Water Supply Security Act of 2001

Water Supply Security Act of 2001 - Amends the Water Desalination Act of 1996 to direct Sandia National Laboratories to develop a desalination technology progress plan that includes recommendations for the location, siting, and configuration of a desalination test and evaluation facility at the Tularosa Basin located in Otero County in New Mexico. Provides for the construction of such facility by the Secretary of Energy after the completion of such plan.

Requires that the facility: (1) be used to research, test, and evaluate, new desalination technologies, to fully evaluate their performance in energy consumption, byproduct disposal, and operational maintenance costs, and to determine the most technologically- and cost-efficient means by which potable water may be produced from salinated water or other water that is unsuitable for use; and (2) should be capable of processing at least 100,000 gallons of water per day. Requires all desalinated water produced by the facility to be provided, at no cost, to one or more communities in the county. Requires the Secretary of the Interior (the Secretary) and the Secretary of Energy to establish a technology advisory committee to provide program guidance and technical assistance.

Authorizes appropriations for such Act for FY 2002 through 2008 for research and studies, for the desalination technology progress plan, and for the desalination demonstration and development program. Authorizes the Secretary to carry out such research or such program at a location outside the United States upon determining it is in the nation interest and after consulting the Secretary of State. Revises Federal cost share provisions for projects and activities under such Act.