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[Senate Report 110-114]
[From the U.S. Government Publishing Office]

                                                       Calendar No. 247
110th Congress                                                   Report
                                 SENATE
 1st Session                                                    110-114

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             TUMALO WATER CONSERVATION PROJECT ACT OF 2007

                                _______
                                

                 June 28, 2007.--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. 1037]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 1037) to authorize the Secretary of the 
Interior to assist in the planning, design, and construction of 
the Tumalo Irrigation District Water Conservation Project in 
Deschutes County, Oregon, having considered the same, reports 
favorably thereon without amendment and recommends that the 
bill do pass.

                                PURPOSE

    The purpose of S. 1037 is to authorize the Secretary of the 
Interior to assist in the planning, design, and construction of 
the Tumalo Irrigation District Water Conservation Project in 
Deschutes County, Oregon.

                          BACKGROUND AND NEED

    The Tumalo Irrigation District (TID or District), located 
near Bend, Oregon, serves 635 land owners on approximately 
8,000 irrigated acres with over 80 miles of canals, laterals, 
and ditches. In March 2005, TID completed its Bend Feed Canal 
Project (authorized by P.L. 106-496) and now seeks to begin its 
larger Water Conservation Project (Project). The goals of the 
Project are to enhance the flows in the middle basin of the 
Deschutes River, a major tributary to the Columbia River in 
Oregon, between Lake Billy Chinook and the City of Bend, and to 
eliminate water loss, enhance public safety, and conserve 
energy.
    The project will pipe about 6 miles of open canals; enhance 
pressurized water to TID irrigators (in lieu of pumping 
systems) even in drought years; and provide in-stream flow 
benefits for Tumalo Creek and the Deschutes River. Although 
historically productive for trout and anadromous fisheries, the 
Middle Deschutes River has recently experienced reduced 
seasonal flows as low as 30 cubic feet per second (cfs). TID's 
goal for the Middle Deschutes basin is to achieve flows of 250 
cfs, and the District estimates that the Project will provide 
20 cfs in water savings for an in-stream transfer in Tumalo 
Creek and the Deschutes River. The total estimated cost 
associated with the Project is $16 million.

                          LEGISLATIVE HISTORY

    S. 1037 was introduced on March 29, 2007 by Senator Smith 
for himself and Senator Wyden, and referred to the Committee on 
Energy and Natural Resources. The Water and Power Subcommittee 
held a hearing on S. 1037 on April 25, 2007. At the business 
meeting on May 23, 2007, the Committee on Energy and Natural 
Resources ordered S. 1037 favorably reported.

                        COMMITTEE RECOMMENDATION

    The Senate Committee on Energy and Natural Resources, in an 
open business meeting on May 23, 2007, by voice vote of a 
quorum present, recommends that the Senate pass S. 1037.

                      SECTION-BY-SECTION ANALYSIS

    Section 1 provides the short title.
    Section 2 sets forth definitions.
    Section 3(a) authorizes the Secretary to participate in the 
planning, design, and construction of the Tumalo Irrigation 
District Water Conservation Project in Oregon, in cooperation 
with the District.
    Section 3(b) requires that the Federal share of the total 
cost of the Project be 25 percent, nonreimbursable to the 
United States, and credits toward the non-Federal share of the 
Project any amounts that the District provides toward the 
design, planning, and construction before the date of enactment 
of this Act.
    Section 3(c) requires that the District hold title to any 
facilities constructed under the Act.
    Section 3(d) requires that the District pay the operation 
and maintenance costs of the Project.
    Section 3(e) declares that any assistance provided under 
the Act shall not be considered to be a supplemental or 
additional benefit under Federal reclamation law.
    Section 4 authorizes $4,000,000 to be appropriated for the 
Federal share of the cost of the Project.
    Section 5 declares that the authority in the Act expires 10 
years after the date of enactment.

                   COST AND BUDGETARY CONSIDERATIONS

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

                                                      June 1, 2007.
Hon. Jeff Bingaman,
Chairman, Committee on Energy and Natural Resources,
U.S. Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 1037, the Tumalo 
Water Conservation Project Act of 2007.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Tyler 
Kruzich.
            Sincerely,
                                                   Peter R. Orszag.
    Enclosure.

S. 1037--Tumalo Water Conservation Project Act of 2007

    Summary: S. 1037 would authorize the Secretary of the 
Interior to participate in the planning, design, and 
construction of the Tumalo Irrigation District Water 
Conservation Project in Deschutes County, Oregon. The bill 
would authorize the appropriation of $4 million for that 
purpose, and CBO estimates that implementing S. 1037 would cost 
$4 million over the 2008-2012 period. Enacting the bill would 
have no effect on direct spending or revenues.
    S. 1037 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA); 
any costs incurred by the Tumalo Irrigation District would 
result from complying with conditions of federal assistance.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 1037 is shown in the following table. 
The costs of this legislation fall within budget function 300 
(natural resources and environment).

----------------------------------------------------------------------------------------------------------------
                                                                       By fiscal year, in millions of dollars--
                                                                    --------------------------------------------
                                                                       2008     2009     2010     2011     2012
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Estimated Authorization Level......................................        1        1        1        1        0
Estimated Outlays..................................................        1        1        1        1        0
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that the 
legislation will be enacted before the start of fiscal year 
2008 and that the authorized funding will be provided over the 
2008-2011 period.
    S. 1037 would authorize the Secretary of the Interior to 
participate in the planning, design, and construction of the 
Tumalo Irrigation District Water Conservation Project in 
Deschutes County, Oregon. Based on information from the Bureau 
of Reclamation, CBO expects that this work would be completed 
over four or five years.
    Under the legislation, the federal share of the cost of the 
project would be 25 percent, and federal funds would not be 
available for operation and maintenance of the project. 
Assuming appropriation of the authorized amounts, CBO estimates 
that implementing the legislation would cost $4 million over 
the 2008-2012 period.
    Intergovernmental and private-sector impact: S. 1037 
contains no intergovernmental or private-sector mandates as 
defined in UMRA. Any costs that the Tumalo Irrigation District 
might incur, including matching funds, would result from 
complying with conditions of federal assistance.
    Estimate prepared by: Federal Costs: Tyler Kruzich; Impact 
on State, Local, and Tribal Governments: Lisa Ramirez-Branum; 
Impact on the Private Sector: Amy Petz.
    Estimate approved by: Peter H. Fontaine, 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. 1037. The bill is not a regulatory measure in 
the sense of imposing Government-established standards or 
significant responsibilities on private individuals and 
business.
    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. 1037.

                        EXECUTIVE COMMUNICATION

    The testimony provided by the Department of the Interior at 
the Subcommittee hearing on S. 1037 follows:

Statement of Robert Johnson, Commissioner, Bureau of Reclamation, U.S. 
                       Department of the Interior

    I am Robert Johnson, Commissioner of the Bureau of 
Reclamation. I appreciate the opportunity to provide the 
Department's views on S. 1037, legislation to authorize the 
Secretary to participate in the planning, design, and 
construction of the Tumalo Irrigation District Water 
Conservation Project in Deschutes County, Oregon. The 
Department cannot support S. 1037.
    The Tumalo Irrigation District (District) and the 
facilities in question are not part of a Reclamation project. 
During the 1990's the District did have a repayment contract 
for rehabilitation of Crescent Lake Dam. The District satisfied 
its repayment obligation to the United States in 1998, and 
holds title to all project facilities.
    The Tumalo Irrigation District Water Conservation Project 
(Project) would convert approximately 6 miles of open canal in 
the District into a pipeline. It is Reclamation's understanding 
that the Project, known locally as the Tumalo Feed Canal 
pipeline, would conserve up to 20 cubic feet per second (cfs) 
of water for instream use. The Administration supports the 
objective of the District to conserve water and to improve 
instream flows while not diminishing the amount of water 
available for agricultural uses. Furthermore, we recognize the 
improvements made in S. 1037 over legislation introduced in the 
previous Congress.
    S. 1037 authorizes the Secretary to participate in the 
planning, design, and construction of the Project and provides 
authorization for $4.0 million to be appropriated for the 
Federal share of the Project. Project sponsors anticipate the 
Federal share of the Project would be made in the form of a 
grant; however, the language in Section 3(a)(1) does not 
clearly give the Secretary such authority.
    Most importantly, the Department is concerned that use of 
Reclamation funds on non-Reclamation projects would adversely 
impact water projects which Congress has charged Reclamation 
with operating and maintaining. Reclamation activities are 
targeted to perform essential functions at Federal projects, 
such as security, operations and maintenance (O&M), resource 
management, dam safety, and construction.
    As conceived, the District's water conservation project may 
be ideally suited to compete for funds within the Department of 
the Interior's existing water conservation programs like the 
Water 2025 Program. Through such conservation programs, local 
entities develop innovative on-the-ground solutions to water 
supply problems with financial assistance from Reclamation. 
However, because of the reasons stated above, the Department 
cannot support the legislation.
    This concludes my testimony. I would be pleased to answer 
any questions.

                        CHANGES IN EXISTING LAW

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, the Committee notes that no 
changes in existing law are made by the bill S. 1037, as 
ordered reported.

                                  
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