Title: San Luis Unit Drainage Resolution Act
Policy area: Water Resources Development

Summary:
San Luis Unit Drainage Resolution Act
This bill requires the Department of the Interior to implement the Agreement between the United States and Westlands Water District August 2015 (Westlands Agreement).
The bill amends the San Luis Act (the 1960 statute that authorized Interior to construct the San Luis Unit of the Central Valley Project [CVP], California) to: (1) repeal provisions that include distribution systems or drains within the Westlands Water District, and (2) eliminate requirements for Interior to meet drainage requirements for Westlands.
Interior shall:
The bill suspends Westlands' capital repayment obligation and payments under its water service contracts and the April 1, 1965, repayment contract with the United States until the execution of a repayment contract under this bill, after which Westlands shall: (1) receive a specified credit against future operation and maintenance costs payable to the United States, and (2) be relieved of capital repayment obligations under specified water service contracts.
CVP construction costs or other capitalized costs allocated to the Westlands after the date of the Westlands Agreement shall be repaid within five years after notification of the allocation of less than $5 million. If the amount allocated is $5 million or greater, such cost shall be repaid as provided by applicable reclamation law.
The bill requires Interior to transfer title to specified facilities to Westlands upon the execution of the repayment contracts under this bill.
For any year in which the allocation of water for south-of-Delta CVP long-term water irrigation service contractors or irrigation repayment contractors is greater than 75%, Interior shall calculate for Westlands a per acre foot Restoration Fund payment based on a projection that Westlands would take delivery of the full allocation made to such contractors.

[Congressional Bills 115th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1769 Introduced in House (IH)]

<DOC>






115th CONGRESS
  1st Session
                                H. R. 1769

 To affirm an agreement between the United States and Westlands Water 
       District dated September 15, 2015, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 28, 2017

 Mr. Valadao introduced the following bill; which was referred to the 
                     Committee on Natural Resources

_______________________________________________________________________

                                 A BILL


 
 To affirm an agreement between the United States and Westlands Water 
       District dated September 15, 2015, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``San Luis Unit 
Drainage Resolution Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Approval of agreement.
Sec. 4. Relief from drainage obligation.
Sec. 5. Drainage implementation.
Sec. 6. Water delivery contracts.
Sec. 7. Repayment obligations.
Sec. 8. Transfer of title to certain facilities.
Sec. 9. Compliance with applicable law.
Sec. 10. No water supply or financial impacts on other Central Valley 
                            Project contractors.
Sec. 11. Restoration Fund payments by Westlands Water District.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Central valley project improvement act of 1992 
        definitions.--As used herein, the terms ``repayment 
        contractor'', ``water service contractor'', ``water service 
        contract'', ``exchange contractor'', ``exchange contract'', 
        ``water rights settlement contractor'', ``water rights 
        settlement contract'', ``refuge contractor'', and ``refuge 
        contract'' shall have the same meanings respectively as each of 
        those terms has in title XXXIV of the Central Valley Project 
        Improvement Act of 1992 (106 Stat. 4705).
            (2) Condition of shortage.--The term ``Condition of 
        Shortage'' means ``Condition of Shortage'' as that term is 
        defined in existing San Luis Unit water service contracts.
            (3) Contracting officer.--The term ``Contracting Officer'' 
        means ``Contracting Officer'' as that term is defined in 
        existing San Luis Unit water service contracts.
            (4) Project.--The term ``Project'' means the Central Valley 
        Project, owned by the United States and managed by the 
        Department of the Interior, Bureau of Reclamation.
            (5) Project water.--The term ``Project Water'' means all 
        water that is developed, diverted, stored, or delivered by the 
        Secretary in accordance with the statutes authorizing the 
        Project and in accordance with the terms and conditions of 
        water rights acquired pursuant to California law.
            (6) Repayment contract.--The term ``repayment contract'' 
        means the repayment contract converted under section 6(a).
            (7) San luis act.--The term ``San Luis Act'' means the Act 
        of June 3, 1960 (Public Law 86-488), and all Acts amendatory 
        thereof and supplementary thereto.
            (8) San luis unit.--The term ``San Luis Unit'' means those 
        lands identified in section 1 of the San Luis Act.
            (9) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.
            (10) Westlands agreement.--The term ``Westlands Agreement'' 
        means the ``Agreement between the United States and Westlands 
        Water District August 2015'', signed September 15, 2015.
            (11) Westlands.--The term ``Westlands'' means the Westlands 
        Water District (including Broadview Water District lands 
        annexed within Westlands Water District) located in Fresno and 
        Kings Counties, California.

SEC. 3. APPROVAL OF AGREEMENT.

    Notwithstanding any other provision of law, unless otherwise 
specified herein, the Secretary is hereby directed to implement the 
terms and conditions of the Westlands Agreement.

SEC. 4. RELIEF FROM DRAINAGE OBLIGATION.

    The San Luis Act is amended as follows:
            (1) In the second sentence of section 1(a) after the words 
        ``related facilities'', strike ``but'' and add ``but such 
        features do not include distribution systems or drains within 
        Westlands, and''.
            (2) In the sixth sentence of section 1(a), by inserting the 
        following at the end of the sentence: ``except that the 
        provision of drainage or drainage service under section 1(a) 
        shall not apply to lands within Westlands.''.
            (3) In section 5, by striking the first sentence and 
        inserting ``Notwithstanding any other provision of law, the 
        Secretary of the Interior shall have no duty to provide 
        drainage or drainage service to Westlands. Westlands shall be 
        responsible for the management of drainage water within its 
        boundaries, in accordance with Federal and California law 
        consistent with the `Agreement between the United States and 
        Westlands Water District August 2015', signed September 15, 
        2015.''.
            (4) In the first sentence of section 8 by striking the 
        words ``other than distribution systems and drains,''.
            (5) In the third sentence of section 8, strike everything 
        between the word ``required'' through and including ``(b)'' 
        inserting a period following the word ``unit'' Strike the 
        remainder of the proviso in section 8.

SEC. 5. DRAINAGE IMPLEMENTATION.

    Upon enactment of this Act, and as provided in the Westlands 
Agreement, Westlands shall assume all legal responsibility for the 
management of drainage water within its boundaries in accordance with 
Federal and California law; provided that Westlands shall not discharge 
drainage water outside of its boundaries.

SEC. 6. WATER DELIVERY CONTRACTS.

    (a) Contract Conversion.--The Secretary is directed to convert 
Westlands' existing long-term or interim renewal water service 
contracts entered into under section 9(e) of the Act of August 4, 1939 
(53 Stat. 1196), to a repayment contract under sections 9(d) and 
9(c)(1) of the Act of August 4, 1939 (53 Stat. 1195, 1194), consistent 
with the Westlands Agreement.
    (b) Allocation Decisions.--
            (1) Notwithstanding subsection (a) and as provided in the 
        Westlands Agreement, the Secretary shall make allocation 
        decisions in the Project affecting Westlands consistent with 
        the requirements of all current or future enacted Federal law 
        including, but not limited, to the Endangered Species Act of 
        1973 (16 U.S.C. 1531 et seq.), Reclamation law, and all 
        decisions of the California State Water Resources Control Board 
        establishing conditions on applicable licenses and permits for 
        the Central Valley Project.
            (2) Conversion of Westlands' contracts in subsection (a) 
        shall not afford Westlands a greater or lesser right to an 
        annual allocation of Project Water than it had prior to the 
        conversion of its contract under this Act.
            (3) If there is a Condition of Shortage in the amount of 
        water available for delivery to Westlands because of errors in 
        physical operations of the Project, drought, other physical 
        causes beyond the control of the Contracting Officer or actions 
        taken by the Contracting Officer to meet legal obligations and 
        no liability shall accrue against the United States or any of 
        its officers, agents or employees for any damage, direct or 
        indirect, arising therefrom.
    (c) Water Service Contract for Lemoore Naval Air Station.--
            (1) The Secretary is directed to enter into a contract 
        under section 9(e) of the Act of August 4, 1939 (53 Stat. 
        1196), with the Secretary of the Navy for the delivery of 
        Project Water to the Lemoore Naval Air Station to meet the 
        irrigation needs of Lemoore Naval Air Station associated with 
        air operations.
            (2) The contract amount of Project Water made available to 
        the Lemoore Naval Air Station under section 9(e) contract 
        entered into pursuant to paragraph (1) shall be determined by 
        the Secretary through technical analysis with the Lemoore Naval 
        Air Station.
            (3) In any year in which there may occur a Condition of 
        Shortage in the amount of water available for delivery, the 
        Contracting Officer shall allocate the available Project Water 
        to Lemoore Naval Air Station according to the allocation steps 
        for municipal and industrial water service contractors under 
        the Central Valley Project Municipal and Industrial Water 
        Shortage Policy (Policy) in its form on the effective date of 
        the contract referenced in paragraph (1) for determining the 
        amount of Project Water available for delivery to Lemoore Naval 
        Air Station. For purposes of determining ``historical use'' 
        under the Policy, the Secretary shall consider past water use 
        for irrigation needs by the Lemoore Naval Air Station under the 
        contract authorized by this section, or such use previous to 
        the contract.

SEC. 7. REPAYMENT OBLIGATIONS.

    (a) Suspension of Capital Obligation.--Upon enactment of this Act, 
Westlands' capital repayment obligation and payments under its existing 
water service contracts and the April 1, 1965, repayment contract 
between the United States and Westlands (contract numbered 14-06-200-
2020-A) as further defined in subsection (d), shall be suspended until 
the execution of the 9(d) repayment contract referenced in section 6, 
and upon execution of the 9(d) repayment contract, Westlands shall 
receive a credit against future operation and maintenance costs payable 
to the United States in the amount of the capital costs under the 
existing water service contracts and the 1965 Repayment Contract paid 
by Westlands between the date of the Westlands Agreement and the date 
of enactment of this Act.
    (b) Costs.--Costs incurred by the United States for purposes of re-
evaluating, planning, or providing drainage service to Westlands shall 
be non-reimbursable as set forth in paragraphs (9)(C)(iv) of the 
Westlands Agreement.
    (c) Relief of Capital Repayment Obligations.--
            (1) Upon the date of execution of the 9(d) repayment 
        contracts referenced in section 6(a), and as set forth in the 
        Westlands Agreement, Westlands shall be relieved of--
                    (A) its capital repayment obligations under the 
                June 5, 1963, water service contract between the United 
                States and Westlands (contract number 14-06-200-495-A) 
                providing for water service, or any renewals thereof, 
                and any water service contracts assigned to Westlands, 
                Westlands Distribution District No. 1, and Westlands 
                Distribution District No. 2 existing as of the date of 
                execution of the Westlands Agreement; and
                    (B) Westlands shall be relieved of any remaining 
                repayment obligation under the April 1, 1965, repayment 
                contract between the United States and Westlands 
                (contract numbered 14-06-200-2020-A).
            (2) Repayment relief granted in paragraphs (1) and (2) 
        shall not extend to Westlands' operation and maintenance 
        obligations, whether payable to the United States or to an 
        operating non-Federal entity, or to construction costs or other 
        capitalized costs not yet allocated to or incurred by Westlands 
        as of the date of the Westlands Agreement, respectively, 
        including, but not limited to costs attributable to the Folsom 
        Safety of Dams modifications, or the B.F. Sisk corrective 
        action study, or any Safety of Dams or to the repayment of 
        future capital costs incurred after the date of execution of 
        the Westlands Agreement.
            (3) Central Valley Project construction costs or other 
        capitalized costs allocated to Westlands after the date of the 
        Westlands Agreement, and properly assignable to Westlands, 
        shall be repaid in not more than 5 years after notification of 
        the allocation of such amount of less than $5,000,000. If such 
        amount is $5,000,000 or greater, such cost shall be repaid as 
        provided by applicable Reclamation law. Any additional costs 
        that may have been assigned to Westlands pursuant to paragraph 
        (9)(C)(iv) of the Westlands Agreement related to the Central 
        Valley Project final cost allocation shall be non-reimbursable.
    (d) Applicability of Certain Provisions.--
            (1) Reclamation reform act.--Upon discharge of the capital 
        repayment obligation as provided in subsection (b), the 
        provisions of section 213(a) and (b) of the Reclamation Reform 
        Act of 1982 (96 Stat. 1269) shall be deemed to apply to lands 
        in Westlands, and the ownership and full cost pricing 
        limitations in any provision of Federal reclamation law shall 
        not apply to lands in Westlands notwithstanding the subsequent 
        allocation of construction costs or other capitalized costs to 
        Westlands. These exemptions shall be carried out in accordance 
        with the process set forth in the Westlands Agreement.
            (2) Other provisions.--Nothing in this Act is intended to 
        relieve Westlands of any other obligations under Reclamation 
        law including Restoration Fund charges pursuant to section 
        3407(d) of Public Law 102-575.

SEC. 8. TRANSFER OF TITLE TO CERTAIN FACILITIES.

    (a) In General.--Upon the execution of the section 9(d) repayment 
contract, or as soon thereafter as practicable, the Secretary shall 
transfer to Westlands title to:
            (1) San Luis Canal System, excluding the main canal which 
        is integrated with the California Aqueduct. These appurtenant 
        features include:
                    (A) Internal water distribution system within 
                Westlands, including: Approximately 1,045 miles of 
                buried pipeline.
                    (B) Pumping plants within Westlands, including: San 
                Luis Canal Left and Right Bank pumping plants. Includes 
                but is not limited to, Pumping Plants P1 through P38 
                located at the head end of the gravity laterals to 
                supply the head required for the ``P'' laterals. 
                Pumping Plants, tanks, reservoirs, re-lift pumping 
                plants to serve lands west of the San Luis Canal. 
                Pumping Plant 7.05 off Lateral 7.
                    (C) Related structures, appurtenances, pumping 
                plants, pumps, motors, meters, valves, tanks, 
                transformers and electrical equipment as specifically 
                identified through the title transfer process of 
                federally owned facilities, equipment, and real 
                property.
            (2) Mendota Pool diversion facilities operated by 
        Westlands, including:
                    (A) Inlet Canal from the Fresno Slough.
                    (B) Pumping plants 6-1, 6-2, 7-1, 7-2.
                    (C) Related structures, appurtenances, pumps, 
                motors, meters, valves, tanks, transformers and 
                electrical equipment as specifically identified through 
                the title transfer process of federally owned 
                facilities, equipment, and real property.
            (3) Pleasant Valley System, including:
                    (A) Intake canal and pipeline.
                    (B) Pleasant Valley Pumping Plant.
                    (C) Coalinga Canal, including related check 
                structures, turnouts, and headworks.
                    (D) Pleasant Valley distribution system and pumping 
                plants along the Coalinga Canal.
                    (E) Related structures, appurtenances, pumps, 
                motors, meters, valves, tanks, transformers and 
                electrical equipment as specifically identified through 
                the title transfer process of federally owned 
                facilities, equipment, and real property.
            (4) Drainage collection system, including:
                    (A) Carrier and collector pipelines, sumps, and 
                sump pumps.
                    (B) San Luis Drain from Sta 6678+45 to Sta 
                8520+22.87 (Crossing with DMC to Laguna Ave. crossing).
                    (C) Related structures, appurtenances, pumps, 
                motors, meters, valves, tanks, transformers, and 
                electrical equipment as specifically identified through 
                the title transfer process of federally owned 
                facilities, equipment, and real property.
            (5) Tranquillity Field Office, including:
                    (A) Buildings at 32650 West Adams Avenue, 
                Tranquillity, CA 93668.
                    (B) All related fixtures and furnishings as 
                specifically identified through the title transfer 
                process of federally owned facilities, equipment, and 
                real property.
            (6) Huron Field Office, including:
                    (A) Buildings at 32450 South Lassen Avenue, Huron, 
                CA 93234.
                    (B) All related fixtures and furnishings as 
                specifically identified through the title transfer 
                process of federally owned facilities, equipment, and 
                real property.
            (7) All real property interests held by the United States 
        in lands underlying or otherwise associated with the facilities 
        and equipment listed in this subsection, including all fee 
        title, easements, and rights of way.
    (b) Transfer of Title.--Except as specifically provided in this 
Act, any transfer of title to the Pleasant Valley Pumping Plant, the 
Coalinga Canal, and any associated facilities shall not relieve any 
other Project Water service or repayment contractor of the requirement 
to pay any allocated costs associated with those conveyance or pumping 
facilities that are properly allocated to those contractors under 
existing law and Project rate setting policies.
    (c) Condition of Transfer.--Upon transfer of title to any 
facilities pursuant to this section, Westlands shall, as a condition to 
such transfer, formally agree that as of the date of transfer--
            (1) to hold the United States harmless and indemnify the 
        United States for any and all claims, cost, damages, and 
        judgments of any kind arising out of any act, omission, or 
        occurrence relating to the transferred facilities, except for 
        such claims, costs, damages arising from acts of negligence 
        committed by the United States or by its employees, agents, or 
        contractors, prior to the date of title transfer, for which the 
        United States is found liable under the Federal Tort Claims 
        Act; and
            (2) the United States shall have no responsibility for 
        correcting and financing any repairs or deficiencies that may 
        exist at the time of or following title transfer.
    (d) Applicable Law.--The Secretary shall transfer title pursuant to 
this section consistent with all applicable Reclamation policies and 
procedures. The Secretary and Westlands shall comply with all 
applicable requirements under Federal and California law before title 
to a facility is transferred pursuant to this section.

SEC. 9. COMPLIANCE WITH APPLICABLE LAW.

    In implementing the measures authorized by this Act, the Secretary 
shall comply with all applicable Federal laws, rules, and regulations, 
including the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
et seq.) and the Endangered Species Act of 1973 (16 U.S.C. 1531 et 
seq.), as necessary.

SEC. 10. NO WATER SUPPLY OR FINANCIAL IMPACTS ON OTHER CENTRAL VALLEY 
              PROJECT CONTRACTORS.

    Implementation of this Act and the Agreements authorized thereunder 
shall not--
            (1) result in the involuntary reduction in the contract 
        water allocation to any Project water service or repayment 
        contractor, water rights settlement contractor, exchange 
        contractor, or refuge contractor including contractors in the 
        Friant Division of the Project;
            (2) modify, amend or affect any of the rights or 
        obligations of the parties to any Project water service or 
        repayment contract, water rights settlement contract, exchange 
        contract, or refuge contract, including contracts in the Friant 
        Division of the Project;
            (3) alter the repayment obligation, if any, of any 
        Project--
                    (A) water service or repayment contractor;
                    (B) settlement, refuge, or exchange contractor; or
                    (C) preference power contractor receiving water or 
                power from the Project, or shift any costs to such 
                contractors that would otherwise have been properly 
                assignable to Westlands, including operations and 
                maintenance costs, construction costs, or other 
                capitalized costs allocated to Westlands after the date 
                of this Act;
            (4) impair the ability of the United States to implement 
        the Stipulation of Settlement approved by the district court in 
        Natural Resources Defense Council, et al. v. Rogers, et al. 
        (Case No. CIV S-88-1658 (LKK/GGH) E.D.Cal.), on October 23, 
        2006, as authorized to be implemented by title X of Public Law 
        111-11, including the Restoration Goal and Water Management 
        Goal; and
            (5) diminish, impair, or otherwise affect in any manner any 
        priorities for the allocation, delivery or use of water under 
        applicable law, including any purposes of use and priorities 
        established by sections 3402 and 3406 of the Central Valley 
        Project Improvement Act (Public Law 102-575; 106 Stat. 4706, 
        4717).

SEC. 11. RESTORATION FUND PAYMENTS BY WESTLANDS WATER DISTRICT.

    For any year in which the allocation of water for south-of-Delta 
Project long-term water irrigation service contractors or irrigation 
repayment contractors is greater than 75 percent, the Secretary shall 
calculate for Westlands a per acre foot Restoration Fund payment based 
on a projection that Westlands would take delivery of the full 
allocation made to south-of-Delta Project long-term water service 
contractors or repayment contractors.
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