I 
110TH CONGRESS 
1ST SESSION 
H. R. 186 
To authorize the construction of the Arkansas Valley Conduit in the State 
of Colorado, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JANUARY 4, 2007 
Mrs. MUSGRAVE introduced the following bill; which was referred to the 
Committee on Natural Resources 
A BILL 
To authorize the construction of the Arkansas Valley Conduit 
in the State of Colorado, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Arkansas Valley Con-
duit Act’’. 
SEC. 2. FINDINGS AND PURPOSES. 
(a) FINDINGS.—Congress finds that— 
(1) Public Law 87–590 (76 Stat. 389) author-
ized the Fryingpan-Arkansas project, including con-
struction of the Arkansas Valley Conduit, a pipeline 
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extending from Pueblo Reservoir, Pueblo, Colorado 
to Lamar, Colorado; 
(2) the Arkansas Valley Conduit was never 
built, partly because of the inability of local commu-
nities to pay 100 percent of the costs of construction 
of the Arkansas Valley Conduit; 
(3) in furtherance of the goals and authoriza-
tion of the Fryingpan-Arkansas project, it is nec-
essary to provide separate authorization for the con-
struction of the Arkansas Valley Conduit; 
(4) the construction of the Arkansas Valley 
Conduit is necessary for the continued viability of 
southeast Colorado; and 
(5) the Arkansas Valley Conduit would provide 
the communities of southeast Colorado with safe, 
clean, and affordable water. 
(b) PURPOSES.—The purposes of this Act are— 
(1) to ensure a safe and adequate water supply 
for the beneficiaries identified in Public Law 87–590 
(76 Stat. 389) and related authorizing documents 
and subsequent studies; and 
(2) to establish a cost-sharing requirement for 
the construction of the Arkansas Valley Conduit. 
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SEC. 3. ARKANSAS VALLEY CONDUIT, COLORADO. 
(a) IN GENERAL.—The Secretary of the Interior (re-
ferred to in this Act as the ‘‘Secretary’’) shall plan, design, 
and construct a water delivery pipeline, and branch lines 
as needed, from a location in the vicinity (as determined 
by the Secretary) of Pueblo Reservoir, Pueblo, Colorado 
to a location in the vicinity (as determined by the Sec-
retary) of Lamar, Colorado, to be known as the ‘‘Arkansas 
Valley Conduit’’, without regard to the cost-ceiling for the 
Fryingpan Arkansas Project established under section 7 
of Public Law 87–590 (76 Stat. 393). 
(b) LEAD NON-FEDERAL ENTITY.— 
(1) DESIGNATION.—The Southeastern Colorado 
Water Conservancy District, or a designee of the 
Southeastern Colorado Water Conservancy District 
that is recognized under State law as an entity that 
has taxing authority, shall be the lead non-Federal 
entity for the Arkansas Valley Conduit. 
(2) DUTIES.—The lead non-Federal entity 
shall— 
(A) act as the official agent of the Arkan-
sas Valley Conduit; 
(B) pay— 
(i) the non-Federal share of any in-
creased costs required under subsection 
(e)(2)(C); and 
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(ii) the non-Federal share of construc-
tion costs under subsection (e)(2); and 
(C) pay costs relating to, and perform, the 
operations, maintenance, and replacement of 
the Arkansas Valley Conduit. 
(c) COOPERATION.—To the maximum extent prac-
ticable during the planning, design, and construction of 
the Arkansas Valley Conduit, the Secretary shall collabo-
rate and cooperate with the United States Army Corps 
of Engineers, other Federal agencies, and non-Federal en-
tities. 
(d) COST ESTIMATE.— 
(1) IN
GENERAL.—Not later than 180 days 
after the date of enactment of this Act, the Sec-
retary, in cooperation with the lead non-Federal en-
tity, shall prepare an estimate of the total costs of 
constructing the Arkansas Valley Conduit. 
(2) ACTUAL COSTS.—If the actual costs of con-
struction exceed the estimated costs, the difference 
between the actual costs and the estimated costs 
shall be apportioned in accordance with subsection 
(e)(2)(C). 
(3) AGREEMENT ON ESTIMATE AND DESIGN.— 
The estimate prepared under paragraph (1), and the 
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final design for the Arkansas Valley Conduit, shall 
be— 
(A) subject to the agreement of the Sec-
retary and the lead non-Federal entity; 
(B) developed in cooperation with the lead 
non-Federal entity; and 
(C) consistent with commonly accepted en-
gineering practices. 
(e) COST-SHARING REQUIREMENT.— 
(1) FEDERAL SHARE.— 
(A) IN GENERAL.—The Federal share of 
the total costs of the planning, design, and con-
struction of the Arkansas Valley Conduit shall 
be 80 percent. 
(B) 
INCREASED
COSTS.—The 
Federal 
share of any increased costs that are a result 
of fundamental design changes conducted at the 
request of any person other than the lead non- 
Federal entity shall be 100 percent. 
(2) NON-FEDERAL SHARE.— 
(A) NON-FEDERAL SHARE.—The non-Fed-
eral share of the total costs of the planning, de-
sign, and construction of the Arkansas Valley 
Conduit shall be 20 percent. 
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(B) FORM.—Up to 100 percent of the non- 
Federal share may be in the form of in-kind 
contributions or tasks that are identified in the 
cost estimate prepared under subsection (d)(1) 
as necessary for the planning, design, and con-
struction of the Arkansas Valley Conduit. 
(C) INCREASED COSTS.— 
(i) 
FUNDAMENTAL
DESIGN 
CHANGES.—The lead non-Federal entity 
shall pay any increased costs that are a re-
sult of fundamental design changes con-
ducted at the request of the lead non-Fed-
eral entity. 
(ii) OTHER
CAUSES.—For any in-
creased costs that are from causes (includ-
ing increased supply and labor costs and 
unforseen field changes) other than funda-
mental design changes referred to in clause 
(i) and paragraph (1)(B)— 
(I) the Federal share shall be 80 
percent; and 
(II) the non-Federal share shall 
be 20 percent. 
(D) UP-FRONT PAYMENT.—Not later than 
180 days after the date of completion of the 
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cost-estimate under subsection (d), the Sec-
retary and the non-Federal entity may enter 
into an agreement under which— 
(i) the Secretary pays 100 percent of 
the non-Federal share on behalf of the 
non-Federal entity; and 
(ii) the non-Federal entity reimburses 
the Secretary for the funds paid by the 
Secretary in accordance with the terms of 
the agreement. 
(E) TIMING.—Except as provided in sub-
paragraph (D), the non-Federal share shall be 
paid in accordance with a schedule established 
by the Secretary that— 
(i) takes into account the capability of 
the applicable non-Federal entities to pay; 
and 
(ii) provides for full payment of the 
non-Federal share by a date that is not 
later than 50 years after the date on which 
the Arkansas Valley Conduit is capable of 
delivering water. 
(f) TRANSFER ON COMPLETION.—On completion of 
the Arkansas Valley Conduit, as certified in an agreement 
between the Secretary and the lead non-Federal entity, the 
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Secretary shall transfer ownership of the Arkansas Valley 
Conduit to the lead non-Federal entity. 
(g) APPLICABLE LAW.—Except as provided in this 
Act, Public Law 87–590 (76 Stat. 389) and related au-
thorizing documents and subsequent studies shall apply to 
the planning, design, and construction of the Arkansas 
Valley Conduit. 
(h) WATER RIGHTS.—Nothing in this Act affects any 
State water law or interstate compact. 
SEC. 4. AUTHORIZATION OF APPROPRIATIONS. 
(a) IN GENERAL.—There are authorized to be appro-
priated such sums as are necessary to carry out this Act. 
(b) LIMITATION.—Amounts made available under 
subsection (a) shall not be used for the operation or main-
tenance of the Arkansas Valley Conduit. 
Æ 
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