II Calendar No. 393 113th CONGRESS 2d Session S. 715 [Report No. 113–167] IN THE SENATE OF THE UNITED STATES April 11, 2013 Mr. Baucus (for himself, Mr. Tester , Mr. Udall of New Mexico , Ms. Klobuchar , Mr. Franken , Mr. Johnson of South Dakota , Mr. Heinrich , Mr. Hoeven , Ms. Heitkamp , Mr. Harkin , and Mr. Walsh ) introduced the following bill; which was read twice and referred to the Committee on Energy and Natural Resources May 22, 2014 Reported by Ms. Landrieu , with an amendment Strike out all after the enacting clause and insert the part printed in italic A BILL To authorize the Secretary of the Interior to use designated funding to pay for construction of authorized rural water projects, and for other purposes.

1. Short title This Act may be cited as the Authorized Rural Water Projects Completion Act . 2. Definitions In this Act: (1) Fund The term Fund means the Reclamation Rural Water Construction Fund established by section 3(a). (2) Secretary The term Secretary means the Secretary of the Interior. 3. Reclamation rural water construction fund (a) Establishment There is established in the Treasury of the United States a fund, to be known as the Reclamation Rural Water Construction Fund , consisting of— (1) such amounts as are deposited in the Fund under subsection (b); and (2) any interest earned on investment of amounts in the Fund under subsection (d). (b) Deposits to fund (1) In general For each of fiscal years 2014 through 2030, the Secretary of the Treasury shall deposit in the Fund $80,000,000 of the revenues that would otherwise be deposited for the fiscal year in the reclamation fund established by the first section of the Act of June 17, 1902 (32 Stat. 388, chapter 1093). (2) Availability of amounts Amounts deposited in the Fund under paragraph (1) shall— (A) be made available in accordance with this section, without further appropriation; and (B) be in addition to amounts appropriated for such purposes under any other provision of law. (3) Limitation Notwithstanding paragraphs (1) and (2), no amounts may be deposited in, or made available from, the Fund under those paragraphs if the transfer or availability of the amounts would increase the deficit. (c) Expenditures from fund (1) In general (A) Expenditures Subject to subparagraph (B), for each of fiscal years 2014 through 2035, the Secretary may expend from the Fund not more than the sum of— (i) $80,000,000; and (ii) the amount of interest accrued in the Fund for the fiscal year in which the expenditures are made. (B) Additional expenditures Notwithstanding subparagraph (A), the Secretary may expend more than $80,000,000 for any fiscal year listed in subparagraph (A) if such amounts are available in the Fund due to expenditures not reaching $80,000,000 in 1 or more prior fiscal years. (2) Use (A) In general Subject to subparagraph (B), the Secretary may use amounts from the Fund to complete construction of rural water projects— (i) authorized to be carried out by the Secretary on or before the date of enactment of this Act; or (ii) for which— (I) pursuant to section 106(e) of the Rural Water Supply Act of 2006 ( 43 U.S.C. 2405(e) ), a feasibility study has been submitted to the Secretary by September 30, 2012; and (II) an Act of Congress after the date of enactment of this Act has authorized the construction of the project. (B) Limitation The Secretary may not use amounts from the Fund to pay for any operation and maintenance costs of an authorized rural water project. (3) Conditions The Secretary shall not expend any amounts from the Fund until the date on which the Secretary develops— (A) programmatic goals to carry out this section that— (i) would enable the completion of construction of the authorized rural water projects as expeditiously as possible; and (ii) reflect— (I) the goals and priorities identified in the laws authorizing the authorized rural water projects; and (II) the goals of the Reclamation Rural Water Supply Act of 2006 ( 43 U.S.C. 2401 et seq. ); and (B) funding prioritization criteria to serve as a formula for distributing funds under this section that take into account— (i) an evaluation of the urgent and compelling need for potable water supplies in the affected rural and tribal communities; (ii) the status of the current stages of completion of the authorized rural water project; (iii) the financial needs of the affected rural and tribal communities; (iv) the potential economic benefits of the expenditures on job creation and general economic development in the affected rural and tribal communities; (v) the ability of the authorized rural water project to address regional and watershed level water supply needs; (vi) the ability of the authorized rural water project— (I) to minimize water and energy consumption; and (II) to encourage the development of renewable energy resources, such as wind, solar, and hydropower elements; (vii) the need for the authorized rural water project to address— (I) the needs of Indian tribes and members of Indian tribes; and (II) other community needs or interests; and (viii) such other factors as the Secretary determines to be appropriate to prioritize the use of available funds. (d) Investments of amounts (1) In general The Secretary shall invest such portion of the Fund as is not, in the judgment of the Secretary, required to meet current withdrawals. (2) Credits to fund The interest on, and the proceeds from the sale or redemption of, any obligations held in the Fund shall be credited to, and form a part of, the Fund. (e) Transfers of amounts (1) In general The amounts required to be transferred to the Fund under this section shall be transferred at least monthly from the general fund of the Treasury to the Fund on the basis of estimates made by the Secretary of the Treasury. (2) Adjustments Proper adjustment shall be made in amounts subsequently transferred to the extent prior estimates were in excess of or less than the amounts required to be transferred. (f) Termination On September 30, 2035— (1) the Fund shall terminate; and (2) the unexpended and unobligated balance of the Fund shall be transferred to the reclamation fund established by the first section of the Act of June 17, 1902 (32 Stat. 388, chapter 1093).

1. Short title; table of contents (a) Short title This Act may be cited as the Authorized Rural Water Projects Completion Act . (b) Table of contents The table of contents of this Act is as follows: Sec. 1. Short title. Sec. 2. Definitions. Sec. 3. Reclamation rural water construction fund. Sec. 1. Short title; table of contents. Sec. 2. Definitions. TITLE I—Reclamation Rural Water Construction and Settlement Implementation Fund Sec. 101. Establishment. Sec. 102. Accounts. Sec. 103. Deposits to Fund. Sec. 104. Expenditures from Fund. Sec. 105. Investments of amounts. Sec. 106. Transfers of amounts. Sec. 107. Transferability between accounts. Sec. 108. Termination. TITLE II—Rural water projects Sec. 201. Rural water projects. Sec. 202. Restrictions. TITLE III—Reclamation infrastructure and settlement implementation Sec. 301. Reclamation infrastructure and settlement implementation. TITLE IV—Repair, replacement, and maintenance of certain Indian irrigation projects Sec. 401. Repair, replacement, and maintenance of certain Indian irrigation projects. Sec. 402. Eligible projects. Sec. 403. Requirements and conditions. Sec. 404. Study of Indian irrigation program and project management. Sec. 405. Tribal consultation and user input. Sec. 406. Allocation among projects. 2. Definitions In this Act: (1) Fund The term Fund means the Reclamation Rural Water Construction and Settlement Implementation Fund established by section 101. (2) Indian tribe The term Indian tribe has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act ( 25 U.S.C. 450b ). (3) Rural water project The term rural water project means a project that is designed to provide domestic, industrial, municipal, or residential water to a small community or group of small communities, including Indian tribes and tribal organizations. (4) Secretary The term Secretary means the Secretary of the Interior, acting through the Commissioner of Reclamation. I Reclamation Rural Water Construction and Settlement Implementation Fund 101. Establishment There is established in the Treasury of the United States a fund, to be known as the Reclamation Rural Water Construction and Settlement Implementation Fund , consisting of— (1) such amounts as are deposited in the Fund under section 103; and (2) any interest earned on investment of amounts in the Fund under section 105. 102. Accounts Within the Fund, there are established the following accounts: (1) Rural Water Project Account. (2) Indian Irrigation Account. (3) Reclamation Infrastructure and Settlement Implementation Account. 103. Deposits to Fund (a) In general For each of fiscal years 2014 through 2035, the Secretary of the Treasury shall deposit in the Fund $150,000,000 of the revenues that would otherwise be deposited for the fiscal year in the reclamation fund established by the first section of the Act of June 17, 1902 (32 Stat. 388, chapter 1093), of which— (1) $80,000,000 for each of the fiscal years shall be deposited in the Rural Water Project Account established under section 102(1); (2) $35,000,000 for each of the fiscal years shall be deposited in the Indian Irrigation Account established under section 102(2); and (3) $35,000,000 for each of the fiscal years shall be deposited in the Reclamation Infrastructure and Settlement Implementation Account established under section 102(3). (b) Availability of amounts Amounts deposited in the Fund under subsection (a) shall be used, subject to appropriation, to carry out this Act. 104. Expenditures from Fund (a) In general Subject to subsection (b), for each of fiscal years 2014 through 2035, the Secretary may expend from the Fund, in accordance with this Act, not more than the sum of— (1) $150,000,000, to be allocated from the amounts in the accounts specified in section 102; and (2) the amount of interest accrued in the Fund within each account for the fiscal year in which the expenditures are made, with the interest accrued within each account used only for expenditures from that account. (b) Additional expenditures (1) In general The Secretary may expend more than $150,000,000 for any fiscal year referred to in subsection (a) if the additional amounts are available in the Fund as a result of a failure of the Secretary to expend all of the amounts available under subsection (a) in 1 or more prior fiscal years. (2) Retention in accounts Any additional amounts referred to in paragraph (1) shall— (A) be retained within the account to which the amounts were designated; (B) accrue interest for the designated account in accordance with this title; and (C) only be expended for the purposes for which expenditures from the designated accounts are authorized. 105. Investments of amounts (a) In general The Secretary shall invest such portion of the Fund as is not, in the judgment of the Secretary, required to meet current withdrawals. (b) Credits to Fund The interest on, and the proceeds from the sale or redemption of, any obligations held in the Fund shall be credited to, and form a part of, the Fund. 106. Transfers of amounts (a) In general The amounts required to be transferred to the Fund under this title shall be transferred at least monthly from the general fund of the Treasury to the Fund on the basis of estimates made by the Secretary of the Treasury. (b) Adjustments Proper adjustment shall be made in amounts subsequently transferred to the extent prior estimates are in excess of or less than the amounts required to be transferred. 107. Transferability between accounts (a) Transferability of irrigation funds No sooner than fiscal year 2023, if the Secretary determines that there are no further deferred maintenance needs of eligible Indian irrigation projects, the Secretary may expend amounts and any interest accrued in the Indian Irrigation Account established by section 102(2) on any expenditure authorized under section 301 from the Reclamation Infrastructure and Settlement Implementation Account established by section 102(3). (b) Transferability of water settlement funds No sooner than fiscal year 2023, if the Secretary determines that there are no further needs of Indian tribes under section 301, the Secretary may expend amounts and any interest accrued in the Reclamation Infrastructure and Settlement Implementation Account established by section 102(3) on any expenditure authorized under sections 401 through 406 from the Indian Irrigation Account established by section 102(2). 108. Termination On September 30, 2035— (1) the Fund shall terminate; and (2) the unexpended and unobligated balance of the Fund shall be transferred to the reclamation fund established by the first section of the Act of June 17, 1902 (32 Stat. 388, chapter 1093). II Rural water projects 201. Rural water projects Subject to section 202, for each of fiscal years 2014 through 2035, the Secretary may use not less than $80,000,000 of the amounts available in the Rural Water Project Account established under section 102(1) to complete construction of rural water projects— (1) authorized to be carried out by the Secretary on or before the date of enactment of this Act; or (2) for which— (A) pursuant to section 106(e) of the Rural Water Supply Act of 2006 ( 43 U.S.C. 2405(e) ), a feasibility study has been submitted to the Secretary by September 30, 2012; and (B) an Act of Congress after the date of enactment of this Act has authorized the construction of the project. 202. Restrictions (a) No operation and maintenance costs The Secretary shall not use any amounts from the Fund to pay for operation and maintenance costs of an authorized rural water project. (b) Conditions The Secretary shall not expend any amounts from the Fund to carry out this title until the date on which the Secretary develops— (1) programmatic goals to carry out this title that— (A) would enable the completion of construction of the authorized rural water projects as expeditiously as practicable; and (B) reflect— (i) the goals and priorities identified in the laws authorizing the authorized rural water projects; and (ii) the goals of the Reclamation Rural Water Supply Act of 2006 (43 U.S.C. 2401 et seq.); and (2) funding prioritization criteria to serve as a methodology for distributing funds under this title that take into account— (A) an evaluation of the urgent and compelling need for potable water supplies in the affected rural and tribal communities; (B) the status of the current stages of completion of the authorized rural water project; (C) the financial needs of the affected rural and tribal communities; (D) the potential economic benefits of the expenditures on job creation and general economic development in the affected rural and tribal communities; (E) the ability of the authorized rural water project to address regional and watershed level water supply needs; (F) the ability of the authorized rural water project— (i) to minimize water and energy consumption; and (ii) to encourage the development of renewable energy resources, such as wind, solar, and hydropower elements; (G) the need for the authorized rural water project to address— (i) the needs of Indian tribes and members of Indian tribes; and (ii) other community needs or interests; and (H) such other factors as the Secretary determines to be appropriate to prioritize the use of available funds. III Reclamation infrastructure and settlement implementation 301. Reclamation infrastructure and settlement implementation Consistent with section 104, for each of fiscal years 2014 through 2035, the Secretary shall use not less than $35,000,000, plus accrued interest, of the amounts authorized to be expended from the Reclamation Infrastructure and Settlement Implementation Account established under section 102(3)— (1) to provide compensation authorized under an Act of Congress to extinguish or otherwise resolve all monetary claims of an Indian tribe against the United States relating to the continued and past use of the land of the Indian tribe by the United States for the generation of hydropower; or (2) to complete construction, planning, and design of projects and implement provisions authorized under one or more Acts of Congress that— (A) settle or otherwise resolve, in whole or in part, litigation involving the United States and the rights of one or more federally recognized Indian tribes to access, use, or manage water resources; or (B) implement agreements approved by Congress pursuant to which one or more federally recognized Indian tribes agree to some limitation on the exercise of rights or claims to access, use, or manage water resources. IV Repair, replacement, and maintenance of certain Indian irrigation projects 401. Repair, replacement, and maintenance of certain Indian irrigation projects (a) In general The Secretary shall establish a program to address the deferred maintenance needs of Indian irrigation projects that— (1) create risks to public or employee safety or natural or cultural resources; and (2) unduly impede the management and efficiency of the Indian irrigation program. (b) Funding Consistent with section 104, of the amounts authorized to be expended from the Indian Irrigation Account established under section 102(2), the Secretary shall use or transfer to the Bureau of Indian Affairs not less than $35,000,000, plus accrued interest, for each of fiscal years 2014 through 2035 to carry out maintenance, repair, and replacement activities for 1 or more of the Indian irrigation projects described in section 402 (including any structures, facilities, equipment, or vehicles used in connection with the operation of those projects). 402. Eligible projects The projects eligible for funding under section 401(b) are the Indian irrigation projects in the western United States that, on the date of enactment of this Act— (1) are owned by the Federal Government, as listed in the Federal inventory required by Executive Order 13327 ( 40 U.S.C. 121 note; relating to Federal real property asset management); (2) are managed by the Bureau of Indian Affairs (including projects managed under contracts or compacts pursuant to the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450 et seq.); and (3) have deferred maintenance documented by the Bureau of Indian Affairs. 403. Requirements and conditions Not later than 180 days after the date of enactment of this Act and as a precondition to amounts being expended from the Fund to carry out this title, the Secretary of the Interior, in consultation with the Assistant Secretary for Indian Affairs, the Commissioner of the Bureau of Reclamation, and representatives of affected Indian tribes, shall develop and submit to Congress— (1) programmatic goals to carry out this title that— (A) would enable the completion of repairing, replacing, improving, or performing maintenance on projects as expeditiously as possible; (B) facilitate or improve the ability of the Bureau of Indian Affairs to carry out the mission of the Bureau of Indian Affairs in operating a project; and (C) ensure that the results of government-to-government consultation required under section 405 be addressed; and (2) funding prioritization criteria to serve as a methodology for distributing funds under this title, that take into account— (A) the extent to which deferred maintenance of qualifying irrigation projects poses a threat to public or employee safety or health; (B) the extent to which deferred maintenance poses a threat to natural or cultural resources; (C) the extent to which deferred maintenance poses a threat to the ability of the Bureau of Indian Affairs to carry out the mission of the Bureau of Indian Affairs in operating the project; (D) the extent to which repairing, replacing, improving, or performing maintenance on a facility or structure will— (i) improve public or employee safety, health, or accessibility; (ii) assist in compliance with codes, standards, laws, or other requirements; (iii) address unmet needs; and (iv) assist in protecting natural or cultural resources; (E) the methodology of the rehabilitation priority index of the Secretary, as in effect on the date of enactment of this Act; (F) the potential economic benefits of the expenditures on job creation and general economic development in the affected tribal communities; (G) the ability of the qualifying project to address tribal, regional, and watershed level water supply needs; and (H) such other factors as the Secretary determines to be appropriate to prioritize the use of available funds that are, to the fullest extent practicable, consistent with tribal and user recommendations received pursuant to the consultation and input process under section 405. 404. Study of Indian irrigation program and project management (a) Tribal consultation and user input Before beginning to conduct the study required under subsection (b), the Secretary of the Interior shall— (1) consult with the Indian tribes that have jurisdiction over the land on which an irrigation project eligible to receive funding under section 402 is located; and (2) solicit and consider the input, comments, and recommendations of the landowners served by the irrigation project. (b) Study Not later than 2 years after the date of enactment of this Act, the Secretary of the Interior, acting through the Assistant Secretary for Indian Affairs, shall complete a study that evaluates options for improving programmatic and project management and performance of irrigation projects managed and operated in whole or in part by the Bureau of Indian Affairs. (c) Report On completion of the study under subsection (b), the Secretary of the Interior, acting through the Assistant Secretary for Indian Affairs, shall submit to the Committees on Energy and Natural Resources and Indian Affairs of the Senate and the Committee on Natural Resources of the House of Representatives a report that— (1) describes the results of the study; and (2) includes recommendations for improving programmatic and project management and performance in each qualifying project area and for the program as a whole. (d) Funding Of the amounts authorized to be expended from the Indian Irrigation Account established under section 102(2), $1,000,000 shall be made available during fiscal year 2014 to carry out this section, to remain available until expended. 405. Tribal consultation and user input Before expending funds on an Indian irrigation project pursuant to section 401, the Secretary of the Interior shall— (1) consult with the Indian tribe that has jurisdiction over the land on which an irrigation project eligible to receive funding under section 402 is located; and (2) solicit and consider the input, comments, and recommendations of the landowners served by the irrigation project. 406. Allocation among projects (a) In general Subject to subsection (b), to the maximum extent practicable, the Secretary shall ensure that, for each of fiscal years 2014 through 2035, each Indian irrigation project eligible for funding under section 402 that has critical maintenance needs receives part of the funding under section 401 to address critical maintenance needs. (b) Priority In allocating amounts under section 401(b), in addition to considering the funding priorities described in section 403, the Secretary shall give priority to Indian irrigation projects for which funding has not been made available during the 15-year period ending on the day before the date of enactment of this Act under any other Act of Congress that expressly identifies the Indian irrigation project or the Indian reservation of the project to address the deferred maintenance, repair, or replacement needs of the Indian irrigation project. (c) Cap on Funding (1) In general Subject to paragraph (2), in allocating amounts under section 401(b), the Secretary shall allocate not more than $15,000,000 to any individual Indian irrigation project described in section 402 during any consecutive 3-year period. (2) Exception Notwithstanding the cap described in paragraph (1), if the full amount under section 401(b) cannot be fully allocated to eligible irrigation projects because the only remaining activities authorized in section 401(b) are for irrigation projects that would exceed the cap described in paragraph (1), the Secretary may allocate the remaining funds to eligible irrigation projects in accordance with this title. (d) Basis of funding Any amounts made available under this section shall be nonreimbursable. (e) Applicability of ISDEAA The Indian Self-Determination and Education Assistance Act ( 25 U.S.C. 450 et seq. ) shall apply to activities carried out under this section.

May 22, 2014 Reported with an amendment