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[Senate Report 111-320]
[From the U.S. Government Publishing Office]

                                                       Calendar No. 606
111th Congress                                                   Report
                                 SENATE
 2d Session                                                     111-320

======================================================================

 
                   LEADVILLE MINE DRAINAGE TUNNEL ACT

                                _______
                                

               September 27, 2010.--Ordered to be printed

                                _______
                                

   Mr. Bingaman, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 3404]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 3404) to amend the Reclamation Projects 
Authorization and Adjustment Act of 1992 to require the 
Secretary of the Interior, acting through the Bureau of 
Reclamation, to take actions to improve environmental 
conditions in the vicinity of the Leadville Mine Drainage 
Tunnel in Lake County, Colorado, and for other purposes, having 
considered the same, reports favorably thereon with an 
amendment and recommends that the bill, as amended, do pass.
    The amendment is as follows:
    Strike out all after the enacting clause and insert in lieu 
thereof the following:

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Leadville Mine Drainage Tunnel Act 
of 2010.''.

SEC. 2. TUNNEL MAINTENANCE; OPERATION AND MAINTENANCE.

    Section 703 of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 4656) is amended 
to read as follows:

``SEC. 703. TUNNEL MAINTENANCE; OPERATION AND MAINTENANCE.

    ``(a) Leadville Mine Drainage Tunnel--The Secretary shall take any 
action necessary to maintain the structural integrity of the Leadville 
Mine Drainage Tunnel--
          ``(1) to maintain public safety; and
          ``(2) to prevent an uncontrolled release of water.
    ``(b) Water Treatment Plant.--
          ``(1) In general.--Subject to section 705, the Secretary 
        shall be responsible for the operation and maintenance of the 
        water treatment plant authorized under section 701, including 
        any sludge disposal authorized under this title.
          ``(2) Authority to offer to enter into contracts.--In 
        carrying out paragraph (1), the Secretary may offer to enter 
        into 1 or more contracts with any appropriate individual or 
        entity for the conduct of any service required under paragraph 
        (1).''.

SEC. 3. REIMBURSEMENT.

    Section 705 of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 4656) is 
amended--
          (1) by striking ``The treatment plant'' and inserting the 
        following:
    ``(a) In General.--Except as provided in subsection (b), the 
treatment plant''; and
          (2) by adding at the end the following:
    ``(b) Exception.--The Secretary may--
          ``(1) enter into an agreement with any other entity or 
        government agency to provide funding for an increase in any 
        operation, maintenance, replacement, capital improvement, or 
        expansion cost that is necessary to improve or expand the 
        treatment plant; and
          ``(2) upon entering into an agreement under paragraph (1)--
                  ``(A) make any necessary capital improvement to or 
                expansion of the treatment plant; and
                  ``(B) treat flows that are conveyed to the treatment 
                plant, including any--
                          ``(i) surface water diverted into the 
                        Leadville Mine Drainage Tunnel; and
                          ``(ii) water collected by the dewatering 
                        relief well installed in June 2008.''.

SEC. 4. USE OF LEADVILLE MINE DRAINAGE TUNNEL AND TREATMENT PLANT.

    Section 708(a) of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 4657) is 
amended--
          (1) by striking ``(a) The Secretary'' and inserting the 
        following:
    ``(a) In General.--
          ``(1) Authorization.--The Secretary'';
          (2) by striking ``Neither'' and inserting the following:
          ``(2) Liability.--Neither'';
          (3) by striking ``The Secretary shall have'' and inserting 
        the following:
          ``(3) Facilities covered under other laws.--
                  ``(A) In general.--Except as provided in subparagraph 
                (B), the Secretary shall have'';
          (4) by inserting after ``Recovery Act.'' the following:
                  ``(B) Exception.--If the Administrator of the 
                Environmental Protection Agency proposes to amend or 
                issue a new Record of Decision for operable unit 6 of 
                the California Gulch National Priorities List Site, the 
                Administrator shall consult with the Secretary with 
                respect to each feature of the proposed new or amended 
                Record of Decision that may require any alteration to, 
                or otherwise affect the operation and maintenance of--
                          ``(i) the Leadville Mine Drainage Tunnel; or
                          ``(ii) the water treatment plant authorized 
                        under section 701.
          ``(4) Authority of secretary.--The Secretary may implement 
        any improvement to, or new operation of, the Leadville Mine 
        Drainage Tunnel or water treatment plant authorized under 
        section 701 as a result of a new or amended Record of Decision 
        only upon entering into an agreement with the Administrator of 
        the Environmental Protection Agency or any other entity or 
        government agency to provide funding for the improvement or new 
        operation.''; and
          (5) by striking ``For the purpose of'' and inserting the 
        following:
          ``(5) Definition of upper arkansas river basin.--In''.

SEC. 5. AUTHORIZATION OF APPROPRIATIONS.

    Section 708(f) of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 4657) is amended 
by striking ``sections 707 and 708'' and inserting ``this section and 
sections 703, 705, and 707''.

SEC. 6. CONFORMING AMENDMENT.

    The table of contents of title VII of the Reclamation Projects 
Authorization and Adjustment Act of 1992 (Public Law 102-575; 106 Stat. 
4601). is amended by striking the item relating to section 703 and 
inserting the following:

``Sec. 703. Tunnel maintenance; operation and maintenance.''.

                                Purpose

    The purpose of S. 3404 is to amend the Reclamation Projects 
Authorization and Adjustment Act of 1992 to require the 
Secretary of the Interior, acting through the Bureau of 
Reclamation, to take actions to improve environmental 
conditions in the vicinity of the Leadville Mine Drainage 
Tunnel in Lake County, Colorado, and for other purposes.

                          Background and Need

    The Bureau of Mines (BOM) constructed the Leadville Mine 
Drainage Tunnel (LMDT) in the 1940s and 1950s to drain water 
from mines in the Leadville, Colorado area. In 1959, the Bureau 
of Reclamation, (``Reclamation'') took ``full custody, 
accountability, and future responsibility'' for the LMDT. 
Reclamation's original purpose in acquiring the LMDT was to 
obtain additional water for the Fryingpan-Arkansas Reclamation 
Project, which was authorized in 1962, but this plan never 
materialized.
    In 1992, to implement a settlement of litigation involving 
Clean Water Act violations related to discharge from the LMDT, 
through title VII of the Reclamation Projects Authorization and 
Adjustment Act of 1992 (Public Law 102-575), Congress 
authorized Reclamation to construct a treatment plant to clean 
up discharge from the LMDT. The 1992 law specified that 
Reclamation's treatment plant shall be constructed to treat the 
quantity and quality of effluent ``historically discharged'' 
from the LMDT.
    In 1983, a significant portion of the Leadville area, known 
as the California Gulch National Priority List Site, was 
designated as a Superfund site. The LMDT is hydraulically 
connected to certain Superfund units within the site. In 2003, 
the Environmental Protection Agency (``EPA'') issued a Record 
of Decision for one of the Superfund units that implicated the 
operations of the treatment plant and led to uncertainty with 
respect to Reclamation's authority to treat additional water at 
the plant. EPA is in the process of developing a revised water 
management plan and Record of Decision that may reduce the long 
term need to utilize the treatment plant and drainage tunnel.
    In 2008, Reclamation and EPA developed a short-term plan to 
drill a relief well to dewater the LMDT and treat the pooled 
water at Reclamation's existing treatment plant. S. 3404 would 
clarify Reclamation's authority to treat water delivered 
through the LMDT and to maintain and expand the existing 
treatment plant. During the legislative hearing on the bill the 
Bureau of Reclamation indicated a commitment to ensuring that 
the facility remain safe, but was opposed to moving forward 
with legislation prior to development of the new Record of 
Decision and expressed the need to avoid expanding 
Reclamation's potential liability under CERCLA.

                          Legislative History

    Senator Mark Udall introduced S. 3404 on May 24, 2010. The 
House companion measure, H.R. 3123, sponsored by Representative 
Lamborn, passed the House of Representatives by voice vote on 
September 29, 2009. The Subcommittee on Water and Power held a 
hearing on S. 3404 on June 9, 2010. At its business meeting on 
August 5, 2010, the Committee on Energy and Natural Resources 
ordered S. 3404 favorably reported with an amendment in the 
nature of a substitute.

                        Committee Recommendation

    The Committee on Energy and Natural Resources, in open 
business session on August 5, 2010, by voice vote of a quorum 
present, recommends that the Senate pass S. 3404, if amended as 
described herein.

                          Committee Amendment

    During its consideration of S. 3404, the Committee adopted 
an amendment. The amendment clarifies that the Secretary of the 
Interior is authorized to improve or expand the treatment plant 
as necessary to treat additional water above historical flows 
that are being conveyed to and treated by the existing 
treatment plant only if the secretary has entered into a 
funding agreement with another entity or governmental agency. 
The amendment also provides that the EPA shall consult with the 
Secretary regarding a proposed new or amended Record of 
Decision that affects the operation and maintenance of the 
drainage tunnel or treatment plant.

                      Section-by-Section Analysis

    Section 1 provides the short title of the bill.
    Section 2 amends section 703 of the Reclamation Projects 
Authorization and Adjustment Act of 1992 (Public Law 102-575) 
to specify that the Secretary of Interior shall take any action 
necessary to maintain the structural integrity of the Leadville 
Mine Drainage Tunnel to maintain public safety and prevent an 
uncontrolled release of water. Section 2 also provides 
authority to the Secretary of Interior to operate and maintain 
a water treatment plant to contract for such services subject 
to certain requirements.
    Section 3 amends section 705 of Public Law 102-575 to 
specify that the Secretary may enter into an agreement with any 
other entity or government agency to provide funding for 
increased operation, maintenance, replacement, capital 
improvement, or expansion cost that is necessary to improve or 
expand the treatment plant. Upon entering into such agreement, 
the Secretary may make necessary capital improvements or 
expansions and may treat flows conveyed to the water treatment 
plant that are in excess of the quantities historically 
discharged into the tunnel, including surface water diverted 
into the tunnel and water collected by the dewatering relief 
well installed in June 2008.
    Section 4 amends section 708 of Public Law 102-575 to 
require the Administrator of the EPA to consult with 
Reclamation on a new or amended Record of Decision that affects 
the operation and maintenance of the drainage tunnel or the 
water treatment plant. Section 4 also specifies that the 
Secretary may implement any improvement to or new operation of 
the tunnel or treatment plant only upon entering into an 
agreement with the EPA or other entity or agency to provide 
funding for the improvement or new operation.
    Section 5 adds additional appropriation authority.
    Section 6 provides for a conformed table of contents.

                   Cost and Budgetary Considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office:

S. 3404--Leadville Mine Drainage Tunnel Act of 2010

    CBO estimates that implementing S. 3404 would have no 
significant impact on the federal budget. The bill would 
require the Secretary of the Interior to maintain the 
structural integrity of the Leadville Mine Drainage Tunnel, 
located one mile north of Leadville, Colorado. Based on 
information from the Bureau of Reclamation, CBO does not 
anticipate that any costs would be incurred under the bill 
beyond what the bureau will spend under current law to repair 
and maintain the tunnel over the next several years. The bill 
also would authorize the Secretary, if necessary, to seek 
reimbursements from private or public entities for the cost of 
expanding and operating the water treatment plant associated 
with the Leadville Tunnel to handle any increased water 
volumes.
    Under the bill and subject to the availability of 
appropriated funds, the Environmental Protection Agency (EPA) 
also would be authorized to pay for any additional improvements 
to the tunnel and water treatment plant as well as any increase 
in associated operations and maintenance costs if such 
improvements are required as part of EPA's plan to clean up the 
California Gulch, a Superfund site located near the tunnel. 
Under current law, any costs to treat and manage contaminated 
water from the California Gulch would stern from an existing 
federal responsibility; therefore, this provision would not 
result in additional federal outlays.
    Enacting S. 3404 would not affect direct spending or 
revenues; therefore, pay-as-you-go procedures do not apply.
    S. 3404 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no costs on state, local, or tribal governments.
    The CBO staff contact for this estimate is Aurora Swanson. 
The estimate was approved by Theresa Gullo, Deputy Assistant 
Director for Budget Analysis.

                      Regulatory Impact Evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 3404.
    The bill is not a regulatory measure in the sense of 
imposing Government-established standards or significant 
economic responsibilities on private individuals and 
businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 3404, as ordered reported.

                   Congressionally Directed Spending

    S. 3404, as ordered reported, does not contain any 
congressionally directed spending items, limited tax benefits, 
or limited tariff benefits as defined in rule XLIV of the 
Standing Rules of the Senate.

                        Executive Communications

 Statement of Michael L. Connor, Commissioner, Bureau of Reclamation, 
                       Department of the interior

    Madam Chairwoman and Members of the Subcommittee, I am 
Michael Connor, Commissioner of the Bureau of Reclamation 
(Reclamation). I am pleased to provide the views of the 
Department of the Interior (Department) on S. 3404, the 
Leadville Mine Drainage Tunnel Act of 2010. The Administration 
supports the sponsors' intent with this bill to ensure that the 
Leadville Mine Drainage Tunnel (LMDT) poses no threat to public 
safety and the environment, and to facilitate the clean-up of a 
Superfund site in the vicinity. For reasons described below, 
however, the Administration has both policy and technical 
concerns about this bill and does not believe that legislation 
is warranted at this time. We will continue to work with 
Federal, State, and non-Federal parties on water resource 
issues at the Leadville Mine Drainage Tunnel (LMDT).
    The Department last testified before this Subcommittee on 
legislation pertaining to the Leadville Mine Drainage Tunnel 
(LMDT) on April 24, 2008. Since that time, Reclamation 
completed a Risk Assessment analyzing potential dangers posed 
by water blockages inside the tunnel, and worked cooperatively 
with the U.S. Environmental Protection Agency (EPA) and 
Colorado Department of Public Health and Environment (CDPHE) to 
install additional drainage capability into the LMDT. We have 
also held several public meetings with residents living near 
the Leadville area to convey Reclamation's findings that the 
LMDT is safe, and have continued an active dialogue with the 
EPA as it revises the proposed remedy for Operable Unit 6 of 
the California Gulch National Priority List (Superfund) Site, 
which lies above the LMDT. We have also had very productive 
interactions with Senator Udall's office on this legislation, 
and we appreciate those discussions.
    The Department has three principal concerns with the 
language in S. 3404. First, we do not believe that the 
requirement in Section 2 of the bill, which calls on the 
Secretary of the Interior to take ``such steps to repair and 
maintain the structural integrity of the LMDT as may be 
necessary,'' takes into consideration Reclamation's 2008 Risk 
Assessment. The Risk Assessment, completed in the Fall of 2008, 
is described in greater detail below. Second, a determination 
by the EPA and CDPHE was made in June of 2009 that portions of 
the current remedy for Operable Unit 6 of the California Gulch 
Superfund site are not efficient or sustainable, and the 
agencies are proposing to change that remedy this year. EPA and 
CDPHE jointly concluded that ``using the mine workings and the 
[LMDT] to convey water cannot be relied on for the long-term.'' 
In view of this ongoing process, the Department also does not 
believe that Section 3 of the bill, which contemplates new 
responsibilities for the Secretary of the Interior to treat 
additional flows of water diverted from the surface of Operable 
Unit 6 into the Leadville Mine Drainage Tunnel, is appropriate. 
Finally, Section 3 of the bill amends Section 708(a) of Public 
Law 102-575 in a manner that could be construed as conferring 
responsibility on the Secretary for facilities which have been 
listed under the Comprehensive Environmental Response, 
Compensation and Liability Act (CERCLA), or are subject to the 
Resource Conservation and Recovery Act (RCRA). Reclamation is 
not a Potentially Responsible Party for contamination at the 
Leadville Superfund site, and believes that this language 
serves to create that impression and could be construed as 
creating liability where none currently exists.
    The LMDT is located in Lake County, Colorado, and was 
originally constructed by the Bureau of Mines from 1943 to 
1952. It was intended to remove water from portions of the 
Leadville Mining District to facilitate the extraction of lead 
and zinc ore for the WWII and Korean War efforts. Reclamation 
acquired the LMDT in 1959 with the intention of using the 
tunnel as a source of water for what was then the proposed 
Fryingpan-Arkansas project. Due to more senior existing claims 
on the water, no water rights for the discharge were ever 
obtained by Reclamation. The LMDT drainage discharges into the 
East Fork of the Arkansas River.
    In 1983, EPA listed the California Gulch Site on the 
National Priorities List of Superfund sites. The 18-square-mile 
area was divided into 12 areas called Operable Units (OU). The 
LMDT is located beneath a portion of a surface unit, OU6, that 
covers approximately 3.4 square miles in the northeastern 
quadrant of the Site. Groundwater in the California Gulch area 
is within a separate operable unit--designated OU12. 
Reclamation holds title to the LMDT on behalf of the United 
States, but does not own or operate any sources of 
contamination on the surface of OU6 (i.e., waste rock or 
tailings), or any portion of the surface itself.
    As part of the implementation of an OU6 remedy proposed in 
2003, EPA has been collecting surface runoff from mine waste 
piles and discharging that surface runoff into the Marion 
Shaft, where it moves through the mine workings to the LMDT. 
This water is seasonal and totals approximately 3 to 5 million 
gallons a year. It has proven to be possible for the 
Reclamation plant to treat limited amounts of waters from OU6 
for EPA pursuant to agreement and EPA's reimbursement. After 
reviewing technical data suggesting that the remedy proposed in 
2003 was neither effective nor sustainable, EPA in June 2009 
announced that, in 2010, it planned to revise this proposed 
2003 remedy, a process that is nearing completion today.
    The new data sheds additional light on the complex site 
hydrogeology, and suggests that the collection of water at the 
surface and the diversion of portions of the water into 
existing shafts, and to the LMDT, is not effective in the long 
term. Seasonally, groundwater levels fluctuate near the LMDT. 
Groundwater flows into the LMDT at numerous locations, and 
flows out of the LMDT at the portal and also into surrounding 
rock formations. In addition, EPA and CDPHE have determined 
that the new remedy should prevent the generation of 
contaminated surface waters in the first instance, thereby 
alleviating the additional 3 to 5 million gallons of 
contaminated surface water that is currently diverted through 
shafts into the LMDT.
    These characteristics also heavily influenced the findings 
of Reclamation's 2008 Risk Assessment. The assessment's purpose 
was to evaluate the stability and assess the risk associated 
with the LMDT. Reclamation began its scientific Risk Assessment 
in 2007, and when initial findings were available, they were 
independently peer reviewed. The Risk Assessment utilized a 
similar process to the one Reclamation uses to assess risk at 
its dams, a model that is an international standard for 
conducting risk assessments. The independent peer review 
confirmed Reclamation's analysis that it is highly unlikely 
that a sudden release of water could occur from either a 
blockage in the LMDT, or through the bulkheads installed in the 
tunnel. Moreover, the assessment concluded that even if an 
existing natural blockage in the upper part of the LMDT failed 
rapidly, a sudden release of water through the lower blockage 
and bulkheads is unlikely.
    When the Risk Assessment was published in the early Fall of 
2008, it was posted on the Internet and distributed to the 
media. Reclamation conducted three public meetings and sought 
public comment on the findings. We remain confident in the 
value of the Risk Assessment and the validity of its findings.
    There are three sources of LMDT water currently entering 
the treatment plant. First, the natural rate of drainage from 
the tunnel portal is 500 gallons per minute (gpm), or 1.1 cubic 
feet per second (cfs). Second, there is a well in the LMDT 
about 1000 feet in from the portal that pumps about 500 gpm or 
1.1 cfs directly to the treatment plant. And third, since June 
of 2008, Reclamation has been receiving another 700 gpm or 1.6 
cfs, accommodating the additional drainage capability via 
another well installed by EPA about 4,700 feet in from the 
portal. This well was installed in response to public concern 
about rising water levels in the vicinity of the LMDT.
    Reclamation has a maximum treatment plant capability to 
process water at a rate of nearly 2,100 gpm from the LMDT or 
4.8 cubic feet per second cfs. The NPDES permit for the 
facility states that the 30-day Average LMDT discharge cannot 
exceed 1,736 gpm or 3.89 cfs with a Daily Maximum ceiling of 
2,313 gpm or 5.2 cfs.
    As these actions illustrate, Reclamation is currently 
managing safely all waters discharged to the LMDT. 
Nevertheless, Reclamation has an Emergency Action Plan for the 
LMDT and water treatment facility that has been in place since 
2001 and is regularly updated. Water level indicators and other 
warning systems near the LMDT are tied into the water treatment 
plant's auto-dialer for employees, and an audible warning 
system was installed in 2002 to alert the Village at East Fork 
residents in the event of an emergency. The system plays an 
alert message in Spanish and English.
    We understand the concern of some in Colorado that 
Reclamation may one day ``walk away'' from the work at 
Leadville. I would like to affirm that Reclamation is committed 
to assuring that the treatment plant, pumps and pipelines are 
operated in a manner so as to protect public safety at the 
LMDT. In addition to these actions, we support the process of 
CDPHE and EPA to determine a water management portion of the 
remedy at OU6 that is more effective than actions the agency 
proposed in 2003. Recent studies conducted by EPA conclude that 
using the mine workings and the LMDT to convey water cannot be 
relied on for the long term, and that it is neither cost 
effective nor efficient to treat diluted acid rock drainage 
this way in perpetuity. Reclamation is awaiting the publication 
by EPA of a revised Record of Decision, and believes no 
legislation should be enacted until that process is complete. 
As such, the Administration does not believe that S. 3404 is 
warranted at this time.
    At a minimum, if any legislation were to proceed, it should 
be amended to address the issues raised herein.
    This concludes my written statement. I am pleased to answer 
any questions from the Subcommittee.

                        Changes in Existing Law

    In compliance with paragraph 12 of Rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the bill S. 3404, as ordered reported, are shown as follows 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed in italic, existing law in 
which no change is proposed is shown in roman):

     RECLAMATION PROJECTS AUTHORIZATION AND ADJUSTMENT ACT OF 1992

                  Public Law 102-575 (106 Stat. 4663)

 AN ACT To authorize additional appropriations for the construction of 
   the Buffalo Bill Dam and Reservoir, Shoshone Project, Pick-Sloan 
                    Missouri Basin Program, Wyoming.

    Be it enacted by the Senate and House of Representatives of 
the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reclamation Projects 
Authorization and Adjustment Act of 1992''.

           *       *       *       *       *       *       *

SEC. 2. DEFINITION AND TABLE OF CONTENTS.

    For purposes of this Act, the term `Secretary' means the 
Secretary of the Interior.

                           TABLE OF CONTENTS

Sec. 1. Short title.

           *       *       *       *       *       *       *

          TITLE VII--LEADVILLE MINE DRAINAGE TUNNEL, COLORADO

Sec. 701. Authorization.
Sec. 702. Costs nonreimbursable.
[Sec. 703. Operation and maintenance.]
Sec. 703. Tunnel maintenance; operation and maintenance.
     * * * * * * *

TITLE VII--LEADVILLE MINE DRAINAGE TUNNEL, COLORADO

           *       *       *       *       *       *       *

SEC. 703. OPERATION AND MAINTENANCE.

    [The Secretary shall be responsible for operation and 
maintenance of the water treatment plant, including sludge 
disposal authorized by this title. The Secretary may contract 
for these services.]

SEC. 703. TUNNEL MAINTENANCE; OPERATION AND MAINTENANCE.

    (a) Leadville Mine Drainage Tunnel.--The Secretary shall 
take any action necessary to maintain the structural integrity 
of the Leadville Mine Drainage Tunnel--
          (1) to maintain public safety; and
          (2) to prevent an uncontrolled release of water.
    (b) Water Treatment Plant.--
          (1) In general.--Subject to section 705, the 
        Secretary shall be responsible for the operation and 
        maintenance of the water treatment plant authorized 
        under section 701, including any sludge disposal 
        authorized under this title.
          (2) Authority to offer to enter into contracts.--In 
        carrying out paragraph (1), the Secretary may offer to 
        enter into 1 or more contracts with any appropriate 
        individual or entity for the conduct of any service 
        required under paragraph (1).

           *       *       *       *       *       *       *

SEC. 705. LIMITATION.

    [The treatment plant] (a) In General.--Except as provided 
in subsection (b), the treatment plant authorized by this title 
shall be designed and constructed to treat the quantity and 
quality of effluent historically discharged from the Leadville 
Mine Drainage Tunnel.
    (b) Exception.--The Secretary may--
          (1) enter into an agreement with any other entity or 
        government agency to provide funding for an increase in 
        any operation, maintenance, replacement, capital 
        improvement, or expansion cost that is necessary to 
        improve or expand the treatment plant; and
          (2) upon entering into an agreement under paragraph 
        (1)--
                  (A) make any necessary capital improvement to 
                or expansion of the treatment plant; and
                  (B) treat flows that are conveyed to the 
                treatment plant, including any--
                          (i) surface water diverted into the 
                        Leadville Mine Drainage Tunnel; and
                          (iii) water collected by the 
                        dewatering relief well installed in 
                        June 2008.

           *       *       *       *       *       *       *

SEC. 708. WATER QUALITY RESTORATION.

    [(a) The Secretary] (a) In General--.
          (1) Authorization.--The Secretary is authorized, in 
        consultation with the State of Colorado, the 
        Administrator of the Environmental Protection Agency, 
        and other Federal entities, to conduct investigations 
        of water pollution sources and impacts attributed to 
        mining-related and other development in the Upper 
        Arkansas River basin, to develop corrective action 
        plans, and to implement corrective action demonstration 
        projects. [Neither]
          (2) Liability.--Neither the Secretary nor any person 
        participating in a corrective action demonstration 
        project shall be liable under section 107 of the 
        Comprehensive Environmental Response, Compensation, and 
        Liability Act for costs or damages as a result of 
        actions taken or omitted in the course of implementing 
        an approved work plan developed under this section; 
        Provided, That this subsection shall not preclude 
        liability for costs or damages which result from 
        negligence on the part of such persons. [The Secretary 
        shall have]
          (3) Facilities covered under other laws.--
                  (A) In general.--Except as provided in 
                subparagraph (B), the Secretary shall have no 
                authority under this section at facilities 
                which have been listed or proposed for listing 
                on the National Priorities List, or are subject 
                to or covered by the Resource Conservation and 
                Recovery Act.
                  (B) Exception.--If the Administrator of the 
                Environmental Protection Agency proposes to 
                amend or issue a new Record of Decision for 
                operable unit 6 of the California Gulch 
                National Priorities List Site, the 
                Administrator shall consult with the Secretary 
                with respect to each feature of the proposed 
                new or amended Record of Decision that may 
                require any alteration to, or otherwise affect 
                the operation and maintenance of--
                                  (i) the Leadville Mine 
                                Drainage Tunnel; or
                                  (ii) the water treatment 
                                plant authorized under section 
                                701.
          (4) Authority of secretary.--The Secretary may 
        implement any improvement to, or new operation of, the 
        Leadville Mine Drainage Tunnel or water treatment plant 
        authorized under section 701 as a result of a new or 
        amended Record of Decision only upon entering into an 
        agreement with the Administrator of the Environmental 
        Protection Agency or any other entity or government 
        agency to provide funding for the improvement or new 
        operation. [For the purpose of]
          (5) Definition of upper arkansas river basin._In this 
        section, the term 'Upper Arkansas River basin' means 
        the Arkansas River hydrologic basin in Colorado 
        extending from Pueblo Dam upstream to its headwaters.

           *       *       *       *       *       *       *

    (f) There is authorized to be appropriated such sums as may 
be required to fulfill the provisions of [sections 707 and 708] 
this section and sections 703, 705, and 707 of this title.

           *       *       *       *       *       *       *

                                  
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