SECTION 1. SHORT TITLE.

    This Act may be cited as the ``North Bay Water Reuse Program Act of 
2007''.

SEC. 2. PROJECT AUTHORIZATION.

    (a) In General.--The Reclamation Wastewater and Groundwater Study 
and Facilities Act (Public Law 102-575, title XVI; 43 U.S.C. 390h et 
seq.) is amended by adding at the end the following:

``SEC. 16__. NORTH BAY WATER REUSE PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Eligible entity.--The term `eligible entity' means a 
        member agency of the North Bay Water Reuse Authority of the 
        State located in the North San Pablo Bay watershed in--
                    ``(A) Marin County;
                    ``(B) Napa County;
                    ``(C) Solano County; or
                    ``(D) Sonoma County.
            ``(2) Water reclamation and reuse project.--The term `water 
        reclamation and reuse project' means a project carried out by 
        the Secretary and an eligible entity in the North San Pablo Bay 
        watershed relating to--
                    ``(A) water quality improvement;
                    ``(B) wastewater treatment;
                    ``(C) water reclamation and reuse;
                    ``(D) groundwater recharge and protection;
                    ``(E) surface water augmentation; or
                    ``(F) other related improvements.
            ``(3) State.--The term `State' means the State of 
        California.
    ``(b) North Bay Water Reuse Program.--
            ``(1) In general.--Contingent upon a finding of 
        feasibility, the Secretary, acting through a cooperative 
        agreement with the State or a subdivision of the State, is 
        authorized to enter into cooperative agreements with eligible 
        entities for the planning, design, and construction of water 
        reclamation and reuse facilities and recycled water conveyance 
        and distribution systems.
            ``(2) Coordination with other federal agencies.--In 
        carrying out this section, the Secretary and the eligible 
        entity shall, to the maximum extent practicable, use the design 
        work and environmental evaluations initiated by--
                    ``(A) non-Federal entities; and
                    ``(B) the Corps of Engineers in the San Pablo Bay 
                Watershed of the State.
            ``(3) Phased project.--A cooperative agreement described in 
        paragraph (1) shall require that the North Bay Water Reuse 
        Program carried out under this section shall consist of 2 
        phases as follows:
                    ``(A) First phase.--During the first phase, the 
                Secretary and an eligible entity shall complete the 
                planning, design, and construction of the main 
                treatment and main conveyance systems.
                    ``(B) Second phase.--During the second phase, the 
                Secretary and an eligible entity shall complete the 
                planning, design, and construction of the sub-regional 
                distribution systems.
            ``(4) Cost sharing.--
                    ``(A) Federal share.--The Federal share of the cost 
                of the first phase of the project authorized by this 
                section shall not exceed 25 percent of the total cost 
                of the first phase of the project.
                    ``(B) Form of non-federal share.--The non-Federal 
                share may be in the form of any in-kind services that 
                the Secretary determines would contribute substantially 
                toward the completion of the water reclamation and 
                reuse project, including--
                            ``(i) reasonable costs incurred by the 
                        eligible entity relating to the planning, 
                        design, and construction of the water 
                        reclamation and reuse project; and
                            ``(ii) the acquisition costs of land 
                        acquired for the project that is--
                                    ``(I) used for planning, design, 
                                and construction of the water 
                                reclamation and reuse project 
                                facilities; and
                                    ``(II) owned by an eligible entity 
                                and directly related to the project.
                    ``(C) Limitation.--The Secretary shall not provide 
                funds for the operation and maintenance of the project 
                authorized by this section.
            ``(5) Effect.--Nothing in this section--
                    ``(A) affects or preempts--
                            ``(i) State water law; or
                            ``(ii) an interstate compact relating to 
                        the allocation of water; or
                    ``(B) confers on any non-Federal entity the ability 
                to exercise any Federal right to--
                            ``(i) the water of a stream; or
                            ``(ii) any groundwater resource.
            ``(6) Authorization of appropriations.--There is authorized 
        to be appropriated for the Federal share of the total cost of 
        the first phase of the project authorized by this section 
        $25,000,000, to remain available until expended.''.
    (b) Conforming Amendment.--The table of sections in section 2 of 
Public Law 102-575 is amended by inserting after the last item relating 
to title XVI the following:

        ``Sec. 16__. North Bay water reuse program.''.
North Bay Water Reuse Program Act of 2007 - Amends the Reclamation Wastewater and Groundwater Study and Facilities Act to authorize the Secretary of the Interior, contingent upon a finding of feasibility and acting through a cooperative agreement with the state of California or a subdivision thereof, to enter into cooperative agreements with eligible entities in the North San Pablo Bay watershed located in Marin, Napa, Solano, and Sonoma Counties for the planning, design, and construction of water reclamation and reuse facilities and recycled water conveyance and distribution systems.

Directs the Secretary and such an entity to use the design work and environmental evaluations initiated by non-federal entities and the Corps of Engineers in that watershed to the maximum extent practicable.

Requires any such cooperative agreement to require the program to be carried out in two phases, during which the Secretary and an entity shall complete the planning, design, and construction of: (1) the main treatment and main conveyance systems; and (2) the sub-regional distribution systems.

Limits the federal share to 25% of the total cost of the first phase of the project. Allows the non-federal share to be in the form of in-kind services that the Secretary determines would contribute substantially toward the completion of the water reclamation and reuse project. Prohibits the Secretary from providing funds for operation and maintenance of the project. Authorizes appropriations.
To authorize the Secretary of the Interior to create a Bureau of Reclamation partnership with the North Bay Water Reuse Authority and other regional partners to achieve objectives relating to water supply, water quality, and environmental restoration.