II 

Calendar No. 109 

111TH CONGRESS 

1ST SESSION S. 1005 

[Report No. 111–47] 

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

Water Act to improve water and wastewater infrastructure in the United 

States. 

IN THE SENATE OF THE UNITED STATES 

MAY 7, 2009 

Mr. CARDIN (for himself, Mrs. BOXER, Mr. INHOFE, and Mr. CRAPO) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works 

JULY 15, 2009 

Reported by Mrs. BOXER, with an amendment 

[Strike out all after the enacting clause and insert the part printed in italic] 

A BILL 

To amend the Federal Water Pollution Control Act and 

the Safe Drinking Water Act to improve water and 

wastewater infrastructure in the United States. 

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

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1 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

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

3 ‘‘Water Infrastructure Financing Act’’. 

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

5 this Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Definition of Administrator. 

TITLE I—WATER POLLUTION INFRASTRUCTURE 

Sec. 101. Technical assistance for rural small treatment works and medium 

treatment works. 

Sec. 102. Projects eligible for assistance. 

Sec. 103. Affordability. 

Sec. 104. Water pollution control revolving loan funds. 

Sec. 105. Transferability of funds. 

Sec. 106. Noncompliance. 

Sec. 107. Negotiation of contracts. 

Sec. 108. Allotment of funds. 

Sec. 109. Authorization of appropriations. 

Sec. 110. Sewer overflow control grants. 

Sec. 111. Critical water infrastructure projects. 

TITLE II—SAFE DRINKING WATER INFRASTRUCTURE 

Sec. 201. Drinking water technical assistance for communities. 

Sec. 202. Preconstruction work. 

Sec. 203. Priority system requirements. 

Sec. 204. Affordability. 

Sec. 205. Safe drinking water revolving loan funds. 

Sec. 206. Other authorized activities. 

Sec. 207. Authorization of appropriations. 

Sec. 208. Negotiation of contracts. 

Sec. 209. Critical drinking water infrastructure projects. 

Sec. 210. Reducing lead in drinking water. 

TITLE III—MISCELLANEOUS 

Sec. 301. Definition of Academy. 

Sec. 302. Program for water quality enhancement and management. 

Sec. 303. Agricultural watershed sustainability technology grant program. 

Sec. 304. State revolving fund review process. 

Sec. 305. Cost of service study. 

Sec. 306. Effective utility management strategies. 

Sec. 307. WaterSense Program. 

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1 SEC. 2. DEFINITION OF ADMINISTRATOR. 

2 In this Act, the term ‘‘Administrator’’ means the Ad3 ministrator of the Environmental Protection Agency. 

4 TITLE I—WATER POLLUTION 

5 INFRASTRUCTURE 

6 SEC. 101. TECHNICAL ASSISTANCE FOR RURAL SMALL 

7 TREATMENT WORKS AND MEDIUM TREAT8 MENT WORKS. 

9 (a) IN GENERAL.—Title II of the Federal Water Pol10 lution Control Act (33 U.S.C. 1281 et seq.) is amended 

11 by adding at the end the following: 

12 ‘‘SEC. 222. TECHNICAL ASSISTANCE FOR RURAL SMALL 

13 TREATMENT WORKS AND MEDIUM TREAT14 MENT WORKS. 

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

16 ‘‘(1) ADVANCED DECENTRALIZED WASTEWATER

17 SYSTEM.—The term ‘advanced decentralized waste18 water system’ means a decentralized wastewater sys19 tem that provides more effective treatment than a 

20 conventional septic system. 

21 ‘‘(2) DECENTRALIZED WASTEWATER SYSTEM.— 

22 ‘‘(A) IN GENERAL.—The term ‘decentral23 ized wastewater system’ means a wastewater 

24 treatment system that is at or near a site at 

25 which wastewater is generated. 

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1 ‘‘(B) INCLUSIONS.—The term ‘decentral2 ized wastewater system’ includes a system that 

3 provides for— 

4 ‘‘(i) nonpotable reuse of treated efflu5 ent; or 

6 ‘‘(ii) energy and nutrient recovery 

7 from wastewater constituents. 

8 ‘‘(3) MEDIUM TREATMENT WORKS.—The term 

9 ‘medium treatment works’ means a publicly owned 

10 treatment works serving more than 10,000 but fewer 

11 than 100,000 individuals. 

12 ‘‘(4) QUALIFIED NONPROFIT TECHNICAL AS13 SISTANCE PROVIDER.—The term ‘qualified nonprofit 

14 technical assistance provider’ means a qualified non15 profit technical assistance provider of water and 

16 wastewater services to small or medium-sized com17 munities that provides technical assistance (includ18 ing circuit rider, multi-State regional assistance pro19 grams, and training and preliminary engineering 

20 evaluations) to owners and operators of small treat21 ment works or medium treatment works that may 

22 include State agencies. 

23 ‘‘(5) SMALL TREATMENT WORKS.—The term 

24 ‘small treatment works’ means a publicly owned 

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1 treatment works serving not more than 10,000 indi2 viduals. 

3 ‘‘(b) GRANT PROGRAM.— 

4 ‘‘(1) IN GENERAL.—The Administrator may 

5 make grants on a competitive basis to qualified non6 profit technical assistance providers that are quali7 fied to provide assistance on a broad range of waste8 water and stormwater approaches— 

9 ‘‘(A) to assist owners and operators of 

10 small treatment works and medium treatment 

11 works to plan, develop, and obtain financing for 

12 eligible projects described in section 603(c) or 

13 518(c); 

14 ‘‘(B) to provide financial assistance, in 

15 consultation with the State in which the assist16 ance is provided, to owners and operators of 

17 small treatment works and medium treatment 

18 works for predevelopment costs (including costs 

19 for planning, design, and associated 

20 preconstruction activities, such as activities re21 lating directly to the siting of the facility and 

22 related elements) associated with stormwater or 

23 wastewater infrastructure projects or short24 term costs incurred for equipment replacement 

25 that is not part of regular operation and mainmstockstill on DSKH9S0YB1PROD with BILLS

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1 tenance activities for existing stormwater or 

2 wastewater systems, if the amount of assistance 

3 for any single project does not exceed $50,000; 

4 ‘‘(C) to provide technical assistance and 

5 training for owners and operators of small 

6 treatment works and medium treatment works 

7 to enable those treatment works and systems to 

8 protect water quality and achieve and maintain 

9 compliance with this Act; and 

10 ‘‘(D) to disseminate information to owners 

11 and operators of small treatment works and 

12 medium treatment works, with respect to plan13 ning, design, construction, and operation of 

14 treatment works, small municipal separate 

15 storm sewer systems, decentralized wastewater 

16 treatment systems, and advanced decentralized 

17 wastewater treatment systems. 

18 ‘‘(2) DISTRIBUTION OF GRANT.—In carrying 

19 out this subsection, the Administrator shall ensure, 

20 to the maximum extent practicable, that technical 

21 assistance provided using funds from a grant under 

22 paragraph (1) is made available in each State. 

23 ‘‘(3) CONSULTATION.—As a condition of receiv24 ing a grant under this subsection, a qualified non25 profit technical assistance provider shall agree to 

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1 consult with each State in which grant funds are to 

2 be expended before the grant funds are expended in 

3 the State. 

4 ‘‘(4) ANNUAL REPORT.—Not later than 60 days 

5 after the end of each fiscal year, a qualified non6 profit technical assistance provider that receives a 

7 grant under this subsection shall submit to the Ad8 ministrator a report that— 

9 ‘‘(A) describes the activities of the quali10 fied nonprofit technical assistance provider 

11 using grant funds received under this sub12 section for the fiscal year; and 

13 ‘‘(B) specifies— 

14 ‘‘(i) the number of communities 

15 served; 

16 ‘‘(ii) the sizes of those communities; 

17 and 

18 ‘‘(iii) the type of assistance provided 

19 by the qualified nonprofit technical assist20 ance provider. 

21 ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.—There 

22 are authorized to be appropriated to carry out this sec23 tion— 

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1 ‘‘(1) for grants for small treatment works, 

2 $25,000,000 for each of fiscal years 2010 through 

3 2014; and 

4 ‘‘(2) for grants for medium treatment works, 

5 $15,000,000 for each of fiscal years 2010 through 

6 2014.’’. 

7 (b) GUIDANCE FOR SMALL SYSTEMS.—Section 602 

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

9 1382) is amended by adding at the end the following: 

10 ‘‘(c) GUIDANCE FOR SMALL SYSTEMS.— 

11 ‘‘(1) DEFINITION OF SMALL SYSTEM.—In this 

12 subsection, the term ‘small system’ means a sys13 tem— 

14 ‘‘(A) for which a municipality or inter15 municipal, interstate, or State agency seeks as16 sistance under this title; and 

17 ‘‘(B) that serves a population of not more 

18 than 10,000 individuals. 

19 ‘‘(2) SIMPLIFIED PROCEDURES.—Not later than 

20 1 year after the date of enactment of this sub21 section, the Administrator shall assist the States in 

22 establishing simplified procedures for small systems 

23 to obtain assistance under this title. 

24 ‘‘(3) PUBLICATION OF MANUAL.—Not later 

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1 section, after providing notice and opportunity for 

2 public comment, the Administrator shall publish— 

3 ‘‘(A) a manual to assist small systems in 

4 obtaining assistance under this title; and 

5 ‘‘(B) in the Federal Register, notice of the 

6 availability of the manual.’’. 

7 SEC. 102. PROJECTS ELIGIBLE FOR ASSISTANCE. 

8 (a) IN GENERAL.—Section 603 of the Federal Water 

9 Pollution Control Act (33 U.S.C. 1383) is amended by 

10 striking subsection (c) and inserting the following: 

11 ‘‘(c) PROJECTS ELIGIBLE FOR ASSISTANCE.— 

12 ‘‘(1) IN GENERAL.—Funds in each State water 

13 pollution control revolving fund shall be used only 

14 for providing financial assistance— 

15 ‘‘(A) to a municipality or an intermunic16 ipal, interstate, or State agency or a private 

17 treatment works or decentralized wastewater 

18 system that principally treats municipal waste19 water or domestic sewage— 

20 ‘‘(i) for construction of treatment 

21 works (as defined in section 212); or 

22 ‘‘(ii) for capital costs associated with 

23 monitoring equipment for combined sani24 tary sewer overflows; 

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1 ‘‘(B) to implement measures to control, 

2 manage, reduce, treat, infiltrate, or reuse 

3 stormwater, the primary purpose of which is 

4 the preservation, protection, or enhancement of 

5 water quality to support public purposes (in6 cluding the procurement and use of equipment 

7 to support minimum measures, such as street 

8 sweeping and storm drain system cleaning, or 

9 acquisition of other land and interests in land 

10 that are necessary for those activities and meas11 ures); 

12 ‘‘(C) to implement a management program 

13 established under section 319; 

14 ‘‘(D) to develop and implement a conserva15 tion and management plan under section 320; 

16 ‘‘(E) for projects to increase the security 

17 of wastewater treatment works (as defined in 

18 section 212), excluding any expenditure for op19 erations or maintenance; 

20 ‘‘(F) to carry out water conservation or ef21 ficiency projects that result in direct water 

22 quality benefits; 

23 ‘‘(G) to implement measures to integrate 

24 water resource management planning and im25 plementation; 

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1 ‘‘(H) to carry out water reuse (including 

2 wastewater reuse), reclamation, and recycling 

3 projects that result in direct water quality bene4 fits; 

5 ‘‘(I) for projects to increase the energy ef6 ficiency of treatment works (as defined in sec7 tion 212) that result in direct water quality 

8 benefits; 

9 ‘‘(J) for the development and implementa10 tion of utility management improvement plans 

11 consistent with an effective utility management 

12 strategy (as defined in section 306(a) of the 

13 Water Infrastructure Financing Act); and 

14 ‘‘(K) for the development and implementa15 tion of integrative watershed improvement plans 

16 that include cost-effective solutions that con17 sider point and nonpoint sources of pollution 

18 and traditional and cost-saving water treatment 

19 and efficiency projects. 

20 ‘‘(2) LIMITATION.—Not more than 5 percent of 

21 the amount of a capitalization grant of a State may 

22 be used during a fiscal year to provide assistance for 

23 activities described in subparagraph (J) or (K) of 

24 paragraph (1). 

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1 ‘‘(3) STATE WATER POLLUTION CONTROL RE2 VOLVING FUNDS.— 

3 ‘‘(A) IN GENERAL.—A State water pollu4 tion control revolving fund shall be established, 

5 maintained, and credited with repayments. 

6 ‘‘(B) BALANCE OF FUND.—The balance of 

7 each fund described in subparagraph (A) shall 

8 be available in perpetuity for providing financial 

9 assistance under this section.’’. 

10 (b) MODIFICATION OF DEFINITION.—Section 

11 212(2)(A) of the Federal Water Pollution Control Act (33 

12 U.S.C. 1292(2)(A)) is amended— 

13 (1) by striking ‘‘and any works, including site’’; 

14 (2) by striking ‘‘is used for ultimate’’ and in15 serting ‘‘will be used for ultimate’’; and 

16 (3) by inserting ‘‘; and acquisition of other land 

17 and interests in land necessary for construction’’ be18 fore the period at the end. 

19 SEC. 103. AFFORDABILITY. 

20 (a) IN GENERAL.—Section 603 of the Federal Water 

21 Pollution Control Act (33 U.S.C. 1383) is amended— 

22 (1) by redesignating subsections (e) through (h) 

23 as subsections (g) through (j), respectively; 

24 (2) in subsection (d)— 

25 (A) in paragraph (1)— 

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1 (i) in subparagraph (A), by striking 

2 ‘‘20 years’’ and inserting ‘‘the lesser of 30 

3 years or the design life of the project to be 

4 financed with the proceeds of the loan’’; 

5 and 

6 (ii) in subparagraph (B), by striking 

7 ‘‘not later than 20 years after project com8 pletion’’ and inserting ‘‘upon the expiration 

9 of the term of the loan’’; 

10 (B) in paragraph (6), by striking ‘‘and’’ at 

11 the end; and 

12 (C) in paragraph (7), by striking ‘‘title, ex13 cept that’’ and all that follows and inserting the 

14 following: ‘‘title, except that— 

15 ‘‘(A) such amounts shall not exceed an 

16 amount equal to the sum of, for each fiscal 

17 year— 

18 ‘‘(i) an amount equal to the greatest 

19 of— 

20 ‘‘(I) $400,000; 

‘‘(II) 1 21 ⁄5 percent of the current 

22 valuation of the fund; or 

23 ‘‘(III) 6 percent of all grant 

24 awards to the fund under this title for 

25 a fiscal year; and 

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1 ‘‘(ii) the amount of any fees collected 

2 by the State for that purpose, regardless of 

3 the source; and 

4 ‘‘(B) as a source of revenue (restricted 

5 solely to interest earnings of the fund) or secu6 rity for payment of the principal and interest 

7 on revenue or general obligation bonds issued 

8 by the State to provide matching funds under 

9 section 602(b)(2), if the proceeds of the sale of 

10 the bonds will be deposited in the fund.’’; and 

11 (3) by inserting after subsection (d) the fol12 lowing: 

13 ‘‘(e) ADDITIONAL ASSISTANCE FOR DISADVANTAGED

14 COMMUNITIES.— 

15 ‘‘(1) DEFINITION OF DISADVANTAGED COMMU16 NITY.—In this subsection, the term ‘disadvantaged 

17 community’ means a community with a service area, 

18 or portion of a service area, of a treatment works 

19 that meets affordability criteria established after 

20 public review and comment by the State in which the 

21 treatment works is located. 

22 ‘‘(2) LOAN SUBSIDY.—Notwithstanding any 

23 other provision of this section, subject to paragraph 

24 (5), in a case in which the State makes a loan from 

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1 cordance with subsection (c) to a disadvantaged 

2 community or a community that the State expects to 

3 become a disadvantaged community as the result of 

4 a proposed project, the State may provide additional 

5 subsidization, including— 

6 ‘‘(A) the forgiveness of all or a portion of 

7 the principal of the loan; and 

8 ‘‘(B) a negative interest rate on the loan. 

9 ‘‘(3) TOTAL AMOUNT OF SUBSIDIES.—For each 

10 fiscal year, the total amount of loan subsidies made 

11 by the State pursuant to this subsection may not ex12 ceed 30 percent of the amount of the capitalization 

13 grant received by the State for the fiscal year. 

14 ‘‘(4) INFORMATION.—The Administrator may 

15 publish information to assist States in establishing 

16 affordability criteria described in paragraph (1). 

17 ‘‘(f) COST-SAVING WATER TREATMENT AND EFFI18 CIENCY IMPROVEMENTS.— 

19 ‘‘(1) IN GENERAL.—Subject to subsection 

20 (e)(3), in providing a loan for a project under this 

21 section, a State may forgive repayment of a portion 

22 of the loan amount up to the percentage of the 

23 project that is devoted to alternative approaches to 

24 wastewater and stormwater controls (including non25 structural methods), such as projects that treat or 

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1 minimize sewage or urban stormwater discharges 

2 using— 

3 ‘‘(A) decentralized or distributed 

4 stormwater controls; 

5 ‘‘(B) advanced decentralized wastewater 

6 treatment; 

7 ‘‘(C) low-impact development technologies 

8 and nonstructural approaches; 

9 ‘‘(D) stream buffers; 

10 ‘‘(E) wetland restoration and enhance11 ment; 

12 ‘‘(F) actions to minimize the quantity of 

13 and direct connections to impervious surfaces; 

14 ‘‘(G) soil and vegetation, or other per15 meable materials; 

16 ‘‘(H) actions that increase efficient water 

17 use, water conservation, or water reuse; or 

18 ‘‘(I) actions that increase energy efficiency 

19 or reduce energy consumption at a treatment 

20 works. 

21 ‘‘(2) TREATMENT OF LOAN FORGIVENESS.— 

22 The amount of loan forgiveness provided by a State 

23 under this subsection shall be— 

24 ‘‘(A) credited to each State; and 

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1 ‘‘(B) deducted from the total amount of 

2 State capitalization grants for which matching 

3 funds are required from the State under section 

4 602(b)(2).’’. 

5 (b) CONFORMING AMENDMENT.—Section 221(d) of 

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

7 1301(d)) is amended in the second sentence by striking 

8 ‘‘603(h)’’ and inserting ‘‘603(j)’’. 

9 SEC. 104. WATER POLLUTION CONTROL REVOLVING LOAN 

10 FUNDS. 

11 Section 603 of the Federal Water Pollution Control 

12 Act (33 U.S.C. 1383) is amended by striking subsection 

13 (i) (as redesignated by section 103(a)(1)) and inserting 

14 the following: 

15 ‘‘(i) PRIORITY SYSTEM REQUIREMENT.— 

16 ‘‘(1) DEFINITIONS.—In this subsection: 

17 ‘‘(A) RESTRUCTURING.—The term ‘re18 structuring’ means— 

19 ‘‘(i) the consolidation of management 

20 functions or ownership with another facil21 ity; or 

22 ‘‘(ii) the formation of cooperative 

23 partnerships. 

24 ‘‘(B) TRADITIONAL WASTEWATER AP25 PROACH.—The term ‘traditional wastewater apmstockstill on DSKH9S0YB1PROD with BILLS

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1 proach’ means a managed system used to col2 lect and treat wastewater from an entire service 

3 area consisting of— 

4 ‘‘(i) collection sewers; 

5 ‘‘(ii) a centralized treatment plant 

6 using biological, physical, or chemical 

7 treatment processes; and 

8 ‘‘(iii) a direct point source discharge 

9 to surface water. 

10 ‘‘(2) PRIORITY SYSTEM.—In providing financial 

11 assistance from the water pollution control revolving 

12 fund of the State, the State shall establish a priority 

13 system that— 

14 ‘‘(A) takes into consideration appropriate 

15 chemical, physical, and biological data relating 

16 to water quality that the State considers rea17 sonably available and of sufficient quality; 

18 ‘‘(B) ensures that projects undertaken with 

19 assistance under this title are designed to 

20 achieve, as determined by the State, the opti21 mum water quality management, consistent 

22 with the public health and water quality goals 

23 and requirements of this Act; 

24 ‘‘(C) provides for public notice and oppor25 tunity to comment on the establishment of the 

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1 priority system and the summary under sub2 paragraph (D); and 

3 ‘‘(D) provides for the publication, not less 

4 than biennially in summary form, of a descrip5 tion of projects in the State that are eligible for 

6 assistance under this title that indicates— 

7 ‘‘(i) the priority assigned to each 

8 project under the priority system of the 

9 State; and 

10 ‘‘(ii) the funding schedule for each 

11 project, to the extent the information is 

12 available. 

13 ‘‘(3) WEIGHT GIVEN TO APPLICATIONS.—After 

14 determining project priorities under subparagraph 

15 (2), the State shall give greater weight to an appli16 cation for assistance if the application includes such 

17 information as the State determines to be necessary 

18 and contains— 

19 ‘‘(A) a description of utility management 

20 best practices undertaken by a treatment works 

21 applying for assistance, including— 

22 ‘‘(i) an inventory of assets, including 

23 a description of the condition of those as24 sets; 

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1 ‘‘(ii) a schedule for replacement of the 

2 assets; 

3 ‘‘(iii) a financing plan that factors in 

4 all lifecycle costs indicating sources of rev5 enue from ratepayers, grants, bonds, other 

6 loans, and other sources to meet the costs; 

7 and 

8 ‘‘(iv) a review of options for restruc9 turing the treatment works; 

10 ‘‘(B) approaches other than a traditional 

11 wastewater approach that treat or minimize 

12 sewage or urban stormwater discharges using— 

13 ‘‘(i) decentralized or distributed 

14 stormwater controls; 

15 ‘‘(ii) advanced decentralized waste16 water treatment; 

17 ‘‘(iii) low-impact development tech18 nologies and nonstructural approaches; 

19 ‘‘(iv) stream buffers; 

20 ‘‘(v) wetland restoration and enhance21 ment; 

22 ‘‘(vi) actions to minimize the quantity 

23 of and direct connections to impervious 

24 surfaces; 

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1 ‘‘(vii) soil and vegetation, or other 

2 permeable materials; 

3 ‘‘(viii) actions that increase efficient 

4 water use, water conservation, or water 

5 reuse; or 

6 ‘‘(ix) actions that increase energy effi7 ciency or reduce energy consumption at a 

8 treatment works; 

9 ‘‘(C) a demonstration of consistency with 

10 State, regional, and municipal watershed plans, 

11 water conservation and efficiency plans, or inte12 grated water resource management plans; 

13 ‘‘(D) a proposal by the applicant dem14 onstrating flexibility through alternative means 

15 to carry out responsibilities under Federal regu16 lations, that may include watershed permitting 

17 and other innovative management approaches, 

18 while achieving results that— 

19 ‘‘(i) the State, in the case of a permit 

20 program approved under section 402, de21 termines will meet permit requirements; or 

22 ‘‘(ii) the Administrator determines are 

23 measurably superior, as compared to regu24 latory standards; or 

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1 ‘‘(E) projects that address adverse environ2 mental conditions.’’. 

3 SEC. 105. TRANSFERABILITY OF FUNDS. 

4 Section 603 of the Federal Water Pollution Control 

5 Act (33 U.S.C. 1383) (as amended by section 103(a)(1)) 

6 is amended by adding at the end the following: 

7 ‘‘(k) TRANSFER OF FUNDS.— 

8 ‘‘(1) IN GENERAL.—The Governor of a State 

9 may— 

10 ‘‘(A)(i) reserve not more than the greater 

11 of— 

12 ‘‘(I) 33 percent of a capitalization 

13 grant made under this title; or 

14 ‘‘(II) 33 percent of a capitalization 

15 grant made under section 1452 of the Safe 

16 Drinking Water Act (42 U.S.C. 300j–12); 

17 and 

18 ‘‘(ii) add the reserved funds to any funds 

19 provided to the State under section 1452 of the 

20 Safe Drinking Water Act (42 U.S.C. 300j–12); 

21 and 

22 ‘‘(B)(i) reserve for any year an amount 

23 that does not exceed the amount that may be 

24 reserved under subparagraph (A) for that year 

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1 from capitalization grants made under section 

2 1452 of that Act (42 U.S.C. 300j–12); and 

3 ‘‘(ii) add the reserved funds to any funds 

4 provided to the State under this title. 

5 ‘‘(2) STATE MATCH.—Funds reserved under 

6 this subsection shall not be considered to be a State 

7 contribution for a capitalization grant required 

8 under this title or section 1452(b) of the Safe 

9 Drinking Water Act (42 U.S.C. 300j–12(b)).’’. 

10 SEC. 106. NONCOMPLIANCE. 

11 Section 603 of the Federal Water Pollution Control 

12 Act (33 U.S.C. 1383) (as amended by section 105) is 

13 amended by adding at the end the following: 

14 ‘‘(l) NONCOMPLIANCE.— 

15 ‘‘(1) IN GENERAL.—Except as provided in para16 graph (2), no assistance (other than assistance that 

17 is to be used by a treatment works solely for plan18 ning, design, or security purposes) shall be provided 

19 under this title to the owner or operator of a treat20 ment works that has been in significant noncompli21 ance with any requirement of this Act for any of the 

22 4 quarters during the preceding 8 quarters, unless 

23 the treatment works is in compliance with an en24 forceable administrative order to effect compliance 

25 with the requirement. 

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1 ‘‘(2) EXCEPTION.—An owner or operator of a 

2 treatment works that is determined under paragraph 

3 (1) to be in significant noncompliance with a re4 quirement described in that paragraph may receive 

5 assistance under this title if the Administrator and 

6 the State providing the assistance determine that— 

7 ‘‘(A) the entity conducting the enforcement 

8 action on which the determination of significant 

9 noncompliance is based has determined that the 

10 use of assistance would enable the owner or op11 erator of the treatment works to take corrective 

12 action toward resolving the violations; or 

13 ‘‘(B) the entity conducting the enforcement 

14 action on which the determination of significant 

15 noncompliance is based has determined that the 

16 assistance would be used by the owner or oper17 ator of the treatment works in order to assist 

18 owners and operators in making progress to19 wards compliance.’’. 

20 SEC. 107. NEGOTIATION OF CONTRACTS. 

21 Section 603 of the Federal Water Pollution Control 

22 Act (33 U.S.C. 1383) (as amended by section 106) is 

23 amended by adding at the end the following: 

24 ‘‘(m) NEGOTIATION OF CONTRACTS.— 

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1 ‘‘(1) IN GENERAL.—A contract to be carried 

2 out using funds directly made available by a capital3 ization grant under this section for program man4 agement, construction management, feasibility stud5 ies, preliminary engineering, design, engineering, 

6 surveying, mapping, or architectural or related serv7 ices shall be negotiated in the same manner as— 

8 ‘‘(A) a contract for architectural and engi9 neering services is negotiated under chapter 11 

10 of title 40, United States Code; or 

11 ‘‘(B) an equivalent State qualifications12 based requirement (as determined by the Gov13 ernor of the State). 

14 ‘‘(2) EXEMPTION FOR SMALL COMMUNITIES.— 

15 Paragraph (1) shall not apply to a contract de16 scribed in that paragraph for program management, 

17 construction management, feasibility studies, pre18 liminary engineering, design, engineering, surveying, 

19 mapping, or architectural or related services for a 

20 community of 10,000 or fewer individuals.’’. 

21 SEC. 108. ALLOTMENT OF FUNDS. 

22 Section 604 of the Federal Water Pollution Control 

23 Act (33 U.S.C. 1384) is amended by striking subsections 

24 (a) and (b) and inserting the following: 

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1 ‘‘(a) IN GENERAL.—Amounts authorized to be appro2 priated to carry out this section for each of fiscal years 

3 2010 through 2014 shall be allotted among States by the 

4 Administrator in accordance with the percentages speci5 fied in the following table: 

‘‘State Percentage 

Alabama .......................................................................................... 0.012860

Alaska ............................................................................................. 0.007500

Arizona ............................................................................................ 0.010247

Arkansas ......................................................................................... 0.007500

California ........................................................................................ 0.079629

Colorado .......................................................................................... 0.010164

Connecticut ..................................................................................... 0.014150

Delaware ......................................................................................... 0.007500

District of Columbia ....................................................................... 0.005000

Florida ............................................................................................ 0.044139

Georgia ............................................................................................ 0.012825

Hawaii ............................................................................................. 0.008048

Idaho ............................................................................................... 0.007500

Illinois ............................................................................................. 0.048540

Indiana ............................................................................................ 0.024633

Iowa ................................................................................................ 0.010266

Kansas ............................................................................................ 0.009129

Kentucky ......................................................................................... 0.012025

Louisiana ........................................................................................ 0.013465

Maine .............................................................................................. 0.007829

Maryland ......................................................................................... 0.025129

Massachusetts ................................................................................. 0.025754

Michigan ......................................................................................... 0.033487

Minnesota ....................................................................................... 0.020385

Mississippi ....................................................................................... 0.009112

Missouri .......................................................................................... 0.028037

Montana .......................................................................................... 0.007500

Nebraska ......................................................................................... 0.008023

Nevada ............................................................................................ 0.007500

New Hampshire .............................................................................. 0.007500

New Jersey ..................................................................................... 0.046117

New Mexico ..................................................................................... 0.007500

New York ........................................................................................ 0.103531

North Carolina ................................................................................ 0.019007

North Dakota ................................................................................. 0.007500

Ohio ................................................................................................ 0.054722

Oklahoma ........................................................................................ 0.008171

Oregon ............................................................................................ 0.012456

Pennsylvania ................................................................................... 0.041484

Rhode Island ................................................................................... 0.007500

South Carolina ................................................................................ 0.007500

South Dakota .................................................................................. 0.007500

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‘‘State Percentage 

Tennessee ........................................................................................ 0.011019

Texas ............................................................................................... 0.037664

Utah ................................................................................................ 0.007500

Vermont .......................................................................................... 0.007500

Virginia ........................................................................................... 0.020698

Washington ..................................................................................... 0.017588

West Virginia .................................................................................. 0.011825

Wisconsin ........................................................................................ 0.022844

Wyoming ......................................................................................... 0.007500

Puerto Rico ..................................................................................... 0.005000

Territories ....................................................................................... 0.002500. 

1 ‘‘(b) RESERVATION OF FUNDS.— 

2 ‘‘(1) PLANNING.—Each State may reserve for 

3 each fiscal year to carry out planning under sections 

4 205(j) and 303(e) an amount equal to the greater 

5 of— 

6 ‘‘(A) 2 percent of the sums allotted to the 

7 State under this section for the fiscal year; or 

8 ‘‘(B) $100,000. 

9 ‘‘(2) INDIAN TRIBES.—Of the total amount of 

10 funds allotted to the State under this section for a 

11 fiscal year, 1.5 percent shall be allocated to Indian 

12 tribes (as defined in section 518(h)). 

13 ‘‘(3) OPERATOR TRAINING.—Of the total 

14 amount of funds made available to carry out this 

15 title, for fiscal year 2009 and each fiscal year there16 after, the Administrator may reserve not more than 

17 $5,000,000 to carry out the objectives described in 

18 section 104(g).’’. 

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1 SEC. 109. AUTHORIZATION OF APPROPRIATIONS. 

2 The Federal Water Pollution Control Act is amended 

3 by striking section 607 (33 U.S.C. 1387) and inserting 

4 the following: 

5 ‘‘SEC. 607. AUTHORIZATION OF APPROPRIATIONS. 

6 ‘‘(a) IN GENERAL.—There are authorized to be ap7 propriated to carry out this title— 

8 ‘‘(1) $3,200,000,000 for each of fiscal years 

9 2010 and 2011; 

10 ‘‘(2) $3,600,000,000 for fiscal year 2012; 

11 ‘‘(3) $4,000,000,000 for fiscal year 2013; and 

12 ‘‘(4) $6,000,000,000 for fiscal year 2014. 

13 ‘‘(b) AVAILABILITY.—Amounts made available under 

14 this section shall remain available until expended. 

15 ‘‘(c) RESERVATION FOR NEEDS SURVEYS.—Of the 

16 amount made available under subsection (a) to carry out 

17 this title for a fiscal year, the Administrator may reserve 

18 not more than $1,000,000 for the fiscal year, to remain 

19 available until expended, to pay the costs of conducting 

20 needs surveys under section 516(b)(1)(B).’’. 

21 SEC. 110. SEWER OVERFLOW CONTROL GRANTS. 

22 (a) SEWER OVERFLOW CONTROL GRANTS.—Section 

23 221 of the Federal Water Pollution Control Act (33 

24 U.S.C. 1301) is amended— 

25 (1) in subsection (a), by striking ‘‘IN GEN26 ERAL’’ and all that follows through ‘‘(2) subject to 

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1 subsection (g), the Administrator may’’ and insert2 ing the following: 

3 ‘‘(a) IN GENERAL.—The Administrator may— 

4 ‘‘(1) make grants to States for the purpose of 

5 providing grants to a municipality or municipal enti6 ty for planning, design, and construction of treat7 ment works to intercept, transport, control, or treat 

8 municipal combined sewer overflows and sanitary 

9 sewer overflows; and 

10 ‘‘(2) subject to subsection (g),’’; and 

11 (2) by striking subsections (e) through (g) and 

12 inserting the following: 

13 ‘‘(e) ADMINISTRATIVE REQUIREMENTS.— 

14 ‘‘(1) IN GENERAL.—Subject to paragraph (2), a 

15 project that receives grant assistance under sub16 section (a) shall be carried out subject to the same 

17 requirements as a project that receives assistance 

18 from a State water pollution control revolving fund 

19 established pursuant to title VI. 

20 ‘‘(2) DETERMINATION OF GOVERNOR.—The re21 quirement described in paragraph (1) shall not apply 

22 to a project that receives grant assistance under 

23 subsection (a) to the extent that the Governor of the 

24 State in which the project is located determines that 

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1 a requirement described in title VI is inconsistent 

2 with the purposes of this section. 

3 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There 

4 are authorized to be appropriated to carry out this section, 

5 to remain available until expended— 

6 ‘‘(1) $250,000,000 for fiscal year 2010; 

7 ‘‘(2) $300,000,000 for fiscal year 2011; 

8 ‘‘(3) $350,000,000 for fiscal year 2012; 

9 ‘‘(4) $400,000,000 for fiscal year 2013; and 

10 ‘‘(5) $500,000,000 for fiscal year 2014. 

11 ‘‘(g) ALLOCATION OF FUNDS.— 

12 ‘‘(1) FISCAL YEAR 2010 AND 2011.—For each of 

13 fiscal years 2010 and 2011, subject to subsection 

14 (h), the Administrator shall use the amounts made 

15 available to carry out this section to provide grants 

16 to municipalities and municipal entities under sub17 section (a)(2)— 

18 ‘‘(A) in accordance with the priority cri19 teria described in subsection (b); and 

20 ‘‘(B) with additional priority given to pro21 posed projects that involve the use of— 

22 ‘‘(i) nonstructural, low-impact devel23 opment; 

24 ‘‘(ii) water conservation, efficiency, or 

25 reuse; or 

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1 ‘‘(iii) other decentralized stormwater 

2 or wastewater approaches to minimize 

3 flows into the sewer systems. 

4 ‘‘(2) FISCAL YEAR 2012 AND THEREAFTER.— 

5 For fiscal year 2012 and each fiscal year thereafter, 

6 subject to subsection (h), the Administrator shall 

7 use the amounts made available to carry out this 

8 section to provide grants to States under subsection 

9 (a)(1) in accordance with a formula that— 

10 ‘‘(A) shall be established by the Adminis11 trator, after providing notice and an oppor12 tunity for public comment; and 

13 ‘‘(B) allocates to each State a proportional 

14 share of the amounts based on the total needs 

15 of the State for municipal combined sewer over16 flow controls and sanitary sewer overflow con17 trols, as identified in the most recent survey— 

18 ‘‘(i) conducted under section 210; and 

19 ‘‘(ii) included in a report required 

20 under section 516(b)(1)(B).’’. 

21 (b) REPORTS.—Section 221(i) of the Federal Water 

22 Pollution Control Act (33 U.S.C. 1301(i)) is amended in 

23 the first sentence by striking ‘‘2003’’ and inserting 

24 ‘‘2011’’. 

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1 SEC. 111. CRITICAL WATER INFRASTRUCTURE PROJECTS. 

2 (a) ESTABLISHMENT.—The Administrator shall es3 tablish a program under which grants are provided to eli4 gible entities for use in carrying out projects and activities 

5 the primary purpose of which is watershed restoration 

6 through the protection or improvement of water quality. 

7 (b) PROJECT SELECTION.— 

8 (1) IN GENERAL.—The Administrator may pro9 vide funds under this section to an eligible entity to 

10 carry out an eligible project described in paragraph 

11 (3). 

12 (2) EQUITABLE DISTRIBUTION.—The Adminis13 trator shall ensure an equitable distribution of 

14 projects under this section, taking into account cost 

15 and number of requests for each category listed in 

16 paragraph (3). 

17 (3) ELIGIBLE PROJECTS.—A project that is eli18 gible to be carried out using funds provided under 

19 this section may include projects that are included 

20 in the intended use plan of the State developed in 

21 accordance with section 606(c) of the Federal Water 

22 Pollution Control Act (33 U.S.C. 1386(c)). 

23 (c) LOCAL PARTICIPATION.—In prioritizing projects 

24 for implementation under this section, the Administrator 

25 shall consult with, and consider the priorities of— 

26 (1) affected State and local governments; and 

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1 (2) public and private entities that are active in 

2 watershed planning and restoration. 

3 (d) Before carrying out any project under this sec4 tion, the Administrator shall enter into an agreement with 

5 1 or more non-Federal interests that shall require the non6 Federal interests— 

7 (1) to pay 45 percent of the total costs of the 

8 project, which may include services, materials, sup9 plies, or other in-kind contributions; 

10 (2) to provide any land, easements, rights-of11 way, and relocations necessary to carry out the 

12 project; and 

13 (3) to pay 100 percent of any operation, main14 tenance, repair, replacement, and rehabilitation costs 

15 associated with the project. 

16 (e) WAIVER.—The Administrator may waive the re17 quirement to pay the non-Federal share of the cost of car18 rying out an eligible activity using funds from a grant pro19 vided under this section if the Administrator determines 

20 that an eligible entity is unable to pay, or would experience 

21 significant financial hardship if required to pay, the non22 Federal share. 

23 (f) AUTHORIZATION OF APPROPRIATIONS.—There is 

24 authorized to be appropriated to carry out this section 

25 $50,000,000 for each of fiscal years 2010 through 2014. 

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1 TITLE II—SAFE DRINKING 

2 WATER INFRASTRUCTURE 

3 SEC. 201. DRINKING WATER TECHNICAL ASSISTANCE FOR 

4 COMMUNITIES. 

5 Section 1442(e) of the Safe Drinking Water Act (42 

6 U.S.C. 300j–1(e)) is amended— 

7 (1) in the first sentence, by striking ‘‘The Ad8 ministrator may provide’’ and inserting the fol9 lowing: 

10 ‘‘(1) PUBLIC WATER SYSTEMS.—The Adminis11 trator may provide’’; 

12 (2) in the second sentence, by striking ‘‘Such 

13 assistance’’ and inserting the following: 

14 ‘‘(2) TYPES OF ASSISTANCE.—Such assist15 ance’’; 

16 (3) in the third sentence, by striking ‘‘The Ad17 ministrator shall ensure’’ and inserting the fol18 lowing: 

19 ‘‘(3) AVAILABILITY.—The Administrator shall 

20 ensure’’; 

21 (4) in the fourth sentence, by striking ‘‘Each 

22 nonprofit’’ and inserting the following: 

23 ‘‘(4) REQUIREMENT APPLICABLE TO NON24 PROFIT ORGANIZATIONS.—Each nonprofit’’; and 

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1 (5) by striking the fifth sentence and all that 

2 follows and inserting the following: 

3 ‘‘(5) PRIORITY.—In providing grants under this 

4 section, the Administrator shall give priority to small 

5 systems organizations that, as determined by the 

6 Administrator, in consultation with the State, are 

7 qualified and will be the most effective at assisting 

8 small systems. 

9 ‘‘(6) WELLS AND WELL SYSTEMS.— 

10 ‘‘(A) IN GENERAL.—The Administrator 

11 shall provide grants to nonprofit organizations 

12 to provide technical assistance to communities 

13 and individuals regarding the design, operation, 

14 construction, and maintenance of household 

15 wells and small shared well systems that pro16 vide drinking water. 

17 ‘‘(B) FORM OF ASSISTANCE.—Technical 

18 assistance referred to in subparagraph (A) may 

19 include— 

20 ‘‘(i) training and education; 

21 ‘‘(ii) operation of a hotline; and 

22 ‘‘(iii) the conduct of other activities 

23 relating to the design and construction of 

24 household, shared, and small water well 

25 systems in rural areas. 

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1 ‘‘(C) PRIORITY.—Subject to paragraph 

2 (5), in providing grants under this section, the 

3 Administrator shall give priority to applicants 

4 that, as determined by the Administrator— 

5 ‘‘(i) are qualified; and 

6 ‘‘(ii) have demonstrated experience in 

7 providing similar technical assistance and 

8 in developing similar projects. 

9 ‘‘(D) AUTHORIZATION OF APPROPRIA10 TIONS.—There is authorized to be appropriated 

11 to carry out this paragraph— 

12 ‘‘(i) $7,000,000 for fiscal year 2010; 

13 and 

14 ‘‘(ii) $7,500,000 for each of fiscal 

15 years 2011 through 2014. 

16 ‘‘(7) FUNDING.— 

17 ‘‘(A) AUTHORIZATION OF APPROPRIA18 TIONS.—There is authorized to be appropriated 

19 to the Administrator to carry out this sub20 section (other than paragraph (6)) $35,000,000 

21 for each of fiscal years 2010 through 2014. 

22 ‘‘(B) LOBBYING EXPENSES.—No portion 

23 of any State loan fund established under section 

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1 able under this subsection may be used for lob2 bying expenses. 

3 ‘‘(C) INDIAN TRIBES.—Of the total 

4 amount made available under this section for 

5 each fiscal year, 3 percent shall be used for 

6 technical assistance to public water systems 

7 owned or operated by Indian Tribes.’’. 

8 SEC. 202. PRECONSTRUCTION WORK. 

9 Section 1452(a)(2) of the Safe Drinking Water Act 

10 (42 U.S.C. 300j–12(a)(2)) is amended— 

11 (1) by designating the first, second, third, 

12 fourth, and fifth sentences as subparagraphs (A), 

13 (B), (D), (E), and (F), respectively; 

14 (2) in subparagraph (B) (as designated by 

15 paragraph (1))— 

16 (A) by striking ‘‘(not’’ and inserting ‘‘(in17 cluding expenditures for planning, design, and 

18 associated preconstruction activities, including 

19 activities relating to the siting of the facility, 

20 but not’’; and 

21 (B) by inserting before the period at the 

22 end the following: ‘‘or to replace or rehabilitate 

23 aging treatment, storage, or distribution facili24 ties of public water systems or provide for cap25 ital projects (excluding any expenditure for opmstockstill on DSKH9S0YB1PROD with BILLS

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1 erations and maintenance) to upgrade the secu2 rity of public water systems’’; and 

3 (3) by inserting after subparagraph (B) (as 

4 designated by paragraph (1)) the following: 

5 ‘‘(C) SALE OF BONDS.—Funds may also 

6 be used by a public water system as a source 

7 of revenue (restricted solely to interest earnings 

8 of the applicable State loan fund) or security 

9 for payment of the principal and interest on 

10 revenue or general obligation bonds issued by 

11 the State to provide matching funds under sub12 section (e), if the proceeds of the sale of the 

13 bonds will be deposited in the State loan 

14 fund.’’. 

15 SEC. 203. PRIORITY SYSTEM REQUIREMENTS. 

16 Section 1452(b)(3) of the Safe Drinking Water Act 

17 (42 U.S.C. 300j–12(b)(3)) is amended— 

18 (1) by redesignating subparagraph (B) as sub19 paragraph (D); 

20 (2) by striking subparagraph (A) and inserting 

21 the following: 

22 ‘‘(A) DEFINITION OF RESTRUCTURING.— 

23 In this paragraph, the term ‘restructuring’ 

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1 ment, consolidation, and alternative water sup2 ply). 

3 ‘‘(B) PRIORITY SYSTEM.—An intended use 

4 plan shall provide, to the maximum extent prac5 ticable, that priority for the use of funds be 

6 given to projects that— 

7 ‘‘(i) address the most serious risk to 

8 human health; 

9 ‘‘(ii) are necessary to ensure compli10 ance with this title (including requirements 

11 for filtration); 

12 ‘‘(iii) assist systems most in need on 

13 a per-household basis according to State 

14 affordability criteria; and 

15 ‘‘(iv) improve the sustainability of sys16 tems. 

17 ‘‘(C) WEIGHT GIVEN TO APPLICATIONS.— 

18 After determining project priorities under sub19 paragraph (B), an intended use plan shall pro20 vide that the State shall give greater weight to 

21 an application for assistance by a community 

22 water system if the application includes such in23 formation as the State determines to be nec24 essary and contains— 

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1 ‘‘(i) an inventory of assets, including 

2 a description of the condition of the assets; 

3 ‘‘(ii) a schedule for replacement of as4 sets; 

5 ‘‘(iii) a financing plan that factors in 

6 all lifecycle costs indicating sources of rev7 enue from ratepayers, grants, bonds, other 

8 loans, and other sources to meet the costs; 

9 ‘‘(iv) a review of options for restruc10 turing the public water system; 

11 ‘‘(v) demonstration of consistency 

12 with State, regional, and municipal water13 shed plans; 

14 ‘‘(vi) a water conservation plan con15 sistent with guidelines developed for those 

16 plans by the Administrator under section 

17 1455(a); and 

18 ‘‘(vii) approaches to improve the sus19 tainability of the system, including— 

20 ‘‘(I) water efficiency or conserva21 tion; 

22 ‘‘(II) use of reclaimed water; and 

23 ‘‘(III) actions to increase energy 

24 efficiency.’’; and 

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1 (3) in subparagraph (D) (as redesignated by 

2 paragraph (1)), by striking ‘‘periodically’’ and in3 serting ‘‘at least biennially’’. 

4 SEC. 204. AFFORDABILITY. 

5 Section 1452(d)(3) of the Safe Drinking Water Act 

6 (42 U.S.C. 300j–12(d)(3)) is amended in the first sen7 tence by inserting ‘‘, or portion of a service area,’’ after 

8 ‘‘service area’’. 

9 SEC. 205. SAFE DRINKING WATER REVOLVING LOAN 

10 FUNDS. 

11 Section 1452(g) of the Safe Drinking Water Act (42 

12 U.S.C. 300j–12(g)) is amended— 

13 (1) paragraph (2)— 

14 (A) in the first sentence, by striking ‘‘4’’ 

15 and inserting ‘‘6’’; and 

16 (B) by striking ‘‘1419,’’ and all that fol17 lows through ‘‘1993.’’ and inserting ‘‘1419.’’; 

18 and 

19 (2) by adding at the end the following: 

20 ‘‘(5) TRANSFER OF FUNDS.— 

21 ‘‘(A) IN GENERAL.—The Governor of a 

22 State may— 

23 ‘‘(i)(I) reserve not more than the 

24 greater of— 

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1 ‘‘(aa) 33 percent of a capitaliza2 tion grant made under this section; or 

3 ‘‘(bb) 33 percent of a capitaliza4 tion grant made under section 601 of 

5 the Federal Water Pollution Control 

6 Act (33 U.S.C. 1381); 

7 ‘‘(II) add the funds reserved to any 

8 funds provided to the State under section 

9 601 of the Federal Water Pollution Con10 trol Act (33 U.S.C. 1381); and 

11 ‘‘(ii)(I) reserve for any fiscal year an 

12 amount that does not exceed the amount 

13 that may be reserved under clause (i)(I) 

14 for that year from capitalization grants 

15 made under section 601 of that Act (33 

16 U.S.C. 1381); and 

17 ‘‘(II) add the reserved funds to any 

18 funds provided to the State under this sec19 tion. 

20 ‘‘(B) STATE MATCH.—Funds reserved 

21 under this paragraph shall not be considered to 

22 be a State match of a capitalization grant re23 quired under this section or section 602(b) of 

24 the Federal Water Pollution Control Act (33 

25 U.S.C. 1382(b)).’’. 

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1 SEC. 206. OTHER AUTHORIZED ACTIVITIES. 

2 Section 1452(k)(2)(D) of the Safe Drinking Water 

3 Act (42 U.S.C. 300j–12(k)(2)(D)) is amended by inserting 

4 before the period at the end the following: ‘‘(including im5 plementation of source water protection plans)’’. 

6 SEC. 207. AUTHORIZATION OF APPROPRIATIONS. 

7 Section 1452 of the Safe Drinking Water Act (42 

8 U.S.C. 300j–12) is amended by striking subsection (m) 

9 and inserting the following: 

10 ‘‘(m) AUTHORIZATION OF APPROPRIATIONS.— 

11 ‘‘(1) IN GENERAL.—There are authorized to be 

12 appropriated to carry out this section— 

13 ‘‘(A) $1,500,000,000 for fiscal year 2010; 

14 ‘‘(B) $2,000,000,000 for each of fiscal 

15 years 2011 and 2012; 

16 ‘‘(C) $3,200,000,000 for fiscal year 2013; 

17 and 

18 ‘‘(D) $6,000,000,000 for fiscal year 2014. 

19 ‘‘(2) AVAILABILITY.—Amounts made available 

20 under this subsection shall remain available until ex21 pended. 

22 ‘‘(3) RESERVATION FOR NEEDS SURVEYS.—Of 

23 the amount made available under paragraph (1) to 

24 carry out this section for a fiscal year, the Adminis25 trator may reserve not more than $1,000,000 per 

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1 year to pay the costs of conducting needs surveys 

2 under subsection (h).’’. 

3 SEC. 208. NEGOTIATION OF CONTRACTS. 

4 Section 1452 of the Safe Drinking Water Act (42 

5 U.S.C. 300j–12) is amended by adding at the end the fol6 lowing: 

7 ‘‘(s) NEGOTIATION OF CONTRACTS.— 

8 ‘‘(1) IN GENERAL.—A contract to be carried 

9 out using funds directly made available by a capital10 ization grant under this section for program man11 agement, construction management, feasibility stud12 ies, preliminary engineering, design, engineering, 

13 surveying, mapping, or architectural or related serv14 ices shall be negotiated in the same manner as— 

15 ‘‘(A) a contract for architectural and engi16 neering services is negotiated under chapter 11 

17 of title 40, United States Code; or 

18 ‘‘(B) an equivalent State qualifications19 based requirement (as determined by the Gov20 ernor of the State). 

21 ‘‘(2) EXEMPTION FOR SMALL COMMUNITIES.— 

22 Paragraph (1) shall not apply to a contract de23 scribed in that paragraph for program management, 

24 construction management, feasibility studies, pre25 liminary engineering, design, engineering, surveying, 

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1 mapping, or architectural or related services for a 

2 community of 10,000 or fewer individuals.’’. 

3 SEC. 209. CRITICAL DRINKING WATER INFRASTRUCTURE 

4 PROJECTS. 

5 (a) ESTABLISHMENT.—Not later than 180 days after 

6 the date of enactment of this Act, the Administrator shall 

7 establish a program under which grants are provided to 

8 eligible entities for use in carrying out projects and activi9 ties the primary purpose of which is to assist community 

10 water systems in meeting the requirements of the Safe 

11 Drinking Water Act (42 U.S.C. 300f et seq.). 

12 (b) PROJECT SELECTION.—A project that is eligible 

13 to be carried out using funds provided under this section 

14 may include projects that— 

15 (1) develop alternative water sources; 

16 (2) provide assistance to small systems; or 

17 (3) assist a community water system— 

18 (A) to comply with a national primary 

19 drinking water regulation; or 

20 (B) to mitigate groundwater contamina21 tion, including saltwater intrusion. 

22 (c) ELIGIBLE ENTITIES.—An entity eligible to re23 ceive a grant under this section is— 

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1 (1) a community water system as defined in 

2 section 1401 of the Safe Drinking Water Act (42 

3 U.S.C. 300f); or 

4 (2) a system that is located in an area governed 

5 by an Indian Tribe (as defined in section 1401 of 

6 the Safe Drinking Water Act (42 U.S.C. 300f)); 

7 (d) PRIORITY.—In prioritizing projects for implemen8 tation under this section, the Administrator shall give pri9 ority to community water systems that— 

10 (1) serve a community that, under affordability 

11 criteria established by the State under section 

12 1452(d)(3) of the Safe Drinking Water Act (42 

13 U.S.C. 300j–12), is determined by the State to be— 

14 (A) a disadvantaged community; or 

15 (B) a community that may become a dis16 advantaged community as a result of carrying 

17 out an eligible activity; or 

18 (2) serve a community with a population of less 

19 than 10,000 individuals. 

20 (e) LOCAL PARTICIPATION.—In prioritizing projects 

21 for implementation under this section, the Administrator 

22 shall consult with, and consider the priorities of, affected 

23 States, Indian Tribes, and local governments. 

24 (f) COST SHARING.—Before carrying out any project 

25 under this section, the Administrator shall enter into a 

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1 binding agreement with 1 or more non-Federal interests 

2 that shall require the non-Federal interests— 

3 (1) to pay 45 percent of the total costs of the 

4 project, which may include services, materials, sup5 plies, or other in-kind contributions; 

6 (2) to provide any land, easements, rights-of7 way, and relocations necessary to carry out the 

8 project; and 

9 (3) to pay 100 percent of any operation, main10 tenance, repair, replacement, and rehabilitation costs 

11 associated with the project. 

12 (g) WAIVER.—The Administrator may waive the re13 quirement to pay the non-Federal share of the cost of car14 rying out an eligible activity using funds from a grant pro15 vided under this section if the Administrator determines 

16 that an eligible entity is unable to pay, or would experience 

17 significant financial hardship if required to pay, the non18 Federal share. 

19 (h) AUTHORIZATION OF APPROPRIATIONS.—There is 

20 authorized to be appropriated to carry out this section— 

21 (1) $230,000,000 for fiscal year 2010; and 

22 (2) $300,000,000 for each of fiscal years 2011 

23 through 2014. 

24 SEC. 210. REDUCING LEAD IN DRINKING WATER. 

25 (a) DEFINITIONS.—In this section: 

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1 (1) ELIGIBLE ENTITY.—The term ‘‘eligible enti2 ty’’ means— 

3 (A) a community water system (as defined 

4 in section 1401 of the Safe Drinking Water Act 

5 (42 U.S.C. 300f)); 

6 (B) a system located in an area governed 

7 by an Indian Tribe (as defined in that section); 

8 (C) a nontransient noncommunity water 

9 system; 

10 (D) a qualified nonprofit organization, as 

11 determined by the Administrator; and 

12 (E) a municipality or State, interstate, or 

13 intermunicipal agency. 

14 (2) LEAD REDUCTION PROJECT.—The term 

15 ‘‘lead reduction project’’ means a project or activity 

16 the primary purpose of which is to reduce the level 

17 of lead in water for human consumption by— 

18 (A) replacement of publicly owned lead 

19 service lines; 

20 (B) capital costs, testing, planning, or 

21 other relevant activities, as determined by the 

22 Administrator, to identify and address condi23 tions (including corrosion control) that con24 tribute to increased lead levels in water for 

25 human consumption; 

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1 (C) assistance to low-income homeowners 

2 to replace privately owned service lines, pipes, 

3 fittings, or fixtures that contain lead; and 

4 (D) education of consumers regarding 

5 measures to reduce exposure to lead from 

6 drinking water or other sources. 

7 (3) LOW-INCOME.—The term ‘‘low-income’’, 

8 with respect to an individual provided assistance 

9 under this section, has such meaning as may be 

10 given the term by the head of the municipality or 

11 State, interstate, or intermunicipal agency with ju12 risdiction over the area to which assistance is pro13 vided. 

14 (4) MUNICIPALITY.—The term ‘‘municipality’’ 

15 means— 

16 (A) a city, town, borough, county, parish, 

17 district, association, or other public entity es18 tablished by, or pursuant to, applicable State 

19 law; and 

20 (B) an Indian tribe (as defined in section 

21 4 of the Indian Self-Determination and Edu22 cation Assistance Act (25 U.S.C. 450b)). 

23 (b) GRANT PROGRAM.— 

24 (1) ESTABLISHMENT.—Not later than 180 days 

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1 trator shall establish a grant program to provide as2 sistance to eligible entities for lead reduction 

3 projects in the United States. 

4 (2) EVALUATION.—In providing assistance 

5 under this section, the Administrator shall evalu6 ate— 

7 (A) whether an eligible entity applying for 

8 assistance has taken steps to identify the source 

9 of lead in water for human consumption; and 

10 (B) the means by which the proposed lead 

11 reduction project would reduce lead levels in the 

12 applicable water system. 

13 (3) PRIORITY APPLICATION.—In providing 

14 grants under this subsection, the Administrator shall 

15 give priority to an eligible entity that— 

16 (A) carries out a lead reduction project at 

17 a public water system or nontransient non18 community water system that has exceeded the 

19 lead action level established by the Adminis20 trator at any time during the 3-year period pre21 ceding the date of submission of the application 

22 of the eligible entity; 

23 (B) addresses lead levels in water for 

24 human consumption at a school, daycare, or 

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1 other facility that primarily serves children or 

2 another vulnerable human subpopulation; or 

3 (C) addresses such priority criteria as the 

4 Administrator may establish, consistent with 

5 the goal of reducing lead levels of concern. 

6 (4) COST SHARING.— 

7 (A) IN GENERAL.—Subject to subpara8 graph (B), the non-Federal share of the total 

9 cost of a project funded by a grant under this 

10 subsection shall be not less than 20 percent. 

11 (B) WAIVER.—The Administrator may re12 duce or eliminate the non-Federal share under 

13 subparagraph (A) for reasons of affordability, 

14 as the Administrator determines to be appro15 priate. 

16 (5) LOW-INCOME ASSISTANCE.— 

17 (A) IN GENERAL.—Subject to subpara18 graphs (B) and (C), an eligible entity may use 

19 a grant provided under this subsection to pro20 vide assistance to low-income homeowners to 

21 carry out lead reduction projects. 

22 (B) LOW-INCOME ASSISTANCE CAP.—Of 

23 the funds made available to carry out this sec24 tion, not more than $5,000,000 may be allo25 cated to provide assistance to low-income homemstockstill on DSKH9S0YB1PROD with BILLS

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1 owners under this paragraph for any fiscal 

2 year. 

3 (C) LIMITATION.—The amount of a grant 

4 provided to a low-income homeowner under this 

5 paragraph shall not exceed $5,000. 

6 (6) SPECIAL CONSIDERATION FOR LEAD SERV7 ICE LINE REPLACEMENT.—In carrying out lead serv8 ice line replacement using a grant under this sub9 section, an eligible entity shall— 

10 (A) notify customers of the replacement of 

11 any publicly owned portion of the lead service 

12 line; 

13 (B) offer to replace the privately owned 

14 portion of the lead service line at the cost of re15 placement; 

16 (C) recommend measures to avoid exposure 

17 to short-term increases in lead levels following 

18 a partial lead service line replacement; and 

19 (D) demonstrate that the eligible entity 

20 has considered multiple options for reducing 

21 lead in drinking water, including an evaluation 

22 of options for corrosion control. 

23 (c) AUTHORIZATION OF APPROPRIATIONS.—There is 

24 authorized to be appropriated to carry out this section 

25 $60,000,000 for each of fiscal years 2010 through 2014. 

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1 TITLE III—MISCELLANEOUS 

2 SEC. 301. DEFINITION OF ACADEMY. 

3 In this title, the term ‘‘Academy’’ means the National 

4 Academy of Sciences. 

5 SEC. 302. PROGRAM FOR WATER QUALITY ENHANCEMENT 

6 AND MANAGEMENT. 

7 (a) INNOVATIVE TECHNOLOGY AND ALTERNATIVE

8 APPROACHES GRANT PROGRAM.— 

9 (1) IN GENERAL.—Not later than 2 years after 

10 the date of enactment of this Act, the Administrator 

11 shall establish a program to provide grants to, and 

12 enter into contracts and cooperative agreements 

13 with, research institutions, institutions of higher 

14 education, National Laboratories, and other appro15 priate entities (including consortia of such institu16 tions and entities), through a competitive process, in 

17 accordance with the plan developed under subsection 

18 (b), for research regarding, and development of the 

19 use of, innovative and alternative technologies to im20 prove water quality, drinking water supply, or water 

21 use efficiency and conservation. 

22 (2) TYPES OF PROJECTS.—In carrying out this 

23 subsection, the Administrator may select projects re24 lating to such matters as innovative or alternative 

25 technologies, approaches, practices, or methods— 

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1 (A) to increase the effectiveness and effi2 ciency of water and wastewater infrastructure 

3 through the use of integrated water resource 

4 management; 

5 (B) to increase the effectiveness and effi6 ciency of public water systems, including— 

7 (i) source water protection; 

8 (ii) water use reduction; 

9 (iii) water collection, storage, and 

10 treatment and reuse of rainwater, 

11 stormwater, and graywater; 

12 (iv) identification of behavioral, social, 

13 and economic barriers to achieving greater 

14 water use efficiency; 

15 (v) use of watershed planning directed 

16 toward water quality, conservation, and 

17 supply; 

18 (vi) actions to reduce energy con19 sumption; 

20 (vii) water treatment; 

21 (viii) water distribution and waste22 water collection systems; 

23 (ix) desalination; and 

24 (x) water security; 

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1 (C) to encourage the use of innovative or 

2 alternative technologies or approaches relating 

3 to water supply or availability; 

4 (D) to increase the effectiveness and effi5 ciency of new and existing treatment works, in6 cluding— 

7 (i) methods of collecting, treating, dis8 persing, reusing, reclaiming, and recycling 

9 wastewater; 

10 (ii) system design; 

11 (iii) nonstructural alternatives; 

12 (iv) decentralized approaches; 

13 (v) stormwater and wastewater reuse; 

14 (vi) water use efficiency and conserva15 tion; 

16 (vii) actions to reduce energy con17 sumption; 

18 (viii) technologies to extract energy 

19 from wastewater; and 

20 (ix) wastewater security; 

21 (E) to increase the effectiveness and effi22 ciency of municipal separate storm sewer sys23 tems and combined sewer systems, including 

24 through the use of soil and vegetation or other 

25 permeable materials; 

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1 (F) to promote new water treatment tech2 nologies and management approaches, including 

3 commercialization and dissemination strategies 

4 for adoption of innovative water, wastewater, 

5 and stormwater technologies and management 

6 approaches or low-impact development tech7 nologies in the homebuilding industry; or 

8 (G) to maintain a clearinghouse of tech9 nologies and management approaches developed 

10 under this subsection and subsections (c) and 

11 (d) at a research consortium or institute or 

12 other appropriate organization, as determined 

13 by the Administrator. 

14 (3) FACTORS FOR CONSIDERATION.—In plan15 ning and implementing the program under this sub16 section, the Administrator shall take into consider17 ation— 

18 (A) research needs identified by water re19 source managers, State and local governments, 

20 and other interested parties; and 

21 (B) technologies and processes likely to 

22 achieve the greatest increases in water quality, 

23 drinking water supply, or water use efficiency 

24 and conservation. 

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1 (4) MINORITY-SERVING INSTITUTIONS.—In car2 rying out the program under this subsection, the Ad3 ministrator— 

4 (A) may provide extramural grants to in5 stitutions of higher education; and 

6 (B) shall encourage participation by minor7 ity-serving institutions. 

8 (b) STRATEGIC RESEARCH PLAN.— 

9 (1) IN GENERAL.—Not later than 180 days 

10 after the date of enactment of this Act, the Adminis11 trator, in coordination with the heads of other ap12 propriate Federal departments and agencies, shall 

13 develop a strategic research plan for the grant pro14 gram under subsection (a). 

15 (2) REQUIREMENTS.— 

16 (A) COORDINATION.—The plan under 

17 paragraph (1) shall be carried out, to the max18 imum extent practicable, in coordination with 

19 other research and development strategic plans 

20 of the Environmental Protection Agency. 

21 (B) CONTENTS.—The plan under para22 graph (1) shall— 

23 (i) describe, in outline form, research 

24 goals and priorities relating to an agenda 

25 of water quality, drinking water supply, 

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1 and water use efficiency and conservation, 

2 including— 

3 (I) developing innovative water 

4 supply-enhancing processes and tech5 nologies; 

6 (II) improving existing processes 

7 and technologies, including waste8 water treatment, desalination, and 

9 groundwater recharge and recovery 

10 schemes; 

11 (III) improving the effectiveness 

12 and efficiency of nontraditional waste13 water treatment practices, including 

14 nonstructural alternatives, low-impact 

15 development techniques, and decen16 tralized approaches; and 

17 (IV) exploring concepts that ex18 tract energy from wastewater; 

19 (ii)(I) identify current Federal water20 related research efforts directed toward 

21 achieving the goals of improving water 

22 quality, water use efficiency, or water con23 servation or expanding water supply; and 

24 (II) describe the means by which 

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1 gram established under subsection (a) in 

2 order to leverage resources and avoid du3 plication; 

4 (iii) take into consideration the public 

5 health and environmental quality impacts 

6 and cost-effectiveness of each relevant 

7 technology and approach; and 

8 (iv) take into consideration and incor9 porate, as appropriate, recommendations 

10 contained in reports and studies conducted 

11 by Federal departments and agencies, the 

12 National Research Council, the National 

13 Science and Technology Council, and other 

14 appropriate entities. 

15 (3) SCIENCE ADVISORY BOARD REVIEW.—The 

16 Administrator shall submit the plan under para17 graph (1) to the Science Advisory Board of the En18 vironmental Protection Agency for review. 

19 (4) REVISIONS.—The plan under paragraph (1) 

20 shall be revised and amended as necessary to reflect 

21 updated scientific findings and national research pri22 orities. 

23 (c) MUNICIPALITIES GRANT PROGRAM.— 

24 (1) DEFINITION OF MUNICIPALITY.—In this 

25 subsection, the term ‘‘municipality’’ means— 

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1 (A) a city, town, borough, county, parish, 

2 district, association, authority, or other public 

3 entity established by, or pursuant to, State law; 

4 or 

5 (B) an Indian tribe (as defined in section 

6 4 of the Indian Self-Determination and Edu7 cation Assistance Act (25 U.S.C. 450b)). 

8 (2) ESTABLISHMENT.—Not later than 90 days 

9 after the date of publication of the initial report 

10 under subsection (e)(2), the Administrator shall es11 tablish a nationwide demonstration grant program— 

12 (A) to promote innovations in technology 

13 and alternative approaches to water quality 

14 management or water supply developed under 

15 subsection (a); and 

16 (B) to reduce costs to municipalities in17 curred in complying with the Federal Water 

18 Pollution Control Act (33 U.S.C. 1251 et seq.) 

19 and the Safe Drinking Water Act (42 U.S.C. 

20 300f et seq.) through the approaches and tech21 nologies developed under subsection (a). 

22 (3) SCOPE.—The demonstration grant program 

23 shall consist of up to 10 projects each year, to be 

24 carried out in municipalities selected by the Admin25 istrator under paragraph (5). 

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1 (4) APPLICATIONS.—A municipality that seeks 

2 to participate in the demonstration grant program 

3 established under this subsection shall submit to the 

4 Administrator a plan that— 

5 (A) is developed in coordination with— 

6 (i) the agencies of the State having 

7 jurisdiction over water quality and water 

8 supply matters; and 

9 (ii) interested stakeholders, including 

10 institutions of higher education and related 

11 research institutions; 

12 (B) describes water impacts specific to 

13 urban or rural areas; 

14 (C) includes a strategy under which the 

15 municipality, through participation in the dem16 onstration grant program, could effectively— 

17 (i) address water quality or water 

18 supply problems; and 

19 (ii) achieve the water quality goals 

20 that— 

21 (I) could be achieved using more 

22 traditional methods; and 

23 (II) are required under the Fed24 eral Water Pollution Control Act (33 

25 U.S.C. 1251 et seq.) or the Safe 

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1 Drinking Water Act (42 U.S.C. 300f 

2 et seq.); and 

3 (D) includes a schedule for achieving the 

4 water quality, water supply, or water use effi5 ciency and conservation goals of the munici6 pality. 

7 (5) CATEGORIES OF PROJECTS.— 

8 (A) IN GENERAL.—In carrying out the 

9 demonstration grant program, the Adminis10 trator shall provide grants for— 

11 (i) projects relating to water supply, 

12 water quality, or water use efficiency and 

13 conservation matters described in sub14 section (a)(2); and 

15 (ii) subject to subparagraph (B), not 

16 less than 2 projects for the incorporation 

17 into a building of the most current water 

18 use efficiency and conservation tech19 nologies and designs. 

20 (B) PROJECTS FOR INCORPORATION.— 

21 (i) INCREMENTAL COST LIMITA22 TION.—A grant provided under subpara23 graph (A)(ii) may be used only to pay the 

24 incremental costs of incorporation into a 

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1 building of a water use efficiency and con2 servation technology or design. 

3 (ii) TYPES OF BUILDINGS.—Of the 

4 projects for which grants are provided 

5 under subparagraph (A)(ii)— 

6 (I) at least 1 shall be for a resi7 dential building; and 

8 (II) at least 1 shall be for a com9 mercial building. 

10 (iii) PUBLIC AVAILABILITY.—The de11 sign of each building for which a grant is 

12 provided under subparagraph (A)(ii) shall 

13 be made available to the public, and each 

14 such building shall be accessible to the 

15 public for tours and educational purposes. 

16 (6) RESPONSIBILITIES OF ADMINISTRATOR.—In 

17 providing grants for projects under this subsection, 

18 the Administrator shall— 

19 (A) ensure, to the maximum extent prac20 ticable, that— 

21 (i) the demonstration grant program 

22 under this subsection includes a variety of 

23 projects with respect to— 

24 (I) geographical distribution; 

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1 (II) innovative technologies used 

2 for the projects; and 

3 (III) nontraditional approaches 

4 (including low-impact development 

5 technologies) used for the projects; 

6 and 

7 (ii) each category of project described 

8 in paragraph (5) is adequately represented; 

9 (B) give higher priority to projects that— 

10 (i) address multiple problems; and 

11 (ii) are regionally applicable; 

12 (C) ensure, to the maximum extent prac13 ticable, that at least 1 community having a pop14 ulation of 10,000 or fewer individuals receives 

15 a grant for each fiscal year; and 

16 (D) ensure that, for each fiscal year, no 

17 municipality receives more than 25 percent of 

18 the total amount of funds made available for 

19 the fiscal year to provide grants under this sub20 section. 

21 (7) COST SHARING.— 

22 (A) IN GENERAL.—Except as provided in 

23 subparagraph (B), the non-Federal share of the 

24 total cost of a project funded by a grant under 

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1 this subsection shall be not less than 20 per2 cent. 

3 (B) WAIVER.—The Administrator may re4 duce or eliminate the non-Federal share of the 

5 cost of a project for reasons of affordability. 

6 (d) INCORPORATION OF RESULTS AND INFORMA7 TION.— 

8 (1) TECHNOLOGY TRANSFER.—The Adminis9 trator, taking into consideration the results of the 

10 projects carried out using grants under subsections 

11 (a) and (c), shall— 

12 (A) facilitate the adoption of technologies 

13 and processes to promote increased water qual14 ity, drinking water supply, and water use effi15 ciency and conservation; and 

16 (B) collect and disseminate information, 

17 including through the establishment of a pub18 licly accessible clearinghouse, regarding those 

19 technologies and processes, including informa20 tion on— 

21 (i) incentives and impediments to de22 velopment and commercialization; 

23 (ii) best practices; and 

24 (iii) anticipated increases in water 

25 quality, drinking water supply, and water 

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1 use efficiency and conservation resulting 

2 from the implementation of specific tech3 nologies and processes. 

4 (2) INCORPORATION OF RESULTS AND INFOR5 MATION.—To the maximum extent practicable, the 

6 Administrator shall incorporate the results of, and 

7 information obtained from, successful projects under 

8 this section into other programs administered by the 

9 Administrator. 

10 (e) REPORTS.— 

11 (1) REPORTS FROM GRANT RECIPIENTS.—A re12 cipient of a grant under this section shall submit to 

13 the Administrator, on the date of completion of a 

14 project of the recipient and on each of the dates that 

15 is 1, 2, and 3 years after that date, a report that 

16 describes the effectiveness of the project. 

17 (2) REPORTS TO CONGRESS.—Not later than 2 

18 years after the date of enactment of this Act, and 

19 not less frequently than once every 2 years there20 after, the Administrator shall submit to the Com21 mittee on Environment and Public Works of the 

22 Senate and the Committees on Transportation and 

23 Infrastructure and Energy and Commerce of the 

24 House of Representatives a report describing— 

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1 (A) the findings of each recipient of a 

2 grant under subsection (a) with respect to the 

3 identification of any potential new technology or 

4 management approach developed by the recipi5 ent; and 

6 (B) the status and results of the grant 

7 program under subsection (c). 

8 (f) WATER MANAGEMENT STUDY AND REPORT.— 

9 (1) DEFINITIONS.—In this subsection: 

10 (A) LOW-IMPACT APPROACH.—The term 

11 ‘‘low-impact approach’’ means a strategy that 

12 manages rainfall at the source using decentral13 ized microscale controls to mimic the 

14 predevelopment hydrology of the relevant site 

15 by using a design technique that infiltrates, fil16 ters, stores, evaporates, and detains runoff close 

17 to the source. 

18 (B) SOFT PATH APPROACH.—The term 

19 ‘‘soft path approach’’ means a general frame20 work that encompasses— 

21 (i) increased efficiency of water use; 

22 (ii) integration of water supply, waste23 water treatment, and stormwater manage24 ment systems; and 

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1 (iii) protection, restoration, and effec2 tive use of the natural capacities of eco3 systems to provide clean water. 

4 (2) STUDY.— 

5 (A) IN GENERAL.—Not later than 60 days 

6 after the date of enactment of this Act, the Ad7 ministrator shall enter into an arrangement 

8 with the National Academy of Sciences under 

9 which the Academy shall conduct a study, by 

10 not later than 2 years after that date, of inno11 vative, effective, and systematic approaches for 

12 the management of water supply, wastewater, 

13 and stormwater. 

14 (B) CONTENTS.—The study shall— 

15 (i) be based on and enhance, to the 

16 maximum extent practicable, relevant stud17 ies previously conducted by the Academy; 

18 (ii) focus in particular on soft-path 

19 approaches and low-impact approaches to 

20 the management described in subpara21 graph (A); 

22 (iii) take into consideration the costs 

23 of each approach analyzed by the study; 

24 (iv) examine and compare the state of 

25 research, technology development, and 

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1 emerging practices in other developed and 

2 developing countries with those in the 

3 United States; 

4 (v) identify and evaluate relevant sys5 tem approaches for comprehensive water 

6 management, including the interrelation7 ship of water systems with other major 

8 systems, such as energy and transportation 

9 systems; 

10 (vi) identify priority research and de11 velopment needs; and 

12 (vii) assess implementation needs and 

13 barriers. 

14 (C) AUTHORIZATION OF APPROPRIA15 TIONS.—There is authorized to be appropriated 

16 to carry out this paragraph $1,000,000 for the 

17 period of fiscal years 2010 through 2012. 

18 (3) REPORT.— 

19 (A) IN GENERAL.—Not later than 3 years 

20 after the date of enactment of this Act, the Ad21 ministrator shall submit to the Committee on 

22 Environment and Public Works of the Senate 

23 and the Committee on Science and Technology 

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1 scribing the key findings of the study under 

2 paragraph (2). 

3 (B) INCLUSIONS.—The report under sub4 paragraph (A) shall include— 

5 (i) an evaluation of relevant chal6 lenges and opportunities; and 

7 (ii) recommendations for innovative 

8 and integrated solutions for use as a prac9 tical reference by water managers, plan10 ners, developers, scientists, engineers, non11 governmental organizations, Federal de12 partments and agencies, and regulators. 

13 (g) AUTHORIZATION OF APPROPRIATIONS.—There is 

14 authorized to be appropriated to carry out this section 

15 $40,000,000 for each of fiscal years 2010 through 2014. 

16 SEC. 303. AGRICULTURAL WATERSHED SUSTAINABILITY 

17 TECHNOLOGY GRANT PROGRAM. 

18 (a) DEFINITIONS.—In this section: 

19 (1) AGRICULTURAL COMMODITY.—The term 

20 ‘‘agricultural commodity’’ means— 

21 (A) agricultural, horticultural, viticultural, 

22 and dairy products; 

23 (B) livestock and the products of livestock; 

24 (C) the products of poultry and bee rais25 ing; 

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1 (D) the products of forestry; and 

2 (E) other commodities raised or produced 

3 on agricultural sites, as determined to be appro4 priate by the Secretary of Agriculture. 

5 (2) AGRICULTURAL PROJECT.—The term ‘‘agri6 cultural project’’ means an agricultural watershed 

7 sustainability technology pilot project that, as deter8 mined by the Administrator— 

9 (A) is carried out at an agricultural site; 

10 (B)(i) achieves demonstrable improvements 

11 in water quality that meet or exceed those man12 dated by statutory or regulatory requirements; 

13 or 

14 (ii) improves water use efficiency; and 

15 (C) will not substantially adversely affect 

16 agricultural commodity production, yield, profit17 ability, or any other long-term environmental 

18 medium, including air and groundwater re19 sources. 

20 (3) AGRICULTURAL SITE.—The term ‘‘agricul21 tural site’’ means a farming or ranching operation of 

22 a producer in the United States. 

23 (4) PRODUCER.—The term ‘‘producer’’ means 

24 any person or group of persons (including an irriga25 tion district and a drainage district) engaged in the 

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1 production and sale of an agricultural commodity 

2 that owns, or shares the ownership and risk of loss 

3 of, the agricultural commodity. 

4 (5) REVOLVING FUND.—The term ‘‘revolving 

5 fund’’ means an agricultural watershed sustain6 ability technology revolving fund— 

7 (A) that is established by a State using 

8 amounts provided under subsection (b)(1); 

9 (B) that is maintained and credited with 

10 repayments; and 

11 (C) the balance of which shall be available 

12 in perpetuity for providing financial assistance. 

13 (b) GRANTS FOR AGRICULTURAL STATE REVOLVING

14 FUNDS.— 

15 (1) IN GENERAL.—As soon as practicable after 

16 the date of enactment of this section, the Adminis17 trator shall provide to each eligible State described 

18 in paragraph (2) 1 or more capitalization grants, 

19 that cumulatively equal no more than $1,000,000 

20 per State, for use in establishing, within an agency 

21 of the State having jurisdiction over agriculture or 

22 environmental quality, an agricultural watershed 

23 sustainability technology revolving fund. 

24 (2) ELIGIBLE STATES.—An eligible State re25 ferred to in paragraph (1) is a State that agrees, 

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1 prior to receipt of a capitalization grant under para2 graph (1)— 

3 (A) to establish, and deposit the funds 

4 from the grant in, a revolving fund; 

5 (B) to provide, at a minimum, a State 

6 share in an amount equal to 20 percent of the 

7 capitalization grant; 

8 (C) to use amounts in the revolving fund 

9 to make loans to producers in accordance with 

10 subsection (c); and 

11 (D) to return amounts in the revolving 

12 fund if no loan applications are granted within 

13 2 years of the receipt of the initial capitaliza14 tion grant. 

15 (c) LOANS TO PRODUCERS.— 

16 (1) USE OF FUNDS.—A State that establishes 

17 a revolving fund under subsection (b)(2) shall use 

18 amounts in the revolving fund to provide loans to 

19 producers for use in designing and constructing ag20 ricultural projects. 

21 (2) MAXIMUM AMOUNT OF LOAN.—The amount 

22 of a loan made to a producer using funds from a re23 volving fund shall not exceed $250,000, in the ag24 gregate, for all agricultural projects serving an agri25 cultural site of the producer. 

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1 (3) CONDITIONS ON LOANS.—A loan made to a 

2 producer using funds from a revolving fund shall— 

3 (A) have an interest rate that is not more 

4 than the market interest rate, including an in5 terest-free loan; and 

6 (B) be repaid to the revolving fund not 

7 later than 20 years after the date on which 

8 funds are initially disbursed. 

9 (d) REQUIREMENTS FOR PRODUCERS.— 

10 (1) IN GENERAL.—A producer that seeks to re11 ceive a loan from a revolving fund shall— 

12 (A) submit to the State within the jurisdic13 tion of which the agricultural site of the pro14 ducer is located an application that— 

15 (i) contains such information as the 

16 State may require; and 

17 (ii) demonstrates, to the satisfaction 

18 of the State, that each project proposed to 

19 be carried out with funds from the loan is 

20 an agricultural project; and 

21 (B) agree to expend all funds from a loan 

22 in an expeditious and timely manner, as deter23 mined by the State. 

24 (2) MAXIMUM PERCENTAGE OF AGRICULTURAL

25 PROJECT COST.—Subject to subsection (c)(2), a promstockstill on DSKH9S0YB1PROD with BILLS

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1 ducer that receives a loan from a revolving fund may 

2 use funds from the loan to pay up to 100 percent 

3 of the cost of carrying out an agricultural project. 

4 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

5 authorized to be appropriated to carry out this section 

6 $50,000,000. 

7 SEC. 304. STATE REVOLVING FUND REVIEW PROCESS. 

8 As soon as practicable after the date of enactment 

9 of this Act, the Administrator shall— 

10 (1) consult with States, utilities, nonprofit orga11 nizations, and other Federal agencies providing fi12 nancial assistance to identify ways to expedite and 

13 improve the application and review process, for the 

14 provision of assistance from— 

15 (A) the State water pollution control re16 volving funds established under title VI of the 

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

18 1381 et seq.); and 

19 (B) the State drinking water treatment re20 volving loan funds established under section 

21 1452 of the Safe Drinking Water Act (42 

22 U.S.C. 300j–12); 

23 (2) in carrying out this section, the Adminis24 trator shall consider the needs of small treatment 

25 works (as defined by section 222 of the Federal 

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1 Water Pollution Control Act and small public water 

2 systems (as described in section 1433(d) of the Safe 

3 Drinking Water Act (42 U.S.C. 300i–2(d)); 

4 (3) take such administrative action as is nec5 essary to expedite and improve the process as the 

6 Administrator has authority to take under existing 

7 law; 

8 (4) collect information relating to innovative ap9 proaches taken by any State to simplify the applica10 tion process of the State, and provide the informa11 tion to each State; and 

12 (5) submit to Congress a report that, based on 

13 the information identified under paragraph (1), con14 tains recommendations for legislation to facilitate 

15 further streamlining and improvement of the proc16 ess. 

17 SEC. 305. COST OF SERVICE STUDY. 

18 (a) IN GENERAL.—Not later than 2 years after the 

19 date of enactment of this Act, the Administrator shall 

20 enter an arrangement with the Academy under which the 

21 Academy shall complete and provide to the Administrator 

22 the results of a study of the means by which public water 

23 systems and treatment works selected by the Academy in 

24 accordance with subsection (c) meet the costs associated 

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1 with operations, maintenance, capital replacement, and 

2 regulatory requirements. 

3 (b) REQUIRED ELEMENTS.— 

4 (1) AFFORDABILITY.—The study shall, at a 

5 minimum— 

6 (A) determine whether the rates at public 

7 water systems and treatment works for commu8 nities included in the study were established 

9 using a full-cost pricing model; 

10 (B) if a full-cost pricing model was not 

11 used, identify any incentive rate systems that 

12 have been successful in significantly reducing— 

13 (i) per capita water demand; 

14 (ii) the volume of wastewater flows; 

15 (iii) the volume of stormwater runoff; 

16 or 

17 (iv) the quantity of pollution gen18 erated by stormwater; 

19 (C) identify a set of best industry practices 

20 that public water systems and treatment works 

21 may use in establishing a rate structure that— 

22 (i) adequately addresses the true cost 

23 of services provided to consumers by public 

24 water systems and treatment works, in25 cluding infrastructure replacement; 

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1 (ii) encourages water conservation; 

2 and 

3 (iii) takes into consideration the needs 

4 of disadvantaged individuals and commu5 nities, as identified by the Administrator; 

6 (D) identify existing standards for afford7 ability and the manner in which those stand8 ards are determined and defined; 

9 (E) determine the manner in which afford10 ability varies with respect to communities of 

11 different sizes and in different regions; and 

12 (F) determine the extent to which afford13 ability affects the decision of a community to 

14 increase public water system and treatment 

15 works rates (including the decision relating to 

16 the percentage by which those rates should be 

17 increased). 

18 (2) DISADVANTAGED COMMUNITIES.—The 

19 study shall, at a minimum— 

20 (A) survey a cross-section of States rep21 resenting different sizes, demographics, and 

22 geographical regions; 

23 (B) describe, for each State described in 

24 subparagraph (A), the definition of ‘‘disadvan25 taged community’’ used in the State in carrying 

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1 out projects and activities under the Safe 

2 Drinking Water Act (42 U.S.C. 300f et seq.); 

3 (C) review other means of identifying the 

4 meaning of the term ‘‘disadvantaged’’, as that 

5 term applies to communities; 

6 (D) determine which factors and character7 istics are required for a community to be con8 sidered ‘‘disadvantaged’’; and 

9 (E) evaluate the degree to which factors 

10 such as a reduction in the tax base over a pe11 riod of time, a reduction in population, the loss 

12 of an industrial base, and the existence of areas 

13 of concentrated poverty are taken into account 

14 in determining whether a community is a dis15 advantaged community. 

16 (c) SELECTION OF COMMUNITIES.—The Academy 

17 shall select communities, the public water system and 

18 treatment works rate structures of which are to be studied 

19 under this section, that include a cross-section of commu20 nities representing various populations, income levels, de21 mographics, and geographical regions. 

22 (d) USE OF RESULTS OF STUDY.—On receipt of the 

23 results of the study, the Administrator shall— 

24 (1) submit the study to Congress; 

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1 (2) submit a report that describes the results of 

2 the study; and 

3 (3) make the results available to treatment 

4 works and public water systems for use by the pub5 licly owned treatment works and public water sys6 tems, on a voluntary basis, in determining whether 

7 1 or more new approaches may be implemented at 

8 facilities of the publicly owned treatment works and 

9 public water systems. 

10 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

11 authorized to be appropriated to carry out this section 

12 $1,000,000 for each of fiscal years 2010 and 2014. 

13 SEC. 306. EFFECTIVE UTILITY MANAGEMENT STRATEGIES. 

14 (a) DEFINITIONS.—In this section: 

15 (1) EFFECTIVE UTILITY MANAGEMENT STRAT16 EGY.—The term ‘‘effective utility management strat17 egy’’ means a strategy for the operation and man18 agement of a utility that, as determined by the Ad19 ministrator, incorporates the following attributes: 

20 (A) Product quality. 

21 (B) Stakeholder understanding and sup22 port. 

23 (C) Customer satisfaction. 

24 (D) Employee development. 

25 (E) Operational optimization. 

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1 (F) Financial viability. 

2 (G) Infrastructure stability. 

3 (H) Operational resiliency. 

4 (I) Community sustainability. 

5 (J) Water resource adequacy. 

6 (2) UTILITY.—The term ‘‘utility’’ means— 

7 (A) a treatment works (as defined in sec8 tion 212 of the Federal Water Pollution Control 

9 Act (33 U.S.C. 1292)); and 

10 (B) a public water system (as defined in 

11 section 1401 of the Safe Drinking Water Act 

12 (42 U.S.C. 300f)). 

13 (b) ACTION BY ADMINISTRATOR.—The Adminis14 trator may carry out training programs, provide technical 

15 assistance, and disseminate information regarding effec16 tive utility management strategies, including by— 

17 (1) providing seminars and workshops (includ18 ing electronic-based seminars and workshops), con19 ferences, and other educational programs and devel20 oping curricula to advance effective utility manage21 ment strategies; 

22 (2) offering support and advice (including fi23 nancial, operational, and management advice) to 

24 utility operators and managers regarding effective 

25 utility management strategies; and 

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1 (3) publishing and disseminating manuals on 

2 best management practices and other relevant infor3 mation, success stories, and lessons learned relating 

4 to effective utility management strategies. 

5 (c) PARTNER ORGANIZATIONS.—In carrying out sub6 section (b), the Administrator may enter into cooperative 

7 agreements, as the Administrator determines to be appro8 priate, with— 

9 (1) stakeholder associations; 

10 (2) qualified nonprofit organizations; and 

11 (3) other relevant organizations, as determined 

12 by the Administrator. 

13 (d) AUTHORIZATION OF APPROPRIATIONS.—There is 

14 authorized to be appropriated to carry out this section 

15 $1,000,000 for each of fiscal years 2010 through 2014. 

16 SEC. 307. WATERSENSE PROGRAM. 

17 (a) ESTABLISHMENT.—There is established within 

18 the Environmental Protection Agency a program, to be 

19 known as the ‘‘WaterSense Program’’, to identify and pro20 mote voluntary approaches to increase water efficiency in 

21 the United States to reduce the strain on water and waste22 water infrastructure and conserve water resources for fu23 ture generations through voluntary labeling, promotion, or 

24 other forms of communication regarding water efficient 

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1 cilities, and services that meet the highest water conserva2 tion and performance standards. 

3 (b) ADMINISTRATION.—The WaterSense Program 

4 shall be carried out by the Administrator. 

5 (c) DUTIES.—In carrying out the WaterSense Pro6 gram, the Administrator shall— 

7 (1) establish— 

8 (A) a WaterSense label to be used for cer9 tain items; and 

10 (B) the procedure by which an item may 

11 be certified to display the WaterSense label; 

12 (2) promote products displaying the 

13 WaterSense label as the preferred technologies in 

14 the market place for— 

15 (A) reducing water use; and 

16 (B) ensuring product performance; 

17 (3) work to enhance public awareness of the 

18 WaterSense label; 

19 (4) preserve the integrity of the WaterSense 

20 label by— 

21 (A) developing specifications to ensure reli22 able performance of WaterSense-labeled prod23 ucts, buildings, landscapes, and services; 

24 (B) overseeing WaterSense certifications 

25 made by third parties; 

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1 (C) conducting reviews of the use of the 

2 WaterSense label in the marketplace and taking 

3 corrective action in any case in which misuse of 

4 the label is identified; and 

5 (D) carrying out such other measures as 

6 the Administrator determines to be appropriate; 

7 (5) regularly research and update WaterSense 

8 product criteria for each applicable category of prod9 ucts; 

10 (6) solicit comments from interested parties be11 fore establishing or revising a WaterSense product 

12 category, specification, or criterion (or before the ef13 fective date for any such product category, specifica14 tion, or criterion, as applicable); 

15 (7) on adoption of a new or revised product cat16 egory, specification, or criterion, provide reasonable 

17 notice to interested parties regarding— 

18 (A) any change (including a change of ef19 fective date) to the product category, specifica20 tion, or criterion; 

21 (B) an explanation of the change; and 

22 (C) as appropriate, responses to comments 

23 submitted by interested parties regarding the 

24 product category, specification, or criterion; 

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1 (8) provide appropriate lead time, as deter2 mined by the Administrator, before the applicable ef3 fective date for a new or significant revision to a 

4 product category, specification, or criterion, taking 

5 into account the timing requirements of the manu6 facturing, product marketing, and distribution proc7 ess for the specific product, programs, processes, 

8 buildings, landscapes, facilities, or services ad9 dressed; and 

10 (9) identify and, where appropriate, implement 

11 other voluntary approaches in commercial, institu12 tional, and industrial sectors to improve water effi13 ciency. 

14 (d) ANNUAL REPORTS.—Not less frequently than 

15 once each year, the Administrator shall prepare and make 

16 publicly available a report describing the activities carried 

17 out under this section, including, to the maximum extent 

18 practicable— 

19 (1) available information regarding sales in 

20 each WaterSense product category; and 

21 (2) the savings of water, energy, and capital 

22 costs of water, wastewater, and stormwater infra23 structure attributable to the WaterSense program 

24 and each category of WaterSense product, expressed 

25 on a national, regional, State, and watershed level. 

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1 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

2 authorized to be appropriated to carry out this section— 

3 (1) $5,000,000 for each of fiscal years 2010 

4 and 2011; 

5 (2) $7,500,000 for each of fiscal years 2012 

6 and 2013; and 

7 (3) $10,000,000 for fiscal year 2014. 

8 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

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

10 ‘‘Water Infrastructure Financing Act’’. 

11 (b) TABLE OF CONTENTS.—The table of contents of this 

12 Act is as follows: 

Sec. 1. Short title; table of contents. 

Sec. 2. Definition of Administrator. 

TITLE I—WATER POLLUTION INFRASTRUCTURE 

Sec. 101. Technical assistance for rural small treatment works and medium treatment works. 

Sec. 102. Preservation of employee labor standards. 

Sec. 103. Projects eligible for assistance. 

Sec. 104. Affordability. 

Sec. 105. Water pollution control revolving loan funds. 

Sec. 106. Transferability of funds. 

Sec. 107. Noncompliance. 

Sec. 108. Negotiation of contracts. 

Sec. 109. Allotment of funds. 

Sec. 110. Authorization of appropriations. 

Sec. 111. Sewer overflow control grants. 

Sec. 112. Critical water infrastructure projects. 

TITLE II—SAFE DRINKING WATER INFRASTRUCTURE 

Sec. 201. Drinking water technical assistance for communities. 

Sec. 202. Preservation of employee labor standards. 

Sec. 203. Preconstruction work. 

Sec. 204. Priority system requirements. 

Sec. 205. Affordability. 

Sec. 206. Safe drinking water revolving loan funds. 

Sec. 207. Other authorized activities. 

Sec. 208. Authorization of appropriations. 

Sec. 209. Negotiation of contracts. 

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Sec. 210. Critical drinking water infrastructure projects. 

Sec. 211. Reducing lead in drinking water. 

TITLE III—MISCELLANEOUS 

Sec. 301. Definition of Academy. 

Sec. 302. Program for water quality enhancement and management. 

Sec. 303. Agricultural watershed sustainability technology grant program. 

Sec. 304. State revolving fund review process. 

Sec. 305. Cost of service study. 

Sec. 306. Effective utility management strategies. 

Sec. 307. WaterSense Program. 

Sec. 308. Pharmaceuticals and personal care products. 

Sec. 309. Financing capability guidance. 

1 SEC. 2. DEFINITION OF ADMINISTRATOR. 

2 In this Act, the term ‘‘Administrator’’ means the Ad3 ministrator of the Environmental Protection Agency. 

4 TITLE I—WATER POLLUTION 

5 INFRASTRUCTURE 

6 SEC. 101. TECHNICAL ASSISTANCE FOR RURAL SMALL 

7 TREATMENT WORKS AND MEDIUM TREAT8 MENT WORKS. 

9 (a) IN GENERAL.—Title II of the Federal Water Pollu10 tion Control Act (33 U.S.C. 1281 et seq.) is amended by 

11 adding at the end the following: 

12 ‘‘SEC. 222. TECHNICAL ASSISTANCE FOR RURAL SMALL 

13 TREATMENT WORKS AND MEDIUM TREAT14 MENT WORKS. 

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

16 ‘‘(1) ADVANCED DECENTRALIZED WASTEWATER

17 SYSTEM.—The term ‘advanced decentralized waste18 water system’ means a decentralized wastewater sysmstockstill on DSKH9S0YB1PROD with BILLS

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1 tem that provides more effective treatment than a con2 ventional septic system. 

3 ‘‘(2) DECENTRALIZED WASTEWATER SYSTEM.— 

4 ‘‘(A) IN GENERAL.—The term ‘decentralized 

5 wastewater system’ means a wastewater treat6 ment system that is at or near a site at which 

7 wastewater is generated. 

8 ‘‘(B) INCLUSIONS.—The term ‘decentralized 

9 wastewater system’ includes a system that pro10 vides for— 

11 ‘‘(i) nonpotable reuse of treated efflu12 ent; or 

13 ‘‘(ii) energy and nutrient recovery 

14 from wastewater constituents. 

15 ‘‘(3) MEDIUM TREATMENT WORKS.—The term 

16 ‘medium treatment works’ means a publicly owned 

17 treatment works serving more than 10,000 but fewer 

18 than 100,000 individuals. 

19 ‘‘(4) QUALIFIED NONPROFIT TECHNICAL ASSIST20 ANCE PROVIDER.—The term ‘qualified nonprofit tech21 nical assistance provider’ means a qualified nonprofit 

22 technical assistance provider of water and wastewater 

23 services to small or medium-sized communities that 

24 provides technical assistance (including circuit rider, 

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1 ing and preliminary engineering evaluations) to own2 ers and operators of small treatment works or me3 dium treatment works that may include State agen4 cies. 

5 ‘‘(5) SMALL TREATMENT WORKS.—The term 

6 ‘small treatment works’ means a publicly owned 

7 treatment works serving not more than 10,000 indi8 viduals. 

9 ‘‘(b) GRANT PROGRAM.— 

10 ‘‘(1) IN GENERAL.—The Administrator may 

11 make grants on a competitive basis to qualified non12 profit technical assistance providers that are qualified 

13 to provide assistance on a broad range of wastewater 

14 and stormwater approaches— 

15 ‘‘(A) to assist owners and operators of small 

16 treatment works and medium treatment works to 

17 plan, develop, and obtain financing for eligible 

18 projects described in section 603(c) or 518(c); 

19 ‘‘(B) to provide financial assistance, in con20 sultation with the State in which the assistance 

21 is provided, to owners and operators of small 

22 treatment works and medium treatment works 

23 for predevelopment costs (including costs for 

24 planning, design, and associated preconstruction 

25 activities, such as activities relating directly to 

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1 the siting of the facility and related elements) as2 sociated with stormwater or wastewater infra3 structure projects or short-term costs incurred for 

4 equipment replacement that is not part of reg5 ular operation and maintenance activities for 

6 existing stormwater or wastewater systems, if the 

7 amount of assistance for any single project does 

8 not exceed $50,000; 

9 ‘‘(C) to provide technical assistance and 

10 training for owners and operators of small treat11 ment works and medium treatment works to en12 able those treatment works and systems to pro13 tect water quality and achieve and maintain 

14 compliance with this Act; and 

15 ‘‘(D) to disseminate information to owners 

16 and operators of small treatment works and me17 dium treatment works, with respect to planning, 

18 design, construction, and operation of treatment 

19 works, small municipal separate storm sewer 

20 systems, decentralized wastewater treatment sys21 tems, and advanced decentralized wastewater 

22 treatment systems. 

23 ‘‘(2) DISTRIBUTION OF GRANT.—In carrying out 

24 this subsection, the Administrator shall ensure, to the 

25 maximum extent practicable, that technical assistance 

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1 provided using funds from a grant under paragraph 

2 (1) is made available in each State. 

3 ‘‘(3) CONSULTATION.—As a condition of receiv4 ing a grant under this subsection, a qualified non5 profit technical assistance provider shall agree to con6 sult with each State in which grant funds are to be 

7 expended before the grant funds are expended in the 

8 State. 

9 ‘‘(4) ANNUAL REPORT.—Not later than 60 days 

10 after the end of each fiscal year, a qualified nonprofit 

11 technical assistance provider that receives a grant 

12 under this subsection shall submit to the Adminis13 trator a report that— 

14 ‘‘(A) describes the activities of the qualified 

15 nonprofit technical assistance provider using 

16 grant funds received under this subsection for the 

17 fiscal year; and 

18 ‘‘(B) specifies— 

19 ‘‘(i) the number of communities served; 

20 ‘‘(ii) the sizes of those communities; 

21 and 

22 ‘‘(iii) the type of assistance provided 

23 by the qualified nonprofit technical assist24 ance provider. 

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1 ‘‘(c) AUTHORIZATION OF APPROPRIATIONS.—There are 

2 authorized to be appropriated to carry out this section— 

3 ‘‘(1) for grants for small treatment works, 

4 $25,000,000 for each of fiscal years 2010 through 

5 2014; and 

6 ‘‘(2) for grants for medium treatment works, 

7 $15,000,000 for each of fiscal years 2010 through 

8 2014.’’. 

9 (b) GUIDANCE FOR SMALL SYSTEMS.—Section 602 of 

10 the Federal Water Pollution Control Act (33 U.S.C. 1382) 

11 is amended by adding at the end the following: 

12 ‘‘(c) GUIDANCE FOR SMALL SYSTEMS.— 

13 ‘‘(1) DEFINITION OF SMALL SYSTEM.—In this 

14 subsection, the term ‘small system’ means a system— 

15 ‘‘(A) for which a municipality or inter16 municipal, interstate, or State agency seeks as17 sistance under this title; and 

18 ‘‘(B) that serves a population of not more 

19 than 10,000 individuals. 

20 ‘‘(2) SIMPLIFIED PROCEDURES.—Not later than 

21 1 year after the date of enactment of this subsection, 

22 the Administrator shall assist the States in estab23 lishing simplified procedures for small systems to ob24 tain assistance under this title. 

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1 ‘‘(3) PUBLICATION OF MANUAL.—Not later than 

2 1 year after the date of enactment of this subsection, 

3 after providing notice and opportunity for public 

4 comment, the Administrator shall publish— 

5 ‘‘(A) a manual to assist small systems in 

6 obtaining assistance under this title; and 

7 ‘‘(B) in the Federal Register, notice of the 

8 availability of the manual.’’. 

9 SEC. 102. PRESERVATION OF EMPLOYEE LABOR STAND10 ARDS. 

11 Section 513 of the Federal Water Pollution Control Act 

12 (33 U.S.C. 1372) is amended to read as follows: 

13 ‘‘SEC. 513. PRESERVATION OF EMPLOYEE LABOR STAND14 ARDS. 

15 ‘‘(a) IN GENERAL.—Notwithstanding section 

16 602(b)(6), the Administrator shall take such action as the 

17 Administrator determines to be necessary to ensure that 

18 each laborer and mechanic employed by a contractor or sub19 contractor of a construction project financed, in whole or 

20 in part, by a grant, loan, loan guarantee, refinancing, or 

21 any other form of financial assistance provided under this 

22 Act (including assistance provided by a State loan fund es23 tablished under title VI) is paid wages at a rate of not less 

24 than the wages prevailing for the same type of work on 

25 similar construction in the immediate locality, as determstockstill on DSKH9S0YB1PROD with BILLS

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1 mined by the Secretary of Labor in accordance with sub2 chapter IV of chapter 31 of title 40, United States Code. 

3 ‘‘(b) AUTHORITY OF SECRETARY OF LABOR.—With re4 spect to the labor standards specified in this section, the 

5 Secretary of Labor shall have the authority and functions 

6 established in Reorganization Plan Numbered 14 of 1950 

7 (5 U.S.C. App.) and section 3145 of title 40, United States 

8 Code.’’. 

9 SEC. 103. PROJECTS ELIGIBLE FOR ASSISTANCE. 

10 (a) IN GENERAL.—Section 603 of the Federal Water 

11 Pollution Control Act (33 U.S.C. 1383) is amended by 

12 striking subsection (c) and inserting the following: 

13 ‘‘(c) PROJECTS ELIGIBLE FOR ASSISTANCE.— 

14 ‘‘(1) IN GENERAL.—Funds in each State water 

15 pollution control revolving fund shall be used only for 

16 providing financial assistance— 

17 ‘‘(A) to a municipality or an intermunic18 ipal, interstate, or State agency or a private 

19 treatment works or decentralized wastewater sys20 tem that principally treats municipal waste21 water or domestic sewage— 

22 ‘‘(i) for construction of treatment 

23 works (as defined in section 212); or 

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1 ‘‘(ii) for capital costs associated with 

2 monitoring equipment for combined sani3 tary or sewer overflows; 

4 ‘‘(B) to implement measures to control, 

5 manage, reduce, treat, infiltrate, or reuse 

6 stormwater, the primary purpose of which is the 

7 preservation, protection, or enhancement of 

8 water quality to support public purposes (in9 cluding the procurement and use of equipment to 

10 support minimum measures, such as street 

11 sweeping and storm drain system cleaning, or 

12 acquisition of other land and interests in land 

13 that are necessary for those activities and meas14 ures); 

15 ‘‘(C) to implement a management program 

16 established under section 319; 

17 ‘‘(D) to develop and implement a conserva18 tion and management plan under section 320; 

19 ‘‘(E) for projects to increase the security of 

20 wastewater treatment works (as defined in sec21 tion 212), excluding any expenditure for oper22 ations or maintenance; 

23 ‘‘(F) to carry out water conservation or effi24 ciency projects that result in direct water quality 

25 benefits; 

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1 ‘‘(G) to implement measures to integrate 

2 water resource management planning and imple3 mentation; 

4 ‘‘(H) to carry out water reuse (including 

5 wastewater reuse), reclamation, and recycling 

6 projects that result in direct water quality bene7 fits; 

8 ‘‘(I) for projects to increase the energy effi9 ciency of treatment works (as defined in section 

10 212) that result in direct water quality benefits; 

11 ‘‘(J) for the development and implementa12 tion of utility management improvement plans 

13 consistent with an effective utility management 

14 strategy (as defined in section 306(a) of the 

15 Water Infrastructure Financing Act); and 

16 ‘‘(K) for the development and implementa17 tion of integrative watershed improvement plans 

18 that include cost-effective solutions that consider 

19 point and nonpoint sources of pollution and tra20 ditional and cost-saving water treatment and ef21 ficiency projects. 

22 ‘‘(2) LIMITATION.—Not more than 5 percent of 

23 the amount of a capitalization grant of a State may 

24 be used during a fiscal year to provide assistance for 

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1 activities described in subparagraph (J) or (K) of 

2 paragraph (1). 

3 ‘‘(3) STATE WATER POLLUTION CONTROL RE4 VOLVING FUNDS.— 

5 ‘‘(A) IN GENERAL.—A State water pollution 

6 control revolving fund shall be established, main7 tained, and credited with repayments. 

8 ‘‘(B) BALANCE OF FUND.—The balance of 

9 each fund described in subparagraph (A) shall be 

10 available in perpetuity for providing financial 

11 assistance under this section.’’. 

12 (b) MODIFICATION OF DEFINITION.—Section 

13 212(2)(A) of the Federal Water Pollution Control Act (33 

14 U.S.C. 1292(2)(A)) is amended— 

15 (1) by striking ‘‘and any works, including site’’; 

16 (2) by striking ‘‘is used for ultimate’’ and insert17 ing ‘‘will be used for ultimate’’; and 

18 (3) by inserting ‘‘; and acquisition of other land 

19 and interests in land necessary for construction’’ be20 fore the period at the end. 

21 SEC. 104. AFFORDABILITY. 

22 (a) IN GENERAL.—Section 603 of the Federal Water 

23 Pollution Control Act (33 U.S.C. 1383) is amended— 

24 (1) by redesignating subsections (e) through (h) 

25 as subsections (g) through (j), respectively; 

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1 (2) in subsection (d)— 

2 (A) in paragraph (1)— 

3 (i) in subparagraph (A), by striking 

4 ‘‘20 years’’ and inserting ‘‘the lesser of 30 

5 years or the design life of the project to be 

6 financed with the proceeds of the loan’’; and 

7 (ii) in subparagraph (B), by striking 

8 ‘‘not later than 20 years after project com9 pletion’’ and inserting ‘‘upon the expiration 

10 of the term of the loan’’; 

11 (B) in paragraph (6), by striking ‘‘and’’ at 

12 the end; and 

13 (C) in paragraph (7), by striking ‘‘title, ex14 cept that’’ and all that follows and inserting the 

15 following: 

16 ‘‘title, except that— 

17 ‘‘(A) such amounts shall not exceed an 

18 amount equal to the sum of, for each fiscal 

19 year— 

20 ‘‘(i) an amount equal to the greatest 

21 of— 

22 ‘‘(I) $400,000; 

‘‘(II) 1 23 ⁄5 percent of the current 

24 valuation of the fund; or 

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1 ‘‘(III) 6 percent of all grant 

2 awards to the fund under this title for 

3 a fiscal year; and 

4 ‘‘(ii) the amount of any fees collected 

5 by the State for that purpose, regardless of 

6 the source; and 

7 ‘‘(B) as a source of revenue (restricted solely 

8 to interest earnings of the fund) or security for 

9 payment of the principal and interest on revenue 

10 or general obligation bonds issued by the State 

11 to provide matching funds under section 

12 602(b)(2), if the proceeds of the sale of the bonds 

13 will be deposited in the fund.’’; and 

14 (3) by inserting after subsection (d) the fol15 lowing: 

16 ‘‘(e) ADDITIONAL ASSISTANCE FOR DISADVANTAGED

17 COMMUNITIES.— 

18 ‘‘(1) DEFINITION OF DISADVANTAGED COMMU19 NITY.—In this subsection, the term ‘disadvantaged 

20 community’ means a community with a service area, 

21 or portion of a service area, of a treatment works that 

22 meets affordability criteria established after public re23 view and comment by the State in which the treat24 ment works is located. 

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1 ‘‘(2) LOAN SUBSIDY.—Notwithstanding any 

2 other provision of this section, subject to paragraph 

3 (5), in a case in which the State makes a loan from 

4 the water pollution control revolving loan fund in ac5 cordance with subsection (c) to a disadvantaged com6 munity or a community that the State expects to be7 come a disadvantaged community as the result of a 

8 proposed project, the State may provide additional 

9 subsidization, including— 

10 ‘‘(A) the forgiveness of all or a portion of 

11 the principal of the loan; and 

12 ‘‘(B) a negative interest rate on the loan. 

13 ‘‘(3) TOTAL AMOUNT OF SUBSIDIES.—For each 

14 fiscal year, the total amount of loan subsidies made 

15 by the State pursuant to this subsection may not ex16 ceed 30 percent of the amount of the capitalization 

17 grant received by the State for the fiscal year. 

18 ‘‘(4) INFORMATION.—The Administrator may 

19 publish information to assist States in establishing 

20 affordability criteria described in paragraph (1). 

21 ‘‘(f) COST-SAVING WATER TREATMENT AND EFFI22 CIENCY IMPROVEMENTS.— 

23 ‘‘(1) IN GENERAL.—Subject to subsection (e)(3), 

24 in providing a loan for a project under this section, 

25 a State may forgive repayment of a portion of the 

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1 loan amount up to the percentage of the project that 

2 is devoted to alternative approaches to wastewater 

3 and stormwater controls (including nonstructural 

4 methods), such as projects that treat or minimize sew5 age or urban stormwater discharges using— 

6 ‘‘(A) decentralized or distributed stormwater 

7 controls; 

8 ‘‘(B) advanced decentralized wastewater 

9 treatment; 

10 ‘‘(C) low-impact development technologies 

11 and nonstructural approaches; 

12 ‘‘(D) stream buffers; 

13 ‘‘(E) wetland restoration and enhancement; 

14 ‘‘(F) actions to minimize the quantity of 

15 and direct connections to impervious surfaces; 

16 ‘‘(G) soil and vegetation, or other permeable 

17 materials; 

18 ‘‘(H) actions that increase efficient water 

19 use, water conservation, or water reuse, includ20 ing the rehabilitation or replacement of existing 

21 leaking pipes; or 

22 ‘‘(I) actions that increase energy efficiency 

23 or reduce energy consumption at a treatment 

24 works. 

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1 ‘‘(2) TREATMENT OF LOAN FORGIVENESS.—The 

2 amount of loan forgiveness provided by a State under 

3 this subsection shall be— 

4 ‘‘(A) credited to each State; and 

5 ‘‘(B) deducted from the total amount of 

6 State capitalization grants for which matching 

7 funds are required from the State under section 

8 602(b)(2).’’. 

9 (b) CONFORMING AMENDMENT.—Section 221(d) of the 

10 Federal Water Pollution Control Act (33 U.S.C. 1301(d)) 

11 is amended in the second sentence by striking ‘‘603(h)’’ and 

12 inserting ‘‘603(j)’’. 

13 SEC. 105. WATER POLLUTION CONTROL REVOLVING LOAN 

14 FUNDS. 

15 Section 603 of the Federal Water Pollution Control Act 

16 (33 U.S.C. 1383) is amended by striking subsection (i) (as 

17 redesignated by section 103(a)(1)) and inserting the fol18 lowing: 

19 ‘‘(i) PRIORITY SYSTEM REQUIREMENT.— 

20 ‘‘(1) DEFINITIONS.—In this subsection: 

21 ‘‘(A) RESTRUCTURING.—The term ‘restruc22 turing’ means— 

23 ‘‘(i) the consolidation of management 

24 functions or ownership with another facil25 ity; or 

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1 ‘‘(ii) the formation of cooperative part2 nerships. 

3 ‘‘(B) TRADITIONAL WASTEWATER AP4 PROACH.—The term ‘traditional wastewater ap5 proach’ means a managed system used to collect 

6 and treat wastewater from an entire service area 

7 consisting of— 

8 ‘‘(i) collection sewers; 

9 ‘‘(ii) a centralized treatment plant 

10 using biological, physical, or chemical treat11 ment processes; and 

12 ‘‘(iii) a direct point source discharge to 

13 surface water. 

14 ‘‘(2) PRIORITY SYSTEM.—In providing financial 

15 assistance from the water pollution control revolving 

16 fund of the State, the State shall establish a priority 

17 system that— 

18 ‘‘(A) takes into consideration appropriate 

19 chemical, physical, and biological data relating 

20 to water quality that the State considers reason21 ably available and of sufficient quality; 

22 ‘‘(B) ensures that projects undertaken with 

23 assistance under this title are designed to 

24 achieve, as determined by the State, the optimum 

25 water quality management, consistent with the 

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1 public health and water quality goals and re2 quirements of this Act; 

3 ‘‘(C) provides for public notice and oppor4 tunity to comment on the establishment of the 

5 priority system and the summary under sub6 paragraph (D); and 

7 ‘‘(D) provides for the publication, not less 

8 than biennially in summary form, of a descrip9 tion of projects in the State that are eligible for 

10 assistance under this title that indicates— 

11 ‘‘(i) the priority assigned to each 

12 project under the priority system of the 

13 State; and 

14 ‘‘(ii) the funding schedule for each 

15 project, to the extent the information is 

16 available. 

17 ‘‘(3) WEIGHT GIVEN TO APPLICATIONS.—After 

18 determining project priorities under subparagraph 

19 (2), the State shall give greater weight to an applica20 tion for assistance if the application includes such in21 formation as the State determines to be necessary and 

22 contains— 

23 ‘‘(A) a description of utility management 

24 best practices undertaken by a treatment works 

25 applying for assistance, including— 

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1 ‘‘(i) an inventory of assets, including a 

2 description of the condition of those assets; 

3 ‘‘(ii) a schedule for replacement of the 

4 assets; 

5 ‘‘(iii) a financing plan that factors in 

6 all lifecycle costs indicating sources of rev7 enue from ratepayers, grants, bonds, other 

8 loans, and other sources to meet the costs; 

9 and 

10 ‘‘(iv) a review of options for restruc11 turing the treatment works; 

12 ‘‘(B) approaches other than a traditional 

13 wastewater approach that treat or minimize sew14 age or urban stormwater discharges using— 

15 ‘‘(i) decentralized or distributed 

16 stormwater controls; 

17 ‘‘(ii) advanced decentralized waste18 water treatment; 

19 ‘‘(iii) low-impact development tech20 nologies and nonstructural approaches; 

21 ‘‘(iv) stream buffers; 

22 ‘‘(v) wetland restoration and enhance23 ment; 

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1 ‘‘(vi) actions to minimize the quantity 

2 of and direct connections to impervious sur3 faces; 

4 ‘‘(vii) soil and vegetation, or other per5 meable materials; 

6 ‘‘(viii) actions that increase efficient 

7 water use, water conservation, or water 

8 reuse; or 

9 ‘‘(ix) actions that increase energy effi10 ciency or reduce energy consumption at a 

11 treatment works; 

12 ‘‘(C) a demonstration of consistency with 

13 State, regional, and municipal watershed plans, 

14 water conservation and efficiency plans, or inte15 grated water resource management plans; 

16 ‘‘(D) a proposal by the applicant dem17 onstrating flexibility through alternative means 

18 to carry out responsibilities under Federal regu19 lations, that may include watershed permitting 

20 and other innovative management approaches, 

21 while achieving results that— 

22 ‘‘(i) the State, in the case of a permit 

23 program approved under section 402, deter24 mines will meet permit requirements; or 

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1 ‘‘(ii) the Administrator determines are 

2 measurably superior, as compared to regu3 latory standards; or 

4 ‘‘(E) projects that address adverse environ5 mental conditions.’’. 

6 SEC. 106. TRANSFERABILITY OF FUNDS. 

7 Section 603 of the Federal Water Pollution Control Act 

8 (33 U.S.C. 1383) (as amended by section 104(a)(1)) is 

9 amended by adding at the end the following: 

10 ‘‘(k) TRANSFER OF FUNDS.— 

11 ‘‘(1) IN GENERAL.—The Governor of a State 

12 may— 

13 ‘‘(A)(i) reserve not more than the greater 

14 of— 

15 ‘‘(I) 33 percent of a capitalization 

16 grant made under this title; or 

17 ‘‘(II) 33 percent of a capitalization 

18 grant made under section 1452 of the Safe 

19 Drinking Water Act (42 U.S.C. 300j–12); 

20 and 

21 ‘‘(ii) add the reserved funds to any funds 

22 provided to the State under section 1452 of the 

23 Safe Drinking Water Act (42 U.S.C. 300j–12); 

24 and 

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1 ‘‘(B)(i) reserve for any year an amount that 

2 does not exceed the amount that may be reserved 

3 under subparagraph (A) for that year from cap4 italization grants made under section 1452 of 

5 that Act (42 U.S.C. 300j–12); and 

6 ‘‘(ii) add the reserved funds to any funds 

7 provided to the State under this title. 

8 ‘‘(2) STATE MATCH.—Funds reserved under this 

9 subsection shall not be considered to be a State con10 tribution for a capitalization grant required under 

11 this title or section 1452(b) of the Safe Drinking 

12 Water Act (42 U.S.C. 300j–12(b)).’’. 

13 SEC. 107. NONCOMPLIANCE. 

14 Section 603 of the Federal Water Pollution Control Act 

15 (33 U.S.C. 1383) (as amended by section 106) is amended 

16 by adding at the end the following: 

17 ‘‘(l) NONCOMPLIANCE.— 

18 ‘‘(1) IN GENERAL.—Except as provided in para19 graph (2), no assistance (other than assistance that is 

20 to be used by a treatment works solely for planning, 

21 design, or security purposes) shall be provided under 

22 this title to the owner or operator of a treatment 

23 works that has been in significant noncompliance 

24 with any requirement of this Act for any of the 4 

25 quarters during the preceding 8 quarters, unless the 

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1 treatment works is in compliance with an enforceable 

2 administrative order to effect compliance with the re3 quirement. 

4 ‘‘(2) EXCEPTION.—An owner or operator of a 

5 treatment works that is determined under paragraph 

6 (1) to be in significant noncompliance with a require7 ment described in that paragraph may receive assist8 ance under this title if the Administrator and the 

9 State providing the assistance determine that— 

10 ‘‘(A) the entity conducting the enforcement 

11 action on which the determination of significant 

12 noncompliance is based has determined that the 

13 use of assistance would enable the owner or oper14 ator of the treatment works to take corrective ac15 tion toward resolving the violations; or 

16 ‘‘(B) the entity conducting the enforcement 

17 action on which the determination of significant 

18 noncompliance is based has determined that the 

19 assistance would be used by the owner or oper20 ator of the treatment works in order to assist 

21 owners and operators in making progress to22 wards compliance.’’. 

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1 SEC. 108. NEGOTIATION OF CONTRACTS. 

2 Section 603 of the Federal Water Pollution Control Act 

3 (33 U.S.C. 1383) (as amended by section 107) is amended 

4 by adding at the end the following: 

5 ‘‘(m) NEGOTIATION OF CONTRACTS.—For commu6 nities with populations of more than 10,000 individuals, 

7 a contract to be carried out using funds directly made 

8 available by a capitalization grant under this section for 

9 program management, construction management, feasi10 bility studies, preliminary engineering, design, engineering, 

11 surveying, mapping, or architectural or related services 

12 shall be negotiated in the same manner as— 

13 ‘‘(1) a contract for architectural and engineering 

14 services is negotiated under chapter 11 of title 40, 

15 United States Code; or 

16 ‘‘(2) an equivalent State qualifications-based re17 quirement (as determined by the Governor of the 

18 State).’’. 

19 SEC. 109. ALLOTMENT OF FUNDS. 

20 Section 604 of the Federal Water Pollution Control Act 

21 (33 U.S.C. 1384) is amended by striking subsections (a) 

22 and (b) and inserting the following: 

23 ‘‘(a) IN GENERAL.—Subject to subsection (b)(2), 

24 amounts authorized to be appropriated to carry out this 

25 section for each of fiscal years 2010 through 2014 shall be 

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1 allotted among States by the Administrator in accordance 

2 with the allotment values specified in the following table: 

‘‘State Allotment 

value 

Alabama .................................................................................................. 0.012860 

Alaska ...................................................................................................... 0.007500 

Arizona .................................................................................................... 0.010247 

Arkansas .................................................................................................. 0.007500 

California ................................................................................................ 0.079629 

Colorado ................................................................................................... 0.010164 

Connecticut .............................................................................................. 0.014150 

Delaware .................................................................................................. 0.007500 

District of Columbia ............................................................................... 0.005000 

Florida ..................................................................................................... 0.044139 

Georgia .................................................................................................... 0.012825 

Hawaii .................................................................................................... 0.008048 

Idaho ........................................................................................................ 0.007500 

Illinois ..................................................................................................... 0.048540 

Indiana .................................................................................................... 0.024633 

Iowa ......................................................................................................... 0.010266 

Kansas ..................................................................................................... 0.009129 

Kentucky .................................................................................................. 0.012025 

Louisiana ................................................................................................ 0.013465 

Maine ....................................................................................................... 0.007829 

Maryland ................................................................................................. 0.025129 

Massachusetts .......................................................................................... 0.025754 

Michigan .................................................................................................. 0.033487 

Minnesota ................................................................................................ 0.020385 

Mississippi .............................................................................................. 0.009112 

Missouri ................................................................................................... 0.028037 

Montana .................................................................................................. 0.007500 

Nebraska .................................................................................................. 0.008023 

Nevada ..................................................................................................... 0.007500 

New Hampshire ...................................................................................... 0.007500 

New Jersey .............................................................................................. 0.046117 

New Mexico ............................................................................................. 0.007500 

New York ................................................................................................. 0.103531 

North Carolina ........................................................................................ 0.019007 

North Dakota .......................................................................................... 0.007500 

Ohio ......................................................................................................... 0.054722 

Oklahoma ................................................................................................ 0.008171 

Oregon ..................................................................................................... 0.012456 

Pennsylvania .......................................................................................... 0.041484 

Rhode Island ........................................................................................... 0.007500 

South Carolina ....................................................................................... 0.007500 

South Dakota .......................................................................................... 0.007500 

Tennessee ................................................................................................. 0.011019 

Texas ........................................................................................................ 0.037664 

Utah ......................................................................................................... 0.007500 

Vermont ................................................................................................... 0.007500 

Virginia ................................................................................................... 0.020698 

Washington .............................................................................................. 0.017588 

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‘‘State Allotment 

value 

West Virginia .......................................................................................... 0.011825 

Wisconsin ................................................................................................ 0.022844 

Wyoming ................................................................................................. 0.007500 

Puerto Rico ............................................................................................. 0.005000 

Territories ............................................................................................... 0.002500 

1 ‘‘(b) RESERVATION OF FUNDS.— 

2 ‘‘(1) PLANNING.—Each State may reserve for 

3 each fiscal year to carry out planning under sections 

4 205(j) and 303(e) an amount equal to the greater of— 

5 ‘‘(A) 2 percent of the sums allotted to the 

6 State under this section for the fiscal year; or 

7 ‘‘(B) $100,000. 

8 ‘‘(2) OPERATOR TRAINING; INDIAN TRIBES.—Of 

9 the total amount of funds made available to carry out 

10 this title, before allotting funds in accordance with 

11 subsection (a), for fiscal year 2009 and each fiscal 

12 year thereafter, the Administrator— 

13 ‘‘(A) may reserve not more than $5,000,000 

14 to carry out the objectives described in section 

15 104(g); and 

16 ‘‘(B) shall allocate 1.5 percent to Indian 

17 tribes (as defined in section 518(h)).’’. 

18 SEC. 110. AUTHORIZATION OF APPROPRIATIONS. 

19 The Federal Water Pollution Control Act is amended 

20 by striking section 607 (33 U.S.C. 1387) and inserting the 

21 following: 

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1 ‘‘SEC. 607. AUTHORIZATION OF APPROPRIATIONS. 

2 ‘‘(a) IN GENERAL.—There are authorized to be appro3 priated to carry out this title— 

4 ‘‘(1) $3,200,000,000 for each of fiscal years 2010 

5 and 2011; 

6 ‘‘(2) $3,600,000,000 for fiscal year 2012; 

7 ‘‘(3) $4,000,000,000 for fiscal year 2013; and 

8 ‘‘(4) $6,000,000,000 for fiscal year 2014. 

9 ‘‘(b) AVAILABILITY.—Amounts made available under 

10 this section shall remain available until expended. 

11 ‘‘(c) RESERVATION FOR NEEDS SURVEYS.—Of the 

12 amount made available under subsection (a) to carry out 

13 this title for a fiscal year, the Administrator may reserve 

14 not more than $1,000,000 for the fiscal year, to remain 

15 available until expended, to pay the costs of conducting 

16 needs surveys under section 516(b)(1)(B).’’. 

17 SEC. 111. SEWER OVERFLOW CONTROL GRANTS. 

18 (a) SEWER OVERFLOW CONTROL GRANTS.—Section 

19 221 of the Federal Water Pollution Control Act (33 U.S.C. 

20 1301) is amended— 

21 (1) in subsection (a), by striking ‘‘IN GENERAL’’ 

22 and all that follows through ‘‘(2) subject to subsection 

23 (g), the Administrator may’’ and inserting the fol24 lowing: 

25 ‘‘(a) IN GENERAL.—The Administrator may— 

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1 ‘‘(1) make grants to States for the purpose of 

2 providing grants to a municipality or municipal en3 tity for planning, design, and construction of treat4 ment works to intercept, transport, control, or treat 

5 municipal combined sewer overflows and sanitary 

6 sewer overflows; and 

7 ‘‘(2) subject to subsection (g),’’; and 

8 (2) by striking subsections (e) through (g) and 

9 inserting the following: 

10 ‘‘(e) ADMINISTRATIVE REQUIREMENTS.— 

11 ‘‘(1) IN GENERAL.—Subject to paragraph (2), a 

12 project that receives grant assistance under subsection 

13 (a) shall be carried out subject to the same require14 ments as a project that receives assistance from a 

15 State water pollution control revolving fund estab16 lished pursuant to title VI. 

17 ‘‘(2) DETERMINATION OF GOVERNOR.—The re18 quirement described in paragraph (1) shall not apply 

19 to a project that receives grant assistance under sub20 section (a) to the extent that the Governor of the State 

21 in which the project is located determines that a re22 quirement described in title VI is inconsistent with 

23 the purposes of this section. 

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1 ‘‘(f) AUTHORIZATION OF APPROPRIATIONS.—There are 

2 authorized to be appropriated to carry out this section, to 

3 remain available until expended— 

4 ‘‘(1) $250,000,000 for fiscal year 2010; 

5 ‘‘(2) $300,000,000 for fiscal year 2011; 

6 ‘‘(3) $350,000,000 for fiscal year 2012; 

7 ‘‘(4) $400,000,000 for fiscal year 2013; and 

8 ‘‘(5) $500,000,000 for fiscal year 2014. 

9 ‘‘(g) ALLOCATION OF FUNDS.— 

10 ‘‘(1) FISCAL YEAR 2010 AND 2011.—For each of 

11 fiscal years 2010 and 2011, subject to subsection (h), 

12 the Administrator shall use the amounts made avail13 able to carry out this section to provide grants to mu14 nicipalities and municipal entities under subsection 

15 (a)(2)— 

16 ‘‘(A) in accordance with the priority cri17 teria described in subsection (b); and 

18 ‘‘(B) with additional priority given to pro19 posed projects that involve the use of— 

20 ‘‘(i) nonstructural, low-impact develop21 ment; 

22 ‘‘(ii) water conservation, efficiency, or 

23 reuse; or 

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1 ‘‘(iii) other decentralized stormwater or 

2 wastewater approaches to minimize flows 

3 into the sewer systems. 

4 ‘‘(2) FISCAL YEAR 2012 AND THEREAFTER.—For 

5 fiscal year 2012 and each fiscal year thereafter, sub6 ject to subsection (h), the Administrator shall use the 

7 amounts made available to carry out this section to 

8 provide grants to States under subsection (a)(1) in 

9 accordance with a formula that— 

10 ‘‘(A) shall be established by the Adminis11 trator, after providing notice and an oppor12 tunity for public comment; and 

13 ‘‘(B) allocates to each State a proportional 

14 share of the amounts based on the total needs of 

15 the State for municipal combined sewer overflow 

16 controls and sanitary sewer overflow controls, as 

17 identified in the most recent survey— 

18 ‘‘(i) conducted under section 210; and 

19 ‘‘(ii) included in a report required 

20 under section 516(b)(1)(B).’’. 

21 (b) REPORTS.—Section 221(i) of the Federal Water 

22 Pollution Control Act (33 U.S.C. 1301(i)) is amended in 

23 the first sentence by striking ‘‘2003’’ and inserting ‘‘2011’’. 

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1 SEC. 112. CRITICAL WATER INFRASTRUCTURE PROJECTS. 

2 (a) ESTABLISHMENT.—The Administrator shall estab3 lish a program under which grants are provided to eligible 

4 entities for use in carrying out projects and activities the 

5 primary purpose of which is watershed restoration through 

6 the protection or improvement of water quality. 

7 (b) PROJECT SELECTION.— 

8 (1) IN GENERAL.—The Administrator may pro9 vide funds under this section to an eligible entity to 

10 carry out an eligible project described in paragraph 

11 (3). 

12 (2) EQUITABLE DISTRIBUTION.—The Adminis13 trator shall ensure an equitable distribution of 

14 projects under this section, taking into account cost 

15 and number of requests for each category listed in 

16 paragraph (3). 

17 (3) ELIGIBLE PROJECTS.—A project that is eligi18 ble to be carried out using funds provided under this 

19 section may include projects that are included in the 

20 intended use plan of the State developed in accord21 ance with section 606(c) of the Federal Water Pollu22 tion Control Act (33 U.S.C. 1386(c)). 

23 (c) LOCAL PARTICIPATION.—In prioritizing projects 

24 for implementation under this section, the Administrator 

25 shall consult with, and consider the priorities of— 

26 (1) affected State and local governments; and 

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1 (2) public and private entities that are active in 

2 watershed planning and restoration. 

3 (d) COST SHARING.—Before carrying out any project 

4 under this section, the Administrator shall enter into an 

5 agreement with 1 or more non-Federal interests that shall 

6 require the non-Federal interests— 

7 (1) to pay 45 percent of the total costs of the 

8 project, which may include services, materials, sup9 plies, or other in-kind contributions; 

10 (2) to provide any land, easements, rights-of11 way, and relocations necessary to carry out the 

12 project; and 

13 (3) to pay 100 percent of any operation, mainte14 nance, repair, replacement, and rehabilitation costs 

15 associated with the project. 

16 (e) WAIVER.—The Administrator may waive the re17 quirement to pay the non-Federal share of the cost of car18 rying out an eligible activity using funds from a grant pro19 vided under this section if the Administrator determines 

20 that an eligible entity is unable to pay, or would experience 

21 significant financial hardship if required to pay, the non22 Federal share. 

23 (f) AUTHORIZATION OF APPROPRIATIONS.—There is 

24 authorized to be appropriated to carry out this section 

25 $50,000,000 for each of fiscal years 2010 through 2014. 

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1 TITLE II—SAFE DRINKING 

2 WATER INFRASTRUCTURE 

3 SEC. 201. DRINKING WATER TECHNICAL ASSISTANCE FOR 

4 COMMUNITIES. 

5 Section 1442(e) of the Safe Drinking Water Act (42 

6 U.S.C. 300j–1(e)) is amended— 

7 (1) in the first sentence, by striking ‘‘The Ad8 ministrator may provide’’ and inserting the fol9 lowing: 

10 ‘‘(1) PUBLIC WATER SYSTEMS.—The Adminis11 trator may provide’’; 

12 (2) in the second sentence, by striking ‘‘Such as13 sistance’’ and inserting the following: 

14 ‘‘(2) TYPES OF ASSISTANCE.—Such assistance’’; 

15 (3) in the third sentence, by striking ‘‘The Ad16 ministrator shall ensure’’ and inserting the following: 

17 ‘‘(3) AVAILABILITY.—The Administrator shall 

18 ensure’’; 

19 (4) in the fourth sentence, by striking ‘‘Each 

20 nonprofit’’ and inserting the following: 

21 ‘‘(4) REQUIREMENT APPLICABLE TO NONPROFIT

22 ORGANIZATIONS.—Each nonprofit’’; and 

23 (5) by striking the fifth sentence and all that fol24 lows and inserting the following: 

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1 ‘‘(5) PRIORITY.—In providing grants under this 

2 section, the Administrator shall give priority to small 

3 systems organizations that, as determined by the Ad4 ministrator, in consultation with the State, are quali5 fied and will be the most effective at assisting small 

6 systems. 

7 ‘‘(6) WELLS AND WELL SYSTEMS.— 

8 ‘‘(A) IN GENERAL.—The Administrator 

9 shall provide grants to nonprofit organizations 

10 to provide technical assistance to communities 

11 and individuals regarding the design, operation, 

12 construction, and maintenance of household wells 

13 and small shared well-systems that provide 

14 drinking water. 

15 ‘‘(B) FORM OF ASSISTANCE.—Technical as16 sistance referred to in subparagraph (A) may in17 clude— 

18 ‘‘(i) training and education; 

19 ‘‘(ii) operation of a hotline; and 

20 ‘‘(iii) the conduct of other activities re21 lating to the design and construction of 

22 household, shared, and small water well sys23 tems in rural areas. 

24 ‘‘(C) PRIORITY.—Subject to paragraph (5), 

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1 ministrator shall give priority to applicants 

2 that, as determined by the Administrator— 

3 ‘‘(i) are qualified; and 

4 ‘‘(ii) have demonstrated experience in 

5 providing similar technical assistance and 

6 in developing similar projects. 

7 ‘‘(D) AUTHORIZATION OF APPROPRIA8 TIONS.—There is authorized to be appropriated 

9 to carry out this paragraph— 

10 ‘‘(i) $7,000,000 for fiscal year 2010; 

11 and 

12 ‘‘(ii) $7,500,000 for each of fiscal years 

13 2011 through 2014. 

14 ‘‘(7) FUNDING.— 

15 ‘‘(A) AUTHORIZATION OF APPROPRIA16 TIONS.—There is authorized to be appropriated 

17 to the Administrator to carry out this subsection 

18 (other than paragraph (6)) $35,000,000 for each 

19 of fiscal years 2010 through 2014. 

20 ‘‘(B) LOBBYING EXPENSES.—No portion of 

21 any State loan fund established under section 

22 1452 and no portion of any funds made avail23 able under this subsection may be used for lob24 bying expenses. 

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1 ‘‘(C) INDIAN TRIBES.—Of the total amount 

2 made available under this section for each fiscal 

3 year, 3 percent shall be used for technical assist4 ance to public water systems owned or operated 

5 by Indian Tribes.’’. 

6 SEC. 202. PRESERVATION OF EMPLOYEE LABOR STAND7 ARDS. 

8 Section 1450 of the Safe Drinking Water Act (42 

9 U.S.C. 300j–9) is amended by striking subsection (e) and 

10 inserting the following: 

11 ‘‘(e) LABOR STANDARDS.— 

12 ‘‘(1) IN GENERAL.—The Administrator shall take 

13 such action as the Administrator determines to be 

14 necessary to ensure that each laborer and mechanic 

15 employed by a contractor or subcontractor of a con16 struction project financed, in whole or in part, by a 

17 grant, loan, loan guarantee, refinancing, or any other 

18 form of financial assistance provided under this Act 

19 (including assistance provided by a State loan fund 

20 established under section 1452) is paid wages at a 

21 rate of not less than the wages prevailing for the same 

22 type of work on similar construction in the imme23 diate locality, as determined by the Secretary of 

24 Labor in accordance with subchapter IV of chapter 31 

25 of title 40, United States Code. 

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1 ‘‘(2) AUTHORITY OF SECRETARY OF LABOR.— 

2 With respect to the labor standards specified in this 

3 subsection, the Secretary of Labor shall have the au4 thority and functions established in Reorganization 

5 Plan Numbered 14 of 1950 (5 U.S.C. App.) and sec6 tion 3145 of title 40, United States Code.’’. 

7 SEC. 203. PRECONSTRUCTION WORK. 

8 Section 1452(a)(2) of the Safe Drinking Water Act (42 

9 U.S.C. 300j–12(a)(2)) is amended— 

10 (1) by designating the first, second, third, fourth, 

11 and fifth sentences as subparagraphs (A), (B), (D), 

12 (E), and (F), respectively; 

13 (2) in subparagraph (B) (as designated by para14 graph (1))— 

15 (A) by striking ‘‘(not’’ and inserting ‘‘(in16 cluding expenditures for planning, design, and 

17 associated preconstruction activities, including 

18 activities relating to the siting of the facility, but 

19 not’’; and 

20 (B) by inserting before the period at the end 

21 the following: ‘‘or to replace or rehabilitate aging 

22 treatment, storage, or distribution facilities of 

23 public water systems or provide for capital 

24 projects (excluding any expenditure for opermstockstill on DSKH9S0YB1PROD with BILLS

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1 ations and maintenance) to upgrade the security 

2 of public water systems’’; and 

3 (3) by inserting after subparagraph (B) (as des4 ignated by paragraph (1)) the following: 

5 ‘‘(C) SALE OF BONDS.—Funds may also be 

6 used by a public water system as a source of rev7 enue (restricted solely to interest earnings of the 

8 applicable State loan fund) or security for pay9 ment of the principal and interest on revenue or 

10 general obligation bonds issued by the State to 

11 provide matching funds under subsection (e), if 

12 the proceeds of the sale of the bonds will be de13 posited in the State loan fund.’’. 

14 SEC. 204. PRIORITY SYSTEM REQUIREMENTS. 

15 Section 1452(b)(3) of the Safe Drinking Water Act (42 

16 U.S.C. 300j–12(b)(3)) is amended— 

17 (1) by redesignating subparagraph (B) as sub18 paragraph (D); 

19 (2) by striking subparagraph (A) and inserting 

20 the following: 

21 ‘‘(A) DEFINITION OF RESTRUCTURING.—In 

22 this paragraph, the term ‘restructuring’ means 

23 changes in operations (including ownership, co24 operative partnerships, asset management, con25 solidation, and alternative water supply). 

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1 ‘‘(B) PRIORITY SYSTEM.—An intended use 

2 plan shall provide, to the maximum extent prac3 ticable, that priority for the use of funds be given 

4 to projects that— 

5 ‘‘(i) address the most serious risk to 

6 human health; 

7 ‘‘(ii) are necessary to ensure compli8 ance with this title (including requirements 

9 for filtration); 

10 ‘‘(iii) assist systems most in need on a 

11 per-household basis according to State af12 fordability criteria; and 

13 ‘‘(iv) improve the sustainability of sys14 tems. 

15 ‘‘(C) WEIGHT GIVEN TO APPLICATIONS.— 

16 After determining project priorities under sub17 paragraph (B), an intended use plan shall pro18 vide that the State shall give greater weight to 

19 an application for assistance by a community 

20 water system if the application includes such in21 formation as the State determines to be necessary 

22 and contains— 

23 ‘‘(i) a description of utility manage24 ment best practices undertaken by a treatmstockstill on DSKH9S0YB1PROD with BILLS

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1 ment works applying for assistance, includ2 ing— 

3 ‘‘(I) an inventory of assets, in4 cluding a description of the condition 

5 of the assets; 

6 ‘‘(II) a schedule for replacement of 

7 assets; 

8 ‘‘(III) a financing plan that fac9 tors in all lifecycle costs indicating 

10 sources of revenue from ratepayers, 

11 grants, bonds, other loans, and other 

12 sources to meet the costs; and 

13 ‘‘(IV) a review of options for re14 structuring the public water system; 

15 ‘‘(ii) demonstration of consistency with 

16 State, regional, and municipal watershed 

17 plans; 

18 ‘‘(iii) a water conservation plan con19 sistent with guidelines developed for those 

20 plans by the Administrator under section 

21 1455(a); and 

22 ‘‘(iv) approaches to improve the sus23 tainability of the system, including— 

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1 ‘‘(I) water efficiency or conserva2 tion, including the rehabilitation or re3 placement of existing leaking pipes; 

4 ‘‘(II) use of reclaimed water; 

5 ‘‘(III) actions to increase energy 

6 efficiency; and 

7 ‘‘(IV) implementation of source 

8 water protection plans.’’; and 

9 (3) in subparagraph (D) (as redesignated by 

10 paragraph (1)), by striking ‘‘periodically’’ and insert11 ing ‘‘at least biennially’’. 

12 SEC. 205. AFFORDABILITY. 

13 Section 1452(d)(3) of the Safe Drinking Water Act (42 

14 U.S.C. 300j–12(d)(3)) is amended in the first sentence by 

15 inserting ‘‘, or portion of a service area,’’ after ‘‘service 

16 area’’. 

17 SEC. 206. SAFE DRINKING WATER REVOLVING LOAN FUNDS. 

18 Section 1452(g) of the Safe Drinking Water Act (42 

19 U.S.C. 300j–12(g)) is amended— 

20 (1) paragraph (2)— 

21 (A) in the first sentence, by striking ‘‘up to 

22 4 percent of the funds allotted to the State under 

23 this section’’ and inserting ‘‘, for each fiscal 

24 year, an amount that does not exceed the sum of 

25 the amount of any fees collected by the State for 

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1 use in covering reasonable costs of administra2 tion of programs under this section, regardless of 

3 the source, and an amount equal to the greatest 

of $400,000, 1 4 ⁄5 percent of the current valuation 

5 of the fund, or 6 percent of all grant awards to 

6 the fund under this section for the fiscal year,’’; 

7 and 

8 (B) by striking ‘‘1419,’’ and all that follows 

9 through ‘‘1993.’’ and inserting ‘‘1419.’’; and 

10 (2) by adding at the end the following: 

11 ‘‘(5) TRANSFER OF FUNDS.— 

12 ‘‘(A) IN GENERAL.—The Governor of a 

13 State may— 

14 ‘‘(i)(I) reserve not more than the great15 er of— 

16 ‘‘(aa) 33 percent of a capitaliza17 tion grant made under this section; or 

18 ‘‘(bb) 33 percent of a capitaliza19 tion grant made under section 601 of 

20 the Federal Water Pollution Control 

21 Act (33 U.S.C. 1381); 

22 ‘‘(II) add the funds reserved to any 

23 funds provided to the State under section 

24 601 of the Federal Water Pollution Control 

25 Act (33 U.S.C. 1381); and 

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1 ‘‘(ii)(I) reserve for any fiscal year an 

2 amount that does not exceed the amount 

3 that may be reserved under clause (i)(I) for 

4 that year from capitalization grants made 

5 under section 601 of that Act (33 U.S.C. 

6 1381); and 

7 ‘‘(II) add the reserved funds to any 

8 funds provided to the State under this sec9 tion. 

10 ‘‘(B) STATE MATCH.—Funds reserved under 

11 this paragraph shall not be considered to be a 

12 State match of a capitalization grant required 

13 under this section or section 602(b) of the Fed14 eral Water Pollution Control Act (33 U.S.C. 

15 1382(b)).’’. 

16 SEC. 207. OTHER AUTHORIZED ACTIVITIES. 

17 Section 1452(k)(2)(D) of the Safe Drinking Water Act 

18 (42 U.S.C. 300j–12(k)(2)(D)) is amended by inserting be19 fore the period at the end the following: ‘‘(including imple20 mentation of source water protection plans)’’. 

21 SEC. 208. AUTHORIZATION OF APPROPRIATIONS. 

22 Section 1452 of the Safe Drinking Water Act (42 

23 U.S.C. 300j–12) is amended by striking subsection (m) and 

24 inserting the following: 

25 ‘‘(m) AUTHORIZATION OF APPROPRIATIONS.— 

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1 ‘‘(1) IN GENERAL.—There are authorized to be 

2 appropriated to carry out this section— 

3 ‘‘(A) $1,500,000,000 for fiscal year 2010; 

4 ‘‘(B) $2,000,000,000 for each of fiscal years 

5 2011 and 2012; 

6 ‘‘(C) $3,200,000,000 for fiscal year 2013; 

7 and 

8 ‘‘(D) $6,000,000,000 for fiscal year 2014. 

9 ‘‘(2) AVAILABILITY.—Amounts made available 

10 under this subsection shall remain available until ex11 pended. 

12 ‘‘(3) RESERVATION FOR NEEDS SURVEYS.—Of 

13 the amount made available under paragraph (1) to 

14 carry out this section for a fiscal year, the Adminis15 trator may reserve not more than $1,000,000 per year 

16 to pay the costs of conducting needs surveys under 

17 subsection (h).’’. 

18 SEC. 209. NEGOTIATION OF CONTRACTS. 

19 Section 1452 of the Safe Drinking Water Act (42 

20 U.S.C. 300j–12) is amended by adding at the end the fol21 lowing: 

22 ‘‘(s) NEGOTIATION OF CONTRACTS.—For communities 

23 with populations of more than 10,000 individuals, a con24 tract to be carried out using funds directly made available 

25 by a capitalization grant under this section for program 

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1 management, construction management, feasibility studies, 

2 preliminary engineering, design, engineering, surveying, 

3 mapping, or architectural or related services shall be nego4 tiated in the same manner as— 

5 ‘‘(1) a contract for architectural and engineering 

6 services is negotiated under chapter 11 of title 40, 

7 United States Code; or 

8 ‘‘(2) an equivalent State qualifications-based re9 quirement (as determined by the Governor of the 

10 State).’’. 

11 SEC. 210. CRITICAL DRINKING WATER INFRASTRUCTURE 

12 PROJECTS. 

13 (a) ESTABLISHMENT.—Not later than 180 days after 

14 the date of enactment of this Act, the Administrator shall 

15 establish a program under which grants are provided to eli16 gible entities for use in carrying out projects and activities 

17 the primary purpose of which is to assist community water 

18 systems in meeting the requirements of the Safe Drinking 

19 Water Act (42 U.S.C. 300f et seq.). 

20 (b) PROJECT SELECTION.—A project that is eligible to 

21 be carried out using funds provided under this section may 

22 include projects that— 

23 (1) develop alternative water sources; 

24 (2) provide assistance to small systems; or 

25 (3) assist a community water system— 

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1 (A) to comply with a national primary 

2 drinking water regulation; or 

3 (B) to mitigate groundwater contamination, 

4 including saltwater intrusion. 

5 (c) ELIGIBLE ENTITIES.—An entity eligible to receive 

6 a grant under this section is— 

7 (1) a community water system as defined in sec8 tion 1401 of the Safe Drinking Water Act (42 U.S.C. 

9 300f); or 

10 (2) a system that is located in an area governed 

11 by an Indian Tribe (as defined in section 1401 of the 

12 Safe Drinking Water Act (42 U.S.C. 300f)); 

13 (d) PRIORITY.—In prioritizing projects for implemen14 tation under this section, the Administrator shall give pri15 ority to community water systems that— 

16 (1) serve a community that, under affordability 

17 criteria established by the State under section 

18 1452(d)(3) of the Safe Drinking Water Act (42 U.S.C. 

19 300j–12), is determined by the State to be— 

20 (A) a disadvantaged community; or 

21 (B) a community that may become a dis22 advantaged community as a result of carrying 

23 out an eligible activity; or 

24 (2) serve a community with a population of less 

25 than 10,000 individuals. 

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1 (e) LOCAL PARTICIPATION.—In prioritizing projects 

2 for implementation under this section, the Administrator 

3 shall consult with, and consider the priorities of, affected 

4 States, Indian Tribes, and local governments. 

5 (f) COST SHARING.—Before carrying out any project 

6 under this section, the Administrator shall enter into a 

7 binding agreement with 1 or more non-Federal interests 

8 that shall require the non-Federal interests— 

9 (1) to pay 45 percent of the total costs of the 

10 project, which may include services, materials, sup11 plies, or other in-kind contributions; 

12 (2) to provide any land, easements, rights-of13 way, and relocations necessary to carry out the 

14 project; and 

15 (3) to pay 100 percent of any operation, mainte16 nance, repair, replacement, and rehabilitation costs 

17 associated with the project. 

18 (g) WAIVER.—The Administrator may waive the re19 quirement to pay the non-Federal share of the cost of car20 rying out an eligible activity using funds from a grant pro21 vided under this section if the Administrator determines 

22 that an eligible entity is unable to pay, or would experience 

23 significant financial hardship if required to pay, the non24 Federal share. 

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1 (h) AUTHORIZATION OF APPROPRIATIONS.—There is 

2 authorized to be appropriated to carry out this section— 

3 (1) $230,000,000 for fiscal year 2010; and 

4 (2) $300,000,000 for each of fiscal years 2011 

5 through 2014. 

6 SEC. 211. REDUCING LEAD IN DRINKING WATER. 

7 (a) DEFINITIONS.—In this section: 

8 (1) ELIGIBLE ENTITY.—The term ‘‘eligible enti9 ty’’ means— 

10 (A) a community water system (as defined 

11 in section 1401 of the Safe Drinking Water Act 

12 (42 U.S.C. 300f)); 

13 (B) a system located in an area governed by 

14 an Indian Tribe (as defined in that section); 

15 (C) a nontransient noncommunity water 

16 system; 

17 (D) a qualified nonprofit organization, as 

18 determined by the Administrator; and 

19 (E) a municipality or State, interstate, or 

20 intermunicipal agency. 

21 (2) LEAD REDUCTION PROJECT.—The term ‘‘lead 

22 reduction project’’ means a project or activity the pri23 mary purpose of which is to reduce the level of lead 

24 in water for human consumption by— 

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1 (A) replacement of publicly owned lead 

2 service lines; 

3 (B) capital costs, testing, planning, or other 

4 relevant activities, as determined by the Admin5 istrator, to identify and address conditions (in6 cluding corrosion control) that contribute to in7 creased lead levels in water for human consump8 tion; 

9 (C) assistance to low-income homeowners to 

10 replace privately owned service lines, pipes, fit11 tings, or fixtures that contain lead; and 

12 (D) education of consumers regarding meas13 ures to reduce exposure to lead from drinking 

14 water or other sources. 

15 (3) LOW-INCOME.—The term ‘‘low-income’’, with 

16 respect to an individual provided assistance under 

17 this section, has such meaning as may be given the 

18 term by the head of the municipality or State, inter19 state, or intermunicipal agency with jurisdiction over 

20 the area to which assistance is provided. 

21 (4) MUNICIPALITY.—The term ‘‘municipality’’ 

22 means— 

23 (A) a city, town, borough, county, parish, 

24 district, association, or other public entity estabmstockstill on DSKH9S0YB1PROD with BILLS

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1 lished by, or pursuant to, applicable State law; 

2 and 

3 (B) an Indian tribe (as defined in section 

4 4 of the Indian Self-Determination and Edu5 cation Assistance Act (25 U.S.C. 450b)). 

6 (b) GRANT PROGRAM.— 

7 (1) ESTABLISHMENT.—Not later than 180 days 

8 after the date of enactment of this Act, the Adminis9 trator shall establish a grant program to provide as10 sistance to eligible entities for lead reduction projects 

11 in the United States. 

12 (2) EVALUATION.—In providing assistance under 

13 this section, the Administrator shall evaluate— 

14 (A) whether an eligible entity applying for 

15 assistance has taken steps to identify the source 

16 of lead in water for human consumption; and 

17 (B) the means by which the proposed lead 

18 reduction project would reduce lead levels in the 

19 applicable water system. 

20 (3) PRIORITY APPLICATION.—In providing 

21 grants under this subsection, the Administrator shall 

22 give priority to an eligible entity that— 

23 (A) carries out a lead reduction project at 

24 a public water system or nontransient non25 community water system that has exceeded the 

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1 lead action level established by the Administrator 

2 at any time during the 3-year period preceding 

3 the date of submission of the application of the 

4 eligible entity; 

5 (B) addresses lead levels in water for 

6 human consumption at a school, daycare, or 

7 other facility that primarily serves children or 

8 another vulnerable human subpopulation; or 

9 (C) addresses such priority criteria as the 

10 Administrator may establish, consistent with the 

11 goal of reducing lead levels of concern. 

12 (4) COST SHARING.— 

13 (A) IN GENERAL.—Subject to subparagraph 

14 (B), the non-Federal share of the total cost of a 

15 project funded by a grant under this subsection 

16 shall be not less than 20 percent. 

17 (B) WAIVER.—The Administrator may re18 duce or eliminate the non-Federal share under 

19 subparagraph (A) for reasons of affordability, as 

20 the Administrator determines to be appropriate. 

21 (5) LOW-INCOME ASSISTANCE.— 

22 (A) IN GENERAL.—Subject to subpara23 graphs (B) and (C), an eligible entity may use 

24 a grant provided under this subsection to provide 

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1 assistance to low-income homeowners to carry 

2 out lead reduction projects. 

3 (B) LOW-INCOME ASSISTANCE CAP.—Of the 

4 funds made available to carry out this section, 

5 not more than $5,000,000 may be allocated to 

6 provide assistance to low-income homeowners 

7 under this paragraph for any fiscal year. 

8 (C) LIMITATION.—The amount of a grant 

9 provided to a low-income homeowner under this 

10 paragraph shall not exceed $5,000. 

11 (6) SPECIAL CONSIDERATION FOR LEAD SERVICE

12 LINE REPLACEMENT.—In carrying out lead service 

13 line replacement using a grant under this subsection, 

14 an eligible entity shall— 

15 (A) notify customers of the replacement of 

16 any publicly owned portion of the lead service 

17 line; 

18 (B) offer to replace the privately owned por19 tion of the lead service line at the cost of replace20 ment; 

21 (C) recommend measures to avoid exposure 

22 to short-term increases in lead levels following a 

23 partial lead service line replacement; and 

24 (D) demonstrate that the eligible entity has 

25 considered multiple options for reducing lead in 

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1 drinking water, including an evaluation of op2 tions for corrosion control. 

3 (c) AUTHORIZATION OF APPROPRIATIONS.—There is 

4 authorized to be appropriated to carry out this section 

5 $60,000,000 for each of fiscal years 2010 through 2014. 

6 TITLE III—MISCELLANEOUS 

7 SEC. 301. DEFINITION OF ACADEMY. 

8 In this title, the term ‘‘Academy’’ means the National 

9 Academy of Sciences. 

10 SEC. 302. PROGRAM FOR WATER QUALITY ENHANCEMENT 

11 AND MANAGEMENT. 

12 (a) INNOVATIVE TECHNOLOGY AND ALTERNATIVE AP13 PROACHES GRANT PROGRAM.— 

14 (1) IN GENERAL.—Not later than 2 years after 

15 the date of enactment of this Act, the Administrator 

16 shall establish a program to provide grants to, and 

17 enter into contracts and cooperative agreements with, 

18 research institutions, institutions of higher education, 

19 National Laboratories, and other appropriate entities 

20 (including consortia of such institutions and entities), 

21 through a competitive process, in accordance with the 

22 plan developed under subsection (b), for research re23 garding, and development of the use of, innovative 

24 and alternative technologies to improve water quality, 

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1 drinking water supply, or water use efficiency and 

2 conservation. 

3 (2) TYPES OF PROJECTS.—In carrying out this 

4 subsection, the Administrator may select projects re5 lating to such matters as innovative or alternative 

6 technologies, approaches, practices, or methods— 

7 (A) to increase the effectiveness and effi8 ciency of water and wastewater infrastructure 

9 through the use of integrated water resource 

10 management; 

11 (B) to increase the effectiveness and effi12 ciency of public water systems, including— 

13 (i) source water protection; 

14 (ii) water use reduction; 

15 (iii) water collection, storage, and 

16 treatment and reuse of rainwater, 

17 stormwater, and graywater; 

18 (iv) identification of behavioral, social, 

19 and economic barriers to achieving greater 

20 water use efficiency; 

21 (v) use of watershed planning directed 

22 toward water quality, conservation, and 

23 supply; 

24 (vi) actions to reduce energy consump25 tion; 

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1 (vii) water treatment; 

2 (viii) water distribution and waste3 water collection systems; 

4 (ix) desalination; and 

5 (x) water security; 

6 (C) to encourage the use of innovative or al7 ternative technologies or approaches relating to 

8 water supply or availability; 

9 (D) to increase the effectiveness and effi10 ciency of new and existing treatment works, in11 cluding— 

12 (i) methods of collecting, treating, dis13 persing, reusing, reclaiming, and recycling 

14 wastewater; 

15 (ii) system design; 

16 (iii) nonstructural alternatives; 

17 (iv) decentralized approaches; 

18 (v) stormwater and wastewater reuse; 

19 (vi) water use efficiency and conserva20 tion; 

21 (vii) actions to reduce energy consump22 tion; 

23 (viii) technologies to extract energy 

24 from wastewater; and 

25 (ix) wastewater security; 

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1 (E) to increase the effectiveness and effi2 ciency of municipal separate storm sewer sys3 tems and combined sewer systems, including 

4 through the use of soil and vegetation or other 

5 permeable materials; 

6 (F) to promote new water treatment tech7 nologies and management approaches, including 

8 commercialization and dissemination strategies 

9 for adoption of innovative water, wastewater, 

10 and stormwater technologies and management 

11 approaches or low-impact development tech12 nologies in the homebuilding industry; or 

13 (G) to maintain a clearinghouse of tech14 nologies and management approaches developed 

15 under this subsection and subsections (c) and (d) 

16 at a research consortium or institute or other ap17 propriate organization, as determined by the Ad18 ministrator. 

19 (3) FACTORS FOR CONSIDERATION.—In planning 

20 and implementing the program under this subsection, 

21 the Administrator shall take into consideration— 

22 (A) research needs identified by water re23 source managers, State and local governments, 

24 and other interested parties; and 

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1 (B) technologies and processes likely to 

2 achieve the greatest increases in water quality, 

3 drinking water supply, or water use efficiency 

4 and conservation. 

5 (4) MINORITY-SERVING INSTITUTIONS.—In car6 rying out the program under this subsection, the Ad7 ministrator— 

8 (A) may provide extramural grants to insti9 tutions of higher education; and 

10 (B) shall encourage participation by minor11 ity-serving institutions. 

12 (b) STRATEGIC RESEARCH PLAN.— 

13 (1) IN GENERAL.—Not later than 180 days after 

14 the date of enactment of this Act, the Administrator, 

15 in coordination with the heads of other appropriate 

16 Federal departments and agencies, shall develop a 

17 strategic research plan for the grant program under 

18 subsection (a). 

19 (2) REQUIREMENTS.— 

20 (A) COORDINATION.—The plan under para21 graph (1) shall be carried out, to the maximum 

22 extent practicable, in coordination with other re23 search and development strategic plans of the 

24 Environmental Protection Agency. 

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1 (B) CONTENTS.—The plan under para2 graph (1) shall— 

3 (i) describe, in outline form, research 

4 goals and priorities relating to an agenda 

5 of water quality, drinking water supply, 

6 and water use efficiency and conservation, 

7 including— 

8 (I) developing innovative water 

9 supply-enhancing processes and tech10 nologies; 

11 (II) improving existing processes 

12 and technologies, including wastewater 

13 treatment, desalination, and ground14 water recharge and recovery schemes; 

15 (III) improving the effectiveness 

16 and efficiency of nontraditional waste17 water treatment practices, including 

18 nonstructural alternatives, low-impact 

19 development techniques, and decentral20 ized approaches; and 

21 (IV) exploring concepts that ex22 tract energy from wastewater; 

23 (ii)(I) identify current Federal water24 related research efforts directed toward 

25 achieving the goals of improving water 

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1 quality, water use efficiency, or water con2 servation or expanding water supply; and 

3 (II) describe the means by which those 

4 efforts are coordinated with the program es5 tablished under subsection (a) in order to 

6 leverage resources and avoid duplication; 

7 (iii) take into consideration the public 

8 health and environmental quality impacts 

9 and cost-effectiveness of each relevant tech10 nology and approach; and 

11 (iv) take into consideration and incor12 porate, as appropriate, recommendations 

13 contained in reports and studies conducted 

14 by Federal departments and agencies, the 

15 National Research Council, the National 

16 Science and Technology Council, and other 

17 appropriate entities. 

18 (3) SCIENCE ADVISORY BOARD REVIEW.—The 

19 Administrator shall submit the plan under paragraph 

20 (1) to the Science Advisory Board of the Environ21 mental Protection Agency for review. 

22 (4) REVISIONS.—The plan under paragraph (1) 

23 shall be revised and amended as necessary to reflect 

24 updated scientific findings and national research pri25 orities. 

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1 (c) MUNICIPALITIES GRANT PROGRAM.— 

2 (1) DEFINITION OF MUNICIPALITY.—In this sub3 section, the term ‘‘municipality’’ means— 

4 (A) a city, town, borough, county, parish, 

5 district, association, authority, or other public 

6 entity established by, or pursuant to, State law; 

7 or 

8 (B) an Indian tribe (as defined in section 

9 4 of the Indian Self-Determination and Edu10 cation Assistance Act (25 U.S.C. 450b)). 

11 (2) ESTABLISHMENT.—Not later than 90 days 

12 after the date of publication of the initial report 

13 under subsection (e)(2), the Administrator shall estab14 lish a nationwide demonstration grant program— 

15 (A) to promote innovations in technology 

16 and alternative approaches to water quality 

17 management or water supply developed under 

18 subsection (a); and 

19 (B) to reduce costs to municipalities in20 curred in complying with the Federal Water Pol21 lution Control Act (33 U.S.C. 1251 et seq.) and 

22 the Safe Drinking Water Act (42 U.S.C. 300f et 

23 seq.) through the approaches and technologies de24 veloped under subsection (a). 

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1 (3) SCOPE.—The demonstration grant program 

2 shall consist of up to 10 projects each year, to be car3 ried out in municipalities selected by the Adminis4 trator under paragraph (5). 

5 (4) APPLICATIONS.—A municipality that seeks 

6 to participate in the demonstration grant program es7 tablished under this subsection shall submit to the Ad8 ministrator a plan that— 

9 (A) is developed in coordination with— 

10 (i) the agencies of the State having ju11 risdiction over water quality and water 

12 supply matters; and 

13 (ii) interested stakeholders, including 

14 institutions of higher education and related 

15 research institutions; 

16 (B) describes water impacts specific to 

17 urban or rural areas; 

18 (C) includes a strategy under which the mu19 nicipality, through participation in the dem20 onstration grant program, could effectively— 

21 (i) address water quality or water sup22 ply problems; and 

23 (ii) achieve the water quality goals 

24 that— 

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1 (I) could be achieved using more 

2 traditional methods; and 

3 (II) are required under the Fed4 eral Water Pollution Control Act (33 

5 U.S.C. 1251 et seq.) or the Safe Drink6 ing Water Act (42 U.S.C. 300f et seq.); 

7 and 

8 (D) includes a schedule for achieving the 

9 water quality, water supply, or water use effi10 ciency and conservation goals of the munici11 pality. 

12 (5) CATEGORIES OF PROJECTS.— 

13 (A) IN GENERAL.—In carrying out the dem14 onstration grant program, the Administrator 

15 shall provide grants for— 

16 (i) projects relating to water supply, 

17 water quality, or water use efficiency and 

18 conservation matters described in subsection 

19 (a)(2); and 

20 (ii) subject to subparagraph (B), not 

21 less than 2 projects for the incorporation 

22 into a building of the most current water 

23 use efficiency and conservation technologies 

24 and designs. 

25 (B) PROJECTS FOR INCORPORATION.— 

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1 (i) INCREMENTAL COST LIMITATION.— 

2 A grant provided under subparagraph 

3 (A)(ii) may be used only to pay the incre4 mental costs of incorporation into a build5 ing of a water use efficiency and conserva6 tion technology or design. 

7 (ii) TYPES OF BUILDINGS.—Of the 

8 projects for which grants are provided 

9 under subparagraph (A)(ii)— 

10 (I) at least 1 shall be for a resi11 dential building; and 

12 (II) at least 1 shall be for a com13 mercial building. 

14 (iii) PUBLIC AVAILABILITY.—The de15 sign of each building for which a grant is 

16 provided under subparagraph (A)(ii) shall 

17 be made available to the public, and each 

18 such building shall be accessible to the pub19 lic for tours and educational purposes. 

20 (6) RESPONSIBILITIES OF ADMINISTRATOR.—In 

21 providing grants for projects under this subsection, 

22 the Administrator shall— 

23 (A) ensure, to the maximum extent prac24 ticable, that— 

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1 (i) the demonstration grant program 

2 under this subsection includes a variety of 

3 projects with respect to— 

4 (I) geographical distribution; 

5 (II) innovative technologies used 

6 for the projects; and 

7 (III) nontraditional approaches 

8 (including low-impact development 

9 technologies) used for the projects; and 

10 (ii) each category of project described 

11 in paragraph (5) is adequately represented; 

12 (B) give higher priority to projects that— 

13 (i) address multiple problems; and 

14 (ii) are regionally applicable; 

15 (C) ensure, to the maximum extent prac16 ticable, that at least 1 community having a pop17 ulation of 10,000 or fewer individuals receives a 

18 grant for each fiscal year; and 

19 (D) ensure that, for each fiscal year, no mu20 nicipality receives more than 25 percent of the 

21 total amount of funds made available for the fis22 cal year to provide grants under this subsection. 

23 (7) COST SHARING.— 

24 (A) IN GENERAL.—Except as provided in 

25 subparagraph (B), the non-Federal share of the 

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1 total cost of a project funded by a grant under 

2 this subsection shall be not less than 20 percent. 

3 (B) WAIVER.—The Administrator may re4 duce or eliminate the non-Federal share of the 

5 cost of a project for reasons of affordability. 

6 (d) INCORPORATION OF RESULTS AND INFORMA7 TION.— 

8 (1) TECHNOLOGY TRANSFER.—The Adminis9 trator, taking into consideration the results of the 

10 projects carried out using grants under subsections 

11 (a) and (c), shall— 

12 (A) facilitate the adoption of technologies 

13 and processes to promote increased water qual14 ity, drinking water supply, and water use effi15 ciency and conservation; and 

16 (B) collect and disseminate information, in17 cluding through the establishment of a publicly 

18 accessible clearinghouse, regarding those tech19 nologies and processes, including information 

20 on— 

21 (i) incentives and impediments to de22 velopment and commercialization; 

23 (ii) best practices; and 

24 (iii) anticipated increases in water 

25 quality, drinking water supply, and water 

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1 use efficiency and conservation resulting 

2 from the implementation of specific tech3 nologies and processes. 

4 (2) INCORPORATION OF RESULTS AND INFORMA5 TION.—To the maximum extent practicable, the Ad6 ministrator shall incorporate the results of, and infor7 mation obtained from, successful projects under this 

8 section into other programs administered by the Ad9 ministrator. 

10 (e) REPORTS.— 

11 (1) REPORTS FROM GRANT RECIPIENTS.—A re12 cipient of a grant under this section shall submit to 

13 the Administrator, on the date of completion of a 

14 project of the recipient and on each of the dates that 

15 is 1, 2, and 3 years after that date, a report that de16 scribes the effectiveness of the project. 

17 (2) REPORTS TO CONGRESS.—Not later than 2 

18 years after the date of enactment of this Act, and not 

19 less frequently than once every 2 years thereafter, the 

20 Administrator shall submit to the Committee on En21 vironment and Public Works of the Senate and the 

22 Committees on Transportation and Infrastructure 

23 and Energy and Commerce of the House of Represent24 atives a report describing— 

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1 (A) the findings of each recipient of a grant 

2 under subsection (a) with respect to the identi3 fication of any potential new technology or man4 agement approach developed by the recipient; 

5 and 

6 (B) the status and results of the grant pro7 gram under subsection (c). 

8 (f) WATER MANAGEMENT STUDY AND REPORT.— 

9 (1) DEFINITIONS.—In this subsection: 

10 (A) LOW-IMPACT APPROACH.—The term 

11 ‘‘low-impact approach’’ means a strategy that 

12 manages rainfall at the source using decentral13 ized microscale controls to mimic the 

14 predevelopment hydrology of the relevant site by 

15 using a design technique that infiltrates, filters, 

16 stores, evaporates, and detains runoff close to the 

17 source. 

18 (B) SOFT PATH APPROACH.—The term ‘‘soft 

19 path approach’’ means a general framework that 

20 encompasses— 

21 (i) increased efficiency of water use; 

22 (ii) integration of water supply, waste23 water treatment, and stormwater manage24 ment systems; and 

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1 (iii) protection, restoration, and effec2 tive use of the natural capacities of eco3 systems to provide clean water. 

4 (2) STUDY.— 

5 (A) IN GENERAL.—Not later than 60 days 

6 after the date of enactment of this Act, the Ad7 ministrator shall enter into an arrangement 

8 with the National Academy of Sciences under 

9 which the Academy shall conduct a study, by not 

10 later than 2 years after that date, of innovative, 

11 effective, and systematic approaches for the man12 agement of water supply, wastewater, and 

13 stormwater. 

14 (B) CONTENTS.—The study shall— 

15 (i) be based on and enhance, to the 

16 maximum extent practicable, relevant stud17 ies previously conducted by the Academy; 

18 (ii) focus in particular on soft-path 

19 approaches and low-impact approaches to 

20 the management described in subparagraph 

21 (A); 

22 (iii) take into consideration the costs of 

23 each approach analyzed by the study; 

24 (iv) examine and compare the state of 

25 research, technology development, and 

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1 emerging practices in other developed and 

2 developing countries with those in the 

3 United States; 

4 (v) identify and evaluate relevant sys5 tem approaches for comprehensive water 

6 management, including the interrelation7 ship of water systems with other major sys8 tems, such as energy and transportation 

9 systems; 

10 (vi) identify priority research and de11 velopment needs; and 

12 (vii) assess implementation needs and 

13 barriers. 

14 (C) AUTHORIZATION OF APPROPRIA15 TIONS.—There is authorized to be appropriated 

16 to carry out this paragraph $1,000,000 for the 

17 period of fiscal years 2010 through 2012. 

18 (3) REPORT.— 

19 (A) IN GENERAL.—Not later than 3 years 

20 after the date of enactment of this Act, the Ad21 ministrator shall submit to the Committee on 

22 Environment and Public Works of the Senate 

23 and the Committee on Science and Technology of 

24 the House of Representatives a report describing 

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1 the key findings of the study under paragraph 

2 (2). 

3 (B) INCLUSIONS.—The report under sub4 paragraph (A) shall include— 

5 (i) an evaluation of relevant challenges 

6 and opportunities; and 

7 (ii) recommendations for innovative 

8 and integrated solutions for use as a prac9 tical reference by water managers, planners, 

10 developers, scientists, engineers, nongovern11 mental organizations, Federal departments 

12 and agencies, and regulators. 

13 (g) AUTHORIZATION OF APPROPRIATIONS.—There is 

14 authorized to be appropriated to carry out this section 

15 $40,000,000 for each of fiscal years 2010 through 2014. 

16 SEC. 303. AGRICULTURAL WATERSHED SUSTAINABILITY 

17 TECHNOLOGY GRANT PROGRAM. 

18 (a) DEFINITIONS.—In this section: 

19 (1) AGRICULTURAL COMMODITY.—The term ‘‘ag20 ricultural commodity’’ means— 

21 (A) agricultural, horticultural, viticultural, 

22 and dairy products; 

23 (B) livestock and the products of livestock; 

24 (C) the products of poultry and bee raising; 

25 (D) the products of forestry; and 

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1 (E) other commodities raised or produced 

2 on agricultural sites, as determined to be appro3 priate by the Secretary of Agriculture. 

4 (2) AGRICULTURAL PROJECT.—The term ‘‘agri5 cultural project’’ means an agricultural watershed 

6 sustainability technology pilot project that, as deter7 mined by the Administrator— 

8 (A) is carried out at an agricultural site; 

9 (B)(i) achieves demonstrable improvements 

10 in water quality that meet or exceed those man11 dated by statutory or regulatory requirements; or 

12 (ii) improves water use efficiency; and 

13 (C) will not substantially adversely affect 

14 agricultural commodity production, yield, profit15 ability, or any other long-term environmental 

16 medium, including air and groundwater re17 sources. 

18 (3) AGRICULTURAL SITE.—The term ‘‘agricul19 tural site’’ means a farming or ranching operation of 

20 a producer in the United States. 

21 (4) PRODUCER.—The term ‘‘producer’’ means 

22 any person or group of persons (including an irriga23 tion district and a drainage district) engaged in the 

24 production and sale of an agricultural commodity 

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1 that owns, or shares the ownership and risk of loss of, 

2 the agricultural commodity. 

3 (5) REVOLVING FUND.—The term ‘‘revolving 

4 fund’’ means an agricultural watershed sustainability 

5 technology revolving fund— 

6 (A) that is established by a State using 

7 amounts provided under subsection (b)(1); 

8 (B) that is maintained and credited with 

9 repayments; and 

10 (C) the balance of which shall be available 

11 in perpetuity for providing financial assistance. 

12 (b) GRANTS FOR AGRICULTURAL STATE REVOLVING

13 FUNDS.— 

14 (1) IN GENERAL.—As soon as practicable after 

15 the date of enactment of this section, the Adminis16 trator shall provide to each eligible State described in 

17 paragraph (2) 1 or more capitalization grants, that 

18 cumulatively equal no more than $1,000,000 per 

19 State, for use in establishing, within an agency of the 

20 State having jurisdiction over agriculture or environ21 mental quality, an agricultural watershed sustain22 ability technology revolving fund. 

23 (2) ELIGIBLE STATES.—An eligible State re24 ferred to in paragraph (1) is a State that agrees, 

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1 prior to receipt of a capitalization grant under para2 graph (1)— 

3 (A) to establish, and deposit the funds from 

4 the grant in, a revolving fund; 

5 (B) to provide, at a minimum, a State 

6 share in an amount equal to 20 percent of the 

7 capitalization grant; 

8 (C) to use amounts in the revolving fund to 

9 make loans to producers in accordance with sub10 section (c); and 

11 (D) to return amounts in the revolving fund 

12 if no loan applications are granted within 2 

13 years of the receipt of the initial capitalization 

14 grant. 

15 (c) LOANS TO PRODUCERS.— 

16 (1) USE OF FUNDS.—A State that establishes a 

17 revolving fund under subsection (b)(2) shall use 

18 amounts in the revolving fund to provide loans to 

19 producers for use in designing and constructing agri20 cultural projects. 

21 (2) MAXIMUM AMOUNT OF LOAN.—The amount of 

22 a loan made to a producer using funds from a revolv23 ing fund shall not exceed $250,000, in the aggregate, 

24 for all agricultural projects serving an agricultural 

25 site of the producer. 

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1 (3) CONDITIONS ON LOANS.—A loan made to a 

2 producer using funds from a revolving fund shall— 

3 (A) have an interest rate that is not more 

4 than the market interest rate, including an in5 terest-free loan; and 

6 (B) be repaid to the revolving fund not later 

7 than 20 years after the date on which funds are 

8 initially disbursed. 

9 (d) REQUIREMENTS FOR PRODUCERS.— 

10 (1) IN GENERAL.—A producer that seeks to re11 ceive a loan from a revolving fund shall— 

12 (A) submit to the State within the jurisdic13 tion of which the agricultural site of the pro14 ducer is located an application that— 

15 (i) contains such information as the 

16 State may require; and 

17 (ii) demonstrates, to the satisfaction of 

18 the State, that each project proposed to be 

19 carried out with funds from the loan is an 

20 agricultural project; and 

21 (B) agree to expend all funds from a loan 

22 in an expeditious and timely manner, as deter23 mined by the State. 

24 (2) MAXIMUM PERCENTAGE OF AGRICULTURAL

25 PROJECT COST.—Subject to subsection (c)(2), a promstockstill on DSKH9S0YB1PROD with BILLS

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1 ducer that receives a loan from a revolving fund may 

2 use funds from the loan to pay up to 100 percent of 

3 the cost of carrying out an agricultural project. 

4 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

5 authorized to be appropriated to carry out this section 

6 $50,000,000. 

7 SEC. 304. STATE REVOLVING FUND REVIEW PROCESS. 

8 (a) IN GENERAL.—As soon as practicable after the 

9 date of enactment of this Act, the Administrator shall— 

10 (1) consult with States, utilities, nonprofit orga11 nizations, and other Federal agencies providing fi12 nancial assistance to identify ways to expedite and 

13 improve the application and review process, for the 

14 provision of assistance from— 

15 (A) the State water pollution control revolv16 ing funds established under title VI of the Fed17 eral Water Pollution Control Act (33 U.S.C. 

18 1381 et seq.); and 

19 (B) the State drinking water treatment re20 volving loan funds established under section 1452 

21 of the Safe Drinking Water Act (42 U.S.C. 300j– 

22 12); 

23 (2) take such administrative action as is nec24 essary to expedite and improve the process as the Ad25 ministrator has authority to take under existing law; 

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1 (3) collect information relating to innovative ap2 proaches taken by any State to simplify the applica3 tion process of the State, and provide the information 

4 to each State; 

5 (4) conduct an evaluation of the process used to 

6 develop and carry out the needs survey under section 

7 516(b)(1)(B) of the Federal Water Pollution Control 

8 Act (33 U.S.C. 1375(b)(1)(B)), including rec9 ommendations for ways to streamline the development 

10 and conduct of that survey; and 

11 (5) submit to Congress a report that, based on 

12 the information identified under paragraph (1), con13 tains recommendations (including recommendations 

14 for legislation) to facilitate further streamlining and 

15 improvement of the process. 

16 (b) CONSIDERATIONS.—In carrying out this section, 

17 the Administrator shall consider the needs of— 

18 (1) small treatment works and medium treat19 ment works (as defined in section 222 of the Federal 

20 Water Pollution Control Act); 

21 (2) treatment works serving populations of 

22 100,000 or more; 

23 (3) small public water systems described in sec24 tion 1433(d) of the Safe Drinking Water Act (42 

25 U.S.C. 300i–2(d)); and 

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1 (4) public water systems described in section 

2 1433(a)(2) of the Safe Drinking Water Act (42 U.S.C. 

3 300i–2(a)(2)). 

4 SEC. 305. COST OF SERVICE STUDY. 

5 (a) IN GENERAL.—Not later than 2 years after the 

6 date of enactment of this Act, the Administrator shall enter 

7 an arrangement with the Academy under which the Acad8 emy shall complete and provide to the Administrator the 

9 results of a study of the means by which public water sys10 tems and treatment works selected by the Academy in ac11 cordance with subsection (c) meet the costs associated with 

12 operations, maintenance, capital replacement, and regu13 latory requirements. 

14 (b) REQUIRED ELEMENTS.— 

15 (1) AFFORDABILITY.—The study shall, at a min16 imum— 

17 (A) determine whether the rates at public 

18 water systems and treatment works for commu19 nities included in the study were established 

20 using a full-cost pricing model; 

21 (B) if a full-cost pricing model was not 

22 used, identify any incentive rate systems that 

23 have been successful in significantly reducing— 

24 (i) per capita water demand; 

25 (ii) the volume of wastewater flows; 

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1 (iii) the volume of stormwater runoff; 

2 or 

3 (iv) the quantity of pollution generated 

4 by stormwater; 

5 (C) identify a set of best industry practices 

6 that public water systems and treatment works 

7 may use in establishing a rate structure that— 

8 (i) adequately addresses the true cost of 

9 services provided to consumers by public 

10 water systems and treatment works, includ11 ing infrastructure replacement; 

12 (ii) encourages water conservation; and 

13 (iii) takes into consideration the needs 

14 of disadvantaged individuals and commu15 nities, as identified by the Administrator; 

16 (D) identify existing standards for afford17 ability and the manner in which those standards 

18 are determined and defined; 

19 (E) determine the manner in which afford20 ability varies with respect to communities of dif21 ferent sizes and in different regions; and 

22 (F) determine the extent to which afford23 ability affects the decision of a community to in24 crease public water system and treatment works 

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1 centage by which those rates should be in2 creased). 

3 (2) DISADVANTAGED COMMUNITIES.—The study 

4 shall, at a minimum— 

5 (A) survey a cross-section of States rep6 resenting different sizes, demographics, and geo7 graphical regions; 

8 (B) describe, for each State described in 

9 subparagraph (A), the definition of ‘‘disadvan10 taged community’’ used in the State in carrying 

11 out projects and activities under the Safe Drink12 ing Water Act (42 U.S.C. 300f et seq.); 

13 (C) review other means of identifying the 

14 meaning of the term ‘‘disadvantaged’’, as that 

15 term applies to communities; 

16 (D) determine which factors and character17 istics are required for a community to be consid18 ered ‘‘disadvantaged’’; and 

19 (E) evaluate the degree to which factors 

20 such as a reduction in the tax base over a period 

21 of time, a reduction in population, the loss of an 

22 industrial base, and the existence of areas of con23 centrated poverty are taken into account in de24 termining whether a community is a disadvan25 taged community. 

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1 (c) SELECTION OF COMMUNITIES.—The Academy shall 

2 select communities, the public water system and treatment 

3 works rate structures of which are to be studied under this 

4 section, that include a cross-section of communities rep5 resenting various populations, income levels, demographics, 

6 and geographical regions. 

7 (d) USE OF RESULTS OF STUDY.—On receipt of the 

8 results of the study, the Administrator shall— 

9 (1) submit the study to Congress; 

10 (2) submit a report that describes the results of 

11 the study; and 

12 (3) make the results available to treatment works 

13 and public water systems for use by the publicly 

14 owned treatment works and public water systems, on 

15 a voluntary basis, in determining whether 1 or more 

16 new approaches may be implemented at facilities of 

17 the publicly owned treatment works and public water 

18 systems. 

19 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

20 authorized to be appropriated to carry out this section 

21 $1,000,000 for each of fiscal years 2010 and 2014. 

22 SEC. 306. EFFECTIVE UTILITY MANAGEMENT STRATEGIES. 

23 (a) DEFINITIONS.—In this section: 

24 (1) EFFECTIVE UTILITY MANAGEMENT STRAT25 EGY.—The term ‘‘effective utility management stratmstockstill on DSKH9S0YB1PROD with BILLS

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1 egy’’ means a strategy for the operation and manage2 ment of a utility that, as determined by the Adminis3 trator, incorporates the following attributes: 

4 (A) Product quality. 

5 (B) Stakeholder understanding and support. 

6 (C) Customer satisfaction. 

7 (D) Employee development. 

8 (E) Operational optimization. 

9 (F) Financial viability. 

10 (G) Infrastructure stability. 

11 (H) Operational resiliency. 

12 (I) Community sustainability. 

13 (J) Water resource adequacy. 

14 (2) UTILITY.—The term ‘‘utility’’ means— 

15 (A) a treatment works (as defined in section 

16 212 of the Federal Water Pollution Control Act 

17 (33 U.S.C. 1292)); and 

18 (B) a public water system (as defined in 

19 section 1401 of the Safe Drinking Water Act (42 

20 U.S.C. 300f)). 

21 (b) ACTION BY ADMINISTRATOR.—The Administrator 

22 may carry out training programs, provide technical assist23 ance, and disseminate information regarding effective util24 ity management strategies, including by— 

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1 (1) providing seminars and workshops (includ2 ing electronic-based seminars and workshops), con3 ferences, and other educational programs and devel4 oping curricula to advance effective utility manage5 ment strategies; 

6 (2) offering support and advice (including finan7 cial, operational, and management advice) to utility 

8 operators and managers regarding effective utility 

9 management strategies; and 

10 (3) publishing and disseminating manuals on 

11 best management practices and other relevant infor12 mation, success stories, and lessons learned relating to 

13 effective utility management strategies. 

14 (c) PARTNER ORGANIZATIONS.—In carrying out sub15 section (b), the Administrator may enter into cooperative 

16 agreements, as the Administrator determines to be appro17 priate, with— 

18 (1) stakeholder associations; 

19 (2) qualified nonprofit organizations; and 

20 (3) other relevant organizations, as determined 

21 by the Administrator. 

22 (d) AUTHORIZATION OF APPROPRIATIONS.—There is 

23 authorized to be appropriated to carry out this section 

24 $1,000,000 for each of fiscal years 2010 through 2014. 

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1 SEC. 307. WATERSENSE PROGRAM. 

2 (a) ESTABLISHMENT.—There is established within the 

3 Environmental Protection Agency a program, to be known 

4 as the ‘‘WaterSense Program’’, to identify and promote vol5 untary approaches to increase water efficiency in the 

6 United States to reduce the strain on water and wastewater 

7 infrastructure and conserve water resources for future gen8 erations through voluntary labeling, promotion, or other 

9 forms of communication regarding water efficient products, 

10 programs, processes, buildings, landscapes, facilities, and 

11 services that meet the highest water conservation and per12 formance standards. 

13 (b) ADMINISTRATION.—The WaterSense Program shall 

14 be carried out by the Administrator. 

15 (c) DUTIES.—In carrying out the WaterSense Pro16 gram, the Administrator shall— 

17 (1) establish— 

18 (A) a WaterSense label to be used for cer19 tain items; and 

20 (B) the procedure by which an item may be 

21 certified to display the WaterSense label; 

22 (2) promote products displaying the WaterSense 

23 label as the preferred technologies in the market place 

24 for— 

25 (A) reducing water use; and 

26 (B) ensuring product performance; 

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1 (3) work to enhance public awareness of the 

2 WaterSense label; 

3 (4) preserve the integrity of the WaterSense label 

4 by— 

5 (A) developing specifications to ensure reli6 able performance of WaterSense-labeled products, 

7 buildings, landscapes, and services; 

8 (B) overseeing WaterSense certifications 

9 made by third parties; 

10 (C) conducting reviews of the use of the 

11 WaterSense label in the marketplace and taking 

12 corrective action in any case in which misuse of 

13 the label is identified; and 

14 (D) carrying out such other measures as the 

15 Administrator determines to be appropriate; 

16 (5) regularly research and update WaterSense 

17 product criteria for each applicable category of prod18 ucts; 

19 (6) solicit comments from interested parties be20 fore establishing or revising a WaterSense product 

21 category, specification, or criterion (or before the ef22 fective date for any such product category, specifica23 tion, or criterion, as applicable); 

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1 (7) on adoption of a new or revised product cat2 egory, specification, or criterion, provide reasonable 

3 notice to interested parties regarding— 

4 (A) any change (including a change of effec5 tive date) to the product category, specification, 

6 or criterion; 

7 (B) an explanation of the change; and 

8 (C) as appropriate, responses to comments 

9 submitted by interested parties regarding the 

10 product category, specification, or criterion; 

11 (8) provide appropriate lead time, as determined 

12 by the Administrator, before the applicable effective 

13 date for a new or significant revision to a product 

14 category, specification, or criterion, taking into ac15 count the timing requirements of the manufacturing, 

16 product marketing, and distribution process for the 

17 specific product, programs, processes, buildings, land18 scapes, facilities, or services addressed; and 

19 (9) identify and, where appropriate, implement 

20 other voluntary approaches in commercial, institu21 tional, and industrial sectors to improve water effi22 ciency. 

23 (d) ANNUAL REPORTS.—Not less frequently than once 

24 each year, the Administrator shall prepare and make pub25 licly available a report describing the activities carried out 

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1 under this section, including, to the maximum extent prac2 ticable— 

3 (1) available information regarding sales in each 

4 WaterSense product category; and 

5 (2) the savings of water, energy, and capital 

6 costs of water, wastewater, and stormwater infra7 structure attributable to the WaterSense program and 

8 each category of WaterSense product, expressed on a 

9 national, regional, State, and watershed level. 

10 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

11 authorized to be appropriated to carry out this section— 

12 (1) $5,000,000 for each of fiscal years 2010 and 

13 2011; 

14 (2) $7,500,000 for each of fiscal years 2012 and 

15 2013; and 

16 (3) $10,000,000 for fiscal year 2014. 

17 SEC. 308. PHARMACEUTICALS AND PERSONAL CARE PROD18 UCTS. 

19 Section 104 of the Federal Water Pollution Control Act 

20 (33 U.S.C. 1254) is amended by adding at the end the fol21 lowing: 

22 ‘‘(w) PRESENCE OF PHARMACEUTICALS AND PER23 SONAL CARE PRODUCTS IN WATERS OF THE UNITED

24 STATES.— 

25 ‘‘(1) DEFINITIONS.—In this subsection: 

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1 ‘‘(A) ACADEMY.—The term ‘Academy’ 

2 means the National Academy of Sciences. 

3 ‘‘(B) PHARMACEUTICAL.—The term ‘phar4 maceutical’ has the meaning given the term 

5 ‘drug’ in section 201 of the Federal Food, Drug, 

6 and Cosmetic Act (21 U.S.C. 321). 

7 ‘‘(C) PERSONAL CARE PRODUCT.—The term 

8 ‘personal care product’ has the meaning given 

9 the term ‘cosmetic’ in section 201 of the Federal 

10 Food, Drug, and Cosmetic Act (21 U.S.C. 321). 

11 ‘‘(2) STUDY.—The Administrator shall offer to 

12 enter into an arrangement with the National Acad13 emy of Sciences under which the Academy, in con14 sultation with the Administrator, the Secretary of 

15 Health and Human Services (acting through the 

16 Commissioner of Food and Drugs), the Director of the 

17 United States Geological Survey, the heads of other 

18 appropriate Federal agencies (including the National 

19 Institute of Environmental Health Sciences), and 

20 other interested stakeholders (including manufacturers 

21 of pharmaceuticals and personal care products), shall 

22 conduct a study on the presence of pharmaceuticals 

23 and personal care products in the waters of the 

24 United States. 

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1 ‘‘(3) CONTENTS.—In conducting the study under 

2 paragraph (2), the Academy shall— 

3 ‘‘(A) identify pharmaceuticals and personal 

4 care products that have been detected in the wa5 ters of the United States and the levels at which 

6 such pharmaceuticals and personal care products 

7 have been detected; 

8 ‘‘(B) identify the sources of pharmaceuticals 

9 and personal care products in the waters of the 

10 United States, including point sources and 

11 nonpoint sources of pharmaceutical and personal 

12 care products; and 

13 ‘‘(C) evaluate— 

14 ‘‘(i) risks associated with the presence 

15 of pharmaceuticals and personal care prod16 ucts in the waters of the United States; and 

17 ‘‘(ii) based upon that assessment, the 

18 technical, economic, and legal feasibility of 

19 methods to control, limit, treat, or prevent 

20 that presence. 

21 ‘‘(4) REPORT.—Not later than 2 years after the 

22 date of enactment of this subsection, the Academy 

23 shall submit to the Administrator and Congress a re24 port on the results of the study conducted under this 

25 subsection, including the potential effects of pharmamstockstill on DSKH9S0YB1PROD with BILLS

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1 ceuticals and personal care products in the waters of 

2 the United States on human health and aquatic wild3 life.’’. 

4 SEC. 309. FINANCING CAPABILITY GUIDANCE. 

5 Not later than 180 days after the date of enactment 

6 of this Act, for the purpose of updating the document enti7 tled ‘‘Combined Sewer Overflows–Guidance for Financial 

8 Capability Assessment and Schedule Development’’ and 

9 dated February 1997, the Administrator shall— 

10 (1) collect and take into consideration informa11 tion that can be used to assess the financial condition 

12 of permittees under the Federal Water Pollution Con13 trol Act (33 U.S.C. 1251 et seq.); 

14 (2) consult with the affected States, municipali15 ties, and other interested parties, as determined by 

16 the Administrator; and 

17 (3) conduct a public outreach process. 

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Calendar No. 109 

111TH CONGRESS 

1ST SESSION S. 1005 

[Report No. 111–47] 

A BILL 

To amend the Federal Water Pollution Control Act 

United States. water and wastewater infrastructure in the and the Safe Drinking Water Act to improve 

JULY 15, 2009 

Reported with an amendment 

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