life enhancement’’ and inserting ‘‘to
administer for recreation’’; and
(II) by striking ‘‘which are not
included within Federal waterfowl ref-
uges and waterfowl production areas’’;
and
(ii) in the second sentence, by striking
‘‘or fish and wildlife enhancement’’; and
(D) in the first sentence of paragraph (3)
(as redesignated by subparagraph (A))—
(i) by striking ‘‘, within ten years
after initial operation of the unit,’’; and
(ii) by striking ‘‘paragraph (1) of this
subsection’’ and inserting ‘‘paragraph (2)’’;
(3) in subsection (f), by striking ‘‘and fish and
wildlife enhancement’’; and
(4) in subsection (j)—
(A) in paragraph (1), by striking ‘‘prior to
the completion of construction of Lonetree Dam
and Reservoir’’; and
(B) by adding at the end the following:
‘‘(4) TAAYER RESERVOIR.—Taayer Reservoir is
deauthorized as a project feature. The Secretary,
acting through the Commissioner of Reclamation,
shall acquire (including acquisition through donation
or exchange) up to 5,000 acres in the Kraft and
Pickell Slough areas and to manage the area as a
component of the National Wildlife Refuge System
giving consideration to the unique wildlife values of
the area. In acquiring the lands which comprise the
Kraft and Pickell Slough complex, the Secretary
shall acquire wetlands in the immediate vicinity
which may be hydrologically related and nearby up-
lands as may be necessary to provide for proper
management of the complex. The Secretary shall
provide for appropriate visitor access and control at
the refuge.
‘‘(5) DEAUTHORIZATION
OF
LONETREE
DAM
AND RESERVOIR.—The Lonetree Dam and Reservoir
is deauthorized, and the Secretary shall designate
the lands acquired for the former reservoir site as a
wildlife conservation area. The Secretary shall enter
into an agreement with the State of North Dakota
providing for the operation and maintenance of the
wildlife conservation area as an enhancement fea-
ture, the costs of which shall be paid by the Sec-
retary. If the features selected under section 8 in-
clude a buried pipeline and appurtenances between
the McClusky Canal and New Rockford Canal, the
use of the wildlife conservation area and Sheyenne
Lake National Wildlife Refuge for such route is
hereby authorized.’’.
SEC. 4. INTEREST CALCULATION.
Section 4 of Public Law 89–108 (100 Stat. 435) is
amended by adding at the end the following: ‘‘Interest
during construction shall be calculated only until such
date as the Secretary declares any particular feature to
be substantially complete, regardless of whether the fea-
ture is placed into service.’’.
SEC. 5. IRRIGATION FACILITIES.
Section 5 of Public Law 89–108 (100 Stat. 419) is
amended—
(1) by striking ‘‘SEC. 5. (a)(1)’’ and all that
follows through subsection (c) and inserting the fol-
lowing:
‘‘SEC. 5. IRRIGATION FACILITIES.
‘‘(a) IN GENERAL.—
‘‘(1) AUTHORIZED DEVELOPMENT.—In addition
to the 5,000-acre Oakes Test Area in existence on
the date of enactment of the Dakota Water Re-
sources Act of 1999, the Secretary may develop irri-
gation in—
‘‘(A) the Turtle Lake service area (13,700
acres);
‘‘(B) the McClusky Canal service area
(10,000 acres); and
‘‘(C) if the investment costs are fully reim-
bursed without aid to irrigation from the Pick-
Sloan Missouri Basin Program, the New Rock-
ford Canal service area (1,200 acres).
‘‘(2) DEVELOPMENT NOT AUTHORIZED.—None
of the irrigation authorized by this section may be
developed in the Hudson Bay/Devils Lake Basin.
‘‘(3) NO
EXCESS
DEVELOPMENT.—The Sec-
retary shall not develop irrigation in the service
areas described in paragraph (1) in excess of the
acreage specified in that paragraph, except that the
Secretary shall develop up to 28,000 acres of irriga-
tion in other areas of North Dakota (such as the
Elk/Charbonneau, Mon-Dak, Nesson Valley, Horse-
head Flats, and Oliver-Mercer areas) that are not lo-
cated in the Hudson Bay/Devils Lake drainage basin
or James River drainage basin.
‘‘(4) PUMPING POWER.—Irrigation development
authorized by this section shall be considered au-
thorized units of the Pick-Sloan Missouri Basin Pro-
gram and eligible to receive project pumping power.
‘‘(5) PRINCIPAL
SUPPLY
WORKS.—The Sec-
retary shall maintain the Snake Creek Pumping
Plant, New Rockford Canal and McClusky Canal
features of the principal supply works. As appro-
priate, the Secretary shall rehabilitate or complete
such features consistent with the purposes of this
Act. Subject to the provisions of sections 8(c) and
8(d)(1) of this Act, the Secretary shall select a pre-
ferred alternative to implement the Dakota Water
Resources Act of 1999. In making this selection, one
of the alternatives the Secretary shall consider is
whether to connect the principal supply works in ex-
istence on the date of enactment.’’.
(2) by redesignating subsections (d), (e), and
(f) as subsections (b), (c), and (d), respectively;
(3) in the first sentence of subsection (b) (as
redesignated by paragraph (2)), by striking ‘‘(a)(1)’’
and inserting ‘‘(a)’’;
(4) in the first sentence of subsection (c) (as re-
designated by paragraph (2)), by striking ‘‘Lucky
Mound (7,700 acres), Upper Six Mile Creek (7,500
acres)’’ and inserting ‘‘Lucky Mound (7,700 acres)
and Upper Six Mile Creek (7,500 acres), or such
other lands at Fort Berthold of equal acreage as
may be selected by the tribe and approved by the
Secretary,’’; and
(5) by adding at the end the following:
‘‘(e) IRRIGATION REPORT TO CONGRESS.—
‘‘(1) IN GENERAL.—The Secretary shall inves-
tigate and prepare a detailed report on the undesig-
nated 28,000 acres in subsection (a)(3) as to costs
and benefits for any irrigation units to be developed
under Reclamation law.
‘‘(2) FINDING.—The report shall include a find-
ing on the economic, financial, and engineering fea-
sibility of the proposed irrigation unit, but shall be
limited to the undesignated 28,000 acres.
‘‘(3) AUTHORIZATION.—If the Secretary finds
that the proposed construction is feasible, such irri-
gation units are authorized without further Act of
Congress.
‘‘(4) DOCUMENTATION.—No expenditure for
the construction of facilities authorized under this
section shall be made until after the Secretary, in
cooperation with the State of North Dakota, has
prepared the appropriate documentation in accord-
ance with section 1 and pursuant to the National
Environmental Policy Act of 1969 (42 U.S.C. 4321
et seq.) analyzing the direct and indirect impacts of
implementing the report.’’.
SEC. 6. POWER.
Section 6 of Public Law 89–108 (79 Stat. 435; 100
Stat. 421) is amended—
(1) in subsection (b)—
(A) by striking ‘‘Notwithstanding the pro-
visions of’’ and inserting ‘‘Pursuant to the pro-
visions of’’; and
(B) by striking ‘‘revenues,’’ and all that
follows and inserting ‘‘revenues.’’; and
(2) by striking subsection (c) and inserting the
following:
‘‘(c) NO INCREASE IN RATES OR EFFECT ON REPAY-
MENT METHODOLOGY.—In accordance with the last sen-
tence of section 302(a)(3) of the Department of Energy
Organization Act (42 U.S.C. 7152(a)(3), section 1(e) shall
not result in any reallocation of project costs and shall
not result in increased rates to Pick-Sloan Missouri Basin
Program customers. Nothing in the Dakota Water Re-
sources Act of 1999 alters or affects in any way the repay-
ment methodology in effect as of the date of enactment
of that Act for other features of the Pick-Sloan Missouri
Basin Program.’’.
SEC. 7. MUNICIPAL, RURAL, AND INDUSTRIAL WATER
SERVICE.
Section 7 of Public Law 89–108 (100 Stat. 422) is
amended—
(1) in subsection (a)(3)—
(A) in the second sentence—
(i) by striking ‘‘The non-Federal
share’’ and inserting ‘‘Unless otherwise
provided in this Act, the non-Federal
share’’;
(ii) by striking ‘‘each water system’’
and inserting ‘‘water systems’’;
(iii) by inserting after the second sen-
tence the following: ‘‘The State may use
the Federal and non-Federal funds to pro-
vide grants or loans for municipal, rural,
and industrial water systems. The State
shall use the proceeds of repaid loans for
municipal, rural, and industrial water sys-
tems. Proceeds from loan repayments and
any interest thereon shall be treated as
Federal funds.’’; and
(iv) by striking the last sentence and
inserting the following: ‘‘The Southwest
Pipeline Project, the Northwest Area
Water Supply Project, the Red River Val-
ley Water Supply Project, and other mu-
nicipal, industrial, and rural water systems
in the State of North Dakota shall be eligi-
ble for funding under the terms of this sec-
tion. Funding provided under this section
for the Red River Valley Water Supply
Project shall be in addition to funding for
that project under section 10(a)(1)(B).
The amount of non-Federal contributions
made after May 12, 1986, that exceeds the
25 percent requirement shall be credited to
the State for future use in municipal,
rural, and industrial projects under this
section.’’; and
(2) by striking subsections (b), (c), and (d) and
inserting the following:
‘‘(b) WATER CONSERVATION PROGRAM.—The State
of North Dakota may use funds provided under sub-
sections (a) and (b)(1)(A) of section 10 to develop and
implement a water conservation program. The Secretary
and the State shall jointly establish water conservation
goals to meet the purposes of the State program and to
improve the availability of water supplies to meet the pur-
poses of this Act. If the State achieves the established
water conservation goals, the non-Federal cost share for
future projects under subsection (a)(3) shall be reduced
to 24.5 percent.
‘‘(c) NONREIMBURSABILITY
OF COSTS.—With re-
spect to the Southwest Pipeline Project, the Northwest
Area Water Supply Project, the Red River Valley Water
Supply Project, and other municipal, industrial, and rural
water systems in North Dakota, the costs of the features
constructed on the Missouri River by the Secretary of the
Army before the date of enactment of the Dakota Water
Resources Act of 1999 shall be nonreimbursable.
‘‘(d) INDIAN MUNICIPAL RURAL AND INDUSTRIAL
WATER SUPPLY.—The Secretary shall construct, operate,
and maintain such municipal, rural, and industrial water
systems as the Secretary determines to be necessary to
meet the economic, public health, and environmental needs
of the Fort Berthold, Standing Rock, Turtle Mountain (in-
cluding the Trenton Indian Service Area), and Fort
Totten Indian Reservations and adjacent areas.’’.
SEC. 8. SPECIFIC FEATURES.
(a) IN GENERAL.—Public Law 89–108 (100 Stat.
423) is amended by striking section 8 and inserting the
following:
‘‘SEC. 8. SPECIFIC FEATURES.
‘‘(a) 
RED
RIVER
VALLEY
WATER
SUPPLY
PROJECT.—
‘‘(1) IN GENERAL.—The Secretary shall con-
struct a feature or features to deliver Missouri River
water to the Sheyenne River water supply and re-
lease facility or such other feature or features as are
selected under subsection (d).
‘‘(2) DESIGN
AND
CONSTRUCTION.—The fea-
ture shall be designed and constructed to meet only
the water delivery requirements of the irrigation
areas, municipal, rural, and industrial water supply
needs, ground water recharge, and streamflow aug-
mentation (as described in subsection (b)(2)) author-
ized by this Act.
‘‘(3) COMMENCEMENT
OF
CONSTRUCTION.—
The Secretary may not commence construction on
the feature until a master repayment contract or
water service agreement consistent with this Act be-
tween the Secretary and the appropriate non-Fed-
eral entity has been executed.
‘‘(b) REPORT ON RED RIVER VALLEY WATER NEEDS
AND DELIVERY OPTIONS.—
‘‘(1) IN GENERAL.—Pursuant to section 1(g),
not later than 90 days after the date of enactment
of the Dakota Water Resources Act of 1999, the
Secretary and the State of North Dakota shall joint-
ly submit to Congress a report on the comprehensive
water quality and quantity needs of the Red River
Valley and the options for meeting those needs, in-
cluding the delivery of Missouri River water to the
Red River Valley.
‘‘(2) NEEDS.—The needs addressed in the re-
port shall include such needs as—
‘‘(A) augmenting streamflows;
‘‘(B) groundwater recharge; and
‘‘(C) enhancing—
‘‘(i) municipal, rural, and industrial
water supplies;
‘‘(ii) water quality;
‘‘(iii) aquatic environment; and
‘‘(iv) recreation.
‘‘(3) STUDIES.—Existing and ongoing studies
by the Bureau of Reclamation on Red River Water
Supply needs and options shall be deemed to meet
the requirements of this section.
‘‘(c) ENVIRONMENTAL IMPACT STATEMENTS.—
‘‘(1) DRAFT.—
‘‘(A) DEADLINE.—Pursuant to an agree-
ment between the Secretary and the State of
North Dakota as authorized under section 1(g),
not later than 1 year after the date of enact-
ment of the Dakota Water Resources Act of
1999, the Secretary and the State of North Da-
kota shall jointly prepare and complete a draft
environmental impact statement concerning all
feasible options to meet the comprehensive
water quality and quantity needs of the Red
River Valley and the options for meeting those
needs, including possible alternatives for deliv-
ering Missouri River water to the Red River
Valley.
‘‘(B) REPORT
ON
STATUS.—If the Sec-
retary and State of North Dakota cannot pre-
pare and complete the draft environmental im-
pact statement within 1 year after the date of
enactment of the Dakota Water Resources Act
of 1999, the Secretary, in consultation and co-
ordination with the State of North Dakota,
shall report to Congress on the status of this
activity, including an estimate of the date of
completion.
‘‘(2) FINAL.—
‘‘(A) DEADLINE.—Not later than 1 year
after filing the draft environmental impact
statement, a final environmental impact state-
ment shall be prepared and published.
‘‘(B) REPORT
ON
STATUS.—If the Sec-
retary and State of North Dakota cannot pre-
pare and complete a final environmental impact
statement within 1 year of the completion of
the draft environmental impact statement, the
Secretary, in consultation and coordination with
the State of North Dakota, shall report to Con-
gress on the status of this activity, including an
estimate of the date of completion.
‘‘(d) PROCESS FOR SELECTION.—
‘‘(1) IN GENERAL.—After reviewing the final
report required by subsection (b)(1) and complying
with subsection (c), the Secretary, in consultation
and coordination with the State of North Dakota in
coordination with affected local communities, shall
select 1 or more project features described in sub-
section (a) that will meet the comprehensive water
quality and quantity needs of the Red River Valley.
‘‘(2) AGREEMENTS.—Not later than 180 days
after the record of decision has been executed, the
Secretary shall enter into a cooperative agreement
with the State of North Dakota to construct the fea-
ture or features selected.
‘‘(e) SHEYENNE RIVER WATER SUPPLY AND RE-
LEASE OR ALTERNATE FEATURES.—The Secretary shall
construct, operate, and maintain a Sheyenne River water
supply and release feature (including a water treatment
plant) capable of delivering 100 cubic feet per second of
water or any other amount determined in the reports
under this section, for the cities of Fargo and Grand
Forks and surrounding communities, or such other feature
or features as may be selected under subsection (d).’’.
SEC. 9. OAKES TEST AREA TITLE TRANSFER.
Public Law 89–108 (100 Stat. 423) is amended by
striking section 9 and inserting the following:
‘‘SEC. 9. OAKES TEST AREA TITLE TRANSFER.
‘‘(a) IN GENERAL.—Not later than 2 years after exe-
cution of a record of decision under section 8(d) on wheth-
er to use the New Rockford Canal as a means of delivering
water to the Red River Basin as described in section 8,
the Secretary shall enter into an agreement with the State
of North Dakota, or its designee, to convey title and all
or any rights, interests, and obligations of the United
States in and to the Oakes Test Area as constructed and
operated under Public Law 99–294 (100 Stat. 418) under
such terms and conditions as the Secretary believes would
fully protect the public interest.
‘‘(b) TERMS AND CONDITIONS.—The agreement shall
define the terms and conditions of the transfer of the fa-
cilities, lands, mineral estate, easements, rights-of-way
and water rights including the avoidance of costs that the
Federal Government would otherwise incur in the case of
a failure to agree under subsection (d).
‘‘(c) COMPLIANCE.—The action of the Secretary
under this section shall comply with all applicable require-
ments of Federal, State, and local law.
‘‘(d) FAILURE TO AGREE.—If an agreement is not
reached within the time limit specified in subsection (a),
the Secretary shall dispose of the Oakes Test Area facili-
ties under the Federal Property and Administrative Serv-
ices Act of 1949 (40 U.S.C. 471 et seq.).’’.
SEC. 10. AUTHORIZATION OF APPROPRIATIONS.
Section 10 of Public Law 89–108 (100 Stat. 424;
106 Stat. 4669, 4739) is amended—
(1) in subsection (a)—
(A) by striking ‘‘(a)(1) There are author-
ized’’ and inserting the following:
‘‘(a) WATER DISTRIBUTION FEATURES.—
‘‘(1) IN GENERAL.—
‘‘(A) MAIN STEM SUPPLY WORKS.—There
is authorized’’;
(B) in paragraph (1)—
(i) in the first sentence, by striking
‘‘$270,395,000 for carrying out the provi-
sions of section 5(a) through 5(c) and sec-
tion 8(a)(1) of this Act’’ and inserting
‘‘$164,000,000 to carry out section 5(a)’’;
(ii) by inserting after subparagraph
(A) (as designated by clause (i)) the fol-
lowing:
‘‘(B) RED RIVER VALLEY WATER SUPPLY
PROJECT.—There is authorized to be appro-
priated 
to 
carry 
out 
section 
8(a)(1)
$200,000,000.’’; and
(iii) by striking ‘‘Such sums’’ and in-
serting the following:
‘‘(C) AVAILABILITY.—Such sums’’; and
(C) in paragraph (2)—
(i) by striking ‘‘(2) There is’’ and in-
serting the following:
‘‘(2) INDIAN IRRIGATION.—
‘‘(A) IN GENERAL.—There is’’;
(ii) by striking ‘‘for carrying out sec-
tion 5(e) of this Act’’ and inserting ‘‘to
carry out section 5(c)’’; and
(iii) by striking ‘‘Such sums’’ and in-
serting the following:
‘‘(B) AVAILABILITY.—Such sums’’;
(2) in subsection (b)—
(A) by striking ‘‘(b)(1) There is’’ and in-
serting the following:
‘‘(b) MUNICIPAL, RURAL, AND INDUSTRIAL WATER
SUPPLY.—
‘‘(1) STATEWIDE.—
‘‘(A) INITIAL AMOUNT.—There is’’;
(B) in paragraph (1)—
(i) by inserting before ‘‘Such sums’’
the following:
‘‘(B) ADDITIONAL
AMOUNT.—In addition
to the amount under subparagraph (A), there is
authorized to be appropriated to carry out sec-
tion 7(a) $200,000,000.’’; and
(ii) by striking ‘‘Such sums’’ and in-
serting the following:
‘‘(C) AVAILABILITY.—Such sums’’; and
(C) in paragraph (2)—
(i) by striking ‘‘(2) There are author-
ized to be appropriated $61,000,000’’ and
all that follows through ‘‘Act.’’ and insert-
ing the following:
‘‘(2) INDIAN MUNICIPAL, RURAL, AND INDUS-
TRIAL AND OTHER DELIVERY FEATURES.—
‘‘(A) INITIAL AMOUNT.—There is author-
ized to be appropriated—
‘‘(i) to carry out section 8(a)(1),
$40,500,000; and
‘‘(ii) to carry out section 7(d),
$20,500,000.’’;
(ii) by inserting before ‘‘Such sums’’
the following:
‘‘(B) ADDITIONAL AMOUNT.—
‘‘(i) IN GENERAL.—In addition to the
amount under subparagraph (A), there is
authorized to be appropriated to carry out
section 7(d) $200,000,000.
‘‘(ii) 
ALLOCATION.—The 
amount
under clause (i) shall be allocated as fol-
lows:
‘‘(I) $30,000,000 to the Fort
Totten Indian Reservation.
‘‘(II) $70,000,000 to the Fort
Berthold Indian Reservation.
‘‘(III) $80,000,000 to the Stand-
ing Rock Indian Reservation.
‘‘(IV) $20,000,000 to the Turtle
Mountain Indian Reservation.’’; and
(iii) by striking ’’Such sums’’ and in-
serting the following:
‘‘(C) AVAILABILITY.—Such sums’’;
(3) in subsection (c)—
(A) by striking ‘‘(c) There is’’ and insert-
ing the following:
‘‘(c) RESOURCES TRUST AND OTHER PROVISIONS.—
‘‘(1) INITIAL AMOUNT.—There is’’; and
(B) by striking the second and third sen-
tences and inserting the following:
‘‘(2) ADDITIONAL
AMOUNT.—In addition to
amount under paragraph (1), there are authorized
to be appropriated—
‘‘(A) $6,500,000 to carry out recreational
projects; and
‘‘(B) an additional $25,000,000 to carry
out section 11;
to remain available until expended.
‘‘(3) RECREATIONAL PROJECTS.—Of the funds
authorized under paragraph (2) for recreational
projects, up to $1,500,000 may be used to fund a
wetland interpretive center in the State of North
Dakota.
‘‘(4) OPERATION AND MAINTENANCE.—
‘‘(A) IN GENERAL.— There are authorized
to be appropriated such sums as are necessary
for operation and maintenance of the unit (in-
cluding the mitigation and enhancement fea-
tures).
‘‘(B) AUTHORIZATION
LIMITS.—Expendi-
tures for operation and maintenance of features
substantially completed and features con-
structed before the date of enactment of the
Dakota Water Resources Act of 1999, including
funds expended for such purposes since the
date of enactment of Public Law 99–294, shall
not be counted against the authorization limits
in this section.
‘‘(5) MITIGATION AND ENHANCEMENT LAND.—
On or about the date on which the features author-
ized by section 8(a) are operational, a separate ac-
count in the Natural Resources Trust authorized by
section 11 shall be established for operation and
maintenance of the mitigation and enhancement
land associated with the unit.’’; and
(4) by striking subsection (e) and inserting
the following:
‘‘(e) INDEXING.—The $200,000,000 amount under
subsection (b)(1)(B), the $200,000,000 amount under
subsection (a)(1)(B), and the funds authorized under sub-
section (b)(2) shall be indexed as necessary to allow for
ordinary fluctuations of construction costs incurred after
the date of enactment of the Dakota Water Resources Act
of 1999 as indicated by engineering cost indices applicable
for the type of construction involved. All other authorized
cost ceilings shall remain unchanged.’’.
SEC. 11. NATURAL RESOURCES TRUST.
Section 11 of Public Law 89–108 (100 Stat. 424)
is amended as follows:
(1) By striking subsection (a) and inserting the
following:
‘‘(a) CONTRIBUTION.—
‘‘(1) INITIAL AUTHORIZATION.—
‘‘(A) IN GENERAL.—From the sums appro-
priated under section 10 for the Garrison Di-
version Unit, the Secretary shall make an an-
nual Federal contribution to a Natural Re-
sources Trust established by non-Federal inter-
ests in accordance with subsection (b) and oper-
ated in accordance with subsection (c).
‘‘(B) AMOUNT.—The total amount of Fed-
eral contributions under subparagraph (A) shall
not exceed $12,000,000.
‘‘(2) ADDITIONAL AUTHORIZATION.—
‘‘(A) IN
GENERAL.—In addition to the
amount authorized in paragraph (1), the Sec-
retary shall make annual Federal contributions
to the Natural Resources Trust until the
amount authorized by section 10(c)(2)(B) is