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<classification authority="sudocs">GA 1.13:T-RCED-00-298</classification>
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 <subject>State-administered programs</subject>
 <subject>Federal/state relations</subject>
 <subject>Water quality</subject>
 <subject>Potable water</subject>
 <subject>Revolving funds</subject>
 <subject>Grants to states</subject>
 <subject>Water treatment</subject>
 <subject>Water pollution control</subject>
 <subject>Environmental policies</subject>
 <subject>Cost sharing (finance)</subject>
 <identifier>Drinking Water State Revolving Fund</identifier>
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 <title>Drinking Water: Spending Constraints Could Affect States&apos;</title>
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<abstract>Pursuant to a congressional request, GAO discussed the states&apos; roles in
implementing the Safe Drinking Water Act, focusing on: (1) how the
Environmental Protection Agency&apos;s (EPA) budget requests for state
program implementation compared to the amounts that are authorized and
estimated to be needed; (2) how much the states have spent since the
passage of the 1996 amendments to implement their drinking water
programs and how their expenditures compare with estimated needs; (3)
what effects federal funding levels have had, and could have in the
future, on the states&apos; ability to implement their programs; and (4) what
existing practices have the potential to help the states implement their
drinking water programs more effectively and efficiently.&lt;p/&gt;GAO noted that: (1) in its budget requests for fiscal years (FY) 1998
through 2000, EPA requested about 94 percent of the $100 million
authorized annually for supervision grants; (2) for the same fiscal
years, EPA requested, on average, 80 percent of the amounts authorized
to capitalize the states&apos; revolving funds for drinking water; (3) if the
states had made maximum use of the set-asides by reserving the full 31
percent available from the revolving fund, EPA&apos;s requested
appropriations would have provided a total of $308 million in FY 1999
and $318 million for FY 2000 to help the states meet their
responsibilities in implementing their drinking water programs; (4)
according to GAO&apos;s nationwide survey of state drinking water agencies,
for FY 1997 through FY 1999, the states&apos; actual expenditures for
implementing their drinking water programs were $214 million, $237
million, and $276 million, respectively; (5) in FY 1999, total state
expenditures fell short of the Association of State Drinking Water
Administrators&apos; estimate of the amount needed for program implementation
by about 20 percent; (6) according to GAO&apos;s nationwide survey, the
amounts of federal funding available for FY 1997 through FY 1999 had
less of an impact on the states&apos; ability to implement their drinking
water programs than did the effects of state-imposed spending
constraints; (7) over 75 percent of the states reported that their
staffing levels in FY 1999 were inadequate to meet the act&apos;s
requirements in effect through that year; (8) the most frequently cited
reasons were: (a) the states&apos; authorized staffing and authorized funding
levels were too low; (b) hiring freezes prevented the states from
filling authorized positions; and (c) inadequate state salaries made it
difficult to attract and retain qualified staff; (9) GAO&apos;s discussions
with drinking water officials from eight states disclosed that they have
been able to meet most requirements in effect through FY 1999, generally
by scaling back technical assistance and other oversight activities or
doing the minimum amount of work required; (10) program officials in the
eight states GAO contacted cited some management practices that could
increase the efficiency of program implementation; (11) EPA officials
pointed to new program requirements that may increase efficiency,
including those designed to assess water sources for contamination and
improve the financial, technical, and managerial ability of local water
systems to comply with drinking water regulations; and (12) however, it
could take years to realize the benefits of these programs.</abstract>
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<identifier type="preferred citation">GAO/T-RCED-00-298</identifier>
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<note>Testimony</note>
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 <searchTitle>GAO/T-RCED-00-298; Drinking Water: Spending Constraints Could Affect States&apos;;
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<subject>
 <topic>State-administered programs</topic>
 <topic>Federal/state relations</topic>
 <topic>Water quality</topic>
 <topic>Potable water</topic>
 <topic>Revolving funds</topic>
 <topic>Grants to states</topic>
 <topic>Water treatment</topic>
 <topic>Water pollution control</topic>
 <topic>Environmental policies</topic>
 <topic>Cost sharing (finance)</topic>
 <topic>Drinking Water State Revolving Fund</topic>
</subject>
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