[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1701 Introduced in House (IH)]

103d CONGRESS
  1st Session
                                H. R. 1701

To amend title XVI of the Public Health Service Act (the Safe Drinking 
 Water Act) to establish State revolving funds to provide for drinking 
          water treatment facilities, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 5, 1993

Mr. Waxman (for himself and Mr. Dingell) introduced the following bill; 
       which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL


 
To amend title XVI of the Public Health Service Act (the Safe Drinking 
 Water Act) to establish State revolving funds to provide for drinking 
          water treatment facilities, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. STATE REVOLVING FUNDS FOR SAFE DRINKING WATER

    Section 1443 of title XIV of the Public Health Service Act (the 
Safe Drinking Water Act) is amended by redesignating subsection (c) as 
(d) and by adding the following new subsection after subsection (b):
    ``(c) State Revolving Funds.--
            ``(1) General Authority.--(A) The Administrator shall enter 
        into agreements with States having primary enforcement 
        responsibility for public water systems to make capitalization 
        grants to the States under this subsection, further the health 
        protection objectives of this Act. The grants shall be allotted 
        to the States in accordance with this section and deposited in 
        drinking water treatment revolving funds established by the 
        State.
            ``(B) Amounts deposited in such revolving funds, including 
        loan repayments and interest earned on such amounts, shall be 
        used only for providing loans or other financial assistance of 
        any kind or nature that the State deems appropriate to public 
        water systems operated by a governmental or inter-governmental 
        agency, a non-profit organization, an Indian tribe, or any 
        combination thereof. Such financial assistance may be used only 
        for capital expenditures incurred by any such system of a type 
        or category which the Administrator has determined will 
        facilitate compliance with national primary drinking water 
        regulations applicable to such system under section 1411.
            ``(C) Each such revolving fund shall be established, 
        maintained, and credited with repayments and interest. The fund 
        balance shall be available in perpetuity for providing 
        financial assistance under this section. Only interest 
        collected in such fund shall be used by the States for grants 
        to such systems for such expenditures. To the extent amounts in 
        each such fund are not required for current obligation or 
        expenditure such amounts shall be invested in interest bearing 
        obligations of the State or of the United States.
            ``(2) 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--
                    ``(A) the State will deposit all capitalization 
                grants received from the Administrator under this 
                subsection, together with all repayments and interest 
                on such grants, in a drinking water treatment revolving 
                fund established by the State in accordance with this 
                subsection;
                    ``(B) the State will deposit in the fund from State 
                moneys an amount equal to at least 20 percent of the 
                total amount of all such capitalization grants on or 
                before the date on which each grant payment is made to 
                the State; and
                    ``(C) no loan or other financial assistance will be 
                provided to a public water system from such revolving 
                fund for any capital expenditures if the Administrator 
                has determined, pursuant to appropriate criteria, that 
                such expenses could be avoided or significantly reduced 
                by consolidation of that public water system with any 
                other public water system, except that in such cases 
                such assistance may be provided from the fund for such 
                consolidation.
        Notwithstanding subparagraph (A), the State may combine 
        capitalization grants under this subsection with another 
        revolving fund established by the State if the Administrator 
        determines that the grants under this subsection, together with 
        loan repayments and interest, will be used solely for the 
        purposes specified in paragraph (1).
            ``(3)  Fund administration.--(A) Each State may use up to 5 
        percent of the monies in a revolving fund established under 
        this subsection to cover the reasonable costs of administration 
        of the assistance program under this subsection.
            ``(B) The Administrator shall promulgate such regulations 
        as may be necessary to carry out the provisions of this 
        section, including provisions to ensure that each State commits 
        and expends funds from revolving funds established under this 
        subsection in accordance with this Act and applicable Federal 
        and State laws and that the State uses accounting, audit, and 
        fiscal procedures that conform to generally accepted accounting 
        standards.
            ``(C) Each State administering a revolving fund and 
        assistance program under this subsection shall publish and 
        submit to the Administrator a report every 2 years on its 
        activities under this subsection, including the findings of the 
        most recent audit of the fund. The Administrator shall 
        periodically audit all revolving funds established under this 
        subsection in accordance with procedures established by the 
        Comptroller General.
            ``(4) There is authorized to be appropriated to carry out 
        the purposes of this subsection $599,000,000 for the fiscal 
        year 1994 and $1,000,000 for each of the fiscal years 1995, 
        1996, and 1997, and such sums as may be necessary 
        thereafter.''.

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