The capacity development provisions of the 1996 Safe Drinking Water Ac
t offer a flexible framework within which states and water systems can
work together to ensure that systems acquire and maintain the technic
al, financial, and managerial capacity needed to consistently achieve
the public health protection objectives of the act. Capacity developme
nt is related to the Drinking Water State Revolving Fund (DWSRF) in tw
o important ways: states may set aside funds from their DWSRF allotmen
ts to develop and implement capacity development programs, and the US
Environmental Protection Agency (USEPA) is required to withhold DWSRF
funds from states that fail to implement the capacity development prov
isions. USEPA's implementation of the capacity development provisions
is being guided by an unprecedented process of stakeholder consultatio
n and involvement.