‘‘(I) Implementation of measures to en-
hance the security of publicly owned treatment 
works. 
‘‘(J) Replacement and rehabilitation of 
treatment works to intercept, transport, control, 
or treat municipal combined sewer overflows 
and sanitary sewer overflows. 
‘‘(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) LOAN GUARANTEES.—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.’’. 
(c) 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)’’. 
(d) 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 a semicolon; 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; and’’. 
(e) GRANTS TO FINANCIALLY DISTRESSED COMMU-
NITIES.—Section 603(d) (33 U.S.C. 1383(d)) is further 
amended by adding at the end the following:
‘‘(9) to make grants to financially distressed 
communities in the State in the amounts specified in 
subsection (i).’’. 
(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) FINANCIALLY DISTRESSED COMMUNITIES.—Sec-
tion 603 is amended by adding at the end the following: 
‘‘(i) FINANCIALLY DISTRESSED COMMUNITIES.— 
‘‘(1) GRANTS.— 
‘‘(A) IN GENERAL.—In any fiscal year in 
which the Administrator has available for obli-
gation more than $1,400,000,000 for the pur-
poses of this title, a State shall make grants to 
financially distressed communities in the State 
in an amount equal to 25 percent of the dif-
ference between— 
‘‘(i) the total amount that would have 
been allotted to the State under section 
604 for such fiscal year if the amount 
available to the Administrator for obliga-
tion under this title for such fiscal year 
had been equal to $1,400,000,000; and 
‘‘(ii) the total amount allotted to the 
State under section 604 for such fiscal 
year. 
‘‘(B) PERIOD OF AVAILABILITY.—Notwith-
standing section 604(c), amounts to be used by 
a State under this paragraph for making grants 
to financially distressed communities shall re-
main available to the State until expended.
‘‘(C) CERTIFICATION.—A State may make 
a grant to a financially distressed community 
under this paragraph only if the community 
certifies to the State that the amounts of the 
grant will be used to improve water quality. 
‘‘(2) PRIORITY FOR LOANS.—A State may give 
priority to a financially distressed community in 
making loans from its water pollution control revolv-
ing fund. 
‘‘(3) FINANCIALLY
DISTRESSED
COMMUNITY 
DEFINED.—In this section, the term ‘financially dis-
tressed community’ means any community that 
meets affordability criteria established by the State 
in which the treatment works is located, if such cri-
teria are developed after public review and comment. 
‘‘(4) INFORMATION
TO
ASSIST
STATES.—The 
Administrator may publish information to assist 
States in establishing affordability criteria under 
paragraph (3).’’. 
SEC. 5. ASSET MANAGEMENT. 
Title VI (33 U.S.C. 1381 et seq.) is amended— 
(1) by redesignating section 607 as section 608; 
and 
(2) by inserting after section 606 the following:
‘‘SEC. 607. ASSET MANAGEMENT. 
‘‘(a) IN GENERAL.—The Administrator shall provide 
technical and financial assistance to owners and operators 
of publicly-owned treatment works for the following activi-
ties: 
‘‘(1) Performing an inventory of critical treat-
ment works assets. 
‘‘(2) Evaluating the condition and performance 
of inventoried assets or asset groupings. 
‘‘(3) Developing a plan for maintaining, repair-
ing, and replacing treatment works and for funding 
such activities. 
‘‘(b) AUTHORIZATION OF APPROPRIATIONS.—There 
is authorized to be appropriated to carry out this section 
$10,000,000 for each of fiscal years 2006 through 2010. 
Such sums shall remain available until expended.’’. 
SEC. 6. AUTHORIZATION OF APPROPRIATIONS. 
Section 608, as redesignated by section 5 of this Act, 
is amended by striking paragraphs (1) through (5) and 
inserting the following: 
‘‘(1) $3,000,000,000 for fiscal year 2006; 
‘‘(2) $4,000,000,000 for fiscal year 2007; 
‘‘(3) $5,000,000,000 for fiscal year 2008; 
‘‘(4) $6,000,000,000 for fiscal year 2009; and 
‘‘(5) $7,000,000,000 for fiscal year 2010.’’. 
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