39–006 

113TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 2d Session 113–553 

TO APPROVE THE TRANSFER OF YELLOW CREEK PORT 

PROPERTIES IN IUKA, MISSISSIPPI 

JULY 24, 2014.—Committed to the Committee of the Whole House on the State of 

the Union and ordered to be printed 

Mr. SHUSTER, from the Committee on Transportation and 

Infrastructure, submitted the following 

R E P O R T 

[To accompany H.R. 3044] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Transportation and Infrastructure, to whom 

was referred the bill (H.R. 3044) to approve the transfer of Yellow 

Creek Port properties in Iuka, Mississippi, having considered the 

same, report favorably thereon without amendment and recommend that the bill do pass. 

CONTENTS 

Page 

Purpose of Legislation ............................................................................................. 2 

Background and Need for Legislation .................................................................... 2 

Hearings ................................................................................................................... 3 

Legislative History and Consideration .................................................................. 3 

Committee Votes ...................................................................................................... 3 

Committee Oversight Findings ............................................................................... 4 

New Budget Authority and Tax Expenditures ...................................................... 4 

Congressional Budget Office Cost Estimate .......................................................... 4 

Performance Goals and Objectives ......................................................................... 5 

Advisory of Earmarks .............................................................................................. 5 

Duplication of Federal Programs ............................................................................ 5 

Disclosure of Directed Rule Makings ..................................................................... 5 

Federal Mandate Statement ................................................................................... 5 

Preemption Clarification ......................................................................................... 6 

Advisory Committee Statement .............................................................................. 6 

Applicability of Legislative Branch ........................................................................ 6 

Section-by-Section Analysis of Legislation ............................................................ 6 

Changes in Existing Law Made by the Bill, as Reported ..................................... 6 


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PURPOSE OF LEGISLATION

H.R. 3044, to approve the transfer of Yellow Creek Port properties in Iuka, Mississippi, approves the conveyance of property by 

the Tennessee Valley Authority to the State of Mississippi. 

BACKGROUND AND NEED FOR LEGISLATION

The Tennessee Valley Authority (TVA) was established by Congress in 1933 to aid in the development of the Tennessee River Valley region through the proper use, conservation, and development 

of the region’s natural resources. The region includes parts of seven 

states—Virginia, Kentucky, Tennessee, North Carolina, Mississippi, Alabama, and Georgia. 

TVA is an independent government corporation, with headquarters in Knoxville, Tennessee. One of the most significant programs of the TVA has been the furnishing of plentiful, low cost 

electricity to the region. 

Under Section 4(k)(b) of the Tennessee Valley Authority Act of 

1933, TVA may ‘‘convey by deed, lease, or otherwise, the possession 

and control of any such real property to any corporation, partnership, person, or persons for the purpose of erecting thereon docks 

and buildings for purposes or the manufacture or storage thereon 

of products for the purpose of trading or shipping in transportation: 

Provided, That no transfer authority herein (b) shall be made without the approval of Congress: . . .’’ 

This provision allows TVA to negotiate the conveyance of property without a public auction, subject to the approval of Congress. 

Though rare, Congress has taken action to approve of this type 

of non-competitive conveyance in the past. For instance, in August 

1954, Congress enacted Public Law 83–722 to approve of the conveyance TVA public use terminal properties in Knoxville, Chattanooga, and Harriman, Tennessee, and Decatur and Guntersville, 

Alabama. 

The Yellow Creek Port Project is an industrial port development 

project at the juncture of the Tennessee and Tombigbee Rivers to 

stimulate economic growth in the northern Mississippi area. The 

project initiators were TVA, Mississippi Development Authority, 

Tombigbee River Valley Water Management District, and Yellow 

Creek Port Authority which were bound by a contractual agreement first executed in 1971 to develop the port. 

As intended by this project, economic and industrial port development has occurred, including industrial growth, high paying jobs, 

associated spin off industries, and increased traffic on the inland 

waterway system. TVA’s contribution consisted of land, roads and 

railroads, docks, buildings, and materials handling equipment 

equaling about $7 million, most of which were appropriated funds. 

Mississippi’s investment in the project has been considerably more 

significant and to date totals over $24 million. 

Construction of Yellow Creek Port in 1971 initially involved approximately 289 acres. Approximately 116 acres have been sold in 

fee. The remaining approximately 173 acres to be conveyed are described as follows: 

75 acres are encumbered by a permanent industrial easement; 

16.8 acres are encumbered by highway easements; 


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26.5 acres are encumbered by railroad easements; and, 

54 acres remain undeveloped and zoned for industrial use. 

Of the lands that are encumbered by permanent easements, the 

easement rights are so extensive that the remaining fee has no appreciable value. The easement rights include rail and road rightsof way over tracts that are only wide enough to allow the applicable rail line or road as well as easements that allow industrial or 

port operations over the entire tract. 

The 54 unencumbered acres that remain undeveloped have been 

available for sale since 1984, despite ongoing marketing efforts by 

TVA. Approximately 50 percent of this remaining land is undevelopable due to topography and sensitive resources. 

TVA has not considered asking for fair market value for the land 

transfer due to state and local investments at Yellow Creek Port, 

and due to TVA’s determination that transferring the land to the 

state of Mississippi, with the condition that it be developed solely 

for industrial purposes consistent with Section 4(k)(b) of the TVA 

Act, is the most effective way to advance TVA’s original economic 

development goals for the project. 

Under a law enacted by the state in 2011, Mississippi is authorized to acquire the property if environmental assessments determine that the property is clear of any contaminants or pollutants 

and if TVA waives certain payment obligations. Although some 

spending may occur if the state’s environmental assessments identify a need for remedial action, TVA anticipates that any such costs 

would be negligible and could occur under current law. 

TVA does place reversionary interest clauses in transfers and 

sales to ensure that those uses specified by Congress in the TVA 

Act are carried out. TVA retains the right to re-enter and take possession of the property if the use conditions are breached. 

HEARINGS

No hearings were held on H.R. 3044. 

LEGISLATIVE HISTORY AND CONSIDERATION

On August 2, 2013, Representative Alan Nunnelee of Mississippi 

introduced H.R. 3044, a bill to approve the transfer of Yellow Creek 

Port properties in Iuka, Mississippi. 

On July 16, 2014, the Committee on Transportation and Infrastructure met in open session to consider H.R. 3044, and ordered 

the bill reported favorably to the House by voice vote with a 

quorum present. 

COMMITTEE VOTES

Clause 3(b) of rule XIII of the Rules of the House of Representatives requires each committee report to include the total number of 

votes cast for and against on each recorded vote on a motion to report and on any amendment offered to the measure or matter, and 

the names of those members voting for and against. There were no 

recorded votes taken in connection with consideration of H.R. 3044, 

or ordering the bill reported. A motion to order H.R. 3044 reported 

favorably to the House was agreed to by voice vote with a quorum 

present. 


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COMMITTEE OVERSIGHT FINDINGS

With respect to the requirements of clause 3(c)(1) of rule XIII of 

the Rules of the House of Representatives, the Committee’s oversight findings and recommendations are reflected in this report. 

NEW BUDGET AUTHORITY AND TAX EXPENDITURES

Clause 3(c)(2) of rule XIII of the Rules of the House of Representatives does not apply where a cost estimate and comparison prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974 has been timely 

submitted prior to the filing of the report and is included in the report. Such a cost estimate is included in this report. 

CONGRESSIONAL BUDGET OFFICE COST ESTIMATE

With respect to the requirement of clause 3(c)(3) of rule XIII of 

the Rules of the House of Representatives and section 402 of the 

Congressional Budget Act of 1974, the Committee has received the 

enclosed cost estimate for H.R. 3044 from the Director of the Congressional Budget Office: 

U.S. CONGRESS, 

CONGRESSIONAL BUDGET OFFICE, 

Washington, DC, July 18, 2014. 

Hon. BILL SHUSTER, 

Chairman, Committee on Transportation and Infrastructure, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 3044, a bill to approve 

the transfer of Yellow Creek Port properties in Iuka, Mississippi. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Kathleen Gramp. 

Sincerely, 

DOUGLAS W. ELMENDORF. 

Enclosure. 

H.R. 3044—A bill to approve the transfer of Yellow Creek Port properties in Iuka, Mississippi 

H.R. 3044 would authorize the Tennessee Valley Authority (TVA) 

to convey certain federal properties to the state of Mississippi. Enacting the bill would affect direct spending; therefore, pay-as-yougo procedures apply. CBO estimates, however, that the net impact 

on direct spending would be insignificant over the 2014–2024 period. Enacting H.R. 3044 would not affect revenues or spending 

subject to appropriation. 

Based on information from TVA and the state of Mississippi, 

CBO estimates that TVA would convey approximately 172 acres in 

an area known as the Yellow Creek Port in Iuka, Mississippi. 

Under a law enacted by the state in 2011, Mississippi is authorized 

to acquire the property if environmental assessments determine 

that the property is clear of any contaminants or pollutants and if 

TVA waives certain payment obligations. The conveyance is subject 

to Congressional approval because the transfer would occur 

through a noncompetitive process. 


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TVA would incur some administrative and other expenses to implement the conveyance, but CBO expects that those costs probably 

would be insignificant in any given year. Although some spending 

may occur if the state’s environmental assessments identify a need 

for remedial action, TVA anticipates that any such costs would be 

negligible and could occur under current law. Furthermore, CBO 

estimates that any changes in TVA’s expenses would have no significant net effect on direct spending over the 2014–2024 period because TVA is required by law to pass on all of its costs and savings 

to its electricity customers. 

H.R. 3044 contains no intergovernmental or private-sector mandates as defined in the Unfunded Mandates Reform Act and would 

benefit the state of Mississippi. 

On February 28, 2014, CBO transmitted a cost estimate for S. 

212, a bill to approve the transfer of Yellow Creek Port Properties 

in Iuka, Mississippi, as ordered reported by the Senate Committee 

on Environment and Public Works on February 6, 2014. H.R. 3044 

is identical to S. 212 and the CBO cost estimates are the same. 

The CBO staff contact for this estimate is Kathleen Gramp. The 

estimate was approved by Theresa Gullo, Deputy Assistant Director for Budget Analysis. 

PERFORMANCE GOALS AND OBJECTIVES

With respect to the requirement of clause 3(c)(4) of rule XIII of 

the Rules of the House of Representatives, the performance goal 

and objective of this legislation is to approve the transfer of Yellow 

Creek Port properties in Iuka, Mississippi. 

ADVISORY OF EARMARKS

Pursuant to clause 9 of rule XXI of the Rules of the House of 

Representatives, the Committee is required to include a list of congressional earmarks, limited tax benefits, or limited tariff benefits 

as defined in clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of 

the House of Representatives. No provision in the bill includes an 

earmark, limited tax benefit, or limited tariff benefit under clause 

9(e), 9(f), or 9(g) of rule XXI. 

DUPLICATION OF FEDERAL PROGRAMS

Pursuant to section 3(j) of H. Res. 5, 113th Cong. (2013), the 

Committee finds that no provision of H.R. 3044 establishes or reauthorizes a program of the federal government known to be duplicative of another federal program, a program that was included in 

any report from the Government Accountability Office to Congress 

pursuant to section 21 of Public Law 111–139, or a program related 

to a program identified in the most recent Catalog of Federal Domestic Assistance. 

DISCLOSURE OF DIRECTED RULE MAKINGS

Pursuant to section 3(k) of H. Res. 5, 113th Cong. (2013), the 

Committee estimates that H.R. 3044 directs no rule makings. 

FEDERAL MANDATE STATEMENT

The Committee adopts as its own the estimate of federal mandates prepared by the Director of the Congressional Budget Office 


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pursuant to section 423 of the Unfunded Mandates Reform Act 

(P.L. 104–4). 

PREEMPTION CLARIFICATION

Section 423 of the Congressional Budget Act of 1974 requires the 

report of any Committee on a bill or joint resolution to include a 

statement on the extent to which the bill or joint resolution is intended to preempt state, local, or tribal law. The Committee states 

that H.R. 3044 does not preempt any state, local, or tribal law. 

ADVISORY COMMITTEE STATEMENT

No advisory committees within the meaning of section 5(b) of the 

Federal Advisory Committee Act are created by this legislation. 

APPLICABILITY TO THE LEGISLATIVE BRANCH

The Committee finds that the legislation does not relate to the 

terms and conditions of employment or access to public services or 

accommodations within the meaning of section 102(b)(3) of the Congressional Accountability Act (P.L. 104–1). 

SECTION-BY-SECTION ANALYSIS OF LEGISLATION

Section 1. Transfer of Yellow Creek Port properties 

Section 1 provides for the approval of the conveyance of 172 acres 

of property from the Tennessee Valley Authority to the State of 

Mississippi. 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

H.R. 3044 makes no changes in existing law. 

Æ 


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