Sponsors (3)
The bill increases payment and performance protections for WIFIA-funded projects (reducing nonpayment and unfinished work) while imposing potential added costs and administrative steps that could burden smaller borrowers and slow project starts.
Local governments, construction workers, and government contractors: Projects using WIFIA loans will have stronger payment and performance security (Miller Act‑level bonding where required), reducing risks of contractor nonpayment and unfinished work for communities.
State and local governments: The bill lets the federal program rely on existing State/local bonding rules when those rules meet the federal standard, preserving local procurement practices and avoiding duplicative federal requirements.
Local governments, small businesses, and government contractors: Smaller borrowers or local governments may face higher upfront costs and administrative burdens to obtain Miller Act‑level bonds when their local rules are insufficient.
Local governments, construction workers, and government contractors: Requiring federal‑level bonding for some WIFIA projects could delay project starts because of extra compliance steps and time needed to procure bonds.
Based on analysis of 2 sections of legislative text.
Requires WIFIA-financed water projects to have construction payment and performance security; state/local rules may suffice, otherwise Miller Act bonds apply.
Introduced February 13, 2025 by Mark Edward Kelly · Last progress February 13, 2025
Requires that projects receiving WIFIA loans or other WIFIA financing include construction payment and performance security (for example, bonds) to protect subcontractors and taxpayers. If a state or local bonding regime already meets the bill's standards, that satisfies the requirement; if not, the federal Miller Act bonding rules apply as a backstop.