Governor Kaine Announces $250 Million Clean Water Bond Initiative

Governor Kaine Announces $250 Million Clean Water Bond Initiative

- Funds to help localities upgrade sewage treatment plants and reduce pollution in rivers, Bay -

Governor Timothy M. Kaine announced today that he will introduce legislation authorizing $250 million in bonds to upgrade sewage treatment plants throughout the Chesapeake Bay watershed. The bonds, to be issued by the Virginia Public Building Authority, will provide critical funds to share the costs with localities for installing technologies that will slash nutrient pollution discharged into Virginia waters.

"I have always believed strongly that Virginia should take bold action to uphold its commitments under the Chesapeake Bay Agreement to clean our polluted waters. Today, I am announcing a plan to take significant steps toward making good on our promise," said Governor Kaine. "By proposing the issuance of $250 million in bonds, combined with the funds currently available in the Water Quality Improvement Fund, we can take huge strides toward significantly upgrading 89 municipal sewage treatment plants that currently discharge nutrient pollution into our streams and rivers in the Bay watershed."

Cleaning the Bay by improving sewage treatment plant technologies has long been a shared responsibility between the state and local governments. The state provides grants and low-interest loans to support local financial commitments.

"Saying you're in favor of cleaning up the Bay and actually doing something about it are two very different things. This kind of money makes a real difference," said R. Michael Amyx, Executive Director of the Virginia Municipal League. "We thank the Governor for his leadership."

"Through this partnership with our local governments, we will be able to accomplish with this $250 million bond package what few have thought possible: we will have the resources to meet the sewage treatment plant discharge requirements of the Chesapeake Bay Agreement," Governor Kaine said.

Virginia is a signatory to the Chesapeake 2000 Agreement, committing Virginia and our Bay state partners to significant reductions in nutrient pollution to the Bay and rivers that feed it. These bonds will allow the Commonwealth to draw down funds, as needed, to provide critical cost-share assistance to localities. The 89 publicly-owned treatment works throughout Virginia's portion of the Chesapeake Bay watershed that are targeted in this bond package will be eligible to receive funds under this initiative. A significant number will have to install technologies to reduce nutrient pollution sufficiently to meet our 2010 commitments, with more than 60 localities already having applied to the state for matching funds so that they can begin construction.

The sewage treatment plant upgrades made possible by these funds will prevent an estimated four million pounds of nitrogen pollution from entering Virginia's rivers that flow into the Bay.

"This proposal would close a significant gap in efforts to address the Bay's critical water quality problems," said Chesapeake Bay Foundation Virginia Executive Director Ann F. Jennings. "Local sewage treatment plants are the single largest source of nitrogen pollution now going into Virginia's rivers and the Chesapeake Bay, and funding their upgrades is a huge step forward. We look forward to working with the Kaine Administration and the General Assembly to secure passage of the bond proposal," Jennings said.

Completing upgrades to sewage treatment plants - many of which are in high-growth areas - will improve Virginia's environment and quality of life, and continue fostering the state's economic expansion.

Rich Napier, president of the 6,000-member Home Builders Association of Virginia, called the announcement pro-business and consistent with the recent announcement by Forbes.com that Virginia is the best state in the nation in which to do business. "Future economic development success in Virginia will be directly linked to the discharge capacity of the Commonwealth's waste water treatment facilities, and as president of one of the state's largest business organizations, I commend Governor Kaine for this recommendation to the state legislature," Napier said.

http://www.governor.virginia.gov/MediaRelations/NewsReleases/viewRelease.cfm?id=300