NAWC Applauds Ways and Means Committee for Passage of Small Business and Infrastructure Jobs Tax Act
Urges House to quickly bring infrastructure investment bill to floor for passage
The National Association of Water Companies (NAWC) applauds the House Ways and Means Committee for passing the Small Business and Infrastructure Jobs Tax Act of 2010, and urges the House to follow suit and pass a bill it says will stimulate the economy through a number of important initiatives, including investment in our nation’s aging water infrastructure.
The Act provides incentives for small business investment, relief for overburdened small business owners and expanded opportunity for infrastructure investment by states and localities in part through the removal of state volume caps on private activity bonds (PABs) for water and wastewater financing.
“We applaud the Committee’s swift consideration and passage of this important initiative,” said Michael Deane, executive cirector of NAWC. “The inclusion of language drafted by Representative Bill Pascrell, Jr., (D-N.J.) to address both jobs and infrastructure will help local water providers leverage private sector investment in water and wastewater infrastructure, addressing two critically important challenges facing our nation and generating significant tax revenue for states and communities across the country.”
A removal on bond caps for water projects will bring funding for this piece of the nation’s infrastructure in line with airports, high-speed rail and solid waste disposal, which are all currently exempt from existing caps. PAB issuance is one of the fastest forms of federal assistance when applied to water and wastewater projects, with only 90 to 120 days needed to complete the process--from approval to sale.
“The National Association of Water Companies strongly urges the House to follow the Committee’s lead and quickly pass the Small Business and Infrastructure Jobs Tax Act of 2010,” Deane said.
The portion of the bill addressing PABs for water infrastructure investment could support more than 57,000 jobs this year. Each $1 billion invested in water infrastructure yields an increase of $82.4 million in state and local tax revenue, according to NAWC.