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                                                                          Order Code RS22386
                                                                      Updated January 3, 2007





SCRS Report for Congress



                 Environmental Protection Agency:

                   FY2007 Appropriations Highlights

                         David M. Bearden and Robert Esworthy
                         Resources, Science, and Industry Division

            The 109'h Congress adjourned without completing FY2007 appropriations for the
        Environmental Protection Agency (EPA) and many other federal agencies. P.L. 109-383
        (H.J.Res. 102) provides funding for most individual agency activities through February
        15, 2007, at the FY2006 enacted level or at the amount passed in the House or Senate in
        the 109'h Congress, whichever is lowest. In the second session of the 109'h Congress, the
        House had passed the FY2007 Interior, Environment, and Related Agencies
        appropriations bill (H.R. 5386, H.Rept. 109-465) on May 18,2006, recommending $7.58
        billion for EPA. Although the full Senate did not pass the bill, the Senate Appropriations
        Committee had recommended $7.53 billion for EPA in reporting its version (S.Rept. 109-
        275) on June 29, 2006. Both amounts were more than the President's request of $7.32
        billion but less than the FY2006 appropriation of $7.64 billion. Congress made a total of
        $7.72 billion available to EPA in FY2006, including $80 million in certain rescinded and
        redirected funds from prior years. Differences in the above proposed funding relative to
        FY2006 are greater when accounting for these funds.

            Among individual activities, both the full House and the Senate Appropriations
        Committee approved decreases and increases throughout EPA's eight appropriations
        accounts in their respective versions of H.R. 5386, when compared with the President's
        FY2007 request and the FY2006 appropriation. The table on the next page indicates the
        following amounts for each of EPA's eight accounts: the enacted FY2006 appropriation,
        the FY2007 request, and proposals in H.R. 5386 during the 109th Congress. Also see the
        EPA section in CRS Report RL33399, Interior, Environment, and Related Agencies.
        FY2007 Appropriations, coordinated by Carol Hardy-Vincent and Susan Boren.

            Of the many EPA activities, funding for water infrastructure generated broad
        congressional interest. The full House and the Senate Appropriations Committee
        approved the President's request to cut funding below FY2006 for state grants to support
        Clean Water State Revolving Funds (SRFs), and approved the President's request for a
        relatively small increase for state grants to support the Drinking Water SRFs. States use
        these funds to issue low-interest loans to communities for water infrastructure projects.
        The full House and the Senate Appropriations Committee also designated funds for water
        infrastructure projects in specific communities, often referred to as earmarks. As in past
        requests, the President's FY2007 budget did not include funding for such projects.




                  Congressional Research Service    The Library of Congress
                        Prepared for Members and Committees of Congress

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