Environmental Policy Act of 1969 (42 U.S.C. 4321 et
seq.) or any other law.
(c) INCLUSION OF PROJECT STUDIES.—The com-
ments received in a public hearing held under this section
with respect to a water resources project shall be included
in any feasibility report, general reevaluation study, envi-
ronmental impact statement, or other decision document
recommending major construction, rehabilitation, project
modification, or major and substantial change in operating
and management practices prepared for the project.
SEC. 5. INDEPENDENT REVIEW.
(a) PROJECTS
SUBJECT
TO
INDEPENDENT
RE-
VIEW.—
(1) IN GENERAL.—The Secretary shall ensure
that feasibility reports, general reevaluation studies,
and environmental impact statements for each water
resources project described in paragraph (2) are
subject to review by an independent panel of experts
established under this section.
(2) PROJECTS SUBJECT TO REVIEW.—A project
shall be subject to review under paragraph (1) if—
(A) the project has an estimated total cost
of more than $25,000,000, including mitigation
costs;
(B) the Governor of an affected State re-
quests the establishment of an independent
panel of experts for the project;
(C) the Director of the United States Fish
and Wildlife Service determines that the project
is likely to have significant adverse impacts on
fish or wildlife after implementation of proposed
mitigation plans; or
(D) the Secretary determines that the
project is controversial under paragraph (3).
(3) CONTROVERSIAL PROJECTS.—
(A) IN GENERAL.—The Secretary shall de-
termine that a project is controversial for pur-
poses of paragraph (2)(D) if the Secretary finds
that—
(i) there is a significant public dispute
as to the size, nature, or effects of the
project; or
(ii) there is a significant public dis-
pute as to the economic or environmental
costs or benefits of the project.
(B) WRITTEN REQUESTS.—The Secretary
shall determine whether or not a project is con-
troversial within 30 days of the date of receipt
of a written request of an interested party or on
the initiative of the Secretary.
(4) AFFECTED STATE DEFINED.—In paragraph
(2)(B), the term ‘‘affected State’’ as used with re-
spect to a project means a State or a part thereof
that is at least partially within the drainage basin in
which the project is located and would be economi-
cally or environmentally affected as a consequence of
the project.
(b) DIRECTOR OF INDEPENDENT REVIEW.—
(1) APPOINTMENT.—The Inspector General of
the Department of Army shall appoint in the Office
of the Inspector General a Director of Independent
Review (in this section referred to as the ‘‘Direc-
tor’’). The term of a Director appointed under this
subsection shall be 3 years.
(2) QUALIFICATIONS.—The Inspector General
shall select the Director from among individuals who
are distinguished scholars in biology, engineering,
economics, or another discipline related to water re-
sources management.
(3) LIMITATION ON APPOINTMENTS.—The In-
spector General shall not appoint an individual to
serve as the Director if the individual has a financial
or close professional association with any organiza-
tion or group with a strong financial or organiza-
tional interest in a water resources project that, on
the date of appointment, is under construction, in
the preconstruction, engineering, and design phase,
or under feasibility or reconnaissance study by the
Army Corps of Engineers.
(4) TERMS.—An individual may not serve for
more than 1 term as the Director.
(5) DUTIES.—The Director shall establish a
panel of experts to review each project subject to re-
view under subsection (a).
(c) ESTABLISHMENT OF PANELS.—
(1) IN GENERAL.—As soon as practicable after
the Secretary selects a preferred alternative for a
project subject to review under subsection (a) in a
formal draft feasibility report, draft general reevalu-
ation report, or draft environmental impact state-
ment, the Director shall establish a panel of experts
to review the project.
(2) MEMBERSHIP.—A panel of experts estab-
lished by the Director for a project shall be com-
posed of not less than 5 and not more than 9 inde-
pendent experts who represent a balance of areas of
expertise, including biologists, engineers, and econo-
mists.
(3) LIMITATION ON APPOINTMENTS.—The Di-
rector shall not appoint an individual to serve on a
panel of experts for a project if the individual has
a financial or close professional association with any
organization or group with a strong financial or or-
ganizational interest in the project.
(4) CONSULTATION.—The Director shall con-
sult with the National Academy of Sciences in devel-
oping lists of individuals to serve on panels of ex-
perts under this section.
(5) COMPENSATION.—An individual serving on
a panel of experts under this section shall be com-
pensated at a rate of pay to be determined by the
Inspector General.
(6) TRAVEL EXPENSES.—An individual serving
on a panel of experts under this section shall receive
travel expenses, including per diem in lieu of subsist-
ence, as authorized by law for persons serving inter-
mittently in Government service under subchapter I
of chapter 57 of title 5, United States Code, while
away from their homes and places of business in the
performance of services for the panel of experts.
(d) DUTIES OF PANELS.—A panel of experts estab-
lished for a project under this section shall—
(1) review each feasibility study, general re-
evaluation study, and environmental impact state-
ment prepared for the project;
(2) assess the adequacy of the economic and
scientific models used by the Secretary in reviewing
the project to ensure that—
(A) multiple methods of economic analysis
have been used, and the best available scientific
methods of analysis have been used; and
(B) any regional effects on navigation sys-
tems have been examined;
(3) receive written and oral comments of a
technical nature concerning the project from the
public;
(4) submit to the Secretary a report containing
the panel’s economic, engineering, and environ-
mental analysis of the project, including the panel’s
conclusions on the feasibility study, general reevalua-
tion study, or environmental impact statement with
particular emphasis on areas of public controversy;
and
(5) within 30 days after the issuance of a final
feasibility study, final general reevaluation study, or
final environmental impact statement, but prior to
the entry of a record of decision, the independent re-
view panel shall submit to the Secretary a brief re-
port stating its views on the extent to which the
final analysis adequately addresses issues or con-
cerns raised by the panel’s earlier evaluation.
(e) DURATION OF PROJECT REVIEWS.—Not later
than 180 days after the date of establishment of a panel
of experts for a project under this section, the panel shall
complete its review of the project and all of its other duties
with respect to the project (other than duties described
in subsection (d)(5)).
(f) RECOMMENDATIONS OF PANEL.—
(1) CONSIDERATION BY SECRETARY.—After re-
ceiving a report on a project from a panel of experts
under this section and before entering a final record
of decision for the project, the Secretary shall con-
sider any recommendations contained in the report
and prepare a written explanation for any rec-
ommendations not adopted. Recommendations and
findings that are inconsistent with recommendations
and findings of an independent review panel shall
not be entitled to deference in a judicial proceeding.
(2) PUBLIC
REVIEW; TRANSMITTAL
TO
CON-
GRESS.—After receiving a report on a project from
a panel of experts under this section (including a re-
port under subsection (d)(5)), the Secretary shall—
(A) make a copy of the report (and any
written explanation of the Secretary on rec-
ommendations contained in the report) available
for public review under section 6; and
(B) include a copy of the report (and any
such written explanation) in any report trans-
mitted to Congress concerning the project.
(g) COSTS.—
(1) LIMIT ON COST OF REVIEW.—The cost of
conducting a review of a project under this section
shall not exceed—
(A) $250,000 for a project if the total real
cost in current year dollars of the project is less
than $50,000,000; and
(B) one-half of one percent of the total
real cost in current year dollars of the project
if such total real cost is $50,000,000 or more.
(2) TREATMENT.—For purposes of paragraph
(1), the cost of conducting an independent review
under this section shall be treated as part of the
total cost of the project.
(3) WAIVER
OF
LIMIT.—The Secretary may
waive a limitation set forth in paragraph (1) if the
Secretary determines that the waiver is appropriate.
(h) APPLICABILITY OF FEDERAL ADVISORY COM-
MITTEE ACT.—The Federal Advisory Committee Act (5
U.S.C. App.) shall apply to a panel of experts established
under this section.
SEC. 6. PUBLIC ACCESS TO INFORMATION AND DATA.
(a) IN GENERAL.—The Secretary shall ensure that
all information and data related to the analysis of a water
resources project by the Corps of Engineers, whether in
final or draft form and including all supporting data and
information that the Corps of Engineers has considered
in its analysis, is made available to any person upon re-
quest and, to the maximum extent practicable, to the pub-
lic on the Internet.
(b) TYPES OF INFORMATION.—Information about a
water resources project to be made available under sub-
section (a) shall include any information that has been
made available to the project sponsor and all data used
by the Corps of Engineers in its justification and analysis
of the project.
(c) EXCEPTION FOR TRADE SECRETS.—
(1) IN
GENERAL.—The Secretary shall not
make information available under subsection (a) that
the Secretary determines to be a trade secret of the
person or entity that supplied the information to the
Corps of Engineers.
(2) CRITERIA FOR TRADE SECRETS.—For pur-
poses of this subsection, the Secretary shall consider
information to be a trade secret only if—
(A) the person or entity that supplied the
information to the Corps of Engineers has not
disclosed the information to any other person or
entity, other than—
(i) an officer or employee of the
United States or a State or local govern-
ment;
(ii) an employee of such person or en-
tity; or
(iii) a person or entity that is bound
by a confidentiality agreement, and the
person or entity that supplied the informa-
tion has taken reasonable measures to pro-
tect the confidentiality of such information
and intends to continue to take such meas-
ures;
(B) the information is not required to be
disclosed, or otherwise made available, to the
public under any other Federal or State law;
and
(C) disclosure of the information is likely
to cause substantial harm to the competitive po-
sition of the person or entity that supplied the
information.
(d) REPORT ON THE WATER RESOURCES CONSTRUC-
TION BACKLOG.—
(1) IN GENERAL.—Not later than 1 year after
enactment of this Act, the Secretary shall transmit
to Congress a list of all water resources projects in
the 
construction 
backlog, 
consisting 
of 
the
uncompleted portion of any project authorized by
law for funding from the Construction, General ap-
propriations account or the construction portion of
the Flood Control, Mississippi River and Tributaries
appropriations account. Each project on this list
shall be accompanied by information on—
(A) the total real cost in current year dol-
lars of the project and the fully funded total
cost of the project in current year dollars;
(B) the benefit-to-cost ratio of the project;
(C) the remaining additional benefits and
the remaining additional costs to complete con-
struction of the project and the ratio of remain-
ing benefits to remaining costs;
(D) the year the last major studies of the
project’s feasibility and designs were completed;
(E) the date of the last year of economic
data that was included in the latest analysis of
the project’s feasibility and justification;
(F) the status of each project as either—
(i) reconnaissance;
(ii) preconstruction, engineering, and
design;
(iii) construction; or
(iv) not funded and active, deferred,
or inactive; and
(G) the information described in paragraph
(2) for each particular type of project.
(2) INFORMATION
FOR
PARTICULAR
PROJECT
TYPE.—The information transmitted under para-
graph (1) for each of the following project types
shall include the following:
(A) 
For 
a 
flood 
damage 
reduction
project—
(i) the extent to which the project re-
flects national flood damage reduction pri-
orities as established by the Federal Emer-
gency Management Agency;
(ii) the level of flood protection pro-
vided and the relative amount of protection
provided to and benefits derived from pro-
tecting urban property and agricultural
property; and
(iii) the extent to which the project re-
stores natural aquatic ecosystem functions
and avoids adverse environmental impacts
and risk.
(B) For a navigation project—
(i)(I) the extent to which the project’s
economic benefits are based on existing
levels of traffic rather than projected
growth in traffic; and
(II) the level of certainty in a growth
projection if the justification for the
project is based on such projected growth;
and
(ii) the extent of the project’s likely
environmental benefits, including extent of
remediation of contaminated sediments or
reuse of dredge material to restore aquatic
habitat, and extent of the project’s adverse
environmental impacts and risk.
(C) For an environmental restoration
project—
(i) the cost effectiveness of the project
in achieving environmental results;
(ii) the extent to which the project re-
stores natural hydrologic processes and the
spatial extent of aquatic habitat and other-
wise 
produces 
self-sustaining 
environ-
mental benefits; and
(iii) the extent to which the project
addresses critical national conservation pri-
orities, including preservation and en-
hancement of endangered and threatened
species.
(3) MEASUREMENT
AND
REPORTING.—The
Secretary shall use objective and quantifiable stand-
ards for measuring and reporting the information
required in paragraph (2). In any case in which such
information cannot feasibly be quantified, the re-
quired information shall be reported through an ob-
jective description of the project’s benefits and im-
pacts.
(4) AVAILABILITY
TO
THE
PUBLIC
AND
UP-
DATES.—The list and any information transmitted
to Congress under paragraphs (1) and (2) shall be
made available to any person upon request and to
the public on the Internet. The list shall also be up-
dated and retransmitted to Congress annually.
(5) DEFINITIONS.—In this subsection, the fol-
lowing definitions apply:
(A) ACTIVE.—The term ‘‘active’’, as used
with respect to a project, means the project has
received preconstruction, engineering, and de-
sign or construction funding, is economically
justified, and is supported by the non-Federal
sponsor.
(B) DEFERRED.—The term ‘‘deferred’’, as
used with respect to a project, means the
project has doubtful economic justification, re-
quires restudy to determine its economic feasi-
bility, or is a project for which the non-Federal
sponsor is currently unable to provide required
cooperation.
(C) INACTIVE.—The term ‘‘inactive’’, as
used with respect to a project, means the
project is not economically justified because
costs outweigh projected benefits, no longer
meets current and prospective needs, or is not
actively supported by the non-Federal sponsor.
SEC. 7. MODERN PROJECT CRITERIA.
(a) NEGATIVE BENEFITS.—
(1) INCORPORATION.—When evaluating a civil
works project’s national economic development bene-
fits, the Secretary shall incorporate into the benefit-
to-cost analysis for the project the negative benefits
of the project activities under study, including any
negative benefits of such activities on any federally
managed lands or infrastructure and on private
lands enrolled in the conservation reserve program
or wetlands reserve program.
(2) DEFINITION.—In this subsection, the term
‘‘negative benefits’’ includes net adverse impacts to
flood control, navigation, recreation (including, but
not limited to, hunting, fishing, tourism, boating,
and wildlife watching), water supply, irrigation, hy-
dropower, and any other public benefit derived from
a Federal waterway or adjacent lands.
(b) EFFICIENT
MANAGEMENT
AND
OPERATING
PRACTICES.—
(1) IN GENERAL.—The Secretary shall not in-
clude in the benefits base for justifying a water re-
sources project any benefits that could reasonably be
achieved through better and more efficient manage-
ment or operating practices by a Federal agency or
the project beneficiaries.
(2) EVALUATIONS.—In any feasibility report,
general reevaluation study, environmental impact
statement, or other decision document recom-
mending major construction, rehabilitation, or
project modification, the Secretary shall include a
management and operating practices evaluation that
takes into consideration the requirements of para-
graph (1).
(c) LIMITATION UPON COMPETITION WITH THE PRI-
VATE SECTOR.—
(1) IN GENERAL.—Any civil works project the
primary benefits of which are not for flood damage
reduction, navigation, or environmental restoration,
shall not be recommended for construction by the
Secretary if—
(A) there exist corporations or other non-
governmental entities in the United States with
significant relevant experience in the particular
project activity under consideration by the Sec-
retary; or
(B) similar project activities have been un-
dertaken by nongovernmental entities within
the last 10 years.
(2) EVALUATIONS.—In any feasibility report,
general reevaluation study, environmental impact
statement or other decision document recommending
major construction, rehabilitation, or modification of
a civil works project, the Secretary shall include a
private sector competition evaluation that takes into
consideration the requirements of paragraph (1).
(d) RECOMMENDATION OF PROJECTS.—Beginning in
fiscal year 2003, in the case of a civil works project that
is subject to a benefit-cost analysis (including any project
that has been contingently authorized subject to a favor-
able report from the Chief of Engineers), the Secretary
shall only recommend the project for authorization by
Congress, and shall only choose the project as a rec-
ommended alternative in any record of decision or environ-
mental impact statement if the project, in addition to
meeting any other criteria required by law, has projected
benefits that are at least 1.5 times as great as the
project’s estimated total cost.
(e) REALISTIC CONSTRUCTION SCHEDULING.—Not
later than 1 year after the date of enactment of this Act,
the Secretary shall revise, in consultation with the Na-
tional Academy of Sciences, the principles and guidelines
of the Corps of Engineers to—
(1) direct the Corps to give preference in eco-
nomic analyses to project alternatives that maximize
the rate of return of national economic development
benefits to investment over alternatives that maxi-
mize net national economic development benefits;
(2) provide guidance on how to implement para-
graph (1); and
(3) require the Corps to document and report
to the Secretary incremental components of project
alternatives and their effect on the overall benefits
and costs of a project.
SEC. 8. REGIONAL IMPACTS OF PORT AND HARBOR
PROJECTS.
(a) IN GENERAL.—It is the intent of Congress that
federally funded port maintenance and expansion projects
maximize national economic development goals while mini-
mizing adverse regional economic and environmental im-
pacts.
(b) PRINCIPLES AND GUIDELINES.—Not later than
1 year after the date of enactment of this Act, the Sec-
retary shall revise, in consultation with the National Acad-
emy of Sciences, the principles and guidelines of the Corps
of the Engineers to provide that feasibility studies, general
reevaluation studies, and environmental impact state-
ments for a port or harbor project give detailed and thor-
ough consideration to the project’s—
(1) economic impacts upon other United States
ports in the same region; and
(2) cumulative environmental impacts within
the region.
(c) REGIONS.—The regions referred to in subsection
(b) are the North Atlantic, South Atlantic, Great Lakes,
Gulf of Mexico, South Pacific, and North Pacific regions
of the United States.
SEC. 9. REDUCTION OF THE CONSTRUCTION BACKLOG.
Section 1001 of the Water Resources Development
Act of 1986 (33 U.S.C. 579a) is amended to read as fol-
lows:
‘‘SEC. 1001. PROJECT DEAUTHORIZATIONS.
‘‘(a) INACTIVE PROJECTS.—
‘‘(1) LIST.—The Secretary shall transmit annu-
ally to Congress a list of inactive projects.
‘‘(2) DEAUTHORIZATION.—Any inactive project
shall not be authorized after the last day of the 1-
year period beginning on the date of transmittal of
the list under paragraph (1) that includes such
project unless Congress takes action to reauthorize
the project or separable element during such 1-year
period.
‘‘(3) DEFINITION.—In this subsection, the term
‘inactive project’ means a project or a separate ele-
ment of a project that is not economically justified
because costs outweigh projected benefits, no longer
meets current and prospective needs, or is not ac-
tively supported by the non-Federal sponsor.
‘‘(b) PROJECTS NEVER UNDER CONSTRUCTION.—
‘‘(1) LIST.—The Secretary shall transmit annu-
ally to Congress a list of projects and separable ele-
ments of projects not subject to subsection (a) that
have been authorized for construction, but for which
no funds have been obligated for construction of the
project or separable element during the 4 consecu-
tive fiscal years preceding the transmittal of such
list.
‘‘(2) DEAUTHORIZATION.—Any water resources
project authorized for construction and any sepa-
rable element of such a project not subject to sub-
section (a) shall not be authorized after the last day
of the 7-year period beginning on the date of the
project or separable element’s most recent authoriza-
tion or reauthorization unless during such period
funds are obligated for construction of the project or
separable element.
‘‘(c) PROJECTS WHERE CONSTRUCTION HAS BEEN
SUSPENDED.—
‘‘(1) LIST.—The Secretary shall transmit annu-
ally to Congress a list of projects and separable ele-
ments of projects not subject to subsection (a) that
have been authorized for construction, and for which
funds have been obligated for construction of the
project or separable element but not during the 2
consecutive fiscal years preceding the date of trans-
mittal of such list.
‘‘(2) DEAUTHORIZATION.—Any water resources
project and any separable element of such a project
not subject to subsection (a) for which funds have
been obligated for construction of the project or sep-
arable element shall not be authorized if funds ap-
propriated specifically for construction of the project
or separable element (either in statute or in the ac-
companying legislative report language) are not obli-
gated for construction of the project or separable
element during any 5 consecutive fiscal years subse-
quent to the last fiscal year in which funds were ob-
ligated for construction of the project.
‘‘(d) CONGRESSIONAL NOTIFICATIONS.—Upon trans-
mission of a list under subsection (a), (b), or (c), the Sec-
retary shall notify each Senator in whose State, and each
Member of the House of Representatives in whose district,
a project or separable element on the list is or would be
located.
‘‘(e) FINAL DEAUTHORIZATION LIST.—The Sec-
retary shall publish annually in the Federal Register a list
of all projects or separable elements deauthorized under
subsections (a), (b), and (c).