[House Report 109-260]
[From the U.S. Government Publishing Office]
109th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 109-260
======================================================================
SENATOR PAUL SIMON WATER FOR THE POOR ACT OF 2005
_______
October 28, 2005.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Hyde, from the Committee on International Relations, submitted the
following
R E P O R T
[To accompany H.R. 1973]
[Including cost estimate of the Congressional Budget Office]
The Committee on International Relations, to whom was
referred the bill (H.R. 1973) to make access to safe water and
sanitation for developing countries a specific policy objective
of the United States foreign assistance programs, and for other
purposes, having considered the same, reports favorably thereon
with an amendment and recommends that the bill as amended do
pass.
TABLE OF CONTENTS
Page
The Amendment.................................................... 1
Purpose and Summary.............................................. 6
Background and Need for the Legislation.......................... 6
Hearings......................................................... 12
Committee Consideration.......................................... 12
Votes of the Committee........................................... 12
Congressional Budget Office Cost Estimate........................ 12
Performance Goals and Objectives................................. 14
Constitutional Authority Statement............................... 15
Section-by-Section Analysis...................................... 15
New Advisory Committees.......................................... 17
Congressional Accountability Act................................. 17
Federal Mandates................................................. 17
Changes in Existing Law Made by the Bill, as Reported............ 17
The Amendment
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Senator Paul Simon Water for the
Poor Act of 2005''.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) Water-related diseases are a human tragedy, killing up
to five million people annually, preventing millions of people
from leading healthy lives, and undermining development
efforts.
(2) A child dies an average of every 15 seconds because of
lack of access to safe water and adequate sanitation.
(3) In the poorest countries in the world, one out of five
children dies from a preventable, water-related disease.
(4) Lack of access to safe drinking water, inadequate
sanitation, and poor hygiene practices are directly responsible
for the vast majority of diarrheal diseases which kill over two
million children each year.
(5) At any given time, half of all people in the developing
world are suffering from one or more of the main diseases
associated with inadequate provision of water supply and
sanitation services.
(6) Over 1.1 billion people, one in every six people in the
world, lack access to safe drinking water.
(7) Nearly 2.6 billion people, two in every five people in
the world, lack access to basic sanitation services.
(8) Half of all schools in the world do not have access to
safe drinking water and basic sanitation.
(9) Over the past 20 years, two billion people have gained
access to safe drinking water and 600 million people have
gained access to basic sanitation services.
(10) Access to safe water and sanitation and improved
hygiene are significant factors in controlling the spread of
disease in the developing world and positively affecting worker
productivity and economic development.
(11) Increasing access to safe water and sanitation
advances efforts toward other development objectives, such as
fighting poverty and hunger, promoting primary education and
gender equality, reducing child mortality, promoting
environmental stability, improving the lives of slum dwellers,
and strengthening national security.
(12) Providing safe supplies of water and sanitation and
hygiene improvements would save millions of lives by reducing
the prevalence of water-borne diseases, water-based diseases,
water-privation diseases, and water-related vector diseases.
(13) Because women and girls in developing countries are
often the carriers of water, lack of access to safe water and
sanitation disproportionately affects women and limits women's
opportunities at education, livelihood, and financial
independence.
(14) Between 20 percent and 50 percent of existing water
systems in developing countries are not operating or are
operating poorly.
(15) In developing world water delivery systems, an average
of 50 percent of all water is lost before it gets to the end-
user.
(16) Every $1 invested in safe water and sanitation would
yield an economic return of between $3 and $34, depending on
the region.
(17) Developing sustainable financing mechanisms, such as
pooling mechanisms and revolving funds, is necessary for the
long-term viability of improved water and sanitation services.
(18) The annual level of investment needed to meet the
water and sanitation needs of developing countries far exceeds
the amount of Official Development Assistance (ODA) and
spending by governments of developing countries, so
facilitating and attracting greater public and private
investment is essential.
(19) Meeting the water and sanitation needs of the lowest-
income developing countries will require an increase in the
resources available as grants from donor countries.
(20) The long-term sustainability of improved water and
sanitation services can be advanced by promoting community
level action and engagement with civil society.
(21) Target 10 of the United Nations Millennium Development
Goals is to reduce by half the proportion of people without
sustainable access to safe drinking water by 2015.
(22) The participants in the 2002 World Summit on
Sustainable Development, held in Johannesburg, South Africa,
including the United States, agreed to the Plan of
Implementation of the World Summit on Sustainable Development
which included an agreement to work to reduce by one-half ``the
proportion of people who are unable to reach or afford safe
drinking water,'' and ``the proportion of people without access
to basic sanitation'' by 2015.
(23) At the World Summit on Sustainable Development, the
United States announced the Water for the Poor Initiative,
committing $970 million for fiscal years 2003 through 2005 to
improve sustainable management of fresh water resources and
accelerate and expand international efforts to achieve the goal
of cutting in half by 2015 the proportion of people who are
unable to reach or to afford safe drinking water.
(24) United Nations General Assembly Resolution 58/217
(February 9, 2004) proclaimed ``the period from 2005 to 2015
the International Decade for Action, `Water for Life', to
commence on World Water Day, 22 March 2005'' for the purpose of
increasing the focus of the international community on water-
related issues at all levels and on the implementation of
water-related programs and projects.
(25) Around the world, 263 river basins are shared by two
or more countries, and many more basins and watersheds cross
political or ethnic boundaries.
(26) Water scarcity can contribute to insecurity and
conflict on subnational, national, and international levels,
thus endangering the national security of the United States.
(27) Opportunities to manage water problems can be
leveraged in ways to build confidence, trust, and peace between
parties in conflict.
(28) Cooperative water management can help resolve
conflicts caused by other problems and is often a crucial
component in resolving such conflicts.
(29) Cooperative water management can help countries
recover from conflict and, by promoting dialogue and
cooperation among former parties in conflict, can help prevent
the reemergence of conflict.
SEC. 3. STATEMENT OF POLICY.
It is the policy of the United States--
(1) to increase the percentage of water and sanitation
assistance targeted toward countries designated as high
priority countries under section 6(f) of this Act;
(2) to ensure that water and sanitation assistance reflect
an appropriate balance of grants, loans, contracts, investment
insurance, loan guarantees, and other assistance to further
ensure affordability and equity in the provision of access to
safe water and sanitation for the very poor;
(3) to ensure that the targeting of water and sanitation
assistance reflect an appropriate balance between urban,
periurban, and rural areas to meet the purposes of assistance
described in section 135 of the Foreign Assistance Act of 1961,
as added by section 5(a) of this Act;
(4) to ensure that forms of water and sanitation assistance
provided reflect the level of existing resources and markets
for investment in water and sanitation within recipient
countries;
(5) to ensure that water and sanitation assistance, to the
extent possible, supports the poverty reduction strategies of
recipient countries and, when appropriate, encourages the
inclusion of water and sanitation within such poverty reduction
strategies;
(6) to promote country and local ownership of safe water
and sanitation programs, to the extent appropriate;
(7) to promote community-based approaches in the provision
of affordable and equitable access to safe water and
sanitation, including the involvement of civil society;
(8) to mobilize and leverage the financial and technical
capacity of businesses, governments, nongovernmental
organizations, and civil society in the form of public-private
alliances;
(9) to encourage reforms and increase the capacity of
foreign governments to formulate and implement policies that
expand access to safe water and sanitation in an affordable,
equitable, and sustainable manner, including integrated
strategic planning; and
(10) to protect the supply and availability of safe water
through sound environmental management, including preventing
the destruction and degradation of ecosystems and watersheds.
SEC. 4. SENSE OF CONGRESS.
It is the sense of Congress that--
(1) in order to make the most effective use of amounts of
Official Development Assistance for water and sanitation and
avoid waste and duplication, the United States should seek to
establish innovative international coordination mechanisms
based on best practices in other development sectors; and
(2) the United States should greatly increase the amount of
Official Development Assistance made available to carry out
section 135 of the Foreign Assistance Act of 1961, as added by
section 5(a) of this Act.
SEC. 5. ASSISTANCE TO PROVIDE SAFE WATER AND SANITATION.
(a) In General.--Chapter 1 of part I of the Foreign Assistance Act
of 1961 (22 U.S.C. 2151 et seq.) is amended by adding at the end the
following new section:
``SEC. 135. ASSISTANCE TO PROVIDE SAFE WATER AND SANITATION.
``(a) Purposes.--The purposes of assistance authorized by this
section are--
``(1) to promote good health, economic development, poverty
reduction, women's empowerment, conflict prevention, and
environmental sustainability by providing assistance to expand
access to safe water and sanitation, promoting integrated water
resource management, and improving hygiene for people around
the world;
``(2) to seek to reduce by one-half from the baseline year
1990 the proportion of people who are unable to reach or afford
safe drinking water and the proportion of people without access
to basic sanitation by 2015;
``(3) to focus water and sanitation assistance toward the
countries, locales, and people with the greatest need;
``(4) to promote affordability and equity in the provision
of access to safe water and sanitation for the very poor,
women, and other vulnerable populations;
``(5) to improve water efficiency through water demand
management and reduction of unaccounted-for water;
``(6) to promote long-term sustainability in the affordable
and equitable provision of access to safe water and sanitation
through the creation of innovative financing mechanisms such as
national revolving funds, and by strengthening the capacity of
recipient governments and communities to formulate and
implement policies that expand access to safe water and
sanitation in a sustainable fashion, including integrated
planning;
``(7) to secure the greatest amount of resources possible,
encourage private investment in water and sanitation
infrastructure and services, particularly in lower middle-
income countries, without creating unsustainable debt for low-
income countries or unaffordable water and sanitation costs for
the very poor; and
``(8) to promote the capacity of recipient governments to
provide affordable, equitable, and sustainable access to safe
water and sanitation.
``(b) Authorization.--To carry out the purposes of subsection (a),
the President is authorized to furnish assistance for programs in
developing countries to provide affordable and equitable access to safe
water and sanitation.
``(c) Activities Supported.--Assistance provided under subsection
(b) shall, to the maximum extent practicable, be used to--
``(1) expand affordable and equitable access to safe water
and sanitation for underserved populations;
``(2) support the design, construction, maintenance,
upkeep, repair, and operation of water delivery and sanitation
systems;
``(3) improve the safety and reliability of water supplies,
including environmental management; and
``(4) improve the capacity of recipient governments and
local communities, including capacity-building programs for
improved water resource management.
``(d) Local Currency.--The President may use payments made in local
currencies under an agreement made under title I of the Agricultural
Trade Development and Assistance Act of 1954 (7 U.S.C. 1701 et seq.) to
provide assistance under this section.''.
(b) Conforming Amendment.--Section 104(c) of the Agricultural Trade
Development and Assistance Act of 1954 (7 U.S.C. 1704(c)) is amended by
adding at the end the following new paragraph:
``(9) Safe water and sanitation.--To provide assistance
under section 135 of the Foreign Assistance Act of 1961 to
promote good health, economic development, poverty reduction,
women's empowerment, conflict prevention, and environmental
sustainability by increasing affordable and equitable access to
safe water and sanitation.''.
SEC. 6. SAFE WATER AND SANITATION STRATEGY.
(a) Strategy.--The President, acting through the Secretary of
State, shall develop a strategy to further the United States foreign
assistance objective to provide affordable and equitable access to safe
water and sanitation in developing countries, as described in section
135 of the Foreign Assistance Act of 1961, as added by section 5(a) of
this Act.
(b) Consultation.--The strategy required by subsection (a) shall be
developed in consultation with the Administrator of the United States
Agency for International Development, the heads of other appropriate
Federal departments and agencies, international organizations,
international financial institutions, recipient governments, United
States and international nongovernmental organizations, indigenous
civil society, and other appropriate entities.
(c) Implementation.--The Secretary of State, acting through the
Administrator of the United States Agency for International
Development, shall implement the strategy required by subsection (a).
The strategy may also be implemented in part by other Federal
departments and agencies, as appropriate.
(d) Consistent With Safe Water and Sanitation Policy.--The strategy
required by subsection (a) shall be consistent with the policy stated
in section 3 of this Act.
(e) Content.--The strategy required by subsection (a) shall
include--
(1) an assessment of the activities that have been carried
out, or that are planned to be carried out, by all appropriate
Federal departments and agencies to improve affordable and
equitable access to safe water and sanitation in all countries
that receive assistance from the United States;
(2) specific and measurable goals, benchmarks, and
timetables to achieve the objective described in subsection
(a);
(3) an assessment of the level of funding and other
assistance for United States water and sanitation programs
needed each year to achieve the goals, benchmarks, and
timetables described in paragraph (2);
(4) methods to coordinate and integrate United States water
and sanitation assistance programs with other United States
development assistance programs to achieve the objective
described in subsection (a);
(5) methods to better coordinate United States water and
sanitation assistance programs with programs of other donor
countries and entities to achieve the objective described in
subsection (a); and
(6) an assessment of the commitment of governments of
countries that receive assistance under section 135 of the
Foreign Assistance Act of 1961, as added by section 5(a) of
this Act, to policies or policy reforms that support affordable
and equitable access by the people of such countries to safe
water and sanitation.
(f) Designation of High Priority Countries.--The strategy required
by subsection (a) shall further include the designation of high
priority countries for assistance under section 135 of the Foreign
Assistance Act of 1961, as added by section 5(a) of this Act. This
designation shall be made on the basis of--
(1) countries in which the need for increased access to
safe water and sanitation is greatest; and
(2) countries in which assistance under such section can be
expected to make the greatest difference in promoting good
health, economic development, poverty reduction, women's
empowerment, conflict prevention, and environmental
sustainability.
(g) Reports.--
(1) Initial report.--Not later than 180 days after the date
of the enactment of this Act, the Secretary of State shall
submit to the appropriate congressional committees a report
that describes the strategy required by subsection (a).
(2) Subsequent reports.--
(A) In general.--Not less than once every year
after the submission of the initial report under
paragraph (1) until 2015, the Secretary of State shall
submit to the appropriate congressional committees a
report on the status of the implementation of the
strategy, progress made in achieving the objective
described in subsection (a), and any changes to the
strategy since the date of the submission of the last
report.
(B) Additional information.-- Such reports shall
include information on the amount of funds expended in
each country or program, disaggregated by purpose of
assistance, including information on capital
investments, and the source of such funds by account.
(3) Definition.--In this subsection, the term ``appropriate
congressional committees'' means--
(A) the Committee on International Relations and
the Committee on Appropriations of the House of
Representatives; and
(B) the Committee on Foreign Relations and the
Committee on Appropriations of the Senate.
SEC. 7. MONITORING REQUIREMENT.
The Secretary of State and the Administrator of the United States
Agency for International Development shall monitor the implementation
of assistance under section 135 of the Foreign Assistance Act of 1961,
as added by section 5(a) of this Act, to ensure that the assistance is
reaching its intended targets and meeting the intended purposes of
assistance.
SEC. 8. SENSE OF CONGRESS REGARDING DEVELOPMENT OF LOCAL CAPACITY.
It is the sense of Congress that the Secretary of State should
expand current programs and develop new programs, as necessary, to
train local water and sanitation managers and other officials of
countries that receive assistance under section 135 of the Foreign
Assistance Act of 1961, as added by section 5(a) of this Act.
SEC. 9. SENSE OF CONGRESS REGARDING ADDITIONAL WATER AND SANITATION
PROGRAMS.
It is the sense of the Congress that--
(1) the United States should further support, as
appropriate, water and sanitation activities of United Nations
agencies, such as the United Nations Children's Fund (UNICEF),
the United Nations Development Programme (UNDP), and the United
Nations Environment Programme (UNEP); and
(2) the Secretary of the Treasury should instruct each
United States Executive Director at the multilateral
development banks (within the meaning of section 1701(c) of the
International Financial Institutions Act) to encourage the
inclusion of water and sanitation programs as a critical
element of their development assistance.
SEC. 10. REPORT REGARDING WATER FOR PEACE AND SECURITY.
(a) Sense of Congress.--It is the sense of Congress that United
States programs to support and encourage efforts around the world to
develop river basin, aquifer, and other watershed-wide mechanisms for
governance and cooperation are critical components of long-term United
States national security and should be expanded.
(b) Report.--The Secretary of State, in consultation with the
Administrator of the United States Agency for International
Development, shall submit to the Committee on International Relations
of the House of Representatives and the Committee on Foreign Relations
of the Senate a report on efforts that the United States is making to
support and promote programs that develop river basin, aquifer, and
other watershed-wide mechanisms for governance and cooperation.
SEC. 11. AUTHORIZATION OF APPROPRIATIONS.
(a) In General.--There are authorized to be appropriated for fiscal
year 2006 and each subsequent fiscal year such sums as may be necessary
to carry out this Act and the amendments made by this Act.
(b) Other Amounts.--Amounts appropriated pursuant to the
authorization of appropriations in subsection (a) shall be in addition
to the amounts otherwise available to carry out this Act and the
amendments made by this Act.
(c) Availability.--Amounts appropriated pursuant to the
authorization of appropriations under section (a) are authorized to
remain available until expended.
Purpose and Summary
The ``Senator Paul Simon Water for the Poor Act of 2005''
(H.R. 1973) authorizes assistance to promote increased access
to safe water and sanitation for vulnerable populations in
developing countries in an affordable and equitable way. The
Act requires the Secretary of State to develop a strategy to
achieve such goals and sets out policy on providing water and
sanitation assistance. The purpose of the strategy is to
elevate the role of water and sanitation policy in the
development of U.S. foreign policy and improve the
effectiveness of U.S. official programs undertaken in support
of the strategy. The strategy shall be developed in
consultation with the Administrator of the United States Agency
for International Development (USAID), and other Federal
departments and agencies.
Background and Need for the Legislation
The United States has demonstrated its long-term support
for addressing global water challenges. The ``Water for the
Poor'' and ``Clean Water for People'' Initiatives, established
in 2002 and 2003, respectively, are attempts by the
Administration to ensure access to clean water and sanitation
services, improve watershed management, and increase the
productivity of water. Previous Congresses have provided
specific appropriations for water and sanitation programs in
developing countries. H.R. 1973 takes into account previous
legislative initiatives, as well as current aspects of global
water challenges and requires the Administration to develop and
implement a strategy to provide affordable and equitable access
to safe water and sanitation in developing countries.
The Committee calls upon the United States Government to
establish and implement a comprehensive strategy that elevates
the importance of access to safe water and sanitation in U.S.
foreign aid policy. The Committee notes that in developing and
implementing this strategy, the objective should be to improve
access to safe water and sanitation in an affordable and
equitable way, including: increasing assistance for safe water
and sanitation programs; promoting integrated water resource
management; and improving sanitation for vulnerable populations
in developing countries.
An estimated 1.1 billion people lack access to safe
drinking water and nearly 2.6 billion people lack access to
basic sanitation services. Each year, more than three billion
people suffer from water-related diseases, from which up to
five million people die. Most victims are children under the
age of five. As with the HIV/AIDS crisis, the lack of safe
water and sanitation in developing countries represents a
growing threat to developing countries, as well as to overall
U.S. foreign policy objectives.
Freshwater accounts for only two to three percent of the
world's total water resources. Approximately two-thirds of this
freshwater is locked in glaciers and permanent snow cover. In
addition, overall water scarcity and geographic disparities,
poor water quality and inadequate sanitation, inefficient use
and poor management, and increasing demand from population and
industrial growth reduce the availability of the world's
freshwater supply and contribute to the increase in water-
related diseases.
The Committee notes the strong linkages between access to
safe water and sanitation and other development sectors
(including health, education, and agriculture), economic
development, and gender equality. The Committee recognizes it
is necessary to find innovative mechanisms and solutions that
combine technology, funding, capacity building and diplomacy to
improve affordable and equitable access to safe water and
sanitation to those in need. The Committee is aware that safe
water is a vital strategic resource, and there can be no
sustainable development or long-term security without it and,
in reflecting that awareness, the Committee expects that safe
water and sanitation assistance will be integrated with other
United States development assistance programs.
The Committee acknowledges the selfless work of a great
public servant, the late Senator Paul Simon of Illinois by
naming this Act after him. The Committee recognizes the
valuable contributions made by Senator Simon in his book
entitled, Tapped Out: The Coming World Crisis in Water Scarcity
and What We Can Do About It. The Committee believes that
Senator Simon's memory and work in this field has helped to
garner the political will to find solutions to global water
challenges.
THE LEGISLATION
The ``Senator Paul Simon Water for the Poor Act of 2005''
(H.R. 1973) provides additional legislative authorities to the
President with respect to the provision of assistance to
increase access to safe water and sanitation to those in need,
and contains important provisions that will strengthen existing
programs by improving the Administration's oversight of water
and sanitation programs by creating better coordination and
encouraging innovative initiatives and reforms within recipient
countries.
H.R. 1973 addresses the Committee's concerns that U.S.
assistance to provide safe water and sanitation services does
not adequately benefit those regions and countries in the
greatest need. The Committee contends that by requiring the
Administration to develop and implement a coherent and
inclusive strategy, the United States can improve the impact
and delivery of water and sanitation assistance in developing
countries.
Providing access to safe water and sanitation is not a
stated policy objective in the Foreign Assistance Act of 1961.
Current water and sanitation assistance programs are designed
and managed on a bilateral basis by USAID field mission
offices. With the exception of water and sanitation programs in
Afghanistan, Iraq, Jordan, and West Bank/Gaza, USAID's water
and sanitation programs are relatively small in scale. The
Committee is concerned that, in the past, the geographical
distribution of funding for water and sanitation programs have
not corresponded to the level of need and, recognizing this,
directs the Secretary of State to designate high-priority
countries for safe water and sanitation assistance. In
particular, the Committee believes that it is essential to
increase the assistance provided to sub-Saharan Africa, which
faces one of the greatest challenges to meeting safe water and
sanitation needs.
The following chart is based on data from a joint UNICEF
and WHO 2004 study.
It demonstrates two key points that are often lost in the
debate about water and sanitation: the need is truly global,
and the need is both rural and urban. The Committee recognizes
that the global nature of the problem requires a global
response. Many of the people who lack access to safe, clean,
drinking water are scattered across the rural countryside or in
small towns and villages, where the impact of this problem on
all aspects of life is pervasive. However, as the world
undergoes a process of massive urbanization, with 2.5 billion
people expected to move to cities in the developing world over
the next 25 years, developing countries will face new and
expanding challenges in meeting safe water and sanitation
needs. This legislation provides the State Department and USAID
with the flexibility and capability to meet the need for safe
water and sanitation wherever it is greatest.
Providing Safe Water and Sanitation
The legislation is a comprehensive approach that seeks to
provide the United States Government with a broad array of
tools that can be used to increase the number of people served
by safe water and sanitation delivery systems, including
programs to improve the capacity of national governments and
local communities to maintain and expand access to those
delivery systems and enhance community involvement and
ownership in water and sanitation programs. Through these
efforts progress can further be made in combating challenges in
other development areas.
The Committee believes that this legislation will help save
lives, reduce hunger, and eliminate poverty. The Committee is
aware that a comprehensive approach that includes expanding
access to safe water and sanitation is a significant step
toward improving health and economic productivity in developing
countries. The relationship between safe water and sanitation
to overall public health is an important element in determining
the progress of human development. By some estimates, nearly 80
percent of all illnesses in developing countries are water-
related and most of them are preventable. These illnesses
include cholera, typhoid, trachoma and schistosomiasis. Over
half of the hospital beds in the developing world are occupied
by people suffering from preventable diseases caused by unsafe
water and inadequate sanitation. Furthermore, diarrhea and
parasites caused by contaminated water are leading causes of
malnutrition killing millions of children every year. In
addition, access to safe water and sanitation is vital to the
treatment of victims suffering from the HIV/AIDS crisis.
The Committee also believes that lack of access to safe
water and sanitation contributes to poverty and hinders
economic development. This legislation will seek to help to
reduce poverty by encouraging the inclusion of water and
sanitation programs in the poverty reduction strategies of
recipient countries. The Committee recognizes that water-
related diseases negatively impact worker productivity and
prevent adults from pursuing their economic livelihoods. A
World Health Organization study estimated that for every $1
invested in safe water and sanitation an economic return
between $3 and $34 is possible.
Improving access to safe water and sanitation is critical
to correcting gender disparities and improving girls' access to
education. Water and sanitation inadequacies have had a
disproportionate effect on women and children. Women and
children are the primary collectors of water in developing
countries, and they often have to travel long distances. The
average distance women in Africa and Asia walk to collect water
is six kilometers. In areas where water resources are distant
and/or scarce, both girls and boys often miss school for the
sake of collecting water for the household. In addition, half
of all schools in the world do not have access to safe drinking
water and sanitation. Often, girls are reluctant to attend
schools lacking private sanitary facilities.
The Committee places great importance on ensuring that
assistance promotes affordability and equity in access to safe
water and sanitation for the very poor. While the Committee
recognizes the important contribution that foreign and domestic
private investment can make in providing safe water and basic
sanitation in some places, it also notes certain failed water
privatization efforts, including the conditioning of loans on
private sector involvement. The Committee expects that any
assistance provided under this Act will ensure affordability
and equity for the very poor, including ensuring that access
does not become unaffordable to the very poor through high fees
or other financial barriers, that the very poor do not receive
lower standards of service, and that programs to expand access
specifically target the very poor and other vulnerable
populations.
This legislation requires a report regarding water for
peace and security. Approximately 260 river basins are shared
by two or more countries. The Committee is aware that shared
river basins have the potential to serve as sources of
contention. The Committee is also aware that shared river
basins provide opportunities for governments and communities to
engage in active dialogue and promote cooperation so that all
entities involved can benefit from the water resource.
Promoting cooperation over access to and use of river basins is
an important element in conflict prevention on sub-national,
national, and international levels. The Committee expects the
Administration to promote cooperation and dialogue on a
regional and global level. The Committee acknowledges that the
following river basins are strategic candidates whereby
cooperation by the governments and communities has the ability
to mitigate potential and actual conflict: the Nile, Jordan,
Mekong, Amu Darya and Sri Darya, Tigris/Euphrates, Indus, and
Southern Africa river basins. The Committee recognizes Friends
of the Earth Middle East for its unique work on cross-border
community projects in the Jordan River Basin and recommends
that such programs be emulated in other shared river basins.
This legislation promotes environmental sustainability
through effective management of water resources on local,
national, and international levels. The Committee recognizes
that stronger environmental management is needed to protect
watersheds and freshwater resources, such as rivers, springs,
and aquifers, which are the main sources of water in developing
countries. For example, the Committee notes the devastating
impact of arsenic-contaminated aquifers and wells in Bangladesh
and urges that greater attention be paid to water quality in
Bangladesh and other countries receiving assistance under this
Act. In addition, preserving natural resources surrounding
water sources, such as forests and naturally diverse plant
communities, is essential to protecting and purifying these
critical freshwater resources. Sound integrated management of
water and other local natural resources is critical to
preserving the availability and quality of drinking water. The
Committee also recognizes that the limited nature of water
resources in many areas will require technological advances and
making more efficient use of water supplies, including the
promotion of efforts to conserve water in agriculture,
industrial, and residential usage.
Creating a Strategy
This legislation builds upon previous United States
initiatives and commitments made at the 2002 World Summit on
Sustainable Development, held in Johannesburg, South Africa to
reduce by one-half ``the proportion of people who are unable to
reach or afford safe drinking water,'' and ``the proportion of
people without access to basic sanitation'' by 2015, from the
baseline year of 1990, which was codified in the Millennium
Development Goals, as adopted by the United Nations General
Assembly on September 8, 2000, in the Millennium Declaration.
H.R. 1973 directs the Administration to develop and implement a
coordinated strategy to meet these commitments to provide
affordable and equitable access to safe water and sanitation in
developing countries.
By establishing a strategy, the United States will be
better equipped to provide coordinated assistance for water-
related programs. This legislation requires the Secretary of
State to assess the adequacy of current activities, define
measurable objectives on the basis of U.S. commitments codified
in the Foreign Assistance Act of 1961, as amended by this
legislation, and improve the coordination and integration of
water and sanitation programs with other United States
development assistance programs, and with the water and
sanitation assistance programs of other donor countries and
institutions.
The Committee expects that the strategic provision of water
and sanitation assistance will improve the effectiveness of
aid. Attention needs to be focused on the quality, forms, and
distribution of assistance in addition to the levels of
assistance. For example, countries most in need of access to
safe water and sanitation have received the least amount of
donor assistance and innovative financing mechanisms such as
revolving funds should be expanded. At the same time, the
Committee urges the Administration to increase the level of
water and sanitation assistance, including assistance provided
in the form of grants.
The Committee directs the Secretary of State to develop the
strategy in a fashion consistent with the statements of policy
expressed in the Act and further requests the Secretary to
include an explanation of how the implementation of the
strategy is consistent with the statements of policy in the
annual report. The Committee calls upon the Secretary of State
to consult with all appropriate stakeholders in developing the
strategy.
The Committee recognizes the challenges of previous
international efforts to increase access to safe water and
sanitation in the developing world and expects the
Administration to implement water and sanitation programs in a
fashion that considers lessons learned. In particular, poor
communities have often been unable to provide for the upkeep of
water and sanitation delivery systems that require expensive
maintenance. The Committee believes that the Administration
should promote community-based approaches, the involvement of
civil society, and national and, where appropriate, local
ownership of water programs so as to ensure that water and
sanitation delivery systems meet the needs and capacity of
recipient communities.
This legislation will establish a coherent and centralized
strategy that aims to elevate the role of safe water and
sanitation programs in United States foreign policy and meet
the commitments made by the United States. Combating global
water challenges is an important mechanism in implementing
broader U.S. foreign policy objectives. The Committee believes
that this legislation is the product of bi-partisan cooperation
and is an important step in defining a clear and coherent
United States international water policy.
Hearings
The Committee held a hearing on June 29, 2005 entitled,
``The Global Water Crisis: Evaluating U.S. Strategies to
Enhance Access to Safe Water and Sanitation.'' The hearing
consisted of a briefing and two panels. The briefing was
provided by the following officials of the United Nations: Ms.
Vanessa Tobin, Chief, Water Environment Sanitation Section,
United Nations Children's Fund; and Mr. Olav Kjorven, Director
of the Energy Environment Group, Bureau for Development Policy,
United Nations Development Program. Panel one featured the
following witnesses representing the Administration: The
Honorable John F. Turner, Assistant Secretary, Bureau of Oceans
and International Environmental Scientific Affairs, U.S.
Department of State; and Ms. Jacqueline E. Schafer, Deputy
Assistant Administrator, Bureau for Economic Growth,
Agriculture and Trade, U.S. Agency for International
Development. Panel two featured: Mr. Peter Lochery, Senior
Advisor on Water, Sanitation and Environmental Health, CARE
USA; Geoffrey D. Dabelko, Ph.D., Director, Environmental Change
and Security Project; and Mr. Malcolm S. Morris, Chairman,
Millennium Water Alliance.
Committee Consideration
The Committee considered H.R. 1973 and ordered it favorably
reported as amended at a meeting on September 15, 2005.
Votes of the Committee
There were no recorded votes during the consideration of
H.R. 1973.
Congressional Budget Office Cost Estimate
U.S. Congress,
Congressional Budget Office,
Washington, DC, September 28, 2005.
Hon. Henry J. Hyde, Chairman,
Committee on International Relations,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 1973, the Senator
Paul Simon Water for the Poor Act of 2005.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Sam
Papenfuss, who can be reached at 226-2840.
Sincerely,
Douglas Holtz-Eakin.
Enclosure
cc:
Honorable Tom Lantos
Ranking Member
H.R. 1973--Senator Paul Simon Water for the Poor Act of 2005.
SUMMARY
H.R. 1973 would authorize the President to furnish foreign
assistance to provide safe water and sanitation to people in
developing countries and also would authorize the appropriation
of such sums as may be necessary for fiscal year 2006 and each
subsequent year to carry out this assistance. This assistance
could be used for a variety of programs, including programs
that help manage water resources. The bill would require that
the Secretary of State develop a strategy for providing this
assistance and make annual reports on the implementation of
that strategy.
CBO estimates that implementing H.R. 1973 would cost about
$3 million in 2006 and $130 million over the 2006-2010 period,
assuming appropriation of the necessary amounts. Enacting the
bill would not affect direct spending or receipts.
H.R. 1973 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA)
and would not affect the budgets of state, local, or tribal
governments.
ESTIMATED COST TO THE FEDERAL GOVERNMENT
The estimated budgetary impact of H.R. 1973 is shown in the
following table. The costs of this legislation fall within
budget function 150 (international affairs). For the purposes
of this estimate, we assume that the bill will be enacted
before the end of calendar year 2005.
By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
2006 2007 2008 2009 2010
----------------------------------------------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Estimated Authorization Level 43 44 45 46 47
Estimated Outlays 3 15 32 38 41
----------------------------------------------------------------------------------------------------------------
BASIS OF ESTIMATE
H.R. 1973 would authorize the President to furnish
assistance for programs that provide safe water and sanitation
in developing countries. This assistance could be used to
support the design, construction, maintenance, or operation of
water delivery and sanitation systems; to improve the safety of
water supplies; and to help local governments and communities
manage their water resources. The bill would require that the
Secretary of State develop a strategy for providing this
assistance and identify high-priority countries based on
criteria specified in the bill. The bill would authorize the
appropriation of such sums as may be necessary for fiscal year
2006 and subsequent years to provide this assistance.
Under current law, the U.S. Agency for International
Development (USAID) already provides assistance to developing
countries for the provision of safe water and sanitation. In
2005, USAID expects to obligate about $540 million on water
projects around the world with about $150 million of that
amount for drinking water and sanitation projects world wide--
$12 million for Sub-Saharan Africa, $37 million for Asia, and
$25 million for Latin America. While USAID already provides
substantial amounts of assistance for water programs in
developing countries, a large part of that assistance goes to
Jordan, Egypt, and the West Bank or Gaza.
Under the bill, CBO expects that assistance for other
developing countries would increase, especially for those in
Sub-Saharan Africa. Absent information from the Administration
on how it might implement this bill, we assume that the amount
of money spent on drinking water and sanitation in Sub-Saharan
Africa would double in 2006 and increase with inflation in each
subsequent year. Additionally, we assume spending for the same
projects in Asian and Latin America would increase by 50
percent in 2006, with adjustments for inflation thereafter.
Accordingly, CBO estimates that implementing this bill would
cost $3 million in 2006 and $130 million over the 2006-2010
period, assuming appropriation of the estimated amounts.
INTERGOVERNMENTAL AND PRIVATE-SECTOR IMPACT
H.R. 1973 contains no intergovernmental or private-sector
mandates as defined in UMRA and would not affect the budgets of
state, local, or tribal governments.
PREVIOUS CBO ESTIMATE
On March 18, 2005, CBO transmitted a cost estimate for S.
600, the Foreign Affairs Authorization Act, Fiscal Years 2006
and 2007, as reported by the Senate Committee on Foreign
Relations on March 10, 2005. Title XXVI of that bill would
authorize the President to furnish assistance to programs that
provide access to safe water and sanitation and promote sound
water management, similar to the authorization specified in
H.R. 1973. In addition, S. 600 would authorize the creation of
a pilot program with the authority to issue investment
insurance, investment guarantees, and loan guarantees, as well
as to assist investors or provide direct investment in safe
drinking water and sanitation infrastructure. There is no
similar provision in H.R. 1973, and thus the estimated costs
for implementing H.R. 1973 are lower than those estimated for
title XXVI in S. 600.
Performance Goals and Objectives
The goals and objectives of this legislation are to
authorize assistance to promote increased access to safe water
and sanitation for vulnerable populations in developing
countries in an affordable and equitable way.
Constitutional Authority Statement
Pursuant to clause 3(d)(1) of rule XIII of the Rules of the
House of Representatives, the Committee finds the authority for
this legislation in article I, section 8, clause 18 of the
Constitution.
Section-by-Section Analysis and Discussion
Section 1. Short Title. Section 1 contains a short title,
the ``Senator Paul Simon Water for the Poor Act of 2005.''
Section 2. Findings. Section 2 contains 29 findings. The
first nine findings summarize data on water-related diseases
and access to safe water and sanitation. Findings ten through
thirteen describe the benefits associated with increasing
access to safe water and sanitation. Findings fourteen and
fifteen discuss the capacity of existing water infrastructure.
Findings sixteen through nineteen outline the foreign
assistance needed and the economic gains to be made from
investing in safe water and sanitation and the importance of
affordability through sustainable financing mechanisms, and
grants, and highlights the need for increased public and
private investment. Finding twenty notes the role that
community and civil society involvement can play in ensuring
the long-term sustainability of safe water and sanitation
services. Findings twenty-one through twenty-four cite the
commitments the United States and the international community
made at the 2002 World Summit on Sustainable Development, held
in Johannesburg, South Africa, including an agreement to work
to reduce by one-half ``the proportion of people who are unable
to reach or afford safe drinking water,'' and ``the proportion
of people without access to basic sanitation'' by the year
2015. Findings twenty-five through twenty-nine focus on the
cooperation and management of river basins and their water
resources, and notes that water scarcity can contribute to
insecurity and conflict on subnational, national, and
international levels, thus endangering the national security of
the United States.
Section 3. Statement of Policy. Section 3 contains 10
statements. These statements define the policy of the United
States in the area of assistance for safe water and sanitation.
This section explains the need to increase targeted assistance
toward high priority countries. It also contains clauses that
describe the various modes of assistance that should help to
ensure affordability and equity in the provision of access to
safe water and sanitation for the very poor. This section
states that water and sanitation assistance should support the
poverty reductions strategies of recipient countries and
encourages reforms among foreign governments that expand access
to safe water and sanitation.
Section 4. Sense of Congress. Section 4 contains two
clauses that discuss improving the efficiency of current water
and sanitation assistance programs and increasing Official
Development Assistance for water and sanitation programs.
Section 5. Assistance to Provide Safe Water and Sanitation.
Section 5(a) amends Chapter 1 of part I of the Foreign
Assistance Act of 1961 (22 U.S.C. 2151 et seq.) by adding a new
section to read as follows: Sec. 135. Assistance to Provide
Safe Water and Sanitation.
Section 135(a) outlines the purposes of assistance.
Section 135(b) authorizes the President to furnish
assistance for programs in developing countries to provide
affordable and equitable access to safe water and sanitation.
Section 135(c) outlines the activities to be supported.
Section 135(d) states that the President may use local
currencies to provide assistance under this section.
Section 5(b) amends section 104(c) of the Agricultural
Trade Development and Assistance Act of 1954 (7 U.S.C. 1704
(c)) by adding a new paragraph (9) which expands the authority
of this Act to include increasing affordable and equitable
access to safe water and sanitation.
Section 6. Safe Water and Sanitation Strategy. This section
authorizes the development and implementation of a strategy on
safe water and sanitation.
Section 6(a) requires the President, through the Secretary
of State, to develop and implement a strategy to further the
United States foreign assistance objective to provide
affordable and equitable access to safe water and sanitation in
developing countries.
Section 6(b) requires that this strategy be developed in
consultation with the Administrator for USAID and other
appropriate Federal agencies and entities.
Section 6(c) requires that the implementation of this
strategy be implemented through the Administrator of USAID.
Section 6(d) states that the strategy should be consistent
with the statements of policy listed in section 3 of this Act.
Section 6(e) describes the content of the strategy.
Section 6(f) states that the strategy should include the
designation of high priority countries, which are defined as
countries in which the need for access to safe water and
sanitation is greatest and in which assistance can be expected
to make the greatest difference in promoting good health,
economic development, poverty reduction, women's empowerment,
conflict prevention, and environmental sustainability.
Section 6(g) requires that not later than 180 days after
the date of enactment of this Act, the Secretary of State must
submit a report describing the strategy. In addition, there is
an annual reporting requirement until 2015 on the
implementation, objectives, progress made and changes
pertaining to the strategy.
Section 7. Monitoring Requirement. This section requires
that the Secretary of State and the Administrator of the USAID
monitor the implementation of assistance authorized under this
Act.
Section 8. Sense of Congress Regarding Development of Local
Capacity. This section expresses the sense of Congress that
training of local water and sanitation managers and other local
officials should be included in assistance programs to ensure
the sustainability of water infrastructure.
Section 9. Sense of Congress Regarding Additional Water and
Sanitation Programs. This section expresses the sense of
Congress that the U.S. should support the activities of the
United Nations agencies working on water and sanitation
programs. In addition, it recommends that the Secretary of
Treasury instruct each U.S. Executive Director at the
multilateral development banks to encourage the inclusion of
water and sanitation programs as a critical element in their
development assistance.
Section 10. Report Regarding Water for Peace and Security.
This section expresses the sense of Congress that cooperation
over shared water resources is a critical component of long-
term U.S. national security. Section 10 (b) requires a report
on efforts that the Untied States is making to support and
promote programs that develop river basin, aquifer, and other
watershed-wide mechanisms for governance and cooperation.
Section 11. Authorization of Appropriations. This section
is divided into three parts.
Section 11(a) authorizes to be appropriated to the
President to carry out this Act such sums as may be necessary
for fiscal year 2006 and each subsequent fiscal year.
Section 11(b) establishes that amounts appropriated
pursuant to subsection (a) are in addition to amounts otherwise
available for such purposes.
Section 11 (c) establishes that authorization of
appropriations pursuant to section (a) are authorized to remain
available until expended.
New Advisory Committees
H.R.1973 does not establish or authorize any new advisory
committees.
Congressional Accountability Act
H.R. 1973 does not apply to the legislative branch.
Federal Mandates
[See CBO estimate]
Changes in Existing Law Made by the Bill, as Reported
In compliance with clause 3(e) of rule XIII of the Rules of
the House of Representatives, changes in existing law made by
the bill, as reported, are shown as follows (new matter is
printed in italics and existing law in which no change is
proposed is shown in roman):
FOREIGN ASSISTANCE ACT OF 1961
* * * * * * *
PART I
Chapter 1--Policy; Development Assistance Authorizations
* * * * * * *
SEC. 135. ASSISTANCE TO PROVIDE SAFE WATER AND SANITATION.
(a) Purposes.--The purposes of assistance authorized by
this section are--
(1) to promote good health, economic development,
poverty reduction, women's empowerment, conflict
prevention, and environmental sustainability by
providing assistance to expand access to safe water and
sanitation, promoting integrated water resource
management, and improving hygiene for people around the
world;
(2) to seek to reduce by one-half from the baseline
year 1990 the proportion of people who are unable to
reach or afford safe drinking water and the proportion
of people without access to basic sanitation by 2015;
(3) to focus water and sanitation assistance toward
the countries, locales, and people with the greatest
need;
(4) to promote affordability and equity in the
provision of access to safe water and sanitation for
the very poor, women, and other vulnerable populations;
(5) to improve water efficiency through water
demand management and reduction of unaccounted-for
water;
(6) to promote long-term sustainability in the
affordable and equitable provision of access to safe
water and sanitation through the creation of innovative
financing mechanisms such as national revolving funds,
and by strengthening the capacity of recipient
governments and communities to formulate and implement
policies that expand access to safe water and
sanitation in a sustainable fashion, including
integrated planning;
(7) to secure the greatest amount of resources
possible, encourage private investment in water and
sanitation infrastructure and services, particularly in
lower middle-income countries, without creating
unsustainable debt for low-income countries or
unaffordable water and sanitation costs for the very
poor; and
(8) to promote the capacity of recipient
governments to provide affordable, equitable, and
sustainable access to safe water and sanitation.
(b) Authorization.--To carry out the purposes of subsection
(a), the President is authorized to furnish assistance for
programs in developing countries to provide affordable and
equitable access to safe water and sanitation.
(c) Activities Supported.--Assistance provided under
subsection (b) shall, to the maximum extent practicable, be
used to--
(1) expand affordable and equitable access to safe
water and sanitation for underserved populations;
(2) support the design, construction, maintenance,
upkeep, repair, and operation of water delivery and
sanitation systems;
(3) improve the safety and reliability of water
supplies, including environmental management; and
(4) improve the capacity of recipient governments
and local communities, including capacity-building
programs for improved water resource management.
(d) Local Currency.--The President may use payments made in
local currencies under an agreement made under title I of the
Agricultural Trade Development and Assistance Act of 1954 (7
U.S.C. 1701 et seq.) to provide assistance under this section.
* * * * * * *
----------
SECTION 104 OF THE AGRICULTURAL TRADE DEVELOPMENT AND ASSISTANCE ACT OF
1954
SEC. 104. USE OF LOCAL CURRENCY PAYMENT.
(a) * * *
* * * * * * *
(c) Activities.--The proceeds from the payments referred to
in subsection (a) may be used in the appropriate developing
country for the following:
(1) * * *
* * * * * * *
(9) Safe water and sanitation.--To provide
assistance under section 135 of the Foreign Assistance
Act of 1961 to promote good health, economic
development, poverty reduction, women's empowerment,
conflict prevention, and environmental sustainability
by increasing affordable and equitable access to safe
water and sanitation.
* * * * * * *