‘‘(B) to provide for public notification of a 
spill, overflow, or other discharge or release of 
pollution into waters of the United States or 
from point sources into areas in which there is 
a potential risk of public exposure.’’. 
(b) 
EXTENDED
REPAYMENT
PERIOD.—Section 
603(d)(1) (33 U.S.C. 1383(d)(1)) is amended— 
(1) in subparagraph (A) by striking ‘‘20 years’’ 
and inserting ‘‘the lesser of 30 years or the design 
life of the project to be financed with the proceeds 
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) 
FISCAL
SUSTAINABILITY
PLAN.—Section 
603(d)(1) (33 U.S.C. 1383(d)(1)) is further amended— 
(1) by striking ‘‘and’’ at the end of subpara-
graph (C); 
(2) by inserting ‘‘and’’ at the end of subpara-
graph (D); and 
(3) by adding at the end the following: 
‘‘(E) for any portion of a treatment works 
proposed for repair, replacement, or expansion, 
and eligible for assistance under section 
603(c)(1), the recipient of such assistance will 
VerDate Nov 24 2008 
21:59 Jul 15, 2009
Jkt 079200
PO 00000
Frm 00021
Fmt 6652
Sfmt 6201
E:\BILLS\H3202.IH
H3202
mstockstill on DSKH9S0YB1PROD with BILLS
develop and implement a fiscal sustainability 
plan that includes— 
‘‘(i) an inventory of critical assets 
that are a part of that portion of the treat-
ment works; 
‘‘(ii) an evaluation of the condition 
and performance of inventoried assets or 
asset groupings; 
‘‘(iii) a plan for maintaining, repair-
ing, and, as necessary, replacing that por-
tion of the treatment works and a plan for 
funding such activities; and 
‘‘(iv) a certification that the recipient 
has evaluated and will be implementing 
water and energy conservation efforts as 
part of the plan;’’. 
(d) EXPENSES OF ADMINISTERING STATE FUNDS.— 
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 1⁄5 percent per year of the current 
valuation of the fund, whichever amount is greatest, plus 
the amount of any fees collected by the State for such 
purpose regardless of the source’’. 
VerDate Nov 24 2008 
21:59 Jul 15, 2009
Jkt 079200
PO 00000
Frm 00022
Fmt 6652
Sfmt 6201
E:\BILLS\H3202.IH
H3202
mstockstill on DSKH9S0YB1PROD with BILLS
(e) ADDITIONAL SUBSIDIZATION.—Section 603 (33 
U.S.C. 1383) is amended by adding at the end the fol-
lowing: 
‘‘(i) ADDITIONAL SUBSIDIZATION.— 
‘‘(1) IN
GENERAL.—In any case in which a 
State provides assistance to a municipality or inter-
municipal, interstate, or State agency under sub-
section (d), the State may provide additional sub-
sidization, including forgiveness of principal and 
negative interest loans— 
‘‘(A) to benefit a municipality that— 
‘‘(i) meets the State’s affordability 
criteria established under paragraph (2); 
or 
‘‘(ii) does not meet the State’s afford-
ability criteria if the recipient— 
‘‘(I) seeks additional subsidiza-
tion to benefit individual ratepayers in 
the residential user rate class; 
‘‘(II) demonstrates to the State 
that such ratepayers will experience a 
significant hardship from the increase 
in rates necessary to finance the 
project or activity for which assistance 
is sought; and 
VerDate Nov 24 2008 
21:59 Jul 15, 2009
Jkt 079200
PO 00000
Frm 00023
Fmt 6652
Sfmt 6201
E:\BILLS\H3202.IH
H3202
mstockstill on DSKH9S0YB1PROD with BILLS
‘‘(III) ensures, as part of an as-
sistance agreement between the State 
and the recipient, that the additional 
subsidization 
provided 
under 
this 
paragraph is directed through a user 
charge rate system (or other appro-
priate method) to such ratepayers; or 
‘‘(B) to implement an innovative or alter-
native process, material, technique, or tech-
nology (including low-impact technologies, non-
structural protection of surface waters, a new 
or improved method of waste treatment, and 
nutrient pollutant trading) that may result in 
greater environmental benefits, or equivalent 
environmental benefits at reduced cost, when 
compared to a standard process, material, tech-
nique, or technology. 
‘‘(2) AFFORDABILITY CRITERIA.— 
‘‘(A) ESTABLISHMENT.—On or before Sep-
tember 30, 2010, and after providing notice 
and an opportunity for public comment, a State 
shall establish affordability criteria to assist in 
identifying municipalities that would experience 
a significant hardship raising the revenue nec-
essary to finance a project or activity eligible 
VerDate Nov 24 2008 
21:59 Jul 15, 2009
Jkt 079200
PO 00000
Frm 00024
Fmt 6652
Sfmt 6201
E:\BILLS\H3202.IH
H3202
mstockstill on DSKH9S0YB1PROD with BILLS
for assistance under section 603(c)(1) if addi-
tional subsidization is not provided. Such cri-
teria shall be based on income data, population 
trends, and other data determined relevant by 
the State. 
‘‘(B) EXISTING CRITERIA.—If a State has 
previously established, after providing notice 
and an opportunity for public comment, afford-
ability criteria that meet the requirements of 
subparagraph (A), the State may use the cri-
teria for the purposes of this subsection. For 
purposes of this Act, any such criteria shall be 
treated as affordability criteria established 
under this paragraph. 
‘‘(3) PRIORITY.—A State may give priority to a 
recipient for a project or activity eligible for funding 
under section 603(c)(1) if the recipient meets the 
State’s affordability criteria. 
‘‘(4) LIMITATION.—The total amount of addi-
tional subsidization provided under this subsection 
by a State may not exceed 30 percent of the total 
amount of capitalization grants (less the amounts 
required to be allocated in accordance with section 
607) received by the State under this title in fiscal 
years beginning after September 30, 2009.’’. 
VerDate Nov 24 2008 
21:59 Jul 15, 2009
Jkt 079200
PO 00000
Frm 00025
Fmt 6652
Sfmt 6201
E:\BILLS\H3202.IH
H3202
mstockstill on DSKH9S0YB1PROD with BILLS