Water Infrastructure Subcontractor and Taxpayer Protection Act of 2025

This legislation amends the Water Infrastructure Finance and Innovation Act of 2014 (WIFIA) to introduce new financial security requirements for projects receiving federal assistance. Its primary goal is to ensure that construction projects funded through WIFIA have adequate payment and performance security in place, thereby protecting subcontractors and taxpayer investments. Specifically, the bill mandates that the Secretary or Administrator ensure construction projects have appropriate security. This requirement can be satisfied if applicable State or local law already requires payment and performance security, provided that the amount is at least 50 percent of the total construction contract amount . If State or local requirements are absent or do not meet this 50 percent threshold, the bill requires adherence to the federal bond requirements outlined in section 3131(b) of title 40, United States Code.