The Nation's Water Resources and Our Communities
Long Summary:
The plenary session focused on the nation’s water resources and infrastructure featured a panel, moderated by Mr. Jim Reed, NARC vice president and executive director of Central Texas Council of Governments, of three expert perspectives on the current and future state of water policy, including the introduction of a water trust fund, budgetary constraints, legislative efforts and the pros/cons of water privatization.
Janine Benner, legislative director from Congressman Earl Blumenauer’s office (D-OR), kicked off the discussion by highlighting President Bush’s fiscal year 2009 budget shortfalls, which cut the main revenue source of water infrastructure and resource funding – the state revolving fund – by almost half. Benner stressed the ever increasing importance to fund water and the ever-growing water needs. She also emphasized that Congressman Blumenauer, House Ways and Means Committee member, will be championing the formation of a Water Trust Fund in the 2008 legislative cycle. While formal legislation for a water trust fund is in the works and will be introduced in the 110th Congress, she made clear that the Congressman realizes this bill will most likely be for discussion with a real chance for passage in 2009. As it stands currently, the water trust fund is being scored by the Government Accountability Office to examine the viability of the revenue sources.
Julia Anastasio, senior manager of government affairs at the American Public Works Association (AWPA) discussed the variety of legislative initiatives from 2007 and what to expect in 2008, including a second Water Resources Development Act (WRDA), which was signed into law in 2007, to ensure this reauthorization gets back into an every two year cycle – the 2008 bill intends to steer clear of any sticky policy points. Anastasio also detailed the two major coalition efforts to support water policy – the Water Infrastructure Network (WIN) and the Water Resources Coalition.
Scott Wallsten, vice president for research and senior fellow at iGrowthGlobal, detailed a study and report he released on the pros and cons of water privatization, “Public or Private Drinking Water? The Effects of Ownership and Benchmark Competition on U.S. Water System Regulatory Compliance and Household Water Expenditures,” an issue impacting regions across the U.S. Whether water systems should be owned and operated by governments or private firms is intensely controversial, and little empirical research sheds light on the issue. Wallsten’s findings highlights a panel dataset that includes every community water system in the U.S. from 1997-2003 to test the effects of ownership and benchmark competition on regulatory compliance and household water expenditures. The final report indicates that when controlling for water source, location fixed effects, county income, urbanization, and year, there is little difference between public and private systems.
This session was particularly well timed as Congress has chosen water as a key priority in 2008 and many regions are struggling with water shortages, aging infrastructure and decreasing funding. NARC is working with the two water coalitions, Congressman Blumenauer and its members to ensure that regional councils have a voice in the legislative process.
Click Here for Scott Wallsten's Presentation
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