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(b) DIVERSIONS.—Any action undertaken by the Sec-
retaries pursuant to both this Act and section 7 of the 
Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.) 
that requires that diversions from the Sacramento River 
or the San Joaquin River watersheds upstream of the 
Delta be bypassed shall not be undertaken in a manner 
that alters the water rights priorities established by Cali-
fornia law. 
(c) ENDANGERED SPECIES ACT.—Nothing in this 
title alters the existing authorities provided to and obliga-
tions placed upon the Federal Government under the En-
dangered Species Act of 1973 (16 U.S.C. 1531 et seq.), 
as amended. 
(d) CONTRACTS.—With respect to individuals and en-
tities with water rights on the Sacramento River, the man-
dates of this section may be met, in whole or in part, 
through a contract with the Secretary executed pursuant 
to section 14 of Public Law 76–260; 53 Stat. 1187 (43 
U.S.C. 389) that is in conformance with the Sacramento 
River Settlement Contracts renewed by the Secretary in 
2005. 
SEC. 203. NO REDIRECTED ADVERSE IMPACTS. 
(a) IN GENERAL.—The Secretary of the Interior shall 
ensure that, except as otherwise provided for in a water 
service or repayment contract, actions taken in compliance 
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with legal obligations imposed pursuant to or as a result 
of this Act, including such actions under section 7 of the 
Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.) 
and other applicable Federal and State laws, shall not di-
rectly or indirectly— 
(1) result in the involuntary reduction of water 
supply or fiscal impacts to individuals or districts 
who receive water from either the State Water 
Project or the United States under water rights set-
tlement contracts, exchange contracts, water service 
contracts, repayment contracts, or water supply con-
tracts; or 
(2) cause redirected adverse water supply or fis-
cal impacts to those within the Sacramento River 
watershed, the San Joaquin River watershed or the 
State Water Project service area. 
(b) COSTS.—To the extent that costs are incurred 
solely pursuant to or as a result of this Act and would 
not otherwise have been incurred by any entity or public 
or local agency or subdivision of the State of California, 
such costs shall not be borne by any such entity, agency, 
or subdivision of the State of California, unless such costs 
are incurred on a voluntary basis. 
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(c) RIGHTS AND OBLIGATIONS NOT MODIFIED OR 
AMENDED.—Nothing in this Act shall modify or amend 
the rights and obligations of the parties to any existing— 
(1) water service, repayment, settlement, pur-
chase, or exchange contract with the United States, 
including the obligation to satisfy exchange contracts 
and settlement contracts prior to the allocation of 
any other Central Valley Project water; or 
(2) State Water Project water supply or settle-
ment contract with the State. 
SEC. 204. ALLOCATIONS FOR SACRAMENTO VALLEY CON-
TRACTORS. 
(a) ALLOCATIONS.— 
(1) IN
GENERAL.—Subject to paragraph (2) 
and subsection (b), the Secretary of the Interior is 
directed, in the operation of the Central Valley 
Project, to allocate water provided for irrigation pur-
poses to existing Central Valley Project agricultural 
water service contractors within the Sacramento 
River Watershed in compliance with the following: 
(A) Not less than 100 percent of their con-
tract quantities in a ‘‘Wet’’ year. 
(B) Not less than 100 percent of their con-
tract quantities in an ‘‘Above Normal’’ year. 
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(C) Not less than 100 percent of their con-
tract quantities in a ‘‘Below Normal’’ year that 
is preceded by an ‘‘Above Normal’’ or a ‘‘Wet’’ 
year. 
(D) Not less than 50 percent of their con-
tract quantities in a ‘‘Dry’’ year that is pre-
ceded by a ‘‘Below Normal,’’ an ‘‘Above Nor-
mal,’’ or a ‘‘Wet’’ year. 
(E) In all other years not identified herein, 
the allocation percentage for existing Central 
Valley Project agricultural water service con-
tractors within the Sacramento River Water-
shed shall not be less than twice the allocation 
percentage to south-of-Delta Central Valley 
Project agricultural water service contractors, 
up to 100 percent; provided, that nothing here-
in shall preclude an allocation to existing Cen-
tral Valley Project agricultural water service 
contractors within the Sacramento River Water-
shed that is greater than twice the allocation 
percentage to South-of-Delta Central Valley 
Project agricultural water service contractors. 
(2) 
CONDITIONS.—The 
Secretary’s 
actions 
under paragraph (a) shall be subject to— 
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(A) the priority of individuals or entities 
with Sacramento River water rights, including 
those with Sacramento River Settlement Con-
tracts, that have priority to the diversion and 
use of Sacramento River water over water 
rights held by the United States for operations 
of the Central Valley Project; 
(B) the United States obligation to make 
a substitute supply of water available to the 
San Joaquin River Exchange Contractors; and 
(C) the Secretary’s obligation to make 
water available to managed wetlands pursuant 
to section 3406(d) of the Central Valley Project 
Improvement Act (Public Law 102–575). 
(b) PROTECTION OF MUNICIPAL AND INDUSTRIAL 
SUPPLIES.—Nothing in subsection (a) shall be deemed 
to— 
(1) modify any provision of a water service con-
tract that addresses municipal and industrial water 
shortage policies of the Secretary; 
(2) affect or limit the authority of the Secretary 
to adopt or modify municipal and industrial water 
shortage policies; 
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(3) affect or limit the authority of the Secretary 
to implement municipal and industrial water short-
age policies; or 
(4) affect allocations to Central Valley Project 
municipal and industrial contractors pursuant to 
such policies. 
Neither subsection (a) nor the Secretary’s implementation 
of subsection (a) shall constrain, govern or affect, directly 
or indirectly, the operations of the Central Valley Project’s 
American River Division or any deliveries from that Divi-
sion, its units or its facilities. 
(c) NO EFFECT
ON ALLOCATIONS.—This section 
shall not— 
(1) affect the allocation of water to Friant Divi-
sion contractors; or 
(2) result in the involuntary reduction in con-
tract water allocations to individuals or entities with 
contracts to receive water from the Friant Division. 
(d) PROGRAM
FOR WATER RESCHEDULING.—The 
Secretary of the Interior shall develop and implement a 
program, not later than 1 year after the date of the enact-
ment of this Act, to provide for the opportunity for exist-
ing Central Valley Project agricultural water service con-
tractors within the Sacramento River Watershed to re-
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schedule water, provided for under their Central Valley 
Project water service contracts, from one year to the next. 
(e) DEFINITIONS.—In this section: 
(1) The term ‘‘existing Central Valley Project 
agricultural water service contractors within the 
Sacramento River Watershed’’ means water service 
contractors within the Shasta, Trinity, and Sac-
ramento River Divisions of the Central Valley 
Project, that have a water service contract in effect, 
on the date of the enactment of this section, that 
provides water for irrigation. 
(2) The year type terms used in subsection (a) 
have the meaning given those year types in the Sac-
ramento Valley Water Year Type (40–30–30) Index. 
TITLE III—MISCELLANEOUS 
PROVISIONS 
SEC. 301. EFFECT ON EXISTING OBLIGATIONS. 
Nothing in this Act preempts or modifies any existing 
obligation of the United States under Federal reclamation 
law to operate the Central Valley Project in conformity 
with State law, including established water rights prior-
ities. 
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SEC. 302. TERMINATION OF AUTHORITIES. 
This Act shall expire on September 30, 2016, or the 
date on which the Governor of the State suspends the 
state of drought emergency declaration, whichever is later. 
Passed the House of Representatives December 9, 
2014. 
Attest: 
KAREN L. HAAS, 
Clerk. 
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