Bill Details
S.570 - 119th Congress
Status
Latest action
2025-02-13 - Read twice and referred to the Committee on Environment and Public Works.
Introduced Date
2025-02-13
Policy Area
Water Resources Development
Committees
View committees (1)
Sponsors
Cosponsors
View cosponsors (2)
8
0
0
AI Summary This summary was generated by AI from the bill text. AI can get information wrong.
This bill would add stronger financial protections to water infrastructure projects that get help under a federal loan program. It would require those projects to have payment and performance security, which are safeguards meant to make sure contractors pay subcontractors and finish the work as promised. The bill also sets rules for when state or local requirements can count toward this protection, and when federal bond rules must be used instead. The goal is to reduce the risk of unpaid workers, failed projects, and losses to taxpayers.
- It applies to construction projects funded with assistance under the water infrastructure loan program.
- If state or local law already requires payment and performance security, that can satisfy the rule only if the coverage is at least 50% of the total construction contract amount.
- If there is no matching state or local requirement, or if the coverage is too low, federal payment and performance bond rules would be required instead.
- The federal agency in charge would have to make sure these protections are in place before approving the project.
Official Summaries
No summaries available
Current Full Text
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 570 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 570
To amend the Water Infrastructure Finance and Innovation Act of 2014 to
establish payment and performance security requirements for projects,
and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 13, 2025
Mr. Kelly (for himself and Mr. Cramer) introduced the following bill;
which was read twice and referred to the Committee on Environment and
Public Works
_______________________________________________________________________
A BILL
To amend the Water Infrastructure Finance and Innovation Act of 2014 to
establish payment and performance security requirements for projects,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Water Infrastructure Subcontractor
and Taxpayer Protection Act of 2025''.
SEC. 2. FEDERAL REQUIREMENTS FOR WIFIA ELIGIBILITY AND PROJECT
SELECTION.
Section 5028(a)(1)(C) of the Water Infrastructure Finance and
Innovation Act of 2014 (33 U.S.C. 3907(a)(1)(C)) is amended--
(1) by striking ``The Secretary'' and inserting the
following:
``(i) Financing security features.--The
Secretary''; and
(2) by adding at the end the following:
``(ii) Construction payment and performance
security.--
``(I) In general.--The Secretary or
the Administrator, as applicable, shall
ensure that the construction of a
project carried out with assistance
under this subtitle has payment and
performance security in accordance with
this clause.
``(II) Use of state or local
requirements.--The Secretary or the
Administrator, as applicable, shall
consider subclause (I) to be satisfied
with respect to the construction of a
project if--
``(aa) applicable State or
local law requires payment and
performance security with
respect to the construction;
and
``(bb) the amount of that
payment and performance
security is not less than 50
percent of the total
construction contract amount.
``(III) Use of bonds.--With respect
to the construction of a project to
which no State or local payment and
performance security requirements apply
or for which the amount of payment and
performance security under applicable
State or local payment and performance
requirements does not meet the
requirement described in subclause
(II)(bb), the Secretary or the
Administrator, as applicable, shall
require, for purposes of satisfying
subclause (I), that the requirements
described in paragraphs (1) and (2) of
section 3131(b) of title 40, United
States Code, be met.''.
<all>