Water Infrastructure Finance and Innovation Act Amendments of 2025

Bill Number

H.R. 6229

Origin Chamber

House

Congress

119th Congress, Session 1

Policy Area

Water Resources Development

Status

Introduced

Latest Action

2025-11-22: Referred to the Subcommittee on Water Resources and Environment.

Last Updated

2026-01-07T09:05:50Z

AI-Generated Summary

Purpose of the Legislation

The Water Infrastructure Finance and Innovation Act Amendments of 2025 (H.R. 6229) reauthorizes and amends the Water Infrastructure Finance and Innovation Act (WIFIA) of 2014. Its primary goal is to expand access to federal financing for water infrastructure projects, particularly in small and rural communities, while improving project delivery efficiency and clarifying eligibility rules to support safer, more reliable water systems nationwide.

Key Provisions

• Definitions and Support for Small and Rural Communities:
• Defines a "small community" as a city, town, or unincorporated area with a population of 25,000 or fewer.
• Expands the definition of "rural water project" to include specific federally authorized projects, such as those under the Reclamation Rural Water Supply Act of 2006, projects for federally recognized Indian Tribes, and others authorized by recent laws.
• Lowers the minimum eligible project cost threshold from $5 million to $1 million for small communities.
• Authorizes the Environmental Protection Agency (EPA) Administrator to provide technical assistance (e.g., engineering and financial planning) to small communities for developing project proposals.
• Requires the EPA to create and implement an outreach plan within 180 days to promote WIFIA financing to small communities, in consultation with other federal agencies.

• Expanded Project Eligibility:
• Broadens eligibility for WIFIA assistance to include state-led water storage projects, "transferred works" (federally built water projects handed over to non-federal ownership), and congressionally authorized water resources projects owned or operated by non-federal entities.
• Updates references in the law to incorporate these new categories.

• Collaborative Project Delivery Methods:
• Allows the EPA Administrator or Secretary of the Army (for Army Corps of Engineers projects) to use modern construction approaches, such as "construction management at-risk" (separate contracts for design and construction with a construction manager sharing risks) and "design-build" (a single contract for both design and construction), as long as they comply with state or local laws.
• Requires a joint study by the EPA and Army Corps within 180 days to evaluate the use of these methods in WIFIA projects, identify barriers and benefits, and recommend staff training needs; results must be made public.

• Loan Terms and Funding:
• Extends the maximum maturity date for secured loans to up to 55 years for projects with a useful life exceeding 35 years (e.g., long-lasting dams or treatment plants), or until the project's actual useful life ends if shorter; this overrides previous shorter limits.
• Reauthorizes appropriations through fiscal year 2029: $68 million annually for the EPA and $15 million annually for the Army Corps of Engineers' Water Infrastructure Financing Program, with funds remaining available until spent.
• Clarifies that technical assistance funding excludes the new small community support.

• Budgetary and Reporting Requirements:
• Treats financial assistance to non-federal entities (repaid with non-federal revenues) as "non-federal" under the Federal Credit Reform Act of 1990, classifying it like a direct loan or loan guarantee for budgeting purposes (this simplifies federal accounting without using federal funds for repayment).
• Mandates reports to Congress within one year:
• From the EPA on implementing certain water infrastructure agreements.
• From the Army Corps on its financing program's implementation, focusing on levees and authorized projects.
• Updates the Government Accountability Office (GAO) report requirements: Delays the deadline to four years after enactment, adds evaluation of the Army Corps' implementation, and expands recommendations.

• Technical Amendments:
• Makes conforming changes to definitions, funding references, and table of contents; removes "pilot" designations from the program's title and sections, indicating it is now a permanent initiative.

Significant Changes to Existing Law

• From WIFIA 2014 and Related Acts: Lowers cost thresholds and adds explicit support for small/rural projects, which were previously underserved. Expands eligible project types beyond original categories (e.g., adding tribal and storage projects). Introduces collaborative delivery methods not previously authorized under WIFIA. Extends loan maturities for long-term assets and reauthorizes funding at higher levels than prior years (e.g., EPA funding increases from previous authorizations). Shifts budgetary treatment to treat more assistance as non-federal, potentially reducing federal scoring impacts. Replaces vague outreach requirements with a targeted plan for small communities and updates reporting to include Army Corps evaluations.

Potential Impacts

• On Government Agencies: Provides the EPA and Army Corps of Engineers with more funding ($83 million total annually through 2029) and tools (e.g., technical assistance, modern delivery methods) to process and support more projects efficiently, potentially reducing administrative burdens and speeding up approvals. Requires new studies and reports, increasing short-term workload but improving long-term program effectiveness.
• On Citizens: Enhances access to low-interest loans and technical help for water projects in small and rural areas, potentially improving drinking water quality, flood protection, and supply reliability for underserved populations (e.g., rural residents and tribal communities). Lower thresholds could enable smaller-scale fixes like local treatment plants.
• On International Relations: Minimal direct impact, as the bill focuses on domestic water infrastructure; however, it could indirectly support U.S. water management standards that align with international environmental goals (e.g., sustainable development).

Main Stakeholders Affected

• Small and Rural Communities: Primary beneficiaries through easier financing access and targeted outreach.
• Federally Recognized Indian Tribes: Gain explicit inclusion in rural project definitions and eligibility.
• State and Local Governments/Entities: Eligible for expanded project types and collaborative methods, aiding non-federal owners/operators.
• Water Project Developers and Contractors: Benefit from new delivery options that could shorten timelines and share risks.
• Federal Agencies: EPA and Army Corps of Engineers handle implementation, funding, and reporting; other agencies (e.g., Bureau of Reclamation) consulted on outreach.
• Congress and Oversight Bodies: Receive enhanced reporting for program accountability.

Notable Legal, Constitutional, or Political Implications

• Legal: Aligns with existing federal water laws (e.g., referencing prior acts like the Water Resources Reform and Development Act) without overriding state/local authority on project delivery. The budgetary treatment clarification complies with the Federal Credit Reform Act, potentially easing congressional scoring of infrastructure spending but requiring careful non-federal repayment verification to avoid federal liability.
• Constitutional: No apparent challenges; supports the federal spending power under Article I for public welfare (e.g., safe water as a general welfare interest) and does not infringe on states' rights, as methods must follow state laws.
• Political: Bipartisan sponsorship (from both parties and regions) reflects broad support for infrastructure investment. Removing "pilot" status solidifies the program as ongoing, signaling long-term federal commitment amid national priorities like climate resilience and equity for rural areas; could influence future appropriations debates by demonstrating program maturation.

This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.

Sponsor

Rep. Schrier, Kim [D-WA-8]

Cosponsors (7)

Rep. Newhouse, Dan [R-WA-4], Rep. Garamendi, John [D-CA-8], Rep. LaMalfa, Doug [R-CA-1], Rep. Costa, Jim [D-CA-21], Rep. Fong, Vince [R-CA-20], Rep. Davids, Sharice [D-KS-3], Rep. Fitzpatrick, Brian K. [R-PA-1]

Recent Actions

• 2025-11-22: Referred to the Subcommittee on Water Resources and Environment.
• 2025-11-20: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
• 2025-11-20: Referred to the Committee on Transportation and Infrastructure, and in addition to the Committee on Energy and Commerce, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
• 2025-11-20: Introduced in House
• 2025-11-20: Introduced in House

Bill Versions

• Water Infrastructure Finance and Innovation Act Amendments of 2025 — issued 2025-11-20 — PDF (13 pages)