33 U.S.C. § 1281 — Congressional declaration of purpose

Page 411 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281 1 So in original. Probably should be ‘‘section’’. (A) conducting Federal agency activities within or outside the Puget Sound that af- fect any land or water use or natural re- sources of the Puget Sound region, including activities performed by a contractor for the benefit of a Federal agency; (B) interpreting and enforcing regulations that impact the restoration and protection of the Puget Sound; (C) issuing Federal licenses or permits that impact the restoration and protection of the Puget Sound; and (D) granting Federal assistance to State, local, and Tribal governments for activities related to the restoration and protection of the Puget Sound. (June 30, 1948, ch. 758, title I, § 126, as added Pub. L. 117–263, div. H, title LXXXV, § 8501(b), Dec. 23, 2022, 136 Stat. 3847.) Editorial Notes REFERENCES IN TEXT The Endangered Species Act of 1973, referred to in subsec. (c)(3)(C)(ii), is Pub. L. 93–205, Dec. 28, 1973, 87 Stat. 884, which is classified principally to chapter 35 (§ 1531 et seq.) of Title 16, Conservation. For complete classification of this Act to the Code, see Short Title note set out under section 1531 of Title 16 and Tables. SUBCHAPTER II—GRANTS FOR CONSTRUCTION OF TREATMENT WORKS § 1281. Congressional declaration of purpose (a) Development and implementation of waste treatment management plans and practices It is the purpose of this subchapter to require and to assist the development and implementa- tion of waste treatment management plans and practices which will achieve the goals of this chapter. (b) Application of technology: confined disposal of pollutants; consideration of advanced techniques Waste treatment management plans and prac- tices shall provide for the application of the best practicable waste treatment technology before any discharge into receiving waters, including reclaiming and recycling of water, and confined disposal of pollutants so they will not migrate to cause water or other environmental pollution and shall provide for consideration of advanced waste treatment techniques. (c) Waste treatment management area and scope To the extent practicable, waste treatment management shall be on an areawide basis and provide control or treatment of all point and nonpoint sources of pollution, including in place or accumulated pollution sources. (d) Waste treatment management construction of revenue producing facilities The Administrator shall encourage waste treatment management which results in the construction of revenue producing facilities pro- viding for— (1) the recycling of potential sewage pollut- ants through the production of agriculture, silviculture, or aquaculture products, or any combination thereof; (2) the confined and contained disposal of pollutants not recycled; (3) the reclamation of wastewater; and (4) the ultimate disposal of sludge in a man- ner that will not result in environmental haz- ards. (e) Waste treatment management integration of facilities The Administrator shall encourage waste treatment management which results in inte- grating facilities for sewage treatment and recy- cling with facilities to treat, dispose of, or uti- lize other industrial and municipal wastes, in- cluding but not limited to solid waste and waste heat and thermal discharges. Such integrated facilities shall be designed and operated to produce revenues in excess of capital and oper- ation and maintenance costs and such revenues shall be used by the designated regional man- agement agency to aid in financing other envi- ronmental improvement programs. (f) Waste treatment management ‘‘open space’’ and recreational considerations The Administrator shall encourage waste treatment management which combines ‘‘open space’’ and recreational considerations with such management. (g) Grants to construct publicly owned treatment works (1) The Administrator is authorized to make grants to any State, municipality, or inter- municipal or interstate agency for the construc- tion of publicly owned treatment works. On and after October 1, 1984, grants under this sub- chapter shall be made only for projects for sec- ondary treatment or more stringent treatment, or any cost effective alternative thereto, new interceptors and appurtenances, and infiltra- tion-in-flow correction. Notwithstanding the preceding sentences, the Administrator may make grants on and after October 1, 1984, for (A) any project within the definition set forth in section 1292(2) of this title, other than for a project referred to in the preceding sentence, and (B) any purpose for which a grant may be made under sections 1 1329(h) and (i) of this title (including any innovative and alternative ap- proaches for the control of nonpoint sources of pollution), except that not more than 20 per cen- tum (as determined by the Governor of the State) of the amount allotted to a State under section 1285 of this title for any fiscal year shall be obligated in such State under authority of this sentence. (2) The Administrator shall not make grants from funds authorized for any fiscal year begin- ning after June 30, 1974, to any State, munici- pality, or intermunicipal or interstate agency for the erection, building, acquisition, alter- ation, remodeling, improvement, or extension of treatment works unless the grant applicant has satisfactorily demonstrated to the Adminis- trator that— (A) alternative waste management tech- niques have been studied and evaluated and the works proposed for grant assistance will provide for the application of the best prac- Page 412 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281 ticable waste treatment technology over the life of the works consistent with the purposes of this subchapter; and (B) as appropriate, the works proposed for grant assistance will take into account and allow to the extent practicable the application of technology at a later date which will pro- vide for the reclaiming or recycling of water or otherwise eliminate the discharge of pollut- ants. (3) The Administrator shall not approve any grant after July 1, 1973, for treatment works under this section unless the applicant shows to the satisfaction of the Administrator that each sewer collection system discharging into such treatment works is not subject to excessive in- filtration. (4) The Administrator is authorized to make grants to applicants for treatment works grants under this section for such sewer system evalua- tion studies as may be necessary to carry out the requirements of paragraph (3) of this sub- section. Such grants shall be made in accord- ance with rules and regulations promulgated by the Administrator. Initial rules and regulations shall be promulgated under this paragraph not later than 120 days after October 18, 1972. (5) The Administrator shall not make grants from funds authorized for any fiscal year begin- ning after September 30, 1978, to any State, mu- nicipality, or intermunicipal or interstate agen- cy for the erection, building, acquisition, alter- ation, remodeling, improvement, or extension of treatment works unless the grant applicant has satisfactorily demonstrated to the Adminis- trator that innovative and alternative waste- water treatment processes and techniques which provide for the reclaiming and reuse of water, otherwise eliminate the discharge of pollutants, and utilize recycling techniques, land treat- ment, new or improved methods of waste treat- ment management for municipal and industrial waste (discharged into municipal systems) and the confined disposal of pollutants, so that pol- lutants will not migrate to cause water or other environmental pollution, have been fully studied and evaluated by the applicant taking into ac- count subsection (d) of this section and taking into account and allowing to the extent prac- ticable the more efficient use of energy and re- sources. (6) The Administrator shall not make grants from funds authorized for any fiscal year begin- ning after September 30, 1978, to any State, mu- nicipality, or intermunicipal or interstate agen- cy for the erection, building, acquisition, alter- ation, remodeling, improvement, or extension of treatment works unless the grant applicant has satisfactorily demonstrated to the Adminis- trator that the applicant has analyzed the po- tential recreation and open space opportunities in the planning of the proposed treatment works. (h) Grants to construct privately owned treat- ment works A grant may be made under this section to construct a privately owned treatment works serving one or more principal residences or small commercial establishments constructed prior to, and inhabited on, December 27, 1977, where the Administrator finds that— (1) a public body otherwise eligible for a grant under subsection (g) has applied on be- half of a number of such units and certified that public ownership of such works is not fea- sible; (2) such public body has entered into an agreement with the Administrator which guarantees that such treatment works will be properly operated and maintained and will comply with all other requirements of section 1284 of this title and includes a system of charges to assure that each recipient of waste treatment services under such a grant will pay its proportionate share of the cost of oper- ation and maintenance (including replace- ment); and (3) the total cost and environmental impact of providing waste treatment services to such residences or commercial establishments will be less than the cost of providing a system of collection and central treatment of such wastes. (i) Waste treatment management methods, proc- esses, and techniques to reduce energy re- quirements The Administrator shall encourage waste treatment management methods, processes, and techniques which will reduce total energy re- quirements. (j) Grants for treatment works utilizing proc- esses and techniques of guidelines under sec- tion 1314(d)(3) of this title The Administrator is authorized to make a grant for any treatment works utilizing proc- esses and techniques meeting the guidelines pro- mulgated under section 1314(d)(3) of this title, if the Administrator determines it is in the public interest and if in the cost effectiveness study made of the construction grant application for the purpose of evaluating alternative treatment works, the life cycle cost of the treatment works for which the grant is to be made does not exceed the life cycle cost of the most cost effec- tive alternative by more than 15 per centum. (k) Limitation on use of grants for publicly owned treatment works No grant made after November 15, 1981, for a publicly owned treatment works, other than for facility planning and the preparation of con- struction plans and specifications, shall be used to treat, store, or convey the flow of any indus- trial user into such treatment works in excess of a flow per day equivalent to fifty thousand gal- lons per day of sanitary waste. This subsection shall not apply to any project proposed by a grantee which is carrying out an approved project to prepare construction plans and speci- fications for a facility to treat wastewater, which received its grant approval before May 15, 1980. This subsection shall not be in effect after November 15, 1981. (l) Grants for facility plans, or plans, specifica- tions, and estimates for proposed project for construction of treatment works; limitations, allotments, advances, etc. (1) After December 29, 1981, Federal grants shall not be made for the purpose of providing assistance solely for facility plans, or plans, Page 413 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281 specifications, and estimates for any proposed project for the construction of treatment works. In the event that the proposed project receives a grant under this section for construction, the Administrator shall make an allowance in such grant for non-Federal funds expended during the facility planning and advanced engineering and design phase at the prevailing Federal share under section 1282(a) of this title, based on the percentage of total project costs which the Ad- ministrator determines is the general experience for such projects. (2)(A) Each State shall use a portion of the funds allotted to such State each fiscal year, but not to exceed 10 per centum of such funds, to ad- vance to potential grant applicants under this subchapter the costs of facility planning or the preparation of plans, specifications, and esti- mates. (B) Such an advance shall be limited to the al- lowance for such costs which the Administrator establishes under paragraph (1) of this sub- section, and shall be provided only to a poten- tial grant applicant which is a small community and which in the judgment of the State would otherwise be unable to prepare a request for a grant for construction costs under this section. (C) In the event a grant for construction costs is made under this section for a project for which an advance has been made under this paragraph, the Administrator shall reduce the amount of such grant by the allowance estab- lished under paragraph (1) of this subsection. In the event no such grant is made, the State is au- thorized to seek repayment of such advance on such terms and conditions as it may determine. (m) Grants for State of California projects (1) Notwithstanding any other provisions of this subchapter, the Administrator is authorized to make a grant from any funds otherwise allot- ted to the State of California under section 1285 of this title to the project (and in the amount) specified in Order WQG 81–1 of the California State Water Resources Control Board. (2) Notwithstanding any other provision of this chapter, the Administrator shall make a grant from any funds otherwise allotted to the State of California to the city of Eureka, Cali- fornia, in connection with project numbered C–06–2772, for the purchase of one hundred and thirty-nine acres of property as environmental mitigation for siting of the proposed treatment plant. (3) Notwithstanding any other provision of this chapter, the Administrator shall make a grant from any funds otherwise allotted to the State of California to the city of San Diego, California, in connection with that city’s aqua- culture sewage process (total resources recovery system) as an innovative and alternative waste treatment process. (n) Water quality problems; funds, scope, etc. (1) On and after October 1, 1984, upon the re- quest of the Governor of an affected State, the Administrator is authorized to use funds avail- able to such State under section 1285 of this title to address water quality problems due to the im- pacts of discharges from combined storm water and sanitary sewer overflows, which are not oth- erwise eligible under this subsection, where cor- rection of such discharges is a major priority for such State. (2) Beginning fiscal year 1983, the Adminis- trator shall have available $200,000,000 per fiscal year in addition to those funds authorized in section 1287 of this title to be utilized to address water quality problems of marine bays and estu- aries subject to lower levels of water quality due to the impacts of discharges from combined storm water and sanitary sewer overflows from adjacent urban complexes, not otherwise eligible under this subsection. Such sums may be used as deemed appropriate by the Administrator as provided in paragraphs (1) and (2) of this sub- section, upon the request of and demonstration of water quality benefits by the Governor of an affected State. (o) Capital financing plan The Administrator shall encourage and assist applicants for grant assistance under this sub- chapter to develop and file with the Adminis- trator a capital financing plan which, at a min- imum— (1) projects the future requirements for waste treatment services within the appli- cant’s jurisdiction for a period of no less than ten years; (2) projects the nature, extent, timing, and costs of future expansion and reconstruction of treatment works which will be necessary to satisfy the applicant’s projected future re- quirements for waste treatment services; and (3) sets forth with specificity the manner in which the applicant intends to finance such future expansion and reconstruction. (p) Time limit on resolving certain disputes In any case in which a dispute arises with re- spect to the awarding of a contract for construc- tion of treatment works by a grantee of funds under this subchapter and a party to such dis- pute files an appeal with the Administrator under this subchapter for resolution of such dis- pute, the Administrator shall make a final deci- sion on such appeal within 90 days of the filing of such appeal. (June 30, 1948, ch. 758, title II, § 201, as added Pub. L. 92–500, § 2, Oct. 18, 1972, 86 Stat. 833; amended Pub. L. 95–217, §§ 12–16, Dec. 27, 1977, 91 Stat. 1569, 1570; Pub. L. 96–483, §§ 2(d), 3, Oct. 21, 1980, 94 Stat. 2361; Pub. L. 97–117, §§ 2(a), 3(a), 4–6, 10(c), Dec. 29, 1981, 95 Stat. 1623–1626; Pub. L. 100–4, title II, § 201, title III, § 316(c), Feb. 4, 1987, 101 Stat. 15, 60.) Editorial Notes AMENDMENTS 1987—Subsec. (g)(1). Pub. L. 100–4, § 316(c), substituted ‘‘sentences, the Administrator’’ for ‘‘sentence, the Ad- ministrator’’ and inserted ‘‘(A)’’ after ‘‘October 1, 1984, for’’ and ‘‘and (B) any purpose for which a grant may be made under sections 1329(h) and (i) of this title (in- cluding any innovative and alternative approaches for the control of nonpoint sources of pollution),’’ before ‘‘except that’’. Subsec. (p). Pub. L. 100–4, § 201, added subsec. (p). 1981—Subsec. (g)(1). Pub. L. 97–117, § 2(a), inserted pro- visions restricting, on or after Oct. 1, 1984, the cat- egories of projects eligible for grants under this sub- chapter and providing an exception to the restriction for projects, other than specified projects, within the Page 414 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281 definition set forth in section 1292(2) of this title, but limiting such exception to not more than 20 per cen- tum, as determined by the Governor of the State, of the amount allotted to a State under section 1285 of this title for any fiscal year. Subsec. (k). Pub. L. 97–117, § 10(c), inserted provision that subsection not be in effect after Nov. 15, 1981. Subsec. (l). Pub. L. 97–117, § 3(a), added subsec. (l). Subsec. (m). Pub. L. 97–117, § 4, added subsec. (m). Subsec. (n). Pub. L. 97–117, § 5, added subsec. (n). Subsec. (o). Pub. L. 97–117, § 6, added subsec. (o). 1980—Subsec. (h). Pub. L. 96–483, § 2(d), struck out text following par. (3), relating to payment to the United States by commercial users of that portion of the cost of construction applicable to treatment of commercial wastes to the extent attributable to the Federal share of the cost of construction. Subsec. (k). Pub. L. 96–483, § 3, added subsec. (k). 1977—Subsec. (g)(5). Pub. L. 95–217, § 12, added par. (5). Subsec. (g)(6). Pub. L. 95–217, § 13, added par. (6). Subsec. (h). Pub. L. 95–217, § 14, added subsec. (h). Subsec. (i). Pub. L. 95–217, § 15, added subsec. (i). Subsec. (j). Pub. L. 95–217, § 16, added subsec. (j). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1980 AMENDMENT Pub. L. 96–483, § 2(g), Oct. 21, 1980, 94 Stat. 2361, pro- vided that: ‘‘The amendments made by this section [amending sections 1281, 1284, and 1293 of this title, en- acting provisions set out as notes under section 1284 of this title, and amending provisions set out as a note under section 1284 of this title] shall take effect on De- cember 27, 1977.’’ ENVIRONMENTAL PROTECTION AGENCY STATE AND TRIBAL ASSISTANCE GRANTS Pub. L. 105–174, title III, May 1, 1998, 112 Stat. 92, pro- vided that: ‘‘Notwithstanding any other provision of law, eligible recipients of the funds appropriated to the Environmental Protection Agency in the State and Tribal Assistance Grants account since fiscal year 1997 and hereafter for multi-media or single media grants, other than Performance Partnership Grants authorized pursuant to Public Law 104–134 and Public Law 105–65 [see Grants to Indian Tribes for Pollution Prevention, Control, and Abatement notes set out below], for pollu- tion prevention, control, and abatement and related ac- tivities have been and shall be those entities eligible for grants under the Agency’s organic statutes.’’ PRIVATIZATION OF INFRASTRUCTURE ASSETS Pub. L. 104–303, title V, § 586, Oct. 12, 1996, 110 Stat. 3791, provided that: ‘‘(a) IN GENERAL.—Notwithstanding the provisions of title II of the Federal Water Pollution Control Act (33 U.S.C. 1281 et seq.), Executive Order 12803 [5 U.S.C. 601 note], or any other law or authority, an entity that re- ceived Federal grant assistance for an infrastructure asset under the Federal Water Pollution Control Act [33 U.S.C. 1251 et seq.] shall not be required to repay any portion of the grant upon the lease or concession of the asset only if— ‘‘(1) ownership of the asset remains with the entity that received the grant; and ‘‘(2) the Administrator of the Environmental Pro- tection Agency determines that the lease or conces- sion furthers the purposes of such Act and approves the lease or concession. ‘‘(b) LIMITATION.—The Administrator shall not ap- prove a total of more than 5 leases and concessions under this section.’’ GRANTS TO STATES TO ADMINISTER COMPLETION AND CLOSEOUT OF CONSTRUCTION GRANTS PROGRAM Pub. L. 104–204, title III, Sept. 26, 1996, 110 Stat. 2912, provided in part: ‘‘That notwithstanding any other pro- vision of law, beginning in fiscal year 1997 the Adminis- trator may make grants to States, from funds available for obligation in the State under title II of the Federal Water Pollution Control Act [33 U.S.C. 1281 et seq.], as amended, for administering the completion and close- out of the State’s construction grants program, based on a budget annually negotiated with the State’’. WASTEWATER ASSISTANCE TO COLONIAS Pub. L. 104–182, title III, § 307, Aug. 6, 1996, 110 Stat. 1688, as amended by Pub. L. 117–263, div. H, title LXXXV, § 8503, Dec. 23, 2022, 136 Stat. 3856, provided that: ‘‘(a) DEFINITIONS.—As used in this section: ‘‘(1) BORDER STATE.—The term ‘border State’ means Arizona, California, New Mexico, and Texas. ‘‘(2) COVERED ENTITY.—The term ‘covered entity’ means each of the following: ‘‘(A) A border State. ‘‘(B) A local government with jurisdiction over an eligible community. ‘‘(3) ELIGIBLE COMMUNITY.—The term ‘eligible com- munity’ means a low-income community with eco- nomic hardship that— ‘‘(A) is commonly referred to as a colonia; ‘‘(B) is located along the United States-Mexico border (generally in an unincorporated area); and ‘‘(C) lacks basic sanitation facilities such as household plumbing or a proper sewage disposal system. ‘‘(4) TREATMENT WORKS.—The term ‘treatment works’ has the meaning provided in section 212(2) of the Federal Water Pollution Control Act (33 U.S.C. 1292(2)). ‘‘(b) GRANTS FOR WASTEWATER ASSISTANCE.—The Ad- ministrator of the Environmental Protection Agency and the heads of other appropriate Federal agencies are authorized to award grants to a covered entity to pro- vide assistance to eligible communities for the plan- ning, design, and construction or improvement of sew- ers, treatment works, and appropriate connections for wastewater treatment. ‘‘(c) USE OF FUNDS.—Each grant awarded pursuant to subsection (b) shall be used to provide assistance to one or more eligible communities with respect to which the residents are subject to a significant health risk (as de- termined by the Administrator or the head of the Fed- eral agency making the grant) attributable to the lack of access to an adequate and affordable treatment works for wastewater. ‘‘(d) COST SHARING.—The amount of a grant awarded pursuant to this section may not be less than 80 per- cent of the costs of carrying out the project that is the subject of the grant. ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are authorized to be appropriated to carry out this section $100,000,000 for each of the fiscal years 2023 through 2027.’’ GRANTS TO INDIAN TRIBES FOR POLLUTION PREVENTION, CONTROL AND ABATEMENT Pub. L. 105–65, title III, Oct. 27, 1997, 111 Stat. 1373, provided in part that: ‘‘$745,000,000 for grants to States, federally recognized tribes, and air pollution control agencies for multi-media or single media pollution pre- vention, control and abatement and related activities pursuant to the provisions set forth under this heading in Public Law 104–134 [see below], provided that eligible recipients of these funds and the funds made available for this purpose since fiscal year 1996 and hereafter in- clude States, federally recognized tribes, interstate agencies, tribal consortia, and air pollution control agencies, as provided in authorizing statutes, subject to such terms and conditions as the Administrator shall establish, and for making grants under section 103 of the Clean Air Act [42 U.S.C. 7403] for particulate matter monitoring and data collection activities’’. Pub. L. 105–65, title III, Oct. 27, 1997, 111 Stat. 1374, provided in part: ‘‘That, hereafter from funds appro- priated under this heading [‘‘ENVIRONMENTAL PROTEC- TION AGENCY’’ and ‘‘STATE AND TRIBAL ASSISTANCE Page 415 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281 GRANTS’’], the Administrator is authorized to make grants to federally recognized Indian governments for the development of multi-media environmental pro- grams: Provided further, That, hereafter, the funds available under this heading for grants to States, feder- ally recognized tribes, and air pollution control agen- cies for multi-media or single media pollution preven- tion, control and abatement and related activities may also be used for the direct implementation by the Fed- eral Government of a program required by law in the absence of an acceptable State or tribal program’’. Similar provisions were contained in the following prior appropriation acts: Pub. L. 104–204, title III, Sept. 26, 1996, 110 Stat. 2912. Pub. L. 104–134, title I, § 101(e) [title III], Apr. 26, 1996, 110 Stat. 1321–257, 1321–299, renumbered title I, Pub. L. 104–140, § 1(a), May 2, 1996, 110 Stat. 1327. Pub. L. 103–327, title III, Sept. 28, 1994, 108 Stat. 2320. Pub. L. 103–124, title III, Oct. 28, 1993, 107 Stat. 1293. Pub. L. 102–389, title III, Oct. 6, 1992, 106 Stat. 1597. Pub. L. 102–139, title III, Oct. 28, 1991, 105 Stat. 762. Pub. L. 101–507, title III, Nov. 5, 1990, 104 Stat. 1372. Pub. L. 104–134, title I, § 101(e) [title III], Apr. 26, 1996, 110 Stat. 1321–257, 1321–299; renumbered title I, Pub. L. 104–140, § 1(a), May 2, 1996, 110 Stat. 1327, provided in part: ‘‘That beginning in fiscal year 1996 and each fiscal year thereafter, and notwithstanding any other provi- sion of law, the Administrator is authorized to make grants annually from funds appropriated under this heading [‘‘ENVIRONMENTAL PROTECTION AGENCY’’ and ‘‘STATE AND TRIBAL ASSISTANCE GRANTS’’], subject to such terms and conditions as the Administrator shall establish, to any State or federally recognized Indian tribe for multimedia or single media pollution preven- tion, control and abatement and related environmental activities at the request of the Governor or other ap- propriate State official or the tribe’’. STATE MANAGEMENT OF CONSTRUCTION GRANT ACTIVITIES Pub. L. 104–134, title I, § 101(e) [title III], Apr. 26, 1996, 110 Stat. 1321–257, 1321–299; renumbered title I, Pub. L. 104–140, § 1(a), May 2, 1996, 110 Stat. 1327, provided in part: ‘‘That of the funds appropriated in the Construc- tion Grants and Water Infrastructure/State Revolving Funds accounts since the appropriation for the fiscal year ending September 30, 1992, and hereafter, for mak- ing grants for wastewater treatment works construc- tion projects, portions may be provided by the recipi- ents to States for managing construction grant activi- ties, on condition that the States agree to reimburse the recipients from State funding sources’’. GRANTS TO TRUST TERRITORY OF THE PACIFIC ISLANDS, AMERICAN SAMOA, GUAM, NORTHERN MARIANA IS- LANDS, AND VIRGIN ISLANDS; WAIVER OF COLLECTOR SEWERS LIMITATION Pub. L. 99–396, § 12(b), Aug. 27, 1986, 100 Stat. 841, pro- vided that: ‘‘In awarding grants to the Trust Territory of the Pacific Islands, American Samoa, Guam, the Northern Mariana Islands and the Virgin Islands under section 201(g)(1) of the Clean Water Act (33 U.S.C. 1251 et seq.) [subsec. (g)(1) of this section], the Adminis- trator of the Environmental Protection Agency may waive limitations regarding grant eligibility for sewer- age facilities and related appurtenances, insofar as such limitations relate to collector sewers, based upon a determination that applying such limitations could hinder the alleviation of threats to public health and water quality. In making such a determination, the Ad- ministrator shall take into consideration the public health and water quality benefits to be derived and the availability of alternate funding sources. The Adminis- trator shall not award grants under this section for the operation and maintenance of sewerage facilities, for construction of facilities which are not an essential component of the sewerage facilities, or any other ac- tivities or facilities which are not concerned with the management of wastewater to alleviate threats to pub- lic health and water quality.’’ [For termination of Trust Territory of the Pacific Islands, see note set out preceding section 1681 of Title 48, Territories and Insu- lar Possessions.] ENVIRONMENTAL FINANCING AUTHORITY Pub. L. 92–500, § 12, Oct. 18, 1972, 86 Stat. 899, as amended by Pub. L. 97–258, § 4(b), Sept. 13, 1982, 96 Stat. 1067, provided that: ‘‘(a) [Short Title] This section may be cited as the Environmental Financing Act of 1972. ‘‘(b) [Establishment] There is hereby created a body corporate to be known as the Environmental Financing Authority, which shall have succession until dissolved by Act of Congress. The Authority shall be subject to the general supervision and direction of the Secretary of the Treasury. The Authority shall be an instrumen- tality of the United States Government and shall main- tain such offices as may be necessary or appropriate in the conduct of its business. ‘‘(c) [Congressional Declaration of Purpose] The pur- pose of this section is to assure that inability to borrow necessary funds on reasonable terms does not prevent any State or local public body from carrying out any project for construction of waste treatment works de- termined eligible for assistance pursuant to subsection (e) of this section. ‘‘(d) [Board of Directors] (1) The Authority shall have a Board of Directors consisting of five persons, one of whom shall be the Secretary of the Treasury or his des- ignee as Chairman of the Board, and four of whom shall be appointed by the President from among the officers or employees of the Authority or of any department or agency of the United States Government. ‘‘(2) The Board of Directors shall meet at the call of its Chairman. The Board shall determine the general policies which shall govern the operations of the Au- thority. The Chairman of the Board shall select and ef- fect the appointment of qualified persons to fill the of- fices as may be provided for in the bylaws, with such executive functions, powers, and duties as may be pre- scribed by the bylaws or by the Board of Directors, and such persons shall be the executive officers of the Au- thority and shall discharge all such executive func- tions, powers, and duties. The members of the Board, as such, shall not receive compensation for their services. ‘‘(e) [Purchase of State and Local Obligations] (1) Until July 1, 1975, the Authority is authorized to make commitments to purchase, and to purchase on terms and conditions determined by the Authority, any obli- gation or participation therein which is issued by a State or local public body to finance the non-Federal share of the cost of any project for the construction of waste treatment works which the Administrator of the Environmental Protection Agency has determined to be eligible for Federal financial assistance under the Federal Water Pollution Control Act [this chapter]. ‘‘(2) No commitment shall be entered into, and no purchase shall be made, unless the Administrator of the Environmental Protection Agency (A) has certified that the public body is unable to obtain on reasonable terms sufficient credit to finance its actual needs; (B) has approved the project as eligible under the Federal Water Pollution Control Act [this chapter], and (C) has agreed to guarantee timely payment of principal and interest on the obligation. The Administrator is au- thorized to guarantee such timely payments and to issue regulations as he deems necessary and proper to protect such guarantees. Appropriations are hereby au- thorized to be made to the Administrator in such sums as are necessary to make payments under such guaran- tees, and such payments are authorized to be made from such appropriations. ‘‘(3) No purchase shall be made of obligations issued to finance projects, the permanent financing of which occurred prior to the enactment of this section [Oct. 18, 1972]. ‘‘(4) Any purchase by the Authority shall be upon such terms and conditions as to yield a return at a rate determined by the Secretary of the Treasury taking Page 416 TITLE 33—NAVIGATION AND NAVIGABLE WATERS § 1281a into consideration (A) the current average yield on out- standing marketable obligations of the United States of comparable maturity or in its stead whenever the Authority has sufficient of its own long-term obliga- tions outstanding, the current average yield on out- standing obligations of the Authority of comparable maturity; and (B) the market yields on municipal bonds. ‘‘(5) The Authority is authorized to charge fees for its commitments and other services adequate to cover all expenses and to provide for the accumulation of reason- able contingency reserves and such fees shall be in- cluded in the aggregate project costs. ‘‘(f) [Initial Capital] To provide initial capital to the Authority the Secretary of the Treasury is authorized to advance the funds necessary for this purpose. Each such advance shall be upon such terms and conditions as to yield a return at a rate not less than a rate deter- mined by the Secretary of the Treasury taking into consideration the current average yield on outstanding marketable obligations of the United States of com- parable maturities. Interest payments on such ad- vances may be deferred, at the discretion of the Sec- retary, but any such deferred payments shall them- selves bear interest at the rate specified in this section. There is authorized to be appropriated not to exceed $100,000,000, which shall be available for the purposes of this subsection. ‘‘(g) [Issuance of Obligations] (1) The Authority is au- thorized, with the approval of the Secretary of the Treasury, to issue and have outstanding obligations having such maturities and bearing such rate or rates of interest as may be determined by the Authority. Such obligations may be redeemable at the option of the Authority before maturity in such manner as may be stipulated therein. ‘‘(2) As authorized in appropriation Acts, and such authorizations may be without fiscal year limitations, the Secretary of the Treasury may in his discretion purchase or agree to purchase any obligations issued pursuant to paragraph (1) of this subsection, and for such purpose the Secretary of the Treasury is author- ized to use as a public debt transaction the proceeds of the sale of any securities hereafter issued under chap- ter 31 of title 31, as now or hereafter in force, and the purposes for which securities may be issued under chap- ter 31 of title 31, as now or hereafter in force, are ex- tended to include such purchases. Each purchase of ob- ligations by the Secretary of the Treasury under this subsection shall be upon such terms and conditions as to yield a return at a rate not less than a rate deter- mined by the Secretary of the Treasury, taking into consideration the current average yield on outstanding marketable obligations of the United States of com- parable maturities. The Secretary of the Treasury may sell, upon such terms and conditions and at such price or prices as he shall determine, any of the obligations acquired by him under this paragraph. All purchases and sales by the Secretary of the Treasury of such obli- gations under this paragraph shall be treated as public debt transactions of the United States. (As amended Pub. L. 97–258, § 4(b), Sept. 13, 1982, 96 Stat. 1067.) ‘‘(h) [Interest Differential] The Secretary of the Treasury is authorized and directed to make annual payments to the Authority in such amounts as are nec- essary to equal the amount by which the dollar amount of interest expense accrued by the Authority on ac- count of its obligations exceeds the dollar amount of interest income accrued by the Authority on account of obligations purchased by it pursuant to subsection (e) of this section. ‘‘(i) [Powers] The Authority shall have power— ‘‘(1) to sue and be sued, complain and defend, in its corporate name; ‘‘(2) to adopt, alter, and use a corporate seal, which shall be judicially noticed; ‘‘(3) to adopt, amend, and repeal bylaws, rules, and regulations as may be necessary for the conduct of its business; ‘‘(4) to conduct its business, carry on its operations, and have offices and exercise the powers granted by this section in any State without regard to any quali- fication or similar statute in any State; ‘‘(5) to lease, purchase, or otherwise acquire, own, hold, improve, use, or otherwise deal in and with any property, real, personal, or mixed, or any interest therein, wherever situated; ‘‘(6) to accept gifts or donations of services, or of property, real, personal, or mixed, tangible or intan- gible, in aid of any of the purposes of the Authority; ‘‘(7) to sell, convey, mortgage, pledge, lease, ex- change, and otherwise dispose of its property and as- sets; ‘‘(8) to appoint such officers, attorneys, employees, and agents as may be required, to define their duties, to fix and to pay such compensation for their services as may be determined, subject to the civil service and classification laws, to require bonds for them and pay the premium thereof; and ‘‘(9) to enter into contracts, to execute instru- ments, to incur liabilities, and to do all things as are necessary or incidental to the proper management of its affairs and the proper conduct of its business. ‘‘(j) [Tax Exemption, Exemptions] The Authority, its property, its franchise, capital, reserves, surplus, secu- rity holdings, and other funds, and its income shall be exempt from all taxation now or hereafter imposed by the United States or by any State or local taxing au- thority; except that (A) any real property and any tan- gible personal property of the Authority shall be sub- ject to Federal, State, and local taxation to the same extent according to its value as other such property is taxed, and (B) any and all obligations issued by the Au- thority shall be subject both as to principal and inter- est to Federal, State, and local taxation to the same extent as the obligations of private corporations are taxed. ‘‘(k) [Nature of Obligations] All obligations issued by the Authority shall be lawful investments, and may be accepted as security for all fiduciary, trust, and public funds, the investment or deposit of which shall be under authority or control of the United States or of any officer or officers thereof. All obligations issued by the Authority pursuant to this section shall be deemed to be exempt securities within the meaning of laws ad- ministered by the Securities and Exchange Commis- sion, to the same extent as securities which are issued by the United States. ‘‘(l) [Preparation of Obligations by Secretary of the Treasury] In order to furnish obligations for delivery by the Authority, the Secretary of the Treasury is au- thorized to prepare such obligations in such form as the Authority may approve, such obligations when pre- pared to be held in the Treasury subject to delivery upon order by the Authority. The engraved plates, dies, bed pieces, and so forth, executed in connection there- with, shall remain in the custody of the Secretary of the Treasury. The Authority shall reimburse the Sec- retary of the Treasury for any expenditures made in the preparation, custody, and delivery of such obliga- tions. ‘‘(m) [Annual Report to Congress] The Authority shall, as soon as practicable after the end of each fiscal year, transmit to the President and the Congress an an- nual report of its operations and activities. ‘‘(n) [Subsec. (n) amended section 24 of Title 12, Banks and Banking, and is not set out herein.] ‘‘(o) [Financial Controls] The budget and audit provi- sions of chapter 91 of title 31 shall be applicable to the Environmental Financing Authority in the same man- ner as they are applied to the wholly owned Govern- ment corporations. (As amended Pub. L. 97–258, § 4(b), Sept. 13, 1982, 96 Stat. 1067.) ‘‘(p) [Subsec. (p) amended section 711 of former Title 31, Money and Finance, and is not set out herein.]’’ § 1281a. Total treatment system funding Notwithstanding any other provision of law, in any case where the Administrator of the Envi- ronmental Protection Agency finds that the