Agenda - Council Work Session - 03/08/2022

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Federal Register/Vol. 87, No. 18/Thursday, January 27, 2022/Rules and Regulations 4417 and sewer projects under the ARPA, as and efficiency related to infrastructure First,Treasury encouraged recipients to discussed above. improvements, e.g.,incentives such as prioritize investments in fiber-optic Irrigation rebates to install green infrastructure infrastructure wherever feasible and such as rain barrels or promote other focus on projects that deliver a physical Public Comment:Some commenters water conservation activities. Treasury broadband connection by prioritizing requested that irrigation projects be an clarifies that such project types were projects that achieve last-mile eligible use because they consider such eligible under the interim final rule and connections. Second,Treasury projects to be critical infrastructure. continue to be eligible under the final encouraged recipients to integrate Several commenters supported this rule. affordability options into their program request by noting that irrigation systems design. Third,Treasury encouraged may be used to replenish aquifers and 2.Broadband Infrastructure y p q recipients to prioritize support for local recharge wells,in addition to delivering Under the ARPA,recipient networks owned,operated, or affiliated water for irrigation. One commenter also governments may use SLFRF funds to with local governments,nonprofits,and noted that the national irrigation system make "necessary investments in. . . cooperatives. Fourth,Treasury is antiquated and in need of repair. broadband infrastructure."In the encouraged recipients to avoid investing Treasury Response:Some irrigation Supplementary Information to the in locations with existing agreements to projects were eligible under the interim interim final rule,Treasury interpreted build reliable wireline service with final rule and continue to be eligible necessary investments in infrastructure minimum speeds of 100 Mbps under the final rule as a result of their as investments"designed to provide an download and 20 Mbps upload by inclusion as eligible projects under the adequate minimum level of service and December 31, 2024,in order to avoid CWSRF.For example,water efficient [that] are unlikely to be made using duplication of efforts and resources. irrigation equipment that reduces the private sources of funds." Treasury Finally,following release of the interim runoff of nutrients and implements a explained that,with respect to final rule,Treasury provided further management program established under broadband specifically,such necessary guidance clarifying some aspects of section 319 of the CWA and/or a investments include projects that broadband infrastructure eligibility, conservation and management plan "establish [] or improve []broadband specifically on flexibility for recipients under section 320 of the CWA are service to underserved populations to to determine eligible areas to be eligible uses under the CWSRF and reach an adequate level to permit a served,328 middle-mile projects,329 pre- therefore continue to be an eligible use household to work or attend school,and project development costs,33o of SLFRF funds under the final rule. that are unlikely to be met with private broadband connections to schools or Likewise,projects to receive and sources of funds." libraries,331 and the applicability of the distribute reclaimed water for irrigation Summary of Interim Final Rule,Public National Environmental Policy Act systems or other agricultural use are Comments,and Treasury Response (NEPA) and the Davis-Bacon Act.332 eligible under the CWSRF and therefore Summary of Public Comments. continue to be an eligible use under the Summary of Interim Final Rule:In Treasury received several comments on final rule. Unlike projects for the implementing the ARPA,the interim the interim final rule's requirements improvement of irrigation systems final rule provided that eligible regarding eligible areas for investment generally,these reclaimed water broadband infrastructure investments and build-to speed standards,as well as projects are related to wastewater are limited to those that are designed to Treasury's encouragements in the treatment and stormwater management, provide service to unserved or Supplementary Information of the which are within the scope of the underserved households or businesses, interim final rule. Many commenters meaning of water and sewer defined as those that lack access to a found the interim final rule's infrastructure for purposes of ARPA. wireline connection capable of reliably requirement to limit projects to those Treasury considered commenter delivering at least minimum speeds of designed to provide service to unserved requests for inclusion of additional 25 Mbps download and 3 Mbps upload. or underserved households or irrigation infrastructure and determined The interim final rule also provided that businesses to be appropriately focused that irrigation projects more generally eligible projects under the SLFRF are on hard-to-reach areas. In contrast, other are not permitted under the final rule. limited to those that are designed to commenters argued that this Although these types of projects may be deliver,upon project completion, requirement was too restrictive and that water-related infrastructure,they are not service that reliably meets or exceeds it would limit the ability for some the sort of generally-provided essential symmetrical upload and download recipients,particularly local services included within the meaning of speeds of 100 Mbps. In instances where governments,to invest in broadband water and sewer projects under ARPA, it would not be practicable for a project infrastructure. as discussed above. to deliver such service speeds because Separately, some commenters of the geography,topography, or supported the interim final rule's Consumer Incentive Programs excessive costs associated with such a requirement that eligible projects be Public Comment:One commenter project,the interim final rule provided built to reliable speeds of 100 Mbps requested that consumer incentive that the project would be required to be symmetrical,with an exception for areas programs in the areas of water use designed to deliver,upon project where it was impracticable,and efficiency,conservation,green completion, service that reliably meets encouragement that projects be built infrastructure,reuse, and other or exceeds 100 Mbps download speed with fiber-optic infrastructure,while a distributed solutions be an allowable and between at least 20 Mbps and 100 use of SLFRF. Mbps upload speeds and be scalable to 328 See FAQ 6.8,6.9,6.11.Coronavirus State and Treasury Response:The DWSRF and a minimum of 100 Mbps symmetrical Local Fiscal Recovery Funds,Frequently Asked CWSRF eligibilities include the for download and upload speeds. Questions,as of July 19,2021;https://home.treasury.gov/system/files/136/SLFRPFAQ.pdf. development and implementation of In addition,Treasury,in the 329 See FAQ 6.10.Id. incentive and educational programs that Supplementary Information to the 330 See FAQ 6.12.Id. address and promote water interim final rule, encouraged recipients 331 See FAQ 6.16.Id. conservation,source water protection, to pursue a number of other objectives. 332 See FAQ 6.4,6.17.Id.