Bill Summary
The Emergency Assistance for Rural Water Systems Act is a bill that aims to provide financial aid to rural water and waste disposal systems that have been affected by the COVID-19 pandemic. This bill allows the Secretary of Agriculture to provide grants, loans, and loan refinancing to rural water or waste disposal facilities in need of assistance. The purpose of this assistance is to ensure the maintenance of public health, address financial hardships caused by the pandemic, and promote the financial stability of these facilities. The funds appropriated for this bill will be used for eligible purposes and for direct operational expenses of these facilities. A portion of the funds will also be reserved for administrative expenses. This legislation is set to be in effect until December 31, 2021.
Possible Impacts
1. This legislation could provide financial assistance to rural communities by offering grants, loans, or loan forgiveness to water and waste disposal facilities. This could help alleviate the financial burden on these facilities and ensure that they have the necessary resources to maintain public health, safety, and order during the COVID-19 pandemic.
2. The legislation could also reduce or eliminate fees for loan guarantees, which could benefit rural water and waste disposal facilities by freeing up funds that can be used for other operational expenses. This could help promote the financial stability of the facilities and allow them to continue providing essential services to their communities.
3. The appropriation of $1 billion for this legislation could have a significant impact on rural communities, providing much-needed funds to support their water and waste disposal systems. This could help improve the overall quality of life in these communities and ensure that they have access to clean and safe water during the pandemic.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 7985 Introduced in House (IH)]
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116th CONGRESS
2d Session
H. R. 7985
To provide for assistance to rural water and waste disposal systems
affected by the COVID-19 pandemic, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
August 7, 2020
Mr. Rouzer (for himself and Mr. Vela) introduced the following bill;
which was referred to the Committee on Agriculture
_______________________________________________________________________
A BILL
To provide for assistance to rural water and waste disposal systems
affected by the COVID-19 pandemic, 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 ``Emergency Assistance for Rural Water
Systems Act''.
SEC. 2. EMERGENCY ASSISTANCE FOR RURAL WATER SYSTEMS.
(a) In General.--The Secretary of Agriculture (in this section
referred to as the ``Secretary'') may--
(1) provide a grant, a zero interest loan, or a 1 percent
loan to, forgive principal or interest or modify any term or
condition of an outstanding loan made to, or refinance part or
all of any other loan (if the purpose of the loan is an
eligible purpose under section 306(a)(1) or 306C of the
Consolidated Farm and Rural Development Act) made to, a rural
water or waste disposal facility with respect to which
assistance may be provided under a water, wastewater, or waste
disposal program under section 306(a), 306A, 306C, or 306D of
such Act; or
(2) reduce or eliminate any fee that is or would otherwise
be required to be paid under such section 306(a)(1) with
respect to a loan guarantee provided to any rural water, waste
water, or waste disposal facility, on the condition that the
borrower receives the benefit resulting from the reduction or
elimination of the fee.
(b) Level of Assistance.--The Secretary may provide assistance to
an entity under this section as the Secretary determines is necessary
to--
(1) ensure that the entity has the necessary resources to
maintain public health, safety, or order;
(2) address financial hardships of the entity due to the
COVID-19 public health emergency; and
(3) promote the financial stability of the entity.
(c) Use of Funds.--An entity to which assistance is provided under
this section may use the assistance--
(1) for any purpose for which the entity is eligible for
assistance under the relevant provision of law referred to in
subsection (a); or
(2) for any direct operational expenses of a water,
wastewater, or waste disposal facility incurred by the entity,
as determined by the Secretary.
(d) Appropriation.--
(1) In general.--Out of any money in the Treasury of the
United States not otherwise appropriated, there are
appropriated $1,000,000,000 to carry out this section.
(2) Reservation for administrative expenses.--The Secretary
shall reserve 3 percent of the amount appropriated by paragraph
(1) for administrative expenses incurred in carrying out this
section.
(3) Availability.--The amounts appropriated in paragraph
(1) shall remain available through December 31, 2021.
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