1 SEC. 3. REPORT ON AFFORDABILITY, DISCRIMINATION AND 

2 CIVIL RIGHTS VIOLATIONS, PUBLIC PARTICI3 PATION IN REGIONALIZATION, AND DATA 

4 COLLECTION. 

5 (a) STUDY.— 

6 (1) IN GENERAL.—The Administrator of the 

7 Environmental Protection Agency shall conduct a 

8 study on water and sewer services, in accordance 

9 with this subsection. 

10 (2) AFFORDABILITY.—In conducting the study 

11 under paragraph (1), the Administrator shall study 

12 water affordability nationwide, including— 

13 (A) rates for water and sewer services, in14 creases in such rates during the ten-year period 

15 preceding such study, and water service dis16 connections due to unpaid water service 

17 charges; and 

18 (B) the effectiveness of funding under sec19 tion 1452 of the Safe Drinking Water Act and 

20 under section 601 of the Federal Water Pollu21 tion Control Act for promoting affordable, equi22 table, transparent, and reliable water and sewer 

23 service. 

24 (3) DISCRIMINATION AND CIVIL RIGHTS.—In 

25 conducting the study under paragraph (1), the Ad26 ministrator, in collaboration with the Civil Rights 


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1 Division of the United States Department of Justice, 

2 shall study— 

3 (A) discriminatory practices of water and 

4 sewer service providers; and 

5 (B) violations by such service providers 

6 that receive Federal assistance of civil rights 

7 under title VI of the Civil Rights Act of 1964 

8 with regard to equal access to water and sewer 

9 services. 

10 (4) PUBLIC PARTICIPATION IN REGIONALIZA11 TION.—In conducting the study under paragraph 

12 (1), the Administrator shall evaluate efforts to re13 gionalize public water systems, as defined in section 

14 1401 of the Safe Water Drinking Act, and sewer 

15 services with respect to public participation in— 

16 (A) the decision to undergo such regional17 ization; and 

18 (B) decision making by the board of direc19 tors (or other governing body) of the entity that 

20 provides, or oversees or coordinates the provi21 sion of, water by the public water systems sub22 ject to such regionalization. 

23 (5) DATA COLLECTION.—In conducting the 

24 study under paragraph (1), the Administrator shall 

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1 mation, and evaluate the methodologies used to col2 lect information, related to— 

3 (A) people living without water or sewer 

4 services; 

5 (B) water service disconnections due to un6 paid water service charges, including disconnec7 tions experienced by households containing chil8 dren, elderly persons, disabled persons, chron9 ically ill persons, or other vulnerable popu10 lations; and 

11 (C) disparate effects, on the basis of race, 

12 gender, or socioeconomic status, of water serv13 ice disconnections and the lack of public water 

14 service. 

15 (b) REPORT.—Not later than 1 year after the date 

16 of the enactment of this Act, the Administrator of the En17 vironmental Protection Agency shall submit to Congress 

18 a report that contains— 

19 (1) the results of the study conducted under 

20 subsection (a)(1); and 

21 (2) recommendations for utility companies, 

22 Federal agencies, and States relating to such results. 


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1 SEC. 4. TECHNICAL ASSISTANCE TO RURAL AND SMALL 

2 MUNICIPALITIES AND TRIBAL GOVERN3 MENTS. 

4 Section 104(u) of the Federal Water Pollution Con5 trol Act (33 U.S.C. 1254(u)) is amended by striking ‘‘not 

6 to exceed $25,000,000 for each of fiscal years 2019 

7 through 2023’’ and inserting ‘‘$175,000,000 for each of 

8 fiscal years 2021 through 2026’’. 

9 SEC. 5. RESIDENTIAL ONSITE SEWAGE DISPOSAL SYSTEM 

10 IMPROVEMENT. 

11 Title II of the Federal Water Pollution Control Act 

12 (33 U.S.C. 1281 et seq.) is amended by adding at the end 

13 the following: 

14 ‘‘SEC. 222. RESIDENTIAL ONSITE SEWAGE DISPOSAL SYS15 TEMS. 

16 ‘‘Not later than the date that is 1 year after the date 

17 of the enactment of this section, the Administrator shall 

18 establish a grant program to make grants to users of a 

19 septic tank and drainage field for costs associated with 

20 repairing, replacing, or upgrading such tank and such 

21 field.’’. 

22 SEC. 6. HOUSEHOLD WATER WELL SYSTEMS. 

23 Section 306E(d) of the Consolidated Farm and Rural 

24 Development Act (7 U.S.C. 1926e(d)) is amended by 

25 striking ‘‘$20,000,000 for each of fiscal years 2019 


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1 through 2023’’ and inserting ‘‘$348,500,000 for each fis2 cal year’’. 

3 SEC. 7. STATE WATER POLLUTION CONTROL REVOLVING 

4 FUNDS. 

5 (a) SPECIFIC REQUIREMENTS.—Section 602(b) of 

6 the Federal Water Pollution Control Act (33 U.S.C. 

7 1382(b)) is amended— 

8 (1) in paragraph (2), by striking ‘‘will be made 

9 to the State with funds to be made available’’ and 

10 inserting ‘‘were made to the State with funds made 

11 available for fiscal year 2019’’; 

12 (2) in paragraph (13), by striking ‘‘and’’ at the 

13 end; 

14 (3) in paragraph (14), by striking the period at 

15 the end and inserting a semicolon; and 

16 (4) by adding at the end the following: 

17 ‘‘(15) the State will not provide financial assist18 ance using amounts from the fund for any project 

19 that will provide substantial direct benefits to new 

20 communities, lots, or subdivisions, other than a 

21 project to construct an advanced decentralized 

22 wastewater system; and’’. 

23 (b) PROJECTS AND ACTIVITIES ELIGIBLE FOR AS24 SISTANCE.—Section 603(c) of the Federal Water Pollution 

25 Control Act (33 U.S.C. 1383(c)) is amended— 


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1 (1) in paragraph (11)(B), by striking ‘‘and’’ at 

2 the end; 

3 (2) in paragraph (12)(B), by striking the period 

4 at the end and inserting ‘‘; and’’; and 

5 (3) by adding at the end the following: 

6 ‘‘(13) to any municipality or intermunicipal, 

7 interstate, or State agency for— 

8 ‘‘(A) purchasing from a willing or unwill9 ing seller a privately owned treatment works; 

10 and 

11 ‘‘(B) expenses related to canceling a con12 tract for the operation or management of a 

13 publicly owned treatment works.’’. 

14 (c) INCREASING THE AMOUNT OF ADDITIONAL SUB15 SIDIZATION BY THE STATE.—Section 603(i)(3)(B) of the 

16 Federal Water Pollution Control Act (33 U.S.C. 

17 1383(i)(3)(B)) is amended to read as follows: 

18 ‘‘(B) ADDITIONAL LIMITATION.—A State 

19 may use not less than 50 percent of the total 

20 amount received by the State in capitalization 

21 grants under this title for a fiscal year for pro22 viding additional subsidization under this sub23 section.’’. 


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1 SEC. 8. USE OF STATE REVOLVING LOAN FUNDS UNDER 

2 THE SAFE DRINKING WATER ACT. 

3 Section 1452 of the Safe Drinking Water Act (42 

4 U.S.C. 300j–12) is amended— 

5 (1) in subsection (a)— 

6 (A) in paragraph (2)— 

7 (i) in subparagraph (A), by inserting 

8 ‘‘publicly owned, operated, and managed’’ 

9 before ‘‘community water systems’’; and 

10 (ii) in subparagraph (E), by striking 

11 ‘‘The funds under this section shall not be 

12 used for the acquisition of real property or 

13 interests therein, unless the acquisition is 

14 integral to a project authorized by this 

15 paragraph and the purchase is from a will16 ing seller.’’ and inserting ‘‘The funds may 

17 also be used for purchasing from a willing 

18 or unwilling seller a privately owned com19 munity water system, or for the expenses 

20 related to canceling a contract for the op21 eration or management of a community 

22 water system.’’; and 

23 (B) by adding at the end the following new 

24 paragraph: 

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1 withstanding paragraph (2)(A), public water systems 

2 that regularly serve fewer than 10,000 persons, and 

3 which are not owned, operated, or managed by any 

4 person who owns, operates, or manages any other 

5 public water system, may receive assistance under 

6 this section.’’; 

7 (2) by amending subsection (d)(2) to read as 

8 follows: 

9 ‘‘(2) TOTAL AMOUNT OF SUBSIDIES.—To the 

10 extent that there are sufficient applications for loans 

11 to communities described in paragraph (1), of the 

12 amount of the capitalization grant received by a 

13 State in a fiscal year, the total amount of loan sub14 sidies made by the State in the fiscal year pursuant 

15 to paragraph (1) may not be less than 50 percent.’’; 

16 (3) in subsection (e), by striking ‘‘to be made 

17 to the State’’ and inserting ‘‘that was made to the 

18 State in fiscal year 2021’’; 

19 (4) in subsection (g)(3)— 

20 (A) in paragraph (B), by striking ‘‘and’’ at 

21 the end; 

22 (B) in paragraph (C), by striking the pe23 riod at the end and inserting ‘‘; and’’; and 

24 (C) by inserting after subparagraph (C) 

25 the following: 


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1 ‘‘(D) guidance to ensure affordable, equi2 table, transparent and reliable water service 

3 provision, to provide protections for households 

4 facing service disconnection due to unpaid 

5 water service charges, and to promote universal 

6 equal access to water services.’’; and 

7 (5) in subsection (k)(1), by adding at the end 

8 the following: 

9 ‘‘(E) Provide assistance in the form of a 

10 grant to owners of private property on which a 

11 lead service line (as defined in section 1459B) 

12 is or may be located, for the purpose of replac13 ing the lead service line with a service line that 

14 is lead-free (as defined in section 1417(d)). 

15 ‘‘(F) Provide assistance to a publicly 

16 owned, operated, and managed community 

17 water system for the purpose of updating treat18 ment plants or switching water sources due to 

19 contamination from per- and polyfluoroalkyl 

20 substances (PFAS) (as defined by the State in 

21 which the community water system is located). 

22 ‘‘(G) Provide assistance in the form of a 

23 grant to owners of a household water well that 

24 has been contaminated by per- and 

25 polyfluoroalkyl substances (PFAS) (as defined 


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1 by the State in which the household well is lo2 cated), for the purpose of purchasing and in3 stalling a household filtration system.’’. 

4 SEC. 9. DRINKING WATER GRANT PROGRAMS. 

5 (a) SCHOOL DRINKING WATER IMPROVEMENT.— 

6 Section 1465 of the Safe Drinking Water Act (42 U.S.C. 

7 300j–25) is amended— 

8 (1) in the section header, by striking ‘‘FOUN9 TAIN’’ and inserting ‘‘INFRASTRUCTURE’’; 

10 (2) in subsection (a), by striking ‘‘fountains 

11 manufactured prior to 1988’’ and inserting ‘‘infra12 structure’’; 

13 (3) by amending subsection (b) to read as fol14 lows: 

15 ‘‘(b) USE OF FUNDS.—Funds awarded under the 

16 grant program may be used to pay costs associated with— 

17 ‘‘(1) installing, repairing, or replacing the infra18 structure necessary to ensure that drinking water 

19 fountains, drinking water coolers, and bottle filling 

20 stations at schools are lead free; and 

21 ‘‘(2) monitoring and reporting of lead levels in 

22 the drinking water of schools, as determined appro23 priate by the Administrator.’’; and 

24 (4) in subsection (d)— 


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1 (A) by striking ‘‘$5,000,000’’ and inserting 

2 ‘‘$1,050,000,000’’; and 

3 (B) by striking ‘‘2021’’ and inserting 

4 ‘‘2024’’. 

5 (b) TRIBAL DRINKING WATER.—Section 1452(i)(1) 

6 of the Safe Drinking Water Act (42 U.S.C. 300j–12(i)(1)) 

7 is amended, in the first sentence— 

8 (1) by striking ‘‘1 1/2’’ and inserting ‘‘Three’’; 

9 and 

10 (2) by striking ‘‘may’’ and inserting ‘‘shall’’. 

11 SEC. 10. REQUIREMENT FOR THE USE OF AMERICAN MATE12 RIALS IN DRINKING WATER. 

13 Section 1452(a)(4) of the Safe Drinking Water Act 

14 (42 U.S.C. 300j–12(a)(4)) is amended by striking ‘‘Dur15 ing fiscal years 2019 through 2023, funds’’ and inserting 

16 ‘‘Funds’’. 

17 SEC. 11. LABOR PROVISIONS. 

18 (a) PREVAILING RATE OF WAGE.—Nothing in this 

19 Act shall affect the applicability of the requirements relat20 ing to labor standards of sections 513 and 602(b)(6) of 

21 the Federal Water Pollution Control Act (33 U.S.C. 1372, 

22 1382(b)(6)) and section 1450(e) of the Safe Drinking 

23 Water Act (42 U.S.C. 300j–9(e)) to projects carried out 

24 under those Acts. 

25 (b) PROJECT LABOR AGREEMENTS.— 


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1 (1) CLEAN WATER REVOLVING FUNDS.—Sec2 tion 602(b) of the Federal Water Pollution Control 

3 Act (33 U.S.C. 1382(b)), as amended by section 7, 

4 is further amended by adding at the end the fol5 lowing: 

6 ‘‘(16) the State will— 

7 ‘‘(A) permit recipients of assistance under 

8 this title to enter into agreements authorized 

9 under section 8(f) of the National Labor Rela10 tions Act (commonly known as ‘project labor 

11 agreements’) with respect to projects for build12 ing or construction carried out with such assist13 ance; and 

14 ‘‘(B) ensure that, to the maximum extent 

15 practicable, recipients of assistance under this 

16 title carry out such projects through the use of 

17 such agreements.’’. 

18 (2) DRINKING WATER REVOLVING FUNDS.— 

19 Section 1452 of the Safe Drinking Water Act (42 

20 U.S.C. 300j–12) is amended— 

21 (A) in subsection (a), by adding at the end 

22 the following: 

23 ‘‘(7) PROJECT LABOR AGREEMENTS.—Each 

24 agreement under this subsection shall require that 

25 the State permit recipients of assistance under this 


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1 section to enter into agreements authorized under 

2 section 8(f) of the National Labor Relations Act 

3 (commonly known as ‘project labor agreements’) 

4 with respect to projects for building or construction 

5 carried out with such assistance.’’; and 

6 (B) in subsection (b)(3)(A)— 

7 (i) in clause (ii), by striking ‘‘; and’’ 

8 and inserting a semicolon; 

9 (ii) in clause (iii), by striking the pe10 riod at the end and inserting ‘‘; and’’; and 

11 (iii) by adding at the end the fol12 lowing: 

13 ‘‘(iv) with respect to projects for 

14 building or construction, will be carried out 

15 through the use of agreements authorized 

16 under section 8(f) of the National Labor 

17 Relations Act.’’. 

Æ 


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