Calendar No. 635

103D CONGRESS

2D SESSION S. 2253

[Report No. 103–381]

A BILL

To modify the Mountain Park Project in

Oklahoma, and for other purposes.

SEPTEMBER 26 (legislative day, SEPTEMBER 12), 1994

Reported with an amendment
II

Calendar No. 635

103D CONGRESS

2D SESSION S. 2253

[Report No. 103–381]

To modify the Mountain Park Project in Oklahoma, and for other purposes.

IN THE SENATE OF THE UNITED STATES

JUNE 30 (legislative day, JUNE 7), 1994

Mr. NICKLES (for himself and Mr. BOREN) introduced the following bill; which

was read twice and referred to the Committee on Energy and Natural

Resources

SEPTEMBER 26 (legislative day, SEPTEMBER 12), 1994

Reported by Mr. JOHNSTON, with an amendment

A BILL

To modify the Mountain Park Project in Oklahoma, 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; REFERENCES.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Mountain Park Project Act of 1994’’.
2

•S 2253 RS

1 (b) REFERENCES.—Whenever in this Act an amend2 ment or repeal is expressed in terms of an amendment

3 to, or repeal of, a section or other provision, the reference

4 shall be considered to be made to a section or other provi5 sion of the Act entitled ‘‘An Act to authorize the Secretary

6 of the Interior to construct, operate, and maintain the

7 Mountain Park reclamation project, Oklahoma, and for

8 other purposes’’ (Public Law 90–503, 82 Stat. 853 et

9 seq.).

10 SEC. 2. MODIFICATION OF MOUNTAIN PARK PROJECT.

11 (a) IN GENERAL.—The first section (Public Law 90–

12 503, 82 Stat. 853) is amended by striking out ‘‘and con13 trolling floods.’’ and inserting in lieu thereof ‘‘controlling

14 floods, and environmental quality activities. As used in

15 this Act, the term ‘environmental quality activity’ means

16 any activity that primarily benefits the quality of natural

17 environmental resources.’’.

18 (b) REALLOCATION OF PROJECT COSTS.—The Act

19 (Public Law 90–503, 82 Stat. 853 et seq.) is amended

20 by adding at the end the following new section:

21 ‘‘SEC. 7. (a)(1) Not later than 180 days after the

22 date of enactment of the Mountain Park Project Act of

23 1994, the Secretary of the Interior (referred to in this sec24 tion as the ‘Secretary’) shall—
3

•S 2253 RS

1 ‘‘(A) conduct appropriate investigations to de2 termine environmental quality activities that could

3 be carried out for the Mountain Park project; and

4 ‘‘(B) on the basis of the determination made

5 under subparagraph (A), make an appropriate

6 reallocation of the costs of the project under sections

7 2 and 3 (referred to in this section as ‘project costs’)

8 to accommodate the environmental quality activities

9 that the Secretary authorizes pursuant to this sub10 section.

11 ‘‘(2) In conducting investigations under this sub12 section, the Secretary shall examine the benefits to natural

13 environmental resources achievable from an environmental

14 quality activity that requires reallocating of water, using

15 facilities, or land of the Mountain Park project, including

16 any of the following activities:

17 ‘‘(A) Developing in-stream flows.

18 ‘‘(B) Developing wetland habitat.

19 ‘‘(C) Any other environmental quality activity

20 that the Secretary determines to be appropriate to

21 benefit the overall quality of the environment.

22 ‘‘(b)(1) Upon completion of the investigations under

23 subsection (a)(2), the Secretary shall carry out the follow24 ing:
4

•S 2253 RS

1 ‘‘(A) The preparation of proposed a reallocation

2 of project costs in conformance with subsection

3 (a)(1)(B).

4 ‘‘(B) Negotiations with the Mountain Park

5 Master Conservancy District (referred to in this sec6 tion as the ‘District’) to amend the contract exe7 cuted by the District pursuant to this Act to adjust

8 the obligation of the District to repay project costs,

9 as described in section 2, to reflect the reallocation

10 of nonreimbursable project costs.

11 ‘‘(2) For the purposes of paragraph (1), project costs

12 associated with an environmental quality activity specified

13 by the Secretary pursuant to subsection (a)(2) shall be

14 nonreimbursable project costs.

15 ‘‘(c)(1) Notwithstanding any other provision of this

16 Act, the Secretary is authorized to accept prepayment of

17 the repayment obligation of the District for the reimburs18 able construction costs of the project allocated to munici19 pal and industrial water supply for the city of Altus, Okla20 homa, the city of Frederick, Oklahoma, or the city of Sny21 der, Oklahoma (or any combination thereof), and, upon

22 receipt of such prepayment, the District’s obligation to the

23 United States shall be reduced by the amount of such

24 costs, and any security held therefor, shall be released by

25 the Secretary.
5

•S 2253 RS

1 ‘‘(2) Any prepayment made pursuant to subsection

2 (c)(1) shall realize to the United States an amount cal3 culated by discounting the remaining repayment obligation

4 by the interest rate determined in accordance with sub5 section (d).

6 ‘‘(d)(1) The Secretary shall determine the interest

7 rate in accordance with the guidelines set forth in Circular

8 A–129 issued by the office of Management and Budget

9 concerning loan sales and prepayment of loans. In deter10 mining the interest rate, the Secretary shall equate an ap11 propriate amount of prepayment with the price of the Dis12 trict’s obligation if it were to be sold on the open market

13 to a third party.

14 ‘‘(d)(1) The Secretary of the Treasury shall determine

15 the interest rate in accordance with the guidelines set forth

16 in Circular A–129 issued by the Office of Management and

17 Budget and the Department of Treasury Financial Manual.

18 In determining the interest rate, the Secretary shall con19 sider the price of the District’s obligation if it were to be

20 sold on the open market to a third party.

21 ‘‘(2) If the District uses tax-exempt financing to fi22 nance a prepayment under subsection (c)(1), then the in23 terest rate by which the Secretary discounts the remaining

24 payments due on the District’s obligation shall be adjusted
6

•S 2253 RS

1 by an amount that compensates the United States for the

2 direct or indirect loss of future tax revenues.

3 ‘‘(e) Notwithstanding any payment made by the Dis4 trict pursuant to this section or pursuant to any contract

5 with the Secretary, title to the project facilities shall re6 main with the United States.

7 ‘‘(f) Section 3101 of the Reclamation Projects Au8 thorization and Adjustment Act of 1992 (Public Law 102–

9 575; 106 Stat. 4698) is repealed.’’.