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U.S. Code as of:
01/19/04
Section 1298. Cost effectiveness
(a) Congressional statement of policy
It is the policy of Congress that a project for waste treatment
and management undertaken with Federal financial assistance under
this chapter by any State, municipality, or intermunicipal or
interstate agency shall be considered as an overall waste treatment
system for waste treatment and management, and shall be that system
which constitutes the most economical and cost-effective
combination of devices and systems used in the storage, treatment,
recycling, and reclamation of municipal sewage or industrial wastes
of a liquid nature to implement section 1281 of this title, or
necessary to recycle or reuse water at the most economical cost
over the estimated life of the works, including intercepting
sewers, outfall sewers, sewage collection systems, pumping power,
and other equipment, and their appurtenances; extension,
improvements, remodeling, additions, and alterations thereof;
elements essential to provide a reliable recycled supply such as
standby treatment units and clear well facilities; and any works,
including site acquisition of the land that will be an integral
part of the treatment process (including land use for the storage
of treated wastewater in land treatment systems prior to land
application) or which is used for ultimate disposal of residues
resulting from such treatment; water efficiency measures and
devices; and any other method or system for preventing, abating,
reducing, storing, treating, separating, or disposing of municipal
waste, including storm water runoff, or industrial waste, including
waste in combined storm water and sanitary sewer systems; to meet
the requirements of this chapter.
(b) Determination by Administrator as prerequisite to approval of
grant
In accordance with the policy set forth in subsection (a) of this
section, before the Administrator approves any grant to any State,
municipality, or intermunicipal or interstate agency for the
erection, building, acquisition, alteration, remodeling,
improvement, or extension of any treatment works the Administrator
shall determine that the facilities plan of which such treatment
works are a part constitutes the most economical and cost-effective
combination of treatment works over the life of the project to meet
the requirements of this chapter, including, but not limited to,
consideration of construction costs, operation, maintenance, and
replacement costs.
(c) Value engineering review
In furtherance of the policy set forth in subsection (a) of this
section, the Administrator shall require value engineering review
in connection with any treatment works, prior to approval of any
grant for the erection, building, acquisition, alteration,
remodeling, improvement, or extension of such treatment works, in
any case in which the cost of such erection, building, acquisition,
alteration, remodeling, improvement, or extension is projected to
be in excess of $10,000,000. For purposes of this subsection, the
term "value engineering review" means a specialized cost control
technique which uses a systematic and creative approach to identify
and to focus on unnecessarily high cost in a project in order to
arrive at a cost saving without sacrificing the reliability or
efficiency of the project.
(d) Projects affected
This section applies to projects for waste treatment and
management for which no treatment works including a facilities plan
for such project have received Federal financial assistance for the
preparation of construction plans and specifications under this
chapter before December 29, 1981.
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