Ground Water Research, Development, and Demonstration Act - Directs the Administrator of the Environmental Protection Agency to establish a research, development, and demonstration program for the protection, maintenance, and restoration of groundwater resources. Authorizes the Administrator to contract or cooperate with other government or private entities, including using existing Federal facilities on a reimbursable basis.

Requires the Administrator to establish a media-specific research committee for groundwater resources to annually summarize major research issues, including State and local needs.

Requires the Administrator to establish a standing subcommittee on groundwater resources within the Science Advisory Board established under the Environmental Research, Development, and Demonstration Act of 1978 to review and report to the Congress on the research committee's report.

Directs the Administrator to carry out a program of research, evaluation, testing, development, and demonstration of practices, methods, technologies, and processes which may be effective in controlling sources or potential sources of groundwater contaminants. Authorizes the Administrator to contract out or make grants for demonstration projects selected on the basis of their potential for mitigating contaminants which pose the greatest risk to human health and the environment, their broad-based applicability, and cost effectiveness. Sets forth monitoring and quality control requirements.

Authorizes the Administrator to make grants or enter into cooperative agreements or loans with State and local governments for activities under this Act, limiting the Federal share of research and survey costs.

Authorizes the Administrator to research the effects of groundwater contaminants on human health, including laboratory, clinical, and epidemiological studies.

Authorizes the Administrator to conduct training and establish research fellowships. Directs the Administrator to make grants to research institutions to establish and operate three groundwater research institutes for research and information dissemination. Requires such institutions to be located in areas making significant use of groundwater which has experienced significant contamination problems. Limits the Federal share of such institutional costs. Sets forth program approval procedures.

Directs the Administrator to establish a national groundwater clearinghouse and a technology transfer program.

Authorizes appropriations.