Enrichment was performed to isolate organisms that could utilize reduced phosphorus compounds as their sole phosphorus sources. One isolate that grew well with either hypophosphite or phosphite was identified by 16S rRNA gene analysis as a strain of Alcaligenes faecalis. The genes required for oxidation of hypophosphite and phosphite by this organism were identified by using transposon mutagenesis and include homologs of the ptxD and htxA genes of Pseudomonas stutzeri WM88, which encode an NAD-dependent phosphite dehydrogenase (PtxD) and 2-oxoglutarate-dependent hypophosphite dioxygenase (HtxA). This organism also has the htxB, htxC, and htxD genes that comprise an ABC-type transporter, presumably for hypophosphite and phosphite transport. The role of these genes in reduced phosphorus metabolism was confirmed by analyzing the growth of mutants in which these genes were deleted. Sequencing data showed that htxA, htxB, htxC, and htxD are virtually identical to their homologs in P. stutzeri at the DNA level, indicating that horizontal gene transfer occurred. However, A. faecalis ptxD is very different from its P. stutzeri homolog and represents a new ptxD lineage. Therefore, this gene has ancient evolutionary roots in bacteria. These data suggest that there is strong evolutionary selection for the ability of microorganisms to oxidize hypophosphite and phosphite.Inorganic phosphate and its organic esters and anhydrides are the predominant forms of phosphorus found in biological systems. These compounds, which are required metabolites in all living organisms, each contain P in its most oxidized state (ϩ5 valence). Nevertheless, it is now clear that many organisms produce and consume reduced P compounds. For example, many bacteria can catalyze the oxidation of reduced P compounds, such as hypophosphite (ϩ1 valence) and phosphite (ϩ3 valence), to phosphate, which allows use of these compounds as sole P sources (3,7,12,14,15). In addition, at least one organism, Desulfotignum phosphitoxidans, is known to use the oxidation of phosphite as its sole energy source for growth (18).Three discrete metabolic pathways that allow the use of phosphite as a source of phosphorus have been characterized. The first of these pathways, mediated by the enzyme carbonphosphorus lyase (C-P lyase), is found in numerous bacterial species. The phnCDEFGHIJKLMNOP operon, which encodes C-P lyase and a phosphorus transport system, was originally discovered as a genetic locus in Escherichia coli that is responsible for the oxidation of organic phosphonic acids (21). However, it was later shown that C-P lyase also allows the oxidation of inorganic phosphite (14). E. coli also contains a second system for phosphite oxidation, which surprisingly turns out to be a mediated by the enzyme alkaline phosphatase (encoded by phoA). Although this enzyme is much better known for its ability to hydrolyze phosphate esters, it is also apparently able to hydrolyze phosphite to phosphate and molecular H 2 . Strangely, this activity is a unique property of the E. co...