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Congress advanced many initiatives of importance during an active first year of the 111th Congress.  Shortly after convening, Congress turned its attention towards the enactment of the American Recovery and Reinvestment Act of 2009 (ARRA), which provided significant infrastructure investments, including clean water, as a way to stimulate the economy during the largest economic downturn since the Great Depression.   Following this, many bills advanced including the reauthorization of the U.S. Environmental Protection Agency’s (EPA) Clean Water and Drinking Water State Revolving Loan Funds CWSRF & DWSRF).  The House approved The Water Quality Investment Act (H.R.1262) while the Senate Environment and Public Works (EPW) Committee gave approval to The Water Infrastructure Financing Act (S. 1005) — which awaits full Senate action.  In addition, The Water Protection and Reinvestment Act of 2009 (H.R. 3202) was introduced gaining 27 co-sponsors.  The U.S. House of Representatives and the Senate EPW Committee also approved legislation to address the challenges associated with global climate change, including mitigation and adaptation funding for water and wastewater utilities due in large part to the efforts of NACWA and a coalition of groups organized by the association.  Finally, the Green Infrastructure for Clean Water Act of 2009 was introduced late in the year, demonstrating the growing importance of green infrastructure in the national policy arena. NACWA also made significant legislative progress in the arenas of chemical security as well as affordability/financial capability.

Building on the successes of 2009, NACWA staff expects 2010 to be an even more active year on the legislative front.  In 2010 NACWA will continue to press forward on priority legislation already introduced and will build support for the introduction of legislation that seeks to address water quality issues via an holistic, watershed basis.  NACWA’s staff thanks you for your support during 2009 and looks forward to an exciting and successful 2010.

This edition of NACWA’s Legislative Update, current through December 18, 2009, provides information on the activities of the 111th Congress of interest to the nation’s publicly owned treatment works (POTWs).   For more detailed information regarding NACWA activities related to specific legislation, click on the web links in selected news items, visit NACWA’s website, or contact Pat Sinicropi at This e-mail address is being protected from spambots. You need JavaScript enabled to view it or (202) 533-1823. 

Funding and Appropriations

NACWA Advocates for Increased Clean Water Funding in Jobs Bill, Trust Fund

In November and December NACWA continued advocacy efforts for increased funding for the nation’s clean water needs.  Specifically, we were early advocates for water infrastructure funding as part of a new job creation initiative currently under consideration by Congress, and we continued to build support for, The Water Protection and Reinvestment Act of 2009 (H.R. 3202).

Job Creation Efforts Take Shape in Washington, D.C., NACWA Presses for Water Funding

With the national unemployment rate hovering around 10 percent for much of November and December, policymakers in the legislative and executive branch turned their attention toward job creation. NACWA and members of the Water Infrastructure Network (WIN) were among the first to press for water infrastructure funding with key members of Congress and the executive branch.  These efforts resulted in the U.S. House of Representatives including $2 billion for water infrastructure with $1 billion directed towards the Clean Water State Revolving Fund (CWSRF) and $1 billion for the Drinking Water State revolving Fund (DWSRF).

The funds included for water infrastructure are part of the “Jobs for Main Street” plan unveiled by House leadership on Tuesday, December 15, 2009.  State/local matching requirements for CWSRF funding provided by the Clean Water Act are waived and funding priority is to be given to projects on state priority lists that are “ready-to-go”.  Further, states have been directed to ensure that at least half of the funds they allocate are given in the form of principal forgiveness, negative interest loans and/or grant equivalents.  Also included in the legislation is the “Green Reserve” set-aside which requires 20 percent of funds provided to be directed towards green infrastructure, water or energy efficiency and other environmentally innovative activities provided there are sufficient applications to do so.  Finally, states are required to have all funds under contract within 8 months of the date of enactment or risk having the funds reallocated to other entities.  NACWA will now turn its attention to the Senate where we will look to boost the funding levels provided by the House.

At the outset, on November 17, 2009 representatives from NACWA and WIN met with staff for Senator Dick Durbin (D-Ill.) to ask for his help in scheduling Senate floor debate for The Water Infrastructure Financing Act (S. 1005),  which would reauthorize the CWSRF and the DWSRF over a five-year period at approximately $40 billion. This effort, however, had stalled in the Senate.  During this meeting, Senator Durbin’s staff raised the topic of a job creation initiative through infrastructure spending.  In response, NACWA and WIN submitted a white paper outlining the need for additional federal investments and the potential jobs that could be created.  The white paper requested $20 billion in funding to be available in the form of negative interest loans or grants – potentially generating up to 400,000 jobs.   In addition, NACWA suggested that any new federal investment in water or wastewater infrastructure that would be part of a job creation package be targeted to those areas that had significant projects that could create jobs quickly. 

Following completion, NACWA and WIN shared this proposal with key leadership in Congress charged with drafting a job creation bill.  Specifically, NACWA briefed the Office of Senator Richard Durbin (D-Ill.), chief architect in the Senate, and the office of Rep. George Miller (D-Calif.), chief architect in the House and Chairman of the Democratic Policy Committee.  In addition, NACWA shared the proposal with senior level staff on the House and Senate Appropriations Committee, the House Transportation and Infrastructure Committee as well as the Senate Environment and Public Works Committee.  The proposal was also shared with senior level staff in the White House.

The Water Protection and Reinvestment Act

NACWA also continued to build support and momentum for the Water Protection and Reinvestment Act of 2009.  During November and December, NACWA, working with other stakeholders, held more than 30 meetings on Capitol Hill to build support for the legislation.  As a result of our ongoing outreach 4 additional co-sponsors were added to the bill:  George Miller (D-Calif.), Eleanor Holmes Norton (D-D.C.), Luis Gutierrez (D- Ill.), and Jim McDermott (D-Wash.). As we continue to pursue additional support in Washington, D.C. we encourage you to do so locally.  This can be done by engaging local elected officials, constituent groups and interest organizations to inform them on the need for a long-term sustainable funding source for water and wastewater infrastructure and the benefits it will bring to your local community.  Local organizations that are supportive of the measure should be encouraged to contact their congressional representative(s) to inform them of the strong local support that exists for the bill.

To assist with your outreach efforts, NACWA has made available an array of educational materials on its Clean Water Funding Network website, www.cleanwaterfunding.org. These materials include sample letters of support to send to your Representatives, press kits, and other outreach tools.  Please contact NACWA’s Pat Sinicropi at (202) 533-1823 or John Krohn (202) 833-4655 for more information about this important effort.

NACWA Member Testifies on Implementation of Recovery Act SRF Provisions

On November 4, 2009 Michael Gritzuk, Director, Pima County Regional Wastewater Reclamation Department, testified on behalf of NACWA before the House Transportation and Infrastructure Committee regarding the local perspective on the implementation of Clean Water State Revolving Fund (CWSRF) money provided under the American Recovery and Reinvestment Act of 2009 (ARRA).

Mr. Gritzuk’s testimony highlighted the benefits that were realized by wastewater utilities and local communities as a result of the ARRA funding.  In delivering this message, Mr. Gritzuk highlighted his agency’s Plant Interconnect Project as an example of what has been achieved through the investments provided by ARRA.  The Plant Interconnect Project connects the Department’s two major water reclamation facilities for optimal utilization of treatment plant capacity and meets the wastewater growth needs in Pima County through 2030.

In his testimony, Mr. Gritzuk provided the committee with recommendations on how to improve future stimulus funding allocations for the CWSRF.  Specifically, his testimony recommended that any future distribution of funds be based on job creation and shovel readiness, rather than on states’ pre-existing priority criteria or on single indicators such as affordability and median household income.

In the current implementation of stimulus funding under the ARRA, EPA reliance on affordability criteria in funding distribution resulted in many large metropolitan population centers receiving a relatively small portion of funds provided by ARRA.  Mr. Gritzuk highlighted that these communities tend to be places most affected by the economic downturn while at the same time they are the most capable of moving forward quickly with stimulus-funded projects and thereby generating the fastest job creation impact.

FY 2010 Interior Appropriations Bill Includes SRF Requirements for SRF Programs

On October 30, 2009 the Fiscal Year 2010 Interior Appropriations bill (P.L.111-88) was enacted into law.  The legislation provides funding for the EPA and the CWSRF and DWSRF, among other programs.  Congress appropriated $2.1 billion for the CWSRF and $1.387 billion for the DWSRF. The funding level for the CWSRF represents a significant increase in funding over the previous eight years though given the overall budget deficit going into next year, it will be difficult to maintain this level of funding for the programs.  In addition to providing funding, the legislation enacted a new requirement which dictates the application of Davis-Bacon Act requirements into the SRF program.  To comply with this provision, states must include in all assistance agreements a provision requiring the application of Davis-Bacon Act requirements for the entirety of construction activities financed by the assistance agreement through completion of construction.  Application of these requirements will extend to all agreements executed on or after October 30, 2009 and prior to October 1, 2010, whether the source of funding is from the prior year’s appropriations, state match, bond proceeds, interest earnings, principal repayments or any other source of financing so long as the project is financed by an SRF assistance agreement.

The Green Infrastructure for Clean Water Act of 2009 Introduced in the House

On December 3, 2009 Congresswoman Donna Edwards (D-Md.) introduced H.R. 4202, The Green Infrastructure for Clean Water Act of 2009, which seeks to establish a competitive grant program to provide resources to communities to plan, design, and implement green infrastructure projects for stormwater management.  Joining Congresswoman Edwards as original co-sponsors of the bill are Congressman Russ Carnahan (D-Mo.) and Congressman Steve Driehaus (D-Ohio).  In addition to providing a Federal stream of funding for Green Infrastructure projects, the legislation would establish up to five Centers of Excellence on Green Infrastructure to undertake research on best management practices and provide technical assistance to communities interested in adopting Green Infrastructure practices.  The legislation would also require EPA to examine ways green infrastructure can be integrated in how the agency administers its water programs.

Despite being recently introduced, the legislation has already gained the attention of House Transportation and Infrastructure Committee Chairman James Oberstar (D-Minn.).  According to the office of Congresswoman Edwards, Chairman Oberstar has indicated his interest in moving the bill forward during the 111th Congress.  With this in mind, NACWA staff will work with the Transportation and Infrastructure Committee, Congresswoman Edwards and other committed stakeholders in the coming months to ensure the committee has the support needed to move the bill in a timely manner.

The introduction of the bill was met with excitement on Capitol Hill and represents the collaboration of a number of key stakeholder groups that helped to develop and the bill and ensure its introduction.  The Natural Resources Defense Council (NRDC), American Rivers, the American Public Works Association (APWA), the Water Environment Foundation (WEF), the Center for Neighborhood Technology (CNT), Clean Water Action and the Association of State and Interstate Water Pollution Control Administrators (ASIWPCA) helped NACWA ensure the bill’s introduction and will be seeking to add co-sponsors throughout 2010.

Senate Environment Committee Reports Climate Legislation

In November, the Senate EPW Committee reported legislation that would establish a cap and trade system to reduce greenhouse gas emissions and begin moving the country away from reliance on fossil fuels.  The legislation passed the Committee along a party line vote with no Republican voting in favor of the bill.  S. 1733, the Clean Energy Jobs and American Power Act, would begin mitigating greenhouse gas emissions at major power plants across the country while providing federal funding for more energy efficient and renewable forms of electricity.  Stationary sources that combust fuel and emit the equivalent of 25 metric tons of C02 or greater would be subject to the cap.  NACWA anticipates that very few wastewater treatment plants fall into this category.

The legislation also includes programs to help the country adapt to climate change including a program to assist water, wastewater and stormwater utilities manage the inevitable impacts climate change will have on water resources.  The program is called the Water Mitigation and Adaptation Partnership (WMAP) Program.  NACWA helped lead a coalition of water associations to push for inclusion of this program in the Senate climate package and represents a major victory for the water and wastewater sector given that water issues are now being seriously considered by policy-makers on Capitol Hill with respect to climate change.  The Senate bill would provide funding for the program in the form of credit allowances generated from a GHG cap and trade system and would be administered by States.

Apart from the adaptation program, NACWA is pursuing language in the bill which would ensure that energy produced using biogas or solids generated at the wastewater treatment plant qualifies as biomass for the purposes of receiving credit under a Renewable Electricity Portfolio Standard.  This would essentially create a renewable energy market for wastewater treatment utilities that produce energy on-site and want to sell it to the grid.  We are working with Senator Stabenow (D-Mo.) and Senator Kerry (D-Mass.) to insert this language.

The legislation faces an unclear path in the Senate where up to five additional committees may seek jurisdiction over the bill.   Currently three Senators are trying to work out compromise language that would attract Republican votes to overcome a filibuster and ensure passage of the measure.  The Senators are Senator John Kerry, Senator Joe Lieberman (I-Conn.) and Senator Lindsey Graham (R-S.C.).  Efforts by these Senators to craft compromise legislation are ongoing with some expecting to see a broad outline of their proposal in the coming weeks.  In all likelihood, the compromise package will maintain programs targeted for domestic adaptation, including the WMAP.   Senate Majority Leader Harry Reid (D-Nev.) has indicated that the Senate will likely take up climate legislation in the spring after it debates financial reform legislation.

House Passes Energy and Water Research Bill

On December 1, the U.S. House of Representatives passed by voice vote H.R. 3598, The Energy and Water Research Integration Act.  The legislation, sponsored by Rep. Bart Gordon (D-Tenn.) relates to the relationship of water resources and energy production and directs the Secretary of Energy to undertake a number of initiatives in research and planning.

The bill requires that the Secretary of Energy, in carrying out research and development, consider the advancement of technologies that would increase water use efficiency and nontraditional water sources in energy production processes.  Further, the legislation requires the Secretary to improve the understanding of energy requirements needed to provide water services as well the water requirements needed in providing energy supplies. The legislation also directs the Secretary to consider the effects of climate change on water supplies and any subsequent effects that may have on energy generation.

The bill would also establish an Energy-Water Architecture Council which would be tasked with establishing protocols and standards for data collection, in order to analyze the relationship between water and energy in the production of both resources.

Finally, the legislation requires the Secretary of Energy to develop a strategic plan outlining the research and development needs for making water use in energy production more efficient.   The plan must set benchmarks for water recovery and reuse, the use of nontraditional water sources, energy production from water collection and distribution systems, the use of biomass and its impact on water systems.

With House passage complete, the bill now moves to the Senate where it has been referred to the Energy and Natural Resources Committee.  NACWA will keep members informed of new developments as this legislation moves forward.

Chemical Security Legislation Passes the U.S. House of Representatives

The U.S. House of Representatives on November 6, 2009 approved The Chemical and Water Security Act of 2009 by a vote of 230 – 193, predominantly along party lines.  NACWA worked to ensure that wastewater and drinking water security fall under the purview of the EPA to avoid any duplicative federal regulatory authority for joint-use utilities.  Originally, proposals in Congress placed regulatory authority for drinking water utilities with the EPA while wastewater utilities fell under the auspices of the Department of Homeland Security (DHS).

After an aggressive advocacy campaign, in October NACWA was successful in securing the endorsement of the Obama Administration for our position of EPA oversight of water security.  This development provided significant momentum for our efforts on Capitol Hill and resulted in Congress providing EPA the regulatory authority for security activities at both drinking water and wastewater utilities.

The House bill would require any utility operating at or above 2.5 mgd to complete a Vulnerability Assessment (VA), Site Security Plan (SSP) and Emergency Response Plan (ERPs) every five years or when a significant operational change is made at the POTW.  For those facilities that use a substance of concern at threshold levels as determined by the EPA Administrator, e.g. gaseous chlorine, they would also be required to examine the use of inherently safer technologies and submit these findings to their state primacy agency for review.  To assist with these new requirements, the legislation authorizes $1 billion in grants over a five year period that can be used to enhance the overall security of wastewater treatment facilities or to comply with the requirements of the Act. 
With House passage complete, the Senate will likely begin drafting its version of the legislation in 2010.  As in the House, NACWA will advocate for changes in the bill to ensure the legislation takes into account public wastewater utilities’ unique challenges and considerations.  Specifically, NACWA will work to ensure that legislation produced by the Senate only applies to those utilities utilizing a chemical of concern in their treatment processes.  In addition, we will seek to avoid duplicative requirements and minimize "inherently safer technology" reviews, among other issues.

Recently Introduced Legislation of Interest

Each month the Legislative Update will include a brief list of legislation of interest that has been recently introduced and which is not referenced in the articles above.  Should you have any questions, or wish to share your thoughts and opinions on any of the legislation listed in this section, please do not hesitate to contact NACWA’s Pat Sinicropi at (202) 533-1823 or John Krohn (202) 833-4655:

The Puget Sound Recovery Act of 2009 (H.R.4029) (Introduced on 11/5/2009) To amend the Federal Water Pollution Control Act to provide assistance for programs and activities to protect the water quality of Puget Sound, and for other purposes.