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[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[S. 2797 Introduced in Senate (IS)]

113th CONGRESS
  2d Session
                                S. 2797

To amend the Federal Water Pollution Control Act to update a program to 
   provide assistance for the planning, design, and construction of 
 treatment works to intercept, transport, control, or treat municipal 
 combined sewer overflows and sanitary sewer overflows, and to require 
  the Administrator of the Environmental Protection Agency to update 
certain guidance used to develop and determine the financial capability 
    of communities to implement clean water infrastructure programs.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           September 11, 2014

   Mr. Brown introduced the following bill; which was read twice and 
       referred to the Committee on Environment and Public Works

_______________________________________________________________________

                                 A BILL

 
To amend the Federal Water Pollution Control Act to update a program to 
   provide assistance for the planning, design, and construction of 
 treatment works to intercept, transport, control, or treat municipal 
 combined sewer overflows and sanitary sewer overflows, and to require 
  the Administrator of the Environmental Protection Agency to update 
certain guidance used to develop and determine the financial capability 
    of communities to implement clean water infrastructure programs.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Clean Water Affordability Act of 
2014''.

SEC. 2. SEWER OVERFLOW CONTROL GRANTS.

    Section 221 of the Federal Water Pollution Control Act (33 U.S.C. 
1301) is amended--
            (1) by striking subsections (a) through (g) and inserting 
        the following:
    ``(a) Grants.--The Administrator may--
            ``(1) make grants to States for the purpose of providing 
        grants to local or regional authorities or a municipality or 
        municipal entity for use in planning, designing, and 
        constructing treatment works to intercept, transport, control, 
        or treat municipal combined sewer overflows and sanitary sewer 
        overflows; and
            ``(2) make a grant directly to a local or regional 
        authority or municipality or municipal entity for the purposes 
        described in paragraph (1).
    ``(b) Prioritization.--In selecting from among municipalities 
applying for grants under this section, a State or the Administrator 
shall give priority to--
            ``(1) an applicant that is a financially distressed 
        community, as determined by the applicable State under 
        subsection (c); and
            ``(2) an applicant that discharges into a water body, or 
        water body segment, impaired for nutrients or related pollutant 
        indicators.
    ``(c) Determination.--In determining whether a community is a 
distressed community for the purposes of subsection (b), a State shall 
consider, among other factors, the criteria described in section 
7(b)(2)(A) of the Clean Water Affordability Act of 2014.
    ``(d) Cost-Sharing.--
            ``(1) Federal share.--The Federal share of the cost of any 
        project or activity carried out using funds from a grant made 
        under subsection (a) shall be not less than 75 percent.
            ``(2) Non-federal share.--The non-Federal share of the cost 
        of any project or activity carried out using funds from a grant 
        made under subsection (a) may include--
                    ``(A) in any amount, public and private funds and 
                in-kind services; and
                    ``(B) notwithstanding section 603, financial 
                assistance, including loans, from a State water 
                pollution control revolving fund.
    ``(e) Administrative Requirements.--
            ``(1) In general.--Subject to paragraph (2), a project that 
        receives grant assistance under subsection (a) shall be carried 
        out subject to the same requirements as a project that receives 
        assistance from a State water pollution control revolving fund 
        established pursuant to title VI.
            ``(2) Determination of governor.--The requirement described 
        in paragraph (1) shall not apply to a project that receives 
        grant assistance under subsection (a) to the extent that the 
        Governor of the State in which the project is located 
        determines that a requirement described in title VI is 
        inconsistent with the purposes of this section.
    ``(f) Allocation of Funds.--
            ``(1) Fiscal year 2015.--For fiscal year 2015, subject to 
        subsection (g), the Administrator shall use the amounts made 
        available to carry out this section under subsection (i)(1) to 
        provide grants to municipalities and municipal entities under 
        subsection (a)(2) in accordance with the priority criteria 
        described in subsection (b).
            ``(2) Fiscal year 2016 and thereafter.--For fiscal year 
        2016 and each fiscal year thereafter, subject to subsection 
        (g), the Administrator shall use the amounts appropriated to 
        carry out this section under subsection (i)(1) to provide 
        grants to States under subsection (a)(1) in accordance with a 
        formula that--
                    ``(A) shall be established by the Administrator, 
                after providing notice and an opportunity for public 
                comment; and
                    ``(B) allocates to each State a proportional share 
                of the amounts based on the total needs of the State 
                for municipal combined sewer overflow controls and 
                sanitary sewer overflow controls, as identified in the 
                most recent survey--
                            ``(i) conducted under section 210; and
                            ``(ii) included in a report required under 
                        section 516(a).'';
            (2) by redesignating subsections (h) and (i) as subsections 
        (g) and (h), respectively;
            (3) in the first sentence of subsection (h) (as 
        redesignated by paragraph (2)), by striking ``2003'' and 
        inserting ``2015''; and
            (4) by adding at the end the following:
    ``(i) Funding.--
            ``(1) Authorization of appropriations.--There are 
        authorized to be appropriated to carry out this section--
                    ``(A) $250,000,000 for fiscal year 2015;
                    ``(B) $300,000,000 for fiscal year 2016;
                    ``(C) $350,000,000 for fiscal year 2017;
                    ``(D) $400,000,000 for fiscal year 2018; and
                    ``(E) $500,000,000 for fiscal year 2019.
            ``(2) Availability of amounts.--Amounts authorized to be 
        appropriated under paragraph (1) shall remain available until 
        expended.''.

SEC. 3. INTEGRATED PERMITTING PROCESS.

    (a) In General.--Section 402(a) of the Federal Water Pollution 
Control Act (33 U.S.C. 1342(a)) is amended by inserting after paragraph 
(5) the following:
            ``(6) Integrated permits.--
                    ``(A) Definition of publicly owned permittee.--In 
                this paragraph, the term `publicly owned permittee' 
                means--
                            ``(i) a treatment works (as defined in 
                        section 212) that is publicly owned; and
                            ``(ii) a municipal separate storm sewer 
                        system referred to in this section.
                    ``(B) Planning approach.--The Administrator shall 
                establish a comprehensive and integrated planning 
                approach to the obligations under this section of a 
                publicly owned permittee--
                            ``(i) under which permit obligations may be 
                        implemented according to a schedule that--
                                    ``(I) accounts for the financial 
                                capability of the publicly owned 
                                permittee;
                                    ``(II) prioritizes permit 
                                obligations according to the most cost-
                                effective and environmentally 
                                beneficial outcomes;
                                    ``(III) accounts for the 
                                preexisting maintenance, operational, 
                                and regulatory obligations of the 
                                publicly owned permittee under this 
                                section; and
                                    ``(IV) enables the publicly owned 
                                permittee to implement innovative 
                                approaches to meet those obligations; 
                                and
                            ``(ii) that accounts for changed 
                        circumstances in the obligations of the 
                        publicly owned permittee, such as--
                                    ``(I) new innovative treatment 
                                approaches;
                                    ``(II) new regulatory requirements; 
                                and
                                    ``(III) changes in financial 
                                capability.''.
    (b) Duration of Permits.--Section 402(b)(1)(B) of the Federal Water 
Pollution Control Act (33 U.S.C. 1342(b)(1)(B)) is amended by inserting 
before the semicolon at the end the following: ``, except that a permit 
with a term of more than 5 years but not more than 25 years may be 
approved if the permittee has an approved integrated plan established 
under subsection (a)(6)''.

SEC. 4. COMBINED SEWAGE OVERFLOW LONG-TERM CONTROL PLAN.

    Section 402(q) of the Federal Water Pollution Control Act (33 
U.S.C. 1342(q)) is amended by adding at the end the following:
            ``(4) Combined sewage overflow long-term control plan.--
                    ``(A) In general.--The Administrator shall amend 
                the CSO control policy to allow a publicly owned 
                treatment work that has an approved long-term control 
                plan to modify the plan to incorporate green 
                infrastructure and energy-efficient technologies on a 
                showing that the use of the technologies can cost-
                effectively help to meet the terms of the combined 
                sewer overflow compliance obligations of the treatment 
                work.
                    ``(B) Compliance.--The Administrator shall allow a 
                publicly owned treatment work 30 years to meet 
                compliance obligations under long-term control plans 
                modified under this paragraph.''.

SEC. 5. ENVIRONMENTAL PROTECTION AGENCY GREEN INFRASTRUCTURE PROMOTION.

    Title V of the Federal Water Pollution Control Act (33 U.S.C. 1361 
et seq.) is amended--
            (1) by redesignating section 519 (33 U.S.C. 1251 note) as 
        section 520; and
            (2) by inserting after section 518 (33 U.S.C. 1377) the 
        following:

``SEC. 519. ENVIRONMENTAL PROTECTION AGENCY GREEN INFRASTRUCTURE 
              PROMOTION.

    ``(a) In General.--The Administrator shall ensure that the Office 
of Water, the Office of Enforcement and Compliance Assurance, the 
Office of Research and Development, and the Office of Policy of the 
Environmental Protection Agency promote the use of green infrastructure 
in and coordinate the integration of green infrastructure into, 
permitting programs, planning efforts, research, technical assistance, 
and funding guidance.
    ``(b) Duties.--The Administrator shall ensure that the Office of 
Water--
            ``(1) promotes the use of green infrastructure in the 
        programs of the Environmental Protection Agency; and
            ``(2) coordinates efforts to increase the use of green 
        infrastructure with--
                    ``(A) other Federal departments and agencies;
                    ``(B) State, tribal, and local governments; and
                    ``(C) the private sector.
    ``(c) Regional Green Infrastructure Promotion.--The Administrator 
shall direct each regional office of the Environmental Protection 
Agency, as appropriate based on local factors, to promote and integrate 
the use of green infrastructure within the region that includes--
            ``(1) a plan for monitoring, financing, mapping, and 
        designing the green infrastructure;
            ``(2) outreach and training regarding green infrastructure 
        implementation for State, tribal, and local governments, tribal 
        communities, and the private sector; and
            ``(3) the incorporation of green infrastructure into 
        permitting and other regulatory programs, codes, and ordinance 
        development, including the requirements under consent decrees 
        and settlement agreements in enforcement actions.
    ``(d) Green Infrastructure Information-Sharing.--The Administrator 
shall promote green infrastructure information-sharing, including 
through an Internet website, to share information with, and provide 
technical assistance to, State, tribal, and local governments, tribal 
communities, the private sector, and the public regarding green 
infrastructure approaches for--
            ``(1) reducing water pollution;
            ``(2) protecting water resources;
            ``(3) complying with regulatory requirements; and
            ``(4) achieving other environmental, public health, and 
        community goals.
    ``(e) Green Infrastructure Portfolio Standard.--The Administrator, 
in collaboration with State, tribal, and local water resource managers, 
shall establish voluntary measurable goals, to be known as the `green 
infrastructure portfolio standard', to increase the percentage of 
annual water managed by eligible entities that use green 
infrastructure.''.

SEC. 6. UPDATING OF GUIDANCE.

    (a) Definitions.--In this section:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Affordability.--The term ``affordability'' means, with 
        respect to payment of a utility bill, a measure of whether an 
        individual customer or household can pay the bill without undue 
        hardship or unreasonable sacrifice in the essential lifestyle 
        or spending patterns of the individual or household, as 
        determined by the Administrator.
            (3) Financial capability.--The term ``financial 
        capability'' means the financial capability of a community to 
        make investments necessary to make water quality-related 
        improvements, taking into consideration the criteria described 
        in subsection (b)(2)(A).
            (4) Guidance.--The term ``guidance'' means the guidance 
        published by the Administrator entitled ``Combined Sewer 
        Overflows--Guidance for Financial Capability Assessment and 
        Schedule Development'' and dated February 1997, as applicable 
        to combined sewer overflows and sanitary sewer overflows.
    (b) Updating.--
            (1) In general.--Not later than 1 year after the date of 
        enactment of this Act, the Administrator shall update the 
        guidance to ensure that the evaluations by the Administrator of 
        financial capability assessment and schedule development meet 
        the criteria described in paragraph (2).
            (2) Criteria.--The criteria described in this paragraph are 
        that, under the updated guidance--
                    (A) in assessing financial capability of a 
                community--
                            (i) greater emphasis should be placed on 
                        local economic conditions;
                            (ii) for regional systems, consideration 
                        should be given to the economic conditions of 
                        political jurisdictions and significant 
                        demographic groups within each region;
                            (iii) prescriptive formulas for use in 
                        calculating financial capability and thresholds 
                        for expenditure should not be considered to be 
                        the only indicator of the financial capability 
                        of a community;
                            (iv) site-specific local conditions should 
                        be taken into consideration in analyzing 
                        financial capability;
                            (v) a single measure of financial 
                        capability or affordability (such as median 
                        household income) should be viewed in the 
                        context of other economic measures, rather than 
                        as a threshold to be achieved; and
                            (vi)(I) consideration should be given to 
                        the economic outlook of a community, including 
                        the potential impact of program requirements 
                        over time, in the development of implementation 
                        schedules; and
                            (II) the assessment should take into 
                        consideration other essential community 
                        investments relating to water quality 
                        improvements;
                    (B) with respect to the timing of implementation of 
                water quality-related improvements--
                            (i) environmental improvement 
                        implementation schedules should be structured 
                        to mitigate the potential adverse impact on 
                        distressed populations resulting from the costs 
                        of the improvements; and
                            (ii) implementation schedules should 
                        reflect local community financial conditions 
                        and economic impacts;
                    (C) with respect to implementation of 
                methodologies--
                            (i) a determination of local financial 
                        capability may be achieved through an 
                        evaluation of an array of factors the relative 
                        importance of which may vary across regions and 
                        localities; and
                            (ii) an appropriate methodology should give 
                        consideration to such various factors as are 
                        appropriate to recognize the prevailing and 
                        projected economic concerns in a community; and
                    (D) the residential indicator should be revised to 
                include--
                            (i) a consideration of costs imposed upon 
                        ratepayers for essential utilities;
                            (ii) increased consideration and 
                        quantification of local community-imposed costs 
                        in regional systems;
                            (iii) a mechanism to assess impacts on 
                        communities with disparate economic conditions 
                        throughout the entire service area of a 
                        utility;
                            (iv) a consideration of the industrial and 
                        population trends of a community;
                            (v) recognition that--
                                    (I) the median household income of 
                                a service area reflects a numerical 
                                median rather than the distribution of 
                                incomes within the service area; and
                                    (II) more representative methods of 
                                determining affordability, such as 
                                shelter costs, essential utility 
                                payments, and State and local tax 
                                efforts, should be considered;
                            (vi) cash-flow forecasting rather than 
                        forecasting based on a snapshot evaluation of 
                        community financial capability;
                            (vii) a consideration of low-income 
                        ratepayer percentages; and
                            (viii) impacts relating to program 
                        delivery, such as water quality infrastructure 
                        market saturation and program management.
            (3) Implementation.--The updated guidance should indicate 
        that, in a case in which a previously approved long-term 
        control plan or associated enforceable agreement allows for 
        modification of the plan or terms of the agreement (including 
        financial capability considerations), and all parties are in 
        agreement that a change is needed or that the plan or agreement 
        contains a reopener provision to address changes in the 
        economic or financial status of the community since the 
        effective date of the plan or agreement, reconsideration and 
        modification of financial capability determinations and 
        implementation schedules based on the criteria described in 
        paragraph (2) are appropriate.
    (c) Publication and Submission.--Upon completion of the updating of 
guidance under subsection (b), the Administrator shall publish in the 
Federal Register and submit to the Committee on Environment and Public 
Works of the Senate and the Committee on Transportation and 
Infrastructure of the House of Representatives the updated guidance.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.
                                 <all>
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