Restoring WIFIA Eligibility Act
The Restoring WIFIA Eligibility Act would modify how the federal budget treats certain WIFIA-financed assistance. Specifically, it would apply to loans or loan guarantees awarded under the Water Infrastructure Finance and Innovation Act of 2014 (WIFIA) when the borrower is a non-federal eligible entity (for example, a state or local government or public utility) and the project repayments come from non-Federal revenue sources (such as user charges or other locally sourced funds). Under these circumstances, the bill would treat the financial assistance as non-Federal and classify it as a direct loan or loan guarantee for purposes of the Federal Credit Reform Act (FCRA) budgeting. In short, the bill aims to adjust budget accounting so that certain WIFIA financing for non-Federal borrowers is treated differently in the federal budget, potentially making WIFIA financing more accessible to non-Federal entities.
Key Points
- 1Adds a new provision, Sec. 5037, to the Water Infrastructure Finance and Innovation Act of 2014 (WIFIA).
- 2Applies only when the recipient is a non-Federal eligible entity and the repayment funds come from non-Federal revenue sources.
- 3For budget purposes under the Federal Credit Reform Act, such assistance would be deemed non-Federal.
- 4The assistance would be treated as a direct loan or loan guarantee (as defined by FCRA).
- 5The change affects how the federal government accounts for and scores the cost of these financial arrangements in the federal budget.