H. R. 3391

One Hundred Eighth Congress

of the

United States of America

AT THE SECOND SESSION

Begun and held at the City of Washington on Tuesday,

the twentieth day of January, two thousand and four

An Act

To authorize the Secretary of the Interior to convey certain lands and facilities

of the Provo River Project.

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 ‘‘Provo River Project Transfer

Act’’.

SEC. 2. DEFINITIONS.

In this Act:

(1) AGREEMENT.—The term ‘‘Agreement’’ means the contract numbered 04–WC-40–8950 and entitled ‘‘Agreement

Among the United States, the Provo River Water Users Association, and the Metropolitan Water District of Salt Lake & Sandy

to Transfer Title to Certain Lands and Facilities of the Provo

River Project’’ and shall include maps of the land and features

to be conveyed under the Agreement.

(2) ASSOCIATION.—The term ‘‘Association’’ means the Provo

River Water Users Association, a nonprofit corporation organized under the laws of the State.

(3) DISTRICT.—The term ‘‘District’’ means the Metropolitan

Water District of Salt Lake & Sandy, a political subdivision

of the State.

(4) PLEASANT GROVE PROPERTY.—

(A) IN GENERAL.—The term ‘‘Pleasant Grove Property’’

means the 3.79-acre parcel of land acquired by the United

States for the Provo River Project, Deer Creek Division,

located at approximately 285 West 1100 North, Pleasant

Grove, Utah, as in existence on the date of enactment

of this Act.

(B) INCLUSIONS.—The term ‘‘Pleasant Grove Property’’

includes the office building and shop complex constructed

by the Association on the parcel of land described in

subparagraph (A).

(5) PROVO RESERVOIR CANAL.—The term ‘‘Provo Reservoir

Canal’’ means the canal, and any associated land, rights-ofway, and facilities acquired, constructed, or improved by the

United States as part of the Provo River Project, Deer Creek

Division, extending from, and including, the Murdock Diversion

Dam at the mouth of Provo Canyon, Utah, to and including

the Provo Reservoir Canal Siphon and Penstock, as in existence

on the date of enactment of this Act.
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(6) SALT LAKE AQUEDUCT.—The term ‘‘Salt Lake Aqueduct’’

means the aqueduct and associated land, rights-of-way, and

facilities acquired, constructed or improved by the United States

as part of the Provo River Project, Aqueduct Division, extending

from, and including, the Salt Lake Aqueduct Intake at the

base of Deer Creek Dam to and including the Terminal Reservoirs located at 3300 South St. and Interstate Route 215

in Salt Lake City, Utah, as in existence on the date of enactment of this Act.

(7) SECRETARY.—The term ‘‘Secretary’’ means the Secretary

of the Interior or a designee of the Secretary.

(8) STATE.—The term ‘‘State’’ means the State of Utah.

SEC. 3. CONVEYANCE OF LAND AND FACILITIES.

(a) CONVEYANCES TO ASSOCIATION.—

(1) PROVO RESERVOIR CANAL.—

(A) IN GENERAL.—In accordance with the terms and

conditions of the Agreement and subject to subparagraph

(B), the Secretary shall convey to the Association, all right,

title, and interest of the United States in and to the Provo

Reservoir Canal.

(B) CONDITION.—The conveyance under subparagraph

(A) shall not be completed until the Secretary executes

the Agreement and accepts future arrangements entered

into by the Association, the District, the Central Utah

Water Conservancy District, and the Jordan Valley Water

Conservancy District providing for the operation, ownership, financing, and improvement of the Provo Reservoir

Canal.

(2) PLEASANT GROVE PROPERTY.—In accordance with the

terms and conditions of the Agreement, the Secretary shall

convey to the Association, all right, title, and interest of the

United States in and to the Pleasant Grove Property.

(b) CONVEYANCE TO DISTRICT.—

(1) IN GENERAL.—In accordance with the terms and conditions of the Agreement, and subject to the execution of the

Agreement by the Secretary, the Secretary shall convey to

the District, all right, title, and interest of the United States

in and to Salt Lake Aqueduct.

(2) EASEMENTS.—

(A) IN GENERAL.—As part of the conveyance under

paragraph (1), the Secretary shall grant to the District

permanent easements to—

(i) the National Forest System land on which the

Salt Lake Aqueduct is located; and

(ii) land of the Aqueduct Division of the Provo

River Project that intersects the parcel of non-Federal

land authorized to be conveyed to the United States

under section 104(a) of Public Law 107–329 (116 Stat.

2816).

(B) PURPOSE.—The easements conveyed under

subparagraph (A) shall be for the use, operation, maintenance, repair, improvement, or replacement of the Salt

Lake Aqueduct by the District.

(C) LIMITATION.—The United States shall not carry

out any activity on the land subject to the easements

conveyed under subparagraph (A) that would materially
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interfere with the use, operation, maintenance, repair,

improvement, or replacement of the Salt Lake Aqueduct

by the District.

(D) BOUNDARIES.—The boundaries of the easements

conveyed under subparagraph (A) shall be determined by

the Secretary, in consultation with the District and the

Secretary of Agriculture.

(E) TRANSFER OF ADMINISTRATIVE JURISDICTION.—

(i) IN GENERAL.—On conveyance of the easement

to the land described in subparagraph (A)(ii), the Secretary, subject to the easement, shall transfer to the

Secretary of Agriculture administrative jurisdiction

over the land.

(ii) ADMINISTRATIVE SITE.—The land transferred

under clause (i) shall be administered by the Secretary

of Agriculture as an administrative site.

(F) ADMINISTRATION.—The easements conveyed under

subparagraph (A) shall be administered by the Secretary

of Agriculture in accordance with section 501(b)(3) of the

Federal Land Policy and Management Act of 1976 (43

U.S.C. 1761(b)(3)).

(c) CONSIDERATION.—

(1) ASSOCIATION.—

(A) IN GENERAL.—In exchange for the conveyance

under subsection (a)(1), the Association shall pay the Secretary an amount that is equal to the sum of—

(i) the net present value of any remaining debt

obligation of the United States with respect to the

Provo Reservoir Canal; and

(ii) the net present value of any revenues from

the Provo Reservoir Canal that, based on past history—

(I) would be available to the United States

but for the conveyance of the Provo Reservoir

Canal under subsection (a)(1); and

(II) would be deposited in the reclamation fund

established under the first section of the Act of

June 17, 1902 (43 U.S.C. 391), and credited under

the terms of Reclamation Manual/Directives and

Standards PEC 03–01.

(B) DEDUCTION.—In determining the net present

values under clauses (i) and (ii) of subparagraph (A), the

Association may deduct from the net present value such

sums as are required for the reimbursement described in

the Agreement.

(2) DISTRICT.—

(A) IN GENERAL.—In exchange for the conveyance

under subsection (b)(1), the District shall pay the Secretary

an amount that is equal to the sum of—

(i) the net present value of any remaining debt

obligation of the United States with respect to the

Salt Lake Aqueduct; and

(ii) the net present value of any revenues from

the Salt Lake Aqueduct that, based on past history—

(I) would have been available to the United

States but for the conveyance of the Salt Lake

Aqueduct under subsection (b)(1); and
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(II) would be deposited in the reclamation fund

established under the first section of the Act of

June 17, 1902 (43 U.S.C. 391), and credited under

the terms of Reclamation Manual/Directives and

Standards PEC 03–01.

(B) DEDUCTION.—In determining the net present

values under clauses (i) and (ii) of subparagraph (A), the

District may deduct from the net present value such sums

as are required for the reimbursement described in the

Agreement.

(d) PAYMENT OF COSTS.—In addition to amounts paid to the

Secretary under subsection (c), the Association and the District

shall, in accordance with the Agreement, pay the Secretary—

(1) any necessary and reasonable administrative and real

estate transfer costs incurred by the Secretary in carrying

out the conveyance; and

(2) one-half of any necessary and reasonable costs associated with complying with—

(A) the National Environmental Policy Act of 1969

(42 U.S.C. 4321 et seq.);

(B) the Endangered Species Act of 1973 (16 U.S.C.

1531 et seq.); and

(C)(i) the National Historic Preservation Act (16 U.S.C.

470 et seq.); and

(ii) any other Federal cultural resource laws.

(e) COMPLIANCE WITH ENVIRONMENTAL LAWS.—

(1) IN GENERAL.—Before conveying land and facilities under

subsections (a) and (b), the Secretary shall comply with all

applicable requirements under—

(A) the National Environmental Policy Act of 1969

(42 U.S.C. 4321 et seq.);

(B) the Endangered Species Act of 1973 (16 U.S.C.

1531 et seq.); and

(C) any other law applicable to the land and facilities.

(2) EFFECT.—Nothing in this Act modifies or alters any

obligations under— (A) the National Environmental Policy Act of 1969

(42 U.S.C. 4321 et seq.); or

(B) the Endangered Species Act of 1973 (16 U.S.C.

1531 et seq.).

SEC. 4. EXISTING CONTRACTS.

(a) DEER CREEK DIVISION CONSTRUCTION CONTRACT.—Notwithstanding the conveyances under subsections (a) and (b)(1) of section

3, and subject to the terms of the Agreement, any portion of the

Deer Creek Division, Provo River Project, Utah, that is not conveyed

under that section shall continue to be operated and maintained

by the Association, in accordance with the contract numbered I1r– 874, dated June 27, 1936, and entitled the ‘‘Contract Between

the United States and Provo River Water Users Association Providing for the Construction of the Deer Creek Division of the Provo

River Project, Utah’’. (b) PROVO RIVER PROJECT AND JORDAN AQUEDUCT SYSTEM CONTRACTS.—Subject to the terms of the Agreement, any written contract of the United States in existence on the date of enactment

of this Act relating to the operation and maintenance of any division

or facility of the Provo River Project or the Jordan Aqueduct System
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is confirmed and declared to be a valid contract of the United

States that is enforceable in accordance with the express terms

of the contract.

(c) USE OF CENTRAL UTAH PROJECT WATER.—

(1) IN GENERAL.—Subject to paragraph (2), any entity with

contractual Provo Reservoir Canal or Salt Lake Aqueduct

capacity rights in existence on the date of enactment of this

Act may, in addition to the uses described in the existing

contracts, use the capacity rights, without additional charge

or further approval from the Secretary, to transport Central

Utah Project water on behalf of the entity or others.

(2) LIMITATIONS.—An entity shall not use the capacity

rights to transport Central Utah Project water under paragraph

(1) unless—

(A) the transport of the water is expressly authorized

by the Central Utah Water Conservancy District;

(B) the use of the water facility to transport the Central

Utah Project water is expressly authorized by the entity

responsible for operation and maintenance of the facility;

and

(C) carrying Central Utah Project water through Provo

River Project facilities would not—

(i) materially impair the ability of the Central

Utah Water Conservancy District or the Secretary to

meet existing express environmental commitments for

the Bonneville Unit; or

(ii) require the release of additional Central Utah

Project water to meet those environmental commitments.

(d) AUTHORIZED MODIFICATIONS.—The Agreement may provide

for—

(1) the modification of the 1936 Repayment Contract for

the Deer Creek Division of the Provo River Project to reflect

the partial prepayment, the adjustment of the annual repayment amount, and the transfer of the Provo Reservoir Canal

and the Pleasant Grove Property; and

(2) the modification or termination of the 1938 Repayment

Contract for the Aqueduct Division of the Provo River Project

to reflect the complete payout and transfer of all facilities

of the Aqueduct Division.

(e) EFFECT OF ACT.—Nothing in this Act impairs any contract

(including subscription contracts) in effect on the date of enactment

of this Act that allows for or creates a right to convey water

through the Provo Reservoir Canal.

SEC. 5. EFFECT OF CONVEYANCE.

On conveyance of any land or facility under subsection (a)

or (b)(1) of section 3—

(1) the land and facilities shall no longer be part of a

Federal reclamation project;

(2) the Association and the District shall not be entitled

to receive any future reclamation benefits with respect to the

land and facilities, except for benefits that would be available

to other nonreclamation facilities; and

(3) the United States shall not be liable for damages arising

out of any act, omission, or occurrence relating to the land

and facilities, but shall continue to be liable for damages caused
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by acts of negligence committed by the United States or by

any employee or agent of the United States before the date

of conveyance, consistent with chapter 171 of title 28, United

States Code.

SEC. 6. REPORT.

If a conveyance required under subsection (a) or (b)(1) of section

3 is not completed by the date that is 18 months after the date

of enactment of this Act, the Secretary shall submit to Congress

a report that—

(1) describes the status of the conveyance;

(2) describes any obstacles to completing the conveyance;

and

(3) specifies an anticipated date for completion of the

conveyance.

Speaker of the House of Representatives.

Vice President of the United States and

President of the Senate.