The Small Business and Infrastructure Act has been passed by the House Ways and Means Committee. The Act expands opportunities for infrastructure investment by states and localities, through the removal of state volume caps on private activity bonds (PABs) for water and wastewater financing. A removal on bond caps for water projects will bring funding for water infrastructure in line with airports, high-speed rail and solid waste disposal, which are all currently exempt from existing caps.

Michael Deane, executive director of the National Association of Water Companies, said: “We applaud the Committee’s swift consideration and passage of this important initiative. The inclusion of language drafted by Representative Bill Pascrell, Jr. (D-NJ) 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.”

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.