WASHINGTON — A representative of the Association of Metropolitan Sewerage Agencies (AMSA) told a Senate subcommittee that federal funds are needed to help the nation's cities upgrade its aging water and sewer infrastructure systems.
A debate has gone on for some time as to whether federal funds should be part of the plan to renovate and upgrade aging infrastructure systems. Both sides of the argument were given yesterday, 31 October, at a hearing conducted by the Senate Subcommittee on Fisheries, Wildlife and Water.
Paul Pinault, AMSA vice president and executive director of the Narragansett Bay Commission in Providence, RI, that municipal governments are being innovative in stretching existing funds, but that increased federal funding remains a critical necessity to ensure the future of the nation's aging water and wastewater infrastructure.
AMSA represents the interests of more than 260 publicly owned treatment works across the country.
"While infrastructure security demands require local governments to stretch limited dollars even further, it becomes increasingly clear that adequate financial resources to communities like mine are the most essential elements to maintaining our nation's water and wastewater infrastructure," said Pinault.
"Yet, since 1980, according to studies by both the US Environmental Protection Agency and the private sector, federal contributions for water and wastewater infrastructure projects have declined by an astounding 75 percent. Despite this funding drop, I assure you that wastewater utilities are being extremely innovative in order to get the most out of the limited dollars available," he said.
Pinault mentioned the creative measures public wastewater utilities have been taking in handling their public debt, including asset management initiatives, environmental management systems, debt restructuring and pooled borrowing, which allows for utilities to band together to reduce the cost of expensive bond issuances.
Pinault said that despite the creative financial management his commission and others demonstrate, by 2006 debt payments will comprise 54 percent of every dollar his commission earns. While the state revolving fund has been helpful, noted Pinault, major changes to it are necessary to support the massive needs of wastewater infrastructure upgrades and compliance with growing federal regulations.
Pinault also thanked Sen. James Jeffords, I-VT, and the supporters of a bill introduced 30 October that would provide research and development funding for drinking water and wastewater infrastructure security, stating that AMSA "sincerely hopes this measure passes swiftly with the full bipartisan support it merits."
Pinault added that AMSA and the Water Infrastructure Network also urge the subcommittee and the full Congress to support a five-year, $57 billion federal funding plan to capitalize state-administered grant and loan programs for water and wastewater infrastructure.
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