II 

111TH CONGRESS 

1ST SESSION S. 161 

To authorize implementation of the San Joaquin River Restoration 

Settlement, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 6, 2009 

Mrs. FEINSTEIN (for herself and Mrs. BOXER) introduced the following bill; 

which was read twice and referred to the Committee on Energy and Natural Resources, 

A BILL 

To authorize implementation of the San Joaquin River 

Restoration Settlement, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 TITLE I—SAN JOAQUIN RIVER 

4 RESTORATION SETTLEMENT 

5 ACT 

6 SEC. 101. SHORT TITLE. 

7 This title may be cited as the ‘‘San Joaquin River 

8 Restoration Settlement Act’’. 


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1 SEC. 102. PURPOSE. 

2 The purpose of this title is to authorize implementa3 tion of the Settlement. 

4 SEC. 103. DEFINITIONS. 

5 In this title: 

6 (1) The terms ‘‘Friant Division long-term con7 tractors’’, ‘‘Interim Flows’’, ‘‘Restoration Flows’’, 

8 ‘‘Recovered Water Account’’, ‘‘Restoration Goal’’, 

9 and ‘‘Water Management Goal’’ have the meanings 

10 given the terms in the Settlement. 

11 (2) The term ‘‘Secretary’’ means the Secretary 

12 of the Interior. 

13 (3) The term ‘‘Settlement’’ means the Stipula14 tion of Settlement dated September 13, 2006, in the 

15 litigation entitled Natural Resources Defense Coun16 cil, et al. v. Kirk Rodgers, et al., United States Dis17 trict Court, Eastern District of California, No. CIV. 

18 S–88–1658–LKK/GGH. 

19 SEC. 104. IMPLEMENTATION OF SETTLEMENT. 

20 (a) IN GENERAL.—The Secretary of the Interior is 

21 hereby authorized and directed to implement the terms 

22 and conditions of the Settlement in cooperation with the 

23 State of California, including the following measures as 

24 these measures are prescribed in the Settlement: 

25 (1) Design and construct channel and struc26 tural improvements as described in paragraph 11 of 


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1 the Settlement, provided, however, that the Sec2 retary shall not make or fund any such improve3 ments to facilities or property of the State of Cali4 fornia without the approval of the State of Cali5 fornia and the State’s agreement in 1 or more 

6 memoranda of understanding to participate where 

7 appropriate. 

8 (2) Modify Friant Dam operations so as to pro9 vide Restoration Flows and Interim Flows. 

10 (3) Acquire water, water rights, or options to 

11 acquire water as described in paragraph 13 of the 

12 Settlement, provided, however, such acquisitions 

13 shall only be made from willing sellers and not 

14 through eminent domain. 

15 (4) Implement the terms and conditions of 

16 paragraph 16 of the Settlement related to recircula17 tion, recapture, reuse, exchange, or transfer of water 

18 released for Restoration Flows or Interim Flows, for 

19 the purpose of accomplishing the Water Manage20 ment Goal of the Settlement, subject to— 

21 (A) applicable provisions of California 

22 water law; 

23 (B) the Secretary’s use of Central Valley 

24 Project facilities to make Project water (other 

25 than water released from Friant Dam pursuant 


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1 to the Settlement) and water acquired through 

2 transfers available to existing south-of-Delta 

3 Central Valley Project contractors; and 

4 (C) the Secretary’s performance of the 

5 Agreement of November 24, 1986, between the 

6 United States of America and the Department 

7 of Water Resources of the State of California 

8 for the coordinated operation of the Central 

9 Valley Project and the State Water Project as 

10 authorized by Congress in section 2(d) of the 

11 Act of August 26, 1937 (50 Stat. 850, 100 

12 Stat. 3051), including any agreement to resolve 

13 conflicts arising from said Agreement. 

14 (5) Develop and implement the Recovered 

15 Water Account as specified in paragraph 16(b) of 

16 the Settlement, including the pricing and payment 

17 crediting provisions described in paragraph 16(b)(3) 

18 of the Settlement, provided that all other provisions 

19 of Federal reclamation law shall remain applicable. 

20 (b) AGREEMENTS.— 

21 (1) AGREEMENTS WITH THE STATE.—In order 

22 to facilitate or expedite implementation of the Settle23 ment, the Secretary is authorized and directed to 

24 enter into appropriate agreements, including cost25 sharing agreements, with the State of California. 


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1 (2) OTHER AGREEMENTS.—The Secretary is 

2 authorized to enter into contracts, memoranda of 

3 understanding, financial assistance agreements, cost 

4 sharing agreements, and other appropriate agree5 ments with State, tribal, and local governmental 

6 agencies, and with private parties, including agree7 ments related to construction, improvement, and op8 eration and maintenance of facilities, subject to any 

9 terms and conditions that the Secretary deems nec10 essary to achieve the purposes of the Settlement. 

11 (c) ACCEPTANCE AND EXPENDITURE OF NON-FED12 ERAL FUNDS.—The Secretary is authorized to accept and 

13 expend non-Federal funds in order to facilitate implemen14 tation of the Settlement. 

15 (d) MITIGATION OF IMPACTS.—Prior to the imple16 mentation of decisions or agreements to construct, im17 prove, operate, or maintain facilities that the Secretary de18 termines are needed to implement the Settlement, the Sec19 retary shall identify— 

20 (1) the impacts associated with such actions; 

21 and 

22 (2) the measures which shall be implemented to 

23 mitigate impacts on adjacent and downstream water 

24 users and landowners. 


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1 (e) DESIGN AND ENGINEERING STUDIES.—The Sec2 retary is authorized to conduct any design or engineering 

3 studies that are necessary to implement the Settlement. 

4 (f) EFFECT ON CONTRACT WATER ALLOCATIONS.— 

5 Except as otherwise provided in this section, the imple6 mentation of the Settlement and the reintroduction of 

7 California Central Valley Spring Run Chinook salmon 

8 pursuant to the Settlement and section 111, shall not re9 sult in the involuntary reduction in contract water alloca10 tions to Central Valley Project long-term contractors, 

11 other than Friant Division long-term contractors. 

12 (g) EFFECT ON EXISTING WATER CONTRACTS.—Ex13 cept as provided in the Settlement and this title, nothing 

14 in this title shall modify or amend the rights and obliga15 tions of the parties to any existing water service, repay16 ment, purchase, or exchange contract. 

17 (h) INTERIM FLOWS.— 

18 (1) STUDY REQUIRED.—Prior to releasing any 

19 Interim Flows under the Settlement, the Secretary 

20 shall prepare an analysis in compliance with the Na21 tional Environmental Policy Act of 1969 (42 U.S.C. 

22 4321 et seq.), including at a minimum— 

23 (A) an analysis of channel conveyance ca24 pacities and potential for levee or groundwater 

25 seepage; 


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1 (B) a description of the associated seepage 

2 monitoring program; 

3 (C) an evaluation of— 

4 (i) possible impacts associated with 

5 the release of Interim Flows; and 

6 (ii) mitigation measures for those im7 pacts that are determined to be significant; 

8 (D) a description of the associated flow 

9 monitoring program; and 

10 (E) an analysis of the likely Federal costs, 

11 if any, of any fish screens, fish bypass facilities, 

12 fish salvage facilities, and related operations on 

13 the San Joaquin River south of the confluence 

14 with the Merced River required under the En15 dangered Species Act of 1973 (16 U.S.C. 1531 

16 et seq.) as a result of the Interim Flows. 

17 (2) CONDITIONS FOR RELEASE.—The Secretary 

18 is authorized to release Interim Flows to the extent 

19 that such flows would not— 

20 (A) impede or delay completion of the 

21 measures specified in Paragraph 11(a) of the 

22 Settlement; or 

23 (B) exceed existing downstream channel 

24 capacities. 


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1 (3) SEEPAGE IMPACTS.—The Secretary shall 

2 reduce Interim Flows to the extent necessary to ad3 dress any material adverse impacts to third parties 

4 from groundwater seepage caused by such flows that 

5 the Secretary identifies based on the monitoring pro6 gram of the Secretary. 

7 (4) TEMPORARY FISH BARRIER PROGRAM.—The 

8 Secretary, in consultation with the California De9 partment of Fish and Game, shall evaluate the effec10 tiveness of the Hills Ferry barrier in preventing the 

11 unintended upstream migration of anadromous fish 

12 in the San Joaquin River and any false migratory 

13 pathways. If that evaluation determines that any 

14 such migration past the barrier is caused by the in15 troduction of the Interim Flows and that the pres16 ence of such fish will result in the imposition of ad17 ditional regulatory actions against third parties, the 

18 Secretary is authorized to assist the Department of 

19 Fish and Game in making improvements to the bar20 rier. From funding made available in accordance 

21 with section 109, if third parties along the San Joa22 quin River south of its confluence with the Merced 

23 River are required to install fish screens or fish by24 pass facilities due to the release of Interim Flows in 

25 order to comply with the Endangered Species Act of 


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1 1973 (16 U.S.C. 1531 et seq.), the Secretary shall 

2 bear the costs of the installation of such screens or 

3 facilities if such costs would be borne by the Federal 

4 Government under section 109(a)(3), except to the 

5 extent that such costs are already or are further 

6 willingly borne by the State of California or by the 

7 third parties. 

8 (i) FUNDING AVAILABILITY.— 

9 (1) IN GENERAL.—Funds shall be collected in 

10 the San Joaquin River Restoration Fund through 

11 October 1, 2019, and thereafter, with substantial 

12 amounts available through October 1, 2019, pursu13 ant to section 109 for implementation of the Settle14 ment and titles I and III, including— 

15 (A) $88,000,000, to be available without 

16 further appropriation pursuant to section 

17 109(c)(2); 

18 (B) additional amounts authorized to be 

19 appropriated, including the charges required 

20 under section 107 and an estimated 

21 $20,000,000 from the CVP Restoration Fund 

22 pursuant to section 109(b)(2); and 

23 (C) an aggregate commitment of at least 

24 $200,000,000 by the State of California. 


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1 (2) ADDITIONAL AMOUNTS.—Substantial addi2 tional amounts from the San Joaquin River Restora3 tion Fund shall become available without further ap4 propriation after October 1, 2019, pursuant to sec5 tion 109(c)(2). 

6 (3) EFFECT OF SUBSECTION.—Nothing in this 

7 subsection limits the availability of funds authorized 

8 for appropriation pursuant to section 109(b) or 

9 303(c). 

10 (j) SAN JOAQUIN RIVER EXCHANGE CONTRACT.— 

11 Subject to section 106(b), nothing in this title shall modify 

12 or amend the rights and obligations under the Purchase 

13 Contract between Miller and Lux and the United States 

14 and the Second Amended Exchange Contract between the 

15 United States, Department of the Interior, Bureau of Rec16 lamation and Central California Irrigation District, San 

17 Luis Canal Company, Firebaugh Canal Water District 

18 and Columbia Canal Company. 

19 SEC. 105. ACQUISITION AND DISPOSAL OF PROPERTY; 

20 TITLE TO FACILITIES. 

21 (a) TITLE TO FACILITIES.—Unless acquired pursu22 ant to subsection (b), title to any facility or facilities, 

23 stream channel, levees, or other real property modified or 

24 improved in the course of implementing the Settlement au25 thorized by this title, and title to any modifications or imVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 provements of such facility or facilities, stream channel, 

2 levees, or other real property— 

3 (1) shall remain in the owner of the property; 

4 and 

5 (2) shall not be transferred to the United 

6 States on account of such modifications or improve7 ments. 

8 (b) ACQUISITION OF PROPERTY.— 

9 (1) IN GENERAL.—The Secretary is authorized 

10 to acquire through purchase from willing sellers any 

11 property, interests in property, or options to acquire 

12 real property needed to implement the Settlement 

13 authorized by this title. 

14 (2) APPLICABLE LAW.—The Secretary is au15 thorized, but not required, to exercise all of the au16 thorities provided in section 2 of the Act of August 

17 26, 1937 (50 Stat. 844, chapter 832), to carry out 

18 the measures authorized in this section and section 

19 104. 

20 (c) DISPOSAL OF PROPERTY.— 

21 (1) IN GENERAL.—Upon the Secretary’s deter22 mination that retention of title to property or inter23 ests in property acquired pursuant to this title is no 

24 longer needed to be held by the United States for 

25 the furtherance of the Settlement, the Secretary is 


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1 authorized to dispose of such property or interest in 

2 property on such terms and conditions as the Sec3 retary deems appropriate and in the best interest of 

4 the United States, including possible transfer of 

5 such property to the State of California. 

6 (2) RIGHT OF FIRST REFUSAL.—In the event 

7 the Secretary determines that property acquired pur8 suant to this title through the exercise of its eminent 

9 domain authority is no longer necessary for imple10 mentation of the Settlement, the Secretary shall pro11 vide a right of first refusal to the property owner 

12 from whom the property was initially acquired, or 

13 his or her successor in interest, on the same terms 

14 and conditions as the property is being offered to 

15 other parties. 

16 (3) DISPOSITION OF PROCEEDS.—Proceeds 

17 from the disposal by sale or transfer of any such 

18 property or interests in such property shall be depos19 ited in the fund established by section 109(c). 

20 (d) GROUNDWATER BANK.—Nothing in this title au21 thorizes the Secretary to operate a groundwater bank 

22 along or adjacent to the San Joaquin River upstream of 

23 the confluence with the Merced River, and any such 

24 groundwater bank shall be operated by a non-Federal enti25 ty. 


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1 SEC. 106. COMPLIANCE WITH APPLICABLE LAW. 

2 (a) APPLICABLE LAW.— 

3 (1) IN GENERAL.—In undertaking the measures 

4 authorized by this title, the Secretary and the Sec5 retary of Commerce shall comply with all applicable 

6 Federal and State laws, rules, and regulations, in7 cluding the National Environmental Policy Act of 

8 1969 (42 U.S.C. 4321 et seq.) and the Endangered 

9 Species Act of 1973 (16 U.S.C. 1531 et seq.), as 

10 necessary. 

11 (2) ENVIRONMENTAL REVIEWS.—The Secretary 

12 and the Secretary of Commerce are authorized and 

13 directed to initiate and expeditiously complete appli14 cable environmental reviews and consultations as 

15 may be necessary to effectuate the purposes of the 

16 Settlement. 

17 (b) EFFECT ON STATE LAW.—Nothing in this title 

18 shall preempt State law or modify any existing obligation 

19 of the United States under Federal reclamation law to op20 erate the Central Valley Project in conformity with State 

21 law. 

22 (c) USE OF FUNDS FOR ENVIRONMENTAL RE23 VIEWS.— 

24 (1) DEFINITION OF ENVIRONMENTAL RE25 VIEW.—For purposes of this subsection, the term 

26 ‘‘environmental review’’ includes any consultation 


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1 and planning necessary to comply with subsection 

2 (a). 

3 (2) PARTICIPATION IN ENVIRONMENTAL RE4 VIEW PROCESS.—In undertaking the measures au5 thorized by section 104, and for which environ6 mental review is required, the Secretary may provide 

7 funds made available under this title to affected 

8 Federal agencies, State agencies, local agencies, and 

9 Indian tribes if the Secretary determines that such 

10 funds are necessary to allow the Federal agencies, 

11 State agencies, local agencies, or Indian tribes to ef12 fectively participate in the environmental review 

13 process. 

14 (3) LIMITATION.—Funds may be provided 

15 under paragraph (2) only to support activities that 

16 directly contribute to the implementation of the 

17 terms and conditions of the Settlement. 

18 (d) NONREIMBURSABLE FUNDS.—The United 

19 States’ share of the costs of implementing this title shall 

20 be nonreimbursable under Federal reclamation law, pro21 vided that nothing in this subsection shall limit or be con22 strued to limit the use of the funds assessed and collected 

23 pursuant to sections 3406(c)(1) and 3407(d)(2) of the 

24 Reclamation Projects Authorization and Adjustment Act 

25 of 1992 (Public Law 102–575; 106 Stat. 4721, 4727), for 


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1 implementation of the Settlement, nor shall it be con2 strued to limit or modify existing or future Central Valley 

3 Project ratesetting policies. 

4 SEC. 107. COMPLIANCE WITH CENTRAL VALLEY PROJECT 

5 IMPROVEMENT ACT. 

6 Congress hereby finds and declares that the Settle7 ment satisfies and discharges all of the obligations of the 

8 Secretary contained in section 3406(c)(1) of the Reclama9 tion Projects Authorization and Adjustment Act of 1992 

10 (Public Law 102–575; 106 Stat. 4721), provided, how11 ever, that— 

12 (1) the Secretary shall continue to assess and 

13 collect the charges provided in section 3406(c)(1) of 

14 the Reclamation Projects Authorization and Adjust15 ment Act of 1992 (Public Law 102–575; 106 Stat. 

16 4721), as provided in the Settlement; and 

17 (2) those assessments and collections shall con18 tinue to be counted toward the requirements of the 

19 Secretary contained in section 3407(c)(2) of the 

20 Reclamation Projects Authorization and Adjustment 

21 Act of 1992 (Public Law 102–575; 106 Stat. 4726). 

22 SEC. 108. NO PRIVATE RIGHT OF ACTION. 

23 (a) IN GENERAL.—Nothing in this title confers upon 

24 any person or entity not a party to the Settlement a priVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 vate right of action or claim for relief to interpret or en2 force the provisions of this title or the Settlement. 

3 (b) APPLICABLE LAW.—This section shall not alter 

4 or curtail any right of action or claim for relief under any 

5 other applicable law. 

6 SEC. 109. APPROPRIATIONS; SETTLEMENT FUND. 

7 (a) IMPLEMENTATION COSTS.— 

8 (1) IN GENERAL.—The costs of implementing 

9 the Settlement shall be covered by payments or in10 kind contributions made by Friant Division contrac11 tors and other non-Federal parties, including the 

12 funds provided in subparagraphs (A) through (D) of 

13 subsection (c)(1), estimated to total $440,000,000, 

14 of which the non-Federal payments are estimated to 

15 total $200,000,000 (at October 2006 price levels) 

16 and the amount from repaid Central Valley Project 

17 capital obligations is estimated to total 

18 $240,000,000, the additional Federal appropriation 

19 of $250,000,000 authorized pursuant to subsection 

20 (b)(1), and such additional funds authorized pursu21 ant to subsection (b)(2); provided however, that the 

22 costs of implementing the provisions of section 

23 104(a)(1) shall be shared by the State of California 

24 pursuant to the terms of a memorandum of under25 standing executed by the State of California and the 


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1 Parties to the Settlement on September 13, 2006, 

2 which includes at least $110,000,000 of State funds. 

3 (2) ADDITIONAL AGREEMENTS.— 

4 (A) IN GENERAL.—The Secretary shall 

5 enter into 1 or more agreements to fund or im6 plement improvements on a project-by-project 

7 basis with the State of California. 

8 (B) REQUIREMENTS.—Any agreements en9 tered into under subparagraph (A) shall provide 

10 for recognition of either monetary or in-kind 

11 contributions toward the State of California’s 

12 share of the cost of implementing the provisions 

13 of section 104(a)(1). 

14 (3) LIMITATION.—Except as provided in the 

15 Settlement, to the extent that costs incurred solely 

16 to implement this Settlement would not otherwise 

17 have been incurred by any entity or public or local 

18 agency or subdivision of the State of California, such 

19 costs shall not be borne by any such entity, agency, 

20 or subdivision of the State of California, unless such 

21 costs are incurred on a voluntary basis. 

22 (b) AUTHORIZATION OF APPROPRIATIONS.— 

23 (1) IN GENERAL.—In addition to the funding 

24 provided in subsection (c), there are also authorized 

25 to be appropriated not to exceed $250,000,000 (at 


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1 October 2006 price levels) to implement this title 

2 and the Settlement, to be available until expended; 

3 provided however, that the Secretary is authorized to 

4 spend such additional appropriations only in 

5 amounts equal to the amount of funds deposited in 

6 the San Joaquin River Restoration Fund (not in7 cluding payments under subsection (c)(1)(B) and 

8 proceeds under subsection (c)(1)(C)), the amount of 

9 in-kind contributions, and other non-Federal pay10 ments actually committed to the implementation of 

11 this title or the Settlement. 

12 (2) USE OF THE CENTRAL VALLEY PROJECT

13 RESTORATION FUND.—The Secretary is authorized 

14 to use monies from the Central Valley Project Res15 toration Fund created under section 3407 of the 

16 Reclamation Projects Authorization and Adjustment 

17 Act of 1992 (Public Law 102–575; 106 Stat. 4727) 

18 for purposes of this title in an amount not to exceed 

19 $2,000,000 (October 2006 price levels) in any fiscal 

20 year. 

21 (c) FUND.— 

22 (1) IN GENERAL.—There is hereby established 

23 within the Treasury of the United States a fund, to 

24 be known as the San Joaquin River Restoration 

25 Fund, into which the following funds shall be deposVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00018 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 ited and used solely for the purpose of implementing 

2 the Settlement except as otherwise provided in sub3 sections (a) and (b) of section 303: 

4 (A) All payments received pursuant to sec5 tion 3406(c)(1) of the Reclamation Projects 

6 Authorization and Adjustment Act of 1992 

7 (Public Law 102–575; 106 Stat. 4721). 

8 (B) The construction cost component (not 

9 otherwise needed to cover operation and main10 tenance costs) of payments made by Friant Di11 vision, Hidden Unit, and Buchanan Unit long12 term contractors pursuant to long-term water 

13 service contracts or pursuant to repayment con14 tracts, including repayment contracts executed 

15 pursuant to section 110. The construction cost 

16 repayment obligation assigned such contractors 

17 under such contracts shall be reduced by the 

18 amount paid pursuant to this paragraph and 

19 the appropriate share of the existing Federal 

20 investment in the Central Valley Project to be 

21 recovered by the Secretary pursuant to Public 

22 Law 99–546 (100 Stat. 3050) shall be reduced 

23 by an equivalent sum. 

24 (C) Proceeds from the sale of water pursu25 ant to the Settlement, or from the sale of propVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00019 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 erty or interests in property as provided in sec2 tion 105. 

3 (D) Any non-Federal funds, including 

4 State cost-sharing funds, contributed to the 

5 United States for implementation of the Settle6 ment, which the Secretary may expend without 

7 further appropriation for the purposes for 

8 which contributed. 

9 (2) AVAILABILITY.—All funds deposited into 

10 the Fund pursuant to subparagraphs (A), (B), and 

11 (C) of paragraph (1) are authorized for appropria12 tion to implement the Settlement and this title, in 

13 addition to the authorization provided in subsections 

14 (a) and (b) of section 303, except that $88,000,000 

15 of such funds are available for expenditure without 

16 further appropriation; provided that after October 1, 

17 2019, all funds in the Fund shall be available for ex18 penditure without further appropriation. 

19 (d) LIMITATION ON CONTRIBUTIONS.—Payments 

20 made by long-term contractors who receive water from the 

21 Friant Division and Hidden and Buchanan Units of the 

22 Central Valley Project pursuant to sections 3406(c)(1) 

23 and 3407(d)(2) of the Reclamation Projects Authorization 

24 and Adjustment Act of 1992 (Public Law 102–575; 106 

25 Stat. 4721, 4727) and payments made pursuant to paraVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00020 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 graph 16(b)(3) of the Settlement and subsection (c)(1)(B) 

2 shall be the limitation of such entities’ direct financial con3 tribution to the Settlement, subject to the terms and con4 ditions of paragraph 21 of the Settlement. 

5 (e) NO ADDITIONAL EXPENDITURES REQUIRED.— 

6 Nothing in this title shall be construed to require a Fed7 eral official to expend Federal funds not appropriated by 

8 Congress, or to seek the appropriation of additional funds 

9 by Congress, for the implementation of the Settlement. 

10 (f) REACH 4B.— 

11 (1) STUDY.— 

12 (A) IN GENERAL.—In accordance with the 

13 Settlement and the memorandum of under14 standing executed pursuant to paragraph 6 of 

15 the Settlement, the Secretary shall conduct a 

16 study that specifies— 

17 (i) the costs of undertaking any work 

18 required under paragraph 11(a)(3) of the 

19 Settlement to increase the capacity of 

20 reach 4B prior to reinitiation of Restora21 tion Flows; 

22 (ii) the impacts associated with re23 initiation of such flows; and 

24 (iii) measures that shall be imple25 mented to mitigate impacts. 


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1 (B) DEADLINE.—The study under sub2 paragraph (A) shall be completed prior to res3 toration of any flows other than Interim Flows. 

4 (2) REPORT.— 

5 (A) IN GENERAL.—The Secretary shall file 

6 a report with Congress not later than 90 days 

7 after issuing a determination, as required by 

8 the Settlement, on whether to expand channel 

9 conveyance capacity to 4500 cubic feet per sec10 ond in reach 4B of the San Joaquin River, or 

11 use an alternative route for pulse flows, that— 

12 (i) explains whether the Secretary has 

13 decided to expand Reach 4B capacity to 

14 4500 cubic feet per second; and 

15 (ii) addresses the following matters: 

16 (I) The basis for the Secretary’s 

17 determination, whether set out in en18 vironmental review documents or oth19 erwise, as to whether the expansion of 

20 Reach 4B would be the preferable 

21 means to achieve the Restoration Goal 

22 as provided in the Settlement, includ23 ing how different factors were as24 sessed such as comparative biological 

25 and habitat benefits, comparative 


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1 costs, relative availability of State 

2 cost-sharing funds, and the compara3 tive benefits and impacts on water 

4 temperature, water supply, private 

5 property, and local and downstream 

6 flood control. 

7 (II) The Secretary’s final cost es8 timate for expanding Reach 4B capac9 ity to 4500 cubic feet per second, or 

10 any alternative route selected, as well 

11 as the alternative cost estimates pro12 vided by the State, by the Restoration 

13 Administrator, and by the other par14 ties to the Settlement. 

15 (III) The Secretary’s plan for 

16 funding the costs of expanding Reach 

17 4B or any alternative route selected, 

18 whether by existing Federal funds 

19 provided under this title, by non-Fed20 eral funds, by future Federal appro21 priations, or some combination of 

22 such sources. 

23 (B) DETERMINATION REQUIRED.—The 

24 Secretary shall, to the extent feasible, make the 

25 determination in subparagraph (A) prior to unVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00023 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 dertaking any substantial construction work to 

2 increase capacity in reach 4B. 

3 (3) COSTS.—If the Secretary’s estimated Fed4 eral cost for expanding reach 4B in paragraph (2), 

5 in light of the Secretary’s funding plan set out in 

6 that paragraph, would exceed the remaining Federal 

7 funding authorized by this title (including all funds 

8 reallocated, all funds dedicated, and all new funds 

9 authorized by this title and separate from all com10 mitments of State and other non-Federal funds and 

11 in-kind commitments), then before the Secretary 

12 commences actual construction work in reach 4B 

13 (other than planning, design, feasibility, or other 

14 preliminary measures) to expand capacity to 4500 

15 cubic feet per second to implement this Settlement, 

16 Congress must have increased the applicable author17 ization ceiling provided by this title in an amount at 

18 least sufficient to cover the higher estimated Federal 

19 costs. 

20 SEC. 110. REPAYMENT CONTRACTS AND ACCELERATION OF 

21 REPAYMENT OF CONSTRUCTION COSTS. 

22 (a) CONVERSION OF CONTRACTS.— 

23 (1) The Secretary is authorized and directed to 

24 convert, prior to December 31, 2010, all existing 

25 long-term contracts with the following Friant DiviVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 sion, Hidden Unit, and Buchanan Unit contractors, 

2 entered under subsection (e) of section 9 of the Act 

3 of August 4, 1939 (53 Stat. 1196), to contracts 

4 under subsection (d) of section 9 of said Act (53 

5 Stat. 1195), under mutually agreeable terms and 

6 conditions: Arvin-Edison Water Storage District; 

7 Delano-Earlimart Irrigation District; Exeter Irriga8 tion District; Fresno Irrigation District; Ivanhoe Ir9 rigation District; Lindmore Irrigation District; Lind10 say-Strathmore Irrigation District; Lower Tule 

11 River Irrigation District; Orange Cove Irrigation 

12 District; Porterville Irrigation District; Saucelito Ir13 rigation District; Shafter-Wasco Irrigation District; 

14 Southern San Joaquin Municipal Utility District; 

15 Stone Corral Irrigation District; Tea Pot Dome 

16 Water District; Terra Bella Irrigation District; 

17 Tulare Irrigation District; Madera Irrigation Dis18 trict; and Chowchilla Water District. Upon request 

19 of the contractor, the Secretary is authorized to con20 vert, prior to December 31, 2010, other existing 

21 long-term contracts with Friant Division contractors 

22 entered under subsection (e) of section 9 of the Act 

23 of August 4, 1939 (53 Stat. 1196), to contracts 

24 under subsection (d) of section 9 of said Act (53 


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1 Stat. 1195), under mutually agreeable terms and 

2 conditions. 

3 (2) Upon request of the contractor, the Sec4 retary is further authorized to convert, prior to De5 cember 31, 2010, any existing Friant Division long6 term contract entered under subsection (c)(2) of sec7 tion 9 of the Act of August 4, 1939 (53 Stat. 1194), 

8 to a contract under subsection (c)(1) of section 9 of 

9 said Act, under mutually agreeable terms and condi10 tions. 

11 (3) All such contracts entered into pursuant to 

12 paragraph (1) shall— 

13 (A) require the repayment, either in lump 

14 sum or by accelerated prepayment, of the re15 maining amount of construction costs identified 

16 in the Central Valley Project Schedule of Irri17 gation Capital Rates by Contractor 2007 Irriga18 tion Water Rates, dated January 25, 2007, as 

19 adjusted to reflect payments not reflected in 

20 such schedule, and properly assignable for ulti21 mate return by the contractor, no later than 

22 January 31, 2011, or if made in approximately 

23 equal annual installments, no later than Janu24 ary 31, 2014; such amount to be discounted by 

1 25 ⁄2 the Treasury Rate. An estimate of the reVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 maining amount of construction costs as of 

2 January 31, 2011, as adjusted, shall be pro3 vided by the Secretary to each contractor no 

4 later than June 30, 2010; 

5 (B) require that, notwithstanding sub6 section (c)(2), construction costs or other cap7 italized costs incurred after the effective date of 

8 the contract or not reflected in the schedule ref9 erenced in subparagraph (A), and properly as10 signable to such contractor, shall be repaid in 

11 not more than 5 years after notification of the 

12 allocation if such amount is a result of a collec13 tive annual allocation of capital costs to the 

14 contractors exercising contract conversions 

15 under this subsection of less than $5,000,000. 

16 If such amount is $5,000,000 or greater, such 

17 cost shall be repaid as provided by applicable 

18 Reclamation law, provided that the reference to 

19 the amount of $5,000,000 shall not be a prece20 dent in any other context; 

21 (C) provide that power revenues will not be 

22 available to aid in repayment of construction 

23 costs allocated to irrigation under the contract; 

24 and 


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1 (D) conform to the Settlement and this 

2 title and shall continue so long as the con3 tractor pays applicable charges, consistent with 

4 subsection (c)(2) and applicable law. 

5 (4) All such contracts entered into pursuant to 

6 paragraph (2) shall— 

7 (A) require the repayment in lump sum of 

8 the remaining amount of construction costs 

9 identified in the most current version of the 

10 Central Valley Project Schedule of Municipal 

11 and Industrial Water Rates, as adjusted to re12 flect payments not reflected in such schedule, 

13 and properly assignable for ultimate return by 

14 the contractor, no later than January 31, 2014. 

15 An estimate of the remaining amount of con16 struction costs as of January 31, 2014, as ad17 justed, shall be provided by the Secretary to 

18 each contractor no later than June 30, 2013; 

19 (B) require that, notwithstanding sub20 section (c)(2), construction costs or other cap21 italized costs incurred after the effective date of 

22 the contract or not reflected in the schedule ref23 erenced in subparagraph (A), and properly as24 signable to such contractor, shall be repaid in 

25 not more than 5 years after notification of the 


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1 allocation if such amount is a result of a collec2 tive annual allocation of capital costs to the 

3 contractors exercising contract conversions 

4 under this subsection of less than $5,000,000. 

5 If such amount is $5,000,000 or greater, such 

6 cost shall be repaid as provided by applicable 

7 Reclamation law, provided that the reference to 

8 the amount of $5,000,000 shall not be a prece9 dent in any other context; and 

10 (C) conform to the Settlement and this 

11 title and shall continue so long as the con12 tractor pays applicable charges, consistent with 

13 subsection (c)(2) and applicable law. 

14 (b) FINAL ADJUSTMENT.—The amounts paid pursu15 ant to subsection (a) shall be subject to adjustment fol16 lowing a final cost allocation by the Secretary upon com17 pletion of the construction of the Central Valley Project. 

18 In the event that the final cost allocation indicates that 

19 the costs properly assignable to the contractor are greater 

20 than what has been paid by the contractor, the contractor 

21 shall be obligated to pay the remaining allocated costs. 

22 The term of such additional repayment contract shall be 

23 no less than 1 year and no more than 10 years, however, 

24 mutually agreeable provisions regarding the rate of repay25 ment of such amount may be developed by the parties. 


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1 In the event that the final cost allocation indicates that 

2 the costs properly assignable to the contractor are less 

3 than what the contractor has paid, the Secretary is au4 thorized and directed to credit such overpayment as an 

5 offset against any outstanding or future obligation of the 

6 contractor. 

7 (c) APPLICABILITY OF CERTAIN PROVISIONS.— 

8 (1) Notwithstanding any repayment obligation 

9 under subsection (a)(3)(B) or subsection (b), upon a 

10 contractor’s compliance with and discharge of the 

11 obligation of repayment of the construction costs as 

12 provided in subsection (a)(3)(A), the provisions of 

13 section 213(a) and (b) of the Reclamation Reform 

14 Act of 1982 (96 Stat. 1269) shall apply to lands in 

15 such district. 

16 (2) Notwithstanding any repayment obligation 

17 under paragraph (3)(B) or (4)(B) of subsection (a), 

18 or subsection (b), upon a contractor’s compliance 

19 with and discharge of the obligation of repayment of 

20 the construction costs as provided in paragraphs 

21 (3)(A) and (4)(A) of subsection (a), the Secretary 

22 shall waive the pricing provisions of section 3405(d) 

23 of the Reclamation Projects Authorization and Ad24 justment Act of 1992 (Public Law 102–575) for 

25 such contractor, provided that such contractor shall 


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1 continue to pay applicable operation and mainte2 nance costs and other charges applicable to such re3 payment contracts pursuant to the then-current 

4 rate-setting policy and applicable law. 

5 (3) Provisions of the Settlement applying to 

6 Friant Division, Hidden Unit, and Buchanan Unit 

7 long-term water service contracts shall also apply to 

8 contracts executed pursuant to this section. 

9 (d) REDUCTION OF CHARGE FOR THOSE CONTRACTS

10 CONVERTED PURSUANT TO SUBSECTION (A)(1).— 

11 (1) At the time all payments by the contractor 

12 required by subsection (a)(3)(A) have been com13 pleted, the Secretary shall reduce the charge man14 dated in section 107(1) of this title, from 2020 

15 through 2039, to offset the financing costs as de16 fined in section 110(d)(3). The reduction shall be 

17 calculated at the time all payments by the contractor 

18 required by subsection (a)(3)(A) have been com19 pleted. The calculation shall remain fixed from 2020 

20 through 2039 and shall be based upon anticipated 

21 average annual water deliveries, as mutually agreed 

22 upon by the Secretary and the contractor, for the 

23 period from 2020 through 2039, and the amounts of 

24 such reductions shall be discounted using the Treas25 ury Rate; provided, that such charge shall not be reVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 duced to less than $4.00 per acre foot of project 

2 water delivered; provided further, that such reduc3 tion shall be implemented annually unless the Sec4 retary determines, based on the availability of other 

5 monies, that the charges mandated in section 107(1) 

6 are otherwise needed to cover ongoing federal costs 

7 of the Settlement, including any federal operation 

8 and maintenance costs of facilities that the Sec9 retary determines are needed to implement the Set10 tlement. If the Secretary determines that such 

11 charges are necessary to cover such ongoing federal 

12 costs, the Secretary shall, instead of making the re13 duction in such charges, reduce the contractor’s op14 eration and maintenance obligation by an equivalent 

15 amount, and such amount shall not be recovered by 

16 the United States from any Central Valley Project 

17 contractor, provided nothing herein shall affect the 

18 obligation of the contractor to make payments pur19 suant to a transfer agreement with a non-federal op20 erating entity. 

21 (2) If the calculated reduction in paragraph (1), 

22 taking into consideration the minimum amount re23 quired, does not result in the contractor offsetting 

24 its financing costs, the Secretary is authorized and 

25 directed to reduce, after October 1, 2019, any outVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 standing or future obligations of the contractor to 

2 the Bureau of Reclamation, other than the charge 

3 assessed and collected under section 3407(d) of Pub4 lic law 102–575, by the amount of such deficiency, 

5 with such amount indexed to 2020 using the Treas6 ury Rate and such amount shall not be recovered by 

7 the United States from any Central Valley Project 

8 contractor, provided nothing herein shall affect the 

9 obligation of the contractor to make payments pur10 suant to a transfer agreement with a non-Federal 

11 operating entity. 

12 (3) Financing costs, for the purposes of this 

13 subsection, shall be computed as the difference of 

14 the net present value of the construction cost identi15 fied in subsection (a)(3)(A) using the full Treasury 

16 Rate as compared to using one half of the Treasury 

17 Rate and applying those rates against a calculated 

18 average annual capital repayment through 2030. 

19 (4) Effective in 2040, the charge shall revert to 

20 the amount called for in section 107(1) of this title. 

21 (5) For purposes of this section, ‘‘Treasury 

22 Rate’’ shall be defined as the 20 year Constant Ma23 turity Treasury (CMT) rate published by the United 

24 States Department of the Treasury as of October 1, 

25 2010. 


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1 (e) SATISFACTION OF CERTAIN PROVISIONS.— 

2 (1) IN GENERAL.—Upon the first release of In3 terim Flows or Restoration Flows, pursuant to para4 graphs 13 or 15 of the Settlement, any short- or 

5 long-term agreement, to which 1 or more long-term 

6 Friant Division, Hidden Unit, or Buchanan Unit 

7 contractor that converts its contract pursuant to 

8 subsection (a) is a party, providing for the transfer 

9 or exchange of water not released as Interim Flows 

10 or Restoration Flows shall be deemed to satisfy the 

11 provisions of subsection 3405(a)(1)(A) and (I) of the 

12 Reclamation Projects Authorization and Adjustment 

13 Act of 1992 (Public Law 102–575) without the fur14 ther concurrence of the Secretary as to compliance 

15 with said subsections if the contractor provides, not 

16 later than 90 days before commencement of any 

17 such transfer or exchange for a period in excess of 

18 1 year, and not later than 30 days before commence19 ment of any proposed transfer or exchange with du20 ration of less than 1 year, written notice to the Sec21 retary stating how the proposed transfer or ex22 change is intended to reduce, avoid, or mitigate im23 pacts to water deliveries caused by the Interim 

24 Flows or Restoration Flows or is intended to other25 wise facilitate the Water Management Goal, as deVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00034 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 scribed in the Settlement. The Secretary shall 

2 promptly make such notice publicly available. 

3 (2) DETERMINATION OF REDUCTIONS TO

4 WATER DELIVERIES.—Water transferred or ex5 changed under an agreement that meets the terms 

6 of this subsection shall not be counted as a replace7 ment or an offset for purposes of determining reduc8 tions to water deliveries to any Friant Division long9 term contractor except as provided in paragraph 

10 16(b) of the Settlement. The Secretary shall, at least 

11 annually, make publicly available a compilation of 

12 the number of transfer or exchange agreements exer13 cising the provisions of this subsection to reduce, 

14 avoid, or mitigate impacts to water deliveries caused 

15 by the Interim Flows or Restoration Flows or to fa16 cilitate the Water Management Goal, as well as the 

17 volume of water transferred or exchanged under 

18 such agreements. 

19 (3) STATE LAW.—Nothing in this subsection al20 ters State law or permit conditions, including any 

21 applicable geographical restrictions on the place of 

22 use of water transferred or exchanged pursuant to 

23 this subsection. 

24 (f) CERTAIN REPAYMENT OBLIGATIONS NOT AL25 TERED.—Implementation of the provisions of this section 


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1 shall not alter the repayment obligation of any other long2 term water service or repayment contractor receiving 

3 water from the Central Valley Project, or shift any costs 

4 that would otherwise have been properly assignable to the 

5 Friant contractors absent this section, including oper6 ations and maintenance costs, construction costs, or other 

7 capitalized costs incurred after the date of enactment of 

8 this Act, to other such contractors. 

9 (g) STATUTORY INTERPRETATION.—Nothing in this 

10 title shall be construed to affect the right of any Friant 

11 Division, Hidden Unit, or Buchanan Unit long-term con12 tractor to use a particular type of financing to make the 

13 payments required in paragraph (3)(A) or (4)(A) of sub14 section (a). 

15 SEC. 111. CALIFORNIA CENTRAL VALLEY SPRING RUN CHI16 NOOK SALMON. 

17 (a) FINDING.—Congress finds that the implementa18 tion of the Settlement to resolve 18 years of contentious 

19 litigation regarding restoration of the San Joaquin River 

20 and the reintroduction of the California Central Valley 

21 Spring Run Chinook salmon is a unique and unprece22 dented circumstance that requires clear expressions of 

23 Congressional intent regarding how the provisions of the 

24 Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.) 

25 are utilized to achieve the goals of restoration of the San 


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1 Joaquin River and the successful reintroduction of Cali2 fornia Central Valley Spring Run Chinook salmon. 

3 (b) REINTRODUCTION IN THE SAN JOAQUIN

4 RIVER.—California Central Valley Spring Run Chinook 

5 salmon shall be reintroduced in the San Joaquin River 

6 below Friant Dam pursuant to section 10(j) of the Endan7 gered Species Act of 1973 (16 U.S.C. 1539(j)) and the 

8 Settlement, provided that the Secretary of Commerce 

9 finds that a permit for the reintroduction of California 

10 Central Valley Spring Run Chinook salmon may be issued 

11 pursuant to section 10(a)(1)(A) of the Endangered Spe12 cies Act of 1973 (16 U.S.C. 1539(a)(1)(A)). 

13 (c) FINAL RULE.— 

14 (1) DEFINITION OF THIRD PARTY.—For the 

15 purpose of this subsection, the term ‘‘third party’’ 

16 means persons or entities diverting or receiving 

17 water pursuant to applicable State and Federal laws 

18 and shall include Central Valley Project contractors 

19 outside of the Friant Division of the Central Valley 

20 Project and the State Water Project. 

21 (2) ISSUANCE.—The Secretary of Commerce 

22 shall issue a final rule pursuant to section 4(d) of 

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

24 1533(d)) governing the incidental take of reintroVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00037 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 duced California Central Valley Spring Run Chinook 

2 salmon prior to the reintroduction. 

3 (3) REQUIRED COMPONENTS.—The rule issued 

4 under paragraph (2) shall provide that the reintro5 duction will not impose more than de minimus: 

6 water supply reductions, additional storage releases, 

7 or bypass flows on unwilling third parties due to 

8 such reintroduction. 

9 (4) APPLICABLE LAW.—Nothing in this sec10 tion— 

11 (A) diminishes the statutory or regulatory 

12 protections provided in the Endangered Species 

13 Act of 1973 for any species listed pursuant to 

14 section 4 of the Endangered Species Act of 

15 1973 (16 U.S.C. 1533) other than the reintro16 duced population of California Central Valley 

17 Spring Run Chinook salmon, including protec18 tions pursuant to existing biological opinions or 

19 new biological opinions issued by the Secretary 

20 or Secretary of Commerce; or 

21 (B) precludes the Secretary or Secretary of 

22 Commerce from imposing protections under the 

23 Endangered Species Act of 1973 (16 U.S.C. 

24 1531 et seq.) for other species listed pursuant 

25 to section 4 of that Act (16 U.S.C. 1533) beVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00038 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 cause those protections provide incidental bene2 fits to such reintroduced California Central Val3 ley Spring Run Chinook salmon. 

4 (d) REPORT.— 

5 (1) IN GENERAL.—Not later than December 31, 

6 2024, the Secretary of Commerce shall report to 

7 Congress on the progress made on the reintroduction 

8 set forth in this section and the Secretary’s plans for 

9 future implementation of this section. 

10 (2) INCLUSIONS.—The report under paragraph 

11 (1) shall include— 

12 (A) an assessment of the major challenges, 

13 if any, to successful reintroduction; 

14 (B) an evaluation of the effect, if any, of 

15 the reintroduction on the existing population of 

16 California Central Valley Spring Run Chinook 

17 salmon existing on the Sacramento River or its 

18 tributaries; and 

19 (C) an assessment regarding the future of 

20 the reintroduction. 

21 (e) FERC PROJECTS.— 

22 (1) IN GENERAL.—With regard to California 

23 Central Valley Spring Run Chinook salmon reintro24 duced pursuant to the Settlement, the Secretary of 

25 Commerce shall exercise its authority under section 


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1 18 of the Federal Power Act (16 U.S.C. 811) by re2 serving its right to file prescriptions in proceedings 

3 for projects licensed by the Federal Energy Regu4 latory Commission on the Calaveras, Stanislaus, 

5 Tuolumne, Merced, and San Joaquin rivers and oth6 erwise consistent with subsection (c) until after the 

7 expiration of the term of the Settlement, December 

8 31, 2025, or the expiration of the designation made 

9 pursuant to subsection (b), whichever ends first. 

10 (2) EFFECT OF SUBSECTION.—Nothing in this 

11 subsection shall preclude the Secretary of Commerce 

12 from imposing prescriptions pursuant to section 18 

13 of the Federal Power Act (16 U.S.C. 811) solely for 

14 other anadromous fish species because those pre15 scriptions provide incidental benefits to such reintro16 duced California Central Valley Spring Run Chinook 

17 salmon. 

18 (f) EFFECT OF SECTION.—Nothing in this section is 

19 intended or shall be construed— 

20 (1) to modify the Endangered Species Act of 

21 1973 (16 U.S.C. 1531 et seq.) or the Federal Power 

22 Act (16 U.S.C. 791a et seq.); or 

23 (2) to establish a precedent with respect to any 

24 other application of the Endangered Species Act of 


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1 1973 (16 U.S.C. 1531 et seq.) or the Federal Power 

2 Act (16 U.S.C. 791a et seq.). 

3 TITLE II—STUDY TO DEVELOP 

4 WATER PLAN; REPORT 

5 SEC. 201. STUDY TO DEVELOP WATER PLAN; REPORT. 

6 (a) PLAN.— 

7 (1) GRANT.—To the extent that funds are 

8 made available in advance for this purpose, the Sec9 retary of the Interior, acting through the Bureau of 

10 Reclamation, shall provide direct financial assistance 

11 to the California Water Institute, located at Cali12 fornia State University, Fresno, California, to con13 duct a study regarding the coordination and integra14 tion of sub-regional integrated regional water man15 agement plans into a unified Integrated Regional 

16 Water Management Plan for the subject counties in 

17 the hydrologic basins that would address issues re18 lated to— 

19 (A) water quality; 

20 (B) water supply (both surface, ground 

21 water banking, and brackish water desalina22 tion); 

23 (C) water conveyance; 

24 (D) water reliability; 


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1 (E) water conservation and efficient use 

2 (by distribution systems and by end users); 

3 (F) flood control; 

4 (G) water resource-related environmental 

5 enhancement; and 

6 (H) population growth. 

7 (2) STUDY AREA.—The study area referred to 

8 in paragraph (1) is the proposed study area of the 

9 San Joaquin River Hydrologic Region and Tulare 

10 Lake Hydrologic Region, as defined by California 

11 Department of Water Resources Bulletin 160–05, 

12 volume 3, chapters 7 and 8, including Kern, Tulare, 

13 Kings, Fresno, Madera, Merced, Stanislaus, and San 

14 Joaquin counties in California. 

15 (b) USE OF PLAN.—The Integrated Regional Water 

16 Management Plan developed for the 2 hydrologic basins 

17 under subsection (a) shall serve as a guide for the counties 

18 in the study area described in subsection (a)(2) to use as 

19 a mechanism to address and solve long-term water needs 

20 in a sustainable and equitable manner. 

21 (c) REPORT.—The Secretary shall ensure that a re22 port containing the results of the Integrated Regional 

23 Water Management Plan for the hydrologic regions is sub24 mitted to the Committee on Energy and Natural Re25 sources of the Senate and the Committee on Natural ReVerDate Nov 24 2008 00:19 Jan 08, 2009 Jkt 079200 PO 00000 Frm 00042 Fmt 6652 Sfmt 6201 E:\BILLS\S161.IS S161

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1 sources of the House of Representatives not later than 24 

2 months after financial assistance is made available to the 

3 California Water Institute under subsection (a)(1). 

4 (d) AUTHORIZATION OF APPROPRIATIONS.—There 

5 are authorized to be appropriated to carry out this section 

6 $1,000,000 to remain available until expended. 

7 TITLE III—FRIANT DIVISION 

8 IMPROVEMENTS 

9 SEC. 301. FEDERAL FACILITY IMPROVEMENTS. 

10 (a) The Secretary of the Interior (hereafter referred 

11 to as the ‘‘Secretary’’) is authorized and directed to con12 duct feasibility studies in coordination with appropriate 

13 Federal, State, regional, and local authorities on the fol14 lowing improvements and facilities in the Friant Division, 

15 Central Valley Project, California: 

16 (1) Restoration of the capacity of the Friant17 Kern Canal and Madera Canal to such capacity as 

18 previously designed and constructed by the Bureau 

19 of Reclamation. 

20 (2) Reverse flow pump-back facilities on the 

21 Friant-Kern Canal, with reverse-flow capacity of ap22 proximately 500 cubic feet per second at the Poso 

23 and Shafter Check Structures and approximately 

24 300 cubic feet per second at the Woollomes Check 

25 Structure. 


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1 (b) Upon completion of and consistent with the appli2 cable feasibility studies, the Secretary is authorized to con3 struct the improvements and facilities identified in sub4 section (a) in accordance with all applicable Federal and 

5 State laws. 

6 (c) The costs of implementing this section shall be 

7 in accordance with section 303, and shall be a nonreim8 bursable Federal expenditure. 

9 SEC. 302. FINANCIAL ASSISTANCE FOR LOCAL PROJECTS. 

10 (a) AUTHORIZATION.—The Secretary is authorized to 

11 provide financial assistance to local agencies within the 

12 Central Valley Project, California, for the planning, de13 sign, environmental compliance, and construction of local 

14 facilities to bank water underground or to recharge 

15 groundwater, and that recover such water, provided that 

16 the project meets the criteria in subsection (b). The Sec17 retary is further authorized to require that any such local 

18 agency receiving financial assistance under the terms of 

19 this section submit progress reports and accountings to 

20 the Secretary, as the Secretary deems appropriate, which 

21 such reports shall be publicly available. 

22 (b) CRITERIA.— 

23 (1) A project shall be eligible for Federal finan24 cial assistance under subsection (a) only if all or a 

25 portion of the project is designed to reduce, avoid, 


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1 or offset the quantity of the expected water supply 

2 impacts to Friant Division long-term contractors 

3 caused by the Interim or Restoration Flows author4 ized in title I of this Act, and such quantities have 

5 not already been reduced, avoided, or offset by other 

6 programs or projects. 

7 (2) Federal financial assistance shall only apply 

8 to the portion of a project that the local agency des9 ignates as reducing, avoiding, or offsetting the ex10 pected water supply impacts caused by the Interim 

11 or Restoration Flows authorized in title I of this 

12 Act, consistent with the methodology developed pur13 suant to paragraph (3)(C). 

14 (3) No Federal financial assistance shall be pro15 vided by the Secretary under this title for construc16 tion of a project under subsection (a) unless the Sec17 retary— 

18 (A) determines that appropriate planning, 

19 design, and environmental compliance activities 

20 associated with such a project have been com21 pleted, and that the Secretary has been offered 

22 the opportunity to participate in the project at 

23 a price that is no higher than the local agency’s 

24 own costs, in order to secure necessary storage, 

25 extraction, and conveyance rights for water that 


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1 may be needed to meet the Restoration Goal as 

2 described in title I of this Act, where such 

3 project has capacity beyond that designated for 

4 the purposes in paragraph (2) or where it is 

5 feasible to expand such project to allow partici6 pation by the Secretary; 

7 (B) determines, based on information 

8 available at the time, that the local agency has 

9 the financial capability and willingness to fund 

10 its share of the project’s construction and all 

11 operation and maintenance costs on an annual 

12 basis; 

13 (C) determines that a method acceptable to 

14 the Secretary has been developed for quanti15 fying the benefit, in terms of reduction, avoid16 ance, or offset of the water supply impacts ex17 pected to be caused by the Interim or Restora18 tion Flows authorized in title I of this Act, that 

19 will result from the project, and for ensuring 

20 appropriate adjustment in the recovered water 

21 account pursuant to section 104(a)(5); and 

22 (D) has entered into a cost-sharing agree23 ment with the local agency which commits the 

24 local agency to funding its share of the project’s 

25 construction costs on an annual basis. 


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1 (c) GUIDELINES.—Within 1 year from the date of en2 actment of this title, the Secretary shall develop, in con3 sultation with the Friant Division long-term contractors, 

4 proposed guidelines for the application of the criteria de5 fined in subsection (b), and will make the proposed guide6 lines available for public comment. Such guidelines may 

7 consider prioritizing the distribution of available funds to 

8 projects that provide the broadest benefit within the af9 fected area and the equitable allocation of funds. Upon 

10 adoption of such guidelines, the Secretary shall implement 

11 such assistance program, subject to the availability of 

12 funds appropriated for such purpose. 

13 (d) COST SHARING.—The Federal financial assist14 ance provided to local agencies under subsection (a) shall 

15 not exceed— 

16 (1) 50 percent of the costs associated with plan17 ning, design, and environmental compliance activities 

18 associated with such a project; and 

19 (2) 50 percent of the costs associated with con20 struction of any such project. 

21 (e) PROJECT OWNERSHIP.— 

22 (1) Title to, control over, and operation of, 

23 projects funded under subsection (a) shall remain in 

24 one or more non-Federal local agencies. Nothing in 

25 this title authorizes the Secretary to operate a 


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1 groundwater bank along or adjacent to the San Joa2 quin River upstream of the confluence with the 

3 Merced River, and any such groundwater bank shall 

4 be operated by a non-Federal entity. All projects 

5 funded pursuant to this subsection shall comply with 

6 all applicable Federal and State laws, including pro7 visions of California water law. 

8 (2) All operation, maintenance, and replace9 ment and rehabilitation costs of such projects shall 

10 be the responsibility of the local agency. The Sec11 retary shall not provide funding for any operation, 

12 maintenance, or replacement and rehabilitation costs 

13 of projects funded under subsection (a). 

14 SEC. 303. AUTHORIZATION OF APPROPRIATIONS. 

15 (a) The Secretary is authorized and directed to use 

16 monies from the fund established under section 109 to 

17 carry out the provisions of section 301(a)(1), in an 

18 amount not to exceed $35,000,000. 

19 (b) In addition to the funds made available pursuant 

20 to subsection (a), the Secretary is also authorized to ex21 pend such additional funds from the fund established 

22 under section 109 to carry out the purposes of section 

23 301(a)(2), if such facilities have not already been author24 ized and funded under the plan provided for pursuant to 

25 section 104(a)(4), in an amount not to exceed 


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49 

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1 $17,000,000, provided that the Secretary first determines 

2 that such expenditure will not conflict with or delay his 

3 implementation of actions required by title I of this Act. 

4 Notice of the Secretary’s determination shall be published 

5 not later than his submission of the report to Congress 

6 required by section 109(f)(2). 

7 (c) In addition to funds made available in subsections 

8 (a) and (b), there are authorized to be appropriated 

9 $50,000,000 (October 2008 price levels) to carry out the 

10 purposes of this title which shall be non-reimbursable. 

Æ 


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