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Agenda - Council - 09/13/2022
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Agenda - Council - 09/13/2022
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Council
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09/13/2022
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beyond the scope of what is provided to all residents as an essential service. Provision of <br />drinking water and removal, management, and treatment of wastewater and stormwater are the <br />typical responsibilities of "water and sewer" authorities throughout the country, and there is a <br />tremendous need for improvements to the ability of state, local, and Tribal governments to <br />provide such services, including to address the consequences of deferred maintenance and <br />additional resiliency needed to adapt to changes to the climate.3°6 <br />Although the meaning of water and sewer infrastructure for purposes of sections <br />602(c)(1)(D) and 603(c)(1)(D) of the Social Security Act does not include all water -related uses, <br />Treasury has made clear in this final rule that investments to infrastructure include a wide variety <br />of projects. Treasury interprets the word "infrastructure" in this context broadly to mean the <br />underlying framework or system for achieving the given public purpose, whether it be provision <br />of drinking water or management of wastewater or stormwater.307 As discussed below, this can <br />include not just storm drains and culverts for the management of stormwater, for example, but <br />also bioretention basins and rain barrels implemented across a watershed, including on both <br />3°6 In addition, Treasury interprets the eligible uses of SLFRF funds against the background of the Coronavirus <br />Relief Fund (CRF), for which the SLFRF funds are, in part, a successor. CRF recipients expressed great interest in <br />using the CRF to pursue water infrastructure projects, including provision of drinking water and internal plumbing <br />on Tribal lands and in Alaskan villages, and broadband projects throughout the country; Treasury permitted these <br />projects given the connection to the public health emergency (see Coronavirus Relief Fund for States, Tribal <br />Governments, and Certain Eligible Local Governments, 86 FR 4182, 4190, 4192 (Jan. 15, 2021), but the short <br />deadline for use of funds made it difficult to use CRF funds in this way. Congress' inclusion of the water, sewer, and <br />broadband clause in the ARPA, along with the SLFRF funds' longer eligible use date, is responsive to this unmet <br />need. <br />As discussed below, Congress in the Infrastructure Investment and Jobs Act amended sections 602(c) and 603(c) of <br />the Social Security Act to add a new paragraph as sections 602(c)(4) and 603(c)(5), respectively, providing that <br />SLFRF funds may be used to meet non-federal matching requirements of any authorized Bureau of Reclamation <br />project. This authority was added as a separately enumerated eligible use regardless of whether the underlying <br />project would be an eligible use of SLFRF funds under the water and sewer infrastructure eligible use category. <br />307 See, e.g., section 502 of the Federal Water Pollution Control Act (33 U.S.C. 1362), defining "green <br />infrastructure" as "the range of measures that use plant or soil systems, permeable pavement or other permeable <br />surfaces or substrates, stormwater harvest and reuse, or landscaping to store, infiltrate, or evapotranspirate <br />stormwater and reduce flows to sewer systems or to surface waters." <br />270 <br />
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