Sec. 7401. Drinking water infrastructure

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A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

In this section: The term eligible State means a State for which the President has declared an emergency under the Robert T. Stafford Disaster Relief and Emergency Assistance Act ( 42 U.S.C. 5121 et seq. ) relating to the public health threats associated with the presence of lead or other contaminants in a public drinking water supply system. The term eligible system means a public drinking water supply system that has been the subject of an emergency declaration referred to in paragraph (1).

An eligible system shall be— considered to be a disadvantaged community under section 1452(d) of the Safe Drinking Water Act ( 42 U.S.C. 300j–12(d) ); and eligible to receive loans with additional subsidization under that Act ( 42 U.S.C. 300f et seq. ), including forgiveness of principal under section 1452(d)(1) of that Act ( 42 U.S.C. 300j–12(d)(1) ). Using funds provided under subsection (e)(1)(A), an eligible State may provide assistance to an eligible system within the eligible State, for the purpose of addressing lead or other contaminants in drinking water, including repair and replacement of public and private drinking water infrastructure.

Assistance provided under subparagraph

(A)may include additional subsidization under the Safe Drinking Water Act ( 42 U.S.C. 300f et seq. ), as described in paragraph (1)(B). Assistance provided under subparagraph

(A)shall not include assistance for a project that is financed (directly or indirectly), in whole or in part, with proceeds of any obligation issued after the date of enactment of this Act— the interest of which is exempt from the tax imposed under chapter 1 of the Internal Revenue Code of 1986; or with respect to which credit is allowable under subpart I or J of part IV of subchapter A of chapter 1 of such Code. Section 1452(d)(2) of the Safe Drinking Water Act ( 42 U.S.C. 300j–12(d)(2) ) shall not apply to— any funds provided under subsection (e)(1)(A); or any other loan provided to an eligible system. Using funds provided under subsection (e)(2)(A), the Administrator may make a secured loan under the Water Infrastructure Finance and Innovation Act of 2014 ( 33 U.S.C. 3901 et seq. ) to— an eligible State to carry out a project eligible under paragraphs

(2)through

(9)of section 5026 of that Act ( 33 U.S.C. 3905 ) to address lead or other contaminants in drinking water in an eligible system, including repair and replacement of public and private drinking water infrastructure; and any eligible entity under section 5025 of that Act ( 33 U.S.C. 3904 ) for a project eligible under paragraphs

(2)through

(9)of section 5026 of that Act ( 33 U.S.C. 3905 ). Notwithstanding section 5029(b)(2) of the Water Infrastructure Finance and Innovation Act of 2014 ( 33 U.S.C. 3908(b)(2) ), the amount of a secured loan provided under subparagraph (A)(i) may be equal to not more than 80 percent of the reasonably anticipated costs of the projects. Notwithstanding section 5029(b)(9) of the Water Infrastructure Finance and Innovation Act of 2014 ( 33 U.S.C. 3908(b)(9) ), any costs for a project to address lead or other contaminants in drinking water in an eligible system that are not covered by a secured loan under paragraph

(1)may be covered using amounts in the State revolving loan fund under section 1452 of the Safe Drinking Water Act ( 42 U.S.C. 300j–12 ). An activity carried out pursuant to this section shall not duplicate the work or activity of any other Federal or State department or agency. The Secretary of the Treasury shall make available to the Administrator a total of $100,000,000 to provide additional grants to eligible States pursuant to section 1452 of the Safe Drinking Water Act ( 42 U.S.C. 300j–12 ), to be available for a period of 18 months beginning on the date on which the funds are made available, for the purposes described in subsection (b)(2), and after the end of the 18-month period, until expended for the purposes described in subparagraph (C). From funds made available under subparagraph (A), the Administrator shall obligate to an eligible State such amounts as are necessary to meet the needs identified in a supplemented intended use plan by not later than 30 days after the date on which the eligible State submits to the Administrator a supplemented intended use plan under section 1452(b) of the Safe Drinking Water Act ( 42 U.S.C. 300j–12(b) ) that includes preapplication information regarding projects to be funded using the additional assistance, including, with respect to each such project— a description of the project; an explanation of the means by which the project will address a situation causing a declared emergency in the eligible State; the estimated cost of the project; and the projected start date for construction of the project. Of any amounts made available to the Administrator under subparagraph

(A)that are unobligated on the date that is 18 months after the date on which the amounts are made available— 50 percent shall be available to provide additional grants under section 1459A of the Safe Drinking Water Act (as added by section 7106); and 50 percent shall be available to provide additional grants under section 1459B of the Safe Drinking Water Act (as added by section 7107). Section 1452(b)(1) of the Safe Drinking Water Act ( 42 U.S.C. 300j–12(b)(1) ) shall not apply to a supplement to an intended use plan under subparagraph (B). As soon as practicable after the date of enactment of this Act, the Secretary of the Treasury shall make available to the Administrator $70,000,000 to provide credit subsidies, in consultation with the Director of the Office of Management and Budget, for secured loans under subsection (c)(1)(A) with a goal of providing secured loans totaling at least $700,000,000. Secured loans provided pursuant to subparagraph

(A)shall be available to carry out activities described in subsection (c)(1)(A). Of the amounts made available under subparagraph (A), $20,000,000 shall not be used to provide assistance for a project that is financed (directly or indirectly), in whole or in part, with proceeds of any obligation issued after the date of enactment of this Act— the interest of which is exempt from the tax imposed under chapter 1 of the Internal Revenue Code of 1986; or with respect to which credit is allowable under subpart I or J of part IV of subchapter A of chapter 1 of such Code. Unless explicitly waived, all requirements under the Safe Drinking Water Act ( 42 U.S.C. 300f et seq. ) and the Water Infrastructure Finance and Innovation Act of 2014 ( 33 U.S.C. 3901 et seq. ) shall apply to funding provided under this subsection. Pursuant to section 104(i)(1)(E) of the Comprehensive Environmental Response, Compensation, and Liability Act ( 42 U.S.C. 9604(i)(1)(E) ), and on receipt of a request of an appropriate State or local health official of an eligible State, the Director of the Agency for Toxic Substances and Disease Registry of the National Center for Environmental Health shall in coordination with other agencies, as appropriate, conduct voluntary surveillance activities to evaluate any adverse health effects on individuals exposed to lead from drinking water in the affected communities. Pursuant to section 104(i)(4) of the Comprehensive Environmental Response, Compensation, and Liability Act ( 42 U.S.C. 9604(i)(4) ), and on receipt of a request of an appropriate State or local health official of an eligible State, the Director of the Agency for Toxic Substances and Disease Registry of the National Center for Environmental Health shall provide consultations regarding health issues described in paragraph (1).

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