Wisconsin Assembly Bill AB59

Wisconsin 2025-2026 Regular Session

• Introduced: 2/24/25
• Refer: 2/24/25
• Report Pass: 6/6/25
• Refer: 6/6/25
• Refer: 6/20/25

Caption

The use of federal capitalization grant funds for lead service line replacement. (FE)

Impact

If passed, AB59 would create significant implications for the safe drinking water loan program administered by the Department of Administration and the Department of Natural Resources. By facilitating the forgiveness of loans for lead service line replacements, the bill supports local government units and private owners of community water systems in their efforts to improve drinking water quality. This legislative change is expected to promote the removal of lead service lines, thus contributing to healthier drinking water for residents and mitigating long-term public health risks associated with lead exposure.

Summary

Assembly Bill 59 aims to amend current statutes regarding the use of federal capitalization grant funds for the replacement of lead service lines within community water systems in Wisconsin. The bill specifically seeks to allow the use of these federal grants for loan principal forgiveness related to lead service lines, which is currently prohibited under existing law. This modification intends to enhance the efficiency and effectiveness of federal funds allocated to address critical public health issues stemming from lead contamination in drinking water supplies.

Contention

Noteworthy points of contention surrounding AB59 may include concerns from various stakeholders regarding the allocation of federal funds and the effectiveness of loan forgiveness programs. While proponents argue that enabling loan forgiveness for lead service line projects could expedite necessary renovations and ensure safer drinking water, opponents might raise issues about the broader implications for funding management and potential preferences for certain projects over others. Discussions may also revolve around the adequacy of existing oversight mechanisms and whether additional modifications to the statutory language are warranted to safeguard public interests.