Assembly Bill 765 aims to enhance the Safe Drinking Water Loan Program (SDWLP) by significantly increasing the state's bonding authority for lead service line replacement projects. Currently, the state can contract up to $74,950,000 in public debt for the SDWLP. This bill proposes to raise that limit by an additional $200,000,000, allowing for a total bonding authority of $274,950,000. The Department of Administration (DOA) will be required to allocate up to $200,000,000 of this authorized public debt specifically for projects that provide forgivable loans to private users of public water systems, covering up to 50% of the costs associated with replacing lead service lines.

Additionally, the bill establishes a new statute, 13.48 (26m), which recognizes the public health risks posed by lead service lines and emphasizes the state's commitment to assist in their replacement. The amended statute 20.866 (2) (td) reflects the increased bonding authority, replacing the previous limit of $71,400,000 with the new total of $274,950,000. This legislative effort underscores the importance of addressing lead contamination in drinking water and aims to facilitate the necessary financial support for local governments and private water system owners to undertake these critical infrastructure improvements.

Statutes affected:
Bill Text: 20.866(2)(td), 20.866