Disaster Mitigation and Tax Parity Act of 2021

Mr. President, I rise to speak in support of the ``Water Conservation Rebate Tax Parity Act,'' which I introduced today. Representative Jared Huffman (D-CA) has introduced companion legislation in the House of Representatives.

Access to water has always been a major issue in California and throughout the Western United States. That issue has only become more pressing as climate change increases the risk of drought in the West. Right now, 87 percent of California is facing ``Extreme Drought'' conditions and 33 percent of the state is experiencing ``Exceptional Drought'' conditions, the most severe category.

A growing number of States, including California, have begun offering rebates to homeowners to improve the water efficiency of their homes. Unfortunately, many homeowners are unaware that they are required to pay federal income taxes on these rebates and are surprised to be stuck with that bill. Still other homeowners aware of the tax implications are disincentivized from making these efficiencies to their homes.

The ``Water Conservation Rebate Tax Parity Act'' would exempt such State and local rebates for water conservation improvements, as well as improvements to better handle storm water runoff, from taxable income. This would eliminate the unexpected bill homeowners face, increasing the incentive to make these improvements, which benefit all of us.

I note that such State rebates for energy conservation improvements are already excluded from taxable income. Thus, my bill would simply put water conservation rebates on par with energy conservation rebates for tax treatment.

It is critical that Congress explore many ways to address climate change and mitigate the impacts that we are already seeing. Encouraging homeowners to make their properties more water-efficient is one way to do that.

I hope my colleagues will join me in support of this bill. Thank you, Mr. President, and I yield the floor.

Mr. President, I rise to speak in support of the ``Disaster Mitigation and Tax Parity Act,'' which Senator Burr and I introduced today. Representative Mike Thompson (D-CA) has introduced companion legislation in the House of Representatives.

Encouraging homeowners to take steps to reduce the risk of natural catastrophe damage to their homes has long been a goal of policy makers. In California, it has been a special challenge to incentivize individuals to purchase earthquake insurance and to harden their homes against potential earthquake damage.

The threat of natural disasters and extreme weather events has become a much greater problem in recent years due to climate change, which is driving an increasing frequency and severity of wildfires, droughts, hurricanes, and other catastrophic events. This, in turn, is reducing the availability and increasing the costs of insurance for individuals and businesses.

A growing number of states, including California, have begun offering rebates to homeowners to improve their homes to mitigate against damage from such events. Unfortunately, many homeowners are unaware that they are required to pay Federal income taxes on these rebates and are surprised to be stuck with that bill. Other homeowners who are aware of the tax implications are disincentivized from making these improvements to their homes.

The ``Disaster Mitigation and Tax Parity Act'' would exempt such State rebates for disaster mitigation improvements from taxable income. This would eliminate the unexpected bill homeowners face, increasing the incentive to make these improvements, which benefit all of us.

I also note that such State rebates for energy conservation improvements are already excluded from taxable income. Thus, our bill would simply put disaster mitigation rebates on par with energy conservation measures.

I am pleased that Congress is exploring many ways to address climate change-related matters. Encouraging homeowners to make their properties more resistant to natural catastrophe damage is one way to help.

I hope my colleagues will join me in support of this bill. Thank you, Mr. President, and I yield the floor.

Mr. President, I rise to speak in support of the ``Disaster Mitigation and Tax Parity Act,'' which Senator Burr and I introduced today. Representative Mike Thompson (D-CA) has introduced companion legislation in the House of Representatives.

Encouraging homeowners to take steps to reduce the risk of natural catastrophe damage to their homes has long been a goal of policy makers. In California, it has been a special challenge to incentivize individuals to purchase earthquake insurance and to harden their homes against potential earthquake damage.

The threat of natural disasters and extreme weather events has become a much greater problem in recent years due to climate change, which is driving an increasing frequency and severity of wildfires, droughts, hurricanes, and other catastrophic events. This, in turn, is reducing the availability and increasing the costs of insurance for individuals and businesses.

A growing number of states, including California, have begun offering rebates to homeowners to improve their homes to mitigate against damage from such events. Unfortunately, many homeowners are unaware that they are required to pay Federal income taxes on these rebates and are surprised to be stuck with that bill. Other homeowners who are aware of the tax implications are disincentivized from making these improvements to their homes.

The ``Disaster Mitigation and Tax Parity Act'' would exempt such State rebates for disaster mitigation improvements from taxable income. This would eliminate the unexpected bill homeowners face, increasing the incentive to make these improvements, which benefit all of us.

I also note that such State rebates for energy conservation improvements are already excluded from taxable income. Thus, our bill would simply put disaster mitigation rebates on par with energy conservation measures.

I am pleased that Congress is exploring many ways to address climate change-related matters. Encouraging homeowners to make their properties more resistant to natural catastrophe damage is one way to help.

I hope my colleagues will join me in support of this bill. Thank you, Mr. President, and I yield the floor.

Mr. President, I rise to introduce the ``Water Reuse and Resiliency Act.'' This legislation would authorize $1 billion for innovative water infrastructure projects that respond to our Country's growing water needs and the historic drought facing the Western United States.

In the face of unprecedented heat and drought conditions across the Western United States, and growing water resource challenges across the entire Nation, it is critically important that we invest now to modernize and adapt our water systems for the 21st century.

The Environmental Protection Agency's Alternative Water Source Projects pilot program provides competitive grants to engineer, design, construct, and test alternative water source systems, including water recycling systems and projects that conserve, manage, reclaim, or reuse water resources.

The Water Reuse and Resiliency Act would reauthorize the EPA's Alternative Water Source Projects pilot program for five years, increase the authorization to $1 billion, and make stormwater reuse and groundwater recharge projects eligible for grant funding.

According to the National Oceanic and Atmospheric Administration (NOAA), as of July 13, an estimated 89% of the Western U.S. is experiencing drought. Unfortunately, historic droughts are becoming the new normal. The impacts of drought on water availability are compounded by triple-digit temperatures, record low snowpack levels, and a growing population.

By expanding the use of alternative, non-traditional water sources, such as capturing stormwater runoff and recycling wastewater for groundwater recharge, the Water Reuse and Resiliency Act supports innovations in water treatment that can deliver a new, safe, and reliable source of water for potable use or irrigation.

I thank my co-lead, Senator Feinstein, for her tireless leadership fighting for clean water for Californians and

all Americans. I also thank the cosponsors of this bill for championing this vital effort with us in the Senate.

I look forward to working with my colleagues to enact the ``Water Reuse and Resiliency Act'' as quickly as possible.

Thank you, Mr. President, I yield the floor.

Mr. President, today I have introduced the Encouraging Americans to Save Act (EASA). This legislation makes common sense reforms to the saver's tax credit by making the credit refundable and restructuring it as a government matching contribution that is directly deposited into a taxpayer's retirement savings account. This bill would offer matching contributions for the first time to millions of middle and low income individuals not covered by an employer-sponsored retirement plan, including those who save through an IRA under a state or local government savings program--such as workers in my home State of Oregon under the OregonSaves program. The government match is also available to middle and lower income savers who participate in an employer-sponsored plan. The government match provided by the bill would both encourage saving and help middle and low income earners build assets by providing an immediate, meaningful return on their personal contributions. The legislation would also establish a coronavirus bonus recovery credit that would provide an additional government match of up to $5,000 to workers on their retirement saving for a five year period. I urge my colleagues to support this legislation.

Mr. President, I ask unanimous consent that the text of the bill be printed in the Record.