[Congressional Record Volume 146, Number 78 (Tuesday, June 20, 2000)]
[Senate]
[Pages S5463-S5464]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. ROBB:
  S. 2756. A bill to amend the Federal Water Pollution Control Act to 
establish a National Clean Water Trust Fund and to authorize the 
Administrator of the Environmental Protection Agency to use amounts in 
the Fund to carry out projects to promote the recovery of waters of the 
United States from damage resulting from violations of that Act, and 
for other purposes; to the Committee on Environment and Public Works.


            THE NATIONAL CLEAN WATER TRUST FUND ACT 0F 2000

 Mr. ROBB. Mr. President, I'm introducing a bill that will help 
clean up and restore our nation's waters. This bill, The National Clean 
Water Trust Fund Act of 2000, creates a trust fund from fines, 
penalties and other monies collected through enforcement of the Clean 
Water Act. The money deposited into the National Clean Water Trust Fund 
would be used to address the pollution problems that initiated those 
enforcement actions.
  A highly publicized case in Virginia illustrated the need for this 
legislation. On August 8 1997, U.S. District Court Judge Rebecca Smith 
issued a $12.6 million judgement against Smithfield Foods for polluting 
the Pagan River in Isle of Wight County, Virginia. The judge stated in 
her opinion that the civil penalty imposed on Smithfield should be 
directed toward the restoration of the Pagan and James Rivers, 
tributaries to the Chesapeake Bay. Unfortunately, due to current 
federal law, the court had no discretion over the damages, and the fine 
was deposited into the Treasury's general fund, defeating the very 
spirit of the Clean Water Act.
  Today, there is no guarantee that fines or other money levied against 
parties who violate provisions in the Clean Water Act will be used to 
correct short and long term damage from water pollution. Instead the 
money is directed into the fund of the U.S. Treasury with no provision 
that it be used to improve the quality of our water. Pollution from 
spills or illegal discharges can have a profound effect on our 
environment and can degrade our public water supplies, and recreational 
areas. Water pollution causes long term damage to fish and shellfish 
habitat and destroys the livelihood of watermen, and leads to the long 
term degradation of scenic areas. While the Environmental Protection 
Agency's enforcement activities are extracting large sums of money from 
industry and others through enforcement of the Clean Water Act, we are 
missing an opportunity to pay for the cleanup and restoration of 
pollution problems for which the penalties were levied. To ensure the 
successful implementation of the Clean Water Act, we should put these 
enforcement funds to work and actually clean up the nation's waters.
  This legislation will establish a National Clean Water Trust Fund 
within the U.S. Treasury to earmark fines, penalties, and other funds, 
including consent decrees, obtained through enforcement of the Clean 
Water Act that would otherwise be placed into the Treasury's general 
fund. The EPA Administrator would be authorized, after consultation 
with the States, to prioritize and carry out projects to restore and 
recover waters of the United States using the funds collected from the 
violations of the Clean Water Act. This legislation would not preempt 
citizen suits or in any way preclude EPA's authority to undertake and 
complete supplemental environmental projects as part of settlements 
related to violations of the Clean Water Act or any other legislation. 
The bill also provides court discretion over civil penalties from Clean 
Water Act violations to be used to carry out mitigation and restoration 
projects. In this bill, EPA is directed to give priority consideration 
to projects in the watershed where the original violation was 
discovered. With this legislation, we can avoid another predicament 
like the one faced in Virginia.
  Mr. President, it only makes sense that fines occurring from 
violations of the Clean Water Act be used to restore the waters that 
were damaged. This bill provides a real opportunity to improve the 
quality of our nation's waters.
  Mr. President, I ask unanimous consent that the full text of the bill 
be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 2756

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``National Clean Water Trust 
     Fund Act of 2000''.

     SEC. 2. NATIONAL CLEAN WATER TRUST FUND.

       Section 309 of the Federal Water Pollution Control Act (33 
     U.S.C. 1319) is amended by adding at the end the following:
       ``(h) National Clean Water Trust Fund.--
       ``(1) Establishment.--There is established in the Treasury 
     a National Clean Water Trust Fund (referred to in this 
     subsection as the `Fund') consisting of amounts transferred 
     to the Fund under paragraph (2) and amounts credited to the 
     Fund under paragraph (3).
       ``(2) Transfer of amounts.--For fiscal year 2001, and each 
     fiscal year thereafter, the Secretary of the Treasury shall 
     transfer to the Fund an amount determined by the Secretary to 
     be equal to the total amount deposited in the general fund of 
     the Treasury in the preceding fiscal year from fines, 
     penalties, and other funds obtained through judgments from 
     courts of the United States for enforcement actions conducted 
     under this section and section 505(a)(1), excluding any 
     amounts ordered to be used to carry out mitigation projects 
     under this section or section 505(a).
       ``(3) Investment of amounts.--
       ``(A) In general.--The Secretary of the Treasury shall 
     invest in interest-bearing obligations of the United States 
     such portion of the Fund as is not, in the Secretary's 
     judgment, required to meet current withdrawals.
       ``(B) Administration.--The obligations shall be acquired 
     and sold and interest on, and the proceeds from the sale or 
     redemption of, the obligations shall be credited to the

[[Page S5464]]

     Fund in accordance with section 9602 of the Internal Revenue 
     Code of 1986.
       ``(4) Use of amounts for remedial projects.--
       ``(A) In general.--Subject to subparagraph (B), amounts in 
     the Fund shall be available, as provided in appropriations 
     Acts, to the Administrator to carry out projects to restore 
     and recover waters of the United States from damage resulting 
     from violations of this Act that are subject to enforcement 
     actions under this section or from the discharge of 
     pollutants into the waters of the United States, including--
       ``(i) soil and water conservation projects;
       ``(ii) wetland restoration projects; and
       ``(iii) such other similar projects as the Administrator 
     determines to be appropriate.
       ``(B) Condition for use of funds.--Amounts in the Fund 
     shall be available under subparagraph (A) only for a project 
     conducted in the watershed, or in a watershed adjacent to the 
     watershed, in which a violation of this Act described in 
     subparagraph (A) results in the institution of an enforcement 
     action.
       ``(5) Selection of projects.--
       ``(A) Priority.--In selecting projects to carry out under 
     this subsection, the Administrator shall give priority to a 
     project described in paragraph (4) that is located in the 
     watershed, or in a watershed adjacent to the watershed, in 
     which there occurred a violation under this Act for which an 
     enforcement action was brought that resulted in the payment 
     of any amount into the general fund of the Treasury.
       ``(B) Consultation with states.--In selecting a project to 
     carry out under this section, the Administrator shall consult 
     with the State in which the Administrator is considering 
     carrying out the project.
       ``(C) Allocation of amounts.--In determining an amount to 
     allocate to carry out a project to restore and recover waters 
     of the United States from damage described in paragraph (4), 
     the Administrator shall, in the case of a priority project 
     described in subparagraph (A), take into account the total 
     amount deposited in the general fund of the Treasury as a 
     result of enforcement actions conducted with respect to the 
     violation under this section or section 505(a)(1).
       ``(6) Implementation.--The Administrator may carry out a 
     project under this subsection directly or by making grants 
     to, or entering into contracts with, another Federal agency, 
     a State agency, a political subdivision of a State, or any 
     other public or private entity.
       ``(7) Report to congress.--Not later than 1 year after the 
     date of the enactment of this subsection, and every 2 years 
     thereafter, the Administrator shall submit to Congress a 
     report on implementation of this subsection.''.

     SEC. 3. USE OF CIVIL PENALTIES FOR MITIGATION PROJECTS.

       (a) In General.--Section 309(d) of the Federal Water 
     Pollution Control Act (33 U.S.C. 1319(d)) is amended by 
     inserting after the second sentence the following: ``The 
     court may order that a civil penalty be used for carrying out 
     mitigation, restoration, or other projects that are 
     consistent with the purposes of this Act and that enhance 
     public health or the environment.''.
       (b) Conforming Amendment.--Section 505(a) of the Federal 
     Water Pollution Control Act (33 U.S.C. 1365(a)) is amended in 
     the last sentence by inserting before the period at the end 
     the following: ``, including ordering the use of a civil 
     penalty for carrying out mitigation, restoration, or other 
     projects in accordance with section 309(d)''.
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