Bipartisan Water Infrastructure Protection Bill Reintroduced in Senate

On February 13, 2025, Sen. Mark Kelly (D-AZ), Sen. Kevin Cramer (R-ND), Rep. Mike Bost (R-IL-12), and Rep. Chris Pappas (D-NH-01) reintroduced the bipartisan “Water Infrastructure Subcontractor and Taxpayer Protection Act,” a critical piece of legislation designed to ensure timely completion and protection for workers on federally financed water infrastructure projects. This bill, which aims to require primary contractors working on such projects to hold surety bonds, ensures that local sponsors and subcontractors are compensated in the event of contractor default before project completion.

This legislation addresses a significant gap in the current framework governing federally funded water infrastructure projects, particularly those financed through public-private partnerships, which historically do not require surety bonds from contractors. That is why MCAA strongly advocates for its passage, including through its partnership with the Water Infrastructure Finance and Innovation Act (WIFIA) Coalition.

Jim Gaffney, Chair of the MCAA Government Affairs Committee, praised the reintroduction of the bill, noting that, “With the recent increase in federal funding to enhance America’s infrastructure, amending current law to require surety bonds for projects financed by WIFIA in the same manner required on other types of public infrastructure projects just makes sense.” He added, “More importantly, these bonds help protect our members and other subcontractors working on local WIFIA-financed projects, reducing their exposure to unnecessary risks. The MCAA is grateful to Sens. Kelly and Cramer, and Reps. Bost and Pappas, for swiftly reintroducing the ‘Water Infrastructure Subcontractor and Taxpayer Protection Act,’ and for their continued leadership on this important legislation.”

Currently, WIFIA projects, often funded through public-private partnerships, are exempt from requiring contractors to hold surety bonds, even though such bonds are standard for other public infrastructure projects. Research shows that projects without these bonds are ten times more likely to default, leading to costly delays and increased risks. By introducing this bill, lawmakers aim to close this loophole, offering better protection for subcontractors and reducing the financial burden of defaults.

The reintroduction of this bill reflects a growing consensus that ensuring the timely and safe completion of federally financed water infrastructure projects is essential for the stability of local communities and the workforce involved in these projects. MCAA has been an active advocate for the bill, ensuring the voices of local subcontractors are heard in the legislative process.