Water Access and Affordability Act

Purpose and intent

• HR 8254, the Water Access and Affordability Act, would establish a Federal low-income water assistance program to help households maintain access to affordable drinking water and sanitation services.
• The bill treats water as a basic necessity comparable to other forms of Federal assistance and aims to reduce disconnections, debt, and unaffordable bills for low-income households.

Key provisions and changes

• Establishment of the Federal Low-Income Water Assistance Program (section 3)

  • Definitions: clarifies terms such as Administrator (EPA), area median income, community water system, eligible entity (water system, State, or Indian Tribe), eligible water system, household, low-income household, poverty level, and related concepts (water crisis, water service, etc.).
  • Program creation and administration:
  • Within 12 months of enactment, the Administrator (EPA) must establish and implement a Federal low-income water assistance program, including funding, technical assistance, and data reporting.
  • Creation of regional Community Advisory Committees for EPA regions to advise on program implementation, with representation from low-income communities and stakeholders.
  • Water service access programs:
  • The Administrator shall develop and implement water service access programs in each state.
  • Delegation framework: eligible entities (water systems, States, or Tribes) may receive delegation to implement programs within defined geographic areas; delegations can be withdrawn if noncompliance occurs.
  • Applications: eligible entities must show they can provide access to all low-income households, handle data reporting, and coordinate outreach and enrollment.
  • Grants: the Administrator awards grants to implement delegated programs; funds may supplement but not replace existing State/utility programs.
  • Compliance and revocation: noncompliant programs can be remediated; failure to remedy can revert delegation to EPA or reassign to the State.
  • Minimum program requirements (within 6 months of enactment):
  • Establish universal access provisions, data-sharing across existing assistance programs to auto-enroll eligible households, allow utility to apply funds to debt reduction, and permit self-attestation and electronic signatures.
  • Prohibit unnecessary eligibility constraints such as asset tests, citizenship requirements, or burdensome enrollment processes.
  • Provide targeted assistance with higher support for higher water costs and lower incomes; forms of assistance include direct financial support, debt relief, crisis assistance, and water efficiency upgrades.
  • Prohibit disconnections for households receiving assistance and waive related fees where applicable.
  • Ensure enrollment burdens are minimized and allow alternative identifications; coordinate with other assistance programs.
  • Public process and transparency:
  • Annual consultations and public hearings on programs; public availability of minimum requirements; annual reporting and website publication of program data.
  • Technical assistance (EPA-funded):
  • Funding to help enroll households and assist small/mid-size water systems.
  • Minimum TA requirements include outreach, enrollment support, and capacity-building for systems.
  • At least 20% of TA funds dedicated to data system improvements and enrollment tech; another 20% to under-resourced communities via environmental justice organizations.
  • Data collection and reporting:
  • Eligible entities must annually submit data on program impacts (disconnections avoided, debt reduction, enrollment, assistance levels, reconnections, etc.), as well as water system revenue, billing practices, and other customer assistance programs.
  • EPA to publish an annual centralized summary and make program data publicly accessible.
  • Use of national surveys:
  • Adds questions to the American Community Survey to gauge household difficulty paying for water services; Agency to use this data in reports.

• Financing and funding (section 3(g) and section 4)

  • Authorization of appropriations: $20 billion annually for fiscal years 2027 through 2037.
  • Allocation formula: Funds distributed among implementing entities based on population served, TA needs, administrative costs, local water costs, and exceptional community needs; ensures parity between drinking water and sewer services; reserves up to 10% for historically underserved territories/communities.
  • State Revolving Funds (SRF) and Federal Water Pollution Control Revolving Funds:
  • Amends intended use plan processes to include public comment requirements and transparency, with regulations to improve equity in fund distribution and to provide expedited or flexible assistance to affordable projects.
  • Requires States to review affordability criteria periodically and enables expedited assistance for disadvantaged communities.
  • Public reporting and accountability: Annual state-level and nationwide reporting on fund use, demographics served, and challenges.

• Administrative and program integrity provisions

  • Assistance under the program is not counted as gross income for tax purposes and is not a Federal public benefit under certain immigration provisions.
  • Private utilities may not use program funds to increase returns to owners; funds must assist households.
  • Provisions to prevent service disconnections, waivers of late fees, and protection of households from liens or loss of housing due to program participation.

Who would be affected

• Low-income households: eligible households could receive direct financial assistance and other support to maintain affordable water service, with enrollment streamlined and data-sharing to minimize duplication.
• Community water systems and treatment works (water/wastewater utilities): potential recipients of grants and technical assistance; required to participate in enrollment, reporting, and data-sharing systems; must avoid transferring costs to program beneficiaries.
• States, Indian Tribes, and Territories: eligible entities that may receive delegated authority to implement programs; required to maintain compliance, submit data, and engage advisory groups.
• Native American Tribes: explicit focus on ensuring water access across tribal jurisdictions.

Procedural and timeline aspects

• Enactment timeline:
  • Within 12 months: EPA Administrator must establish the Federal low-income water assistance program.
  • Within 6 months (minimum requirements): EPA to set minimum program requirements for water service access programs.
• Funding cycle:
  • $20 billion authorized annually for 2027–2037, with annual allocations based on a stated formula.
• State and SRF processes:
  • Requires State SRF and Clean Water/Drinking Water revolving funds to include enhanced public engagement, affordability reviews every 3 years, and regulatory updates within specified timeframes.
• Reporting:
  • First long-term program impact report due 5 years after initial grant disbursement, then every 5 years; ongoing annual reporting to EPA and public posting.

Overall, the bill creates a comprehensive federal framework to provide targeted water affordability and access, with emphasis on enrollment simplification, data transparency, and coordinated support across utilities, States, Tribes, and community organizations.