WATER

Why Florida Needs Federal Funding

for Water Infrastructure
Fact Sheet • April 2009

O ur nation’s water infrastructure and economy are bound together. Aiding

the former will help the latter. Unfortunately, these days, both are treading
troubled waters.
In communities in Florida and across the country, drink-
ing water and sewerage systems are straining under the
weight of decades of federal government underinvest-
ment. In recent years, the State Revolving Funds were
financed at some of the lowest levels in history. For fiscal
year 2008, Florida received only $60 million, a mere 4.3
percent of the $1.4 billion that the state’s water and sewer
systems need.1

As the troubles with our water infrastructure mount, the

country’s economy slides deeper into recession. Florida’s
January 2009 unemployment rate reached 8.6 percent,
or 800,500 people, up from 5.0 percent a year earlier.
About one in 12 people in the labor force are now unem-
ployed.2

Investing now in water and sewer systems to gener-

ate solid economic growth can lead the state out of the
recession. Every federal dollar invested in infrastructure
yields a $1.59 return to our states.3 The National Utility
Contractors Association estimates that for every $1 bil-
lion spent on water infrastructure, nearly 27,000 jobs are
created.4

The economic stimulus legislation passed by Congress in

February 2009 provides more money to water infrastruc-
ture than the country has seen in recent years, but this
one-time allotment cannot cure the problems plaguing
many communities. In fact, the bill provides water and
sewer systems with less than one-third of what the Envi-
ronmental Protection Agency estimates we should spend
each year just to maintain them.
Florida’s Water Infrastructure Funding Gap:
Florida’s water needs outpace its current ability to fund
projects by a large margin.
For the Drinking Water State Revolving Fund (SRF)
program, the state’s most recent Intended Use Plan lists
31 fundable projects at a total cost of $268.7 million.5 In
2008, the state received only $36.8 million in federal
funding6 — enough to finance 13.7 percent of its needs.
Federal contributions to Florida’s drinking water funding
efforts have decreased by 18.5 percent since the Drink-
ing Water SRF was implemented in fiscal 1997 and 39.3
percent when adjusted for inflation.7
For the Clean Water State Revolving Fund program,
which goes toward wastewater infrastructure, the state’s
most recent Intended Use Plan lists 140 projects at a total
cost of $1.1 billion.8 In 2008, the state received $23.0 mil-

lion in federal funding9 — enough to finance 2.1 percent
of its needs.
Federal contributions to Florida’s wastewater funding
efforts have decreased by 66.8 percent since the Clean
Water SRF was fully implemented in fiscal 1991 and 79.0
percent when adjusted for inflation.10
Job Creation: Fully addressing Florida’s currently
listed water needs of $1.4 billion would spur 36,897
employment opportunities, according to National Utility
Contractors Association estimates for job creation from
water infrastructure investments. That could put back to
work one out of every 20 unemployed people in the state.
Water Quality: According to Florida’s 2008 Integrated
Water Quality Assessment, 31 percent of the state’s river
miles, 47 percent of its lake waters and 96 percent of its
estuaries are impaired.11
Beach Closings: A report by the Natural Resources
Defense Council shows that Florida experienced 3,139
beach advisory days lasting six weeks or fewer in 2007, a
17 percent increase from the number in 2006. Aging and
poorly designed sewage and stormwater systems cause
many beach closures.12
Legislative Solutions: A comprehensive, long-term
solution is a dedicated source of public funding for water
infrastructure. This would help communities in Florida
and across America keep their water clean, safe and af-
fordable. It would unburden overtaxed state and mu-
nicipal governments of the cost of water infrastructure
repairs. Such an investment also would create employ-
ment opportunities and give our economy a much-needed
boost. Two legislative solutions exist.
Clean Water Trust Fund: A federal water infra-
structure trust fund bill will be introduced during
the current legislative session. As with the trust fund
for highways and airports, we should have a Clean
Water Trust Fund to provide municipalities with the
funding they need to keep our water safe and clean
for future generations. The trust fund should distrib-
ute money to publicly owned water and wastewater
systems. It also should ensure that funds be made
available for research and implementation of green
infrastructure and conservation practices.
National Infrastructure Bank: Related to the
trust fund is a proposed national infrastructure
bank to raise and distribute the money necessary
to upgrade drinking water and wastewater systems,
highways and other underpinnings of our nation’s
prosperity. Policy-makers should strictly limit private
sector involvement in water infrastructure to financ-
ing only. The public should maintain ownership and
control of public water and sewer utilities because it
does a far better job of management and operation.
Endnotes
1 U.S. Environmental Protection Agency, Office of Water.
“Tentative distribution of Drinking Water State Revolving
Fund appropriation for fiscal year 2008.” May 19, 2008; U.S.
Environmental Protection Agency, Office of Water. “FY 2008
Clean Water State Revolving Fund Title VI Allotments.” January
28, 2008; Florida Department of Environmental Protection.
“Drinking Water State Revolving Fund Intended Use Plan for
Use in Fiscal Year 2008 Capitalization Grant.” 2008 at exhibit
1; Florida Department of Environmental Protection. “Water
Pollution Control SRF Priority List FY 2009.” July 17, 2008 at
1-10.
2 United States Department of Labor, Bureau of Labor Statistics.
[Press Release]. “Regional and state employment and
unemployment: January 2009.” March 11, 2009.
3 Schwartz, Bernard L. and Schwenninger, Sherle R. “A Public
Infrastructure–-Led Economic Recovery Program.” December
4, 2008; Zandi, Mark. Chief economist and co-founder, Moody’s
Economy.com. Testimony on Economic Stimulus For Small
Business: A Look Back and Assessing Need For Additional Relief.
U.S. House Committee on Small Business. July 24, 2008.
4 National Utility Contractors Association. [Press Release]. “New
CWC Report Demonstrates Immediate Economic Impact of
Water/Wastewater Infrastructure Investment?” January 28,
2009.
5 Florida Department of Environmental Protection, Drinking Water
State Revolving Fund, 2008 at exhibit 1.
6 U.S. Environmental Protection Agency, May 19, 2008.
7 Ibid; U.S. Environmental Protection Agency, Office of Water.
“Distribution of DWSRF funds.” June 23, 2006; Sahr, Robert C.
“Inflation conversion factors for years 1774 to estimated 2019.”
Oregon State University, Political Science Department. January
16, 2009.
8 Florida Department of Environmental Protection. July 17, 2008 at
1-10.
9 U.S. Environmental Protection Agency, January 28, 2008.
10 Ibid; U.S. Environmental Protection Agency, Office of Water.
“Clean Water State Revolving Fund Allotments.” April 4, 2007;
Sahr, 2009.
11 Florida Department of Environmental Protection, Division
of Environmental Assessment and Restoration, Bureau of
Watershed Management. ”Integrated Water Quality Assessment
for Florida: 2008 305(b) Report and 303(d) List Update.”
October 2008 at 66.
12 Dorfman, Mark and Kristen Sinclair Rosselot. National Resources
Defense Council. “Testing the Waters 2008: A Guide to Water
Quality at Vacation Beaches.” National Resources Defense
Council. 2008 at 76.
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Copyright © April 2009 Food & Water Watch