Water Infrastructure Subcontractor and Taxpayer Protection Act of 2025
Sponsored By: Senator Sen. Kelly, Mark [D-AZ]
Introduced
Summary
Mandatory construction payment and performance security for WIFIA projects. This bill would require that any project receiving Water Infrastructure Finance and Innovation Act assistance have payment and performance security either through state or local law that meets a 50% threshold or by meeting the federal security rules in 40 U.S.C. 3131(b).
Show full summary
- Subcontractors and construction workers would gain stronger payment protection because projects must carry payment and performance security that covers at least 50% of the total construction contract or meet the federal standard.
- State and local governments that already require adequate security would satisfy the federal test when their required amount is not less than 50% of the contract.
- The Secretary or the Administrator would have to verify security for WIFIA-financed projects and impose the federal fallback rules when local requirements are absent or below the 50% threshold.
- The change aims to better protect federal funds and subcontractors by ensuring a clear security fallback when local rules are inadequate.
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Bill Overview
Analyzed Economic Effects
1 provisions identified: 1 benefits, 0 costs, 0 mixed.
New bond rules for WIFIA construction
If enacted, the Secretary (for EPA projects) or the Administrator (for other projects) would have to make sure WIFIA-funded construction has payment and performance security. State or local law would count if it already requires bonds equal to at least 50% of the construction contract. If no local rule applies or the local bond is less than 50%, the agency would require bonds that meet the federal rules in 40 U.S.C. 3131(b). This would take effect upon enactment.
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Sponsors & CoSponsors
Sponsor
Sen. Kelly, Mark [D-AZ]
AZ • D
Cosponsors
Kevin Cramer
ND • R
Sponsored 2/13/2025
Roger Wicker
MS • R
Sponsored 1/7/2026
Roll Call Votes
No roll call votes available for this bill.
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