Question:
Using an estimate of medical costs and lost wages as a measure of benefit, the benefits are expected to exceed the average cost per case of waterborne disease avoided as a result of complying with the proposed initial phase of the ESWT rule (averaged for all systems)is it true?

Answer: One benefit of federal drinking water standards is the assurance that all water systems meet minimum health standards. A potential disadvantage of federal requirements, however, is that uniform requirements may cause some localities to take actions that do not make sense for their specific community -- such as testing for chemicals that are not used in their area or undertaking treatment measures for which the costs far outweigh the benefits. An important question, therefore, is whether the SDWA provides sufficient flexibility to adjust requirements in those cases.

The SDWA provides the EPA and the states with several tools that are designed to allow them to provide flexibility to water systems. Those measures of flexibility, however, have not been widely used. Furthermore, numerous barriers prevent more widespread use of these measures. Such barriers include constraints on resources, concerns about public perception, and the effect that those measures might have on protecting public health.

The SDWA Case Study Highlights Challenges That CBO Faces in Providing State and Local Cost Estimates