‘‘(2) FUND
AMOUNTS.—The water pollution
control revolving fund of a State shall be established,
maintained, and credited with repayments, and the
fund balance shall be available in perpetuity for pro-
viding financial assistance described in paragraph
(1). Fees charged by a State to recipients of such
assistance may be deposited in the fund for the sole
purpose of financing the cost of administration of
this title.’’.
(b) EXTENDED REPAYMENT PERIOD FOR DISADVAN-
TAGED COMMUNITIES.—Section 603(d)(1) (33 U.S.C.
1383(d)(1)) is amended—
(1) in subparagraph (A) by inserting after ‘‘20
years’’ the following: ‘‘or, in the case of a disadvan-
taged community, the lesser of 40 years or the ex-
pected life of the project to be financed with the pro-
ceeds of the loan’’; and
(2) in subparagraph (B) by striking ‘‘not later
than 20 years after project completion’’ and insert-
ing ‘‘upon the expiration of the term of the loan’’.
(c) LOAN GUARANTEES
FOR INNOVATIVE TECH-
NOLOGY.—Section 603(d)(5) (33 U.S.C. 1383(d)(5)) is
amended to read as follows:
‘‘(5) to provide loan guarantees for—
‘‘(A) similar revolving funds established by
municipalities or intermunicipal agencies; and
‘‘(B) developing and implementing innova-
tive technologies.’’.
(d) ADMINISTRATIVE EXPENSES.—Section 603(d)(7)
(33 U.S.C. 1383(d)(7)) is amended by inserting before the
period at the end the following: ‘‘or $400,000 per year
or 1⁄2 percent per year of the current valuation of such
fund, whichever is greater, plus the amount of any fees
collected by the State for such purpose under subsection
(c)(2)’’.
(e) TECHNICAL
AND PLANNING ASSISTANCE
FOR
SMALL SYSTEMS.—Section 603(d) (33 U.S.C. 1383(d)) is
amended—
(1) by striking ‘‘and’’ at the end of paragraph
(6);
(2) by striking the period at the end of para-
graph (7) and inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(8) to provide to small systems technical and
planning assistance and assistance in financial man-
agement, user fee analysis, budgeting, capital im-
provement planning, facility operation and mainte-
nance, repair schedules, and other activities to im-
prove wastewater treatment plant operations; except
that such amounts shall not exceed 2 percent of all
grant awards to such fund under this title.’’.
(f) 
CONSISTENCY
WITH
PLANNING
REQUIRE-
MENTS.—Section 603(f) (33 U.S.C. 1383(f)) is amended
by striking ‘‘is consistent’’ and inserting ‘‘is not incon-
sistent’’.
(g) CONSTRUCTION ASSISTANCE.—Section 603(g)
(33 U.S.C. 1383(g)) is amended to read as follows:
‘‘(g) CONSTRUCTION ASSISTANCE.—
‘‘(1) PRIORITY LIST REQUIREMENT.—The State
may provide financial assistance from its water pol-
lution control revolving fund with respect to a
project for construction of a publicly owned treat-
ment works only if such project is on the State’s pri-
ority list under section 216 of this Act without re-
gard to the rank of such project on the State’s pri-
ority list.
‘‘(2) ELIGIBILITY
OF
CERTAIN
TREATMENT
WORKS.—A treatment works shall be treated as a
publicly owned treatment works for purposes of sub-
section (c) if the treatment works, without regard to
ownership, would be considered a publicly owned
treatment works and is principally treating munic-
ipal waste water or domestic sewage.’’.
(h) INTEREST RATES.—Section 603 is amended by
adding at the end the following:
‘‘(i) INTEREST RATES.—In any case in which a State
makes a loan pursuant to subsection (d)(1) to a disadvan-
taged community, the State may charge a negative inter-
est rate of not to exceed 2 percent to reduce the unpaid
principal of the loan. The aggregate amount of all such
negative interest rate loans the State makes in a fiscal
year shall not exceed 20 percent of the aggregate amount
of all loans made by the State from its revolving loan fund
in such fiscal year.
‘‘(j) DISADVANTAGED COMMUNITY DEFINED.—In
this section, the term ‘disadvantaged community’ means
the service area of a publicly owned treatment works with
respect to which the average annual residential sewage
treatment charges for a user of the treatment works meet
affordability criteria established by the State in which the
treatment works is located (after providing for public re-
view and comment) in accordance with guidelines to be
established by the Administrator, in cooperation with the
States.’’.
SEC. 5. AUTHORIZATION OF APPROPRIATIONS.
Section 607 (33 U.S.C. 1387) is amended by striking
‘‘the following sums:’’ and all that follows through the pe-
riod at the end of paragraph (5) and inserting
‘‘$3,000,000,000 for each of fiscal years 2000 through
2004.’’.
Æ