Drinking water and wastewater systems seeking assistance from the State Revolving Fund programs would have to clear a new hurdle under legislation recently introduced in the House of Representatives: certifying that any “steel, iron, and manufactured goods” used in the project are produced in the United States.
Introduced by Rep. Betty Sutton (D-Oh.), the “Keep American Jobs from Going Down the Drain Act” (H.R. 1684) is intended to promote manufacturing jobs in the United States. Similar “Buy American” restrictions were included in the 2009 stimulus legislation that infused $6 billion into the SRF programs, but a recent report from the Government Accountability Office (GAO) found that the provision caused a number of otherwise qualified water projects to turn down SRF assistance.
Rep. Sutton’s legislation would allow EPA to grant a waiver from the “Buy American” requirement to water utilities in certain circumstances, such as if using American products would increase the project cost by at least 25 percent, or if sufficient American-made goods are not readily available. EPA could also grant a waiver when it determines that enforcing the “Buy American” requirement on a particular water project “would be inconsistent with the public interest.”
No action on the bill appears imminent in the House of Representatives, where it probably does not have enough support to advance.