The United States and Mexico have a special relationship as neighbors and partners under the North American Free Trade Agreement (NAFTA). The friendly relationship has been strengthened by President Bush’s meetings with President Fox. This report, covering trade, migration/border, drug trafficking, and political issues, will be updated on a regular basis.

Congress has recently focused legislative attention on narrow bills to extend or modify selected Clean Water Act (CWA) programs, rather than taking up comprehensive proposals. In the 109th Congress, the Senate Environment and Public Works Committee has approved S. 1400, a bill authorizing $20 billion in federal grants to capitalize state clean water infrastructure loan programs. Also, a House committee has approved bills to reauthorize several Clean Water Act programs: H.R. 624 would provide $1.5 billion in grants over six years for sewer overflow projects; H.R. 1359 would extend a pilot program for alternative water source projects; H.R. 1721 would reauthorize coastal water quality programs; and H.R. 3963 would extend the Long Island Sound Program.