WASHINGTON — An economic stimulus bill passed yesterday, 25 October, by the US House of Representatives does not address water and wastewater infrastructure needs, but industry groups are hoping a push by the US Senate will result in much-needed funds for projects.
The House yesterday narrowly passed an economic stimulus package providing $100 billion in tax relief and unemployment benefits, but there is a rift between Democrats and Republicans on how best to steady the economy in the wake of terrorist attacks, the Washington Post reported.
Lawmakers from both parties acknowledged that the bill, which includes major tax cuts for corporations and wealthy Americans, is not likely to become law in its current form, the newspaper said.
The House bill concentrates on measures that backers say would spur investment. The bill would allow companies to speed up the tax write-offs for equipment they purchase, repeal an alternative minimum tax for corporations that otherwise would not pay taxes, accelerate part of the massive tax cut Congress passed earlier this year, and reduce taxes that investors pay on capital gains.
However groups like the Water Environment Federation, the Association of Metropolitan Water Agencies, the Association of Metropolitan Sewerage Agencies (AMSA) and the Water Infrastructure Network are hoping that a stimulus package eventually emerges that has funds for water and wastewater infrastructure projects.
Adam Krantz, AMSA manager of communications and public affairs, said today the House bill really does not do anything to help the plight of water and wastewater groups. He said the Senate bill, likely to be voted on next week, contains much-needed funding. What will likely result is a compromise bill coming after Congressional conferences.
"We're confident infrastructure (funds) will be in the bill," Krantz said.
He said many Democratic senators in the Senate, where Democrats are in the majority, support water and sewer projects, among them Edward Kennedy, D-MA, who is pushing for some $3 billion for water and wastewater funding.
The bill in the Republican-controlled House leans toward tax cuts to stimulate the economy. And according to Reuters News Service, there is a move afoot among Senate Republicans to push for a similar Senate bill based on tax cuts.
But Krantz said solid support by Democratic senators should result in help for the drinking water and wastewater industries. He said that assistance would create jobs, which will help the nationwide economy.
He said between the drinking water and wastewater sectors, there is already about $5 billion in projects ready to go that could be turned around right away. And for every $1 billion spent, some 40,000 jobs are created, "that's what we need," Krantz said.
Tax cuts are one prong to an economic recovery package, but jobs that water and wastewater projects would create have "an immediate positive impact on the economy," said Krantz.
He said that if the final stimulus bill emerging from Congress does not contain infrastructure funds, one other possibility might be a separate jobs creation bill that would appropriately address the needs of the water and wastewater industries.
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