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116th Congress   }                                     {        Report
                        HOUSE OF REPRESENTATIVES
 1st Session     }                                     {        116-36

======================================================================



 
                       LOCAL WATER PROTECTION ACT

                                _______
                                

 April 8, 2019.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

 Mr. DeFazio, from the Committee on Transportation and Infrastructure, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 1331]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 1331) to amend the Federal Water 
Pollution Control Act to reauthorize certain programs relating 
to nonpoint source management, and for other purposes, having 
considered the same, report favorably thereon without amendment 
and recommend that the bill do pass.

                                CONTENTS

                                                                   Page
Purpose of Legislation...........................................     1
Background and Need for Legislation..............................     2
Hearings.........................................................     2
Legislative History and Consideration............................     3
Committee Votes..................................................     3
Committee Oversight Findings.....................................     3
New Budget Authority and Tax Expenditures........................     3
Congressional Budget Office Cost Estimate........................     4
Performance Goals and Objectives.................................     5
Duplication of Federal Programs..................................     5
Congressional Earmarks, Limited Tax Benefits, and Limited Tariff 
  Benefits.......................................................     5
Federal Mandates Statement.......................................     5
Preemption Clarification.........................................     5
Advisory Committee Statement.....................................     6
Applicability to Legislative Branch..............................     6
Section-by-Section Analysis of the Legislation...................     6
Changes in Existing Law Made by the Bill, as Reported............     6

                         Purpose of Legislation

    The purpose of H.R. 1331 is to amend the Federal Water 
Pollution Control Act, commonly known as the Clean Water Act, 
to reauthorize Federal appropriations for the nonpoint source 
management grants program, administered by the U.S. 
Environmental Protection Agency (EPA).

                  Background and Need for Legislation

    H.R. 1331, introduced by Ms. Craig and Mr. Mast, is 
bipartisan legislation to reauthorize federal appropriations 
for the nonpoint source management grants program under section 
319 of the Clean Water Act, administered by the EPA.
    Nonpoint source water pollution, unlike pollution from 
industrial and sewage treatment plants, comes from many diffuse 
sources, including runoff from farms, managed forests, and 
urban areas. This runoff can carry pollutants, such as 
fertilizers and sediment, toxins from abandoned mines, and oils 
and heavy metals from roads, into lakes, rivers, and other 
bodies of water.
    The Clean Water Act was enacted in 1972 to restore and 
maintain the chemical, physical, and biological integrity of 
the nation's waters. In 1987, the Clean Water Act was amended 
(Pub. L. 100-4) to add section 319 to create a non-regulatory 
program through which the EPA administers annual grants to help 
states develop and implement their own programs for managing 
nonpoint sources of water pollution. Under the EPA's section 
319 program, states retain the primary role for addressing 
nonpoint source water pollution, which they do largely through 
voluntary means and financial incentives. However, according to 
a Governmental Accountability Office report (GAO-16-697R), the 
extent of available incentives has declined in recent years, as 
grants to states under the section 319 program have declined by 
more than 30 percent, from about $240 million annually in 
fiscal year 2004 to about $160 million in fiscal year 2014.
    The section 319 program was initially authorized at $70 
million annually in fiscal year 1988, and its authorization 
level steadily increased to $130 million in fiscal year 1991--
the last year of authorization for this program. Since that 
time, the section 319 program has been authorized through the 
annual appropriations bill for the EPA. In fiscal year 2019, 
the section 319 program received a federal appropriation of 
$170.9 million (Pub. L. 116-6).
    H.R. 1331 authorizes $200 million annually for the section 
319 program through 2024.

                                Hearings

    Pursuant to section 103(i) of H. Res. 6, 116th Cong. 
(2019), the Subcommittee on Water Resources and Environment 
held the following hearing to develop or consider subjects 
related to matters contained in H.R. 1331.
    On March 7, 2019, the Subcommittee held a hearing entitled 
``The Clean Water State Revolving Fund: How Federal 
Infrastructure Investment Can Help Communities Modernize Water 
Infrastructure and Address Affordability Challenges'' that, 
among other things, highlighted the importance of the EPA's 
section 319 program in addressing nonpoint sources of pollution 
from both urban and agricultural sources.

                 Legislative History and Consideration

    On February 25, 2019, Ms. Craig and Mr. Mast introduced 
H.R. 1331. The bill was referred to the Committee on 
Transportation and Infrastructure, and within the Committee, 
H.R. 1331 was referred to the Subcommittee on Water Resources 
and Environment.
    On March 27, 2019, the Subcommittee on Water Resources and 
Environment was discharged from further consideration of H.R. 
1331.
    The Committee met on March 27, 2019, to consider H.R. 1331, 
and ordered the bill, without amendment, reported favorably to 
the House by voice vote, with a quorum present.

                            Committee Votes

    Clause 3(b) of rule XIII of the Rules of the House of 
Representatives requires each committee report to include the 
total number of votes cast for and against on each record vote 
on a motion to report and on any amendment offered to the 
measure or matter, and the names of those members voting for 
and against. There were no recorded votes taken in connection 
with consideration of H.R. 1331.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.
    The Subcommittee on Water Resources and Environment 
requested two recent studies by the U.S. Government 
Accountability Office (GAO) related to implementation of the 
EPA's section 319 program. In the first study, requested by 
former Subcommittee Ranking Member, Tim Bishop (D-NY), entitled 
``Nonpoint Source Water Pollution: Greater Oversight and 
Additional Data Needed for Key EPA Water Program'' (GAO-12-
335), GAO recommended, among other things, that the EPA provide 
319 specific guidance to its regional offices on how they are 
to fulfill their oversight responsibilities, and that the U.S. 
Department of Agriculture analyze data to determine if measures 
were taken to mitigate water quality impacts in section 319 
program areas.
    In the second report, requested by former Subcommittee 
Chairman, Bob Gibbs (R-OH), entitled ``Environmental Protection 
Agency: Status of Efforts to Address Nonpoint Source Water 
Pollution through the Section 319 Program'' (GAO-16-697R), GAO 
re-examined EPA's implementation of the 319 program, in light 
of its recommendations in its 2012 report. The GAO concluded 
that it was ``encouraged that EPA has taken, and continues to 
take, actions to reform the section 319 program, but we 
continue to believe that the agency should fully implement our 
recommendations [contained in the 2012 GAO report].''

               New Budget Authority and Tax Expenditures

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

               Congressional Budget Office Cost Estimate

    With respect to the requirement of clause 3(c)(3) of rule 
XIII of the Rules of the House of Representatives and section 
402 of the Congressional Budget Act of 1974, the Committee has 
received the enclosed cost estimate for H.R. 1331 from the 
Director of the Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, April 5, 2019.
Hon. Peter A. DeFazio,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1331, the Federal 
Water Pollution Control Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Stephen 
Rabent.
            Sincerely,
                                                Keith Hall,
                                                          Director.
    Enclosure.
    
    
    
    [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]
    
    Under current law, states are required to submit reports to 
the Environmental Protection Agency (EPA) regarding nonpoint 
sources of pollution that affect navigable water within the 
state. They also must submit plans to EPA to manage that 
pollution and improve the quality of navigable water. EPA 
provides grants to assist states in implementing programs to 
manage nonpoint source pollution and in carrying out other 
activities to protect groundwater quality. In 2018, $167 
million was appropriated for those purposes.
    H.R. 1331 would authorize the appropriation of $200 million 
each year over the 2020-2024 period for those grant programs. 
Assuming appropriation of the specified amounts, CBO estimates 
that implementing the bill would cost $810 million over the 
2020-2024 period and $190 million after 2024 (see Table 1). The 
costs of the legislation fall in budget function 300 (natural 
resources and environment).

               TABLE 1.--ESTIMATED INCREASES IN SPENDING SUBJECT TO APPROPRIATION UNDER H.R. 1331
----------------------------------------------------------------------------------------------------------------
                                                                   By fiscal year, millions of dollars--
                                                         -------------------------------------------------------
                                                                                                           2019-
                                                           2019    2020    2021    2022    2023    2024    2024
----------------------------------------------------------------------------------------------------------------
Authorization...........................................       0     200     200     200     200     200   1,000
Estimated Outlays.......................................       0      30     180     200     200     200     810
----------------------------------------------------------------------------------------------------------------

    The CBO staff contact for this estimate is Stephen Rabent. 
The estimate was reviewed by H. Samuel Papenfuss, Deputy 
Assistant Director for Budget Analysis.

                    Performance Goals and Objectives

    With respect to the requirement of clause 3(c)(4) of rule 
XIII of the Rules of the House of Representatives, the 
performance goal and objective of H.R. 1331 is to assist States 
and communities in funding State, regional, and local efforts 
to address nonpoint sources of water pollution.

                    Duplication of Federal Programs

    Pursuant to clause 3(c)(5) of rule XIII of the Rules of the 
House of Representatives, the Committee finds that no provision 
of H.R. 1331 establishes or reauthorizes a program of the 
federal government known to be duplicative of another federal 
program, a program that was included in any report from the 
Government Accountability Office to Congress pursuant to 
section 21 of Public Law 111-139, or a program related to a 
program identified in the most recent Catalog of Federal 
Domestic Assistance.

   Congressional Earmarks, Limited Tax Benefits, and Limited Tariff 
                                Benefits

    In compliance with clause 9 of rule XXI of the Rules of the 
House of Representatives, this bill, as reported, contains no 
congressional earmarks, limited tax benefits, or limited tariff 
benefits as defined in clause 9(e), 9(f), or 9(g) of the rule 
XXI.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Pub. L. 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee finds that H.R. 1331 does not 
preempt any state, local, or tribal law.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act were created by this 
legislation.

                  Applicability to Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Pub. L. 104-
1).

             Section-by-Section Analysis of the Legislation


Sec. 1. Short title

    This section provides that this bill may be cited as the 
``Local Water Protection Act.''

Sec. 2. Nonpoint source management programs

    This section authorizes $200 million annually in federal 
appropriations for the Clean Water Act section 319 program 
through 2024.

         Changes in Existing Law Made by the Bill, as Reported

    In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

                  FEDERAL WATER POLLUTION CONTROL ACT



           *       *       *       *       *       *       *
TITLE III--STANDARDS AND ENFORCEMENT

           *       *       *       *       *       *       *


SEC. 319. NONPOINT SOURCE MANAGEMENT PROGRAMS.

  (a) State Assessment Reports.--
          (1) Contents.--The Governor of each State shall, 
        after notice and opportunity for public comment, 
        prepare and submit to the Administrator for approval, a 
        report which--
                  (A) identifies those navigable waters within 
                the State which, without additional action to 
                control nonpoint sources of pollution, cannot 
                reasonably be expected to attain or maintain 
                applicable water quality standards or the goals 
                and requirements of this Act;
                  (B) identifies those categories and 
                subcategories of nonpoint sources or, where 
                appropriate, particular nonpoint sources which 
                add significant pollution to each portion of 
                the navigable waters identified under 
                subparagraph (A) in amounts which contribute to 
                such portion not meeting such water quality 
                standards or such goals and requirements;
                  (C) describes the process, including 
                intergovernmental coordination and public 
                participation, for identifying best management 
                practices and measures to control each category 
                and subcategory of nonpoint sources and, where 
                appropriate, particular nonpoint sources 
                identified under subparagraph (B) and to 
                reduce, to the maximum extent practicable, the 
                level of pollution resulting from such 
                category, subcategory, or source; and
                  (D) identifies and describes State and local 
                programs for controlling pollution added from 
                nonpoint sources to, and improving the quality 
                of, each such portion of the navigable waters, 
                including but not limited to those programs 
                which are receiving Federal assistance under 
                subsections (h) and (i).
          (2) Information used in preparation.--In developing 
        the report required by this section, the State (A) may 
        rely upon information developed pursuant to sections 
        208, 303(e), 304(f), 305(b), and 314, and other 
        information as appropriate, and (B) may utilize 
        appropriate elements of the waste treatment management 
        plans developed pursuant to sections 208(b) and 303, to 
        the extent such elements are consistent with and 
        fulfill the requirements of this section.
  (b) State Management Programs.--
          (1) In general.--The Governor of each State, for that 
        State or in combination with adjacent States, shall, 
        after notice and opportunity for public comment, 
        prepare and submit to the Administrator for approval a 
        management program which such State proposes to 
        implement in the first four fiscal years beginning 
        after the date of submission of such management program 
        for controlling pollution added from nonpoint sources 
        to the navigable waters within the State and improving 
        the quality of such waters.
          (2) Specific contents.--Each management program 
        proposed for implementation under this subsection shall 
        include each of the following:
                  (A) An identification of the best management 
                practices and measures which will be undertaken 
                to reduce pollutant loadings resulting from 
                each category, subcategory, or particular 
                nonpoint source designated under paragraph 
                (1)(B), taking into account the impact of the 
                practice on ground water quality.
                  (B) An identification of programs (including, 
                as appropriate, nonregulatory or regulatory 
                programs for enforcement, technical assistance, 
                financial assistance, education, training, 
                technology transfer, and demonstration 
                projects) to achieve implementation of the best 
                management practices by the categories, 
                subcategories, and particular nonpoint sources 
                designated under subparagraph (A).
                  (C) A schedule containing annual milestones 
                for (i) utilization of the program 
                implementation methods identified in 
                subparagraph (B), and (ii) implementation of 
                the best management practices identified in 
                subparagraph (A) by the categories, 
                subcategories, or particular nonpoint sources 
                designated under paragraph (1)(B). Such 
                schedule shall provide for utilization of the 
                best management practices at the earliest 
                practicable date.
                  (D) A certification of the attorney general 
                of the State or States (or the chief attorney 
                of any State water pollution control agency 
                which has independent legal counsel) that the 
                laws of the State or States, as the case may 
                be, provide adequate authority to implement 
                such management program or, if there is not 
                such adequate authority, a list of such 
                additional authorities as will be necessary to 
                implement such management program. A schedule 
                and commitment by the State or States to seek 
                such additional authorities as expeditiously as 
                practicable.
                  (E) Sources of Federal and other assistance 
                and funding (other than assistance provided 
                under subsections (h) and (i)) which will be 
                available in each of such fiscal years for 
                supporting implementation of such practices and 
                measures and the purposes for which such 
                assistance will be used in each of such fiscal 
                years.
                  (F) An identification of Federal financial 
                assistance programs and Federal development 
                projects for which the State will review 
                individual assistance applications or 
                development projects for their effect on water 
                quality pursuant to the procedures set forth in 
                Executive Order 12372 as in effect on September 
                17, 1983, to determine whether such assistance 
                applications or development projects would be 
                consistent with the program prepared under this 
                subsection; for the purposes of this 
                subparagraph, identification shall not be 
                limited to the assistance programs or 
                development projects subject to Executive Order 
                12372 but may include any programs listed in 
                the most recent Catalog of Federal Domestic 
                Assistance which may have an effect on the 
                purposes and objectives of the State's nonpoint 
                source pollution management program.
          (3) Utilization of local and private experts.--In 
        developing and implementing a management program under 
        this subsection, a State shall, to the maximum extent 
        practicable, involve local public and private agencies 
        and organizations which have expertise in control of 
        nonpoint sources of pollution.
          (4) Development on watershed basis.--A State shall, 
        to the maximum extent practicable, develop and 
        implement a management program under this subsection on 
        a watershed-by-watershed basis within such State.
  (c) Administrative Provisions.--
          (1) Cooperation requirement.--Any report required by 
        subsection (a) and any management program and report 
        required by subsection (b) shall be developed in 
        cooperation with local, substate regional, and 
        interstate entities which are actively planning for the 
        implementation of nonpoint source pollution controls 
        and have either been certified by the Administrator in 
        accordance with section 208, have worked jointly with 
        the State on water quality management planning under 
        section 205(j), or have been designated by the State 
        legislative body or Governor as water quality 
        management planning agencies for their geographic 
        areas.
          (2) Time period for submission of reports and 
        management programs.--Each report and management 
        program shall be submitted to the Administrator during 
        the 18-month period beginning on the date of the 
        enactment of this section.
  (d) Approval or Disapproval of Reports and Management 
Programs.--
          (1) Deadline.--Subject to paragraph (2), not later 
        than 180 days after the date of submission to the 
        Administrator of any report or management program under 
        this section (other than subsections (h), (i), and 
        (k)), the Administrator shall either approve or 
        disapprove such report or management program, as the 
        case may be. The Administrator may approve a portion of 
        a management program under this subsection. If the 
        Administrator does not disapprove a report, management 
        program, or portion of a management program in such 
        180-day period, such report, management program, or 
        portion shall be deemed approved for purposes of this 
        section.
          (2) Procedure for disapproval.--If, after notice and 
        opportunity for public comment and consultation with 
        appropriate Federal and State agencies and other 
        interested persons, the Administrator determines that--
                  (A) the proposed management program or any 
                portion thereof does not meet the requirements 
                of subsection (b)(2) of this section or is not 
                likely to satisfy, in whole or in part, the 
                goals and requirements of this Act;
                  (B) adequate authority does not exist, or 
                adequate resources are not available, to 
                implement such program or portion;
                  (C) the schedule for implementing such 
                program or portion is not sufficiently 
                expeditious; or
                  (D) the practices and measures proposed in 
                such program or portion are not adequate to 
                reduce the level of pollution in navigable 
                waters in the State resulting from nonpoint 
                sources and to improve the quality of navigable 
                waters in the State;
        the Administrator shall within 6 months of the receipt 
        of the proposed program notify the State of any 
        revisions or modifications necessary to obtain 
        approval. The State shall thereupon have an additional 
        3 months to submit its revised management program and 
        the Administrator shall approve or disapprove such 
        revised program within three months of receipt.
          (3) Failure of state to submit report.--If a Governor 
        of a State does not submit the report required by 
        subsection (a) within the period specified by 
        subsection (c)(2), the Administrator shall, within 30 
        months after the date of the enactment of this section, 
        prepare a report for such State which makes the 
        identifications required by paragraphs (1)(A) and 
        (1)(B) of subsection (a). Upon completion of the 
        requirement of the preceding sentence and after notice 
        and opportunity for comment, the Administrator shall 
        report to Congress on his actions pursuant to this 
        section.
  (e) Local Management Programs; Technical Assistance.--If a 
State fails to submit a management program under subsection (b) 
or the Administrator does not approve such a management 
program, a local public agency or organization which has 
expertise in, and authority to, control water pollution 
resulting from nonpoint sources in any area of such State which 
the Administrator determines is of sufficient geographic size 
may, with approval of such State, request the Administrator to 
provide, and the Administrator shall provide, technical 
assistance to such agency or organization in developing for 
such area a management program which is described in subsection 
(b) and can be approved pursuant to subsection (d). After 
development of such management program, such agency or 
organization shall submit such management program to the 
Administrator for approval. If the Administrator approves such 
management program, such agency or organization shall be 
eligible to receive financial assistance under subsection (h) 
for implementation of such management program as if such agency 
or organization were a State for which a report submitted under 
subsection (a) and a management program submitted under 
subsection (b) were approved under this section. Such financial 
assistance shall be subject to the same terms and conditions as 
assistance provided to a State under subsection (h).
  (f) Technical Assistance for State.--Upon request of a State, 
the Administrator may provide technical assistance to such 
State in developing a management program approved under 
subsection (b) for those portions of the navigable waters 
requested by such State.
  (g) Interstate Management Conference.--
          (1) Convening of conference; notification; purpose.--
        If any portion of the navigable waters in any State 
        which is implementing a management program approved 
        under this section is not meeting applicable water 
        quality standards or the goals and requirements of this 
        Act as a result, in whole or in part, of pollution from 
        nonpoint sources in another State, such State may 
        petition the Administrator to convene, and the 
        Administrator shall convene, a management conference of 
        all States which contribute significant pollution 
        resulting from nonpoint sources to such portion. If, on 
        the basis of information available, the Administrator 
        determines that a State is not meeting applicable water 
        quality standards or the goals and requirements of this 
        Act as a result, in whole or in part, of significant 
        pollution from nonpoint sources in another State, the 
        Administrator shall notify such States. The 
        Administrator may convene a management conference under 
        this paragraph not later than 180 days after giving 
        such notification, whether or not the State which is 
        not meeting such standards requests such conference. 
        The purpose of such conference shall be to develop an 
        agreement among such States to reduce the level of 
        pollution in such portion resulting from nonpoint 
        sources and to improve the water quality of such 
        portion. Nothing in such agreement shall supersede or 
        abrogate rights to quantities of water which have been 
        established by interstate water compacts, Supreme Court 
        decrees, or State water laws. This subsection shall not 
        apply to any pollution which is subject to the Colorado 
        River Basin Salinity Control Act. The requirement that 
        the Administrator convene a management conference shall 
        not be subject to the provisions of section 505 of this 
        Act.
          (2) State management program requirement.--To the 
        extent that the States reach agreement through such 
        conference, the management programs of the States which 
        are parties to such agreements and which contribute 
        significant pollution to the navigable waters or 
        portions thereof not meeting applicable water quality 
        standards or goals and requirements of this Act will be 
        revised to reflect such agreement. Such management 
        programs shall be consistent with Federal and State 
        law.
  (h) Grant Program.--
          (1) Grants for implementation of management 
        programs.--Upon application of a State for which a 
        report submitted under subsection (a) and a management 
        program submitted under subsection (b) is approved 
        under this section, the Administrator shall make 
        grants, subject to such terms and conditions as the 
        Administrator considers appropriate, under this 
        subsection to such State for the purpose of assisting 
        the State in implementing such management program. 
        Funds reserved pursuant to section 205(j)(5) of this 
        Act may be used to develop and implement such 
        management program.
          (2) Applications.--An application for a grant under 
        this subsection in any fiscal year shall be in such 
        form and shall contain such other information as the 
        Administrator may require, including an identification 
        and description of the best management practices and 
        measures which the State proposes to assist, encourage, 
        or require in such year with the Federal assistance to 
        be provided under the grant.
          (3) Federal share.--The Federal share of the cost of 
        each management program implemented with Federal 
        assistance under this subsection in any fiscal year 
        shall not exceed 60 percent of the cost incurred by the 
        State in implementing such management program and shall 
        be made on condition that the non-Federal share is 
        provided from non-Federal sources.
          (4) Limitation on grant amounts.--Notwithstanding any 
        other provision of this subsection, not more than 15 
        percent of the amount appropriated to carry out this 
        subsection may be used to make grants to any one State, 
        including any grants to any local public agency or 
        organization with authority to control pollution from 
        nonpoint sources in any area of such State.
          (5) Priority for effective mechanisms.--For each 
        fiscal year beginning after September 30, 1987, the 
        Administrator may give priority in making grants under 
        this subsection, and shall give consideration in 
        determining the Federal share of any such grant, to 
        States which have implemented or are proposing to 
        implement management programs which will--
                  (A) control particularly difficult or serious 
                nonpoint source pollution problems, including, 
                but not limited to, problems resulting from 
                mining activities;
                  (B) implement innovative methods or practices 
                for controlling nonpoint sources of pollution, 
                including regulatory programs where the 
                Administrator deems appropriate;
                  (C) control interstate nonpoint source 
                pollution problems; or
                  (D) carry out ground water quality protection 
                activities which the Administrator determines 
                are part of a comprehensive nonpoint source 
                pollution control program, including research, 
                planning, ground water assessments, 
                demonstration programs, enforcement, technical 
                assistance, education, and training to protect 
                ground water quality from nonpoint sources of 
                pollution.
          (6) Availability for obligation.--The funds granted 
        to each State pursuant to this subsection in a fiscal 
        year shall remain available for obligation by such 
        State for the fiscal year for which appropriated. The 
        amount of any such funds not obligated by the end of 
        such fiscal year shall be available to the 
        Administrator for granting to other States under this 
        subsection in the next fiscal year.
          (7) Limitation on use of funds.--States may use funds 
        from grants made pursuant to this section for financial 
        assistance to persons only to the extent that such 
        assistance is related to the costs of demonstration 
        projects.
          (8) Satisfactory progress.--No grant may be made 
        under this subsection in any fiscal year to a State 
        which in the preceding fiscal year received a grant 
        under this subsection unless the Administrator 
        determines that such State made satisfactory progress 
        in such preceding fiscal year in meeting the schedule 
        specified by such State under subsection (b)(2).
          (9) Maintenance of effort.--No grant may be made to a 
        State under this subsection in any fiscal year unless 
        such State enters into such agreements with the 
        Administrator as the Administrator may require to 
        ensure that such State will maintain its aggregate 
        expenditures from all other sources for programs for 
        controlling pollution added to the navigable waters in 
        such State from nonpoint sources and improving the 
        quality of such waters at or above the average level of 
        such expenditures in its two fiscal years preceding the 
        date of enactment of this subsection.
          (10) Request for information.--The Administrator may 
        request such information, data, and reports as he 
        considers necessary to make the determination of 
        continuing eligibility for grants under this section.
          (11) Reporting and other requirements.--Each State 
        shall report to the Administrator on an annual basis 
        concerning (A) its progress in meeting the schedule of 
        milestones submitted pursuant to subsection (b)(2)(C) 
        of this section, and (B) to the extent that appropriate 
        information is available, reductions in nonpoint source 
        pollutant loading and improvements in water quality for 
        those navigable waters or watersheds within the State 
        which were identified pursuant to subsection (a)(1)(A) 
        of this section resulting from implementation of the 
        management program.
          (12) Limitation on administrative costs.--For 
        purposes of this subsection, administrative costs in 
        the form of salaries, overhead, or indirect costs for 
        services provided and charged against activities and 
        programs carried out with a grant under this subsection 
        shall not exceed in any fiscal year 10 percent of the 
        amount of the grant in such year, except that costs of 
        implementing enforcement and regulatory activities, 
        education, training, technical assistance, 
        demonstration projects, and technology transfer 
        programs shall not be subject to this limitation.
  (i) Grants for Protecting Groundwater Quality.--
          (1) Eligible applicants and activities.--Upon 
        application of a State for which a report submitted 
        under subsection (a) and a plan submitted under 
        subsection (b) is approved under this section, the 
        Administrator shall make grants under this subsection 
        to such State for the purpose of assisting such State 
        in carrying out groundwater quality protection 
        activities which the Administrator determines will 
        advance the State toward implementation of a 
        comprehensive nonpoint source pollution control 
        program. Such activities shall include, but not be 
        limited to, research, planning, groundwater 
        assessments, demonstration programs, enforcement, 
        technical assistance, education and training to protect 
        the quality of groundwater and to prevent contamination 
        of groundwater from nonpoint sources of pollution.
          (2) Applications.--An application for a grant under 
        this subsection shall be in such form and shall contain 
        such information as the Administrator may require.
          (3) Federal share; maximum amount.--The Federal share 
        of the cost of assisting a State in carrying out 
        groundwater protection activities in any fiscal year 
        under this subsection shall be 50 percent of the costs 
        incurred by the State in carrying out such activities, 
        except that the maximum amount of Federal assistance 
        which any State may receive under this subsection in 
        any fiscal year shall not exceed $150,000.
          (4) Report.--The Administrator shall include in each 
        report transmitted under subsection (m) a report on the 
        activities and programs implemented under this 
        subsection during the preceding fiscal year.
  (j) Authorization of Appropriations.--There is authorized to 
be appropriated to carry out [subsections (h) and (i) not to 
exceed $70,000,000 for fiscal year 1988, $100,000,000 per 
fiscal year for each of fiscal years 1989 and 1990, and 
$130,000,000 for fiscal year 1991] subsections (h) and (i) 
$200,000,000 for each of fiscal years 2020 through 2024; except 
that for each of such fiscal years not to exceed $7,500,000 may 
be made available to carry out subsection (i). Sums 
appropriated pursuant to this subsection shall remain available 
until expended.
  (k) Consistency of Other Programs and Projects With 
Management Programs.--The Administrator shall transmit to the 
Office of Management and Budget and the appropriate Federal 
departments and agencies a list of those assistance programs 
and development projects identified by each State under 
subsection (b)(2)(F) for which individual assistance 
applications and projects will be reviewed pursuant to the 
procedures set forth in Executive Order 12372 as in effect on 
September 17, 1983. Beginning not later than sixty days after 
receiving notification by the Administrator, each Federal 
department and agency shall modify existing regulations to 
allow States to review individual development projects and 
assistance applications under the identified Federal assistance 
programs and shall accommodate, according to the requirements 
and definitions of Executive Order 12372, as in effect on 
September 17, 1983, the concerns of the State regarding the 
consistency of such applications or projects with the State 
nonpoint source pollution management program.
  (l) Collection of Information.--The Administrator shall 
collect and make available, through publications and other 
appropriate means, information pertaining to management 
practices and implementation methods, including, but not 
limited to, (1) information concerning the costs and relative 
efficiencies of best management practices for reducing nonpoint 
source pollution; and (2) available data concerning the 
relationship between water quality and implementation of 
various management practices to control nonpoint sources of 
pollution.
  (m) Reports of Administrator.--
          (1) Annual reports.--Not later than January 1, 1988, 
        and each January 1 thereafter, the Administrator shall 
        transmit to the Committee on Public Works and 
        Transportation of the House of Representatives and the 
        Committee on Environment and Public Works of the 
        Senate, a report for the preceding fiscal year on the 
        activities and programs implemented under this section 
        and the progress made in reducing pollution in the 
        navigable waters resulting from nonpoint sources and 
        improving the quality of such waters.
          (2) Final report.--Not later than January 1, 1990, 
        the Administrator shall transmit to Congress a final 
        report on the activities carried out under this 
        section. Such report, at a minimum, shall--
                  (A) describe the management programs being 
                implemented by the States by types and amount 
                of affected navigable waters, categories and 
                subcategories of nonpoint sources, and types of 
                best management practices being implemented;
                  (B) describe the experiences of the States in 
                adhering to schedules and implementing best 
                management practices;
                  (C) describe the amount and purpose of grants 
                awarded pursuant to subsections (h) and (i) of 
                this section;
                  (D) identify, to the extent that information 
                is available, the progress made in reducing 
                pollutant loads and improving water quality in 
                the navigable waters;
                  (E) indicate what further actions need to be 
                taken to attain and maintain in those navigable 
                waters (i) applicable water quality standards, 
                and (ii) the goals and requirements of this 
                Act;
                  (F) include recommendations of the 
                Administrator concerning future programs 
                (including enforcement programs) for 
                controlling pollution from nonpoint sources; 
                and
                  (G) identify the activities and programs of 
                departments, agencies, and instrumentalities of 
                the United States which are inconsistent with 
                the management programs submitted by the States 
                and recommend modifications so that such 
                activities and programs are consistent with and 
                assist the States in implementation of such 
                management programs.
  (n) Set Aside for Administrative Personnel.--Not less than 5 
percent of the funds appropriated pursuant to subsection (j) 
for any fiscal year shall be available to the Administrator to 
maintain personnel levels at the Environmental Protection 
Agency at levels which are adequate to carry out this section 
in such year.

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