SECTION 1. FINDINGS.

    Congress finds the following:
            (1) Drought, population increases, and environmental needs 
        are exacerbating water supply issues across the western United 
        States, including on the Southern Ute Indian Reservation in 
        southwestern Colorado.
            (2) A report of the General Accounting Office from 2006 
        identified significant issues with the Pine River Indian 
        Irrigation Project, including that key facilities of the Pine 
        River Indian Irrigation Project are severely deteriorated and 
        barely, if at all, operable.
            (3) Operations and maintenance fees are not sufficient to 
        address the Pine River Indian Irrigation Project's condition, 
        even though the Bureau of Indian Affairs has sought to double 
        those fees, from $8.50 to $17.00, in recent years.
            (4) The 2006 General Accounting Office report also notes 
        that a prior study done by the Bureau of Reclamation found that 
        water users could not even afford to pay the lower operations 
        and maintenance fees of $8.50 and operate a profitable farming 
        operation.
            (5) The benefits of rehabilitating and repairing the Pine 
        River Indian Irrigation Project's irrigation infrastructure 
        include--
                    (A) water conservation;
                    (B) extending available water supply;
                    (C) increasing agricultural production;
                    (D) economic benefits;
                    (E) safer facilities; and
                    (F) preserving the culture of the Southern Ute 
                Indian Tribe.
            (6) While the Pine River Indian Irrigation Project is 
        currently managed by the Bureau of Indian Affairs, the Southern 
        Ute Indian Tribe also receives water from facilities owned or 
        operated by the Bureau of Reclamation.
            (7) Rehabilitation and repair of the Pine River Indian 
        Irrigation Project's infrastructure by the Bureau of 
        Reclamation would improve--
                    (A) overall water management; and
                    (B) the ability of the Southern Ute Indian Tribe 
                and the Bureau of Reclamation to address potential 
                water conflicts.

SEC. 2. DEFINITIONS.

    In this Act--
            (1) Project.--The term ``project'' means the Pine River 
        Indian Irrigation Project.
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.
            (3) State.--The term ``State'' means the State of Colorado.
            (4) Tribal council.--The term ``Tribal Council'' means the 
        Southern Ute Indian Tribal Council.
            (5) Tribe.--The term ``Tribe'' means the Southern Ute 
        Indian Tribe.

SEC. 3. PROJECT INFRASTRUCTURE STUDY.

    (a) Study.--The Secretary, in consultation with the Tribe, shall 
conduct a study of the project's irrigation infrastructure.
    (b) Improvements.--
            (1) List.--Based on the results of the study required under 
        subsection (a), the Secretary, in consultation with the Tribe, 
        shall develop a list of improvements to repair, rehabilitate, 
        or reconstruct the project over a 10-year period. The list 
        shall include cost-estimates for each improvement.
            (2) Priority.--In developing the list of improvements, the 
        Secretary shall prioritize the improvements based on--
                    (A) recommendations of the Tribe;
                    (B) cost-benefit analyses;
                    (C) the ability of the project's users to irrigate 
                agricultural land using the project's irrigation 
                infrastructure;
                    (D) the effect on the conservation of water;
                    (E) the cultural benefits that the improvements 
                would have on the Tribe; and
                    (F) the opportunity to address water supply or 
                environmental conflicts.
    (c) Consultation.--The Secretary may consult with the Director of 
the Bureau of Indian Affairs and any other local or Federal official to 
assist developing the study or list of improvements.
    (d) Report.--Not later than 18 months after the date of the 
enactment of this Act, the Secretary shall submit to the Committee on 
Energy and Natural Resources of the Senate, the Committee on Natural 
Resources of the House of Representatives, and the Tribe a report 
including--
            (1) the list of improvements required under subsection (b); 
        and
            (2) any findings the Secretary determines relevant.
    (e) Biennial Review.--Not later than 2 years after the date on 
which the Secretary submits the report under subsection (d), and 
biennially thereafter, the Secretary, in consultation with the Tribe, 
shall--
            (1) review the report; and
            (2) update the list of improvements in accordance with 
        subsection (b)(2) as the Secretary determines to be 
        appropriate.

SEC. 4. IRRIGATION INFRASTRUCTURE GRANTS AND COOPERATIVE AGREEMENTS.

    (a) In General.--The Secretary may provide grants to, and enter 
into cooperative agreements with, the Tribe in order to repair, 
rehabilitate, reconstruct, or replace the project's irrigation 
infrastructure.
    (b) Limitation.--A grant or cooperative agreement under this 
section shall not be used for--
            (1) the repair, rehabilitation, or reconstruction of any 
        major impoundment structure; or
            (2) any on-farm improvements.
    (c) Consultation.--In carrying out a grant or cooperative agreement 
under subsection (a), the Secretary shall--
            (1) consult with, and obtain the approval of, the Tribe;
            (2) consult with the Director of the Bureau of Indian 
        Affairs; and
            (3) as appropriate, coordinate the project with any work 
        being conducted under the irrigation operations and maintenance 
        program of the Bureau of Indian Affairs.
    (d) Cost-Sharing.--The Secretary may require that to be eligible 
for a grant or cooperative agreement under this section, the Tribe 
shall provide matching, non-Federal funds in an amount equal to not 
less than 25 percent of the total amount of the grant or cooperative 
agreement.

SEC. 5. FEDERAL AND STATE LAW.

    Nothing in this Act--
            (1) affects the right of the Tribe to receive, divert, 
        store, or claim a right to water, including the priority of 
        right and the quantity of water associated with the water right 
        under Federal or State law; or
            (2) preempts or affects--
                    (A) State water law; or
                    (B) an interstate compact relating to the 
                allocation of water.

SEC. 6. AUTHORIZATION OF APPROPRIATIONS.

    (a) Study.--There is authorized to be appropriated to carry out 
section 3 $4,000,000.
    (b) Projects.--There is authorized to be appropriated to carry out 
section 4 $10,000,000 for each of fiscal years 2010 through 2015.
Directs the Secretary of the Interior to study the irrigation infrastructure of the Pine River Indian Irrigation Project, Colorado, and develop a list of improvements to repair, rehabilitate, or reconstruct the Project over a 10-year period.

Requires the Secretary to prioritize improvements based on: (1) recommendations of the Southern Ute Indian Tribe; (2) cost-benefit analyses; (3) the ability of the Project's users to irrigate agricultural land using the Project's irrigation infrastructure; (4) the effect on water conservation; (5) the cultural benefits that the improvements would have on the Tribe; and (6) the opportunity to address water supply or environmental conflicts.

Authorizes the Secretary to provide grants to, and enter into cooperative agreements with, the Tribe in order to repair, rehabilitate, reconstruct, or replace the Project's irrigation infrastructure. Prohibits such a grant or agreement from being used for the repair, rehabilitation, or reconstruction of any major impoundment structure or for on-farm improvements.

Requires the Secretary, in carrying out a grant or cooperative agreement, to: (1) consult with the Tribe and the Director of the Bureau of Indian Affairs (BIA) and obtain the Tribe's approval; and (2) coordinate the project with any work being conducted under the BIA's irrigation operations and maintenance program.

Authorizes the Secretary to require the Tribe to provide nonfederal funds to match not less than 25% of the total amount of a grant or agreement.
To direct the Secretary of the Interior to assess the irrigation infrastructure of the Pine River Indian Irrigation Project in the State of Colorado, and for other purposes.