Union Calendar No. 60
103D CONGRESS
1ST SESSION
H. R. 1865
[Report No. 103–115]
A BILL
To direct the Administrator of the Environmental
Protection Agency to make grants to States for
the purpose of financing the construction, reha-
bilitation, and improvement of water supply sys-
tems, and for other purposes.
MAY 27, 1993
Reported with an amendment, committed to the Commit-
tee of the Whole House on the State of the Union, and
ordered to be printed
1B
103D CONGRESS
1ST SESSION
H. R. 1865
[Report No. 103–115]
To direct the Administrator of the Environmental Protection Agency to make
grants to States for the purpose of financing the construction, rehabilita-
tion, 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. BOEH-
LERT) introduced the following bill; which was referred to the Committee
on Public Works and Transportation
MAY 27, 1993
Additional sponsor: Mr. FALEOMAVAEGA
MAY 27, 1993
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
[For text of introduced bill, see copy of bill as introduced on April 27, 1993]
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 improve-
ment of water supply systems, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
pollution control revolving loan fund programs established
pursuant to title VI of the Federal Water Pollution Control
Act, if any, to provide assistance for the construction, reha-
bilitation, and improvement of water supply systems.
SEC. 5. GRANT AGREEMENTS.
(a) GENERAL RULE.—To receive a grant with funds
made available under this Act, a State shall enter into an
agreement with the Administrator which shall include, but
not be limited to, the specifications set forth in subsection
(b) of this section.
(b) SPECIFIC REQUIREMENTS.—The Administrator
shall enter into an agreement under this section with a
State only after the State has established to the satisfaction
of the Administrator that—
(1) the State will accept grant payments with
funds to be made available under this Act and will
deposit all such payments in the water supply con-
struction account established by the State in accord-
ance with this Act;
(2) if the State has a water pollution control re-
volving fund established in accordance with title VI
of the Federal Water Pollution Control Act, the State
will establish the water supply construction account
as a separate account in such fund;
(3) the State will deposit in the water supply
construction account from State moneys an amount
equal to at least 20 percent of the total amount of all
grants which will be made to the State with funds to
be made available under this Act on or before the date
on which each grant payment will be made to the
State under this Act;
(4) the State will enter into binding commit-
ments to provide assistance in accordance with the re-
quirements of this Act an amount equal to 120 per-
cent of the amount of each such grant payment with-
in 1 year after the receipt of such grant payment;
(5) the State will not make available any assist-
ance from the account unless the State has first deter-
mined that the applicant—
(A) has adopted or will adopt a system of
charges to assure that each recipient of water
supply services within the applicant’s jurisdic-
tion will pay its proportionate share of the cost
of operation and maintenance (including re-
placement) of any such services provided by the
applicant; and
(B) has legal, institutional, managerial,
and financial capability to ensure adequate con-
struction, operation, and maintenance of water
supply systems throughout the applicant’s juris-
diction;
(6) the State will take such action as may be
necessary to ensure that, after construction, rehabili-
tation, and improvement of a water supply system
undertaken with funds directly made available by
grants under this Act, such system will provide water
supply services at the most economical cost;
(7) the State will take such action as may be
necessary with respect to construction, rehabilitation,
and improvement of a water supply system under-
taken with funds directly made available by grants
under this Act as the Administrator is required to
take under section 513 of the Federal Water Pollution
Control Act with respect to treatment works carried
out with assistance provided under such Act; and
(8) the State will make annual reports to the Ad-
ministrator on the actual use of funds in accordance
with section 606(d) of the Federal Water Pollution
Control Act.
SEC. 6. INCORPORATION OF FWPCA BY REFERENCE.
(a) GENERAL RULE.—The provisions of title VI of the
Federal Water Pollution Control Act shall apply as pro-
vided in this Act to accounts established by States under
this Act. For purposes of this Act, any reference to the Fed-
eral Water Pollution Control Act and to any section thereof
shall be treated as a reference to such Act or section as in
effect on the date of the enactment of this Act.
(b) TYPES OF ASSISTANCE.—Section 603(d) of the
Federal Water Pollution Control Act shall apply to accounts
established by States under this Act to the same extent and
in the same manner as such section applies to water pollu-
tion control revolving funds under such Act; except that the
percentage of grant awards available for administrative ex-
penses under paragraph (7) of such section shall be 5 per-
cent instead of 4 percent.
(c) CORRECTIVE ACTION.—Section 605 of such Act
shall apply to a State’s agreement with the Administrator
under this Act and to requirements of this Act to the same
extent and in the same manner as such section applies to
a State’s agreement under section 602 of such Act and the
requirements of title VI of such Act.
(d) AUDITS, REPORTS, AND FISCAL CONTROLS.—Sub-
sections (a), (b), (d), and (e) of section 606 of such Act shall
apply to a State establishing an account under this Act
and to such account to the same extent and in the same
manner as such subsections apply to a State establishing
a water pollution control revolving fund under title VI of
such Act and to such fund.
SEC. 7. WATER SUPPLY CONSTRUCTION REVOLVING LOAN
FUNDS.
(a) REQUIREMENTS
FOR
OBLIGATION
OF
GRANT
FUNDS.—Before a State may receive a grant with funds
made available under this Act, the State shall first establish
a water supply construction account which complies with
the requirements of this Act.
(b) ADMINISTRATOR.—Each State water supply con-
struction account shall be administered by an instrumental-
ity of the State with such powers and limitations as may
be required to operate such account in accordance with the
requirements and objectives of this Act.
(c) PROJECTS
ELIGIBLE
FOR
ASSISTANCE.—The
amounts of funds available to each State water supply con-
struction account shall be used only for providing financial
assistance for construction, rehabilitation, and improve-
ment of a water supply system. The account shall be estab-
lished, maintained, and credited with repayments, and the
account balance shall be available in perpetuity for provid-
ing such financial assistance.
(d) TYPES OF ASSISTANCE.—In addition to the types
of assistance which may be made available under section
603(d) of the Federal Water Pollution Control Act from a
water supply construction account of a State under this
Act—
(1) such account may be used to provide tech-
nical assistance with respect to construction, rehabili-
tation, and improvement of water supply systems;
and
(2) the interest derived from funds in such ac-
count or from loans made from such account may be
used by the State to make grants to pay up to 50 per-
cent of the cost of construction, rehabilitation, and
improvement of a water supply system.
SEC. 8. ALLOTMENT OF FUNDS.
(a) FISCAL YEAR 1994.—Sums authorized to be ap-
propriated pursuant to this Act for fiscal year 1994 shall
be allotted for such year by the Administrator not later than
the 10th day which begins after the date of the enactment
of this Act. Sums authorized for such fiscal year 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
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.
(b) FISCAL YEARS 1995 AND 1996.—Sums authorized
to be appropriated pursuant to this Act for each of fiscal
years 1995 and 1996 shall be allotted by the Administrator
in accordance with the relative needs of the States for con-
struction, rehabilitation, and improvement of water supply
systems as determined by the Administrator, in consulta-
tion with the States.
(c) RESERVATION OF FUNDS FOR INDIAN TRIBES.—
Notwithstanding subsections (a) and (b) of this section, the
Administrator shall reserve for each fiscal year not to exceed
1.5 percent of the amount made available to carry out this
Act for such fiscal year for the purpose of making grants
to Indian tribes for construction, rehabilitation, and im-
provement of water supply systems.
(d) ALLOTMENT PERIOD.—
(1) PERIOD
OF
AVAILABILITY
FOR
GRANT
AWARD.—Sums allotted to a State under this section
for a fiscal year shall be available for obligation by
the State during the fiscal year for which sums are
authorized and during the following fiscal year; ex-
cept that for sums allotted in fiscal year 1994, such
period of availability shall be fiscal years 1994–1996.
(2) REALLOTMENT OF UNOBLIGATED FUNDS.—
The amount of any allotment not obligated by the
State by the last day of the period of availability es-
tablished by paragraph (1) shall be immediately real-
lotted by the Administrator on the basis of the same
ratio as is applicable to sums allotted under this Act
for the second fiscal year of such period. None of the
funds reallotted by the Administrator shall be reallot-
ted to any State which has not obligated all sums al-
lotted to such State in the first fiscal year of such
period.
SEC. 9. DETERMINATION OF PRIORITY.
Each State establishing a water supply construction
account shall determine the priority to be given projects for
construction, rehabilitation, and improvement of water sup-
ply systems within the boundaries of the State taking into
account the relative financial and other needs for such con-
struction, rehabilitation, and improvement.
SEC. 10. NEEDS SURVEY.
(a) IN GENERAL.—The Administrator, in cooperation
with the States, shall make—
(1) a detailed estimate, biennially revised, of the
cost of needed construction, rehabilitation, and im-
provement of water supply systems in all of the States
and of the cost of needed construction in each of the
States; and
(2) a comprehensive study of the economic im-
pact on affected units of government of the cost of in-
stallation of water supply systems and parts thereof.
(b) SUBMISSION TO CONGRESS.—The Administrator
shall submit the detailed estimate and the comprehensive
study of costs under subsection (a) to Congress no later than
January 1, 1996, and January 1 of each even-numbered
year thereafter. The Administrator shall also submit rec-
ommendations for allotment of funds under this Act to the
States based on such estimates and on such additional fac-
tors as the Administrator deems appropriate, including fi-
nancial need. Whenever the Administrator, pursuant to this
section, requests and receives an estimate of cost from a
State, the Administrator shall furnish copies of such esti-
mate together with such detailed estimate to Congress.
SEC. 11. BUY AMERICAN.
(a) SENSE OF CONGRESS.—It is the sense of Congress
that a recipient of assistance under this Act should purchase
American-made equipment and products.
(b) NOTICE.—The Administrator shall provide to each
recipient of assistance under this Act a notice describing
the sense of Congress set forth in subsection (a).
SEC. 12. DEFINITIONS.
In this Act, the following definitions apply:
(1) 
ADMINISTRATOR.—The 
term 
‘‘Adminis-
trator’’ means the Administrator of the Environ-
mental Protection Agency.
(2) INDIAN TRIBE.—The term ‘‘Indian tribe’’ has
the meaning such term has under section 518 of the
Federal Water Pollution Control Act and includes
Alaska Native Villages and former Indian reserva-
tions in Oklahoma.
(3) STATE.—The term ‘‘State’’ means a State,
the District of Columbia, the Commonwealth of Puer-
to Rico, the Virgin Islands, Guam, American Samoa,
the Commonwealth of the Northern Mariana Islands,
and the Trust Territory of the Pacific Islands.
(4) WATER SUPPLY SYSTEM.—The term ‘‘water
supply system’’ means a system (owned by a govern-
mental entity, a nonprofit organization, or any other
private person regulated by a State public utility
commission and having the greatest public need for
assistance under this Act) for the provision to the
public of piped water for human consumption, if such
system has at least 15 service connections or regularly
serves at least 25 individuals. Such term includes (A)
any collection, treatment, storage, and distribution
facilities under control of the operator of such system
and used primarily in connection with such system,
and (B) any collection or pretreatment facilities not
under such control that are used primarily in connec-
tion with such system.
SEC. 13. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated for purposes
of this Act the following sums:
(1) $599,000,000 for fiscal year 1994;
(2) $1,000,000,000 for fiscal year 1995; and
(3) $1,000,000,000 for fiscal year 1996.