[Congressional Record Volume 144, Number 82 (Monday, June 22, 1998)]
[Senate]
[Pages S6828-S6829]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                         ADDITIONAL STATEMENTS

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        NOMINATION OF LOUIS CALDERA TO BE SECRETARY OF THE ARMY

 Mr. WARNER. Mr. President, in considering the nomination of 
Louis Caldera before the Senate Armed Services Committee to be the 
Secretary of the Army, I raised the issue of the Washington Aqueduct--
the public water system for the Metropolitan Washington area that is 
owned by the Federal government and administered by the Corps of 
Engineers.
  As my colleagues may recall, the conditions at the Washington 
Aqueduct gained national attention when the Environmental Protection 
Agency issued a ``boil-water'' order in December, 1993 for the 
metropolitan Washington region. There was significant concern that the 
water supply for the nation's capital was contaminated. This incident 
brought to light the significant capital improvements that are needed 
at the facility to meet current federal drinking water standards.
  In order to address the tremendous water quality issues that are 
facing the District, Arlington County, and the city of Falls Church, I 
included in the Safe Drinking Water Act Amendments of 1996, Section 306 
entitled the Washington Aqueduct. I wrote this section so that the 
customers of the Washington Aqueduct would have a reliable and safe 
source of drinkable water. The Aqueduct is in need of many capital 
improvements to insure that the water remains safe and drinkable. 
Improvements to the Aqueduct are self-financed by the users. It is 
estimated that significant costs remain, between $250 and $400 million.
  To allow for these crucial improvements, Section 306 directs the Army 
Corps of Engineers to transfer the Washington Aqueduct, with the 
consent of a majority of the three customers, to a non-federal, public 
or private entity. Since this effort would be a significant 
undertaking, the Safe Drinking Water Act gave the customers and the 
Corps three years, until August 6, 1999, to gain consensus. Congress 
authorized the Corps to borrow funds from the Treasury during an 
interim three year period to begin the necessary infrastructure 
improvements. This borrowing authority totaled $75 million and would be 
repaid by the ratepayers.
  Recently, I learned that the Corps has signed a Memorandum of 
Understanding with the three customers for the Corps to retain 
ownership of the Aqueduct.
  There are problems with the Corps remaining the owner of the 
Washington Aqueduct, besides that this seems inconsistent with existing 
law. First and foremost, the Corps does not have the means to finance 
the capital improvements that are needed. Once the three year borrowing 
expires, the Corps only has means to finance daily operations at the 
Corps. Given the current condition at the Aqueduct, this is hardly the 
way to insure that the ratepayers have drinkable water. In addition, in 
the event of another boil water scare, the Corps would have no means to 
address the immediate problem. If the Corps does not have funding to 
perform needed upgrades to the Aqueduct nor have the financing to 
address an emergency

[[Page S6829]]

situation, it seems to me that, consistent with current law, they 
should not retain ownership of the Corps.
  In questioning Mr. Caldera about this situation, I have received 
assurances that the Army will fully implement the provisions of the 
Safe Drinking Water Act. This Wednesday a meeting will be held with all 
the relevant parties to develop a course of action on this matter. I am 
encouraged by Mr. Caldera's attention to this important regional issue. 
He has pledged to work with me to resolve this impasse so that the 
region can afford to proceed with the necessary modernization plan for 
the Aqueduct. Without proceeding with privatization or the development 
of a new regional entity, I remain concerned that the schedule for 
improvements will be delayed or that the citizens of this region will 
experience severe water rate hikes.

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