19–006 

112TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 112–247 

TO DIRECT THE SECRETARY OF THE INTERIOR TO ALLOW FOR PREPAYMENT OF REPAYMENT CONTRACTS BETWEEN THE UNITED STATES AND 

THE UINTAH WATER CONSERVATORY DISTRICT 

OCTOBER 14, 2011.—Committed to the Committee of the Whole House on the State 

of the Union and ordered to be printed 

Mr. HASTINGS of Washington, from the Committee on Natural 

Resources, submitted the following 

R E P O R T 

[To accompany H.R. 818] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Natural Resources, to whom was referred the 

bill (H.R. 818) to direct the Secretary of the Interior to allow for 

prepayment of repayment contracts between the United States and 

the Uintah Water Conservatory District, having considered the 

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

PURPOSE OF THE BILL

The purpose of H.R. 818 is to direct the Secretary of the Interior 

to allow for prepayment of repayment contracts between the United 

States and the Uintah Water Conservancy District. 

BACKGROUND AND NEED FOR LEGISLATION

Under current federal law, water districts which benefit from Bureau of Reclamation projects can enter into a capital repayment 

contract with the federal government to repay the U.S. Treasury 

for their respective costs associated with the federal project. Most 

local water districts are not allowed under federal law to prepay 

these contractual obligations unless specifically authorized by Congress and the President. Prepayments can bring added revenue to 

the U.S. Treasury in the short-term, although they can reduce 

overall federal revenue over the long-term since compounded interest payments would be reduced. From a local water utility perspective, these prepayment authorizations can reduce local financial obligations and, in some cases, reduce burdensome federal regulatory 

requirements (such as irrigation acreage limitations and reporting 


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requirements set forth in the Reclamation Reform Act of 1982, 

Public Law 97–293). 

The Uintah Water Conservancy District could use the authority 

in H.R. 818 to prepay its municipal and industrial water contract. 

The District entered into a repayment contract with the federal 

government in 1976 to repay all reimbursable costs associated with 

the Jensen Unit of the Central Utah Project. 

COMMITTEE ACTION

H.R. 818 was introduced on February 18, 2011, by Congressman 

Jim Matheson (D–UT). The bill was referred to the Committee on 

Natural Resources, and within the Committee to the Subcommittee 

on Water and Power. On May 12, 2011, the Subcommittee on 

Water and Power held a hearing on the bill. On July 20, 2011, the 

Full Resources Committee met to consider the bill. The Subcommittee on Water and Power was discharged by unanimous consent. No amendments were offered, and the bill was ordered favorably reported to the House of Representatives by unanimous consent. 

COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of rule XIII 

of the Rules of the House of Representatives, the Committee on 

Natural Resources’ oversight findings and recommendations are reflected in the body of this report. 

COMPLIANCE WITH HOUSE RULE XIII

1. Cost of Legislation. Clause 3(d)(1) of rule XIII of the Rules of 

the House of Representatives requires an estimate and a comparison by the Committee of the costs which would be incurred in carrying out this bill. However, clause 3(d)(2)(B) of that Rule provides 

that this requirement does not apply when the Committee has included in its report a timely submitted cost estimate of the bill prepared by the Director of the Congressional Budget Office under section 402 of the Congressional Budget Act of 1974. Under clause 

3(c)(3) of rule XIII of the Rules of the House of Representatives and 

section 403 of the Congressional Budget Act of 1974, the Committee has received the following cost estimate for this bill from the 

Director of the Congressional Budget Office: 

H.R. 818—A bill to direct the Secretary of the Interior to allow for 

prepayment of repayment contracts between the United States 

and the Uintah Water Conservancy District 

H.R. 818 would allow the Uintah Water Conservancy District in 

Utah to prepay the present value of certain amounts the district 

owes to the U.S. Treasury for its share of the cost to build the Jensen Unit of the Central Utah Project. Based on information from 

the Bureau of Reclamation and the Uintah Water Conservancy District, CBO estimates that enacting the legislation would have no 

impact on the federal budget. Because the legislation would not affect direct spending or revenues, pay-as-you-go procedures do not 

apply. 

The Uintah Water Conservancy District is currently paying the 

federal government about $227,000 a year on a balance of $3.9 bilVerDate Mar 15 2010 01:24 Oct 18, 2011 Jkt 019006 PO 00000 Frm 00002 Fmt 6659 Sfmt 6602 E:\HR\OC\HR247.XXX HR247

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lion in project construction costs that have been allocated to the 

district for repayment. However, if the district chose to prepay its 

debt to the government under the bill, it also would have to pay 

for additional construction costs—totaling $7.4 million—that have 

not yet been assigned to the district for repayment. Information 

from the district indicates that it would be unable to prepay that 

additional amount. Therefore, if the bill were enacted, CBO expects 

that the district would continue to make the annual payments it 

does under current law and the legislation would have no impact 

on the federal budget. 

H.R. 818 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. 

On July 28, 2011, CBO transmitted a cost estimate for S. 808, 

a bill to direct the Secretary of the Interior to allow for prepayment 

of repayment contracts between the United States and the Uintah 

Water Conservancy District, as ordered reported by the Senate 

Committee on Energy and Natural Resources on July 14, 2011. The 

two pieces of legislation and CBO’s cost estimates are the same. 

The CBO staff contact for the estimate is Aurora Swanson. The 

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

2. Section 308(a) of Congressional Budget Act. As required by 

clause 3(c)(2) of rule XIII of the Rules of the House of Representatives and section 308(a) of the Congressional Budget Act of 1974, 

this bill does not contain any new budget authority, spending authority, credit authority, or an increase or decrease in revenues or 

tax expenditures. CBO estimates that enacting the legislation 

would have no impact on the federal budget. Because the legislation would not affect direct spending or revenues, pay-as-you-go 

procedures do not apply. 

3. General Performance Goals and Objectives. This bill does not 

authorize funding and therefore, clause 3(c)(4) of rule XIII of the 

Rules of the House of Representatives does not apply. 

EARMARK STATEMENT

This bill does not contain any Congressional earmarks, limited 

tax benefits, or limited tariff benefits as defined under clause 9(e), 

9(f), and 9(g) of rule XXI of the Rules of the House of Representatives. 

COMPLIANCE WITH PUBLIC LAW 104–4

This bill contains no unfunded mandates. 

PREEMPTION OF STATE, LOCAL OR TRIBAL LAW

This bill is not intended to preempt any State, local or tribal law. 

CHANGES IN EXISTING LAW

If enacted, this bill would make no changes in existing law. 

Æ 


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