Three Democratic lawmakers have asked the Government Accountability Office to study potential funding schemes available as revenue sources to set up a Clean Water Trust Fund.

Reps. James Oberstar (Minn.), Eddie Bernice Johnson (Texas), and Earl Blumenauer (Ore.) wrote to Comptroller General David Walker Jan. 28 seeking his assistance in analyzing potential sources of revenue that are broad-based, equitable, and support annual funding of at least $10 billion. The revenue also must be efficiently collected, according to the letter, which was released Jan. 30.

Oberstar heads the House Transportation and Infrastructure Committee, while Johnson chairs its Subcommittee on Water Resources and the Environment. Blumenauer is a member of the House Ways and Means Committee that has jurisdiction over revenue and tax-related issues.

"The creation of a dedicated source of funding is necessary to ensure that our communities have adequate funding to address current and future water infrastructure needs," the lawmakers wrote.

A Clean Water Trust Fund "would provide a deficit-neutral, sustainable, and long-term federal contribution to protecting existing water resources at the lowest possible cost," the letter added.

In an accompanying statement, Johnson cited government estimates that show about $300 billion to $500 billion must be spent over the next 20 years to maintain and upgrade the nation's water infrastructure. EPA also released a survey of wastewater utility needs, showing that $202.5 billion will be needed in the next 20 years to replace, rehabilitate, expand, or upgrade collection and treatment systems (11 DEN A-8, 1/17/08  ).

House, Senate Action

In April, the House passed the Water Quality Financing Act of 2007 (H.R. 720), which authorizes $14 billion to capitalize the clean water state revolving fund program (SRF). The program offers low-interest loans to upgrade wastewater facilities and to reduce nonpoint sources of pollution. The bill contained a provision that authorized a study about studying funding sources for a trust fund (47 DEN A-13, 3/12/07  ).

But with legislation stalled in the Senate and "because the need for investment is increasing every day, we are requesting the GAO study the issue now rather than wait for Senate action," Johnson said.

The three Democrats said the study should be completed no later than Jan. 15, 2009, and be conducted in consultation with federal, state, and local agencies as well as representatives of wastewater industry and business and other interested groups.

An aide to the Senate Environment and Public Works Committee told BNA earlier this month that it is developing its own legislation to resolve the aging wastewater infrastructure crisis. It is not using the House bill as the basis for its legislation.

Support for Trust Fund

The National Association of Clean Water Agencies, which represents the interests of 300 publicly owned wastewater utilities, has been a long-time proponent of a trust fund.
In a statement, Ken Kirk, NACWA's executive director, said local communities already pay more than 95 percent of the cost of meeting their obligations under the Clean Water Act.

" Without a strong federal recommitment to clean water in the form of a trust fund, communities risk losing the gains they have made over the past 35 years to clean up the nation's waters," Kirk said. "This study will help set the stage for moving toward a long-term, sustainable funding source to ensure communities can continue to provide the clean and safe water expected by their customers."

By Amena H. Saiyid