I

103D CONGRESS

1ST SESSION H. R. 1865

To direct the Administrator of the Environmental Protection Agency to make

grants to States for the purpose of financing the construction, rehabilitation, and improvement of water supply systems, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

APRIL 27, 1993

Mr. MINETA (for himself, Mr. SHUSTER, Mr. APPLEGATE, and Mr. BOEHLERT) introduced the following bill; which was referred to the Committee

on Public Works and Transportation

A BILL

To direct the Administrator of the Environmental Protection

Agency to make grants to States for the purpose of

financing the construction, rehabilitation, and improvement of water supply systems, and for other purposes.

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

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Water Supply Con5 struction Assistance Act of 1993’’.

6 SEC. 2. PURPOSES.

7 The purposes of this Act are as follows:
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1 (1) To provide grants for establishment of

2 State revolving funds for the purpose of providing fi3 nancial and technical assistance for the construction,

4 rehabilitation, and improvement of water supply sys5 tems, including treatment to remove pollutants from

6 navigable waters for the purpose of making such wa7 ters useable by water supply systems.

8 (2) To provide for administrative efficiencies

9 through implementation of this Act relying on exist10 ing mechanisms of State water pollution control re11 volving loan fund programs established pursuant to

12 title VI of the Federal Water Pollution Control Act.

13 SEC. 3. LIMITATION ON STATUTORY CONSTRUCTION.

14 Nothing in this Act shall be construed as affecting

15 the requirements of title XIV of the Public Health Service

16 Act (42 U.S.C. 300f–300j–9), commonly referred to as the

17 Safe Drinking Water Act.

18 SEC. 4. GRANTS TO STATES.

19 Subject to the provisions of this Act, the Adminis20 trator shall make grants to each State for the purpose

21 of establishing a water supply construction account in the

22 State water pollution control revolving loan fund programs

23 established pursuant to title VI of the Federal Water Pol24 lution Control Act, if any, to provide assistance for the
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1 construction, rehabilitation, and improvement of water

2 supply systems.

3 SEC. 5. GRANT AGREEMENTS.

4 (a) GENERAL RULE.—To receive a grant with funds

5 made available under this Act, a State shall enter into an

6 agreement with the Administrator which shall include, but

7 not be limited to, the specifications set forth in subsection

8 (b) of this section.

9 (b) SPECIFIC REQUIREMENTS.—The Administrator

10 shall enter into an agreement under this section with a

11 State only after the State has established to the satisfac12 tion of the Administrator that—

13 (1) the State will accept grant payments with

14 funds to be made available under this Act and will

15 deposit all such payments in the water supply con16 struction account established by the State in accord17 ance with this Act;

18 (2) if the State has a water pollution control re19 volving fund established in accordance with title VI

20 of the Federal Water Pollution Control Act, the

21 State will establish the water supply construction ac22 count as a separate account in such fund;

23 (3) the State will deposit in the water supply

24 construction account from State moneys an amount

25 equal to at least 20 percent of the total amount of
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1 all grants which will be made to the State with

2 funds to be made available under this Act on or be3 fore the date on which each grant payment will be

4 made to the State under this Act;

5 (4) the State will enter into binding commit6 ments to provide assistance in accordance with the

7 requirements of this Act an amount equal to 120

8 percent of the amount of each such grant payment

9 within 1 year after the receipt of such grant pay10 ment;

11 (5) the State will not make available any assist12 ance from the account unless the State has first de13 termined that the applicant—

14 (A) has adopted or will adopt a system of

15 charges to assure that each recipient of water

16 supply services within the applicant’s jurisdic17 tion will pay its proportionate share of the cost

18 of operation and maintenance (including re19 placement) of any such services provided by the

20 applicant; and

21 (B) has legal, institutional, managerial,

22 and financial capability to ensure adequate con23 struction, operation, and maintenance of water

24 supply systems throughout the applicant’s juris25 diction;
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1 (6) the State will take such action as may be

2 necessary to ensure that, after construction, rehabili3 tation, and improvement of a water supply system

4 undertaken with funds directly made available by

5 grants under this Act, such system will provide

6 water supply services at the most economical cost;

7 (7) the State will take such action as may be

8 necessary with respect to construction, rehabilita9 tion, and improvement of a water supply system un10 dertaken with funds directly made available by

11 grants under this Act as the Administrator is re12 quired to take under section 513 of the Federal

13 Water Pollution Control Act with respect to treat14 ment works carried out with assistance provided

15 under such Act; and

16 (8) the State will make annual reports to the

17 Administrator on the actual use of funds in accord18 ance with section 606(d) of the Federal Water Pol19 lution Control Act.

20 SEC. 6. INCORPORATION OF FWPCA BY REFERENCE.

21 (a) GENERAL RULE.—The provisions of title VI of

22 the Federal Water Pollution Control Act shall apply as

23 provided in this Act to accounts established by States

24 under this Act. For purposes of this Act, any reference

25 to the Federal Water Pollution Control Act and to any
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1 section thereof shall be treated as a reference to such Act

2 or section as in effect on the date of the enactment of

3 this Act.

4 (b) TYPES OF ASSISTANCE.—Section 603(d) of the

5 Federal Water Pollution Control Act shall apply to ac6 counts established by States under this Act to the same

7 extent and in the same manner as such section applies

8 to water pollution control revolving funds under such Act;

9 except that the percentage of grant awards available for

10 administrative expenses under paragraph (7) of such sec11 tion shall be 5 percent instead of 4 percent.

12 (c) CORRECTIVE ACTION.—Section 605 of such Act

13 shall apply to a State’s agreement with the Administrator

14 under this Act and to requirements of this Act to the same

15 extent and in the same manner as such section applies

16 to a State’s agreement under section 602 of such Act and

17 the requirements of title VI of such Act.

18 (d) AUDITS, REPORTS, AND FISCAL CONTROLS.—

19 Subsections (a), (b), (d), and (e) of section 606 of such

20 Act shall apply to a State establishing an account under

21 this Act and to such account to the same extent and in

22 the same manner as such subsections apply to a State es23 tablishing a water pollution control revolving fund under

24 title VI of such Act and to such fund.
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1 SEC. 7. WATER POLLUTION CONTROL REVOLVING LOAN

2 FUNDS.

3 (a) REQUIREMENTS FOR OBLIGATION OF GRANT

4 FUNDS.—Before a State may receive a grant with funds

5 made available under this Act, the State shall first estab6 lish a water supply construction account which complies

7 with the requirements of this Act.

8 (b) ADMINISTRATOR.—Each State water supply con9 struction account shall be administered by an instrumen10 tality of the State with such powers and limitations as may

11 be required to operate such account in accordance with

12 the requirements and objectives of this Act.

13 (c) PROJECTS ELIGIBLE FOR ASSISTANCE.—The

14 amounts of funds available to each State water supply con15 struction account shall be used only for providing financial

16 assistance for construction, rehabilitation, and improve17 ment of a water supply system. The account shall be es18 tablished, maintained, and credited with repayments, and

19 the account balance shall be available in perpetuity for

20 providing such financial assistance.

21 (d) TYPES OF ASSISTANCE.—In addition to the types

22 of assistance which may be made available under section

23 603(d) of the Federal Water Pollution Control Act from

24 a water supply construction account of a State under this

25 Act—
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1 (1) such account may be used to provide tech2 nical assistance with respect to construction, reha3 bilitation, and improvement of water supply systems;

4 and

5 (2) the interest derived from funds in such ac6 count or from loans made from such account may be

7 used by the State to make grants to pay up to 50

8 percent of the cost of construction, rehabilitation,

9 and improvement of a water supply system.

10 SEC. 8. ALLOTMENT OF FUNDS.

11 (a) FISCAL YEAR 1994.—Sums authorized to be ap12 propriated pursuant to this Act for fiscal year 1994 shall

13 be allotted for such year by the Administrator not later

14 than the 10th day which begins after the date of the enact15 ment of this Act. Sums authorized for such fiscal year

16 shall be allotted in accordance with the following table:

States: Percentages:

Alabama ....................................................................................... 0.96

Alaska .......................................................................................... 2.38

Arizona ......................................................................................... 1.40

Arkansas ...................................................................................... 0.99

California ..................................................................................... 6.75

Colorado ....................................................................................... 1.33

Connecticut .................................................................................. 1.77

Delaware ...................................................................................... 0.50

District of Columbia .................................................................... 0.50

Florida ......................................................................................... 3.82

Georgia ......................................................................................... 2.13

Hawaii .......................................................................................... 0.50

Idaho ............................................................................................ 0.98

Illinois .......................................................................................... 3.29

Indiana ......................................................................................... 2.04

Iowa ............................................................................................. 1.35

Kansas ......................................................................................... 1.12

Kentucky ...................................................................................... 0.90

Louisiana ..................................................................................... 1.66

Maine ........................................................................................... 0.99
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Maryland ...................................................................................... 1.48

Massachusetts .............................................................................. 1.11

Michigan ...................................................................................... 5.05

Minnesota ..................................................................................... 3.51

Mississippi .................................................................................... 1.33

Missouri ....................................................................................... 1.80

Montana ....................................................................................... 1.17

Nebraska ...................................................................................... 1.00

Nevada ......................................................................................... 0.70

New Hampshire ........................................................................... 1.07

New Jersey .................................................................................. 2.31

New Mexico .................................................................................. 1.00

New York ..................................................................................... 5.35

North Carolina ............................................................................. 3.94

North Dakota ............................................................................... 0.53

Ohio ............................................................................................. 3.71

Oklahoma ..................................................................................... 1.43

Oregon ......................................................................................... 1.52

Pennsylvania ................................................................................ 4.54

Rhode Island ................................................................................ 0.50

South Carolina ............................................................................. 1.23

South Dakota ............................................................................... 0.63

Tennessee ..................................................................................... 1.01

Texas ............................................................................................ 5.95

Utah ............................................................................................. 0.73

Vermont ....................................................................................... 0.58

Virginia ........................................................................................ 2.44

Washington .................................................................................. 2.64

West Virginia ............................................................................... 0.96

Wisconsin ..................................................................................... 3.66

Wyoming ...................................................................................... 0.62

American Samoa .......................................................................... 0.09

Guam ........................................................................................... 0.07

Northern Marianas ...................................................................... 0.04

Puerto Rico .................................................................................. 0.62

Pacific Trust Territories .............................................................. 0.13

Virgin Islands .............................................................................. 0.27.

1 (b) FISCAL YEARS 1995 AND 1996.—Sums author2 ized to be appropriated pursuant to this Act for each of

3 fiscal years 1995 and 1996 shall be allotted by the Admin4 istrator in accordance with the relative needs of the States

5 for construction, rehabilitation, and improvement of water

6 supply systems as determined by the Administrator, in

7 consultation with the States.
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1 (c) RESERVATION OF FUNDS FOR INDIAN TRIBES.—

2 Notwithstanding subsections (a) and (b) of this section,

3 the Administrator shall reserve for each fiscal year not to

4 exceed 1.5 percent of the amount made available to carry

5 out this Act for such fiscal year for the purpose of making

6 grants to Indian tribes for construction, rehabilitation,

7 and improvement of water supply systems.

8 (d) ALLOTMENT PERIOD.—

9 (1) PERIOD OF AVAILABILITY FOR GRANT

10 AWARD.—Sums allotted to a State under this section

11 for a fiscal year shall be available for obligation by

12 the State during the fiscal year for which sums are

13 authorized and during the following fiscal year; ex14 cept that for sums allotted in fiscal year 1994, such

15 period of availability shall be fiscal years 1994–

16 1996.

17 (2) REALLOTMENT OF UNOBLIGATED FUNDS.—

18 The amount of any allotment not obligated by the

19 State by the last day of the period of availability es20 tablished by paragraph (1) shall be immediately re21 allotted by the Administrator on the basis of the

22 same ratio as is applicable to sums allotted under

23 this Act for the second fiscal year of such period.

24 None of the funds reallotted by the Administrator

25 shall be reallotted to any State which has not obli-
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1 gated all sums allotted to such State in the first fis2 cal year of such period.

3 SEC. 9. DETERMINATION OF PRIORITY.

4 Each State establishing a water supply construction

5 account shall determine the priority to be given projects

6 for construction, rehabilitation, and improvement of water

7 supply systems within the boundaries of the State taking

8 into account the relative financial and other needs for such

9 construction, rehabilitation, and improvement.

10 SEC. 10. NEEDS SURVEY.

11 (a) IN GENERAL.—The Administrator, in cooperation

12 with the States, shall make—

13 (1) a detailed estimate, biennially revised, of the

14 cost of needed construction, rehabilitation, and im15 provement of water supply systems in all of the

16 States and of the cost of needed construction in each

17 of the States; and

18 (2) a comprehensive study of the economic im19 pact on affected units of government of the cost of

20 installation of water supply systems and parts there21 of.

22 (b) SUBMISSION TO CONGRESS.—The Administrator

23 shall submit the detailed estimate and the comprehensive

24 study of costs under subsection (a) to Congress no later

25 than January 1, 1996, and January 1 of each even-num-
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1 bered year thereafter. The Administrator shall also submit

2 recommendations for allotment of funds under this Act to

3 the States based on such estimates and on such additional

4 factors as the Administrator deems appropriate, including

5 financial need. Whenever the Administrator, pursuant to

6 this section, requests and receives an estimate of cost from

7 a State, the Administrator shall furnish copies of such es8 timate together with such detailed estimate to Congress.

9 SEC. 11. DEFINITIONS.

10 In this Act, the following definitions apply:

11 (1) ADMINISTRATOR.—The term ‘‘Adminis12 trator’’ means the Administrator of the Environ13 mental Protection Agency.

14 (2) INDIAN TRIBE.—The term ‘‘Indian tribe’’

15 has the meaning such term has under section 518

16 of the Federal Water Pollution Control Act and in17 cludes Alaska Native Villages and former Indian res18 ervations in Oklahoma.

19 (3) STATE.—The term ‘‘State’’ means a State,

20 the District of Columbia, the Commonwealth of

21 Puerto Rico, the Virgin Islands, Guam, American

22 Samoa, the Commonwealth of the Northern Mariana

23 Islands, and the Trust Territory of the Pacific Is24 lands.
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1 (4) WATER SUPPLY SYSTEM.—The term ‘‘water

2 supply system’’ means a system (owned by a govern3 mental entity, a nonprofit organization, or any other

4 private person regulated by a State public utility

5 commission and having the greatest public need for

6 assistance under this Act) for the provision to the

7 public of piped water for human consumption, if

8 such system has at least 15 service connections or

9 regularly serves at least 25 individuals. Such term

10 includes (A) any collection, treatment, storage, and

11 distribution facilities under control of the operator of

12 such system and used primarily in connection with

13 such system, and (B) any collection or pretreatment

14 facilities not under such control that are used pri15 marily in connection with such system.

16 SEC. 12. AUTHORIZATION OF APPROPRIATIONS.

17 There are authorized to be appropriated for purposes

18 of this Act the following sums:

19 (1) $559,000,000 for fiscal year 1994;

20 (2) $1,000,000,000 for fiscal year 1995; and

21 (3) $1,000,000,000 for fiscal year 1996.

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