Bill > S2606

This bill, the Sustainable Water Infrastructure Investment Act of 2016, amends the Internal Revenue Code to exempt bonds issued for sewage and water supply facilities from state volume caps. These "private activity bonds" are a type of tax-exempt bond used to finance projects that serve a public purpose but are privately owned or operated. Currently, there are limits, or "volume caps," on the total amount of these bonds that states can issue each year. This bill proposes to remove those limits specifically for bonds used to fund water and wastewater infrastructure, recognizing the critical condition of much of the nation's existing systems and the significant investment needed to upgrade and maintain them, thereby encouraging more investment in these essential public services.