Dale Long will present this morning EPA's perspective on the uniqueness and importance of this organization as a model that could be replicated in other areas in the country. The Commission on the Future of Southwest Virginia, which I appointed last year, has been reviewing water problems throughout Southwest Virginia. Some of the most severe water problems are located in the coal-producing counties, where 20,000 households do not have adequate drinking water. The need for additional financing to support water system development is clear. The Planning Districts report that water service is generally available in towns and communities where there are concentrations of population.
Water service is needed in the most rural areas where costs of construction are the highest.
This estimate does not include the additional cost of upgrading many private water systems which are currently on Health Department boil notices. The Coalfield Water Development Fund will provide an additional source of grant financing for the most costly water projects. Applicants must leverage the maximum funding from other financing agencies such as the federal Rural Utilities Service, Appalachian Regional Commission, Abandoned Mined Land Program and state Community Development Block Grant programs before they apply to the Fund. If a community has leveraged all available grants and additional grant funding is still needed, these communities can apply to the Coalfield Water Development Fund for additional assistance. The Coalfield Water Development Fund will favor investment in projects that involve the cooperative efforts of more than one governmental jurisdiction in water system planning and construction and will also be interested in investing in projects which will hasten service to adjoining localities.