II 

115TH CONGRESS 

2D SESSION S. 2560 

To authorize the Secretary of the Interior to establish a program to facilitate 

the transfer to non-Federal ownership of appropriate reclamation projects 

or facilities, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 15, 2018 

Mr. RISCH introduced the following bill; which was read twice and referred 

to the Committee on Energy and Natural Resources 

A BILL 

To authorize the Secretary of the Interior to establish a 

program to facilitate the transfer to non-Federal ownership of appropriate reclamation projects or facilities, 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 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Reclamation Title 

5 Transfer Act of 2018’’. 

6 SEC. 2. PURPOSE. 

7 The purpose of this Act is to facilitate the transfer 

8 of title to eligible facilities to qualifying entities that have 


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1 completed the repayment of the capital costs of the eligible 

2 facilities through capital repayment contracts with Rec3 lamation. 

4 SEC. 3. DEFINITIONS. 

5 In this Act: 

6 (1) CONVEYED PROPERTY.—The term ‘‘con7 veyed property’’ means an eligible facility that has 

8 been conveyed to a qualifying entity under section 4. 

9 (2) ELIGIBLE FACILITY.—The term ‘‘eligible fa10 cility’’ means a facility that meets the criteria for 

11 potential transfer established under section 5(a). 

12 (3) FACILITY.— 

13 (A) IN GENERAL.—The term ‘‘facility’’ 

14 means— 

15 (i) a Reclamation project or facility; 

16 or 

17 (ii) a portion of a Reclamation project 

18 or facility. 

19 (B) INCLUSIONS.—The term ‘‘facility’’ in20 cludes a dam or appurtenant works, infrastruc21 ture, a recreational facility, a building, a dis22 tribution and drainage works, and associated 

23 land or interest in land or water. 

24 (C) EXCLUSIONS.—The term ‘‘facility’’ 

25 does not include a Reclamation project or facilVerDate Sep 11 2014 01:44 Mar 27, 2018 Jkt 079200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S2560.IS S2560

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1 ity, or a portion of a Reclamation project or fa2 cility, that— 

3 (i) generates hydropower marketed by 

4 a Federal power marketing administration; 

5 or 

6 (ii) is managed for recreation under a 

7 lease, permit, license, or other management 

8 agreement that does contribute to capital 

9 repayment. 

10 (4) QUALIFYING ENTITY.—The term ‘‘quali11 fying entity’’ means an agency of a State or political 

12 subdivision of a State, a joint action or powers agen13 cy, a water users association, or an Indian Tribe or 

14 Tribal utility authority that— 

15 (A) as of the date of conveyance under this 

16 Act, is the current operator of the conveyed fa17 cility pursuant to a contract with Reclamation; 

18 and 

19 (B) as determined by the Secretary, has 

20 the capacity to continue to manage the con21 veyed property for the same purposes for which 

22 the property has been managed under the rec23 lamation laws. 

24 (5) RECLAMATION.—The term ‘‘Reclamation’’ 

25 means the Bureau of Reclamation. 


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1 (6) SECRETARY.—The term ‘‘Secretary’’ means 

2 the Secretary of the Interior, acting through the 

3 Commissioner of Reclamation. 

4 SEC. 4. AUTHORIZATION OF TRANSFERS OF TITLES TO ELI5 GIBLE FACILITIES. 

6 (a) IN GENERAL.—Subject to the requirements of 

7 this section, the Secretary, without further authorization 

8 from Congress, may convey to a qualifying entity all right, 

9 title, and interest of the United States in and to any eligi10 ble facility, if— 

11 (1) not later than 90 days before the date on 

12 which the Secretary makes the conveyance, the Sec13 retary submits to Congress— 

14 (A) a written notice of the proposed con15 veyance; and 

16 (B) a description of the reasons for the 

17 conveyance; and 

18 (2) a joint resolution disapproving the convey19 ance is not enacted before the date on which the 

20 Secretary makes the conveyance. 

21 (b) RESERVATION OF EASEMENT.—The Secretary 

22 may reserve an easement over a conveyed property if— 

23 (1) the Secretary determines that the easement 

24 is necessary for the management of any interests re25 tained by the Federal Government under this Act; 


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1 (2) a portion of the conveyed property remains 

2 under Federal ownership; and 

3 (3) the Secretary enters into an agreement re4 garding the easement with the applicable qualifying 

5 entity. 

6 (c) INTERESTS IN WATER.—The Federal interest in 

7 associated water rights and uses relating to a conveyed 

8 property, if any, shall be conveyed under this section in 

9 accordance with applicable State law pursuant to a written 

10 agreement between the Secretary and the applicable quali11 fying entity. 

12 SEC. 5. ELIGIBILITY CRITERIA. 

13 (a) ESTABLISHMENT.—The Secretary shall establish 

14 criteria for determining whether a facility is eligible for 

15 conveyance under this Act. 

16 (b) MINIMUM REQUIREMENTS.— 

17 (1) AGREEMENT OF QUALIFYING ENTITY.—The 

18 criteria established under subsection (a) shall in19 clude a requirement that a qualifying entity shall 

20 agree— 

21 (A) to accept title to the eligible facility; 

22 (B) to use the eligible facility for substan23 tially the same purposes for which the eligible 

24 facility is being used at the time the Secretary 

25 evaluates the potential transfer; and 


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1 (C) to provide, as consideration for the as2 sets to be conveyed, compensation to the rec3 lamation fund established by the first section of 

4 the Act of June 17, 1902 (32 Stat. 388, chap5 ter 1093), in an amount that is the equivalent 

6 of the net present value of any repayment obli7 gation to the United States or other income 

8 stream that the United States derives from the 

9 eligible facility to be transferred, as of the date 

10 of the transfer. 

11 (2) DETERMINATIONS OF SECRETARY.—The 

12 criteria established under subsection (a) shall in13 clude a requirement that the Secretary shall— 

14 (A) be able to enter into an agreement 

15 with the qualifying entity with respect to the 

16 legal, institutional, and financial arrangements 

17 relating to the conveyance; and 

18 (B) determine that the proposed trans19 fer— 

20 (i) would not have an unmitigated sig21 nificant effect on the environment; 

22 (ii) is consistent with the responsibil23 ities of the Secretary— 


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1 (I) to protect land and water re2 sources held in trust for federally rec3 ognized Indian Tribes; and 

4 (II) to ensure compliance with 

5 any applicable international treaties 

6 and interstate compacts; and 

7 (iii) is in the financial interest of the 

8 United States. 

9 (3) STATUS OF RECLAMATION LAND.—The cri10 teria established under subsection (a) shall require 

11 that any land to be conveyed out of Federal owner12 ship under this Act is— 

13 (A) land acquired by the Secretary; or 

14 (B) land withdrawn by the Secretary, only 

15 if— 

16 (i) the Secretary determines in writing 

17 that the withdrawn land is encumbered by 

18 facilities to the extent that the withdrawn 

19 land is unsuitable for return to the public 

20 domain; and 

21 (ii) the qualifying entity agrees to pay 

22 fair market value based on historical or ex23 isting uses for the withdrawn land to be 

24 conveyed. 


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1 SEC. 6. LIABILITY. 

2 (a) IN GENERAL.—Except as provided in subsection 

3 (b), effective beginning on the date of conveyance of any 

4 eligible facility under this Act, the United States shall not 

5 be liable under any law for damages of any kind arising 

6 out of any act, omission, or occurrence based on the prior 

7 ownership or operation of the conveyed property. 

8 (b) LIMITATION.—The United States shall retain the 

9 responsibilities and authorities of the United States for 

10 a conveyed property based on the prior ownership or oper11 ation of the conveyed property by the United States under 

12 Federal environmental laws, including the Comprehensive 

13 Environmental Response, Compensation, and Liability Act 

14 of 1980 (42 U.S.C. 9601 et seq.). 

15 SEC. 7. BENEFITS. 

16 After a conveyance of an eligible facility under this 

17 Act— 

18 (1) the conveyed property shall no longer be 

19 considered to be part of a Reclamation project; and 

20 (2) if the transfer of an entire Reclamation 

21 project occurs pursuant to such a conveyance, the 

22 qualifying entity to which the conveyed property is 

23 conveyed shall not be eligible to receive any benefits, 

24 including project power, with respect to the conveyed 

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1 able to a similarly situated entity with respect to 

2 property that is not a part of a Reclamation project. 

3 SEC. 8. COMPLIANCE WITH OTHER LAWS. 

4 (a) OPERATION OF CONVEYED PROPERTY.—After 

5 conveyance of an eligible facility under this Act, the quali6 fying entity to which the conveyed property is conveyed 

7 shall comply with all applicable Federal, State, and local 

8 laws (including regulations) in the operation of the con9 veyed property. 

10 (b) FEDERAL ENVIRONMENTAL LAWS APPLICABLE

11 TO TITLE TRANSFER.—For purposes of achieving compli12 ance with Federal environmental laws (including regula13 tions) applicable to a transfer of title under this Act, the 

14 Federal agency action shall be limited to the change in 

15 ownership status of an applicable eligible facility if the 

16 ability of the applicable qualifying entity to alter the exist17 ing uses or operations of the conveyed property after the 

18 conveyance is limited due to the fact that— 

19 (1) any modification to the purpose or location 

20 of applicable water use would require a modification 

21 of a State-issued water right that requires action by 

22 the State in which the eligible facility is located; or 

23 (2) any modification to the purpose or oper24 ation of the eligible facility requires an action by a 


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1 qualifying entity that is constrained by applicable re2 quirements that were established— 

3 (A) by an applicable State legislature, 

4 State regulatory agency, publicly elected board, 

5 appointed board, or other related entity; and 

6 (B) through a public process or other, 

7 similar procedure that constrains, or imposes 

8 public scrutiny or additional accountability on, 

9 the ability of the qualifying entity to carry out 

10 such a modification. 

11 SEC. 9. AUTHORIZATION OF APPROPRIATIONS. 

12 (a) IN GENERAL.—There are authorized to be appro13 priated to carry out this Act such sums as are necessary. 

14 (b) USE OF AMOUNTS.—Amounts made available 

15 under subsection (a) may be used— 

16 (1) to carry out any investigations appropriate 

17 to carry out this Act; and 

18 (2) to pay any other costs associated with con19 veyances under this Act, including an appropriate 

20 Federal share, as determined by the Secretary, of 

21 the costs of compliance with the National Environ22 mental Policy Act of 1969 (42 U.S.C. 4321 et seq.) 

23 and any other applicable law. 

24 (c) NOT TREATED AS PROJECT COSTS.—Expendi25 tures made by the Secretary under this Act— 


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1 (1) shall not be a project cost assignable to a 

2 Reclamation project; and 

3 (2) shall be nonreimbursable. 

Æ 


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