I
104TH CONGRESS
1ST SESSION
H. R. 2609
To provide for the Secretary of the Interior to sell the indebtedness represent-
ing the remaining repayment balance of Bureau of Reclamation projects
in Texas and to execute agreements with State and local interests.
IN THE HOUSE OF REPRESENTATIVES
NOVEMBER 9, 1995
Mr. ORTIZ (for himself, Mr. LAUGHLIN, Mr. THORNBERRY, and Mr. COM-
BEST) introduced the following bill; which was referred to the Committee
on Resources
A BILL
To provide for the Secretary of the Interior to sell the
indebtedness representing the remaining repayment bal-
ance of Bureau of Reclamation projects in Texas and
to execute agreements with State and local interests.
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 ‘‘Texas Reclamation
Projects Indebtedness Purchase Act’’.
SEC. 2. DEFINITIONS.
As used in this Act—
(1) the term ‘‘public agency’’ means a State
agency or political subdivision of the State of Texas
created under the laws of the State of Texas or
home rule city created under the laws of the State
of Texas;
(2) the term ‘‘Secretary’’ means the Secretary
of the Interior;
(3) the term ‘‘present value’’ means the calcula-
tion of the present value of the unpaid indebtedness
of the project, as defined by the project repayment
schedule, discounted at the United States Treasury
rates on the date of purchase contract execution;
(4) the term ‘‘project’’ or ‘‘projects’’ means the
projects identified in section 4 of this Act and in-
cludes all features, functions, and property, real and
personal, as authorized by Congress for any project
in Texas constructed by the Bureau of Reclamation
pursuant to Federal Reclamation laws (the Act of
June 17, 1902 (32 Stat. 388), and Acts amendatory
thereof or supplementary thereto);
(5) the term ‘‘non-Federal mitigation costs’’
means costs or expenses incurred by the State of
Texas or public agency, whether paid directly or in-
curred as a reduction of anticipated project benefits,
not otherwise included as costs to be repaid to the
Federal Government, to mitigate environmental im-
pacts of the project pursuant to law; and
(6) the term ‘‘current contracting party’’ means
the public agency which has contracted with the
United States for repayment of the indebtedness of
the project.
SEC. 3. AGREEMENT FOR THE SALE OF INDEBTEDNESS OF
BUREAU OF RECLAMATION PROJECTS IN
TEXAS.
The Secretary shall enter into an agreement with the
current contracting party, or in the alternative, a public
agency of the State of Texas, within six months after the
enactment of this Act, for the purchase of the projects,
whether individual or more than one, according to the fol-
lowing conditions:
(1) The purchase price shall be the payment to
the United States of monies equal to the present
value of the individual projects which the State of
Texas desires to purchase.
(2) For projects with identified liabilities, and
projects where actual benefits are less than those
projected at the time of project authorization, the
purchase price shall be discounted to the extent of
the identified liability or unrealized benefits, as de-
termined by the State of Texas.
(3) For projects that the Bureau of Reclama-
tion is obligated to pay a portion of maintenance
and operating expenses or payments in lieu of taxes,
the purchase price shall be discounted at an amount
equal to the Bureau of Reclamations’ anticipated
payment for the next 50 years.
(4) For projects in which the State of Texas or
the public agency of the State of Texas assume the
responsibility 
for 
implementation 
of 
Federal
nonreimbursable aspects of the project or projects
with non-Federal mitigation costs, the purchase
price shall be reduced to reflect the additional obli-
gations undertaken or costs incurred.
(5) When the purchase price is paid, the Sec-
retary shall convey to the State of Texas, or the
public agency of the State of Texas, all right, title,
and interest of the United States to all land and all
improvements to the project or projects. Interests
may be retained by the United States to the limited
extent those interests must be maintained to imple-
ment remaining Federal programs described in para-
graph (9).
(6) The State of Texas, or the public agency of
the State of Texas, shall assume all liability for op-
eration and maintenance of the purchased project or
projects.
(7) The United States shall provide for the per-
formance of work reasonably necessary to provide
for the delivery of such project or projects, including
all facilities and property, in a reasonably safe and
functional condition and in accordance with good
maintenance standards.
(8) Upon completion of full payment of the pur-
chase price described in this section and the transfer
of a project, the State of Texas, or the public agency
of the State of Texas, shall be relieved from compli-
ance with the acreage limitations and other require-
ments of Reclamation law, and the project bene-
ficiaries shall not thereafter be eligible to receive rec-
lamation benefits available pursuant to the Act of
June 17, 1902 (32 Stat. 388), and Acts amendatory
thereof or supplementary thereto, unless otherwise
authorized by Congress.
(9) Upon completion of purchase, the State of
Texas, or the public agency of the State of Texas,
will assume sole responsibility and liability for the
project or projects purchased (or portion thereof) as
of the date of conveyance of title and the State of
Texas, or the public agency of the State of Texas,
will hold the United States harmless and indemnify
the United States against any and all claims of dam-
age, except to the extent any title or aspect of
project operations has been retained by the United
States, and the State of Texas, or the public agency
of the State of Texas, will be relieved from any obli-
gation to comply with reclamation rules or regula-
tion applicable to reclamation projects.
(10) The State of Texas, or the public agency
of the State of Texas, must assume responsibility for
continued implementation of all nonreimbursable as-
pects of the project originally authorized by Con-
gress. Existing programs of the National Park Serv-
ice and Corps of Engineers associated with specific
projects shall not be affected by the transfer.
SEC. 4. PROJECTS AND PURCHASE PRICE.
The projects for which the Secretary shall execute
agreements, and the price which public agencies or the
State of Texas shall pay for such projects, based upon the
provisions of section 3, are:
(1) Canadian River Project authorized by the
Act of Congress approved December 29, 1950 (Pub-
lic Law 81–898), in the amount of $21,187,881.
Title to portions of the project owned by the Na-
tional Park Service, and portions required for flood
control operation by the United States Army Corp of
Engineers, shall not be transferred.
(2) Palmetto Bend Project, Texas, authorized
by Act of Congress approved October 12, 1968
(Public 
Law 
90–562), 
in 
the 
amount 
of
$33,923,245.
(3) Nueces River Reclamation Project, author-
ized by the Act of Congress approved October 27,
1974 (Public Law 93–493), in the amount of
$30,715,367.
SEC. 5. COMPLIANCE WITH CURRENT LAW.
(a) The assumption of Federal nonreimbursable re-
sponsibility by the current contracting authority or the
State of Texas, or public agency of the State of Texas,
is in compliance with the National Environmental Policy
Act of 1969 and project purchase review shall not be re-
quired pursuant thereto.
(b) Section 213(c) of the Reclamation Reform Act of
1982 (43 U.S.C. 3(c)) shall not apply to the projects cov-
ered by this Act.
Æ