pollution control and abatement plans. Appropriately, the new section 12 (f) would apply to this construction the same labor standards as now apply to construction of sewerage treatment works under section 8.

We suggest that the same labor standards be similarly applied in the amended section 6 in the case of grants for the development of demonstration projects for methods of (1) controlling the discharge of untreated or inadequately treated sewage and other wastes from sewers which carry storm water or both storm water and sewage, or (2) advanced waste treatment and water purification or new improved methods of joint treatment systems for municipal and industrial wastes. Such projects may possibly involve some construction work.

[p. 57]

The Davis-Bacon Act itself would appear applicable to demonstration projects involving construction work undertaken through contracts by the Secretary of the Interior under section 6.

Time has not permitted receiving the advice from the Bureau of the Budget as to the relationship of the pending legislation to the program of the President.

Chairman, Committee on Public Works,

House of Representatives, Washington, D.C.

DEAR MR. CHAIRMAN: Reference is made to your request for the views of this Department on H.R. 16076, to amend the Federal Water Pollution Control Act in order to improve and make more effective certain programs pursuant to such act.

The proposed legislation would authorize a $6 billion, 6-year program of grants to municipalities for sewage treatment construction, and a loan program of $250 million to States and municipalities to assist them in financing their share of construction under grants, when the Secretary of the Interior determines that reasonable non-Federal loans are not available; and a $45 million a year grant program for the development of methods to demonstrate new or improved methods of controlling pollution from combined sewers, and to demonstrate advanced waste treatment and new methods of joint treatment for municipal and industrial wastes.

In addition, the bill would authorize a study of the extent of pollu-
tion from boats and vessels and would establish procedures for inter-
national conferences on water pollution. It would authorize the
Secretary of the Interior to establish regulations controlling the dis-
charge of oil from boats, and relating to loading, handling, and unload-
ing of oil on boats and vessels, shore installations and terminal
facilities; set penalties for the unauthorized discharge of oil; and
authorize Coast Guard and Customs officers to assist in administering
and enforcing these provisions.

The President, in his message of February 23, 1966, on the preserva-
tion of America's natural heritage, proposed a comprehensive attack
on water and air pollution, including a clean rivers demonstration
program and new Federal powers to control pollution.

The Department recommends favorable consideration by your com-
mittee of legislation which incorporates the President's recommenda-
tions, in lieu of action on H.R. 16076.

The Department has been advised by the Bureau of the Budget
that there is no objection from the standpoint of the administration's
program to the submission of this report to your committee.

Sincerely yours,

FRED B. SMITH,

General Counsel.

[p. 58]

SECTION INDEX OF BILL H.R. 16076 AS REPORTED BY

PUBLIC WORKS COMMITTEE

Entire original bill as introduced was struck out in the line type of

bill as reported, pages 1 to 27.

TITLE I

Following sections are entire new title (title II) to existing Federal Water Pollution Control Act:

Following sections are amendments to individual sections of existing Federal Pollution Control Act:

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED In compliance with clause 3 of rule XIII of the Rules of the House of Representatives, changes in existing law made by the bill, as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, existing law in which no change is proposed is shown in roman):

FEDERAL WATER POLLUTION CONTROL ACT

AN ACT To provide for water pollution control activities in the Public Health Service of the Department of Health, Education, and Welfare, and for other purposes

TITLE I-WATER POLLUTION CONTROL PROGRAM

DECLARATION OF POLICY

SECTION 1. (a) The purpose of this Act is to enhance the quality and value of our water resources and to establish a national policy for the prevention, control, and abatement of water pollution.

(b) In connection with the exercise of jurisdiction over the waterways of the Nation and in consequence of the benefits resulting to the public health and welfare by the prevention and control of water pollution, it is hereby declared to be the policy of Congress to recognize, preserve, and protect the primary responsibilities and rights of the States in preventing and controlling water pollution, to support and aid technical research relating to the prevention and control of water pollution, and to provide Federal technical services and financial aid to State and interstate agencies and to municipalities in connection with the prevention and control of water pollution. The Secretary of Health, Education, and Welfare (hereinafter in this Act called "Secretary") shall administer this Act through the Administration created by section 2 of this Act, and with the assistance of an Assistant Secretary of Health, Education, and Welfare designated by him, shall supervise and direct (1) the head of such Administration in administering this Act and (2) the administration of all other functions of the Department of Health, Education, and Welfare related to water pollution. Such Assistant Secretary shall perform such additional functions as the Secretary may prescribe.

(c) Nothing in this Act shall be construed as impairing or in any manner affecting any right or jurisdiction of the States with respect to the waters (including boundary waters) of such States.

FEDERAL WATER POLLUTION CONTROL ADMINISTRATION

SEC. 2. Effective ninety days after the date of enactment of this section there is created within the Department of Health, Education, and Welfare a Federal Water Pollution Control Administration (hereinafter in this Act referred to as the "Administration"). The head

of the Administration shall be appointed, and his compensation fixed, by the Secretary. The head of the Administration may, in addition to regular staff of the Administration, which shall be initially provided from the personnel of the Department, obtain, from within the Department or otherwise as authorized by law, such professional, technical, and clerical assistance as may be necessary to discharge [p. 60] the Administration's functions and may for that purpose use funds available for carrying out such functions; and he may delegate any of his functions to, or otherwise authorize their performance by, an officer or employee of, or assigned or detailed to, the Administration.

COMPREHENSIVE PROGRAMS FOR WATER POLLUTION CONTROL

SEC. 3. (a) The Secretary shall, after careful investigation, and in cooperation with other Federal agencies, with State water pollution control agencies and interstate agencies, and with the municipalities and industries involved, prepare or develop comprehensive programs for eliminating or reducing the pollution of interstate waters and tributaries thereof and improving the sanitary condition of surface and underground waters. In the development of such comprehensive programs due regard shall be given to the improvements which are necessary to conserve such waters for public water supplies, propagation of fish and aquatic life and wildlife, recreational purposes, and agricultural, industrial, and other legitimate uses. For the purpose of this section, the Secretary is authorized to make joint investigations with any such agencies of the condition of any waters in any State or States, and of the discharges of any sewage, industrial wastes, or substance which may adversely affect such waters.

(b) (1) In the survey or planning of any reservoir by the Corps of Engineers, Bureau of Reclamation, or other Federal agency, consideration shall be given to inclusion of storage for regulation of streamflow for the purpose of water quality control, except that any such storage and water releases shall not be provided as a substitute for adequate treatment or other methods of controlling waste at the

source.

(2) The need for and the value of storage for this purpose shall be determined by these agencies, with the advice of the Secretary, and his views on these matters shall be set forth in any report or presentation to the Congress proposing authorization or construction of any reservoir including such storage.

(3) The value of such storage shall be taken into account in determining the economic value of the entire project of which it is a part, and costs shall be allocated to the purpose of water quality control