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[House Report 108-272]
[From the U.S. Government Publishing Office]

108th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 1st Session                                                    108-272
======================================================================

 
                      PACIFIC SALMON RECOVERY ACT

                                _______
                                

 September 16, 2003.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

  Mr. Pombo, from the Committee on Resources, submitted the following

                              R E P O R T

                        [To accompany H.R. 1945]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Resources, to whom was referred the bill 
(H.R. 1945) to authorize the Secretary of Commerce to provide 
financial assistance to the States of Alaska, Washington, 
Oregon, California, and Idaho for salmon habitat restoration 
projects in coastal waters and upland drainages, and for other 
purposes, having considered the same, report favorably thereon 
with an amendment and recommend that the bill as amended do 
pass.
    The amendment is as follows:
    Strike all after the enacting clause and insert the 
following:

SECTION 1. SHORT TITLE.

  This Act may be cited as the ``Pacific Salmon Recovery Act''.

SEC. 2. SALMON CONSERVATION AND SALMON HABITAT RESTORATION ASSISTANCE.

  (a) Requirement To Provide Assistance.--Subject to the availability 
of appropriations, the Secretary of Commerce shall provide financial 
assistance in accordance with this Act to qualified States and 
qualified tribal governments for salmon conservation and salmon habitat 
restoration activities.
  (b) Allocation.--Of the amounts available to provide assistance under 
this section each fiscal year (after the application of section 3(f)), 
the Secretary--
          (1) shall allocate 90 percent among qualified States, in 
        equal amounts; and
          (2) shall allocate 10 percent among qualified tribal 
        governments, in amounts determined by the Secretary.
  (c) Transfer.--
          (1) In general.--The Secretary shall promptly transfer to a 
        qualified State or qualified tribal government that has entered 
        into a memorandum of understanding under section 3(a) amounts 
        allocated to the qualified State or qualified tribal 
        government, respectively, under subsection (b) of this section.
          (2) Transfers to qualified states.--The Secretary shall make 
        the transfer to a qualified State under paragraph (1)--
                  (A) to the Washington State Salmon Recovery Board, in 
                the case of amounts allocated to Washington;
                  (B) to the Oregon State Watershed Enhancement Board, 
                in the case of amounts allocated to Oregon;
                  (C) to the California Department of Fish and Game for 
                the California Coastal Salmon Recovery Program, in the 
                case of amounts allocated to California;
                  (D) to the Governor of Alaska, in the case of amounts 
                allocated to Alaska; and
                  (E) to the Office of Species Conservation, in the 
                case of amounts allocated to Idaho.
  (d) Reallocation.--
          (1) Amounts allocated to qualified states.--Amounts that are 
        allocated to a qualified State for a fiscal year may be 
        reallocated under subsection (b)(1) among the other qualified 
        States, if the amounts remain unobligated at the end of the 
        subsequent fiscal year.
          (2) Amounts allocated to qualified tribal governments.--
        Amounts that are allocated to a qualified tribal government for 
        a fiscal year may be reallocated under subsection (b)(2) among 
        the other qualified tribal governments, if the qualified tribal 
        government has not entered into a memorandum of understanding 
        with the Secretary in accordance with section 3(a) as of the 
        end of the fiscal year.

SEC. 3. RECEIPT AND USE OF ASSISTANCE.

  (a) Memoranda of Understanding.--
          (1) In general.--To receive assistance under this Act, a 
        qualified State or qualified tribal government must enter into 
        a memorandum of understanding with the Secretary in accordance 
        with this subsection.
          (2) Contents.--Each memorandum of understanding shall, at a 
        minimum--
                  (A) be consistent with other applicable Federal laws;
                  (B) be consistent with the goal of salmon recovery;
                  (C) except as provided in subparagraph (D), give 
                priority to use of assistance under this section for 
                projects that--
                          (i) provide a direct and demonstrable benefit 
                        to salmon or their habitat;
                          (ii) provide the greatest benefit to salmon 
                        conservation and salmon habitat restoration 
                        relative to the cost of the projects; and
                          (iii) conserve, and restore habitat, for--
                                  (I) salmon that are listed as 
                                endangered species or threatened 
                                species, proposed for such listing, or 
                                candidates for such listing, under the 
                                Endangered Species Act of 1973 (16 
                                U.S.C. 1531 et seq.); or
                                  (II) salmon that are given special 
                                protection under the laws or 
                                regulations of the qualified State or 
                                resolutions, ordinances, or regulations 
                                of the qualified tribal government, 
                                respectively;
                  (D) in the case of a memorandum of understanding 
                submitted by a qualified State or qualified tribal 
                government the jurisdiction of which, as of the date of 
                the enactment of this Act, contains no area at which a 
                salmon species referred to in subparagraph (C)(iii)(I) 
                spawns--
                          (i) give priority to use of assistance for 
                        projects referred to in subparagraph (C)(i) and 
                        (ii) that contribute to proactive programs to 
                        conserve and enhance species of salmon that 
                        intermingle with, or are otherwise related to, 
                        species referred to in subparagraph 
                        (C)(iii)(I), which may include (among other 
                        matters)--
                                  (I) salmon-related research, data 
                                collection, and monitoring;
                                  (II) salmon supplementation and 
                                enhancement;
                                  (III) salmon habitat restoration;
                                  (IV) increasing economic 
                                opportunities for salmon fishermen; and
                                  (V) national and international 
                                cooperative habitat programs; and
                          (ii) provide for revision of the memorandum 
                        of understanding within one year after any date 
                        on which any salmon species that spawns in the 
                        qualified State is listed as an endangered 
                        species or threatened species, proposed for 
                        such listing, or a candidate for such listing, 
                        under the Endangered Species Act of 1973 (16 
                        U.S.C. 1531 et seq.);
                  (E) establish specific goals and timelines for 
                activities funded with such assistance;
                  (F) include measurable criteria by which such 
                activities may be evaluated;
                  (G) require that activities carried out with such 
                assistance shall--
                          (i) be scientifically based;
                          (ii) be cost effective;
                          (iii) not be conducted on private land except 
                        with the consent of the owner of the land; and
                          (iv) contribute to the conservation and 
                        recovery of salmon;
                  (H) require that the qualified State or qualified 
                tribal government maintain its aggregate expenditures 
                of funds from non-Federal sources for salmon habitat 
                restoration programs at or above the average level of 
                such expenditures in the 2 fiscal years preceding the 
                date of the enactment of this Act; and
                  (I) ensure that activities funded under this Act are 
                conducted in a manner in which, and in areas where, the 
                State has determined that they will have long-term 
                benefits.
          (3) Solicitation of comments.--In preparing a memorandum of 
        understanding under this subsection a qualified State should to 
        the extent practicable seek comments on the memorandum of 
        understanding from local governments in the qualified State.
  (b) Eligible Activities.--
          (1) In general.--Assistance under this Act may be used by a 
        qualified State or by a qualified tribal government in 
        accordance with a memorandum of understanding entered into by 
        the government under subsection (a), to carry out or make 
        grants to carry out, among other activities, the following:
                  (A) Watershed evaluation, assessment, and planning 
                necessary to develop a site-specific and clearly 
                prioritized plan to implement watershed improvements, 
                including for making multi-year grants.
                  (B) Salmon-related research, data collection, and 
                monitoring, salmon supplementation and enhancement, and 
                salmon habitat restoration.
                  (C) Maintenance and monitoring of projects completed 
                with such assistance.
                  (D) Technical training and education projects, 
                including teaching private landowners about practical 
                means of improving land and water management practices 
                to contribute to the conservation and restoration of 
                salmon habitat.
                  (E) Other activities related to salmon conservation 
                and salmon habitat restoration.
                  (F) In the case of a memorandum of understanding 
                regarding conservation and restoration in Washington or 
                Idaho, other activities to protect and restore Bull 
                trout.
                  (G) In the case of a memorandum of understanding 
                regarding conservation and restoration in Oregon, other 
                activities to protect and restore Lahontan cutthroat 
                trout and Bull trout.
          (2) Use for local and regional projects.--Funds allocated to 
        qualified States under this Act shall be used for local and 
        regional projects.
  (c) Use of Assistance for Activities Outside of Jurisdiction of 
Recipient.--Assistance under this section provided to a qualified State 
or qualified tribal government may be used for activities conducted 
outside the areas under its jurisdiction if the activity will provide 
conservation benefits to naturally produced salmon in streams of 
concern to the qualified State or qualified tribal government, 
respectively.
  (d) Cost Sharing by Qualified States.--
          (1) In general.--A qualified State shall match 25 percent of 
        the amount of any financial assistance provided to the 
        qualified State for a fiscal year under this Act, in the form 
        of monetary contributions or in-kind contributions of services 
        for projects carried out with such assistance. For purposes of 
        this paragraph, monetary contributions by the State shall not 
        be considered to include funds received from other Federal 
        sources.
          (2) Limitation on requiring matching for each project.--The 
        Secretary may not require a qualified State to provide matching 
        funds for each project carried out with assistance under this 
        Act.
          (3) Treatment of monetary contributions.--For purposes of 
        subsection (a)(2)(H), the amount of monetary contributions by a 
        qualified State under this subsection shall be treated as 
        expenditures from non-Federal sources for salmon conservation 
        and salmon habitat restoration programs.
  (e) Coordination of Activities.--
          (1) In general.--Each qualified State and each qualified 
        tribal government receiving assistance under this Act is 
        encouraged to carefully coordinate salmon conservation 
        activities of its agencies to eliminate duplicative and 
        overlapping activities.
          (2) Consultation.--Each qualified State and qualified tribal 
        government receiving assistance under this Act shall consult 
        with the Secretary to ensure there is no duplication in 
        projects funded under this Act.
  (f) Limitation on Administrative Expenses.--
          (1) Federal administrative expenses.--Of the amount made 
        available under this Act each fiscal year, not more than 2 
        percent may be used by the Secretary for administrative 
        expenses incurred in carrying out this Act.
          (2) State and tribal administrative expenses.--Of the amount 
        allocated under this Act to a qualified State or qualified 
        tribal government each fiscal year, not more than 4 percent may 
        be used by the qualified State or qualified tribal government, 
        respectively, for administrative expenses incurred in carrying 
        out this Act.

SEC. 4. PUBLIC PARTICIPATION.

  (a) Qualified State Governments.--Each qualified State seeking 
assistance under this Act shall establish a citizens advisory committee 
or provide another similar forum for local governments and the public 
to participate in obtaining and using the assistance.
  (b) Qualified Tribal Governments.--Each qualified tribal government 
receiving assistance under this Act shall hold public meetings to 
receive recommendations on the use of the assistance.

SEC. 5. CONSULTATION NOT REQUIRED.

  Consultation under section 7 of the Endangered Species Act of 1973 
(16 U.S.C. 1531 et seq.) shall not be required based solely on the 
provision of financial assistance under this Act.

SEC. 6. REPORTS.

  (a) Qualified States.--Each qualified State shall, by not later than 
December 31 of each year, submit to the Committee on Commerce, Science, 
and Transportation of the Senate and the Committee on Resources of the 
House of Representatives an annual report on the use of financial 
assistance received by the qualified State under this Act. The report 
shall contain an evaluation of the success of this Act in meeting the 
criteria listed in section 3(a)(2).
  (b) Secretary.--
          (1) Annual report regarding financial assistance.--The 
        Secretary shall, by not later than December 31 of each year, 
        submit to the Committee on Commerce, Science, and 
        Transportation of the Senate and the Committee on Resources of 
        the House of Representatives an annual report on the use of 
        financial assistance received by qualified States and qualified 
        tribal governments under this Act. The report shall contain an 
        evaluation of the success of this Act in meeting the criteria 
        listed in section 3(a)(2).
          (2) Annual report regarding memoranda of understanding.--The 
        Secretary shall, by not later than one year after the date of 
        the enactment of this Act, and annually thereafter--
                  (A) review the memorandum of understanding under 
                section 3(a) of each qualified State and each qualified 
                tribal government and the review process of each 
                qualified State and each qualified tribal government 
                salmon recovery program; and
                  (B) report on such review to the Committee on 
                Commerce, Science and Transportation of the Senate and 
                the Committee on Resources of the House of 
                Representatives, including recommendations of any means 
                to make the State or tribal programs more efficient for 
                salmon recovery.

SEC. 7. DEFINITIONS.

  In this Act:
          (1) Indian tribe.--The term ``Indian tribe'' has the meaning 
        given that term in section 4(e) of the Indian Self-
        Determination and Education Assistance Act (25 U.S.C. 450b(e)).
          (2) Qualified state.--The term ``qualified State'' means each 
        of the States of Alaska, Washington, Oregon, California, and 
        Idaho.
          (3) Qualified tribal government.--The term ``qualified tribal 
        government'' means--
                  (A) a tribal government of an Indian tribe in 
                Washington, Oregon, California, or Idaho that the 
                Secretary of Commerce, in consultation with the 
                Secretary of the Interior, determines--
                          (i) is involved in salmon management and 
                        recovery activities under the Endangered 
                        Species Act of 1973 (16 U.S.C. 1531 et seq.); 
                        and
                          (ii) has the management and organizational 
                        capability to maximize the benefits of 
                        assistance provided under this Act; and
                  (B) a village corporation as defined in or 
                established pursuant to the Alaska Native Claims 
                Settlement Act (43 U.S.C. 1601 et seq.) that the 
                Secretary of Commerce, in consultation with the 
                Secretary of the Interior, determines--
                          (i) is involved in salmon conservation and 
                        management; and
                          (ii) has the management and organizational 
                        capability to maximize the benefits of 
                        assistance provided under this Act.
          (4) Salmon.--The term ``salmon'' means any naturally produced 
        salmon or naturally produced trout of the following species:
                  (A) Coho salmon (oncorhynchus kisutch).
                  (B) Chinook salmon (oncorhynchus tshawytscha).
                  (C) Chum salmon (oncorhynchus keta).
                  (D) Pink salmon (oncorhynchus gorbuscha).
                  (E) Sockeye salmon (oncorhynchus nerka).
                  (F) Steelhead trout (oncorhynchus mykiss).
                  (G) Sea-run cutthroat trout (oncorhynchus clarki 
                clarki).
          (5) Secretary.--The term ``Secretary'' means the Secretary of 
        Commerce.

SEC. 8. REPORT REGARDING TREATMENT OF INTERNATIONAL FISHERY COMMISSION 
                    PENSIONERS.

  The President shall--
          (1) determine the number of United States citizens who--
                  (A) served as employees of the International Pacific 
                Salmon Fisheries Commission or the International North 
                Pacific Fisheries Commission; and
                  (B) worked in Canada in the course of employment with 
                that commission;
          (2) calculate for each such employee the difference between--
                  (A) the value, in United States currency, of the 
                annuity payments made and to be made (determined by an 
                actuarial valuation) by or on behalf of each such 
                commission to the employee; and
                  (B) the value, in Canadian currency, of such annuity 
                payments; and
          (3) by not later than September 1, 2004, submit to the 
        Committee on Resources of the House of Representatives and the 
        Committee on Commerce, Science and Transportation of the Senate 
        a report on the determinations and calculations made under 
        paragraphs (1) and (2).

SEC. 9. AUTHORIZATION OF APPROPRIATIONS.

  There is authorized to be appropriated $200,000,000 for each of the 
fiscal years 2004, 2005, and 2006 to carry out this Act. Funds 
appropriated under this section may remain until expended.

SEC. 10. SENSE OF THE CONGRESS REGARDING BIPARTISAN JULY 2000 GOALS.

  It is the sense of the Congress that the Congress supports the 
bipartisan July 2000 goals, objectives, and recommendations of the 
Governors of Idaho, Montana, Oregon, and Washington to protect and 
restore salmon and other aquatic species to sustainable and harvestable 
levels while meeting the requirements of the Endangered Species Act of 
1973, the Clean Water Act, the Pacific Northwest Electric Power 
Planning and Conservation Act, tribal treaty rights, and executive 
orders and while taking into account the need to preserve a sound 
economy in Alaska, California, Idaho, Montana, Oregon, and Washington.

                          PURPOSE OF THE BILL

    The purpose of H.R. 1945, the Pacific Salmon Recovery Act, 
is to authorize the Secretary of Commerce to provide financial 
assistance to the States of Alaska, Washington, Oregon, 
California and Idaho for salmon habitat restoration projects in 
coastal waters and upland drainages.

                  BACKGROUND AND NEED FOR LEGISLATION

    In the Pacific Northwest there are steelhead and cutthroat 
trout and five species of salmon (chinook, coho, chum, sockeye, 
and pink). Pacific salmon and steelhead trout are anadromous 
fish whose life cycle starts in fresh water, moves into the 
ocean and then returns to fresh water when it is time to spawn. 
In the early 1990s, the Northwest region of the National Marine 
Fisheries Services reviewed the status of west coast 
populations of Pacific salmon and steelhead with respect to the 
Endangered Species Act (ESA). To date, the agency has 
identified over 50 Evolutionary Significant Units of salmon and 
steelhead from California to the Pacific Northwest, of which 26 
are currently listed under the ESA.
    On October 14, 1998, the Governors of Alaska, California, 
Oregon, and Washington sent a letter to the Clinton 
Administration proposing a coast-wide Pacific salmon 
restoration and conservation fund which would include $50 
million for each State for each of six years for salmon 
conservation and enhancement projects at local and regional 
levels within each State. The President responded to the 
Governors' request by including $100 million in his Fiscal Year 
2000 budget request to Congress for a Pacific Coastal Salmon 
Recovery Fund. In addition to the four States, the President's 
funding request included funding for the coastal Indian tribes 
of California, Oregon, and Washington.
    While the fiscal year 2000 appropriations bill (Public Law 
106-113) appropriated funds to the States for that fiscal year, 
it was the omnibus appropriation bill for fiscal year 2001 
(Public Law 106-553) that authorized $100 million for salmon 
habitat restoration, salmon stock enhancement, and salmon 
research for the States of Alaska, California, Oregon and 
Washington for each of the fiscal years 2000-2003. Pacific 
coastal tribes and Columbia River tribes were also included in 
this authorization. Since fiscal year 2000, the States have 
received a total of: $73 million (Alaska); $49 million 
(California); $49 million (Oregon); and $98 million 
(Washington). The coastal tribes have received $32 million and 
the Columbia River tribes have received $11 million. This 
authorization of appropriations expires this fiscal year.
    In the 106th and 107th Congresses, Congressman Mike 
Thompson (D-CA) introduced H.R. 2798 and H.R. 1157 respectively 
to authorize appropriations to the States for salmon recovery 
programs. The bills passed the House in both Congresses, but 
the Senate did not act on the measures in either Congress.
    Congressman Thompson reintroduced the provisions as H.R. 
1945 in the 108th Congress. The bill would authorize $250 
million to the States of Alaska, California, Idaho, Oregon and 
Washington for fiscal each year 2004-2006. Tribes in each of 
the States are also qualified to receive funds. The States and 
tribes are required to match the funds they receive. The money, 
once appropriated, would go toward projects which would restore 
and conserve endangered and threatened salmon, steelhead, sea-
run cutthrout trout and their habitat. In addition, Lahontan 
cutthroat trout and bull trout habitat restoration projects 
qualify to receive funding in Oregon as will bull trout habitat 
in Washington and Oregon. The bill requires annual reports to 
Congress from each of the States, and the Secretary of Commerce 
for the tribes and the States, reviewing the use of funds.

                            COMMITTEE ACTION

    H.R. 1945 was introduced on May 1, 2003, by Congressman 
Mike Thompson (D-CA). The bill was referred to the Committee on 
Resources, and within the Committee to the Subcommittee on 
Fisheries Conservation, Wildlife and Oceans. On June 11, 2003, 
the Full Resources Committee met to consider the bill. The 
Subcommittee was discharged from further consideration by 
unanimous consent. Congressman Wayne Gilchrest (R-MD) offered 
an amendment in the nature of a substitute that reduced the 
authorized appropriations to $200 million each fiscal year; 
changed the allocation of funds to the States and tribes from 
an 85-15 split to a 90-10 split; increased the cap on 
administrative costs by 1 percent; added a review process by 
the Secretary of Commerce; deleted the section requiring State 
conservation plans, and instead required each State to have a 
Memorandum of Understanding; deleted the section requiring the 
purchase of American-made equipment and products; and deleted 
the section requiring a report on timber practices in Canada. 
Congressman Jay Inslee (D-WA) offered an amendment to amend the 
implementation of recovery plans and withdrew it. The Gilchrest 
amendment was adopted by voice vote. The bill as amended was 
then ordered favorably reported to the House of Representatives 
by voice vote.

                      SECTION-BY-SECTION ANALYSIS

Section 1. Short title

    This section establishes the short title of the Act as the 
``Pacific Salmon Recovery Act''.

Section 2. Salmon conservation and salmon habitat restoration 
        assistance

    Section 2 outlines how the Secretary of Commerce will 
dispense the funds authorized under this Act.
    Subsection (a) specifies that the Secretary of Commerce is 
required to provide assistance to qualified States and 
qualified tribal governments for salmon conservation and salmon 
habitat restoration projects.
    Subsection (b) details the amounts to be given to qualified 
States and qualified tribal governments. The States will 
receive equal shares of 90 percent of the funds appropriated to 
the States. Tribal governments will receive 10 percent of the 
annual appropriation and the Secretary will determine 
eligibility and the specific allocations for the tribes.
    Subsection (c) states that the Secretary shall promptly 
transfer funds to qualified States and qualified tribal 
governments that have a Memorandum of Understanding (MOU) with 
the Secretary.
    Subsection (d) outlines how the Secretary will reallocate 
funds in cases where one or more States have not obligated 
matching funds after two years. The Secretary will also 
reallocate a qualified tribal government's allocation among the 
other qualified tribal governments if it has not entered into 
an MOU after one year.

Section 3. Receipt and use of assistance

    Subsection (a) states that a qualified State and qualified 
tribal government is required to have a MOU with the Secretary 
to receive assistance. The MOU must be consistent with other 
applicable federal laws, be consistent with the goal of salmon 
recovery, and give priority to listed salmon through projects 
that benefit salmon and its habitat. For States and tribal 
governments that at the date of enactment do not have listed 
salmon that spawn in areas under its jurisdiction, the use of 
the assistance also must conserve salmon and its habitat, but 
can also be used for salmon related research, data collection 
and monitoring, salmon supplementation and enhancement, salmon 
habitat restoration, increasing economic opportunities for 
salmon fishermen, and national and international cooperative 
habitat programs. If after the date of enactment a species of 
salmon does become listed, the MOU must be revised within one 
year to give priority to projects targeted to the newly listed 
species. A State or tribal government which did not have any 
listed species on the date of enactment but does have salmon 
which become listed at a later point may continue to use its 
funds for other salmon-related research, data collection and 
monitoring, salmon supplementation and enhancement, salmon 
habitat restoration, increasing economic opportunities for 
salmon fishermen, and national and international cooperative 
habitat programs.
    The States and tribal governments will be required to 
establish specific goals and timelines for activities funded 
and include measurable criteria to evaluate those activities.
    Activities should be scientifically based, cost effective, 
conducted on private land only with the consent of the 
landowner, and contribute to the conservation and recovery of 
salmon.
    The Committee understands that the States, other than 
Idaho, and some tribal governments currently have MOUs with the 
Secretary regarding the use of appropriated funds for salmon 
recovery. A Committee review of the current State and tribal 
MOUs reveals many consistencies with the MOU requirements in 
the legislation. The Committee does not envision the States or 
tribal governments having to redraft or renegotiate their 
current MOU with the Secretary or make major changes to their 
State processes. However, if an MOU should be reviewed and 
modified by the State and the Secretary, every effort should be 
made to ensure the MOU complies with the MOU requirement of 
this legislation.
    The Committee's intent is to promote the recovery of 
naturally produced salmon; however, projects that will benefit 
a natural run of salmon that is mixed with an artificially 
enhanced run of salmon would still qualify for assistance.
    The Committee also encourages the Secretary to 
expeditiously approve permits received under sections 7 and 10 
of the Endangered Species Act for State projects that will 
benefit salmon and its habitat. The Committee would recommend 
greater coordination between the National Marine Fisheries 
Service and the U.S. Fish and Wildlife Service with regard to 
the issuance of permits to protect salmon. The agencies should 
coordinate so that the activities funded under this Act can 
have the greatest benefit to salmon and their habitat.
    The Committee's intention is that the cost effectiveness 
requirement not necessarily be a requirement for a formal 
economic cost benefit analysis, but more of a subjective 
weighing of costs and benefits and a generalized public 
interest test.
    The Committee believes it is very important that the States 
and tribal governments continue to fund projects using State 
and tribal funds. The Committee has therefore required the 
States to continue to maintain the aggregate expenditures of 
funds from non-federal sources for salmon habitat restoration 
programs at or above the average level of such expenditures in 
the two fiscal years preceding the date of enactment of the 
Act. It is also important for the States and tribal governments 
to use the federal funds available under this Act on activities 
that are conducted in a manner in which, and in areas where, 
the activities will have long-term benefits. In addition, 
States and tribal governments should take care to not fund 
projects in areas where adjacent or nearby development projects 
will erode or undo the benefits of the restoration project.
    The Committee supports the funding of local and regional 
State projects to conserve and restore salmon and their habitat 
and to ensure local participation. Therefore, the Committee has 
required qualified States to solicit comments from local 
governments when making determinations on what programs will 
receive assistance.
    Subsection (b) outlines the use of funds. Qualified States 
and qualified tribal governments are authorized to make grants 
for the following: watershed evaluation, assessment and 
planning; salmon-related research; data collection; monitoring; 
salmon supplementation and enhancement and salmon habitat 
restoration; maintenance and monitoring of projects; technical 
training and education projects; and other activities related 
to salmon conservation and salmon habitat restoration. It is 
not the intent of the Committee that funds be used to purchase 
land or water rights. Funds allocated must be used for local 
and regional projects. For the State of Oregon, qualified 
activities may also include programs for Lahontan cutthroat 
trout and bull trout and qualified activities for bull trout 
may be undertaken in the States of Washington and Idaho. The 
Secretary of the Interior, the agency with management authority 
over Lahontan cutthroat trout and bull trout, should be 
consulted and existing recovery plans for these species 
reviewed prior to the expenditure of funds.
    Subsection (c) states that assistance may be used by 
qualified States and qualified tribal governments for 
activities outside the areas under their jurisdiction if the 
activities provide conservation benefits to naturally produced 
salmon in streams or rivers of concern.
    Subsection (d) requires States to match 25 percent of the 
financial assistance provided to the qualified State for a 
fiscal year. The States can match the funds in the form of 
monetarycontributions or in-kind contribution of services for 
projects carried out with such assistance. States may not include funds 
received from other federal sources as matching funds. The Secretary is 
prohibited from requiring States to provide matching funds on a project 
by project basis. The qualified States can count the matching funds as 
a part of the aggregate expenditures of funds from non-federal sources 
required under subsection (a)(2)(H).
    Subsection (e) encourages qualified States and qualified 
tribal governments to coordinate salmon conservation activities 
to eliminate duplicative and overlapping activities. The States 
and tribal governments are also required to consult with the 
Secretary to avoid the duplication of projects.
    Subsection (f) limits the amount of administrative 
overhead. The Secretary is limited to not more than two percent 
for administrative expenses. States and tribal governments are 
limited to four percent for administrative expenses. States and 
tribal governments may include the cost of holding public 
meetings related to projects as administrative expenses.

Section 4. Public participation

    Section 4 requires each qualified State to establish a 
citizens advisory committee or other forum for local 
governments and the public to participate in obtaining and 
using assistance provided under this Act. The Committee does 
not intend for a State which has a process for public 
participation to create a new public participation process. 
Qualified tribal governments are required to hold public 
meetings to receive recommendations on the use of assistance 
provided under this Act.

Section 5. Consultation not required

    Section 5 states that consultation under section 7 of the 
Endangered Species Act is not required based solely on the 
provision of financial assistance under this Act.

Section 6. Reports

    Section 6 requires qualified States to report annually to 
Congress on the use of assistance and compliance with the Act. 
In addition, the Secretary is required to report annually to 
Congress on qualified States' and qualified tribal governments' 
use of assistance and compliance with the Act. The Secretary is 
also required to report on the review process each State has 
for its salmon conservation programs and make recommendations 
on how the State or tribal programs can more effectively 
restore salmon populations.

Section 7. Definitions

    Section 7 defines various terms in the Act.
    The term ``Indian tribe'' has the same meaning as that term 
in section 4(e) of the Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 450b(e)).
    The term ``qualified State'' means each of the States of 
Alaska, California, Idaho, Oregon and Washington.
    The term ``qualified tribal government'' means a tribal 
government of an Indian tribe in California, Idaho, Oregon, and 
Washington or a village corporation as defined in or 
established pursuant to the Alaska Native Claims Settlement Act 
(43 U.S.C. 1601 et seq.) that the Secretary of Commerce in 
consultation with the Secretary of the Interior determines is 
involved in salmon management and recovery activities under the 
Endangered Species Act of 1973 and has the management and 
organization capability to maximize the benefits of assistance 
provided under this Act.
    The term ``salmon'' means any naturally produced salmon or 
naturally produced trout of the following species: coho salmon; 
chinook salmon; chum salmon; pink salmon; sockeye salmon; 
steelhead trout; and sea-run cutthroat trout.
    The term ``Secretary'' means the Secretary of Commerce.

Section 8. Report regarding treatment of International Fishery 
        Commission pensioners

    The President is required to calculate the difference 
between the valuation of the Commissions' annuity for each 
employee's payment in U.S. currency and in Canadian currency 
for the past and future annuity payments and report those 
findings by September 1, 2004.

Section 9. Authorization of appropriations

    Section 9 authorizes an appropriation of $200 million 
annually for Fiscal Years 2004 through 2006.

Section 10. Sense of Congress regarding bipartisan July 2000 goals

    Section 10 states how Congress supports the goals, 
objectives and recommendations of the Governors of Idaho, 
Montana, Oregon, and Washington as outlined in the July 2000 
document regarding the protection of restoration of salmon and 
other aquatic species.

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

                   CONSTITUTIONAL AUTHORITY STATEMENT

    Article I, section 8 of the Constitution of the United 
States grants Congress the authority to enact this bill.

                    COMPLIANCE WITH HOUSE RULE XIII

    1. Cost of legislation. Clause 3(d)(2) 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)(3)(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.
    2. 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.
    3. General performance goals and objectives. As required by 
clause 3(c)(4) of rule XIII, the general performance goal or 
objective of this bill is to authorize the Secretary of 
Commerce to provide financial assistance to the States of 
Alaska, California, Idaho, Oregon and Washington for salmon 
habitat restoration projects in coastal waters and upland 
drainages.
    4. Congressional Budget Office cost estimate. 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:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 23, 2003.
Hon. Richard Pombo,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 1945, the Pacific 
Salmon Recovery Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Deborah Reis.
            Sincerely,
                                       Douglas Holtz-Eakin,
                                                          Director.

H.R. 1945--Pacific Salmon Recovery Act

    Summary: H.R. 1945 would authorize a grant program under 
the auspices of the National Oceanic and Atmospheric 
Administration (NOAA) for salmon conservation and habitat 
restoration projects in the Pacific Northwest. For this 
purpose, the bill would authorize the appropriation of $200 
million for each of fiscal years 2004, 2005, and 2006.
    Assuming appropriation of the authorized amounts, CBO 
estimates that implementing the legislation would cost the 
Federal Government $600 million over the next five years. 
Enacting H.R. 1945 would not affect direct spending or 
revenues.
    The bill contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA).
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 1945 is shown in the following table. 
The costs of this legislation would fall within budget function 
300 (natural resources and environment).

----------------------------------------------------------------------------------------------------------------
                                                                     By fiscal year, in millions of dollars--
                                                                 -----------------------------------------------
                                                                   2003    2004    2005    2006    2007    2008
----------------------------------------------------------------------------------------------------------------
                                        SPENDING SUBJECT TO APPROPRIATION

Spending Under Current Law for Pacific Salmon Programs:
    Budget Authority \1\........................................      90       0       0       0       0       0
    Estimated Outlays...........................................     170     100       0       0       0       0
Proposed Changes:
    Authorization Level.........................................       0     200     200     200       0       0
    Estimated Outlays...........................................       0     200     200     200       0       0
Spending Under H.R. 1945:
    Authorization Level.........................................      90     200     200     200       0       0
    Estimated Outlays...........................................     170     300     200     200       0       0
----------------------------------------------------------------------------------------------------------------
\1\ The 2003 level is the amount appropriated for that year for activities similar to those that would be
  authorized by H.R. 1945.

    Basis of estimate: H.R. 1945 would authorize appropriations 
to fund salmon conservation programs in the States of Alaska, 
Washington, Oregon, California, and Idaho, and Indian tribes in 
those States. For this estimate, CBO assumes that the full 
amounts authorized by the bill will be appropriated and 
transferred to each eligible entity in each fiscal year. The 
estimate of outlays reflects the bill's requirement that grant 
money be transferred promptly to an eligible State or tribe 
once it enters into a memorandum of understanding with NOAA.
    The bill also would require the President to report to the 
Congress on the retirement benefits of U.S. citizens who were 
once employed by the defunct International Pacific Salmon 
Fisheries Commission and International North Pacific Fisheries 
Commission. CBO estimates that implementing this provision 
would have no significant impact on Federal spending.
    Estimated impact on State, local, and tribal governments: 
H.R. 1945 contains no intergovernmental mandates as defined in 
UMRA. The bill would benefit Alaska, California, Idaho, Oregon, 
and Washington, and tribal governments located in those States, 
by authorizing the Secretary of Commerce to grant them funds 
for salmon conservation and habitat restoration.
    Estimated impact on the private sector: The bill contains 
no new private-sector mandates as defined in UMRA.
    Estimate prepared by: Federal Costs: Deborah Reis. Impact 
on State, local, and tribal governments: Marjorie Miller. 
Impact on the private sector: Lauren Marks.
    Estimate approved by: Robert A. Sunshine, Assistant 
Director for Budget Analysis.

                    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.

                                all
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