Assembly Bill 59 aims to amend the statutes related to the use of federal capitalization grant funds for lead service line replacement. Currently, the Department of Administration and the Department of Natural Resources oversee the safe drinking water loan program (SDWLP), which provides financial assistance for public water system projects. The existing law prohibits the use of federal capitalization grant funds to provide principal forgiveness to private owners of community water systems. This bill modifies that prohibition, allowing for the use of these funds specifically for the forgiveness of loans related to the replacement of lead service lines.

The proposed amendment to section 281.61 (2r) (e) clarifies that while federal capitalization grant funds cannot generally be used for principal forgiveness to private owners, this restriction does not apply when the funds are used for lead service line replacement. This change is intended to facilitate the replacement of lead service lines, thereby improving public health and safety in Wisconsin's drinking water systems.

Statutes affected:
Bill Text: 281.61(2r)(e), 281.61