Sec. 6409. Assistance to provide water and wastewater services in financially distressed rural areas
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Section 306(a) of the Consolidated Farm and Rural Development Act ( 7 U.S.C. 1926(a) ) (as amended by section 6408) is amended by adding at the end the following: In this paragraph: The term eligible area means a rural area that— is a low-income community, as determined by the Secretary; is unable to provide water and wastewater services to the residents of the rural area because the rural area— lacks the capacity— to operate, maintain, or manage water and wastewater facilities or services; or to provide for the continued availability and use of those facilities or services at reasonable user rates and charges; or lacks the financial, technical, or managerial capability to consistently comply with pertinent Federal and State laws and requirements; and voluntarily agrees to the provision of water or wastewater services in the rural area by an eligible association the service area of which is contiguous to, or in the locality of, the rural area.
The term eligible association means an association described in paragraph
(1)that— currently receives, or is eligible for, assistance under a rural water or wastewater program; and is experienced in, and currently, providing functioning water and wastewater services to the residents of a rural area. The term rural water or wastewater program means a water or wastewater program under this subsection. The Secretary may provide financial or technical assistance under a rural water or wastewater program to an eligible association for the purpose of providing water and wastewater services to the residents of an eligible area that is contiguous to, or in the locality of, the service area of the eligible association. For purposes of providing water and wastewater services using assistance provided under subparagraph (B), an eligible association and an eligible area may— consolidate governance, management, and financial functions; or enter into a regional partnership. If an eligible association and an eligible area consolidate or enter into a regional partnership pursuant to clause (i), the Secretary shall only consider the population of the eligible area for purposes of eligibility for assistance under subparagraph (B). Notwithstanding any other provision of law, an eligible association may use assistance provided under subparagraph
(B)to provide water or wastewater services to an eligible area using— the system of the eligible association; a system located in the eligible area; or a combination of both systems. An eligible association that receives financial assistance under subparagraph
(B)shall only use that financial assistance for the benefit of the residents of the eligible area with respect to which the financial assistance is provided. .
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Sec. 6409
Assistance to provide water and wastewater services in financially distressed rural areas
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