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110th Congress                                            Rept. 110-849
                        HOUSE OF REPRESENTATIVES
 2d Session                                                      Part 1

======================================================================



 
             GREAT LAKES LEGACY REAUTHORIZATION ACT OF 2008

                                _______
                                

               September 15, 2008.--Ordered to be printed

                                _______
                                

Mr. Oberstar, from the Committee on Transportation and Infrastructure, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 6460]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 6460) to amend the Federal Water 
Pollution Control Act to provide for the remediation of 
sediment contamination in areas of concern, and for other 
purposes, having considered the same, report favorably thereon 
with an amendment and recommend that the bill as amended do 
pass.

  The amendment is as follows:
  Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Great Lakes Legacy Reauthorization Act 
of 2008''.

SEC. 2. DEFINITIONS.

  Section 118(a)(3) of the Federal Water Pollution Control Act (33 
U.S.C. 1268(a)(3)) is amended--
          (1) in subparagraph (I) by striking ``and'' at the end;
          (2) in subparagraph (J) by striking the period and inserting 
        a semicolon; and
          (3) by adding at the end the following:
                  ``(K) `site characterization' means a process for 
                monitoring and evaluating the nature and extent of 
                sediment contamination in accordance with the 
                Environmental Protection Agency's guidance for the 
                assessment of contaminated sediment in an area of 
                concern located wholly or partially within the United 
                States; and
                  ``(L) `potentially responsible party' means an 
                individual or entity that may be liable under any 
                Federal or State authority that is being used or may be 
                used to facilitate the cleanup and protection of the 
                Great Lakes.''.

SEC. 3. REMEDIATION OF SEDIMENT CONTAMINATION IN AREAS OF CONCERN.

  (a) Eligible Projects.--Section 118(c)(12)(B)(ii) of the Federal 
Water Pollution Control Act (33 U.S.C. 1268(c)(12)(B)(ii)) is amended 
by striking ``sediment'' and inserting ``sediment, including activities 
to restore aquatic habitat that are carried out in conjunction with a 
project for the remediation of contaminated sediment''.
  (b) Limitations.--Section 118(c)(12)(D) of such Act (33 U.S.C. 
1268(c)(12)(D)) is amended--
          (1) in the subparagraph heading by striking ``Limitation'' 
        and inserting ``Limitations'';
          (2) in clause (i) by striking ``or'' at the end;
          (3) in clause (ii) by striking the period and inserting a 
        semicolon; and
          (4) by adding at the end the following:
                          ``(iii) unless each non-Federal sponsor for 
                        the project has entered into a written project 
                        agreement with the Administrator under which 
                        the party agrees to carry out its 
                        responsibilities and requirements for the 
                        project; or
                          ``(iv) unless the Administrator provides 
                        assurance that the Agency has conducted a 
                        reasonable inquiry to identify potentially 
                        responsible parties connected with the site.''.
  (c) In-Kind Contributions.--Section 118(c)(12)(E)(ii) of such Act (33 
U.S.C. 1268(c)(12)(E)(ii)) is amended to read as follows:
                          ``(ii) In-kind contributions.--
                                  ``(I) In general.--The non-Federal 
                                share of the cost of a project carried 
                                out under this paragraph may include 
                                the value of an in-kind contribution 
                                provided by a non-Federal sponsor.
                                  ``(II) Credit.--A project agreement 
                                described in subparagraph (D)(iii) may 
                                provide, with respect to a project, 
                                that the Administrator shall credit 
                                toward the non-Federal share of the 
                                cost of the project the value of an in-
                                kind contribution made by the non-
                                Federal sponsor, if the Administrator 
                                determines that the material or service 
                                provided as the in-kind contribution is 
                                integral to the project.
                                  ``(III) Work performed before project 
                                agreement.--In any case in which a non-
                                Federal sponsor is to receive credit 
                                under subclause (II) for the cost of 
                                work carried out by the non-Federal 
                                sponsor and such work has not been 
                                carried out by the non-Federal sponsor 
                                as of the date of enactment of this 
                                subclause, the Administrator and the 
                                non-Federal sponsor shall enter into an 
                                agreement under which the non-Federal 
                                sponsor shall carry out such work, and 
                                only work carried out following the 
                                execution of the agreement shall be 
                                eligible for credit.
                                  ``(IV) Limitation.--Credit authorized 
                                under this clause for a project carried 
                                out under this paragraph--
                                          ``(aa) shall not exceed the 
                                        non-Federal share of the cost 
                                        of the project; and
                                          ``(bb) shall not exceed the 
                                        actual and reasonable costs of 
                                        the materials and services 
                                        provided by the non-Federal 
                                        sponsor, as determined by the 
                                        Administrator.
                                  ``(V) Inclusion of certain 
                                contributions.--In this subparagraph, 
                                the term `in-kind contribution' may 
                                include the costs of planning 
                                (including data collection), design, 
                                construction, and materials that are 
                                provided by the non-Federal sponsor for 
                                implementation of a project under this 
                                paragraph.''.
  (d) Non-Federal Share.--Section 118(c)(12)(E) of such Act (33 U.S.C. 
1268(c)(12)(E)) is amended--
          (1) by redesignating clauses (iii) and (iv) as clauses (iv) 
        and (v), respectively;
          (2) by inserting after clause (ii) the following:
                          ``(iii) Treatment of credit between 
                        projects.--Any credit provided under this 
                        subparagraph towards the non-Federal share of 
                        the cost of a project carried out under this 
                        paragraph may be applied towards the non-
                        Federal share of the cost of any other project 
                        carried out under this paragraph by the same 
                        non-Federal sponsor for a site within the same 
                        area of concern.''; and
          (3) in clause (iv) (as redesignated by paragraph (1) of this 
        subsection) by striking ``service'' each place it appears and 
        inserting ``contribution''.
  (e) Site Characterization.--Section 118(c)(12)(F) of such Act (33 
U.S.C. 1268(c)(12)(F)) is amended to read as follows:
                  ``(F) Site characterization.--
                          ``(i) In general.--The Administrator, in 
                        consultation with any affected State or unit of 
                        local government, shall carry out at Federal 
                        expense the site characterization of a project 
                        under this paragraph for the remediation of 
                        contaminated sediment.
                          ``(ii) Limitation.--For purposes of clause 
                        (i), the Administrator may carry out one site 
                        assessment per discrete site within a project 
                        at Federal expense.''.
  (f) Authorization of Appropriations.--Section 118(c)(12)(H) of such 
Act (33 U.S.C. 1268(c)(12)(H)) is amended--
          (1) by striking clause (i) and inserting the following:
                          ``(i) In general.--In addition to other 
                        amounts authorized under this section, there is 
                        authorized to be appropriated to carry out this 
                        paragraph--
                                  ``(I) $50,000,000 for each of fiscal 
                                years 2004 through 2008; and
                                  ``(II) $150,000,000 for each of 
                                fiscal years 2009 through 2013.''; and
          (2) by adding at the end the following:
                          ``(iii) Allocation of funds.--Not more than 
                        20 percent of the funds appropriated pursuant 
                        to clause (i)(II) for a fiscal year may be used 
                        to carry out subparagraph (F).''.
  (g) Public Information Program.--Section 118(c)(13)(B) of such Act 
(33 U.S.C. 1268(c)(13)(B)) is amended by striking ``2008'' and 
inserting ``2013''.

SEC. 4. RESEARCH AND DEVELOPMENT PROGRAM.

  Section 106(b)(1) of the Great Lakes Legacy Act of 2002 (33 U.S.C. 
1271a(b)(1)) is amended to read as follows:
          ``(1) In general.--In addition to amounts authorized under 
        other laws, there is authorized to be appropriated to carry out 
        this section--
                  ``(A) $3,000,000 for each of fiscal years 2004 
                through 2008; and
                  ``(B) $5,000,000 for each of fiscal years 2009 
                through 2013.''.

                       Purpose of the Legislation

    H.R. 6460, the ``Great Lakes Legacy Reauthorization Act of 
2008'', amends section 118 the Federal Water Pollution Control 
Act (``Clean Water Act'' or ``Act'') to reauthorize and 
increase appropriations for projects to remediate contaminated 
sediment in the Great Lakes areas of concern, and to make 
several additional modifications to the implementation of the 
program to accelerate the completion of remediation projects.

                  Background and Need for Legislation

    The Great Lakes basin includes all of the state of 
Michigan, parts of Illinois, Indiana, Minnesota, New York, 
Ohio, Pennsylvania, Wisconsin, and the Canadian provinces of 
Ontario and Quebec. Approximately 40 million people live within 
the Great Lakes basin. Water in the Lakes is used for a 
multitude of activities including fishing, swimming, boating, 
agriculture, industry, and shipping. In addition, the Lakes 
contain around 84 percent of North America's and 21 percent of 
the world's surface fresh water supplies.
    Industrialization and development have had a significant 
impact on the Great Lakes ecosystem. The region's industrial 
development has included mining, steel production, and machine 
tool and automobile manufacturing. Agriculture is also a 
significant component of the regional economy. The Great Lakes 
have historically provided convenient waterways for the 
movement of goods. They also provide process and cooling water 
for industrial users, and are used to generate hydroelectric 
power. While industrialization, agriculture, power generation, 
and other activities have produced significant economic 
development in the region, water quality has also been 
adversely impacted.
    In its 2002 National Water Quality Inventory, the 
Environmental Protection Agency (``EPA'') reports that 91 
percent of assessed Great Lakes shoreline miles were impaired--
meaning that the shoreline did not meet all of its designated 
uses, including fishing, swimming, and suitability for aquatic 
wildlife habitat. The leading causes of impairment include the 
presence of pathogens, metals, and toxic organic compounds in 
the shoreline waters of the Great Lakes. EPA notes that the 
dominant cause of reported shoreline impairment is legacy, or 
historical, pollution--chiefly contaminated sediment. In the 
same report, EPA reports that 99 percent of the assessed Great 
Lakes open waters were rated as impaired. The predominant 
causes of this impairment include the presence of priority 
organics, metals (primarily mercury), and pesticides in the 
open waters of the Great Lakes. The primary sources of open 
water impairments are atmospheric deposition, industrial 
sources, agriculture, and legacy (historical) pollutants.
    The impaired nature of the Great Lakes is also reflected in 
the biennial assessment of EPA and Environment Canada, entitled 
the ``State of the Great Lakes'' report, which is carried out 
pursuant to the 1987 Great Lakes Water Quality Agreement. In 
2007, this report identified the status of the Great Lakes 
ecosystem as ``mixed'', with the particular concern expressed 
on the localized toxic contamination that continues to exist in 
high levels in the Great Lakes areas of concern.
    Under the Boundary Waters Treaty of 1909, the United States 
and Canada created the International Joint Commission (``IJC'') 
to monitor, periodically inspect, and make recommendations on 
actions to be taken by the United States and Canada to protect 
the Great Lakes. The IJC has six commissioners, three from each 
nation. In 1972, the United States and Canada signed the Great 
Lakes Water Quality Agreement to address mutual interests and 
improve water quality. In 1987, the two nations revised the 
agreement and committed to ecosystem cleanup plans for ``areas 
of concern''. The IJC monitors progress toward these 
commitments and issues biennial reports.
    To support the commitments made in the Great Lakes Water 
Quality Agreement, Congress added section 118 to the Clean 
Water Act in 1987. Section 118 formally established the Great 
Lakes National Program Office within EPA. One of the functions 
of the Office is to ensure that Remedial Action Plans are 
developed and implemented for the areas of concern identified 
by the United States and Canada.
    At present, there are 43 areas of concern within the Great 
Lakes Basin, 26 areas wholly within the United States, 12 areas 
located wholly within Canada, and 5 areas that are shared by 
both countries. The areas of concern were defined under the 
Great Lakes Water Quality Agreement as ``ecologically degraded 
geographic areas requiring remediation''. An area is considered 
ecologically degraded if at least one of 14 beneficial use 
impairments is present as a result of contamination--
restrictions on fish and wildlife consumption; tainting of fish 
and wildlife flavor; degradation of fish and wildlife 
populations; fish tumors or other deformities; bird or animal 
deformities or reproduction problems; degradation of benthos; 
restrictions on dredging activities; eutrophication or 
undesirable algae; restrictions on drinking water consumption, 
or taste and odor problems; beach closings; degradation of 
aesthetics; added costs to agriculture or industry; degradation 
of phytoplankton and zooplankton populations; or loss of fish 
and wildlife habitat.

                     GREAT LAKES LEGACY ACT OF 2002

    In 2002, Congress enacted the Great Lakes Legacy Act of 
2002 (P.L. 107-303). The Great Lakes Legacy Act, which amends 
section 118 of the Clean Water Act, authorizes funding for 
projects to monitor, evaluate, and remediate contaminated 
sediment in the areas of concern located wholly within, or 
shared by, the United States, to increase public awareness of 
contaminated sediments, and to promote research and development 
for innovative approaches, technologies, and techniques for the 
remediation of contaminated sediments. Funding authorized 
pursuant to the Great Lakes Legacy Act for remediation of 
contaminated sediment is primarily focused on sites within the 
areas of concern that are not Superfund sites.
    Sediment remediation projects funded under the Great Lakes 
Legacy Act authorization are negotiated agreements between EPA 
(through the Great Lakes National Program Office) and a non- 
Federal sponsor. Cleanup projects are cost-shared 65 percent 
Federal and 35 percent non-Federal, with the non-Federal 
sponsor being responsible for 100 percent of the operation and 
maintenance costs. The non-Federal share may include in-kind 
services.
    The Great Lakes Legacy Act authorized appropriations of 
$270 million over five years (fiscal years 2004 through 2008). 
The actual appropriations for the same period totaled $126.3 
million. This authorization of appropriations consists of $50 
million per year for projects (contaminated sediment 
remediation and monitoring); $3 million per year for research; 
and $1 million per year for outreach activities.

             GREAT LAKES LEGACY REAUTHORIZATION ACT OF 2008

    On May 21, 2008, the Subcommittee on Water Resources and 
Environment of the Committee on Transportation and 
Infrastructure held a hearing on reauthorization of the Great 
Lakes Legacy Act, at which the Subcommittee received testimony 
from representatives of the EPA, the Lieutenant Governor of the 
State of Michigan, and stakeholder organizations from the Great 
Lakes region.
    Several witnesses at this hearing expressed support for 
reauthorization and recommended several improvements that could 
be made to the Great Lakes Legacy Act of 2002 to accelerate the 
pace of remediation and delisting of contaminated sites within 
the areas of concern.
    Specific recommendations included: (1) increasing the 
authorization of appropriations for the remediation of 
contaminated sediments from $50 million annually to $150 
million annually; (2) allowing the use of Legacy Act funds for 
the restoration of aquatic habitat restoration at sites where 
contaminated sediment has occurred; (3) maximizing the leverage 
and use of non-Federal contributions to remediation projects 
from non-Federal sponsors, including potentially responsible 
parties; (4) extending the life of appropriated Legacy Act 
funding beyond two years; (5) reducing the cost-share 
requirement for sediment remediation projects at ``orphan 
sites''--where no viable responsibility party can be 
identified; and (6) striking the ``maintenance of effort'' 
requirement of the Great Lakes Legacy Act of 2002 (see 33 
U.S.C. 1268(c)(12)(F)).

                       Summary of the Legislation


Section 1. Short title

    This section designates the title of the bill as the 
``Great Lakes Legacy Reauthorization Act of 2008''.

Section 2. Definitions

    This section amends section 118(a)(3) of the Clean Water 
Act to add definitions to the terms ``site characterization'' 
and ``potentially responsible party''.
    New subparagraph 118(a)(3)(K) defines the term ``site 
assessment'' as ``a process for monitoring and evaluating the 
nature and extent of sediment contamination in accordance with 
the Environmental Protection Agency's guidance for the 
assessment of contaminated sediment in an area of concern 
located wholly or partially within the United States.'' In this 
definition, the Committee intends for the term ``site 
assessment'' to be limited to those activities, such as 
sampling, monitoring and evaluating sediment, necessary to 
assess the nature and extent of contaminated sediments present 
at a site; however, this definition does not include activities 
directly related to the design of a potential remediation 
project, which would be subject to normal cost share under 
section 118(c)(12)(E) of the Clean Water Act.
    The Committee also intends for EPA to utilize, to the 
maximum extent practicable and where appropriate, existing 
authorities and guidance within its contaminated sediment 
program for the conduct of site assessments, such as the EPA's 
Assessment and Remediation of Contaminated Sediments (``ARCS'') 
Assessment Guidance. However, this definition does not preclude 
the development of additional approaches and guidance, where 
appropriate, to conduct site assessments and characterizations.
    New subparagraph 118(a)(3)(L) defines the term 
``potentially responsible party'' as ``an individual or entity 
that may be liable under any Federal or State authority that is 
being used or may be used to facilitate the cleanup and 
protection of the Great Lakes.'' This definition is consistent 
with the provisions of the Great Lakes Legacy Act of 2002, 
codified at 33 U.S.C. 1268(g).

Section 3. Remediation of sediment contamination in areas of concern

    Section 3 of the Great Lakes Legacy Reauthorization Act of 
2008 amends various paragraphs of section 118(c) of the Clean 
Water Act to expand the scope of projects eligible for funding 
under section 118(c)(12)(H) of the Act, provide additional 
clarity and flexibility for non-Federal sponsors to meet their 
statutory cost share obligation for projects, and to increase 
the overall authorization of appropriations for projects 
eligible under section 118(c)(12)(B) of the Act.
    Subsection 3(a) amends section 118(c)(12)(B) of the Clean 
Water Act to authorize activities to restore aquatic habitat 
that are carried out in conjunction with a project for the 
remediation of contaminated sediment. According to EPA, of the 
30 remaining Great Lakes' areas of concern located wholly 
within the United States or shared with Canada, 26 areas 
include within the beneficial use impairments the ``loss of 
fish and wildlife habitat'' for the site that must be addressed 
before the site can be delisted as an area of concern. In many 
instances, the continued presence of contaminated sediment has 
resulted in degradation of sustainable aquatic habitat for 
native fish and wildlife populations, and activities to 
remediate these sediments, alone, can similarly impact the 
sustainability of aquatic habitat.
    During the Subcommittee on Water Resources and Environment 
hearing on reauthorization of the Great Lakes Legacy Act, 
several witnesses testified in support of expanding the 
existing Clean Water Act authority for the Great Lakes' areas 
of concern to include restoration of degraded aquatic habitat. 
In the view of many of the witnesses, oftentimes, remediation 
of existing contaminated sediments alone may not be enough to 
delist an area of concern, and additional aquatic habitat 
restoration work would be required to address beneficial use 
impairments at the site, and to move the site toward delisting 
as an area of concern. In addition, the Committee expects that 
carrying out restoration activities for degraded habitat at the 
same time as projects for the remediation of contaminated 
sediment will be more efficient and less costly than if the 
same types of restoration activities were carried out 
separately, and should result in the delisting of areas of 
concern in a more expedited and cost-effective manner.
    To address these concerns, subsection 3(a) would expand the 
existing authorization for projects to remediate contaminated 
sediment to include activities to restore aquatic habitat that 
are carried out in conjunction with a project for the 
remediation of contaminated sediment. The Committee expects 
that aquatic habitat restoration activities carried out under 
this new authority will be related to and carried out in 
conjunction with a project for the remediation of contaminated 
sediment, and will typically be smaller, both in terms of scale 
and overall cost, than the corresponding projects to remediate 
contaminated sediment. The Committee does not intend aquatic 
habitat restoration activities to overtake the program or 
change its primary focus, which is remediation of contaminated 
sediment in the Great Lakes' areas of concern.
    Subsection 3(b) amends section 118(c)(12)(D) of the Clean 
Water Act to provide that the EPA Administrator may not carry 
out a project for the remediation of contaminated sediment 
unless: (1) each non-Federal sponsor has entered into a written 
project agreement with the Administrator under which the non-
Federal sponsor agrees to carry out its responsibilities and 
requirements for the project; and (2) the Administrator 
provides assurance that the Environmental Protection Agency has 
conducted a reasonable inquiry to identify potentially 
responsible parties connected with the site.
    The requirement of new clause 118(c)(12)(D)(iv) is 
consistent with the intent of the Great Lakes Legacy Act of 
2002 that funds authorized for the remediation of contaminated 
sediment sites not affect ``any other Federal or State 
authority that is being used to may be used to facilitate the 
cleanup and protection of the Great Lakes.'' 33 U.S.C. 1268(g). 
Potentially responsible parties (``PRPs'') are eligible to 
participate as non-Federal sponsors for projects undertaken 
pursuant to section 118(c)(12) of the Clean Water Act. As noted 
in the legislative history of the Great Lakes Legacy Act of 
2002, the intent of the providing Federal support for 
remediation of contaminated sediment in the areas of concern is 
to encourage ``greater cooperation'', ``leverage [additional] 
contributions by local communities and the private sector'' 
toward cleanup, and ``expediting the remediation of sites with 
contaminated sediment.'' However, consistent with the statutory 
language of the Great Lakes Legacy Act of 2002 and the 
principle of ``polluter pays'', the Committee continues to 
believe that funding for the remediation of contaminated 
sediments under section 118(c)(12) of the Clean Water Act 
supplement (but not replace) potential contributions from 
responsible parties.
    The Committee is concerned with the overall level of effort 
undertaken by EPA in the identification of responsible parties 
related to potential projects to remediate contaminated 
sediment under section 118(c)(12) of the Clean Water Act. The 
Committee has reviewed the Stage 1 and Stage 2 review process 
identified by EPA in its 2006 final rule for ``Implementation 
of the Great Lakes Legacy Act of 2002'' (71 Fed. Reg. 25504), 
including the requirement that representatives from Great Lakes 
National Program Office (``GLNPO'') and EPA enforcement and 
regulatory programs coordinate with other Federal agencies to 
review potential Legacy Act projects. However, the Committee is 
concerned that this review is limited to avoiding duplication 
with on-going enforcement or regulatory actions or other 
Federal, State, local, or tribal efforts rather than an effort 
to proactively identify viable responsible parties related to 
the sites.
    Given these concerns, new clause 118(c)(12)(D)(iv) requires 
the Administrator to provide assurance that the Environmental 
Protection Agency has conducted a reasonable inquiry to 
identify potentially responsible parties connected with the 
site. This provision builds upon the existing authorities of 
section 118(c)(12) to maximize the potential for leveraging 
additional funds from non-Federal sources through the 
identification and encouraged participation of responsible 
parties in remediation activities. The Committee does not 
intend this language to require EPA to conduct an additional 
inquiry to identify potentially responsible parties in 
instances where EPA has already conducted a reasonable inquiry 
under other Federal authorities, including the Comprehensive 
Environmental Response, Compensation, and Liability Act of 1980 
(``CERCLA''), nor does it intend for this language to impose an 
absolute responsibility on EPA to identify every responsible 
party related to the site, including parties that are likely to 
have contributed only de minimis amounts of contamination to 
the site or parties that are no longer financially viable to 
act as non-Federal sponsors of Legacy Act projects.
    The Committee understands that this provision may require 
EPA to take some additional time to ensure that a reasonable 
inquiry has taken place, but does not expect this additional 
requirement to significantly delay cleanup projects within the 
areas of concern, nor to divert additional sites to other 
Federal or State remediation authorities. In addition, EPA is 
encouraged to coordinate this effort with State authorities, 
and where appropriate, utilize existing State efforts to 
identify potentially responsible parties as a basis for its 
responsibilities under this Act.
    Subsection 3(c) amends section 118(c)(12)(E)(ii) of the 
Clean Water Act to provide additional clarification on non-
Federal, in-kind contributions for eligible projects under 
section 118(c)(12) of the Clean Water Act. The requirements of 
subsection 3(c) apply to all projects carried out under section 
118(c)(12) of the Clean Water Act, including those projects 
that may have been initiated prior to the date of enactment of 
the Great Lakes Legacy Reauthorization Act of 2008.
    First, this amendment retains the provisions of existing 
118(c)(12)(E)(ii) that the non-Federal share of the cost of a 
project may include the value of an in-kind contribution 
provided by a non-Federal sponsor, but requires that, after the 
date of enactment, the non-Federal sponsor identify, in a 
written project agreement those potential in-kind contributions 
for which the non-Federal sponsor intends to seek credit 
against the non-Federal share of the cost of the project.
    In addition, new subclause 118(c)(12(E)(ii)(II) requires 
the EPA Administrator to make a determination that the material 
or service for which the non-Federal sponsor seeks credit is 
integral to the project before the material or service would be 
eligible as credit against the non-Federal share of the cost of 
the project.
    New subclause 118(c)(12)(E)(ii)(III) requires that in-kind 
work that has not been carried out prior to the date of 
enactment of this new subclause and for which the non-Federal 
sponsor may seek credit against its non-Federal share must be 
included as part of a written agreement between EPA and the 
non-Federal sponsor.
    New subclause 118(c)(12)(E)(ii)(IV) provides that credit 
for an in-kind contribution authorized under clause 
118(c)(12)(E)(ii) shall not exceed the non-Federal share of the 
cost of the project and shall not exceed the actual and 
reasonable costs of the material or service provided by the 
non-Federal sponsor, as determined by the Administrator.
    Subsection 3(d) amends section 118(c)(12)(E) of the Clean 
Water Act to allow the Administrator to apply non-Federal 
credit (in excess of the non-Federal share of the cost of a 
project) toward the non-Federal share of any other project 
carried out under section 118(c)(12) of the Clean Water Act by 
the same non-Federal sponsor for a site within the same area of 
concern. Consistent with the intent of the Great Lakes Legacy 
Act of 2002, this provision is intended to maximize the 
cooperation and financial participation of local community and 
private sector non-Federal sponsors by allowing non-Federal 
contributions in excess of the non-Federal share at any one 
discrete site to be utilized at other impaired sites within the 
same area of concern. The objective of this new provision is to 
ensure that any credit in excess of the non-Federal share for 
an individual project can be carried over to other remediation 
projects by the same non-Federal sponsor within the same area 
of concern.
    Subsection 3(e) amends section 118(c)(12)(F) to authorize 
the Administrator to carry out a site assessment for potential 
projects eligible under section 112(c)(12) at Federal expense. 
During the Subcommittee hearing on ``Reauthorization of the 
Great Lakes Legacy Act'', several witnesses testified in 
support of increased Federal funding for remediation projects 
to accelerate the pace of cleanup and delisting of areas of 
concern. New subparagraph 118(c)(12)(F) of the Clean Water Act 
achieves this objective by authorizing the Administrator to 
carry out the initial site assessment of a potential project at 
Federal expense, rather than as a cost-shared component of an 
overall project as required by current law.
    A site characterization is a necessary precursor to 
remediation projects by providing much needed information 
regarding the project size and scope, and is critical in the 
identification of potential non-Federal sponsors who may be 
wiling to act as cost-sharing partners for subsequent stages of 
the remediation project.
    The Committee believes that increasing Federal 
participation in site assessments should accelerate the 
movement of Legacy Act projects from assessment to remediation 
by providing needed information to EPA's technical review 
committees. This new authority is modeled on similar authority 
for the United States Army Corps of Engineers (``Corps'') to 
carry out a reconnaissance study for a potential water 
resources development project at Federal expense. It is during 
the reconnaissance phase that the Corps determines the water 
and related land concerns that may warrant Federal 
participation, and the level of interest and support from non-
Federal sponsors for a proposed water resources project. 
Similarly, the Committee expects that during the ``site 
assessment'' phase of a project carried out under section 
118(c)(12) of the Clean Water Act, the Administrator will 
sample, monitor, and assess the nature and extent of sediment 
contamination, identify potential non-Federal sponsors that may 
be willing to act as cost-share partners for later remediation 
projects, and provide sufficient information for the evaluation 
of the proposed costs and benefits of a remediation project at 
the site.
    In addition, the Committee believes that EPA can utilize 
this authority to be proactive in working with State and local 
officials, and private sector interests, in identifying and 
funding the assessment of sites the cleanup of which will 
eliminate potential threats to public health and safety and 
otherwise benefit the economic or ecological health of 
communities neighboring the areas of concern. The information 
gathered in these initial site assessments may also be helpful 
in potentially ranking future remediation projects, based upon 
the potential benefits of the project.
    Finally, the Committee has included language (new clause 
118(c)(12)(F)(ii)) to ensure that only one site assessment may 
be carried out at Federal expense for each individual site 
within an area of concern. The Committee does not intend for 
the Administrator to utilize this new authority to carry out 
multiple site assessments at Federal expense for the same site. 
Once a site assessment has been completed utilizing this new 
authority, the individual site would no longer be eligible for 
additional site assessment work to be carried out at Federal 
expense.
    The amendment made by subsection 3(e) also deletes the 
language of the Great Lakes Legacy Act of 2002 related to 
maintenance of effort.
    Subsection 3(f) amends section 118(c)(12)(H) of the Clean 
Water Act to increase the overall authorization of 
appropriations for section 118(c)(12) from $50 million to $150 
million annually through 2013. New clause 118(c)(12)(H)(iii) 
provides that not more than 20 percent of funds appropriated 
under this subparagraph may be used to carry out site 
assessments at Federal expense pursuant to new subparagraph 
118(c)(12)(F).
    Subsection 3(g) amends section 118(c)(13) of the Clean 
Water Act to reauthorize appropriations for EPA's public 
information program through 2013.

Section 4. Research and development program

    This section amends section 106(b)(1) of the Great Lakes 
Legacy Act of 2002 (33 U.S.C. 1271a) to reauthorize 
appropriations, at increased levels, for a research and 
development program within the Environmental Protection Agency.
    The Committee strongly supports the establishment a 
research and development program within EPA to develop 
innovative approaches, technologies, and techniques for the 
remediation of contaminated sediment within the Great Lakes 
areas of concern. The Committee believes that this program 
could be instrumental in developing new technologies for the 
remediation of contaminated sediment which could substantially 
reduce the overall cost of remediation activities for 
contaminate sediment projects, both within the Great Lakes 
areas of concern as well as nationwide. The Committee strongly 
recommends that the administration include funding for this 
important program in the President's budget request for fiscal 
year 2010.
    Consistent with House Report 107-587 (Part 1), the 
Committee expects that the EPA Administrator will collaborate 
with non-Federal entities, including colleges, universities, 
and private entities, in carrying out the Administrator's 
responsibilities under this section. In selecting non-Federal 
entities to participate in research projects under this 
section, the Administrator is directed to give preference to 
non-Federal entities located within the Great Lakes watershed.

                           Additional Matters

    During Committee consideration of H.R. 6460, several 
stakeholder groups expressed concern about the expiration of 
funds appropriated under the Great Lakes Legacy Act of 2002 
that remain unexpended two years after appropriation. The 
Committee strongly supports the continued availability of funds 
appropriated under section 118(c)(12) of the Clean Water Act 
until they are expended (consistent with the authority found in 
section 118(c)(12)(H)(ii)).
    The Committee intends to work with the Committee on 
Appropriations to ensure that funds appropriated to address 
contaminated sediment in the Great Lakes areas of concern may 
remain available until expended.

            Legislative History and Committee Consideration

    On May 21, 2008, the Subcommittee on Water Resources and 
Environment held a hearing, entitled ``Reauthorization of the 
Great Lakes Legacy Act''.
    On July 10, 2008, Representative Vernon Ehlers introduced 
H.R. 6460, the ``Great Lakes Legacy Reauthorization Act of 
2008''. No similar legislative proposal was introduced in 
previous Congresses.
    On July 31, 2008, the Committee on Transportation and 
Infrastructure met in open session to consider H.R. 6460. The 
Committee adopted by voice vote an amendment in the nature of a 
substitute that made several technical changes to the bill. The 
Committee ordered the bill, as amended, reported favorably to 
the House by voice vote with a quorum present.

                              Record Votes

    Clause 3(b) of rule XIII of the House of Representatives 
requires each committee report to include the total number of 
votes cast for and against on each record vote on a motion to 
report and on any amendment offered to the measure or matter, 
and the names of those members voting for and against. There 
were no recorded votes taken in connection with consideration 
of H.R. 6460 or ordering the bill reported. A motion to order 
H.R. 6460, as amended, reported favorably to the House was 
agreed to by voice vote with a quorum present.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

                          Cost of Legislation

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

                    Compliance With House Rule XIII

    1. With respect to the requirement of clause 3(c)(2) of 
rule XIII of the Rules of the House of Representatives, and 
308(a) of the Congressional Budget Act of 1974, the Committee 
references the report of the Congressional Budget Office 
included in the report.
    2. With respect to the requirement of clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
reauthorize appropriations for projects to remediate 
contaminated sediments in the Great Lakes areas of concern and 
for research on the development of sediment remediation 
technologies and techniques, and to make targeted improvements 
to the implementation of the program.
    3. With respect to the requirement of clause 3(c)(3) of 
rule XIII of the Rules of the House of Representatives and 
section 402 of the Congressional Budget Act of 1974, the 
Committee has received the enclosed cost estimate for H.R. 6460 
from the Director of the Congressional Budget Office.

                                     U.S. Congress,
                               Congressional Budget Office,
                                    Washington, DC, August 8, 2008.
Hon. James L. Oberstar,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 6460, the Great 
Lakes Legacy Reauthorization Act of 2008.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Susanne S. 
Mehlman.
            Sincerely,
                                         Robert A. Sunshine
                                   (For Peter R. Orszag, Director).
    Enclosure.

H.R. 6460--Great Lakes Legacy Reauthorization Act of 2008

    Summary: H.R. 6460 would authorize the Enviromnental 
Protection Agency (EPA), in conjunction with nonfederal 
sponsors, to carry out projects aimed at cleaning up certain 
areas of the Great Lakes where contamination has settled into 
sediments at the bottom of the lakes. The bill would authorize 
the appropriation of $750 million over the 2009-2013 period to 
EPA for that purpose. In addition, the bill would authorize the 
appropriation of $25 million over the five-year period for EPA 
to conduct research on the development and use of innovative 
methods for cleaning up the Great Lakes. Under current law, the 
amounts authorized for those two programs for 2008 totaled $50 
million and $3 million, respectively.
    Assuming appropriation of the specified amounts, CBO 
estimates that implementing this legislation would cost $639 
million over the 2009-20013 period. Enacting H.R. 6460 would 
not affect direct spending or receipts.
    H.R. 6460 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: CBO estimates 
that implementing the bill would cost $639 million over the 
2009-2013 period, assuming appropriation of the amounts 
authorized for each year. Those estimated outlays are based on 
historical patterns for similar activities. The estimated 
budgetary impact of H.R. 6460 is shown in the following table. 
The costs of this legislation fall within budget function 300 
(natural resources and environment).

----------------------------------------------------------------------------------------------------------------
                                                                 By fiscal year, in millions of dollars--
                                                         -------------------------------------------------------
                                                            2009     2010     2011     2012     2013   2009-2013
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

EPA Funding for Cleanup Projects:
    Authorization Level.................................      150      150      150      150      150       750
    Estimated Outlays...................................       60      120      138      147      150       615
Research and Development:
    Authorization Level.................................        5        5        5        5        5         5
    Estimated Outlays...................................        4        5        5        5        5        24
Total Changes:
    Authorization Level.................................      155      155      155      155      155       775
    Estimate Outlays....................................       64      125      143      152      155       639
----------------------------------------------------------------------------------------------------------------

    Intergovernmental and private-sector impact: H.R. 6460 
contains no intergovernmental or private-sector mandates as 
defined in UMRA. The bill would extend EPA programs to cleanup 
sediment contamination in the Great Lakes. Any costs state, 
local, or tribal governments might incur, including matching 
funds, would result from complying with conditions of aid.
    Estimate prepared by: Federal Costs: Susanne S. Mehlman; 
Impact on State, Local, and Tribal Governments: Neil Hood; 
Impact on the Private Sector: Amy Petz.
    Estimate approved by: Peter H. Fontaine, Assistant Director 
for Budget Analysis.

                     Compliance With House Rule XXI

    Pursuant to clause 9 of rule XXI of the Rules of the House 
of Representatives, H.R. 6460, the Great Lakes Legacy 
Reauthorization Act of 2008, does not contain any congressional 
earmarks, limited tax benefits, or limited tariff benefits as 
defined in clause 9(d), 9(e), or 9(f) of rule XXI of the Rules 
of the House of Representatives.

                   Constitutional Authority Statement

    Pursuant to clause (3)(d)(1) of rule XIII of the Rules of 
the House of Representatives, committee reports on a bill or 
joint resolution of a public character shall include a 
statement citing the specific powers granted to the Congress in 
the Constitution to enact the measure. The Committee on 
Transportation and Infrastructure finds that Congress has the 
authority to enact this measure pursuant to its powers granted 
under article I, section 8 of the Constitution.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Public Law 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee states that H.R. 6460 does not 
preempt any state, local, or tribal law.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act are created by this 
legislation.

                Applicability of the Legislative Branch

    The Committee finds that the legislation does not relate to 
the terms and conditions of employment or access to public 
services or accommodations within the meaning of section 
102(b)(3) of the Congressional Accountability Act (Public Law 
104-1).

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

                  FEDERAL WATER POLLUTION CONTROL ACT


TITLE I--RESEARCH AND RELATED PROGRAMS

           *       *       *       *       *       *       *



SEC. 118. GREAT LAKES.

  (a) Findings, Purpose, and Definitions.--
          (1) * * *

           *       *       *       *       *       *       *

          (3) Definitions.--For purposes of this section, the 
        term--
                  (A) * * *

           *       *       *       *       *       *       *

                  (I) ``Lakewide Management Plan'' means a 
                written document which embodies a systematic 
                and comprehensive ecosystem approach to 
                restoring and protecting the beneficial uses of 
                the open waters of each of the Great Lakes, in 
                accordance with article VI and Annex 2 of the 
                Great Lakes Water Quality Agreement; [and]
                  (J) ``Remedial Action Plan'' means a written 
                document which embodies a systematic and 
                comprehensive ecosystem approach to restoring 
                and protecting the beneficial uses of areas of 
                concern, in accordance with article VI and 
                Annex 2 of the Great Lakes Water Quality 
                Agreement[.];
                  (K) ``site characterization'' means a process 
                for monitoring and evaluating the nature and 
                extent of sediment contamination in accordance 
                with the Environmental Protection Agency's 
                guidance for the assessment of contaminated 
                sediment in an area of concern located wholly 
                or partially within the United States; and
                  (L) ``potentially responsible party'' means 
                an individual or entity that may be liable 
                under any Federal or State authority that is 
                being used or may be used to facilitate the 
                cleanup and protection of the Great Lakes.

           *       *       *       *       *       *       *

  (c) Great Lakes Management.--
          (1) * * *

           *       *       *       *       *       *       *

          (12) Remediation of sediment contamination in areas 
        of concern.--
                  (A) * * *
                  (B) Eligible projects.--A project meets the 
                requirements of this subparagraph if the 
                project is to be carried out in an area of 
                concern located wholly or partially in the 
                United States and the project--
                          (i) * * *
                          (ii) subject to subparagraph (D), 
                        implements a plan to remediate 
                        contaminated [sediment] sediment, 
                        including activities to restore aquatic 
                        habitat that are carried out in 
                        conjunction with a project for the 
                        remediation of contaminated sediment; 
                        or

           *       *       *       *       *       *       *

                  (D) [Limitation] Limitations.--The 
                Administrator may not carry out a project under 
                this paragraph for remediation of contaminated 
                sediments located in an area of concern--
                          (i) if an evaluation of remedial 
                        alternatives for the area of concern 
                        has not been conducted, including a 
                        review of the short-term and long-term 
                        effects of the alternatives on human 
                        health and the environment; [or]
                          (ii) if the Administrator determines 
                        that the area of concern is likely to 
                        suffer significant further or renewed 
                        contamination from existing sources of 
                        pollutants causing sediment 
                        contamination following completion of 
                        the project[.];
                          (iii) unless each non-Federal sponsor 
                        for the project has entered into a 
                        written project agreement with the 
                        Administrator under which the party 
                        agrees to carry out its 
                        responsibilities and requirements for 
                        the project; or
                          (iv) unless the Administrator 
                        provides assurance that the Agency has 
                        conducted a reasonable inquiry to 
                        identify potentially responsible 
                        parties connected with the site.
                  (E) Non-federal share.--
                          (i) * * *
                          [(ii) In-kind contributions.--The 
                        non-Federal share of the cost of a 
                        project carried out under this 
                        paragraph may include the value of in-
                        kind services contributed by a non-
                        Federal sponsor.]
                          (ii) In-kind contributions.--
                                  (I) In general.--The non-
                                Federal share of the cost of a 
                                project carried out under this 
                                paragraph may include the value 
                                of an in-kind contribution 
                                provided by a non-Federal 
                                sponsor.
                                  (II) Credit.--A project 
                                agreement described in 
                                subparagraph (D)(iii) may 
                                provide, with respect to a 
                                project, that the Administrator 
                                shall credit toward the non-
                                Federal share of the cost of 
                                the project the value of an in-
                                kind contribution made by the 
                                non-Federal sponsor, if the 
                                Administrator determines that 
                                the material or service 
                                provided as the in-kind 
                                contribution is integral to the 
                                project.
                                  (III) Work performed before 
                                project agreement.--In any case 
                                in which a non-Federal sponsor 
                                is to receive credit under 
                                subclause (II) for the cost of 
                                work carried out by the non-
                                Federal sponsor and such work 
                                has not been carried out by the 
                                non-Federal sponsor as of the 
                                date of enactment of this 
                                subclause, the Administrator 
                                and the non-Federal sponsor 
                                shall enter into an agreement 
                                under which the non-Federal 
                                sponsor shall carry out such 
                                work, and only work carried out 
                                following the execution of the 
                                agreement shall be eligible for 
                                credit.
                                  (IV) Limitation.--Credit 
                                authorized under this clause 
                                for a project carried out under 
                                this paragraph--
                                          (aa) shall not exceed 
                                        the non-Federal share 
                                        of the cost of the 
                                        project; and
                                          (bb) shall not exceed 
                                        the actual and 
                                        reasonable costs of the 
                                        materials and services 
                                        provided by the non-
                                        Federal sponsor, as 
                                        determined by the 
                                        Administrator.
                                  (V) Inclusion of certain 
                                contributions.--In this 
                                subparagraph, the term ``in-
                                kind contribution'' may include 
                                the costs of planning 
                                (including data collection), 
                                design, construction, and 
                                materials that are provided by 
                                the non-Federal sponsor for 
                                implementation of a project 
                                under this paragraph.
                          (iii) Treatment of credit between 
                        projects.--Any credit provided under 
                        this subparagraph towards the non-
                        Federal share of the cost of a project 
                        carried out under this paragraph may be 
                        applied towards the non-Federal share 
                        of the cost of any other project 
                        carried out under this paragraph by the 
                        same non-Federal sponsor for a site 
                        within the same area of concern.
                          [(iii)] (iv) Non-federal share.--The 
                        non-Federal share of the cost of a 
                        project carried out under this 
                        paragraph--
                                  (I) may include monies paid 
                                pursuant to, or the value of 
                                any in-kind [service] 
                                contribution performed under, 
                                an administrative order on 
                                consent or judicial consent 
                                decree; but
                                  (II) may not include any 
                                funds paid pursuant to, or the 
                                value of any in-kind [service] 
                                contribution performed under, a 
                                unilateral administrative order 
                                or court order.
                          [(iv)] (v) Operation and 
                        maintenance.--The non-Federal share of 
                        the cost of the operation and 
                        maintenance of a project carried out 
                        under this paragraph shall be 100 
                        percent.
                  [(F) Maintenance of effort.--The 
                Administrator may not carry out a project under 
                this paragraph unless the non-Federal sponsor 
                enters into such agreements with the 
                Administrator as the Administrator may require 
                to ensure that the non-Federal sponsor will 
                maintain its aggregate expenditures from all 
                other sources for remediation programs in the 
                area of concern in which the project is located 
                at or above the average level of such 
                expenditures in the 2 fiscal years preceding 
                the date on which the project is initiated.]
                  (F) Site characterization.--
                          (i) In general.--The Administrator, 
                        in consultation with any affected State 
                        or unit of local government, shall 
                        carry out at Federal expense the site 
                        characterization of a project under 
                        this paragraph for the remediation of 
                        contaminated sediment.
                          (ii) Limitation.--For purposes of 
                        clause (i), the Administrator may carry 
                        out one site assessment per discrete 
                        site within a project at Federal 
                        expense.

           *       *       *       *       *       *       *

                  (H) Authorization of appropriations.--
                          [(i) In general.--In addition to 
                        other amounts authorized under this 
                        section, there is authorized to be 
                        appropriated to carry out this 
                        paragraph $50,000,000 for each of 
                        fiscal years 2004 through 2008.]
                          (i) In general.--In addition to other 
                        amounts authorized under this section, 
                        there is authorized to be appropriated 
                        to carry out this paragraph--
                                  (I) $50,000,000 for each of 
                                fiscal years 2004 through 2008; 
                                and
                                  (II) $150,000,000 for each of 
                                fiscal years 2009 through 2013.

           *       *       *       *       *       *       *

                          (iii) Allocation of funds.--Not more 
                        than 20 percent of the funds 
                        appropriated pursuant to clause (i)(II) 
                        for a fiscal year may be used to carry 
                        out subparagraph (F).

           *       *       *       *       *       *       *

          (13) Public information program.--
                  (A) * * *
                  (B) Authorization of appropriations.--There 
                is authorized to be appropriated to carry out 
                this paragraph $1,000,000 for each of fiscal 
                years 2004 through [2008] 2013.

           *       *       *       *       *       *       *

                              ----------                              


                     GREAT LAKES LEGACY ACT OF 2002



           *       *       *       *       *       *       *
TITLE I--GREAT LAKES

           *       *       *       *       *       *       *


SEC. 106. RESEARCH AND DEVELOPMENT PROGRAM.

  (a) * * *
  (b) Authorization of Appropriations.--
          [(1) In general.--In addition to amounts authorized 
        under other laws, there is authorized to be 
        appropriated to carry out this section $3,000,000 for 
        each of fiscal years 2004 through 2008.]
          (1) In general.--In addition to amounts authorized 
        under other laws, there is authorized to be 
        appropriated to carry out this section--
                  (A) $3,000,000 for each of fiscal years 2004 
                through 2008; and
                  (B) $5,000,000 for each of fiscal years 2009 
                through 2013.

           *       *       *       *       *       *       *