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[Senate Report 111-305]
[From the U.S. Government Publishing Office]

                                                       Calendar No. 591
111th Congress                                                   Report
                                 SENATE
 2d Session                                                     111-305

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     MAGNA WATER DISTRICT WATER REUSE AND GROUNDWATER RECHARGE 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. 745]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 745) to amend the Reclamation Wastewater 
and Groundwater Study and Facilities Act to authorize the 
Secretary of the Interior to participate in the Magna Water 
District water reuse and groundwater recharge project, and for 
other purposes, having considered the same, reports favorably 
thereon with amendments and recommends that the bill, as 
amended, do pass.
    The amendment is as follows:
    On page 2, line 24, strike ``shall'' and insert ``may''.

                                Purpose

    The purpose of S. 745 is to amend the Reclamation 
Wastewater and Groundwater Study and Facilities Act to 
authorize the Secretary of the Interior to participate in the 
Magna Water District water reuse and groundwater recharge 
project, and for other purposes.

                          Background and Need

    The Magna Water District (Magna), located in Magna, Utah, 
provides drinking water, irrigation water, and sewer services 
to the Magna Township, northwestern areas of West Valley City, 
and a portion of the southwestern Salt Lake City area. The 
funds to be made available pursuant to the Bureau of 
Reclamation's (Reclamation) Title XVI program will assist Magna 
with removing perchlorate and arsenic from the groundwater, 
resulting in high quality drinking water and high quality 
effluent that can be used for irrigation purposes through a 
reuse and secondary irrigation system. Successful removal of 
the perchlorate and arsenic will reduce the overall current use 
of treated water. S. 745 adds an additional project to the list 
of authorized Title XVI projects. Federal funding contributions 
will be limited to 25 percent of the total project costs, or 
$12 million, whichever is less.

                          Legislative History

    S. 745 was introduced by Senator Hatch on March 31, 2009. 
The House companion measure (H.R. 2265), sponsored by 
Representative Chaffetz, passed the House of Representatives by 
voice vote on September 22, 2009. The Subcommittee on Water and 
Power held a hearing on S. 745 and H.R. 2265 on April 27, 2010. 
The Committee on Energy and Natural Resources considered S. 745 
at its business meeting on July 21, 2010, and ordered it 
favorably reported with amendment.

                        Committee Recommendation

    The Committee on Energy and Natural Resources, in open 
business session on July 21, 2010, by voice vote of a quorum 
present, recommends that the Senate pass S. 745, if amended as 
described herein.

                          Committee Amendment

    During its consideration of H.R. 745, the Committee adopted 
an amendment. The amendment replaces the word ``shall'' with 
the word ``may'' in providing the secretary discretion to allow 
the project beneficiaries to obtain credit toward a non-federal 
cost share for certain costs incurred prior to enactment.

                      Section-by-Section Analysis

    Section 1 provides the short title of the bill.
    Section 2 amends the Reclamation Wastewater and Groundwater 
Study and Facilities Act, Title XVI of Public Law 102-575, by 
adding a new section authorizing the Secretary of the Interior 
to participate in the design, planning, and construction of 
permanent facilities needed to establish recycled water 
distribution and wastewater treatment and reclamation 
facilities that will be used to provide recycled water to users 
within the Magna Water District, with a federal cost-share not 
to exceed 25 percent of the total cost or $12 million, 
whichever is less. Section 2 also provides authority to the 
Bureau of Reclamation to credit certain costs incurred by Magna 
prior to January 1, 2003, towards the non-Federal share of the 
costs of the project.

                   Cost and Budgetary Considerations

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

S. 745--Magna Water District Water Reuse and Groundwater Recharge Act 
        of 2009

    Summary: S. 745 would authorize the Bureau of Reclamation 
to participate in developing a water project in the Magna Water 
District in Salt Lake County, Utah. Assuming appropriation of 
the authorized amount, CBO estimates that implementing S. 745 
would cost $12 million over the 2011-2015 period. Enacting the 
legislation would not affect direct spending or revenues; 
therefore, pay-as-you-go procedures do not apply.
    S. 745 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 745 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--
                                                         -------------------------------------------------------
                                                            2011     2012     2013     2014     2015   2011-2015
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Authorization Level.....................................       12        0        0        0        0        12
Estimated Outlays.......................................        8        4        0        0        0        12
----------------------------------------------------------------------------------------------------------------

    Basis of estimate: For this estimate, CBO assumes that S. 
745 will be enacted in 2010 and that the federal share of the 
project's costs will be appropriated in fiscal year 2011. 
Estimated outlays are based on information provided by the 
Bureau of Reclamation.
    S. 745 would authorize the bureau to design, plan, and 
construct water recycling facilities in the Magna Water 
District. The legislation would authorize the appropriation of 
$12 million to cover nearly 25 percent of the project's costs 
(about $50 million). The remainder of those costs would be the 
responsibility of local governments, as would the costs of 
operating and maintaining the facility.
    Pay-as-you-go considerations: None.
    Intergovernmental and private-sector impact: S. 745 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would impose no costs on state, local, or 
tribal governments. The bill would benefit the Magna Water 
District in Utah by authorizing federal assistance for 
planning, designing, and constructing water facilities.
    Previous CBO estimate: On September 18, 2009, CBO 
transmitted a cost estimate for H.R. 2265, the Magna Water 
District Water Reuse and Groundwater Recharge Act of 2009, as 
ordered reported by the House Committee on Natural Resources on 
September 10, 2009. The two pieces of legislation and CBO's 
cost estimates are similar.
    Estimate prepared by: Federal Costs: Aurora Swanson; Impact 
on State, Local, and Tribal Governments: Melissa Merrell; 
Impact on the Private Sector: Amy Petz.
    Estimate 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. 745.
    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. 745 as ordered reported.

                   Congressionally Directed Spending

    In accordance with paragraph 4(b) of rule XLIV of the 
Standing Rules of the Senate, the Committee provides the 
following identification of congressionally directed spending 
items contained in the bill, as reported:

------------------------------------------------------------------------
            Section                    Provision             Member
------------------------------------------------------------------------
2.............................  Authorization of        Senator Hatch.
                                 appropriations.
------------------------------------------------------------------------

                        Executive Communications

  Statement of Kira L. Finkler, Deputy Commissioner for External and 
  Intergovernmental Affairs, Bureau of Reclamation, Department of the 
                                Interior

    Madam Chairwoman and Members of the Subcommittee, I am Kira 
Finkler, Deputy Commissioner for External and Intergovernmental 
Affairs at the Bureau of Reclamation (Reclamation). I am 
pleased to provide the views of the Department of the Interior 
(Department) on S. 745, the Magna Water District Water Reuse 
and Groundwater Recharge Project. For reasons I will discuss 
below, the Administration cannot support the bill.
    S. 745 would amend the Reclamation Wastewater and 
Groundwater Study and Facilities Act (Public Law 102-575, 43 
U.S.C. 390h et seq.), commonly called Title XVI, to authorize 
the Secretary of the Interior to participate in the design, 
planning, and construction of permanent facilities needed to 
establish recycled water distribution and wastewater treatment 
and reclamation facilities in the Magna Water District in Salt 
Lake County, Utah.
    S. 745 authorizes a $12 million (25 percent) Federal cost 
share for the project. The proposed project has an estimated 
total project cost of $51 million and would reduce the 
District's reliance on high quality potable water by 580 
million gallons (1,780 acre-feet) per year, currently used for 
non-potable water supply. Reclamation completed a review of the 
Magna Water District's Feasibility Study in July 2009, and made 
a finding that the District's report met the requirements of a 
feasibility study as defined under Section 1604 of Title XVI.
    S. 745 would authorize the project under Title XVI for 
Federal funding not to exceed 25 percent or $20 million, 
whichever is less.
    While the Department supports efforts to increase local 
water supplies and increase recycled water use, this project 
would compete for funds with other needs within the Reclamation 
program, including other Title XVI projects currently under 
construction. In general, the Department supports the Title XVI 
Reclamation and Reuse program. The 2011 budget proposal 
includes funding for the Department's WaterSMART Program, and 
Title XVI is an important element of that program. 
Specifically, the 2011 budget proposal includes $29 million for 
the Title XVI program, a 113% increase over the 2010 enacted 
level.
    As part of this total, the Department is requesting $20 
million for Title XVI projects to be selected using criteria to 
identify activities most closely aligned with Title XVI 
statutory and program goals. On March 15, 2010, Reclamation 
posted an announcement inviting comment on 1 draft funding 
criteria for Title XVI projects. After these criteria are 
finalized with comments received up through April 16, 
Reclamation will review and rank Title XVI project proposals 
received based on those criteria subject to appropriations in 
fiscal year 2011.
    Separately, in July of 2009, the Department announced the 
allocation of approximately $135 million in grants for specific 
authorized Title XVI projects using funds from the American 
Recovery and Reinvestment Act, or ARRA. We recognize that water 
reuse is an essential tool in stretching the limited water 
supplies in the West, and I believe the FY 2011 Budget request 
on top of the ARRA funding has demonstrated the emphasis placed 
by this Administration on this Program. However, given that 
there are 53 already authorized Title XVI projects and numerous 
competing mission priorities and demands on Reclamation's 
budget, the Department cannot support the authorization of new 
Title XVI projects or extensions of existing authorized cost 
ceilings at this time.
    Reclamation will, however, continue to work with project 
proponents to evaluate the completeness of feasibility studies 
of their projects.
    Madam Chairwoman, this concludes my testimony. Thank you 
for the opportunity to comment on S. 745. I would be pleased to 
answer any questions at this time.

                        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. 745, 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, Title XVI, Section 16XX (106 Stat. 4663)

 AN ACT To amend the Reclamation Wastewater and Groundwater Study and 
     Facilities Act to authorize the Secretary of the Interior to 
  participate in the Magna Water District water reuse and groundwater 
               recharge project, and for other purposes.

    Be it enacted by the Senate and the 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.

           *       *       *       *       *       *       *

                             TABLE OF CONTENTS

     * * * * * * *

       TITLE XVI--RECLAMATION WASTEWATER AND GROUND WATER STUDIES

     * * * * * * *
Sec. 1649. Magna Water District water reuse and groundwater recharge 
          project, Utah. 

           *       *       *       *       *       *       *

       TITLE XVI--RECLAMATION WASTEWATER AND GROUNDWATER STUDIES

SEC. 1601. SHORT TITLE.

    This title may be referred to as the ``Reclamation 
Wastewater and Groundwater Study and Facilities Act''.

           *       *       *       *       *       *       *

SEC. 1649. MAGNA WATER DISTRICT WATER REUSE AND GROUNDWATER RECHARGE 
                    PROJECT, UTAH.

    (a) Authorization.--The Secretary, in cooperation with the 
Magna Water District, Utah, may participate in the design, 
planning, and construction of permanent facilities needed to 
establish recycled water distribution and wastewater treatment 
and reclamation facilities that will be used to provide 
recycled water in the Magna Water District.
    (b) Cost Sharing.--
          (1) Federal share.--The Federal share of the capital 
        cost of the project described in subsection (a) shall 
        not exceed 25 percent of the total cost of the project.
          (2) Non-federal share.--Each cost incurred by the 
        Magna Water District after January 1, 2003, relating to 
        any capital, planning, design, permitting, 
        construction, or land acquisition (including the value 
        of reallocated water rights) for the project described 
        in subsection (a) may be credited towards the non-
        Federal share of the costs of the project.
    (c) Limitation.--Funds provided by the Secretary shall not 
be used for operation or maintenance of the project described 
in subsection (a).
    (d) Authorization of Appropriations.--There is authorized 
to be appropriated to carry out this section $12,000,000.

           *       *       *       *       *       *       *

                                  
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