S 2969 — Rural Water Infrastructure Improvement Act of 2018

Summary

Rural Water Infrastructure Improvement Act of 2018 This bill amends the Consolidated Farm and Rural Development Act to reauthorize through FY2023 and modify the Department of Agriculture Water and Waste Disposal Loan and Grant Program. (The program provides funding for clean and reliable drinking water systems, sanitary sewage disposal, sanitary solid waste disposal, and storm water drainage to households and businesses in rural areas.) The bill modifies the program to: increase from $100,000 to $200,000 the maximum amount of financing from a revolving loan fund that may be made available to an entity for water and wastewater projects, authorize loans for local utilities with experience delivering water or wastewater programs to provide service to unserved and underserved rural communities, increase the population ceiling that applies to certain loans, and provide mandatory funding for applications that are pending when this bill is enacted.

Bill Text

• Introduced Introduced in Senate Current html May 24, 2018

Compared against current U.S. Code AI-generated reading aid — verify against the official bill.

The bill enhances water and waste disposal grants and loans, increasing grant limits and introducing provisions for unserved and underserved rural communities.

• 7 U.S.C. 1926(a)(2)(B)

  $100,000 → $200,000

  Increases the maximum grant amount for water or waste disposal projects.

• 7 U.S.C. 1926(a)(2)(B)

  2018 → 2023

  Extends the authorization period for certain grants to 2023.

• 7 U.S.C. 1926(a)

  (27) Assistance for unserved and underserved rural communities.--(A) Definition of unserved or underserved rural community.--In this paragraph, the term 'unserved or underserved rural community' means a rural area that, as determined by the Secretary, lacks the technical, financial, organizational, and managerial capacity to adequately operate, maintain, and effectively serve the population of the rural area. (B) Water and waste disposal direct loans.--The Secretary may make water and waste disposal direct loans under paragraph (1) to eligible entities described in subparagraph (C) at the interest rate applicable to areas where the median family income is below the poverty line, as determined under section 307(a)(3)(A), for projects for unserved or underserved rural communities. (C) Eligible entities.--To be eligible to receive a direct loan under subparagraph (B), an applicant shall be a contiguous or local utility outside of the unserved or underserved rural community to be served by the project funded by the direct loan that, as determined by the Secretary-- (i) has a demonstrated experience and capacity in delivering water programs or wastewater programs under this Act; (ii) demonstrates the capacity to provide service to the applicable unserved or underserved rural community; (iii) demonstrates that-- (I) the project funded by the direct loan is solely for the purpose of serving the applicable unserved or underserved rural community; and (II) the maximum financial benefit of the assistance under this paragraph will be conferred to that unserved or underserved rural community; and (iv) demonstrates that the applicable unserved or underserved rural community-- (I) has willingly entered into a formal agreement with the applicant for service by the applicant; and (II) entered into the agreement described in subclause (I) with the understanding that the unserved or underserved rural community is eligible for water and waste disposal direct loans under paragraph (1) independently of any direct loan under this paragraph.

  Adds a new section to provide assistance specifically for unserved and underserved rural communities, defining them and establishing criteria for loan eligibility.

• 7 U.S.C. 1991(a)(13)(B)

  For the purpose → (i) Grants and direct loans.--For the purpose

  Clarifies language to distinguish between grants and direct loans.

• 7 U.S.C. 1991(a)(13)(B)

  and guaranteed

  Removes the reference to guaranteed loans from the purpose statement.

• 7 U.S.C. 1991(a)(13)(B)

  (24) → (27)

  Updates a reference number for clarity in the code.

• 7 U.S.C. 1991(a)(13)(B)

  (ii) Guaranteed loans.--For the purpose of water and waste disposal guaranteed loans provided under paragraphs (1) and (24) of section 306(a), the terms 'rural' and 'rural area' mean a city, town, or unincorporated area that has a population of not more than 50,000 inhabitants.

  Defines the terms 'rural' and 'rural area' in the context of guaranteed loans.

Action History

1. May 24, 2018

   Introduced in Senate

2. May 24, 2018

   Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.

Sponsors

• Tammy Baldwin · Primary

Subjects