ity to operate and maintain the Colorado River front
work and levee system under section 4 of the Act of
January 21, 1927 (chapter 47; 44 Stat. 1010), and
other Acts relating to that authority, to take all nec-
essary actions to provide for the construction of off-
stream water management reservoirs and associated
facilities near the All American Canal.
(2) COORDINATION WITH ALL AMERICAN CANAL
WORK.—The Secretary shall coordinate construction
of the reservoirs and associated facilities with the
construction of a lined All American Canal pursuant
to title II of the Act of November 17, 1988 (Public
Law 100–675; 102 Stat. 4005).
(3) CONSTRUCTION
BY
IID.—The Secretary
shall authorize IID to carry out construction of the
reservoirs and associated facilities under this sub-
section if IID enters into an agreement with the
Secretary that addresses, among other matters con-
sidered appropriate by the Secretary, the following:
(A) The procedures and requirements for
approval and acceptance by the Secretary of
such works, including approval of the quality of
construction.
(B) Any measures the Secretary considers
necessary to protect public health and safety.
(C) Any mitigation measures the Secretary
considers necessary for the protection of fish
and wildlife resources.
(4) 
CONSTRUCTION
ON
NON-FEDERAL
LANDS.—The off-stream water management res-
ervoirs shall be constructed under this section on
lands owned by IID. For purposes of this paragraph,
the Secretary, acting through the Bureau of Land
Management, shall coordinate with IID to exchange
Federal lands with lands owned by IID pursuant to
existing land exchange authority in section 206 of
the Federal Land Policy and Management Act of
1976 (43 U.S.C. 1716) and any other applicable
Federal law.
(5) OPERATING
AGREEMENT.—Prior to the
completion of construction under this subsection, the
Secretary shall enter into an operating agreement
with IID to arrange for appropriate operation of the
off-stream water management reservoirs so as to
provide for such matters as regulating river flows,
furthering water conservation and hydropower gen-
eration, preventing the loss of Lake Mead storage,
and facilitating any arrangements with Mexico devel-
oped pursuant to subsection (b).
(b) COOPERATION WITH MEXICO.—The Secretary
shall consult with the Commissioner to determine whether
the off-stream water management reservoirs and associ-
ated facilities constructed under this section may be of as-
sistance, on the basis of comity, to Mexico in addressing
its Colorado River water supply management needs. In
carrying out this subsection, the Secretary and the Com-
missioner shall consult with IID, CVWD, MWD, and
SDCWA.
(c) INITIATION OF CONSTRUCTION; PROGRESS RE-
PORT.—
(1) IN GENERAL.—The Secretary shall provide
for the initiation of construction of the water man-
agement reservoirs and associated facilities under
this section by June 30, 2003.
(2) REPORT.—Not later than December 31,
2003, the Secretary shall submit a report on the
progress of construction of the reservoirs and associ-
ated facilities, and the resolution with Mexico of any
related water management issues, to the Committee
of Resources of the House of Representatives and
the Committee of Energy and Natural Resources of
the Senate.
(3) PRECONSTRUCTION
ACTIVITIES
AUTHOR-
IZED.—This subsection is not intended to prohibit
the Secretary from proceeding with all necessary
preconstruction activities, including site selection,
engineering and design, and necessary environmental
compliance.
(d) AUTHORIZATION OF APPROPRIATION.—For con-
structing off-stream water management reservoirs and as-
sociated facilities under this section, there are authorized
to be appropriated to the Secretary $53,000,000. Expendi-
ture of amounts appropriated under this section shall be
considered a nonreimbursable Federal expenditure.
SEC. 7. TERMINATION OF AUTHORITIES AND PERMITS.
This Act, including any incidental take permits and
other approvals issued under the Endangered Species Act
of 1973 pursuant to section 5, shall terminate and be of
no force or effect after December 31, 2002, unless the
Quantification Settlement Agreement is in effect on or be-
fore December 31, 2002, and remains in effect.
SEC. 8. RESERVATION OF RIGHTS AND OBLIGATIONS WITH
RESPECT TO THE COLORADO RIVER.
This Act shall not be construed to supersede or other-
wise affect any treaty, law, decree, contract, or agreement
governing use of water from the Colorado River. All activi-
ties undertaken pursuant to this Act shall be carried out
in a manner consistent with the rights and obligations of
persons under those treaties, laws, decrees, contracts, and
agreements.
SEC. 9. RELATION TO RECLAMATION LAW.
For the purposes of section 203(a) of the Reclama-
tion Reform Act of 1982 (96 Stat. 1264), any contract
or agreement entered into pursuant to this Act shall not
be treated as a contract entered into or amended subse-
quent to the date of enactment of that Act.
SEC. 10. PROTECTION FROM LIABILITY.
IID, CVWD, MWD, SDCWA, and the Salton Sea
Authority and its member agencies shall not be liable for
damages of any kind arising from the effects to the Salton
Sea or its bordering area resulting from—
(1) cooperation with the Secretary in regard to
any actions, programs, or projects implemented pur-
suant to this Act; or
(2) any actions that directly or indirectly reduce
the volume of water that flows into the Salton Sea.
Æ