[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 1400 Reported in Senate (RS)]







                                                       Calendar No. 304
109th CONGRESS
  1st Session
                                S. 1400

                          [Report No. 109-186]

To amend the Federal Water Pollution Control Act and the Safe Drinking 
Water Act to improve water and wastewater infrastructure in the United 
                                States.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             July 14, 2005

Mr. Chafee (for himself, Mrs. Clinton, Mr. Inhofe, Mr. Jeffords and Mr. 
  Voinovich) introduced the following bill; which was read twice and 
       referred to the Committee on Environment and Public Works

                            December 8, 2005

  Reported under authority of the order of the Senate of November 18, 
                 2005, by Mr. Inhofe, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
To amend the Federal Water Pollution Control Act and the Safe Drinking 
Water Act to improve water and wastewater infrastructure in the United 
                                States.

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

<DELETED>SECTION 1. SHORT TITLE; TABLE OF CONTENTS.</DELETED>

<DELETED>    (a) Short Title.--This Act may be cited as the ``Water 
Infrastructure Financing Act''.</DELETED>
<DELETED>    (b) Table of Contents.--The table of contents of this Act 
is as follows:</DELETED>

<DELETED>Sec. 1. Short title; table of contents.
            <DELETED>TITLE I--WATER POLLUTION INFRASTRUCTURE

<DELETED>Sec. 101. Technical assistance for rural and small treatment 
                            works.
<DELETED>Sec. 102. Projects eligible for assistance.
<DELETED>Sec. 103. Water pollution control revolving loan funds.
<DELETED>Sec. 104. Affordability.
<DELETED>Sec. 105. Transferability of funds.
<DELETED>Sec. 106. Costs of administering water pollution control 
                            revolving loan funds.
<DELETED>Sec. 107. Water pollution control revolving loan funds.
<DELETED>Sec. 108. Noncompliance.
<DELETED>Sec. 109. Authorization of appropriations.
<DELETED>Sec. 110. Critical water infrastructure projects.
         <DELETED>TITLE II--SAFE DRINKING WATER INFRASTRUCTURE

<DELETED>Sec. 201. Preconstruction work.
<DELETED>Sec. 202. Affordability.
<DELETED>Sec. 203. Safe drinking water revolving loan funds.
<DELETED>Sec. 204. Other authorized activities.
<DELETED>Sec. 205. Priority system requirements.
<DELETED>Sec. 206. Authorization of appropriations.
<DELETED>Sec. 207. Critical drinking water infrastructure projects.
<DELETED>Sec. 208. Small system revolving loan funds.
<DELETED>Sec. 209. Study on lead contamination in drinking water.
<DELETED>Sec. 210. District of Columbia lead service line replacement.
                   <DELETED>TITLE III--MISCELLANEOUS

<DELETED>Sec. 301. Definitions.
<DELETED>Sec. 302. Demonstration grant program for water quality 
                            enhancement and management.
<DELETED>Sec. 303. Agricultural pollution control technology grant 
                            program.
<DELETED>Sec. 304. State revolving fund review process.
<DELETED>Sec. 305. Cost of service study.
<DELETED>Sec. 306. Water resources study.

       <DELETED>TITLE I--WATER POLLUTION INFRASTRUCTURE</DELETED>

<DELETED>SEC. 101. TECHNICAL ASSISTANCE FOR RURAL AND SMALL TREATMENT 
              WORKS.</DELETED>

<DELETED>    (a) In General.--Title II of the Federal Water Pollution 
Control Act (33 U.S.C. 1281 et seq.) is amended by adding at the end 
the following:</DELETED>

<DELETED>``SEC. 222. TECHNICAL ASSISTANCE FOR RURAL AND SMALL TREATMENT 
              WORKS.</DELETED>

<DELETED>    ``(a) Definition of Qualified Nonprofit Technical 
Assistance Provider.--In this section, the term `qualified nonprofit 
technical assistance provider' means a qualified nonprofit technical 
assistance provider of water and wastewater services to small rural 
communities that provide technical assistance to treatment works 
(including circuit rider programs and training and preliminary 
engineering evaluations) that--</DELETED>
        <DELETED>    ``(1) serve not more than 10,000 users; 
        and</DELETED>
        <DELETED>    ``(2) may include a State agency.</DELETED>
<DELETED>    ``(b) Grant Program.--</DELETED>
        <DELETED>    ``(1) In general.--The Administrator may make 
        grants to qualified nonprofit technical assistance providers 
        that are qualified to provide assistance on a broad range of 
        wastewater and stormwater approaches--</DELETED>
                <DELETED>    ``(A) to assist small treatment works to 
                plan, develop, and obtain financing for eligible 
                projects described in section 603(c);</DELETED>
                <DELETED>    ``(B) to capitalize revolving loan funds 
                to provide loans, in consultation with the State in 
                which the assistance is provided, to rural and small 
                municipalities for predevelopment costs (including 
                costs for planning, design, associated preconstruction, 
                and necessary activities for siting the facility and 
                related elements) associated with wastewater 
                infrastructure projects or short-term costs incurred 
                for equipment replacement that is not part of regular 
                operation and maintenance activities for existing 
                wastewater systems, if--</DELETED>
                        <DELETED>    ``(i) any loan from the fund is 
                        made at or below the market interest rate, for 
                        a term not to exceed 10 years;</DELETED>
                        <DELETED>    ``(ii) the amount of any single 
                        loan does not exceed $100,000; and</DELETED>
                        <DELETED>    ``(iii) all loan repayments are 
                        credited to the fund;</DELETED>
                <DELETED>    ``(C) to provide technical assistance and 
                training for rural and small publicly owned treatment 
                works and decentralized wastewater treatment systems to 
                enable those treatment works and systems to protect 
                water quality and achieve and maintain compliance with 
                this Act; and</DELETED>
                <DELETED>    ``(D) to disseminate information to rural 
                and small municipalities with respect to planning, 
                design, construction, and operation of publicly owned 
                treatment works and decentralized wastewater treatment 
                systems.</DELETED>
        <DELETED>    ``(2) Distribution of grant.--In carrying out this 
        subsection, the Administrator shall ensure, to the maximum 
        extent practicable, that technical assistance provided using 
        funds from a grant under paragraph (1) is made available in 
        each State.</DELETED>
        <DELETED>    ``(3) Consultation.--As a condition of receiving a 
        grant under this subsection, a qualified nonprofit technical 
        assistance provider shall consult with each State in which 
        grant funds are to be expended or otherwise made available 
        before the grant funds are expended or made available in the 
        State.</DELETED>
        <DELETED>    ``(4) Annual report.--For each fiscal year, a 
        qualified nonprofit technical assistance provider that receives 
        a grant under this subsection shall submit to the Administrator 
        a report that--</DELETED>
                <DELETED>    ``(A) describes the activities of the 
                qualified nonprofit technical assistance provider using 
                grant funds received under this subsection for the 
                fiscal year; and</DELETED>
                <DELETED>    ``(B) specifies--</DELETED>
                        <DELETED>    ``(i) the number of communities 
                        served;</DELETED>
                        <DELETED>    ``(ii) the sizes of those 
                        communities; and</DELETED>
                        <DELETED>    ``(iii) the type of financing 
                        provided by the qualified nonprofit technical 
                        assistance provider.</DELETED>
<DELETED>    ``(c) Authorization of Appropriations.--There is 
authorized to be appropriated to carry out this section $25,000,000 for 
each of fiscal years 2006 through 2010.''.</DELETED>
<DELETED>    (b) Guidance for Small Systems.--Section 602 of the 
Federal Water Pollution Control Act (33 U.S.C. 1382) is amended by 
adding at the end the following:</DELETED>
<DELETED>    ``(c) Guidance for Small Systems.--</DELETED>
        <DELETED>    ``(1) Definition of small system.--In this 
        subsection, the term `small system' means a system--</DELETED>
                <DELETED>    ``(A) for which a municipality or 
                intermunicipal, interstate, or State agency seeks 
                assistance under this title; and</DELETED>
                <DELETED>    ``(B) that serves a population of 10,000 
                or fewer households.</DELETED>
        <DELETED>    ``(2) Simplified procedures.--Not later than 1 
        year after the date of enactment of this subsection, the 
        Administrator shall assist the States in establishing 
        simplified procedures for small systems to obtain assistance 
        under this title.</DELETED>
        <DELETED>    ``(3) Publication of manual.--Not later than 1 
        year after the date of enactment of this subsection, after 
        providing notice and opportunity for public comment, the 
        Administrator shall publish--</DELETED>
                <DELETED>    ``(A) a manual to assist small systems in 
                obtaining assistance under this title; and</DELETED>
                <DELETED>    ``(B) in the Federal Register, notice of 
                the availability of the manual.''.</DELETED>

<DELETED>SEC. 102. PROJECTS ELIGIBLE FOR ASSISTANCE.</DELETED>

<DELETED>    Section 603 of the Federal Water Pollution Control Act (33 
U.S.C. 1383) is amended by striking subsection (c) and inserting the 
following:</DELETED>
<DELETED>    ``(c) Projects Eligible for Assistance.--Funds in each 
State water pollution control revolving fund shall be used only for--
</DELETED>
        <DELETED>    ``(1) providing financial assistance to any 
        municipality or an intermunicipal, interstate, or State agency 
        that principally treats municipal wastewater or domestic sewage 
        for construction (including planning, design, associated 
        preconstruction, and activities relating to the siting of a 
        facility) of a treatment works (as defined in section 
        212);</DELETED>
        <DELETED>    ``(2) implementation of a management program 
        established under section 319;</DELETED>
        <DELETED>    ``(3) development and implementation of a 
        conservation and management plan under section 320;</DELETED>
        <DELETED>    ``(4) providing financial assistance to a 
        municipality or an intermunicipal, interstate, or State agency 
        for projects to increase the security of wastewater treatment 
        works (excluding any expenditure for operations or 
        maintenance);</DELETED>
        <DELETED>    ``(5) providing financial assistance to a 
        municipality or an intermunicipal, interstate, or State agency 
        for measures to control municipal stormwater, the primary 
        purpose of which is the preservation, protection, or 
        enhancement of water quality;</DELETED>
        <DELETED>    ``(6) water conservation projects, the primary 
        purpose of which is the protection, preservation, and 
        enhancement of water quality; or</DELETED>
        <DELETED>    ``(7) reuse, reclamation, and recycling projects, 
        the primary purpose of which is the protection, preservation, 
        and enhancement of water quality.''.</DELETED>

<DELETED>SEC. 103. WATER POLLUTION CONTROL REVOLVING LOAN 
              FUNDS.</DELETED>

<DELETED>    Section 603(d) of the Federal Water Pollution Control Act 
(33 U.S.C. 1383(d)) is amended--</DELETED>
        <DELETED>    (1) in paragraph (6), by striking ``and'' at the 
        end;</DELETED>
        <DELETED>    (2) in paragraph (7), by striking the period at 
        the end and inserting ``; and''; and</DELETED>
        <DELETED>    (3) by adding at the end the following:</DELETED>
        <DELETED>    ``(8) to carry out a project under paragraph (2) 
        or (3) of section 601(a), which may be--</DELETED>
                <DELETED>    ``(A) operated by a municipal, 
                intermunicipal, or interstate entity, State, public or 
                private utility, corporation, partnership, association, 
                or nonprofit agency; and</DELETED>
                <DELETED>    ``(B) used to make loans that will be 
                fully amortized not later than 30 years after the date 
                of the completion of the project.''.</DELETED>

<DELETED>SEC. 104. AFFORDABILITY.</DELETED>

<DELETED>    (a) In General.--Section 603 of the Federal Water 
Pollution Control Act (33 U.S.C. 1383) is amended--</DELETED>
        <DELETED>    (1) by redesignating subsections (e) through (h) 
        as subsections (f) through (i), respectively; and</DELETED>
        <DELETED>    (2) by inserting after subsection (d) the 
        following:</DELETED>
<DELETED>    ``(e) Types of Assistance for Disadvantaged Communities.--
</DELETED>
        <DELETED>    ``(1) Definition of disadvantaged community.--In 
        this subsection, the term `disadvantaged community' means the 
        service area, or portion of a service area, of a treatment 
        works that meets affordability criteria established after 
        public review and comment by the State in which the treatment 
        works is located.</DELETED>
        <DELETED>    ``(2) Loan subsidy.--Notwithstanding any other 
        provision of this section, in a case in which the State makes a 
        loan from the water pollution control revolving loan fund in 
        accordance with subsection (c) to a disadvantaged community or 
        a community that the State expects to become a disadvantaged 
        community as the result of a proposed project, the State may 
        provide additional subsidization, including--</DELETED>
                <DELETED>    ``(A) the forgiveness of the principal of 
                the loan; and</DELETED>
                <DELETED>    ``(B) an interest rate on the loan of zero 
                percent.</DELETED>
        <DELETED>    ``(3) Total amount of subsidies.--For each fiscal 
        year, the total amount of loan subsidies made by the State 
        pursuant to this subsection may not exceed 30 percent of the 
        amount of the capitalization grant received by the State for 
        the fiscal year.</DELETED>
        <DELETED>    ``(4) Extended term.--A State may provide an 
        extended term for a loan if the extended term--</DELETED>
                <DELETED>    ``(A) terminates not later than the date 
                that is 30 years after the date of completion of the 
                project; and</DELETED>
                <DELETED>    ``(B) does not exceed the expected design 
                life of the project.</DELETED>
        <DELETED>    ``(5) Information.--The Administrator may publish 
        information to assist States in establishing affordability 
        criteria described in paragraph (1).''.</DELETED>
<DELETED>    (b) Conforming Amendment.--Section 221(d) of the Federal 
Water Pollution Control Act (33 U.S.C. 1301(d)) is amended in the 
second sentence by striking ``603(h)'' and inserting 
``603(i)''.</DELETED>

<DELETED>SEC. 105. TRANSFERABILITY OF FUNDS.</DELETED>

<DELETED>    Section 603 of the Federal Water Pollution Control Act (33 
U.S.C. 1383) (as amended by section 104(a)(1)) is amended by adding at 
the end the following:</DELETED>
<DELETED>    ``(j) Transfer of Funds.--</DELETED>
        <DELETED>    ``(1) In general.--The Governor of a State may--
        </DELETED>
                <DELETED>    ``(A)(i) reserve not more than 33 percent 
                of a capitalization grant made under this title; 
                and</DELETED>
                <DELETED>    ``(ii) add the funds reserved to any funds 
                provided to the State under section 1452 of the Safe 
                Drinking Water Act (42 U.S.C. 300j-12); and</DELETED>
                <DELETED>    ``(B)(i) reserve for any year an amount 
                that does not exceed the amount that may be reserved 
                under subparagraph (A) for that year from 
                capitalization grants made under section 1452 of that 
                Act (42 U.S.C. 300j-12); and</DELETED>
                <DELETED>    ``(ii) add the reserved funds to any funds 
                provided to the State under this title.</DELETED>
        <DELETED>    ``(2) State match.--Funds reserved under this 
        subsection shall not be considered to be a State contribution 
        for a capitalization grant required under this title or section 
        1452(b) of the Safe Drinking Water Act (42 U.S.C. 300j-
        12(b)).''.</DELETED>

<DELETED>SEC. 106. COSTS OF ADMINISTERING WATER POLLUTION CONTROL 
              REVOLVING LOAN FUNDS.</DELETED>

<DELETED>    Section 603(d)(7) of the Federal Water Pollution Control 
Act (33 U.S.C. 1383(d)(7)) is amended by striking ``4 percent'' and 
inserting ``6 percent''.</DELETED>

<DELETED>SEC. 107. WATER POLLUTION CONTROL REVOLVING LOAN 
              FUNDS.</DELETED>

<DELETED>    Section 603 of the Federal Water Pollution Control Act (33 
U.S.C. 1383) is amended by striking subsection (h) (as redesignated by 
section 104) and inserting the following:</DELETED>
<DELETED>    ``(h) Priority System Requirement.--</DELETED>
        <DELETED>    ``(1) Definitions.--In this subsection:</DELETED>
                <DELETED>    ``(A) Restructuring.--The term 
                `restructuring' means--</DELETED>
                        <DELETED>    ``(i) the consolidation of 
                        management functions or ownership with another 
                        facility; or</DELETED>
                        <DELETED>    ``(ii) the formation of 
                        cooperative partnerships.</DELETED>
                <DELETED>    ``(B) Traditional wastewater approach.--
                The term `traditional wastewater approach' means a 
                managed system used to collect and treat wastewater 
                from an entire service area consisting of--</DELETED>
                        <DELETED>    ``(i) collection sewers;</DELETED>
                        <DELETED>    ``(ii) a centralized treatment 
                        plant using biological, physical, or chemical 
                        treatment processes; and</DELETED>
                        <DELETED>    ``(iii) a direct point source 
                        discharge to surface water.</DELETED>
        <DELETED>    ``(2) Priority system.--In providing financial 
        assistance from the water pollution control revolving fund of 
        the State, the State shall--</DELETED>
                <DELETED>    ``(A) give greater weight to an 
                application for assistance by a treatment works if the 
                application includes such other information as the 
                State determines to be appropriate and--</DELETED>
                        <DELETED>    ``(i) an inventory of assets, 
                        including a description of the condition of 
                        those assets;</DELETED>
                        <DELETED>    ``(ii) a schedule for replacement 
                        of the assets;</DELETED>
                        <DELETED>    ``(iii) a financing plan 
                        indicating sources of revenue from ratepayers, 
                        grants, bonds, other loans, and other 
                        sources;</DELETED>
                        <DELETED>    ``(iv) a review of options for 
                        restructuring the treatment works;</DELETED>
                        <DELETED>    ``(v) a review of options for 
                        approaches other than a traditional wastewater 
                        approach that may include actions or projects 
                        that treat or minimize sewage or urban 
                        stormwater discharges using--</DELETED>
                                <DELETED>    ``(I) decentralized or 
                                distributed stormwater 
                                controls;</DELETED>
                                <DELETED>    ``(II) decentralized 
                                wastewater treatment;</DELETED>
                                <DELETED>    ``(III) low impact 
                                development technologies;</DELETED>
                                <DELETED>    ``(IV) stream 
                                buffers;</DELETED>
                                <DELETED>    ``(V) wetland restoration; 
                                or</DELETED>
                                <DELETED>    ``(VI) actions to minimize 
                                the quantity of and direct connections 
                                to impervious surfaces;</DELETED>
                        <DELETED>    ``(vi) demonstration of 
                        consistency with State, regional, and municipal 
                        watershed plans;</DELETED>
                        <DELETED>    ``(vii) a review of options for 
                        urban waterfront development or brownfields 
                        revitalization to be completed in conjunction 
                        with the project; or</DELETED>
                        <DELETED>    ``(viii) provides the applicant 
                        the flexibility through alternative means to 
                        carry out responsibilities under Federal 
                        regulations, that may include watershed 
                        permitting and other innovative management 
                        approaches, while achieving results that--
                        </DELETED>
                                <DELETED>    ``(I) the State, with the 
                                delegated authority under section 
                                402(a)(5), determines meet permit 
                                requirements for permits that have been 
                                issued in accordance with the national 
                                pollution discharge elimination system 
                                under section 402; or</DELETED>
                                <DELETED>    ``(II) the Administrator 
                                determines are measurably superior when 
                                compared to regulatory 
                                standards;</DELETED>
                <DELETED>    ``(B) take into consideration appropriate 
                chemical, physical, and biological data that the State 
                considers reasonably available and of sufficient 
                quality;</DELETED>
                <DELETED>    ``(C) provide for public notice and 
                opportunity to comment on the establishment of the 
                system and the summary under subparagraph 
                (D);</DELETED>
                <DELETED>    ``(D) publish not less than biennially in 
                summary form a description of projects in the State 
                that are eligible for assistance under this title that 
                indicates--</DELETED>
                        <DELETED>    ``(i) the priority assigned to 
                        each project under the priority system of the 
                        State; and</DELETED>
                        <DELETED>    ``(ii) the funding schedule for 
                        each project, to that extent the information is 
                        available; and</DELETED>
                <DELETED>    ``(E) ensure that projects undertaken with 
                assistance under this title are designed to achieve, as 
                determined by the State, the optimum water quality 
                management, consistent with the public health and water 
                quality goals and requirements of this title.</DELETED>
        <DELETED>    ``(3) Savings clause.--Nothing in paragraph 
        (2)(A)(viii) affects the authority of the Administrator under 
        section 402(a)(5).''.</DELETED>

<DELETED>SEC. 108. NONCOMPLIANCE.</DELETED>

<DELETED>    Section 603 of the Federal Water Pollution Control Act (33 
U.S.C. 1383) (as amended by section 105) is amended by adding at the 
end the following:</DELETED>
<DELETED>    ``(k) Noncompliance.--</DELETED>
        <DELETED>    ``(1) In general.--Except as provided in paragraph 
        (2), no assistance (other than assistance that is to be used by 
        a treatment works solely for planning, design, or security 
        purposes) shall be provided under this title to a treatment 
        works that has been in significant noncompliance with any 
        requirement of this Act for any of the 4 quarters in the 
        previous 8 quarters, unless the treatment works is in 
        compliance with, or has entered into, an enforceable 
        administrative order to effect compliance with the 
        requirement.</DELETED>
        <DELETED>    ``(2) Exception.--A treatment works that is 
        determined under paragraph (1) to be in significant 
        noncompliance with a requirement described in that paragraph 
        may receive assistance under this title if the Administrator 
        and the State providing the assistance determine that--
        </DELETED>
                <DELETED>    ``(A) the entity conducting the 
                enforcement action on which the determination of 
                significant noncompliance is based has determined that 
                the use of assistance would enable the treatment works 
                to take corrective action toward resolving the 
                violations; or</DELETED>
                <DELETED>    ``(B) the entity conducting the 
                enforcement action on which the determination of 
                significant noncompliance is based has determined that 
                the assistance would be used on a portion of the 
                treatment works that is not directly related to the 
                cause of finding significant 
                noncompliance.''.</DELETED>

<DELETED>SEC. 109. AUTHORIZATION OF APPROPRIATIONS.</DELETED>

<DELETED>    The Federal Water Pollution Control Act is amended by 
striking section 607 (33 U.S.C. 1387) and inserting the 
following:</DELETED>

<DELETED>``SEC. 607. AUTHORIZATION OF APPROPRIATIONS.</DELETED>

<DELETED>    ``(a) In General.--There are authorized to be appropriated 
to carry out this title--</DELETED>
        <DELETED>    ``(1) $3,200,000,000 for each of fiscal years 2006 
        and 2007;</DELETED>
        <DELETED>    ``(2) $3,600,000,000 for fiscal year 
        2008;</DELETED>
        <DELETED>    ``(3) $4,000,000,000 for fiscal year 2009; 
        and</DELETED>
        <DELETED>    ``(4) $6,000,000,000 for fiscal year 
        2010.</DELETED>
<DELETED>    ``(b) Availability.--Amounts made available under this 
section shall remain available until expended.</DELETED>
<DELETED>    ``(c) Reservation for Needs Surveys.--Of the amount made 
available under subsection (a) to carry out this title for a fiscal 
year, the Administrator may reserve not more than $1,000,000 per year 
to pay the costs of conducting needs surveys under section 
516(2).''.</DELETED>

<DELETED>SEC. 110. CRITICAL WATER INFRASTRUCTURE PROJECTS.</DELETED>

<DELETED>    (a) Establishment.--Not later than 180 days after the date 
of enactment of this Act, the Administrator shall establish a program 
under which grants are provided to eligible entities for use in 
carrying out projects and activities the primary purpose of which is 
watershed restoration through the protection or improvement of water 
quality.</DELETED>
<DELETED>    (b) Project Selection.--</DELETED>
        <DELETED>    (1) In general.--The Administrator may provide 
        funds under this section to an eligible entity to carry out an 
        eligible project described in paragraph (2).</DELETED>
        <DELETED>    (2) Equitable distribution.--The Administrator 
        shall ensure an equitable distribution of projects under this 
        section, taking into account cost and number of requests for 
        each category listed in paragraph (3).</DELETED>
        <DELETED>    (3) Eligible projects.--A project that is eligible 
        to be carried out using funds provided under this section may 
        include projects that--</DELETED>
                <DELETED>    (A) are listed on the priority list of a 
                State under section 216 of the Federal Water Pollution 
                Control Act (33 U.S.C. 1296);</DELETED>
                <DELETED>    (B) mitigate wet weather flows, including 
                combined sewer overflows, sanitary sewer overflows, and 
                stormwater discharges;</DELETED>
                <DELETED>    (C) upgrade publicly owned treatment works 
                with a permitted design capacity to treat an annual 
                average of at least 500,000 gallons of wastewater per 
                day, the upgrade of which would produce the greatest 
                nutrient load reductions at points of discharge, or 
                result in the greatest environmental benefits, with 
                nutrient removal technologies that are designed to 
                reduce total nitrogen in discharged wastewater to an 
                average annual concentration of 3 milligrams per 
                liter;</DELETED>
                <DELETED>    (D) implement locally based watershed 
                protection plans created by local nonprofit 
                organizations that--</DELETED>
                        <DELETED>    (i) provide a coordinating 
                        framework for management that focuses public 
                        and private efforts to address the highest 
                        priority water-related problems within a 
                        geographic area, considering both ground and 
                        surface water flow; and</DELETED>
                        <DELETED>    (ii) includes representatives from 
                        both point source and nonpoint source 
                        contributors;</DELETED>
                <DELETED>    (E) are contained in a State plan 
                developed in accordance with section 319 or 320 of the 
                Federal Water Pollution Control Act (33 U.S.C. 1329, 
                1330); or</DELETED>
                <DELETED>    (F) include means to develop alternative 
                water supplies.</DELETED>
<DELETED>    (c) Local Participation.--In prioritizing projects for 
implementation under this section, the Administrator shall consult 
with, and consider the priorities of--</DELETED>
        <DELETED>    (1) affected State and local governments; 
        and</DELETED>
        <DELETED>    (2) public and private entities that are active in 
        watershed planning and restoration.</DELETED>
<DELETED>    (d) Cost Sharing.--Before carrying out any project under 
this section, the Administrator shall enter into a binding agreement 
with 1 or more non-Federal interests that shall require the non-Federal 
interests--</DELETED>
        <DELETED>    (1) to pay 45 percent of the total costs of the 
        project, which may include services, materials, supplies, or 
        other in-kind contributions;</DELETED>
        <DELETED>    (2) to provide any land, easements, rights-of-way, 
        and relocations necessary to carry out the project; 
        and</DELETED>
        <DELETED>    (3) to pay 100 percent of any operation, 
        maintenance, repair, replacement, and rehabilitation costs 
        associated with the project.</DELETED>
<DELETED>    (e) Waiver.--The Administrator may waive the requirement 
to pay the non-Federal share of the cost of carrying out an eligible 
activity using funds from a grant provided under this section if the 
Administrator determines that an eligible entity is unable to pay, or 
would experience significant financial hardship if required to pay, the 
non-Federal share.</DELETED>
<DELETED>    (f) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $300,000,000 for each of 
fiscal years 2006 through 2010.</DELETED>

    <DELETED>TITLE II--SAFE DRINKING WATER INFRASTRUCTURE</DELETED>

<DELETED>SEC. 201. PRECONSTRUCTION WORK.</DELETED>

<DELETED>    Section 1452(a)(2) of the Safe Drinking Water Act (42 
U.S.C. 300j-12(a)(2)) is amended in the second sentence--</DELETED>
        <DELETED>    (1) by striking ``(not'' and inserting 
        ``(including expenditures for planning, design, and associated 
        preconstruction and for recovery for siting of the facility and 
        related elements but not''; and</DELETED>
        <DELETED>    (2) by inserting before the period at the end the 
        following: ``or to replace or rehabilitate aging collection, 
        treatment, storage (including reservoirs), or distribution 
        facilities of public water systems or provide for capital 
        projects to upgrade the security of public water 
        systems''.</DELETED>

<DELETED>SEC. 202. AFFORDABILITY.</DELETED>

<DELETED>    Section 1452(d)(3) of the Safe Drinking Water Act (42 
U.S.C. 300j-12(d)(3)) is amended in the first sentence by inserting ``, 
or portion of a service area,'' after ``service area''.</DELETED>

<DELETED>SEC. 203. SAFE DRINKING WATER REVOLVING LOAN FUNDS.</DELETED>

<DELETED>    Section 1452(g) of the Safe Drinking Water Act (42 U.S.C. 
300j-12(g)) is amended--</DELETED>
        <DELETED>    (1) paragraph (2)--</DELETED>
                <DELETED>    (A) in the first sentence, by striking 
                ``4'' and inserting ``6''; and</DELETED>
                <DELETED>    (B) by striking ``1419,'' and all that 
                follows through ``1933.'' and inserting ``1419.''; 
                and</DELETED>
        <DELETED>    (2) by adding at the end the following:</DELETED>
        <DELETED>    ``(5) Transfer of funds.--</DELETED>
                <DELETED>    ``(A) In general.--The Governor of a State 
                may--</DELETED>
                        <DELETED>    ``(i)(I) reserve not more than 33 
                        percent of a capitalization grant made under 
                        this section; and</DELETED>
                        <DELETED>    ``(II) add the funds reserved to 
                        any funds provided to the State under section 
                        601 of the Federal Water Pollution Control Act 
                        (33 U.S.C. 1381); and</DELETED>
                        <DELETED>    ``(ii)(I) reserve for any fiscal 
                        year an amount that does not exceed the amount 
                        that may be reserved under clause (i)(I) for 
                        that year from capitalization grants made under 
                        section 601 of that Act (33 U.S.C. 1381); 
                        and</DELETED>
                        <DELETED>    ``(II) add the reserved funds to 
                        any funds provided to the State under this 
                        section.</DELETED>
                <DELETED>    ``(B) State match.--Funds reserved under 
                this paragraph shall not be considered to be a State 
                match of a capitalization grant required under this 
                section or section 602(b) of the Federal Water 
                Pollution Control Act (33 U.S.C. 1382(b)).''.</DELETED>

<DELETED>SEC. 204. OTHER AUTHORIZED ACTIVITIES.</DELETED>

<DELETED>    Section 1452(k)(2)(D) of the Safe Drinking Water Act (42 
U.S.C. 300j-12(k)(2)(D)) is amended by inserting before the period at 
the end the following: ``(including implementation of source water 
protection plans)''.</DELETED>

<DELETED>SEC. 205. PRIORITY SYSTEM REQUIREMENTS.</DELETED>

<DELETED>    Section 1452(b)(3) of the Safe Drinking Water Act (42 
U.S.C. 300j-12(b)(3)) is amended--</DELETED>
        <DELETED>    (1) by redesignating subparagraph (B) as 
        subparagraph (D);</DELETED>
        <DELETED>    (2) by striking subparagraph (A) and inserting the 
        following:</DELETED>
                <DELETED>    ``(A) Definition of restructuring.--In 
                this paragraph, the term `restructuring' means changes 
                in operations (including ownership, accounting, rates, 
                maintenance, consolidation, and alternative water 
                supply).</DELETED>
                <DELETED>    ``(B) Priority system.--An intended use 
                plan shall provide, to the maximum extent practicable, 
                that priority for the use of funds be given to projects 
                that--</DELETED>
                        <DELETED>    ``(i) address the most serious 
                        risk to human health;</DELETED>
                        <DELETED>    ``(ii) are necessary to ensure 
                        compliance with this title (including 
                        requirements for filtration); and</DELETED>
                        <DELETED>    ``(iii) assist systems most in 
                        need on a per-household basis according to 
                        State affordability criteria.</DELETED>
                <DELETED>    ``(C) Weight given to applications.--After 
                determining project priorities under subparagraph (B), 
                an intended use plan shall further provide that the 
                State shall give greater weight to an application for 
                assistance by a community water system if the 
                application includes such other information as the 
                State determines to be necessary and--</DELETED>
                        <DELETED>    ``(i) an inventory of assets, 
                        including a description of the condition of the 
                        assets;</DELETED>
                        <DELETED>    ``(ii) a schedule for replacement 
                        of assets;</DELETED>
                        <DELETED>    ``(iii) a financing plan 
                        indicating sources of revenue from ratepayers, 
                        grants, bonds, other loans, and other 
                        sources;</DELETED>
                        <DELETED>    ``(iv) a review of options for 
                        restructuring the public water 
                        system;</DELETED>
                        <DELETED>    ``(v) demonstration of consistency 
                        with State, regional, and municipal watershed 
                        plans; or</DELETED>
                        <DELETED>    ``(vi) a review of options for 
                        urban waterfront development or brownfields 
                        revitalization to be completed in conjunction 
                        with the project;''; and</DELETED>
        <DELETED>    (3) in subparagraph (D) (as redesignated by 
        paragraph (1)), by striking ``periodically'' and inserting ``at 
        least biennially''.</DELETED>

<DELETED>SEC. 206. AUTHORIZATION OF APPROPRIATIONS.</DELETED>

<DELETED>    Section 1452 of the Safe Drinking Water Act (42 U.S.C. 
300j-12) is amended by striking subsection (m) and inserting the 
following:</DELETED>
<DELETED>    ``(m) Authorization of Appropriations.--</DELETED>
        <DELETED>    ``(1) In general.--There are authorized to be 
        appropriated to carry out this section--</DELETED>
                <DELETED>    ``(A) $1,500,000,000 for fiscal year 
                2006;</DELETED>
                <DELETED>    ``(B) $2,000,000,000 for each of fiscal 
                years 2007 and 2008;</DELETED>
                <DELETED>    ``(C) $3,500,000,000 for fiscal year 2009; 
                and</DELETED>
                <DELETED>    ``(D) $6,000,000,000 for fiscal year 
                2010.</DELETED>
        <DELETED>    ``(2) Availability.--Amounts made available under 
        this subsection shall remain available until 
        expended.</DELETED>
        <DELETED>    ``(3) Reservation for needs surveys.--Of the 
        amount made available under paragraph (1) to carry out this 
        section for a fiscal year, the Administrator may reserve not 
        more than $1,000,000 per year to pay the costs of conducting 
        needs surveys under subsection (h).''.</DELETED>

<DELETED>SEC. 207. CRITICAL DRINKING WATER INFRASTRUCTURE 
              PROJECTS.</DELETED>

<DELETED>    (a) Establishment.--Not later than 180 days after the date 
of enactment of this Act, the Administrator of the Environmental 
Protection Agency shall establish a program under which grants are 
provided to eligible entities for use in carrying out projects and 
activities the primary purpose of which is to assist community water 
systems in meeting the requirements of the Safe Drinking Water Act (42 
U.S.C. 300f et seq.).</DELETED>
<DELETED>    (b) Project Selection.--A project that is eligible to be 
carried out using funds provided under this section may include 
projects that--</DELETED>
        <DELETED>    (1) develop alternative water sources;</DELETED>
        <DELETED>    (2) provide assistance to small systems; 
        or</DELETED>
        <DELETED>    (3) assist a community water system--</DELETED>
                <DELETED>    (A) to comply with a national primary 
                drinking water regulation; or</DELETED>
                <DELETED>    (B) to mitigate groundwater 
                contamination.</DELETED>
<DELETED>    (c) Eligible Entities.--An entity eligible to receive a 
grant under this section is--</DELETED>
        <DELETED>    (1) a community water system as defined in section 
        1401 of the Safe Drinking Water Act (42 U.S.C. 300f); 
        or</DELETED>
        <DELETED>    (2) a system that is located in an area governed 
        by an Indian Tribe, as defined in section 1401 of the Safe 
        Drinking Water Act (42 U.S.C. 300f);</DELETED>
<DELETED>    (d) Priority.--In prioritizing projects for implementation 
under this section, the Administrator shall give priority to community 
water systems that--</DELETED>
        <DELETED>    (1) serve a community that, under affordability 
        criteria established by the State under section 1452(d)(3) of 
        the Safe Drinking Water Act (42 U.S.C. 300j-12), is determined 
        by the State to be--</DELETED>
                <DELETED>    (A) a disadvantaged community; 
                or</DELETED>
                <DELETED>    (B) a community that may become a 
                disadvantaged community as a result of carrying out an 
                eligible activity; or</DELETED>
        <DELETED>    (2) serve a community with a population of less 
        than 10,000 households.</DELETED>
<DELETED>    (e) Local Participation.--In prioritizing projects for 
implementation under this section, the Administrator shall consult 
with, and consider the priorities of, affected States, Tribes, and 
local governments.</DELETED>
<DELETED>    (f) Cost Sharing.--Before carrying out any project under 
this section, the Administrator shall enter into a binding agreement 
with 1 or more non-Federal interests that shall require the non-Federal 
interests--</DELETED>
        <DELETED>    (1) to pay 45 percent of the total costs of the 
        project, which may include services, materials, supplies, or 
        other in-kind contributions;</DELETED>
        <DELETED>    (2) to provide any land, easements, rights-of-way, 
        and relocations necessary to carry out the project; 
        and</DELETED>
        <DELETED>    (3) to pay 100 percent of any operation, 
        maintenance, repair, replacement, and rehabilitation costs 
        associated with the project.</DELETED>
<DELETED>    (g) Waiver.--The Administrator may waive the requirement 
to pay the non-Federal share of the cost of carrying out an eligible 
activity using funds from a grant provided under this section if the 
Administrator determines that an eligible entity is unable to pay, or 
would experience significant financial hardship if required to pay, the 
non-Federal share.</DELETED>
<DELETED>    (h) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $300,000,000 for each of 
fiscal years 2006 through 2010.</DELETED>

<DELETED>SEC. 208. SMALL SYSTEM REVOLVING LOAN FUNDS.</DELETED>

<DELETED>    Section 1442(e) of the Safe Drinking Water Act (42 U.S.C. 
300j-1(e)) is amended--</DELETED>
        <DELETED>    (1) in the first sentence, by striking ``The 
        Administrator may provide'' and inserting the 
        following:</DELETED>
        <DELETED>    ``(1) In general.--The Administrator may 
        provide''; and</DELETED>
        <DELETED>    (2) by adding at the end the following:</DELETED>
        <DELETED>    ``(2) Small system revolving loan fund.--
        </DELETED>
                <DELETED>    ``(A) In general.--In addition to amounts 
                provided under this section, the Administrator may 
                provide grants to qualified private, nonprofit entities 
                to capitalize revolving funds to provide financing to 
                eligible entities described in subparagraph (B) for--
                </DELETED>
                        <DELETED>    ``(i) predevelopment costs 
                        (including costs for planning, design, 
                        associated preconstruction, and necessary 
                        activities for siting the facility and related 
                        elements) associated with proposed water 
                        projects or with existing water systems; 
                        and</DELETED>
                        <DELETED>    ``(ii) short-term costs incurred 
                        for replacement equipment, small-scale 
                        extension services, or other small capital 
                        projects that are not part of the regular 
                        operations and maintenance activities of 
                        existing water systems.</DELETED>
                <DELETED>    ``(B) Eligible entities.--To be eligible 
                for assistance under this paragraph, an entity shall be 
                a small water system (as described in section 
                1412(b)(4)(E)(ii)).</DELETED>
                <DELETED>    ``(C) Maximum amount of loans.--The amount 
                of financing made to an eligible entity under this 
                paragraph shall not exceed--</DELETED>
                        <DELETED>    ``(i) $100,000 for costs described 
                        in subparagraph (A)(i); and</DELETED>
                        <DELETED>    ``(ii) $100,000 for costs 
                        described in subparagraph (A)(ii).</DELETED>
                <DELETED>    ``(D) Term.--The term of a loan made to an 
                eligible entity under this paragraph shall not exceed 
                10 years.</DELETED>
                <DELETED>    ``(E) Annual report.--For each fiscal 
                year, a qualified private, nonprofit entity that 
                receives a grant under subparagraph (A) shall submit to 
                the Administrator a report that--</DELETED>
                        <DELETED>    ``(i) describes the activities of 
                        the qualified private, nonprofit entity under 
                        this paragraph for the fiscal year; 
                        and</DELETED>
                        <DELETED>    ``(ii) specifies--</DELETED>
                                <DELETED>    ``(I) the number of 
                                communities served;</DELETED>
                                <DELETED>    ``(II) the sizes of those 
                                communities; and</DELETED>
                                <DELETED>    ``(III) the type of 
                                financing provided by the qualified 
                                private, nonprofit entity.</DELETED>
                <DELETED>    ``(F) Authorization of appropriations.--
                There is authorized to be appropriated to carry out 
                this subsection $25,000,000 for each of fiscal years 
                2006 through 2010.''.</DELETED>

<DELETED>SEC. 209. STUDY ON LEAD CONTAMINATION IN DRINKING 
              WATER.</DELETED>

<DELETED>    (a) In General.--As soon as practicable after the date of 
enactment of this Act, the Administrator of the Environmental 
Protection Agency shall enter into a cooperative agreement with the 
National Academy of Sciences to carry out a study to analyze existing 
market conditions for plumbing components, including pipes, faucets, 
water meters, valves, household valves, and any other plumbing 
components that come into contact with water commonly used for human 
consumption.</DELETED>
<DELETED>    (b) Components.--In conducting the study under subsection 
(a), the National Academy of Sciences shall evaluate for each category 
of plumbing components described in subsection (a)--</DELETED>
        <DELETED>    (1) the availability of plumbing components in 
        each category with lead content below 8 percent, including 
        those between 0 percent and 4 percent and those between 4 
        percent and 8 percent;</DELETED>
        <DELETED>    (2) the relative market share of the plumbing 
        components;</DELETED>
        <DELETED>    (3) the relative cost of the plumbing 
        components;</DELETED>
        <DELETED>    (4) the issues surrounding transition from current 
        market to plumbing components with not more than 0.2 percent 
        lead;</DELETED>
        <DELETED>    (5) the feasibility of manufacturing plumbing 
        components with lead levels below 8 percent; and</DELETED>
        <DELETED>    (6) the use of lead alternatives in plumbing 
        components with lead levels below 8 percent.</DELETED>
<DELETED>    (c) Report.--Not late than 1 year after the date of 
enactment of this Act, the National Academy of Sciences shall submit to 
the Committee on Environment and Public Works of the Senate and the 
Committee on Energy and Commerce of the House of Representatives a 
report describing the findings of the study under this 
section.</DELETED>
<DELETED>    (d) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $500,000.</DELETED>

<DELETED>SEC. 210. DISTRICT OF COLUMBIA LEAD SERVICE LINE 
              REPLACEMENT.</DELETED>

<DELETED>    (a) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out lead service line replacement in the 
District of Columbia $30,000,000 for each of fiscal years 2007 through 
2011.</DELETED>
<DELETED>    (b) Lead Service Line Replacement Assistance Fund.--
</DELETED>
        <DELETED>    (1) In general.--Of the funds provided under 
        subsection (a), not more than $2,000,000 per year may be 
        allocated for water service line replacement grants to provide 
        assistance to low-income residents to replace the privately-
        owned portion of lead service lines.</DELETED>
        <DELETED>    (2) Limitation.--Individual grants shall be 
        limited to not more than $5,000.</DELETED>
        <DELETED>    (3) Definition of low income.--For the purpose of 
        this subsection, the term ``low-income'' shall be defined by 
        the District of Columbia.</DELETED>

              <DELETED>TITLE III--MISCELLANEOUS</DELETED>

<DELETED>SEC. 301. DEFINITIONS.</DELETED>

<DELETED>    In this title:</DELETED>
        <DELETED>    (1) Administrator.--The term ``Administrator'' 
        means the Administrator of the Environmental Protection 
        Agency.</DELETED>
        <DELETED>    (2) Secretary.--The term ``Secretary'' means the 
        Secretary of the Interior, acting through the Director of the 
        United States Geological Survey.</DELETED>

<DELETED>SEC. 302. DEMONSTRATION GRANT PROGRAM FOR WATER QUALITY 
              ENHANCEMENT AND MANAGEMENT.</DELETED>

<DELETED>    (a) Establishment.--</DELETED>
        <DELETED>    (1) In general.--As soon as practicable after the 
        date of enactment of this Act, the Administrator shall 
        establish a nationwide demonstration grant program to--
        </DELETED>
                <DELETED>    (A) promote innovations in technology and 
                alternative approaches to water quality management or 
                water supply; or</DELETED>
                <DELETED>    (B) reduce costs to municipalities 
                incurred in complying with--</DELETED>
                        <DELETED>    (i) the Federal Water Pollution 
                        Control Act (33 U.S.C. 1251 et seq.); 
                        and</DELETED>
                        <DELETED>    (ii) the Safe Drinking Water Act 
                        (42 U.S.C. 300f et seq.).</DELETED>
        <DELETED>    (2) Scope.--The demonstration grant program shall 
        consist of 10 projects each year, to be carried out in 
        municipalities selected by the Administrator under subsection 
        (b).</DELETED>
<DELETED>    (b) Selection of Municipalities.--</DELETED>
        <DELETED>    (1) Application.--A municipality that seeks to 
        participate in the demonstration grant program shall submit to 
        the Administrator a plan that--</DELETED>
                <DELETED>    (A) is developed in coordination with--
                </DELETED>
                        <DELETED>    (i) the agency of the State having 
                        jurisdiction over water quality or water supply 
                        matters; and</DELETED>
                        <DELETED>    (ii) interested 
                        stakeholders;</DELETED>
                <DELETED>    (B) describes water impacts specific to 
                urban or rural areas;</DELETED>
                <DELETED>    (C) includes a strategy under which the 
                municipality, through participation in the 
                demonstration grant program, could effectively--
                </DELETED>
                        <DELETED>    (i) address water quality or water 
                        supply problems; and</DELETED>
                        <DELETED>    (ii) achieve the water quality 
                        goals that--</DELETED>
                                <DELETED>    (I) could be achieved 
                                using more traditional methods; 
                                and</DELETED>
                                <DELETED>    (II) are required under--
                                </DELETED>
                                        <DELETED>    (aa) the Federal 
                                        Water Pollution Control Act (33 
                                        U.S.C. 1251 et seq.); 
                                        or</DELETED>
                                        <DELETED>    (bb) the Safe 
                                        Drinking Water Act (42 U.S.C. 
                                        300f et seq.); and</DELETED>
                <DELETED>    (D) includes a schedule for achieving the 
                water quality or water supply goals of the 
                municipality.</DELETED>
        <DELETED>    (2) Types of projects.--In carrying out the 
        demonstration grant program, the Administrator shall provide 
        grants for projects relating to water supply or water quality 
        matters such as--</DELETED>
                <DELETED>    (A) excessive nutrient growth;</DELETED>
                <DELETED>    (B) urban or rural population 
                pressure;</DELETED>
                <DELETED>    (C) lack of an alternative water 
                supply;</DELETED>
                <DELETED>    (D) difficulties in water conservation and 
                efficiency;</DELETED>
                <DELETED>    (E) lack of support tools and technologies 
                to rehabilitate and replace water supplies;</DELETED>
                <DELETED>    (F) lack of monitoring and data analysis 
                for water distribution systems;</DELETED>
                <DELETED>    (G) nonpoint source water pollution 
                (including stormwater);</DELETED>
                <DELETED>    (H) sanitary overflows;</DELETED>
                <DELETED>    (I) combined sewer overflows;</DELETED>
                <DELETED>    (J) problems with naturally occurring 
                constituents of concern;</DELETED>
                <DELETED>    (K) problems with erosion and excess 
                sediment;</DELETED>
                <DELETED>    (L) new approaches to water treatment, 
                distribution, and collection systems; and</DELETED>
                <DELETED>    (M) new methods for collecting and 
                treating wastewater (including system design and 
                nonstructural alternatives).</DELETED>
        <DELETED>    (3) Responsibilities of administrator.--In 
        providing grants for projects under this subsection, the 
        Administrator shall--</DELETED>
                <DELETED>    (A) ensure, to the maximum extent 
                practicable, that--</DELETED>
                        <DELETED>    (i) the demonstration program 
                        includes a variety of projects with respect 
                        to--</DELETED>
                                <DELETED>    (I) geographic 
                                distribution;</DELETED>
                                <DELETED>    (II) innovative 
                                technologies used for the projects; 
                                and</DELETED>
                                <DELETED>    (III) nontraditional 
                                approaches (including low-impact 
                                development technologies) used for the 
                                projects; and</DELETED>
                        <DELETED>    (ii) each category of project 
                        described in paragraph (2) is adequately 
                        represented;</DELETED>
                <DELETED>    (B) give higher priority to projects 
                that--</DELETED>
                        <DELETED>    (i) address multiple problems; 
                        and</DELETED>
                        <DELETED>    (ii) are regionally 
                        applicable;</DELETED>
                <DELETED>    (C) ensure, to the maximum extent 
                practicable, that at least 1 community having a 
                population of 10,000 or fewer individuals receives a 
                grant for each fiscal year; and</DELETED>
                <DELETED>    (D) ensure that, for each fiscal year, no 
                municipality receives more than 25 percent of the total 
                amount of funds made available for the fiscal year to 
                provide grants under this section.</DELETED>
        <DELETED>    (4) Cost sharing.--</DELETED>
                <DELETED>    (A) In general.--Except as provided in 
                subparagraph (B), the non-Federal share of the total 
                cost of a project funded by a grant under this section 
                shall be not less than 20 percent.</DELETED>
                <DELETED>    (B) Waiver.--The Administrator may reduce 
                or eliminate the non-Federal share of the cost of a 
                project for reasons of affordability.</DELETED>
<DELETED>    (c) Reports.--</DELETED>
        <DELETED>    (1) Reports from grant recipients.--A recipient of 
        a grant under this section shall submit to the Administrator, 
        on the date of completion of a project of the recipient and on 
        each of the dates that is 1, 2, and 3 years after that date, a 
        report that describes the effectiveness of the 
        project.</DELETED>
        <DELETED>    (2) Reports to congress.--Not later than 2 years 
        after the date of enactment of this Act, and every 2 years 
        thereafter, the Administrator shall submit to the Committee on 
        Environment and Public Works of the Senate and the Committee on 
        Transportation and Infrastructure and the Committee on Energy 
        and Commerce of the House of Representatives a report that 
        describes the status and results of the demonstration 
        program.</DELETED>
<DELETED>    (d) Incorporation of Results and Information.--To the 
maximum extent practicable, the Administrator shall incorporate the 
results of, and information obtained from, successful projects under 
this section into programs administered by the Administrator.</DELETED>
<DELETED>    (e) Research and Development.--</DELETED>
        <DELETED>    (1) In general.--As soon as practicable after the 
        date of enactment of this Act, the Administrator shall, through 
        a competitive process, award grants and enter into contracts 
        and cooperative agreements with research institutions, 
        educational institutions, and other appropriate entities 
        (including consortia of such institutions and entities) for 
        research and development on the use of innovative and 
        alternative technologies to improve water quality or drinking 
        water supply.</DELETED>
        <DELETED>    (2) Types of projects.--In carrying out this 
        subsection, the Administrator may select projects relating to 
        such matters as innovative or alternative technologies, 
        approaches, practices, or methods--</DELETED>
                <DELETED>    (A) to increase the effectiveness and 
                efficiency of public water supply systems, including--
                </DELETED>
                        <DELETED>    (i) source water 
                        protection;</DELETED>
                        <DELETED>    (ii) water use 
                        reduction;</DELETED>
                        <DELETED>    (iii) water reuse;</DELETED>
                        <DELETED>    (iv) water treatment;</DELETED>
                        <DELETED>    (v) water distribution and 
                        collection systems; and</DELETED>
                        <DELETED>    (vi) water security;</DELETED>
                <DELETED>    (B) to encourage the use of innovative or 
                alternative technologies or approaches relating to 
                water supply or availability;</DELETED>
                <DELETED>    (C) to increase the effectiveness and 
                efficiency of new and existing treatment works, 
                including--</DELETED>
                        <DELETED>    (i) methods of collecting, 
                        treating, dispersing, reusing, reclaiming, and 
                        recycling wastewater;</DELETED>
                        <DELETED>    (ii) system design;</DELETED>
                        <DELETED>    (iii) nonstructural 
                        alternatives;</DELETED>
                        <DELETED>    (iv) decentralized 
                        approaches;</DELETED>
                        <DELETED>    (v) assessment;</DELETED>
                        <DELETED>    (vi) water efficiency; 
                        and</DELETED>
                        <DELETED>    (vii) wastewater 
                        security;</DELETED>
                <DELETED>    (D) to increase the effectiveness and 
                efficiency of municipal separate storm sewer 
                systems;</DELETED>
                <DELETED>    (E) to promote new water treatment 
                technologies, including commercialization and 
                dissemination strategies for adoption of innovative or 
                alternative low impact development technologies in the 
                homebuilding industry; or</DELETED>
                <DELETED>    (F) to maintain a clearinghouse of 
                technologies developed under this subsection and 
                subsection (a) at a research consortium or 
                institute.</DELETED>
        <DELETED>    (3) Authorization of appropriations.--There is 
        authorized to be appropriated to carry out this subsection 
        $20,000,000 for each of fiscal years 2006 through 
        2010.</DELETED>
<DELETED>    (f) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section (other than subsection 
(e)) $20,000,000 for each of fiscal years 2006 through 2010.</DELETED>

<DELETED>SEC. 303. AGRICULTURAL POLLUTION CONTROL TECHNOLOGY GRANT 
              PROGRAM.</DELETED>

<DELETED>    (a) Definitions.--In this section:</DELETED>
        <DELETED>    (1) Administrator.--The term ``Administrator'' 
        means the Administrator of the Environmental Protection 
        Agency.</DELETED>
        <DELETED>    (2) Agricultural commodity.--The term 
        ``agricultural commodity'' means--</DELETED>
                <DELETED>    (A) agricultural, horticultural, 
                viticultural, and dairy products;</DELETED>
                <DELETED>    (B) livestock and the products of 
                livestock;</DELETED>
                <DELETED>    (C) the products of poultry and bee 
                raising;</DELETED>
                <DELETED>    (D) the products of forestry;</DELETED>
                <DELETED>    (E) other commodities raised or produced 
                on agricultural sites, as determined to be appropriate 
                by the Secretary; and</DELETED>
                <DELETED>    (F) products processed or manufactured 
                from products specified in subparagraphs (A) through 
                (E), as determined by the Secretary.</DELETED>
        <DELETED>    (3) Agricultural project.--The term ``agricultural 
        project'' means an agricultural pollution control technology 
        project that, as determined by the Administrator--</DELETED>
                <DELETED>    (A) is carried out at an agricultural 
                site; and</DELETED>
                <DELETED>    (B) achieves demonstrable reductions in 
                air and water pollution.</DELETED>
        <DELETED>    (4) Agricultural site.--The term ``agricultural 
        site'' means a farming or ranching operation of a 
        producer.</DELETED>
        <DELETED>    (5) Producer.--The term ``producer'' means any 
        person who is engaged in the production and sale of an 
        agricultural commodity in the United States and who owns, or 
        shares the ownership and risk of loss of, the agricultural 
        commodity.</DELETED>
        <DELETED>    (6) Revolving fund.--The term ``revolving fund'' 
        means an agricultural pollution control technology State 
        revolving fund established by a State using amounts provided 
        under subsection (b)(1).</DELETED>
        <DELETED>    (7) Secretary.--The term ``Secretary'' means the 
        Secretary of Agriculture.</DELETED>
<DELETED>    (b) Grants for Agricultural State Revolving Funds.--
</DELETED>
        <DELETED>    (1) In general.--As soon as practicable after the 
        date of enactment of this section, the Administrator shall 
        provide to each eligible State described in paragraph (2) 1 or 
        more capitalization grants, that cumulatively equal no more 
        than $1,000,000 per State, for use in establishing, within an 
        agency of the State having jurisdiction over agriculture or 
        environmental quality, an agricultural pollution control 
        technology State revolving fund.</DELETED>
        <DELETED>    (2) Eligible states.--An eligible State referred 
        to in paragraph (1) is a State that agrees, prior to receipt of 
        a capitalization grant under paragraph (1)--</DELETED>
                <DELETED>    (A) to establish, and deposit the funds 
                from the grant in, a revolving fund;</DELETED>
                <DELETED>    (B) to provide, at a minimum, a State 
                share in an amount equal to 20 percent of the 
                capitalization grant;</DELETED>
                <DELETED>    (C) to use amounts in the revolving fund 
                to make loans to producers in accordance with 
                subsection (c); and</DELETED>
                <DELETED>    (D) to return amounts in the revolving 
                fund if no loan applications are granted within 2 years 
                of the receipt of the initial capitalization 
                grant.</DELETED>
<DELETED>    (c) Loans to Producers.--</DELETED>
        <DELETED>    (1) Use of funds.--A State that establishes a 
        revolving fund under subsection (b)(2) shall use amounts in the 
        revolving fund to provide loans to producers for use in 
        designing and constructing agricultural projects.</DELETED>
        <DELETED>    (2) Maximum amount of loan.--The amount of a loan 
        made to a producer using funds from a revolving fund shall not 
        exceed $250,000, in the aggregate, for all agricultural 
        projects serving an agricultural site of the 
        producer.</DELETED>
        <DELETED>    (3) Conditions on loans.--A loan made to a 
        producer using funds from a revolving fund shall--</DELETED>
                <DELETED>    (A) have an interest rate that is not more 
                than the market interest rate, including an interest-
                free loan; and</DELETED>
                <DELETED>    (B) be repaid to the revolving fund not 
                later than 10 years after the date on which the loan is 
                made.</DELETED>
<DELETED>    (d) Requirements for Producers.--</DELETED>
        <DELETED>    (1) In general.--A producer that seeks to receive 
        a loan from a revolving fund shall--</DELETED>
                <DELETED>    (A) submit to the State in which the 
                agricultural site of the producer is located an 
                application that--</DELETED>
                        <DELETED>    (i) contains such information as 
                        the State may require; and</DELETED>
                        <DELETED>    (ii) demonstrates, to the 
                        satisfaction of the State, that each project 
                        proposed to be carried out with funds from the 
                        loan is an agricultural project; and</DELETED>
                <DELETED>    (B) agree to expend all funds from a loan 
                in an expeditious and timely manner, as determined by 
                the State.</DELETED>
        <DELETED>    (2) Maximum percentage of agricultural project 
        cost.--Subject to subsection (c)(2), a producer that receives a 
        loan from a revolving fund may use funds from the loan to pay 
        up to 100 percent of the cost of carrying out an agricultural 
        project.</DELETED>
<DELETED>    (e) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $50,000,000.</DELETED>

<DELETED>SEC. 304. STATE REVOLVING FUND REVIEW PROCESS.</DELETED>

<DELETED>    As soon as practicable after the date of enactment of this 
Act, the Administrator shall--</DELETED>
        <DELETED>    (1) consult with States, utilities, and other 
        Federal agencies providing financial assistance to identify 
        ways to expedite and improve the application and review process 
        for the provision of assistance from--</DELETED>
                <DELETED>    (A) the State water pollution control 
                revolving funds established under title VI of the 
                Federal Water Pollution Control Act (33 U.S.C. 1381 et 
                seq.); and</DELETED>
                <DELETED>    (B) the State drinking water treatment 
                revolving loan funds established under section 1452 of 
                the Safe Drinking Water Act (42 U.S.C. 300j-
                12);</DELETED>
        <DELETED>    (2) take such administrative action as is 
        necessary to expedite and improve the process as the 
        Administrator has authority to take under existing 
        law;</DELETED>
        <DELETED>    (3) collect information relating to innovative 
        approaches taken by any State to simplify the application 
        process of the State, and provide the information to each 
        State; and</DELETED>
        <DELETED>    (4) submit to Congress a report that, based on the 
        information identified under paragraph (1), contains 
        recommendations for legislation to facilitate further 
        streamlining and improvement of the process.</DELETED>

<DELETED>SEC. 305. COST OF SERVICE STUDY.</DELETED>

<DELETED>    (a) In General.--Not later than 2 years after the date of 
enactment of this Act, the Administrator shall enter into a contract 
with the National Academy of Sciences for, and the National Academy of 
Sciences shall complete and provide to the Administrator the results 
of, a study of the means by which public water systems and treatment 
works selected by the Academy in accordance with subsection (c) meet 
the costs associated with operations, maintenance, capital replacement, 
and regulatory requirements.</DELETED>
<DELETED>    (b) Required Elements.--</DELETED>
        <DELETED>    (1) Affordability.--The study shall, at a 
        minimum--</DELETED>
                <DELETED>    (A) determine whether the rates at public 
                water systems and treatment works for communities 
                included in the study were established using a full-
                cost pricing model;</DELETED>
                <DELETED>    (B) if a full-cost pricing model was not 
                used, identify any incentive rate systems that have 
                been successful in significantly reducing--</DELETED>
                        <DELETED>    (i) per capita water 
                        demand;</DELETED>
                        <DELETED>    (ii) the volume of wastewater 
                        flows;</DELETED>
                        <DELETED>    (iii) the volume of stormwater 
                        runoff; or</DELETED>
                        <DELETED>    (iv) the quantity of pollution 
                        generated by stormwater;</DELETED>
                <DELETED>    (C) identify a set of best industry 
                practices that public water systems and treatment works 
                may use in establishing a rate structure that--
                </DELETED>
                        <DELETED>    (i) adequately addresses the true 
                        cost of services provided to consumers by 
                        public water systems and treatment works, 
                        including infrastructure replacement;</DELETED>
                        <DELETED>    (ii) encourages water 
                        conservation; and</DELETED>
                        <DELETED>    (iii) takes into consideration the 
                        needs of disadvantaged individuals and 
                        communities, as identified by the 
                        Administrator;</DELETED>
                <DELETED>    (D) identify existing standards for 
                affordability;</DELETED>
                <DELETED>    (E) determine the manner in which those 
                standards are determined and defined;</DELETED>
                <DELETED>    (F) determine the manner in which 
                affordability varies with respect to communities of 
                different sizes and in different regions; and</DELETED>
                <DELETED>    (G) determine the extent to which 
                affordability affects the decision of a community to 
                increase public water system and treatment works rates 
                (including the decision relating to the percentage by 
                which those rates should be increased).</DELETED>
        <DELETED>    (2) Disadvantaged communities.--The study shall, 
        at a minimum--</DELETED>
                <DELETED>    (A) survey a cross-section of States 
                representing different sizes, demographics, and 
                geographical regions;</DELETED>
                <DELETED>    (B) describe, for each State described in 
                subparagraph (A), the definition of ``disadvantaged 
                community'' used in the State in carrying out projects 
                and activities under the Safe Drinking Water Act (42 
                U.S.C. 300f et seq.);</DELETED>
                <DELETED>    (C) review other means of identifying the 
                meaning of the term ``disadvantaged'', as that term 
                applies to communities;</DELETED>
                <DELETED>    (D) determine which factors and 
                characteristics are required for a community to be 
                considered ``disadvantaged''; and</DELETED>
                <DELETED>    (E) evaluate the degree to which factors 
                such as a reduction in the tax base over a period of 
                time, a reduction in population, the loss of an 
                industrial base, and the existence of areas of 
                concentrated poverty are taken into account in 
                determining whether a community is a disadvantaged 
                community.</DELETED>
<DELETED>    (c) Selection of Communities.--The National Academy of 
Sciences shall select communities, the public water system and 
treatment works rate structures of which are to be studied under this 
section, that include a cross-section of communities representing 
various populations, income levels, demographics, and geographical 
regions.</DELETED>
<DELETED>    (d) Use of Results of Study.--On receipt of the results of 
the study, the Administrator shall--</DELETED>
        <DELETED>    (1) submit to Congress a report that describes the 
        results of the study; and</DELETED>
        <DELETED>    (2) make the results available to treatment works 
        and public water systems for use by the publicly owned 
        treatment works and public water systems, on a voluntary basis, 
        in determining whether 1 or more new approaches may be 
        implemented at facilities of the publicly owned treatment works 
        and public water systems.</DELETED>
<DELETED>    (e) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $1,000,000 for each of 
fiscal years 2006 and 2007.</DELETED>

<DELETED>SEC. 306. WATER RESOURCES STUDY.</DELETED>

<DELETED>    (a) Assessment.--</DELETED>
        <DELETED>    (1) In general.--The Secretary shall--</DELETED>
                <DELETED>    (A) not later than 2 years after the date 
                of enactment of this Act, conduct an assessment of 
                water resources in the United States; and</DELETED>
                <DELETED>    (B) update the assessment every 2 years 
                thereafter.</DELETED>
        <DELETED>    (2) Components.--The assessment shall, at a 
        minimum--</DELETED>
                <DELETED>    (A) measure the status and trends of--
                </DELETED>
                        <DELETED>    (i) fresh water in rivers and 
                        reservoirs;</DELETED>
                        <DELETED>    (ii) groundwater levels and volume 
                        of useable fresh water stored in aquifers; 
                        and</DELETED>
                        <DELETED>    (iii) fresh water withdrawn from 
                        streams and aquifers in the United States; 
                        and</DELETED>
                <DELETED>    (B) provide those measurements for--
                </DELETED>
                        <DELETED>    (i) watersheds defined by the 352 
                        hydrologic accounting units of the United 
                        States; and</DELETED>
                        <DELETED>    (ii) major aquifers of the United 
                        States, as identified by the 
                        Secretary.</DELETED>
        <DELETED>    (3) Report.--Not later than 1 year after the date 
        of completion of the assessment and every 2 years thereafter, 
        the Secretary shall submit to Congress a report--</DELETED>
                <DELETED>    (A) describing the results of the 
                assessment; and</DELETED>
                <DELETED>    (B) containing any recommendations of the 
                Secretary relating to the assessment that--</DELETED>
                        <DELETED>    (i) are consistent with existing 
                        laws, treaties, decrees, and interstate 
                        compacts; and</DELETED>
                        <DELETED>    (ii) respect the primary role of 
                        States in adjudicating, administering, and 
                        regulating water rights and uses.</DELETED>
<DELETED>    (b) Water Resource Research Priorities.--</DELETED>
        <DELETED>    (1) In general.--The Secretary shall coordinate a 
        process among Federal agencies and appropriate State agencies 
        to develop and publish, not later than 1 year after the date of 
        enactment of this Act, a list of water resource research 
        priorities that focuses on--</DELETED>
                <DELETED>    (A) water supply monitoring;</DELETED>
                <DELETED>    (B) means of capturing excess water and 
                flood water for conservation and use in the event of a 
                drought;</DELETED>
                <DELETED>    (C) strategies to conserve existing water 
                supplies, including recommendations for repairing aging 
                infrastructure;</DELETED>
                <DELETED>    (D) identifying incentives to ensure an 
                adequate and dependable supply of water;</DELETED>
                <DELETED>    (E) identifying available technologies and 
                other methods to optimize water supply reliability, 
                availability, and quality, while safeguarding the 
                environment; and</DELETED>
                <DELETED>    (F) improving the quality of water 
                resource information available to State, tribal, and 
                local water resource managers.</DELETED>
        <DELETED>    (2) Use of list.--The list published under 
        paragraph (1) shall be used by Federal agencies as a guide in 
        making decisions on the allocation of water research 
        funding.</DELETED>
<DELETED>    (c) Information Delivery System.--</DELETED>
        <DELETED>    (1) In general.--The Secretary shall coordinate a 
        process to develop an effective information delivery system to 
        communicate information described in paragraph (2) to--
        </DELETED>
                <DELETED>    (A) decisionmakers at the Federal, 
                regional, State, tribal, and local levels;</DELETED>
                <DELETED>    (B) the private sector; and</DELETED>
                <DELETED>    (C) the general public.</DELETED>
        <DELETED>    (2) Types of information.--The information 
        referred to in paragraph (1) may include--</DELETED>
                <DELETED>    (A) the results of the national water 
                resource assessments under subsection (a);</DELETED>
                <DELETED>    (B) a summary of the Federal water 
                research priorities developed under subsection 
                (b);</DELETED>
                <DELETED>    (C) near real-time data and other 
                information on water shortages and surpluses;</DELETED>
                <DELETED>    (D) planning models for water shortages or 
                surpluses (at various levels including State, river 
                basin, and watershed levels);</DELETED>
                <DELETED>    (E) streamlined procedures for States and 
                localities to interact with and obtain assistance from 
                Federal agencies that perform water resource functions; 
                and</DELETED>
                <DELETED>    (F) other water resource materials, as the 
                Secretary determine appropriate.</DELETED>
<DELETED>    (d) Report to Congress.--Not later than 2 years after the 
date of enactment of this Act, and every 2 years thereafter through 
fiscal year 2009, the Secretary shall submit to Congress a report on 
the implementation of this section.</DELETED>
<DELETED>    (e) Savings Clause.--Nothing in this section--</DELETED>
        <DELETED>    (1) modifies, supercedes, abrogates, impairs, or 
        otherwise affects in any way--</DELETED>
                <DELETED>    (A) any right or jurisdiction of any State 
                with respect to the water (including boundary water) of 
                the State;</DELETED>
                <DELETED>    (B) the authority of any State to allocate 
                quantities of water within areas under the jurisdiction 
                of the State; or</DELETED>
                <DELETED>    (C) any right or claim to any quantity or 
                use of water that has been adjudicated, allocated, or 
                claimed--</DELETED>
                        <DELETED>    (i) in accordance with State 
                        law;</DELETED>
                        <DELETED>    (ii) in accordance with 
                        subsections (a) through (c) of section 208 of 
                        the Department of Justice Appropriation Act, 
                        1953 (43 U.S.C. 666);</DELETED>
                        <DELETED>    (iii) by or pursuant to an 
                        interstate compact; or</DELETED>
                        <DELETED>    (iv) by a decision of the United 
                        States Supreme Court;</DELETED>
        <DELETED>    (2) requires a change in the nature of use or the 
        transfer of any right to use water or creates a limitation on 
        the exercise of any right to use water; or</DELETED>
        <DELETED>    (3) requires modifying the delivery, diversion, 
        non-diversion, allocation, storage, or release from storage of 
        any water to be delivered by contract.</DELETED>
<DELETED>    (f) Authorization of Appropriations.--There are authorized 
to be appropriated--</DELETED>
        <DELETED>    (1) to carry out the report authorized by this 
        section, $3,000,000, to remain available until expended; 
        and</DELETED>
        <DELETED>    (2) to carry out the updates authorized by 
        subsection (a)(1)(B), such sums as are necessary.</DELETED>

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Water 
Infrastructure Financing Act''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.

                TITLE I--WATER POLLUTION INFRASTRUCTURE

Sec. 101. Technical assistance for rural and small treatment works.
Sec. 102. Projects eligible for assistance.
Sec. 103. Water pollution control revolving loan funds.
Sec. 104. Affordability.
Sec. 105. Transferability of funds.
Sec. 106. Costs of administering water pollution control revolving loan 
                            funds.
Sec. 107. Water pollution control revolving loan funds.
Sec. 108. Noncompliance.
Sec. 109. Allotment of funds.
Sec. 110. Authorization of appropriations.
Sec. 111. Critical water infrastructure projects.
Sec. 112. Capitalization grant agreements.

              TITLE II--SAFE DRINKING WATER INFRASTRUCTURE

Sec. 201. Preconstruction work.
Sec. 202. Affordability.
Sec. 203. Safe drinking water revolving loan funds.
Sec. 204. Other authorized activities.
Sec. 205. Priority system requirements.
Sec. 206. Authorization of appropriations.
Sec. 207. Critical drinking water infrastructure projects.
Sec. 208. Small system revolving loan funds.
Sec. 209. Study of plumbing components.
Sec. 210. District of Columbia lead service line replacement.
Sec. 211. Contaminant prevention, detection, and response.
Sec. 212. Labor standards.

                        TITLE III--MISCELLANEOUS

Sec. 301. Definitions.
Sec. 302. Demonstration grant program for water quality enhancement and 
                            management.
Sec. 303. Agricultural pollution control technology grant program.
Sec. 304. State revolving fund review process.
Sec. 305. Cost of service study.
Sec. 306. Water resources study.

                TITLE I--WATER POLLUTION INFRASTRUCTURE

SEC. 101. TECHNICAL ASSISTANCE FOR RURAL AND SMALL TREATMENT WORKS.

    (a) In General.--Title II of the Federal Water Pollution Control 
Act (33 U.S.C. 1281 et seq.) is amended by adding at the end the 
following:

``SEC. 222. TECHNICAL ASSISTANCE FOR RURAL AND SMALL TREATMENT WORKS.

    ``(a) Definition of Qualified Nonprofit Technical Assistance 
Provider.--In this section, the term `qualified nonprofit technical 
assistance provider' means a qualified nonprofit technical assistance 
provider of water and wastewater services to small rural communities 
that provide technical assistance to treatment works (including circuit 
rider programs and training and preliminary engineering evaluations) 
that--
            ``(1) serve not more than 10,000 individuals; and
            ``(2) may include a State agency.
    ``(b) Grant Program.--
            ``(1) In general.--The Administrator may make grants to 
        qualified nonprofit technical assistance providers that are 
        qualified to provide assistance on a broad range of wastewater 
        and stormwater approaches--
                    ``(A) to assist small treatment works to plan, 
                develop, and obtain financing for eligible projects 
                described in section 603(c) or 518(c);
                    ``(B) to capitalize revolving loan funds to provide 
                loans, in consultation with the State in which the 
                assistance is provided, to rural and small 
                municipalities for predevelopment costs (including 
                costs for planning, design, associated preconstruction, 
                and necessary activities for siting the facility and 
                related elements) associated with wastewater 
                infrastructure projects or short-term costs incurred 
                for equipment replacement that is not part of regular 
                operation and maintenance activities for existing 
                wastewater systems, if--
                            ``(i) any loan from the fund is made at or 
                        below the market interest rate, for a term not 
                        to exceed 10 years;
                            ``(ii) the amount of any single loan does 
                        not exceed $100,000; and
                            ``(iii) all loan repayments are credited to 
                        the fund;
                    ``(C) to provide technical assistance and training 
                for rural and small publicly owned treatment works and 
                decentralized wastewater treatment systems to enable 
                those treatment works and systems to protect water 
                quality and achieve and maintain compliance with this 
                Act; and
                    ``(D) to disseminate information to rural and small 
                municipalities with respect to planning, design, 
                construction, and operation of publicly owned treatment 
                works and decentralized wastewater treatment systems.
            ``(2) Distribution of grant.--In carrying out this 
        subsection, the Administrator shall ensure, to the maximum 
        extent practicable, that technical assistance provided using 
        funds from a grant under paragraph (1) is made available in 
        each State.
            ``(3) Consultation.--As a condition of receiving a grant 
        under this subsection, a qualified nonprofit technical 
        assistance provider shall consult with each State in which 
        grant funds are to be expended or otherwise made available 
        before the grant funds are expended or made available in the 
        State.
            ``(4) Annual report.--For each fiscal year, a qualified 
        nonprofit technical assistance provider that receives a grant 
        under this subsection shall submit to the Administrator a 
        report that--
                    ``(A) describes the activities of the qualified 
                nonprofit technical assistance provider using grant 
                funds received under this subsection for the fiscal 
                year; and
                    ``(B) specifies--
                            ``(i) the number of communities served;
                            ``(ii) the sizes of those communities; and
                            ``(iii) the type of financing provided by 
                        the qualified nonprofit technical assistance 
                        provider.
    ``(c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $25,000,000 for each of fiscal 
years 2006 through 2010.''.
    (b) Guidance for Small Systems.--Section 602 of the Federal Water 
Pollution Control Act (33 U.S.C. 1382) is amended by adding at the end 
the following:
    ``(c) Guidance for Small Systems.--
            ``(1) Definition of small system.--In this subsection, the 
        term `small system' means a system--
                    ``(A) for which a municipality or intermunicipal, 
                interstate, or State agency seeks assistance under this 
                title; and
                    ``(B) that serves a population of 10,000 or fewer 
                individuals.
            ``(2) Simplified procedures.--Not later than 1 year after 
        the date of enactment of this subsection, the Administrator 
        shall assist the States in establishing simplified procedures 
        for small systems to obtain assistance under this title.
            ``(3) Publication of manual.--Not later than 1 year after 
        the date of enactment of this subsection, after providing 
        notice and opportunity for public comment, the Administrator 
        shall publish--
                    ``(A) a manual to assist small systems in obtaining 
                assistance under this title; and
                    ``(B) in the Federal Register, notice of the 
                availability of the manual.''.

SEC. 102. PROJECTS ELIGIBLE FOR ASSISTANCE.

    Section 603 of the Federal Water Pollution Control Act (33 U.S.C. 
1383) is amended by striking subsection (c) and inserting the 
following:
    ``(c) Projects Eligible for Assistance.--Funds in each State water 
pollution control revolving fund shall be used only for--
            ``(1) providing financial assistance to any municipality or 
        an intermunicipal, interstate, or State agency or private 
        utility that principally treats municipal wastewater or 
        domestic sewage for construction (including planning, design, 
        associated preconstruction, and activities relating to the 
        siting of a facility) of a treatment works (as defined in 
        section 212);
            ``(2) implementation of a management program established 
        under section 319;
            ``(3) development and implementation of a conservation and 
        management plan under section 320;
            ``(4) providing financial assistance to a municipality or 
        an intermunicipal, interstate, or State agency for projects to 
        increase the security of wastewater treatment works (excluding 
        any expenditure for operations or maintenance);
            ``(5) providing financial assistance to a municipality or 
        an intermunicipal, interstate, or State agency for measures to 
        control municipal stormwater, the primary purpose of which is 
        the preservation, protection, or enhancement of water quality 
        to support public purposes;
            ``(6) water conservation projects, the primary purpose of 
        which is the protection, preservation, and enhancement of water 
        quality to support public purposes; or
            ``(7) reuse, reclamation, and recycling projects, the 
        primary purpose of which is the protection, preservation, and 
        enhancement of water quality to support public purposes.''.

SEC. 103. SMALL STORMWATER POLLUTION CONTROL REVOLVING LOAN FUNDS.

    Section 603(d) of the Federal Water Pollution Control Act (33 
U.S.C. 1383(d)) is amended--
            (1) in paragraph (6), by striking ``and'' at the end;
            (2) in paragraph (7), by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
            ``(8) to carry out a project under paragraph (2) or (3) of 
        section 601(a), which may be--
                    ``(A) operated by a municipal, intermunicipal, or 
                interstate entity, State, public or private utility, 
                corporation, partnership, association, or nonprofit 
                agency; and
                    ``(B) used to make loans that will be fully 
                amortized not later than 30 years after the date of the 
                completion of the project.''.

SEC. 104. AFFORDABILITY.

    (a) In General.--Section 603 of the Federal Water Pollution Control 
Act (33 U.S.C. 1383) is amended--
            (1) by redesignating subsections (e) through (h) as 
        subsections (f) through (i), respectively; and
            (2) by inserting after subsection (d) the following:
    ``(e) Types of Assistance for Disadvantaged Communities.--
            ``(1) Definition of disadvantaged community.--In this 
        subsection, the term `disadvantaged community' means the 
        service area, or portion of a service area, of a treatment 
        works that meets affordability criteria established after 
        public review and comment by the State in which the treatment 
        works is located.
            ``(2) Loan subsidy.--Notwithstanding any other provision of 
        this section, in a case in which the State makes a loan from 
        the water pollution control revolving loan fund in accordance 
        with subsection (c) to a disadvantaged community or a community 
        that the State expects to become a disadvantaged community as 
        the result of a proposed project, the State may provide 
        additional subsidization, including--
                    ``(A) the forgiveness of the principal of the loan; 
                and
                    ``(B) an interest rate on the loan of zero percent.
            ``(3) Total amount of subsidies.--For each fiscal year, the 
        total amount of loan subsidies made by the State pursuant to 
        this subsection may not exceed 30 percent of the amount of the 
        capitalization grant received by the State for the fiscal year.
            ``(4) Extended term.--A State may provide an extended term 
        for a loan if the extended term--
                    ``(A) terminates not later than the date that is 30 
                years after the date of completion of the project; and
                    ``(B) does not exceed the expected design life of 
                the project.
            ``(5) Information.--The Administrator may publish 
        information to assist States in establishing affordability 
        criteria described in paragraph (1).''.
    (b) Conforming Amendment.--Section 221(d) of the Federal Water 
Pollution Control Act (33 U.S.C. 1301(d)) is amended in the second 
sentence by striking ``603(h)'' and inserting ``603(i)''.

SEC. 105. TRANSFERABILITY OF FUNDS.

    Section 603 of the Federal Water Pollution Control Act (33 U.S.C. 
1383) (as amended by section 104(a)(1)) is amended by adding at the end 
the following:
    ``(j) Transfer of Funds.--
            ``(1) In general.--The Governor of a State may--
                    ``(A)(i) reserve not more than 33 percent of a 
                capitalization grant made under this title; and
                    ``(ii) add the funds reserved to any funds provided 
                to the State under section 1452 of the Safe Drinking 
                Water Act (42 U.S.C. 300j-12); and
                    ``(B)(i) reserve for any year an amount that does 
                not exceed the amount that may be reserved under 
                subparagraph (A) for that year from capitalization 
                grants made under section 1452 of that Act (42 U.S.C. 
                300j-12); and
                    ``(ii) add the reserved funds to any funds provided 
                to the State under this title.
            ``(2) State match.--Funds reserved under this subsection 
        shall not be considered to be a State contribution for a 
        capitalization grant required under this title or section 
        1452(b) of the Safe Drinking Water Act (42 U.S.C. 300j-
        12(b)).''.

SEC. 106. COSTS OF ADMINISTERING WATER POLLUTION CONTROL REVOLVING LOAN 
              FUNDS.

    Section 603(d)(7) of the Federal Water Pollution Control Act (33 
U.S.C. 1383(d)(7)) is amended by striking ``4 percent'' and inserting 
``6 percent''.

SEC. 107. WATER POLLUTION CONTROL REVOLVING LOAN FUNDS.

    Section 603 of the Federal Water Pollution Control Act (33 U.S.C. 
1383) is amended by striking subsection (h) (as redesignated by section 
104) and inserting the following:
    ``(h) Priority System Requirement.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Restructuring.--The term `restructuring' 
                means--
                            ``(i) the consolidation of management 
                        functions or ownership with another facility; 
                        or
                            ``(ii) the formation of cooperative 
                        partnerships.
                    ``(B) Traditional wastewater approach.--The term 
                `traditional wastewater approach' means a managed 
                system used to collect and treat wastewater from an 
                entire service area consisting of--
                            ``(i) collection sewers;
                            ``(ii) a centralized treatment plant using 
                        biological, physical, or chemical treatment 
                        processes; and
                            ``(iii) a direct point source discharge to 
                        surface water.
            ``(2) Priority system.--In providing financial assistance 
        from the water pollution control revolving fund of the State, 
        the State shall--
                    ``(A) give greater weight to an application for 
                assistance by a treatment works if the application 
                includes such other information as the State determines 
                to be appropriate and--
                            ``(i) an inventory of assets, including a 
                        description of the condition of those assets;
                            ``(ii) a schedule for replacement of the 
                        assets;
                            ``(iii) a financing plan that factors in 
                        all life-cycle costs indicating sources of 
                        revenue from ratepayers, grants, bonds, other 
                        loans, and other sources;
                            ``(iv) a review of options for 
                        restructuring the treatment works;
                            ``(v) a review of options for or use of 
                        approaches other than a traditional wastewater 
                        approach that may include actions or projects 
                        that treat or minimize sewage or urban 
                        stormwater discharges using--
                                    ``(I) decentralized or distributed 
                                stormwater controls;
                                    ``(II) decentralized wastewater 
                                treatment;
                                    ``(III) low impact development 
                                technologies;
                                    ``(IV) stream buffers;
                                    ``(V) wetland restoration; or
                                    ``(VI) actions to minimize the 
                                quantity of and direct connections to 
                                impervious surfaces;
                            ``(vi) demonstration of consistency with 
                        State, regional, and municipal watershed plans;
                            ``(vii) a review of options for urban 
                        waterfront development or brownfields 
                        revitalization to be completed in conjunction 
                        with the project; or
                            ``(viii) provides the applicant the 
                        flexibility through alternative means to carry 
                        out responsibilities under Federal regulations, 
                        that may include watershed permitting and other 
                        innovative management approaches, while 
                        achieving results that--
                                    ``(I) the State authorized under 
                                section 402(a)(5) to issue national 
                                pollution discharge elimination permits 
                                determines meet permit requirements for 
                                permits that have been issued in 
                                accordance with the national pollution 
                                discharge elimination system under 
                                section 402; or
                                    ``(II) the Administrator determines 
                                are measurably superior when compared 
                                to regulatory standards;
                    ``(B) take into consideration appropriate chemical, 
                physical, and biological data that the State considers 
                reasonably available and of sufficient quality;
                    ``(C) provide for public notice and opportunity to 
                comment on the establishment of the system and the 
                summary under subparagraph (D);
                    ``(D) publish not less than biennially in summary 
                form a description of projects in the State that are 
                eligible for assistance under this title that 
                indicates--
                            ``(i) the priority assigned to each project 
                        under the priority system of the State; and
                            ``(ii) the funding schedule for each 
                        project, to that extent the information is 
                        available; and
                    ``(E) ensure that projects undertaken with 
                assistance under this title are designed to achieve, as 
                determined by the State, the optimum water quality 
                management, consistent with the public health and water 
                quality goals and requirements of this title.
            ``(3) Savings clause.--Nothing in paragraph (2)(A)(viii) 
        affects the authority of the Administrator under section 
        402(a)(5).''.

SEC. 108. NONCOMPLIANCE.

    Section 603 of the Federal Water Pollution Control Act (33 U.S.C. 
1383) (as amended by section 105) is amended by adding at the end the 
following:
    ``(k) Noncompliance.--
            ``(1) In general.--Except as provided in paragraph (2), no 
        assistance (other than assistance that is to be used by a 
        treatment works solely for planning, design, or security 
        purposes) shall be provided under this title to a treatment 
        works that has been in significant noncompliance with any 
        requirement of this Act for any of the 4 quarters in the 
        previous 8 quarters, unless the treatment works is in 
        compliance with, or has entered into, an enforceable 
        administrative order to effect compliance with the requirement.
            ``(2) Exception.--A treatment works that is determined 
        under paragraph (1) to be in significant noncompliance with a 
        requirement described in that paragraph may receive assistance 
        under this title if the Administrator and the State providing 
        the assistance determine that--
                    ``(A) the entity conducting the enforcement action 
                on which the determination of significant noncompliance 
                is based has determined that the use of assistance 
                would enable the treatment works to take corrective 
                action toward resolving the violations; or
                    ``(B) the entity conducting the enforcement action 
                on which the determination of significant noncompliance 
                is based has determined that the assistance would be 
                used on a portion of the treatment works that is not 
                directly related to the cause of finding significant 
                noncompliance.''.

SEC. 109. ALLOTMENT OF FUNDS.

    Section 604 of the Federal Water Pollution Control Act (33 U.S.C. 
1384) is amended by striking subsection (a) and inserting the 
following:
    ``(a) Allocation of Funds.--
            ``(1) In general.--Funds made available to carry out this 
        section for a fiscal year shall be allocated by the 
        Administrator in accordance with this subsection.
            ``(2) Indian tribes.--Of the total amount of funds 
        available, 1.5 percent shall be allocated to Indian tribes (as 
        that term is used in section 518(c)).
            ``(3) States and territories.--Of the total amount of funds 
        available after the allocation made under paragraph (2), funds 
        shall be allocated among the States and territories in 
        accordance with the following chart:


 
 
 
``State:                            Percentage:
  Alabama.........................  0.68
  Alaska..........................  1.00
  Arizona.........................  0.91
  Arkansas........................  0.50
  California......................  8.02
  Colorado........................  0.50
  Connecticut.....................  1.34
  Delaware........................  1.00
  Florida.........................  3.46
  Georgia.........................  1.81
  Hawaii..........................  0.50
  Idaho...........................  0.50
  Illinois........................  6.39
  Indiana.........................  2.48
  Iowa............................  0.82
  Kansas..........................  0.55
  Kentucky........................  1.29
  Louisiana.......................  1.49
  Maine...........................  0.50
  Maryland........................  1.47
  Massachusetts...................  2.06
  Michigan........................  4.36
  Minnesota.......................  1.12
  Mississippi.....................  0.92
  Missouri........................  2.89
  Montana.........................  1.00
  Nebraska........................  0.50
  Nevada..........................  0.75
  New Hampshire...................  0.61
  New Jersey......................  5.77
  New Mexico......................  0.50
  New York........................  12.89
  North Carolina..................  1.93
  North Dakota....................  0.75
  Ohio............................  5.80
  Oklahoma........................  1.07
  Oregon..........................  0.69
  Pennsylvania....................  4.02
  Rhode Island....................  1.00
  South Carolina..................  1.13
  South Dakota....................  1.00
  Tennessee.......................  1.48
  Texas...........................  2.78
  Utah............................  0.50
  Vermont.........................  1.00
  Virginia........................  2.17
  Washington......................  1.06
  West Virginia...................  1.58
  Wisconsin.......................  1.64
  Wyoming.........................  0.50
  District of Columbia............  0.50
  Puerto Rico.....................  0.50
  Territories.....................  0.32.''.

SEC. 110. AUTHORIZATION OF APPROPRIATIONS.

    The Federal Water Pollution Control Act is amended by striking 
section 607 (33 U.S.C. 1387) and inserting the following:

``SEC. 607. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--There are authorized to be appropriated to carry 
out this title--
            ``(1) $3,200,000,000 for each of fiscal years 2006 and 
        2007;
            ``(2) $3,600,000,000 for fiscal year 2008;
            ``(3) $4,000,000,000 for fiscal year 2009; and
            ``(4) $6,000,000,000 for fiscal year 2010.
    ``(b) Availability.--Amounts made available under this section 
shall remain available until expended.
    ``(c) Reservation for Needs Surveys.--Of the amount made available 
under subsection (a) to carry out this title for a fiscal year, the 
Administrator may reserve not more than $1,000,000 for the fiscal year. 
to remain available until expended, to pay the costs of conducting 
needs surveys under section 516(2).''.

SEC. 111. CRITICAL WATER INFRASTRUCTURE PROJECTS.

    (a) Establishment.--Not later than 180 days after the date of 
enactment of this Act, the Administrator shall establish a program 
under which grants are provided to eligible entities for use in 
carrying out projects and activities the primary purpose of which is 
watershed restoration through the protection or improvement of water 
quality.
    (b) Project Selection.--
            (1) In general.--The Administrator may provide funds under 
        this section to an eligible entity to carry out an eligible 
        project described in paragraph (3).
            (2) Equitable distribution.--The Administrator shall ensure 
        an equitable distribution of projects under this section, 
        taking into account cost and number of requests for each 
        category listed in paragraph (3).
            (3) Eligible projects.--A project that is eligible to be 
        carried out using funds provided under this section may include 
        projects that--
                    (A) are listed on the priority list of a State 
                under section 216 of the Federal Water Pollution 
                Control Act (33 U.S.C. 1296);
                    (B) mitigate wet weather flows, including combined 
                sewer overflows, sanitary sewer overflows, and 
                stormwater discharges;
                    (C) upgrade publicly owned treatment works with a 
                permitted design capacity to treat an annual average of 
                at least 500,000 gallons of wastewater per day, the 
                upgrade of which would produce the greatest nutrient 
                load reductions at points of discharge, or result in 
                the greatest environmental benefits, with nutrient 
                removal technologies that are designed to reduce--
                            (i) total nitrogen in discharged wastewater 
                        to an average annual concentration of not more 
                        than 3 milligrams per liter;
                            (ii) total phosphorous in discharged 
                        wastewater to an average annual concentration 
                        of not more than 1 milligram per liter; or
                            (iii) both nitrogen and phosphorous as 
                        described in clauses (i) and (ii);
                    (D) implement locally based watershed protection 
                plans created by local nonprofit organizations that--
                            (i) provide a coordinating framework for 
                        management that focuses public and private 
                        efforts to address the highest priority water-
                        related problems within a geographic area, 
                        considering both ground and surface water flow; 
                        and
                            (ii) includes representatives from both 
                        point source and nonpoint source contributors;
                    (E) are contained in a State plan developed in 
                accordance with section 319 or 320 of the Federal Water 
                Pollution Control Act (33 U.S.C. 1329, 1330); or
                    (F) include means to develop alternative water 
                supplies.
    (c) Local Participation.--In prioritizing projects for 
implementation under this section, the Administrator shall consult 
with, and consider the priorities of--
            (1) affected State and local governments; and
            (2) public and private entities that are active in 
        watershed planning and restoration.
    (d) Cost Sharing.--Before carrying out any project under this 
section, the Administrator shall enter into a binding agreement with 1 
or more non-Federal interests that shall require the non-Federal 
interests--
            (1) to pay 45 percent of the total costs of the project, 
        which may include services, materials, supplies, or other in-
        kind contributions;
            (2) to provide any land, easements, rights-of-way, and 
        relocations necessary to carry out the project; and
            (3) to pay 100 percent of any operation, maintenance, 
        repair, replacement, and rehabilitation costs associated with 
        the project.
    (e) Waiver.--The Administrator may waive the requirement to pay the 
non-Federal share of the cost of carrying out an eligible activity 
using funds from a grant provided under this section if the 
Administrator determines that an eligible entity is unable to pay, or 
would experience significant financial hardship if required to pay, the 
non-Federal share.
    (f) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $300,000,000 for each of fiscal 
years 2006 through 2010.

SEC. 112. CAPITALIZATION GRANT AGREEMENTS.

    Section 602(b) of the Federal Water Pollution Control Act (33 
U.S.C. 1382(b)) is amended by striking paragraph (6) and inserting the 
following:
            ``(6) treatment works eligible under section 603(c)(1) that 
        are constructed, in whole or in part, using funds made 
        available by a State water pollution control revolving loan 
        fund under this title will meet the requirements of section 513 
        in the same manner as treatment works constructed using 
        assistance provided under title II;''.

              TITLE II--SAFE DRINKING WATER INFRASTRUCTURE

SEC. 201. PRECONSTRUCTION WORK.

    Section 1452(a)(2) of the Safe Drinking Water Act (42 U.S.C. 300j-
12(a)(2)) is amended in the second sentence--
            (1) by striking ``(not'' and inserting ``(including 
        expenditures for planning, design, and associated 
        preconstruction and for recovery for siting of the facility and 
        related elements but not''; and
            (2) by inserting before the period at the end the 
        following: ``or to replace or rehabilitate aging treatment, 
        storage (including reservoirs), or distribution facilities of 
        public water systems or provide for capital projects to upgrade 
        the security of public water systems''.

SEC. 202. AFFORDABILITY.

    Section 1452(d)(3) of the Safe Drinking Water Act (42 U.S.C. 300j-
12(d)(3)) is amended in the first sentence by inserting ``, or portion 
of a service area,'' after ``service area''.

SEC. 203. SAFE DRINKING WATER REVOLVING LOAN FUNDS.

    Section 1452(g) of the Safe Drinking Water Act (42 U.S.C. 300j-
12(g)) is amended--
            (1) paragraph (2)--
                    (A) in the first sentence, by striking ``4'' and 
                inserting ``6''; and
                    (B) by striking ``1419,'' and all that follows 
                through ``1993.'' and inserting ``1419.''; and
            (2) by adding at the end the following:
            ``(5) Transfer of funds.--
                    ``(A) In general.--The Governor of a State may--
                            ``(i)(I) reserve not more than 33 percent 
                        of a capitalization grant made under this 
                        section; and
                            ``(II) add the funds reserved to any funds 
                        provided to the State under section 601 of the 
                        Federal Water Pollution Control Act (33 U.S.C. 
                        1381); and
                            ``(ii)(I) reserve for any fiscal year an 
                        amount that does not exceed the amount that may 
                        be reserved under clause (i)(I) for that year 
                        from capitalization grants made under section 
                        601 of that Act (33 U.S.C. 1381); and
                            ``(II) add the reserved funds to any funds 
                        provided to the State under this section.
                    ``(B) State match.--Funds reserved under this 
                paragraph shall not be considered to be a State match 
                of a capitalization grant required under this section 
                or section 602(b) of the Federal Water Pollution 
                Control Act (33 U.S.C. 1382(b)).''.

SEC. 204. OTHER AUTHORIZED ACTIVITIES.

    Section 1452(k)(2)(D) of the Safe Drinking Water Act (42 U.S.C. 
300j-12(k)(2)(D)) is amended by inserting before the period at the end 
the following: ``(including implementation of source water protection 
plans)''.

SEC. 205. PRIORITY SYSTEM REQUIREMENTS.

    Section 1452(b)(3) of the Safe Drinking Water Act (42 U.S.C. 300j-
12(b)(3)) is amended--
            (1) by redesignating subparagraph (B) as subparagraph (D);
            (2) by striking subparagraph (A) and inserting the 
        following:
                    ``(A) Definition of restructuring.--In this 
                paragraph, the term `restructuring' means changes in 
                operations (including ownership, cooperative 
                partnerships, accounting, rates, maintenance, 
                consolidation, and alternative water supply).
                    ``(B) Priority system.--An intended use plan shall 
                provide, to the maximum extent practicable, that 
                priority for the use of funds be given to projects 
                that--
                            ``(i) address the most serious risk to 
                        human health;
                            ``(ii) are necessary to ensure compliance 
                        with this title (including requirements for 
                        filtration); and
                            ``(iii) assist systems most in need on a 
                        per-household basis according to State 
                        affordability criteria.
                    ``(C) Weight given to applications.--After 
                determining project priorities under subparagraph (B), 
                an intended use plan shall further provide that the 
                State shall give greater weight to an application for 
                assistance by a community water system if the 
                application includes such other information as the 
                State determines to be necessary and--
                            ``(i) an inventory of assets, including a 
                        description of the condition of the assets;
                            ``(ii) a schedule for replacement of 
                        assets;
                            ``(iii) a financing plan indicating sources 
                        of revenue from ratepayers, grants, bonds, 
                        other loans, and other sources;
                            ``(iv) a review of options for 
                        restructuring the public water system;
                            ``(v) demonstration of consistency with 
                        State, regional, and municipal watershed plans; 
                        or
                            ``(vi) a review of options for urban 
                        waterfront development or brownfields 
                        revitalization to be completed in conjunction 
                        with the project;''; and
            (3) in subparagraph (D) (as redesignated by paragraph (1)), 
        by striking ``periodically'' and inserting ``at least 
        biennially''.

SEC. 206. AUTHORIZATION OF APPROPRIATIONS.

    Section 1452 of the Safe Drinking Water Act (42 U.S.C. 300j-12) is 
amended by striking subsection (m) and inserting the following:
    ``(m) Authorization of Appropriations.--
            ``(1) In general.--There are authorized to be appropriated 
        to carry out this section--
                    ``(A) $1,500,000,000 for fiscal year 2006;
                    ``(B) $2,000,000,000 for each of fiscal years 2007 
                and 2008;
                    ``(C) $3,500,000,000 for fiscal year 2009; and
                    ``(D) $6,000,000,000 for fiscal year 2010.
            ``(2) Availability.--Amounts made available under this 
        subsection shall remain available until expended.
            ``(3) Reservation for needs surveys.--Of the amount made 
        available under paragraph (1) to carry out this section for a 
        fiscal year, the Administrator may reserve not more than 
        $1,000,000 per year to pay the costs of conducting needs 
        surveys under subsection (h).''.

SEC. 207. CRITICAL DRINKING WATER INFRASTRUCTURE PROJECTS.

    (a) Establishment.--Not later than 180 days after the date of 
enactment of this Act, the Administrator of the Environmental 
Protection Agency shall establish a program under which grants are 
provided to eligible entities for use in carrying out projects and 
activities the primary purpose of which is to assist community water 
systems in meeting the requirements of the Safe Drinking Water Act (42 
U.S.C. 300f et seq.).
    (b) Project Selection.--A project that is eligible to be carried 
out using funds provided under this section may include projects that--
            (1) develop alternative water sources;
            (2) provide assistance to small systems; or
            (3) assist a community water system--
                    (A) to comply with a national primary drinking 
                water regulation; or
                    (B) to mitigate groundwater contamination.
    (c) Eligible Entities.--An entity eligible to receive a grant under 
this section is--
            (1) a community water system as defined in section 1401 of 
        the Safe Drinking Water Act (42 U.S.C. 300f); or
            (2) a system that is located in an area governed by an 
        Indian Tribe, as defined in section 1401 of the Safe Drinking 
        Water Act (42 U.S.C. 300f);
    (d) Priority.--In prioritizing projects for implementation under 
this section, the Administrator shall give priority to community water 
systems that--
            (1) serve a community that, under affordability criteria 
        established by the State under section 1452(d)(3) of the Safe 
        Drinking Water Act (42 U.S.C. 300j-12), is determined by the 
        State to be--
                    (A) a disadvantaged community; or
                    (B) a community that may become a disadvantaged 
                community as a result of carrying out an eligible 
                activity; or
            (2) serve a community with a population of less than 10,000 
        individuals.
    (e) Local Participation.--In prioritizing projects for 
implementation under this section, the Administrator shall consult 
with, and consider the priorities of, affected States, Tribes, and 
local governments.
    (f) Cost Sharing.--Before carrying out any project under this 
section, the Administrator shall enter into a binding agreement with 1 
or more non-Federal interests that shall require the non-Federal 
interests--
            (1) to pay 45 percent of the total costs of the project, 
        which may include services, materials, supplies, or other in-
        kind contributions;
            (2) to provide any land, easements, rights-of-way, and 
        relocations necessary to carry out the project; and
            (3) to pay 100 percent of any operation, maintenance, 
        repair, replacement, and rehabilitation costs associated with 
        the project.
    (g) Waiver.--The Administrator may waive the requirement to pay the 
non-Federal share of the cost of carrying out an eligible activity 
using funds from a grant provided under this section if the 
Administrator determines that an eligible entity is unable to pay, or 
would experience significant financial hardship if required to pay, the 
non-Federal share.
    (h) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $300,000,000 for each of fiscal 
years 2006 through 2010.

SEC. 208. SMALL SYSTEM REVOLVING LOAN FUNDS.

    Section 1442(e) of the Safe Drinking Water Act (42 U.S.C. 300j-
1(e)) is amended--
            (1) in the first sentence, by striking ``The Administrator 
        may provide'' and inserting the following:
            ``(1) In general.--The Administrator may provide''; and
            (2) by adding at the end the following:
            ``(2) Small system revolving loan fund.--
                    ``(A) In general.--In addition to amounts provided 
                under this section, the Administrator may provide 
                grants to qualified private, nonprofit entities to 
                capitalize revolving funds to provide financing to 
                eligible entities described in subparagraph (B) for--
                            ``(i) predevelopment costs (including costs 
                        for planning, design, associated 
                        preconstruction, and necessary activities for 
                        siting the facility and related elements) 
                        associated with proposed water projects or with 
                        existing water systems; and
                            ``(ii) short-term costs incurred for 
                        replacement equipment, small-scale extension 
                        services, or other small capital projects that 
                        are not part of the regular operations and 
                        maintenance activities of existing water 
                        systems.
                    ``(B) Eligible entities.--To be eligible for 
                assistance under this paragraph, an entity shall be a 
                small water system (as described in section 
                1412(b)(4)(E)(ii)).
                    ``(C) Maximum amount of loans.--The amount of 
                financing made to an eligible entity under this 
                paragraph shall not exceed--
                            ``(i) $100,000 for costs described in 
                        subparagraph (A)(i); and
                            ``(ii) $100,000 for costs described in 
                        subparagraph (A)(ii).
                    ``(D) Term.--The term of a loan made to an eligible 
                entity under this paragraph shall not exceed 10 years.
                    ``(E) Annual report.--For each fiscal year, a 
                qualified private, nonprofit entity that receives a 
                grant under subparagraph (A) shall submit to the 
                Administrator a report that--
                            ``(i) describes the activities of the 
                        qualified private, nonprofit entity under this 
                        paragraph for the fiscal year; and
                            ``(ii) specifies--
                                    ``(I) the number of communities 
                                served;
                                    ``(II) the sizes of those 
                                communities; and
                                    ``(III) the type of financing 
                                provided by the qualified private, 
                                nonprofit entity.
                    ``(F) Authorization of appropriations.--There is 
                authorized to be appropriated to carry out this 
                subsection $25,000,000 for each of fiscal years 2006 
                through 2010.''.

SEC. 209. STUDY OF PLUMBING COMPONENTS.

    (a) In General.--As soon as practicable after the date of enactment 
of this Act, the Administrator of the Environmental Protection Agency 
shall enter into a cooperative agreement with the National Academy of 
Sciences to carry out a study to analyze existing market conditions for 
plumbing components, including pipes, faucets, water meters, valves, 
household valves, and any other plumbing components that come into 
contact with water commonly used for human consumption.
    (b) Components.--In conducting the study under subsection (a), the 
National Academy of Sciences shall evaluate for each category of 
plumbing components described in subsection (a)--
            (1) the availability of plumbing components in each 
        category with lead content below 8 percent, including those 
        between 0 percent and 4 percent and those between 4 percent and 
        8 percent;
            (2) the variation of lead levels in components that make up 
        a faucet assembly;
            (3) the relative market share of the plumbing components;
            (4) the relative cost of the plumbing components;
            (5) the issues surrounding transition from current market 
        to plumbing components with not more than 0.2 percent lead;
            (6) the feasibility of manufacturing plumbing components 
        with lead levels below 8 percent; and
            (7) the use of lead alternatives in plumbing components 
        with lead levels below 8 percent.
    (c) Consultation.--In conducting the study under subsection (a), 
the National Academy of Sciences shall consult with individuals with 
appropriate expertise in plumbing components, plumbing products, 
plumbing materials, engineering, economics, and other appropriate 
fields from academia, industry, the National Sanitation Foundation, and 
other organizations as appropriate.
    (d) Report.--Upon receipt of the report, but not later than 18 
months after the date on which the Administrator enters into the 
cooperative agreement, the Administrator shall submit to the Committee 
on Environment and Public Works of the Senate and the Committee on 
Energy and Commerce of the House of Representatives a report describing 
the findings of the study under this section.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $500,000.

SEC. 210. DISTRICT OF COLUMBIA LEAD SERVICE LINE REPLACEMENT.

    (a) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out lead service line replacement in the District 
of Columbia $30,000,000 for each of fiscal years 2006 through 2010.
    (b) Lead Service Line Replacement Assistance Fund.--
            (1) In general.--Of the funds provided under subsection 
        (a), not more than $2,000,000 per year may be allocated for 
        water service line replacement grants to provide assistance to 
        low-income residents to replace the privately-owned portion of 
        lead service lines.
            (2) Limitation.--Individual grants shall be limited to not 
        more than $5,000.
            (3) Definition of low income.--For the purpose of this 
        subsection, the term ``low-income'' shall be defined by the 
        District of Columbia.

SEC. 211. CONTAMINANT PREVENTION, DETECTION, AND RESPONSE.

    Section 1434 of the Safe Drinking Water Act (42 U.S.C. 300i-3) is 
amended by striking subsection (b) and inserting the following:
    ``(b) Report.--Not later than 180 days after the date of enactment 
of the Water Infrastructure Financing Act, the Administrator shall 
submit to Congress a report that includes--
            ``(1) a description of the progress made as of that date in 
        implementing this section;
            ``(2) a description of any impediments to that 
        implementation identified by the Administrator, including--
                    ``(A) difficulty in coordinating the implementation 
                with other Federal, State, or local agencies or 
                organizations;
                    ``(B) insufficient funding for effective 
                implementation;
                    ``(C) a lack of authorization to take certain 
                actions (including the authority to hire necessary 
                personnel) required to carry out the implementation; 
                and
                    ``(D) technological impediments to developing the 
                methods, means, and equipment specified in subsection 
                (a)(1).
    ``(c) Implementation Plan.--The Administrator shall develop and 
carry out an implementation plan for this section consistent with 
actions taken to date and incorporating the results of the report under 
subsection (b).
    ``(d) Funding.--There is authorized to be appropriated to carry out 
this section $7,500,000 for each of fiscal years 2006 through 2010.''.

SEC. 212. LABOR STANDARDS.

    Section 1450 of the Safe Drinking Water Act (42 U.S.C. 300j-9) is 
amended by striking subsection (e) and inserting the following:
    ``(e) Wage Requirements.--
            ``(1) In general.--The Administrator shall take such action 
        as is necessary to ensure that laborers and mechanics employed 
        by contractors and subcontractors on construction projects 
        financed, in whole or in part, by a grant, loan, loan 
        guarantee, refinancing, or any other form of assistance 
        provided under this title (including assistance provided from 
        the State drinking water revolving fund under section 1452) are 
        paid at rates that are not less than the rates prevailing for 
        the same type of work for similar construction in the immediate 
        locality, as determined by the Secretary of Labor in accordance 
        with subchapter IV of chapter 31 of title 40, United States 
        Code (commonly known as the `Davis-Bacon Act').
            ``(2) Authority.--The Secretary of Labor shall have, with 
        respect to the labor standards specified in this subsection, 
        the authority and functions set forth in Reorganization Plan 
        Numbered 14 of 1950 (15 Fed. Reg. 3176) and section 3145 of 
        title 40, United States Code.''.

                        TITLE III--MISCELLANEOUS

SEC. 301. DEFINITIONS.

    In this title:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Secretary.--The term ``Secretary'' means--
                    (A) as used in section 303, the Secretary of 
                Agriculture; and
                    (B) as used in section 306, the Secretary of the 
                Interior, acting through the Director of the United 
                States Geological Survey.

SEC. 302. DEMONSTRATION GRANT PROGRAM FOR WATER QUALITY ENHANCEMENT AND 
              MANAGEMENT.

    (a) Research and Development.--
            (1) In general.--As soon as practicable after the date of 
        enactment of this Act, the Administrator shall, through a 
        competitive process, award grants and enter into contracts and 
        cooperative agreements with research institutions, educational 
        institutions, and other appropriate entities (including 
        consortia of such institutions and entities) for research and 
        development on the use of innovative and alternative 
        technologies to improve water quality or drinking water supply.
            (2) Types of projects.--In carrying out this subsection, 
        the Administrator may select projects relating to such matters 
        as innovative or alternative technologies, approaches, 
        practices, or methods--
                    (A) to increase the effectiveness and efficiency of 
                public water supply systems, including--
                            (i) source water protection;
                            (ii) water use reduction;
                            (iii) water reuse;
                            (iv) water treatment;
                            (v) water distribution and wastewater 
                        collection systems; and
                            (vi) water security;
                    (B) to encourage the use of innovative or 
                alternative technologies or approaches relating to 
                water supply or availability;
                    (C) to increase the effectiveness and efficiency of 
                new and existing treatment works, including--
                            (i) methods of collecting, treating, 
                        dispersing, reusing, reclaiming, and recycling 
                        wastewater;
                            (ii) system design;
                            (iii) nonstructural alternatives;
                            (iv) decentralized approaches;
                            (v) assessment;
                            (vi) water efficiency; and
                            (vii) wastewater security;
                    (D) to increase the effectiveness and efficiency of 
                municipal separate storm sewer systems;
                    (E) to promote new water treatment technologies, 
                including commercialization and dissemination 
                strategies for adoption of innovative water, 
                wastewater, and stormwater technologies or alternative 
                low impact development technologies in the homebuilding 
                industry; or
                    (F) to maintain a clearinghouse of technologies 
                developed under this subsection and subsection (b) at a 
                research consortium or institute.
            (3) Authorization of appropriations.--There is authorized 
        to be appropriated to carry out this subsection $20,000,000 for 
        each of fiscal years 2006 through 2010.
    (b) Establishment.--
            (1) In general.--As soon as practicable after the date of 
        enactment of this Act, the Administrator shall establish a 
        nationwide demonstration grant program to--
                    (A) promote innovations in technology and 
                alternative approaches to water quality management or 
                water supply; or
                    (B) reduce costs to municipalities incurred in 
                complying with--
                            (i) the Federal Water Pollution Control Act 
                        (33 U.S.C. 1251 et seq.); and
                            (ii) the Safe Drinking Water Act (42 U.S.C. 
                        300f et seq.).
            (2) Scope.--The demonstration grant program shall consist 
        of 10 projects each year, to be carried out in municipalities 
        selected by the Administrator under subsection (c).
    (c) Selection of Municipalities.--
            (1) Application.--A municipality that seeks to participate 
        in the demonstration grant program shall submit to the 
        Administrator a plan that--
                    (A) is developed in coordination with--
                            (i) the agency of the State having 
                        jurisdiction over water quality or water supply 
                        matters; and
                            (ii) interested stakeholders, including 
                        universities and related research institutions;
                    (B) describes water impacts specific to urban or 
                rural areas;
                    (C) includes a strategy under which the 
                municipality, through participation in the 
                demonstration grant program, could effectively--
                            (i) address water quality or water supply 
                        problems; and
                            (ii) achieve the water quality goals that--
                                    (I) could be achieved using more 
                                traditional methods; and
                                    (II) are required under--
                                            (aa) the Federal Water 
                                        Pollution Control Act (33 
                                        U.S.C. 1251 et seq.); or
                                            (bb) the Safe Drinking 
                                        Water Act (42 U.S.C. 300f et 
                                        seq.); and
                    (D) includes a schedule for achieving the water 
                quality or water supply goals of the municipality.
            (2) Types of projects.--In carrying out the demonstration 
        grant program, the Administrator shall provide grants for 
        projects relating to water supply or water quality matters such 
        as--
                    (A) excessive nutrient growth;
                    (B) urban or rural population pressure;
                    (C) lack of an alternative water supply;
                    (D) difficulties in water conservation and 
                efficiency;
                    (E) lack of support tools and technologies to 
                rehabilitate and replace water supplies;
                    (F) lack of monitoring and data analysis for water 
                distribution systems;
                    (G) nonpoint source water pollution;
                    (H) sanitary overflows;
                    (I) combined sewer overflows;
                    (J) problems with naturally occurring constituents 
                of concern;
                    (K) problems with erosion and excess sediment;
                    (L) new approaches to water treatment, 
                distribution, and wastewater collection systems;
                    (M) new methods for collecting and treating 
                wastewater (including system design and nonstructural 
                alternatives); and
                    (N) stormwater.
            (3) Responsibilities of administrator.--In providing grants 
        for projects under this subsection, the Administrator shall--
                    (A) ensure, to the maximum extent practicable, 
                that--
                            (i) the demonstration program includes a 
                        variety of projects with respect to--
                                    (I) geographic distribution;
                                    (II) innovative technologies used 
                                for the projects; and
                                    (III) nontraditional approaches 
                                (including low-impact development 
                                technologies) used for the projects; 
                                and
                            (ii) each category of project described in 
                        paragraph (2) is adequately represented;
                    (B) give higher priority to projects that--
                            (i) address multiple problems; and
                            (ii) are regionally applicable;
                    (C) ensure, to the maximum extent practicable, that 
                at least 1 community having a population of 10,000 or 
                fewer individuals receives a grant for each fiscal 
                year; and
                    (D) ensure that, for each fiscal year, no 
                municipality receives more than 25 percent of the total 
                amount of funds made available for the fiscal year to 
                provide grants under this section.
            (4) Cost sharing.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the non-Federal share of the total cost of a 
                project funded by a grant under this section shall be 
                not less than 20 percent.
                    (B) Waiver.--The Administrator may reduce or 
                eliminate the non-Federal share of the cost of a 
                project for reasons of affordability.
    (d) Reports.--
            (1) Reports from grant recipients.--A recipient of a grant 
        under this section shall submit to the Administrator, on the 
        date of completion of a project of the recipient and on each of 
        the dates that is 1, 2, and 3 years after that date, a report 
        that describes the effectiveness of the project.
            (2) Reports to congress.--Not later than 2 years after the 
        date of enactment of this Act, and every 2 years thereafter, 
        the Administrator shall submit to the Committee on Environment 
        and Public Works of the Senate and the Committee on 
        Transportation and Infrastructure and the Committee on Energy 
        and Commerce of the House of Representatives a report that 
        describes the status and results of the demonstration program.
    (e) Incorporation of Results and Information.--To the maximum 
extent practicable, the Administrator shall incorporate the results of, 
and information obtained from, successful projects under this section 
into programs administered by the Administrator.
    (f) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section (other than subsection (a)) 
$20,000,000 for each of fiscal years 2006 through 2010.

SEC. 303. AGRICULTURAL POLLUTION CONTROL TECHNOLOGY GRANT PROGRAM.

    (a) Definitions.--In this section:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Agricultural commodity.--The term ``agricultural 
        commodity'' means--
                    (A) agricultural, horticultural, viticultural, and 
                dairy products;
                    (B) livestock and the products of livestock;
                    (C) the products of poultry and bee raising;
                    (D) the products of forestry;
                    (E) other commodities raised or produced on 
                agricultural sites, as determined to be appropriate by 
                the Secretary; and
                    (F) products processed or manufactured from 
                products specified in subparagraphs (A) through (E), as 
                determined by the Secretary.
            (3) Agricultural project.--The term ``agricultural 
        project'' means an agricultural pollution control technology 
        pilot project that, as determined by the Administrator--
                    (A) is carried out at an agricultural site; and
                    (B) achieves demonstrable reductions in air and 
                water pollution.
            (4) Agricultural site.--The term ``agricultural site'' 
        means a farming or ranching operation of a producer.
            (5) Producer.--The term ``producer'' means any person who 
        is engaged in the production and sale of an agricultural 
        commodity in the United States and who owns, or shares the 
        ownership and risk of loss of, the agricultural commodity.
            (6) Revolving fund.--The term ``revolving fund'' means an 
        agricultural pollution control technology State revolving fund 
        established by a State using amounts provided under subsection 
        (b)(1).
    (b) Grants for Agricultural State Revolving Funds.--
            (1) In general.--As soon as practicable after the date of 
        enactment of this section, the Administrator shall provide to 
        each eligible State described in paragraph (2) 1 or more 
        capitalization grants, that cumulatively equal no more than 
        $1,000,000 per State, for use in establishing, within an agency 
        of the State having jurisdiction over agriculture or 
        environmental quality, an agricultural pollution control 
        technology State revolving fund.
            (2) Eligible states.--An eligible State referred to in 
        paragraph (1) is a State that agrees, prior to receipt of a 
        capitalization grant under paragraph (1)--
                    (A) to establish, and deposit the funds from the 
                grant in, a revolving fund;
                    (B) to provide, at a minimum, a State share in an 
                amount equal to 20 percent of the capitalization grant;
                    (C) to use amounts in the revolving fund to make 
                loans to producers in accordance with subsection (c); 
                and
                    (D) to return amounts in the revolving fund if no 
                loan applications are granted within 2 years of the 
                receipt of the initial capitalization grant.
    (c) Loans to Producers.--
            (1) Use of funds.--A State that establishes a revolving 
        fund under subsection (b)(2) shall use amounts in the revolving 
        fund to provide loans to producers for use in designing and 
        constructing agricultural projects.
            (2) Maximum amount of loan.--The amount of a loan made to a 
        producer using funds from a revolving fund shall not exceed 
        $250,000, in the aggregate, for all agricultural projects 
        serving an agricultural site of the producer.
            (3) Conditions on loans.--A loan made to a producer using 
        funds from a revolving fund shall--
                    (A) have an interest rate that is not more than the 
                market interest rate, including an interest-free loan; 
                and
                    (B) be repaid to the revolving fund not later than 
                10 years after the date on which the loan is made.
    (d) Requirements for Producers.--
            (1) In general.--A producer that seeks to receive a loan 
        from a revolving fund shall--
                    (A) submit to the State in which the agricultural 
                site of the producer is located an application that--
                            (i) contains such information as the State 
                        may require; and
                            (ii) demonstrates, to the satisfaction of 
                        the State, that each project proposed to be 
                        carried out with funds from the loan is an 
                        agricultural project; and
                    (B) agree to expend all funds from a loan in an 
                expeditious and timely manner, as determined by the 
                State.
            (2) Maximum percentage of agricultural project cost.--
        Subject to subsection (c)(2), a producer that receives a loan 
        from a revolving fund may use funds from the loan to pay up to 
        100 percent of the cost of carrying out an agricultural 
        project.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000.

SEC. 304. STATE REVOLVING FUND REVIEW PROCESS.

    As soon as practicable after the date of enactment of this Act, the 
Administrator shall--
            (1) consult with States, utilities, nonprofit 
        organizations, and other Federal agencies providing financial 
        assistance to identify ways to expedite and improve the 
        application and review process for the provision of assistance 
        from--
                    (A) the State water pollution control revolving 
                funds established under title VI of the Federal Water 
                Pollution Control Act (33 U.S.C. 1381 et seq.); and
                    (B) the State drinking water treatment revolving 
                loan funds established under section 1452 of the Safe 
                Drinking Water Act (42 U.S.C. 300j-12);
            (2) take such administrative action as is necessary to 
        expedite and improve the process as the Administrator has 
        authority to take under existing law;
            (3) collect information relating to innovative approaches 
        taken by any State to simplify the application process of the 
        State, and provide the information to each State; and
            (4) submit to Congress a report that, based on the 
        information identified under paragraph (1), contains 
        recommendations for legislation to facilitate further 
        streamlining and improvement of the process.

SEC. 305. COST OF SERVICE STUDY.

    (a) In General.--Not later than 2 years after the date of enactment 
of this Act, the Administrator shall enter into a contract with the 
National Academy of Sciences for, and the National Academy of Sciences 
shall complete and provide to the Administrator the results of, a study 
of the means by which public water systems and treatment works selected 
by the Academy in accordance with subsection (c) meet the costs 
associated with operations, maintenance, capital replacement, and 
regulatory requirements.
    (b) Required Elements.--
            (1) Affordability.--The study shall, at a minimum--
                    (A) determine whether the rates at public water 
                systems and treatment works for communities included in 
                the study were established using a full-cost pricing 
                model;
                    (B) if a full-cost pricing model was not used, 
                identify any incentive rate systems that have been 
                successful in significantly reducing--
                            (i) per capita water demand;
                            (ii) the volume of wastewater flows;
                            (iii) the volume of stormwater runoff; or
                            (iv) the quantity of pollution generated by 
                        stormwater;
                    (C) identify a set of best industry practices that 
                public water systems and treatment works may use in 
                establishing a rate structure that--
                            (i) adequately addresses the true cost of 
                        services provided to consumers by public water 
                        systems and treatment works, including 
                        infrastructure replacement;
                            (ii) encourages water conservation; and
                            (iii) takes into consideration the needs of 
                        disadvantaged individuals and communities, as 
                        identified by the Administrator;
                    (D) identify existing standards for affordability;
                    (E) determine the manner in which those standards 
                are determined and defined;
                    (F) determine the manner in which affordability 
                varies with respect to communities of different sizes 
                and in different regions; and
                    (G) determine the extent to which affordability 
                affects the decision of a community to increase public 
                water system and treatment works rates (including the 
                decision relating to the percentage by which those 
                rates should be increased).
            (2) Disadvantaged communities.--The study shall, at a 
        minimum--
                    (A) survey a cross-section of States representing 
                different sizes, demographics, and geographical 
                regions;
                    (B) describe, for each State described in 
                subparagraph (A), the definition of ``disadvantaged 
                community'' used in the State in carrying out projects 
                and activities under the Safe Drinking Water Act (42 
                U.S.C. 300f et seq.);
                    (C) review other means of identifying the meaning 
                of the term ``disadvantaged'', as that term applies to 
                communities;
                    (D) determine which factors and characteristics are 
                required for a community to be considered 
                ``disadvantaged''; and
                    (E) evaluate the degree to which factors such as a 
                reduction in the tax base over a period of time, a 
                reduction in population, the loss of an industrial 
                base, and the existence of areas of concentrated 
                poverty are taken into account in determining whether a 
                community is a disadvantaged community.
    (c) Selection of Communities.--The National Academy of Sciences 
shall select communities, the public water system and treatment works 
rate structures of which are to be studied under this section, that 
include a cross-section of communities representing various 
populations, income levels, demographics, and geographical regions.
    (d) Use of Results of Study.--On receipt of the results of the 
study, the Administrator shall--
            (1) submit to Congress a report that describes the results 
        of the study; and
            (2) make the results available to treatment works and 
        public water systems for use by the publicly owned treatment 
        works and public water systems, on a voluntary basis, in 
        determining whether 1 or more new approaches may be implemented 
        at facilities of the publicly owned treatment works and public 
        water systems.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,000,000 for each of fiscal 
years 2006 and 2007.

SEC. 306. WATER RESOURCES STUDY.

    (a) Assessment.--
            (1) In general.--The Secretary shall--
                    (A) not later than 2 years after the date of 
                enactment of this Act, conduct an assessment of water 
                resources in the United States; and
                    (B) update the assessment every 2 years thereafter.
            (2) Components.--The assessment shall, at a minimum--
                    (A) measure the status and trends of--
                            (i) fresh water in rivers and reservoirs;
                            (ii) groundwater levels and volume of 
                        useable fresh water stored in aquifers; and
                            (iii) fresh water withdrawn from streams 
                        and aquifers in the United States; and
                    (B) provide those measurements for--
                            (i) watersheds defined by the 352 
                        hydrologic accounting units of the United 
                        States; and
                            (ii) major aquifers of the United States, 
                        as identified by the Secretary.
            (3) Report.--Not later than 1 year after the date of 
        completion of the assessment and every 2 years thereafter, the 
        Secretary shall submit to Congress a report--
                    (A) describing the results of the assessment; and
                    (B) containing any recommendations of the Secretary 
                relating to the assessment that--
                            (i) are consistent with existing laws, 
                        treaties, decrees, and interstate compacts; and
                            (ii) respect the primary role of States in 
                        adjudicating, administering, and regulating 
                        water rights and uses.
    (b) Water Resource Research Priorities.--
            (1) In general.--The Secretary shall coordinate a process 
        among Federal agencies and appropriate State agencies to 
        develop and publish, not later than 1 year after the date of 
        enactment of this Act, a list of water resource research 
        priorities that focuses on--
                    (A) water supply monitoring;
                    (B) means of capturing excess water and flood water 
                for conservation and use in the event of a drought;
                    (C) strategies to conserve existing water supplies, 
                including recommendations for repairing aging 
                infrastructure;
                    (D) identifying incentives to ensure an adequate 
                and dependable supply of water;
                    (E) identifying available technologies and other 
                methods to optimize water supply reliability, 
                availability, and quality, while safeguarding the 
                environment; and
                    (F) improving the quality of water resource 
                information available to State, tribal, and local water 
                resource managers.
            (2) Use of list.--The list published under paragraph (1) 
        shall be used by Federal agencies as a guide in making 
        decisions on the allocation of water research funding.
    (c) Information Delivery System.--
            (1) In general.--The Secretary shall coordinate a process 
        to develop an effective information delivery system to 
        communicate information described in paragraph (2) to--
                    (A) decisionmakers at the Federal, regional, State, 
                tribal, and local levels;
                    (B) the private sector; and
                    (C) the general public.
            (2) Types of information.--The information referred to in 
        paragraph (1) may include--
                    (A) the results of the national water resource 
                assessments under subsection (a);
                    (B) a summary of the Federal water research 
                priorities developed under subsection (b);
                    (C) near real-time data and other information on 
                water shortages and surpluses;
                    (D) planning models for water shortages or 
                surpluses (at various levels including State, river 
                basin, and watershed levels);
                    (E) streamlined procedures for States and 
                localities to interact with and obtain assistance from 
                Federal agencies that perform water resource functions; 
                and
                    (F) other water resource materials, as the 
                Secretary determine appropriate.
    (d) Report to Congress.--Not later than 2 years after the date of 
enactment of this Act, and every 2 years thereafter through fiscal year 
2009, the Secretary shall submit to Congress a report on the 
implementation of this section.
    (e) Savings Clause.--Nothing in this section--
            (1) modifies, supercedes, abrogates, impairs, or otherwise 
        affects in any way--
                    (A) any right or jurisdiction of any State with 
                respect to the water (including boundary water) of the 
                State;
                    (B) the authority of any State to allocate 
                quantities of water within areas under the jurisdiction 
                of the State; or
                    (C) any right or claim to any quantity or use of 
                water that has been adjudicated, allocated, or 
                claimed--
                            (i) in accordance with State law;
                            (ii) in accordance with subsections (a) 
                        through (c) of section 208 of the Department of 
                        Justice Appropriation Act, 1953 (43 U.S.C. 
                        666);
                            (iii) by or pursuant to an interstate 
                        compact; or
                            (iv) by a decision of the United States 
                        Supreme Court;
            (2) requires a change in the nature of use or the transfer 
        of any right to use water or creates a limitation on the 
        exercise of any right to use water; or
            (3) requires modifying the delivery, diversion, non-
        diversion, allocation, storage, or release from storage of any 
        water to be delivered by contract.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated--
            (1) to carry out the report authorized by this section, 
        $3,000,000, to remain available until expended; and
            (2) to carry out the updates authorized by subsection 
        (a)(1)(B), such sums as are necessary.




                                                       Calendar No. 304

109th CONGRESS

  1st Session

                                S. 1400

                          [Report No. 109-186]

_______________________________________________________________________

                                 A BILL

To amend the Federal Water Pollution Control Act and the Safe Drinking 
Water Act to improve water and wastewater infrastructure in the United 
                                States.

_______________________________________________________________________

                            December 8, 2005

                       Reported with an amendment