IB Union Calendar No. 552 116th CONGRESS 2d Session H. R. 3723 [Report No. 116–668, Part I] IN THE HOUSE OF REPRESENTATIVES July 11, 2019 Mr. Levin of California (for himself and Mr. Huffman ) introduced the following bill; which was referred to the Committee on Natural Resources , and in addition to the Committee on Science, Space, and Technology , for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned December 18, 2020 Reported from the Committee on Natural Resources with an amendment Strike out all after the enacting clause and insert the part printed in italic December 18, 2020 Committee on Science, Space, and Technology discharged; committed to the Committee of the Whole House on the State of the Union and ordered to be printed For text of introduced bill, see copy of bill as introduced on July 11, 2019 A BILL To promote desalination project development and drought resilience, and for other purposes.

1. Short title This Act may be cited as the Desalination Development Act . 2. Desalination projects authorization Section 4(a) of the Water Desalination Act of 1996 ( 42 U.S.C. 10301 note; Public Law 104–298 ) is amended by striking the second paragraph (1) (relating to projects) and inserting the following: (2) Projects (A) Definitions In this paragraph: (i) Eligible desalination project The term eligible desalination project means any project located in a Reclamation State that— (I) involves an ocean or brackish water desalination facility— (aa) constructed, operated, and maintained by a State, Indian Tribe, irrigation district, water district, or other organization with water or power delivery authority; or (bb) sponsored or funded by a State, department of a State, political subdivision of a State, or public agency organized pursuant to State law, including through— (AA) direct sponsorship or funding; or (BB) indirect sponsorship or funding, such as by paying for the water provided by the facility; and (II) provides a Federal benefit in accordance with the reclamation laws. (ii) Rural desalination project The term rural desalination project means an eligible desalination project that is designed to serve a community or group of communities, each of which has a population of not more than 40,000 inhabitants. (B) Cost-sharing requirement (i) In general Subject to the requirements of this subsection and notwithstanding section 7, the Federal share of an eligible desalination project carried out under this subsection shall be— (I) not more than 25 percent of the total cost of the eligible desalination project; or (II) in the case of a rural desalination project, the applicable percentage determined in accordance with clause (ii). (ii) Rural desalination projects (I) Cost-sharing requirement for appraisal studies In the case of a rural desalination project carried out under this subsection, the Federal share of the cost of appraisal studies for the rural desalination project shall be— (aa) 100 percent of the total costs of the appraisal studies, up to $200,000; and (bb) if the total costs of the appraisal studies are more than $200,000, 50 percent of any amounts over $200,000. (II) Cost-sharing requirement for feasibility studies In the case of a rural desalination project carried out under this subsection, the Federal share of the cost of feasibility studies for the rural desalination project shall be not more than 50 percent. (III) Cost-sharing requirement for construction costs In the case of a rural desalination project carried out under this subsection, the Federal share of the cost of construction of the rural desalination project shall not exceed the greater of — (aa) 35 percent of the total cost of construction, up to a Federal cost of $20,000,000; or (bb) 25 percent of the total cost of construction. (C) State role Participation by the Secretary in an eligible desalination project under this paragraph shall not occur unless— (i) (I) the eligible desalination project is included in a State-approved plan; or (II) the participation has been requested by the Governor of the State in which the eligible desalination project is located; and (ii) the State or local sponsor of the eligible desalination project determines, and the Secretary concurs, that— (I) the eligible desalination project— (aa) is technically and financially feasible; (bb) provides a Federal benefit in accordance with the reclamation laws; and (cc) is consistent with applicable State laws, State regulations, State coastal zone management plans and other State plans such as California’s Water Quality Control Plan for the Ocean Waters in California; (II) sufficient non-Federal funding is available to complete the eligible desalination project; and (III) the eligible desalination project sponsors are financially solvent; and (iii) the Secretary submits to Congress a written notification of the determinations under clause (ii) by not later than 30 days after the date of the determinations. (D) Environmental laws In participating in an eligible desalination project under this paragraph, the Secretary shall comply with all applicable environmental laws, including, but not limited to, the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.) and State laws implementing the Coastal Zone Management Act. (E) Information In participating in an eligible desalination project under this subsection, the Secretary— (i) may rely on reports prepared by the sponsor of the eligible desalination project, including feasibility or equivalent studies, environmental analyses, and other pertinent reports and analyses; but (ii) shall retain responsibility for making the independent determinations described in subparagraph (C). (F) Funding (i) Authorization of appropriations There is authorized to be appropriated to carry out this paragraph $260,000,000 for the period of fiscal years 2021 through 2025, of which not less than $15,000,000 shall be made available during that period for rural desalination projects. (ii) Congressional approval initially required (I) In general Each initial award under this paragraph for design and study or for construction of an eligible desalination project shall be approved by an Act of Congress. (II) Reclamation recommendations The Commissioner of Reclamation shall submit recommendations regarding the initial award of preconstruction and construction funding for consideration under subclause (I) to— (aa) the Committee on Appropriations of the Senate; (bb) the Committee on Energy and Natural Resources of the Senate; (cc) the Committee on Appropriations of the House of Representatives; and (dd) the Committee on Natural Resources of the House of Representatives. (iii) Subsequent funding awards After approval by Congress of an initial award of preconstruction or construction funding for an eligible desalination project under clause (ii), the Commissioner of Reclamation may award additional preconstruction or construction funding, respectively, for the eligible desalination project without further congressional approval. (G) Total dollar cap The Secretary shall not impose a total dollar cap on Federal contributions for individual desalination projects receiving funding under this paragraph. . 3. Prioritization for projects Section 4 of the Water Desalination Act of 1996 ( 42 U.S.C. 10301 note; Public Law 104–298 ) is amended by striking subsection (c) and inserting the following: (c) Prioritization In carrying out demonstration and development activities under this section, the Secretary and the Commissioner of Reclamation shall each prioritize projects— (1) for the benefit of drought-stricken States and communities; (2) for the benefit of States that have authorized funding for research and development of desalination technologies and projects; (3) that demonstrably reduce a reliance on imported water supplies that have an impact on species listed under the Endangered Species Act of 1973 ( 16 U.S.C. 1531 et seq.); (4) that, in a measurable and verifiable manner, reduce a reliance on imported water supplies from imperiled ecosystems such as the Sacramento-San Joaquin River Delta; (5) that demonstrably leverage the experience of international partners with considerable expertise in desalination, such as the state of Israel; (6) that maximize use of renewable energy to power desalination facilities; (7) that maximize energy efficiency so that the lifecycle energy demands of desalination are minimized; (8) located in regions that have employed strategies to increase water conservation and the capture and recycling of wastewater and stormwater; and (9) that meet the following criteria if they are ocean desalination facilities— (A) utilize a subsurface intake or, if a subsurface intake is not technologically feasible, an intake that uses the best available site, design, technology, and mitigation measures to minimize the mortality of all forms of marine life and impacts to coastal dependent resources; (B) are sited and designed to ensure that the disposal of wastewaters including brine from the desalination process— (i) are not discharged to impaired bodies of water, or State or Federal Marine Protected Areas; and (ii) achieve ambient salinity levels within a reasonable distance from the discharge point; (C) are sited, designed, and operated in a manner that maintains indigenous marine life and a healthy and diverse marine community; (D) do not cause significant unmitigated harm to aquatic life; and (E) include a construction and operation plan designed to minimize loss of coastal habitat as well as aesthetic, noise, and air quality impacts. . 4. Recommendations to Congress In determining project recommendations to Congress under section 4(a)(2)(F)(ii)(II) of the Water Desalination Act of 1996, the Commissioner of Reclamation shall establish a priority scoring system that assigns priority scores to each project evaluated based on the prioritization criteria of section 4(c) of the Water Desalination Act of 1996 ( 42 U.S.C. 10301 note; Public Law 104–298 ).

December 18, 2020 Reported from the Committee on Natural Resources with an amendment December 18, 2020 Committee on Science, Space, and Technology discharged; committed to the Committee of the Whole House on the State of the Union and ordered to be printed