[House Hearing, 114 Congress] [From the U.S. Government Publishing Office] ENERGY AND WATER DEVELOPMENT APPROPRIATIONS FOR 2016 _______________________________________________________________________ HEARINGS BEFORE A SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS HOUSE OF REPRESENTATIVES ONE HUNDRED FOURTEENTH CONGRESS FIRST SESSION _______ SUBCOMMITTEE ON ENERGY AND WATER DEVELOPMENT MICHAEL K. SIMPSON, Idaho, Chairman RODNEY P. FRELINGHUYSEN, New Jersey MARCY KAPTUR, Ohio KEN CALVERT, California PETER J. VISCLOSKY, Indiana CHARLES J. FLEISCHMANN, Tennessee MICHAEL M. HONDA, California JEFF FORTENBERRY, Nebraska LUCILLE ROYBAL-ALLARD, California KAY GRANGER, Texas JAIME HERRERA BEUTLER, Washington DAVID G. VALADAO, California NOTE: Under Committee Rules, Mr. Rogers, as Chairman of the Full Committee, and Mrs. Lowey, as Ranking Minority Member of the Full Committee, are authorized to sit as Members of all Subcommittees. Donna Shahbaz, Angie Giancarlo, Loraine Heckenberg, Perry Yates, and Matthew Anderson Staff Assistants _______ PART 5 Page U.S. Corps of Engineers..................................... 1 Bureau of Reclamation....................................... 97 [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] _______ Printed for the use of the Committee on Appropriations _______ U.S. GOVERNMENT PUBLISHING OFFICE 96-875 WASHINGTON : 2015 COMMITTEE ON APPROPRIATIONS ---------- HAROLD ROGERS, Kentucky, Chairman RODNEY P. FRELINGHUYSEN, New Jersey NITA M. LOWEY, New York ROBERT B. ADERHOLT, Alabama MARCY KAPTUR, Ohio KAY GRANGER, Texas PETER J. VISCLOSKY, Indiana MICHAEL K. SIMPSON, Idaho JOSE E. SERRANO, New York JOHN ABNEY CULBERSON, Texas ROSA L. DeLAURO, Connecticut ANDER CRENSHAW, Florida DAVID E. PRICE, North Carolina JOHN R. CARTER, Texas LUCILLE ROYBAL-ALLARD, California KEN CALVERT, California SAM FARR, California TOM COLE, Oklahoma CHAKA FATTAH, Pennsylvania MARIO DIAZ-BALART, Florida SANFORD D. BISHOP, Jr., Georgia CHARLES W. DENT, Pennsylvania BARBARA LEE, California TOM GRAVES, Georgia MICHAEL M. HONDA, California KEVIN YODER, Kansas BETTY McCOLLUM, Minnesota STEVE WOMACK, Arkansas STEVE ISRAEL, New York JEFF FORTENBERRY, Nebraska TIM RYAN, Ohio THOMAS J. ROONEY, Florida C. A. DUTCH RUPPERSBERGER, Maryland CHARLES J. FLEISCHMANN, Tennessee DEBBIE WASSERMAN SCHULTZ, Florida JAIME HERRERA BEUTLER, Washington HENRY CUELLAR, Texas DAVID P. JOYCE, Ohio CHELLIE PINGREE, Maine DAVID G. VALADAO, California MIKE QUIGLEY, Illinois ANDY HARRIS, Maryland DEREK KILMER, Washington MARTHA ROBY, Alabama MARK E. AMODEI, Nevada CHRIS STEWART, Utah E. SCOTT RIGELL, Virginia DAVID W. JOLLY, Florida DAVID YOUNG, Iowa EVAN H. JENKINS, West Virginia STEVEN M. PALAZZO, Mississippi William E. Smith, Clerk and Staff Director (ii) ENERGY AND WATER DEVELOPMENT APPROPRIATIONS FOR 2016 _________ Wednesday, February 11, 2015. UNITED STATES ARMY CORPS OF ENGINEERS WITNESSES JO-ELLEN DARCY, ASSISTANT SECRETARY, ARMY FOR CIVIL WORKS, UNITED STATES ARMY CORPS OF ENGINEERS GENERAL THOMAS P. BOSTICK, COMMANDING GENERAL AND CHIEF OF ENGINEERS, UNITED STATES ARMY CORPS OF ENGINEERS Mr. Simpson. The committee will come to order. Before we start this hearing, I wanted to just take a minute if I could before my opening statement to recognize we have some empty chairs with members not here yet but will come. We have a couple of new members on the Majority side and a couple of new members on the Minority side. As I said, on our side, Congresswoman Herrera Beutler and Congressman Valadao are new to this committee. I suspect they will be here shortly. Marcy can introduce the new members on her side. I did want to take just a second, if I could, to recognize that we have unfortunately one more empty chair than we had planned on, as everyone knows, last week with the passing of Mr. Nunnelee, who was the vice chairman of this committee for the last couple of years. It was a great loss both to his state and really to the country, but particularly to this committee for the work that he did. He was always a gentleman and one of those southern gentlemen. When you think of the term ``southern gentleman,'' he exemplified it. I enjoyed working with him greatly. He made a true difference because he knew how to work with other people, people he sometimes disagreed with. He was always a gentleman. We are going to miss him greatly. It is one of those sad events that life works mysteriously sometimes. We do thank God for the brief time we had him here and our opportunity to work with him and interact with him and for the great job he did while he was here. Mr. Rogers, if you have any comments? Mr. Rogers. Thank you, Mr. Chairman. I was just thinking how qualified Alan Nunnelee was. He had great experience back in Mississippi as the head of their appropriations process and in general. He came to us well equipped, both in his experience but more importantly in his demeanor. There was not a mean bone in his body. He was a perfect southern gentleman in the traditional thought about that type of person. He was a rare individual that was driven to serve others, loyal to his family, loyal to his friends, loyal to his country. A true gentleman through and through. On this subcommittee and the other subcommittees of Appropriations, he was a workhorse, ever willing to dig down and get the hard work done. As a friend, no one could ask for a more loyal and decent man by your side. He is a rare individual that has left a large hole in our hearts, in this subcommittee's, our Appropriations Committee, and the Congress. We will surely miss him. We want to especially express our deepest sympathies to his wife, Tori, and three children, Reed, Emily and Nathan. A true, true loss to all of us. Thank you. Mr. Simpson. Ms. Kaptur. Ms. Kaptur. Thank you, Mr. Chairman. Thank you for allowing us time to express in the official record our deepest condolences on the passing of Alan Nunnelee, our beloved colleague, to his wife, to his children. Congressman Rogers has eloquently talked about them. Personally, whether it is this group of members or other members who served with Congressman Nunnelee, when I would look down the table here, the arc of the table, his face would always be there. I knew we were officially in session. He had a way of sitting in his chair and reaching toward the table that really was unique to him. He was rather tall. I think that may have contributed to that. There was just such an ease about him, and it was a real joy to serve with him. He was a very honorable man, someone who served his constituents well. I am in exactly the opposite end of the country that he came from, but he was such a gentleman. I think he had a very kind nature, very good humor, which contributed to the well functioning of this committee, and his sort of effervescent spirit kind of enlivened us all. I am going to miss that very much. I hope that the angels lift his being very high and bring comfort to those who mourn his loss. We surely do that. He did inspire us to carry on, and I hope we will do that certainly during this session, and do something especially in his memory so that his living legacy will continue forward. I thank you, Mr. Chairman, for allowing us a few moments to commemorate his life. Mr. Simpson. Thank you. Thank you all for being here today. We begin this year's budget hearing with a look at the request for the Civil Works Program of the U.S. Army Corps of Engineers. I would like to welcome our witnesses, Assistant Secretary of the Army for Civil Works, Jo-Ellen Darcy, the Commanding General, and Chief of Engineers, Lieutenant General Thomas Bostick. It is good to see you both again and I look forward to hearing your testimony. We also have Major General John Peabody here, and Mark. Mr. Mazzanti. Mazzanti. Mr. Simpson. Over the past several years, this Administration has at times said all the right things about the economic benefits of navigation and economic and public safety benefits of flood and storm damage reduction investments. Unfortunately, year after year, the budget falls far short of actually making progress in any of these areas. Congress, on the other hand, has recognized the importance of the Civil Works Program by providing the Corps with funding above the budget request, including significant increases for the past two years. For fiscal year 2015, we added $922 million above the budget request, and for fiscal year 2014, we had added $641 million above the budget request. Even though the President's fiscal year 2016 request for all energy and water programs is increased by $1.8 billion over last year's budget, almost every major category in the Corps' budget is cut. Navigation funding is reduced by 16 percent. Flood and storm damage reduction activities are down 20 percent. Harbor maintenance activities are cut by 17 percent. Construction funding for our inland waterway system is reduced by 17 percent, and that is after industries successfully lobbied to raise their own taxes to help pay for these capital improvements. The overall construction account is slashed by 28 percent and funding for studies and other planning activities is decreased by 20 percent. This is not the budget request of an Administration that understands the importance of investing in our Nation's water resources' infrastructure. My concerns are not limited to only the budget request, the Administration has also been pushing several policy changes that could have a chilling effect on economic development across the Nation. Their proposed rule to redefine waters of the United States is a prime example. This joint proposal by the Corps and the EPA would expand Federal jurisdiction under the Clean Water Act far beyond what the Supreme Court has said is legal. Using tenuous at best connections to navigable waters to force an onerous and expensive permitting process on our agricultural, industrial, transportation, and other business sectors, as well as individual property owners, will hurt not help economic progress. I would note that I find it interesting that the budget request includes an additional $5 million specifically to implement this rulemaking. This Administration has claimed that this rule would streamline the permitting process by providing clarity and certainty for applicants. If that is true, the Corps should need less money to process permits, not more. Taken individually and in combination, these budgetary and policy proposals paint a troubling picture for the future of our water resources and our Nation's economy. I look forward to further exploring these issues later in this hearing. Again, I would like to welcome our witnesses to the subcommittee. Secretary Darcy, please ensure that questions for the record and any supporting information requested by the subcommittee are delivered in final form to us no later than four weeks from the time you receive them. Members who have additional questions for the record will have until the close of business Friday to provide them to the subcommittee's office. With that, I will turn to Ms. Kaptur for her opening comments. Ms. Kaptur. Thank you, Mr. Chairman, and I thank the chairman of our full committee, Mr. Rogers, for joining us today, and the former chair of this subcommittee, Mr. Frelinghuysen. Assistant Secretary Darcy, General Bostick, General Peabody, Mr. Mazzanti, we appreciate your appearance before us today. We are here to help you. I, for one, look forward to this hearing on an issue of very keen interest to me, and that is the stewardship of our Nation's very precious freshwater resources. Over the last few years, the western part of our country has endured and been ravaged by drought. It looks as though those trends are continuing. Meanwhile, the freshwater region that I represent, the most important in the entire world, has fallen victim to troubling mismanagement, and the water system of a major city in this country was shut off for three days. I have never experienced anything quite like that before. The Corps of Engineers has an important role to play in building a water secure future for our country. We are all eager to hear about your progress in adapting innovative approaches to make your mission a reality. As we grow our economy, the Corps also provides a great opportunity for job creation. Federal support of water resource projects creates construction jobs and indirect economic benefits that encourage local businesses and individuals to make critical investments in their own communities. Unfortunately, this budget request continues the trend toward disinvestment. Last year, Congress overwhelmingly supported nearly a billion dollar increase for the Corps, as you well know. With the return of sequestered budget caps, I am worried about the negative effects to our infrastructure absent another congressional intervention, and I guess that is why we are all here. Additionally, the passage last year of a new Water Resources Development Act has significant implications for the Corps. I am interested to learn more about plans to implement these provisions, including new funding mechanisms, invasive species control, and language relevant to our Great Lakes. That bill was to also address the Corps' massive backlog, currently estimated at $60 billion by some, and I understand that a full accounting of those projects is being developed, and I hope that you will share some of the emerging details with our committee today. Finally, as a Great Lakes' legislator, I would ask you to address seriously widely held concerns about the invasion of the Asian Carp, Great Lakes' dredging needs, and a broader environmental awareness of the largest freshwater system on the face of the earth. That currently seems to be lacking in some of the presentations that we have seen, especially in light of the water crisis I reference in Toledo last August. There is a need for innovative thinking. We know Great Lakes' ports are critical to the regional and national economies supporting our critical manufacturing base, among others, and we must keep these ports open for business. However, this need not come at the expense of water security, the safety and quality of our drinking water, or the environmental integrity of that precious ecosystem. We know we will be helped during this session of Congress by the addition of two very important members to our subcommittee, and I want to officially welcome them today, both from the State of California, a state that has its own share of current challenges, which I know they will enlighten us on. Congressman Mike Honda, as well as Congresswoman Lucille Roybal-Allard. She has other subcommittees that she has to attend to as the new ranking on Homeland Security, and we very much appreciate her attendance here today, and our very able colleague, Mr. Honda, as well. Welcome. Mr. Simpson. Thank you. It is now my honor to turn to the full committee chairman, the Honorable Harold Rogers. Mr. Rogers. Mr. Chairman, thank you for yielding the time. Secretary Darcy, Generals, Mark, welcome. We appreciate you being here. This is the first hearing of this subcommittee. In fact, it is the first hearing of the entire committee, so you get the blue ribbon. Mr. Simpson. We like hearings. Mr. Rogers. I am hopeful that this subcommittee can continue its track record of working collaboratively under regular order, to draft thoughtful and responsible bills to fund our Federal Government. The Corps certainly has a diverse set of projects to manage, from lakes, to rivers, to dams, each with their own unique challenges. I continue to be impressed with the talented people at the Corps who engineer these projects that stand the test of time and weather and other problems. These projects are critical to the national economy. I have always appreciated the collaborative nature of our partnership with the Corps in planning their work and working their plan. With such significant potential for economic impact, it is important that we get things right in the budget and set the right priorities for these projects. In my district in Kentucky, Southeast Kentucky, the Corps has protected communities from the threat of constant flooding, enabled the next generation with reliable hydropower, created numerous recreational opportunities on rivers, lakes, campgrounds for residents and visitors, in addition to managing one of the most complex and expensive water resources' infrastructure project in the history of Wolf Creek Dam on the Cumberland River. The Corps has supported numerous communities in a smaller scale flood mitigation series of efforts. Recently, you have turned your attention to the town of Martin, Kentucky, again, which was subjected to years and years of almost perineal catastrophic floods, and has suffered tremendous loss of livelihood and property as a result. We look forward to working with you more as you move critical town structures to higher and drier ground. I appreciate your partnership with the towns as they struggle with survival. This is an existing problem with them. Without a doubt, because of your efforts and expertise, these communities are much safer and more secure. When I took office in January of 1981, I asked the Corps to take us on a helicopter the length of the Cumberland River, which is a mountainous part of my district, to look at the places where if you had the money, you could stop the perineal flooding of all those towns, and you did. We joined you in the effort, and you constructed levees and/or cut throughs or other tunnels and the like to prevent flooding of those towns. I can tell you and remind you, not a single one of those cities that you did that work on has flooded since then, some 30 plus years. You have saved lives and you have saved churches and homes and Bibles and keepsakes and whatever by the work that you do. While the Corps is getting a lot right, there are some concerns with regard to the execution of your mission and its adherence to the direction of Congress. One primary issue is the Corps' commitment to its recreation mandate. Lake Cumberland in my district is a perfect example. The Corps has been reticent to embrace opportunities for recreation on that lake, despite clear direction in the most recent bill passed by Congress, and I will be working with you and talking to you about that as we go along. Even greater concern is the manner in which the Corps is choosing to execute its regulatory authority. The regulations promulgated and enforced through the Corps have a tremendous impact on jobs and the economy, and we are feeling this in my district. We have been witnessing the Administration's relentless attack on coal jobs for years. Each new regulation imposed on this industry is making life more difficult and uncertain for the people in my region. So far, we have had 9,000 coal miners laid off in the last few years, a lot of it due to reaching beyond the authority given to the executive agencies. Those who depend on the coal industry for work and for reliable energy are seeing jobs disappear, their energy bills continuing to rise, and with each new instance of bureaucratic overreach in this war on coal, we see businesses close, and more Americans struggling to find work. I talk to families every day. A man in his 30s or 40s, able bodied, has a family with small kids, laid off, trying to find a job at McDonald's or what have you, most of the time, unsuccessfully. So, they have no choice but to leave and take their family with them. There goes more of the economy as more and more businesses close. It is time for bureaucrats to lay aside their personal animus toward the coal industry and allow for a true all of the above energy strategy for the country. In the same vein, I continue to be dismayed at the efforts of the Corps and EPA to write new rules defining ``waters of the United States.'' If that goes into effect, these new rules will place stringent standards on thousands of miles of streams across the country, some of which only flow seasonally after heavy rains. They just are not navigable streams, unless you are writing cartoons for Disney. Every hollow and valley in Kentucky has a stream running through it. Some of them are dry streams. Over regulating each of them will only further distress economic activity in the region. That means road construction, coal mining, any other activity that takes place near these newly defined navigable waters will only take place with the say so of a Federal bureaucrat after a hearing in Washington, D.C. These new regulations will strangle economic development in Appalachia and any other part of the country, and place yet another layer of red tape on job creating projects and businesses across the country. Just the threat of this regulation is causing many people who are thinking of developing a shopping center or a farmer wanting to build a culvert to get to a field or what have you, or a standing body of water that has no connection to any stream anywhere. It is already causing a lot of activity never to take place. That is not the way for the Federal Government to operate. That is not the way we were invented. That is not the way we were designed. It is not the way we are motivated. Yet, we see this absolute profound reach to control everything from Washington, and we are here to tell you it ain't going to work. These issues are vital for the people of my district, for other coal producing regions across the country, and for our national economy. I hope that you will touch on these and other important issues in your remarks so we can better understand how the Corps plans to address these challenges to better our country. Thank you, Mr. Chairman. Mr. Simpson. Thank you. Ms. Darcy. Ms. Darcy. Thank you, Chairman Simpson and distinguished members of the subcommittee. Thank you for the opportunity today to present the President's budget for the Civil Works Program of the Army Corps of Engineers for 2016. This year's Civil Works budget reflects the Administration's priorities through targeted investments in the Nation's water resources infrastructure, including dams and levees, navigation, and the restoration of ecosystems. It supports the Civil Works Program that relies on a foundation of strong relationships between the Corps and our local communities, which allows us to work together to meet their water resources' needs. The budget also helps us in our efforts to promote the resilience of our communities to respond to the impacts of climate change. We are investing in research and planning, in vulnerability assessments and pilot projects, and evaluations of the value and performance of non-structural and natural based features to help us maintain, as well as improve, our efforts on sustainability. For example, we are reducing the Corps' carbon footprint by increasing renewable electricity consumption, by reducing greenhouse gas emissions, and by reducing our non-tactical vehicle petroleum consumption. We are also advancing our sustainability efforts by using innovative financing techniques, such as the energy savings performance contracts. We are making important investments to promote the sustainable management of the lands around our Corps facilities by providing funds to update the plans that govern how we manage our facilities and to help combat invasive species. The budget also focuses on maintaining the water resources infrastructure that the Corps owns and manages and in finding innovative ways to rehabilitate it, hand it over to others, or retire it. Here are some funding highlights. The 2016 Civil Works' budget provides $4.7 billion in gross discretionary appropriations for the Army Civil Works Program, focusing on investments that will help provide economic and environmental returns or address a significant risk to public safety. The budget focuses funding on our three major mission areas, allocating 41 percent to commercial navigation, 27 percent to flood and storm damage reduction projects, and nine percent to aquatic ecosystem restoration. Other effective and sound investments include allocating five percent of the budget to hydropower, two percent to the clean up of the sites contaminated during the early years of the Nation's Nuclear Weapons Program, and four percent to regulatory activities. Overall, the budget funds 57 construction projects, nine of them to completion. It also funds 54 feasibility studies, 13 of those to completion. The budget also includes four new construction starts, two of which the Corps will complete in one year. The budget funds inland waterways' capital investments at $974 million, of which $53 million will be derived from the Inland Waterway Trust Fund. The budget provides $915 million from the Harbor Maintenance Trust Fund to maintain coastal channels and related work, matching the highest amount ever budgeted. Forty-four million is provided for a comprehensive levee safety initiative that will help ensure that all Federal levees are safe and in line with the Federal Emergency Management Administration's standards. This initiative will provide non- Federal entities with access to levee data that will help inform them of the safety issues. The budget supports a Corps program that has a diverse set of tools and approaches to working with local communities, whether this means funding projects with our cost sharing partners or providing technical assistance and planning assistance expertise to help communities make better informed decisions. This year, the President's Civil Works budget provides $31 million for the Corps to provide local communities with technical and planning assistance to help them develop and implement non-structural approaches to improve their resilience to the impacts of climate change. The Corps continues to contribute to the Nation's environmental restoration and the budget provides funding to restore several large ecosystems that have been a focus of interagency collaboration, including the California Bay Delta, Chesapeake Bay, the Everglades, the Great Lakes, and the Gulf Coast. Other funded Corps efforts include the Columbia River, some portions of Puget Sound, and priority work in the Upper Mississippi and Missouri Rivers. Finally, the budget provides $6 million for the Corps' Veterans Curation Program, which was started in 2009 with support from the American Recovery and Reinvestment Act. This program offers veterans the opportunity to learn tangible work skills and gain experience by rehabilitating and preserving federally owned or administered archaeological collections found at Corps of Engineers' projects. I thank you all for your attention, and I look forward to working with the committee as we move this budget forward. Mr. Simpson. Thank you. General Bostick. General Bostick. Good morning, Mr. Chairman and members of the subcommittee. I am honored to testify before your committee today along with the Honorable Jo-Ellen Darcy on the President's fiscal year 2016 Civil Works Program of the United States Army Corps of Engineers. This is my third time to testify before this subcommittee on the Civil Works' budget. Thank you for your support in the past, and I look forward to continuing our work together in the future. I have been in command for nearly three years, and I would like to provide a brief update on our four campaign goals. First, support to national security. The Corps supports the national security of the United States. We continue to work in more than 110 countries using our Civil Works, military missions, water resources, and research and development expertise to support our Nation's combatant commanders. Army Corps employees, both civilian and military, from all across the Nation have volunteered, and continue to volunteer, to provide critical support to our military and the humanitarian missions abroad. Second, transform Civil Works. Civil Works transformation focuses on four key areas. First, modernizing the project planning process. Second, enhancing the budget development process through a systems oriented approach that includes collaboration. Third, developing an infrastructure strategy to evaluate the current inventory of projects to help us identify priorities and develop better solutions to water resources challenges. Fourth, improving methods of delivery, to produce and deliver sound decisions, products and services that will improve the ways in which we manage and use our water resources. Since the inception of Civil Works transformation in 2008, 42 Chief's reports have been completed. During this seven-year period, 13 Chief's reports were completed in the first four years, and 29 Chief's reports were completed in the last three--clear evidence that we are learning and becoming a much more efficient organization in our processes. In our third campaign plan goal, we must continue to be proactive and develop improved strategies to reduce disaster risk, as well as respond to natural disasters when they do occur. I continue to be very impressed at the work of the Army Corps of Engineers in this particular area. One great example of this proficiency is the Hurricane Sandy recovery work. The flood control and coastal emergency program is over 95 percent complete. The Sandy operations and maintenance program is over 70 percent complete and on schedule to be 100 percent by the end of 2016. And I am pleased to highlight that the Army submitted the North Atlantic Coast Comprehensive Study on schedule to Congress and the American public on 28 January 2015. Our fourth campaign goal is to prepare for tomorrow--this is all about our people--to ensure that we have a pipeline of talented military and civilian teammates as well as a strong workforce development program and a talent management program. Equally important is helping our nation's wounded warriors and soldiers as they transition out of active duty to find fulfilling careers. Last year we set a goal of assisting 125 soldiers transitioning out of the military; all of these were wounded warriors. We exceeded that goal by more than 50 percent. Nearly 200 wounded warriors found permanent positions within the Corps or other organizations across America. We are also focused on research and development efforts that will help solve some of the nation's toughest challenges. Chairman, I ask you and other members to refer to my complete written testimony submitted to the Committee for the fiscal year 2016 budget specifics. I thank you for this opportunity and look forward to your questions. Mr. Simpson. Thank you, both of you, for your testimony and thank you for being here today. I want you to know first of all that I think everyone on this Committee and everyone that I am aware of both respects and admires the work that you do for this country. The Army Corps does some vital work to the infrastructure, particularly the water infrastructure, of this country that is important. But as you could tell from the opening comments of Chairman Rogers and myself and Ranking Member Kaptur, we have some questions and sometimes we have some disagreements about various provisions. Let me get into a couple of those. First of all, let me ask about the fiscal year 2015 work plan, the unallocated funds. In fiscal year 2015, the work plan sent up last week did not include allocation of all additional funding provided in the 2015 act. In fact, 42 percent of the additional investigations funding and 23 percent of the additional construction funding was left unallocated. We hear from local sponsors and other stakeholders all the time that these investments are necessary, so why were any funds, but particularly such large amounts, left unallocated and what is the plan and schedule for allocating the remaining funding? Ms. Darcy. Thank you, Congressman Simpson. I think it is $141 million that was unallocated in the 2015 work plan. We are in the process of continuing to find places to allocate those funds. We are trying to do it as quickly as possible. We did submit the work plan with the budget so that folks could compare the two, and the work plan was actually due up here next Monday. We are continuing to look at those unobligated balances and hope that we will be able to get those allocated as soon as possible. We have some outstanding projects that came in late, so we are looking at those and hopefully we can get that done as soon as possible. Mr. Simpson. Does that mean that if, say, this year we were to appropriate money beyond what the President's budget requested that you are so caught up that you would not have any way to spend those funds or it would be difficult to find a place to spend those funds? Ms. Darcy. I would say no, sir, but with the additional unallocated funds that we did not plan for in the President's budget, it is a challenge, but it is a welcome challenge. If there is a work plan next year, then we will have two years under our belt for having provided this. Mr. Simpson. Well, I appreciate that and it has to be fairly obvious to the administration that Congress places a different priority on the work of the Army Corps than what he does in his budget requests when we have added--I guess if you add over the last couple of years, $1.5 billion more than was requested. In fact, last year when they cut $900 million out of the Army Corps from the year before, we added it back plus about $25 million and that still was not enough on the floor. There were amendments adopted that added more into the Corps to address some of these problems. I guess every member of Congress has an Army Corps project in their district that is important to them and important to the country, frankly. So I understand how this works, having laws to work both at the state level and here at the federal level, is that oftentimes it is easy for an administration, Republican or Democrat, when they are preparing a budget, to cut back on those areas that they know Congress is going to fill in; that it is important to members of Congress so that they have more money to actually spend on priorities that they would like to spend money on and then we end up having to backfill it, the allocation. When you look at the budget this year, the President has requested $1.8 billion above last year's and yet the Army Corps is down. Now, chances are our allocation is going to be substantially less than what the President's budget requested. So we have that $1.8 billion, plus we have $750 million we are going to have to fill back in with the Army Corps of Engineers. It is going to be substantially hard to do this and keep backfilling the budget that the President requests. The budget request cuts funding for harbor maintenance activities by $192 million. While you said it was the largest budget request that an administration had made, it is not the largest appropriation that has been made. We have substantially increased appropriations above what the President requested in that arena. But it cuts harbor maintenance activities $192 million for the current year. The request is $385 million below the target set by last year's Water Resources Development Act or WRRDA. Secretary Darcy, does the administration believe that our coastal and inland harbors are important to the American economy and, if so, why is that importance not reflected in the budget request? Do you anticipate the administration making any attempt to meet the Harbor Maintenance Trust Fund targets in WRRDA, the water bill, in the future? Ms. Darcy. Congressman, harbors are very important to this Administration and as I said, the $950 million in the Harbor Maintenance Trust Fund that the President is requesting this year is the highest that the Administration has ever requested. We do believe that we are hopefully on track and looking forward to complying with the provisions in WRRDA. But that said, there are competing requirements for us within the budget process not only within the Corps of Engineers but the President's budget overall. Mr. Simpson. It must be unique to come up here and testify before Congress and have a Committee saying you are not spending enough money. Other agencies that come up here have kind of the opposite reaction from members of Congress, but this is an area that we are obviously going to look at very seriously. Actually at the level that the Army Corps has requested funding and that the administration requests the funding for the Army Corps, I do not think we could pass a bill on the floor at that level because there are too many members that have an interest in the important work that you do. But thank you for being here today. Ms. Kaptur. Ms. Kaptur. Thank you, Mr. Chairman, very much. Secretary Darcy, the January Jobs Report was the eleventh consecutive month of job growth above 200,000 in our country, the first time that that has happened since the mid-1990s. Yet even with this growth, the unemployment rate in the construction field has been hovering around 10 percent, according to the Bureau of Labor Statistics. The Council of Economic Advisers estimates that for every billion dollars of federal funding in transit investment in the highway funds, we create about 13,000 jobs for a year. So I am going to ask you kind of a hard question and that is in terms of the Corps and the construction projects that you do, do you have an estimate of the job impact of Corps of Engineers' funding and how that ripples through our economy in terms of job creation? Ms. Darcy. We have done some modeling on trying to make that calculation, similar to the number that you hear in the transportation industry, one that is relevant to water projects. What our modeling shows is that about 20,000 jobs are created for every billion dollars' worth of expenditure. General Bostick. That is 10,000 full-time direct jobs and 20,000 when you look overall. So it is 20,000. Ms. Kaptur. The jobs connected to the primary jobs, you are saying, 10,000? General Bostick. Direct jobs are about 10,000. Ms. Kaptur. For each billion? General Bostick. For each billion, overall 20,000 when you consider the indirect jobs. Ms. Kaptur. Okay, those are very important numbers. Congress includes jobs as a criterion for the allocation of additional funds that have been provided to the Corps over the last several years. What else could the Corps or the Congress be doing to maximize the job impact of our energy- and water- related investments over which you have jurisdiction? General Bostick. Ma'am, I would say there are a number of things that we do. Some of them are intermittent jobs for construction, for example, and each time we have a major construction program that may come with a lot of jobs. So if it is a long-term effort like Olmsted, then you are going to see full-time jobs for a longer period of time. If you look along the Mississippi, for example, there are a lot of jobs that are dependent--and a lot of businesses that are dependent--on the efficient dredging of the Mississippi so that barge traffic can go up and down the Mississippi, and the businesses that rely on it can use it. And the greater that capacity, I think the more population and more businesses would develop and benefit from it. There are some estimates that say around 800,000 people along the Mississippi River benefit from the work that we do and they depend, and their livelihood depends, on the efficient flow of the river. Ms. Kaptur. Thank you, General. Secretary Darcy, we often hear that the Corps of Engineers' construction backlog is somewhere in the neighborhood of $60 billion. For a program that the administration only requests slightly higher than $1 billion and for which the Congress appropriates somewhere around $2 billion, the $60 billion figure seems daunting, if not somewhat surreal. Our staff's own work shows that if you just count the ongoing projects, there is something like $31 billion remaining on the authorization level. What are you doing as Corps to get a handle on the authorized projects that are still relevant and is there a way of you mapping by district or region, Congressional district or region, the funding levels associated with the projects yet to be completed? Ms. Darcy. Congresswoman Kaptur, there was a provision put in WRRDA 2014 that passed last June that requires the Corps to look at just that, and in doing so requires us to identify $18 billion worth of projects that we would think to be deauthorized. As part of that deauthorization exercise to meet that requirement, we are looking at what exactly is out there and how big is that backlog. We are not sure if $60 billion is the right number. It could be more than that. And in recognizing that, then we need to look at what projects are those that would qualify for or be recommended for deauthorization. Looking back through the entire portfolio probably takes overtime. Ms. Kaptur. Do you have any idea at what point you might be able to produce that report? Ms. Darcy. It is required to be delivered in September of this year. Ms. Kaptur. Okay. Let me ask a question about dredging, following on the Chairman's question. Can you give us an idea of the backlog for authorized Corps projects, specifically for the Great Lakes? Will that be in the September report? Ms. Darcy. For all projects or for just dredging, ma'am? Ms. Kaptur. For all projects, but then dredging as a subset of that. Ms. Darcy. I think we can produce it for the dredging projects. Ms. Kaptur. For the dredging projects, okay. As you know, the open lake disposal issue is a very hot issue, certainly in the Lake Erie area. My question is, can you provide for the record for the Cleveland Harbor the difference in cost between open lake disposal and alternative disposal that would be for beneficial reuse or a confined alternative? Are you able to do that? Ms. Darcy. Yes, we can. Ms. Kaptur. Do you have any idea at this point what that might be? Ms. Darcy. I do not have the number off the top of my head. I do not know if you do, General? General Peabody. It is below $5 million, ma'am. I cannot give you a precise figure. It is probably considerably below that, but we would have to follow up. Ms. Kaptur. All right. I thank you, General, for that clarification. Mr. Chairman, I am just going to ask for consent to put in the record a report that talks about the Harbor Maintenance Trust Fund and the fact that there is a rolling balance in that fund of--and it is going up--$8.3 billion in 2014, $8.9 billion in 2015. It is estimated in 2016 to be $9.9 billion, and you look at commerce in a region such as I represent and we are questioning why we cannot get this done. So I will be very, very interested in your recommendations for alternatives to deal with that dredge material, specifically in the harbors on Lake Erie, and I will have more questions in the follow-on period. Thank you, Mr. Chairman. Thank you, witnesses. Mr. Simpson. Mr. Rogers. Mr. Rogers. This year's budget request reduces construction funding by almost a $.5 billion from the fiscal year 2015 enacted level. That is 28 percent of the entire account. How many projects could use funding in fiscal year 2016, but are not included in that budget request? Ms. Darcy. How many could use funding, sir? Mr. Simpson. Could you pull the microphone a little bit closer? Yes, perfect. Mr. Rogers. How many projects could use funding in fiscal year 2016, but are not included in the budget request? Ms. Darcy. I do not have that number, but maybe we can get it for you. Mr. Mazzanti. Mr. Chairman, there are 41 projects that were included in the work plan that are not in the 2016 budget. Mr. Rogers. And how many are included? Mr. Mazzanti. As far as construction projects? Mr. Rogers. Yes. Mr. Mazzanti. There are 57 total projects included in the 2016 budget. The challenge for us is there are a number of factors that affect the requirements of projects as far as which projects could use funding, including sponsor financing, necessary acquisition of rights of way, the availability of funding for priority. And so to come up with a specific number is very challenging for us to relay. Mr. Rogers. How many of these projects will be shut down or have progress slowed unnecessarily due to lack of continued funding? Mr. Mazzanti. Again, Mr. Chairman, it is very challenging for us to try and look at the reason for any slowdown or shutdown due to the level of construction funding. But for this particular budget, we are not aware of any projects that will be shut down. Mr. Rogers. Will any of these projects incur contractor demobilization costs or other costs associated with being halted? Mr. Mazzanti. I will have to follow up with you, sir. I am not aware of any. Mr. Rogers. We were told previously that deferred maintenance on existing federal projects had increased from $884 million in 2003 to nearly $3.0 billion in fiscal year 2012. That increase occurred even as the operation and maintenance budget was increasing each year and after taking into account the $4.6 billion provided in the Recovery Act in 2009. What is the updated estimate of deferred maintenance? General Bostick. It is still about $3 billion, but I would say we still have a lot of work to do to gain fidelity on those numbers. Our infrastructure strategy seeks to really get a handle on all of the projects that are out there, their current status, including the deferred maintenance. I think the point you raise, Mr. Chairman, leads to a bigger point of the aging infrastructure in this country. Despite continued funding to try to support that aging infrastructure, much of it is beyond its economic design life of 50 years. I am sure you saw the American Society of Civil Engineers rating of the infrastructure at a D+. So we are in a constant battle to maintain and operate the infrastructure that we have. General Peabody. Mr. Chairman, related to the Chief's point about our infrastructure strategy, one of the reasons why using that current number may not adequately convey the reality is because we believe that we can be more efficient in the use of the funds that you appropriate to us. We have a detailed study ongoing right now in six of our districts in the Upper Mississippi and the Ohio Valley to look at our flood risk management and navigation programs and get an initial assessment of some changes we might make in the way we operate and how we organize so that we can optimize the efficient execution of those funds. So while I would say that the current estimate of $3 billion is our best estimate to date, I am not confident that we could not better use the money. We have a lot more analysis to do to give ourselves and this committee a better understanding of the deferred maintenance impact. Mr. Rogers. What would be the impact on the maintenance backlog if we do the 2016 budget request that you have asked for? How would that impact the backlog? General Bostick. It is difficult to say at this point. We are going to have a better handle on the assets that we have, and the backlog amount later this year when we finish this comprehensive report. But at this point, trying to correlate the budget to increase deferred maintenance is difficult. The other part of what you have helped us with is the ability to divest of $18 billion worth of projects. Part of our strategy is also to look at what we have, and what is it that continues to serve the authorized purpose. What is it that has a purpose that no longer meets the authorized purpose, and we have to divest of, and what has to be repurposed in a way that we continue--or the states continue--to maintain it. That would help with the deferred maintenance as well. Mr. Rogers. Last year the Corps and EPA proposed that joint rule defining waters of the U.S. that I talked about earlier, which governs federal jurisdiction under the Clean Water Act. Where are we on that proposal? Ms. Darcy. We are currently reviewing all of the public comments. We had a public comment period that ended in November. We received almost a million comments on the proposed rule, and we are going through those comments to determine the impact on how we will do a final rule. We are hoping to propose a final rule as soon as we can. We are looking at trying to have it done by the summer. Mr. Rogers. By when? Ms. Darcy. By the summer. Mr. Rogers. 800,000 to a million responses? Ms. Darcy. Yes, sir. Mr. Rogers. And what was the general consensus of the response? Ms. Darcy. Of the comments about 37 percent were in favor of the rule, about 58 percent were not, and there are another 8 percent that were neutral. I think we could characterize it that way. Mr. Rogers. Well, majority rules in this country, right? Thank you Mr. Chairman. Mr. Simpson. Thank you. Mr. Honda. Mr. Honda. Well, thank you very much and appreciate being one of the newer members of this committee, and look forward to a lot of good work here. Madame Secretary, I would like to start with the Lower Berryessa Creek project in my district. The Santa Clara Valley water district is undertaking the design and construction of the Lower Berryessa Creek project using dedicated, local funding. And this project is located immediately downstream from the Upper Berryessa Creek project which is currently under design by the Corps, and for which the President's budget request recommends $12.7 million. Both projects need to be completed to provide the 100 year flood protection to the new Milpitas Bay Area rapid transit station which is currently planned to be operational by the end of 2017. Building the BART extension to Silicon Valley has been one of my biggest priorities since I got to Congress. Both Berryessa Creek projects are on track except for the fact that the water district has not yet received a Section 404 permit from the Corps. They have completed construction documents for phase 1 of the Lower Berryessa Creek project, and obtained all the other regulatory permits. They are planning to advertise for construction in March pending a receipt of the 404 permit. They submitted permit applications in early 2012, and were told that they would be forthcoming in October of 2014. I know there are staffing changes, but from the Water District's perspective several months have gone by with no progress on what is listed as their number one priority. Not receiving the 404 permit in time to advertise for construction this spring will have significant impacts on the project. Cost increases that the local agency cannot afford, and missing the 2015 construction season, which would delay the completion of this work by a year. Now, this has an impact on the construction of the BART station. If the project is delayed the Valley Transportation Authority will have to include mitigation measures they otherwise would not need, and waste hundreds of thousands of dollars of scarce tax payer funds. Since these measures will not be needed once the Lower Berryessa project is finally built, so can you tell me about the expected timing for the issuance of the permit for this project? Ms. Darcy. Congressman, I believe we are anticipating a decision by April of this year. Mr. Honda. Okay. So I think the timing then going beyond April would be pretty devastating to our timeline, so are there any communications that will be forthcoming that will give some relief for our folks in my district that the check is in the mail? Ms. Darcy. This is a permit application, I believe, so I think we are on track to make the decision by April of this year for the permit you are referring to---- Mr. Honda. Okay. Ms. Darcy [continuing]. For Lower Berryessa. Mr. Honda. So when you are saying that are you saying that it is a positive decision? That it will be forthcoming? Ms. Darcy. I would have to defer to the district. I do not know the details. General Bostick. We can ensure that the district communicates with the local leaders and gives the latest update, but the update that we are currently tracking is April of 2015. Mr. Honda. Okay. I thought that this might be just a procedural kind of thing waiting for the permit. I am sensing that there may be a situation where it may not be granted? Is that what I am feeling? If they met all specifications? General Bostick. At this point we really cannot say whether it is going to be approved or disapproved, so we are not trying to give an indication that it would not be approved. Mr. Honda. Okay. General Bostick. Just that---- Mr. Honda. So---- General Bostick [continuing]. It is in the process of making the decision. Mr. Honda. So we will keep in close contact, look at April? General Bostick. Yes. Mr. Honda. Mr. Chairman, I have a couple questions on the South Bay Salt Pond restoration, if I may? I would like to ask about the timing of the South Bay Salt Pond restoration project. The Corps estimated that it needed $1 million to stay on schedule in the fiscal year 2015. But local sponsors have contributed to contributing half of that, $500,000 to make up the lower partner contribution, but the Corps estimates that with the current local funding only they will run out of funding this spring. Hopefully, making the agency decision milestone on April 21, another April deadline here. This delay was mostly caused by an eight month delay to address the Corps Head Quarter's concern on sea level rise, and all integration of smart planning milestones. Response to those concerns, delayed project, and spending most of the remaining fund Corps had received. Without additional funding it seems like the Corps will not make the chief's report deadline of December 15. How are you going to keep up the schedule for this project from slipping even further? Do you have any idea? Ms. Darcy. Congressman, we are looking at the possibility of using some unallocated FY15 work plan money to meet the need for this project, and to meet the deadline that we have committed to. Mr. Honda. That's reassuring, thank you. It is a little bit better than the last one. One other question pertaining to South Bay Salt Pond restoration. It is brought to my attention that there is some disagreement between local interests and the Corp about the proposed alignment in the draft environment impact statement, revealed the South Bay Shoreline study. The alignment of the levee in question could limit options that would otherwise be available to the City of San Jose as it works in its master plan for its regional water treatment facility. It is my understanding that there are options for levy alignment that could provide substantial fluvial flood control and habitat expansion benefits, but the Corp's plan could cut those options off, which the City of San Jose officials are concerned about. Are you working with the City of San Jose's officials on the development of the preferred alternative right now? General Bostick. Yes. We are working very closely with the local officials. In fact, John Peabody is going to be out there next week looking at a number of these types of issues, but this project in particular. Mr. Honda. Okay. Great. Then hopefully at that time can be discussing modifications that would not obstruct San Jose's options, so I will look forward to that meeting. Thank you, Mr. Chairman. Mr. Simpson. Thank you. Mr. Honda. I will wait for the next round. Mr. Simpson. Mr. Frelinghuysen. Mr. Frelinghuysen. Thank you, Mr. Chairman. I was thinking to myself and whispering to Mr. Calvert this is the quietest most subdued hearing we have ever had. So I either give you my compliments or wonder why it is so quiet, and perhaps I will liven it up a little bit. Madame Secretary, it is good to have you here. General Bostick and Peabody, Mr. Mazzanti thank you for being here. Let me, first of all, thank you, Madame Secretary, for your service. With those in uniforms for their service, and as was noted, General Bostick, in your comments, the work of the Army Corp is not just here at home. It is abroad, and you do some remarkable things. May I evoke a little bit of history. The things you do in the aftermath of September 11th, 2001 in the New York/New Jersey region to help us recover we do not forget those sacrifices. Let me acknowledge, too, the things you do to hire veterans. Everybody ought to be stepping up the plate. Our defense industrial base, but particularly, obviously, the Army Corp, and all of our departments. Let me also throw out a kudos to Mr. Simpson. It was an Idaho moment in the New York/New Jersey harbor when he came up to endorse the work that has been going on there for over 20 years. I mean, talking about national security we need to keep our harbors open for business, and certainly our part of the country like the West Coast, the Mississippi and Ohio are important rivers, and you do some remarkable things. I would like to focus a little bit, and it was not without controversy that passed it, on the utilizations of the $5 billion we gave you toward the Sandy recovery. I know you took some bows, and rightfully so, about the way the money is spent, but there are some things that still need your attention. Can you put a little more detail on the table for us? General Bostick. First, thanks for those kind remarks. Really, the credit goes to our people, both our soldiers and our civilians, and the sacrifices that their families make to ensure that we are providing the best support. Not only here in the United States, but abroad to meet the requirements of our national security. I think we have done a tremendous job in a number of these areas. I talked about the flood control and coastal emergencies, and how we are about 95 percent complete there. With the operations and maintenance funding, the South Atlantic Division had to do some work in their area, but they are completely finished. In the North Atlantic division, and in our Lakes and Rivers Division, they are about 70 percent complete. In December of 2016 they will be 100 percent complete. I talked about the study that we were able to release, the North Atlantic Coastal Comprehensive study. Mr. Frelinghuysen. I would like you to talk about that in a minute. I think you have completed 66 of 152 projects that are directly related to Sandy, and I was just wondering what the road forward, like, is? I am aware of the comprehensive study which, obviously, a lot of what we do here is balancing risk. I think that is the focus, primarily, of that study. We don't, obviously, want to if we can do it. We want to minimize the potential for future disasters. But I was just wondering if you could tell me how we are going to progress on some of these other projects that were on the project list? General Bostick. Right. The authorized but unconstructed projects, I think, those are some that you are talking about. We have expedited the reevaluations on---- Mr. Frelinghuysen. Maybe you could just move the mic a little closer to your mouth. General Bostick. We have expedited the reevaluations on 19 of those project areas, and we are currently underway with that work. We have completed 11 of those expedited evaluations. We have obligated about $400 million under those construction contracts already. On ongoing studies, the first completed Chief's Report was the Hereford Inlet to Cape May Inlet, New Jersey and that was signed on the 23rd of January. Studies are underway for the remaining 16 areas. Mr. Frelinghuysen. Well, I am glad you are making progress. Let me take my hat off to General Savre. He has been keeping me posted in most positive ways, so thank you, Mr. Chairman. Mr. Simpson. Thank you. Miss Roybal-Allard. Ms. Roybal-Allard. Okay. Thank you, Mr. Chairman, and it is a pleasure to be back on the committed. As you know, water is a very important issue to California. First of all, although it is an ongoing process I do want to say thank you for the efforts you are making to work on the Los Angeles River. It is a very exciting project, as you know. Lieutenant General Bostick, it is my understanding that the Corps of Engineers recently forwarded to Congress the annual report to Congress required by Section 7001. One of the things that disturbed me was to learn that despite the draught we are facing in the western states, water supply projects that otherwise met the criteria of Section 7001 were not certified as meeting the criteria. Because according to the Corp, they are not related to the missions and authorities of the Corp Why is the Section 219 program, which was authorized by Congress in the 1992 Water bill not considered to be an authority of the Corp of Engineers? Ms. Darcy. Congresswoman, regarding the report that you are referring to, which was required by WRRDA 2014, we just sent a copy up to the Hill on February 1st. When we did the solicitation that was required by the legislation, to publish in the Federal Register to solicit the input from stakeholders, we did just focus on the three major Corps mission areas: navigation, flood risk reduction, and aquatic ecosystem restoration. So the water supply related projects that came in from others were not considered--however, I think that we have learned from this first round that there is a great deal of interest in those other kinds of projects. I think that in the future we probably need to look more broadly because we just focused on those three mission areas. Ms. Roybal-Allard. Okay. Ms. Darcy. And as you say there are other mission areas within the Corps like recreation, water supply, hydro power. We focused on the three main mission areas. Ms. Roybal-Allard. Well, the recreation aside, I mean, California is in a crisis situation, and I am not sure that, you know, we have the luxury of waiting around for, you know, a year or two to address that. So I really would like to discuss with you some possibilities here. Like I said, we don't have the luxury of time when it comes to the crisis that we are facing right now in California with water shortage. Ms. Darcy. We will work with you on that. Ms. Roybal-Allard. Okay. The FY-16 budget summary mentions increasing investment in on the ground programs that help local communities better prepare for risks associated with climate change. One could argue that the very real risk of running out of safe water supply for our communities, is the issue we should be addressing. So how does the Army Corp plan to address the nation's dwindling water supply? Ms. Darcy. We have ongoing programs where we work with local communities to provide technical assistance through many of our programs, including technical assistance to states. We also are providing tools such as the tool that was developed as a result of the super storm Sandy to help people with the predictions of what the impacts of climate change will be on things like sea level rise and sea level change. Those tools are available, and we are developing others. We are doing vulnerability assessments in our coastal communities about what the future impacts of climate change will look like in 50 years or 100 years from now. Ms. Roybal-Allard. It is probably Spedus that we need to talk about as well. General Bostick. Ma'am, I was just going to say that the water control manuals dictate what the authorized purposes are for our reservoirs. Last year, as you know, we worked very closely with California to have some diversions that would allow for us to retain more water in Whittier Narrows, in Prado Dam, in order for water supply purposes. But we worked closely within those authorized purposes, and try to work with the local community to try to do the best we can to meet the multiple purposes that each demands. Ms. Roybal-Allard. In the recently enacted water Section 1014, it establishes an authorization program for locally sponsored water infrastructure projects. Will the environment infrastructure projects such as water recycling and water storage projects be eligible to apply through Section 104, and if not why not? Ms. Darcy. I believe they are. I believe those kinds of projects are eligible to complete in that section, but I defer to the Corps. Ms. Roybal-Allard. Could you let me know for sure? Ms. Darcy. Yes, ma'am. Ms. Roybal-Allard. Okay, thank you. I yield back. Mr. Simpson. Thank you. Mr. Fleischmann. Mr. Fleischmann. Thank you, Mr. Chairman. I just wanted to thank you, sir. Again it is a privilege to serve on this Subcommittee. This is the second term, my third year, and I appreciate the full committee and the privilege to serve on this. Thank you very much. Secretary Darcy, General Bostick and General Peabody, Mr. Mazzanti, it is good to see you all today. This is the third opportunity I have had to discuss issues with you all. I represent the people of the Third District of Tennessee; I was elected in 2010. And I want to let you know that I listen. We ask questions, but I listen and we try to act on what we hear and I have been listening to you all the last two years and it is in that regard and in that spirit that I have got some questions and some comments. Madam Secretary, in 2014 the House and the Senate passed two key bills that made significant reforms to the way that we finance lock construction in this country. By overwhelming bipartisan margins we passed legislation that both reformed the Inland Waterway Trust Fund--as a matter of fact I was privileged to preside over that vote in the House--and also we got an increase in revenue. The industry supported user fee from $0.20 to $0.29. So we listened when we heard that the Trust Fund was broken and needed to be fixed. We listened when you all said that you needed additional revenue. And republicans, democrats, the House, the Senate, and the administration all I thought agreed that we were on the right course. Having said that based on my conversations that my staff has had with the Army Corps it is my understanding that in fiscal 2016 the Army Corps projects that the Inland Water Way Trust Fund will have revenues of about $107 million. Is that figure accurate? Ms. Darcy. Yes, sir. Mr. Fleischmann. Okay. So we have got the 107. Can you please tell me, Madam Secretary, how you took the $0.09 per gallon diesel fuel increase into account when making this determination and how much revenue does this fee increase add? Ms. Darcy. I think it is projected that the increase in the diesel tax will generate between $30-35 million a year. Mr. Fleischmann. Okay. Of that $107 million the fiscal '16 budget request allocates $53 million from the Inland Waterway Trust Fund between the Olmsted Lock, which is first in line, and Lower Monongahela Lock which is second in line. What does the Corps plan, and this is probably my most important question I am going to ask you today, what does the Corps plan to do with the additional Inland Waterway Trust Fund revenues that they have not allocated for fiscal '16? Because that is $53 million that is unaccounted for. Ms. Darcy. We are looking at other possibilities. One thing that I know that you are interested in is Chickamauga Lock. Mr. Fleischmann. Yes, ma'am. Ms. Darcy. We are currently looking at evaluating the priorities within that list of who is next, because right now Olmsted is the first priority, Monongahela--two, three, and four, is the second priority--Kentucky Lock is third, and Chick Lock is fourth. The Corps is currently looking at those evaluations so that we can make a determination of whether we need to re-look at that priority. We hope to have that completed this summer. Mr. Fleischmann. Okay. So it would be fair to say that you do intend then to take that $53 million and invest that in our waterway infrastructure? Ms. Darcy. We will be looking at those balances as to whether we are going to be able to invest the entire amount within our entire budget which is $4.7 billion. Mr. Fleischmann. In reality we may actually end up having in excess of $53 million because that is a rather conservative estimate at the 53. Ms. Darcy. I think so. Mr. Fleischmann. Okay. Thank you. I wanted to ask you a further question, Madam Secretary. This year's budget request for the Army Corps is virtually flat compared to last year. It is considerably lower than last year's appropriation from Congress. Within the Inland Waterways construction the budget is 17 percent below last year's Congressionally enacted level. When everyone from the President to both parties in Congress agree on the importance of inland waterways, can you please explain to us why funding has been cut? Ms. Darcy. The level that we are funding our inland waterways within the President's budget, within our Corps of Engineer's budget is what we believe is affordable at this time given all the pre-existing priorities across the government. Mr. Fleischmann. Okay. Then let me ask you a point blank question, is waterway infrastructure a priority for this administration? Because it is a priority for us, for me in particular. Is it a priority for this administration? Ms. Darcy. Yes, it is. Mr. Fleischmann. Okay. Thank you. General Bostick, sir, what additional work on the Inland system could be done if funding stayed at the fiscal '15 levels Congressionally enacted? And as a follow up to that, sir, what kind of economic benefits would be derived from that extra investment? General Bostick. I just want to make sure I have the question clear. What kind of work could we do with additional funding on the Inland Waterways? Mr. Fleischmann. If we spent at the fiscal '15 level that Congress enacted. General Bostick. I am not clear. Mr. Fleischmann. Spent all the money you had to spend in '15. General Bostick. If we spent all the money that we had in '15 what kind of work could we accomplish? Mr. Fleischmann. What additional work? General Bostick. You know, there is a variety of types of work that we could do on the Inland Waterways, everything from the dredging work that we accomplish to the work that we do on our locks and dams. There are a number of things that are in our day-to-day operations and maintenance work that could happen as well as construction. Mr. Fleischmann. Okay, sir. General, could you please give me an update on the status of Olmsted along with an anticipated completion date? General Bostick. I would say that Olmsted is going very well and I recall the date is around 2019 when we are going to be complete with the major work. Mr. Fleischmann. And one final question, sir. Can you please give me an update on the current condition of existing Chickamauga Lock and what maintenance needs to be performed in fiscal 2016? General Bostick. Right. We do a study from time to time on the Chick Lock; the last structural study was a finite element study that said there is no immediate danger of structural failure. What we are continuing to do with our meters is to monitor significant movement. We have seismic monitors that are on there as well, so we are going to continue to monitor to ensure that if there is a potential structural failure that we take whatever necessary actions we can. But right now we do not see that as an issue. Mr. Fleischmann. Okay. And do you know of any specific projected maintenance for the Lock, through watering or anything that is set for the existing Chickamauga Lock? Do you have---- General Peabody. No, sir; I believe it is just the routine monitoring and the routine maintenance this year. Mr. Fleischmann. Yeah. General Bostick. We believe it is the routine monitoring and maintenance that we are doing. General Peabody. Sir, what I would say is we have undertaken a very deliberate and thorough approach to proactive maintenance on our locks and dams, especially in the upper Mississippi and Ohio region which includes the Cumberland River and the Tennessee River. That means we have a very deliberate periodic maintenance program that includes analysis that is being applied at Chick Lock. General Bostick mentioned the finite element analysis which is done for structures that we know have technical issues like Chickamauga Lock does. I believe we are going to do an update on that this year. But for this year I don't believe that the District has a specific non routine maintenance plan, but we will get back to you with a specific answer. Mr. Fleischmann. Thank you, General. General Bostick. Since 1998 we have spent about $29 million in maintenance efforts related to this growth, and this year we have $1.63 million that is included in the budget for dewatering, inspections, and minor repairs for FY '16. Mr. Fleischmann. Yes, sir. All of which would enhance the need with the antiquated lock to get construction started on a new Chick, which is about a third complete. With that I thank you and, Mr. Chairman, I yield back. Mr. Simpson. Mr. Visclosky. Mr. Visclosky. Thank you, Mr. Chairman. For the panel I would like to thank all of you for your service. I would like to associate myself strongly with the Chairman and ranking member, and other members who have commented about the budget. I have now been on this Subcommittee for the better part of two decades. I appreciate that you fought for appropriate funding and did not get it. And just appalled at the failure of administrations of both parties not to invest in this country's infrastructure, to protect people's lives, and to build our economy. Other than that I do not have a strong opinion about the matter. There are a number of questions. For the record, I am not going to ask them about the issue of invasive species in the Great Lakes and carp; it is not out of lack of strong interest and support for that program. But the question I would ask relates to small, remote, and subsistence navigation harbors and facilities. There has been a lot of discussion about backlog during the hearing today. I do not know if the Corps has a backlog figure for those particular types of structures. If they do I would appreciate knowing, or if there is an answer for the record I would appreciate that. And I don't know. If you do have a figure that would be terrific. Ms. Darcy. Low use subsistence harbors? Mr. Visclosky. Yes, ma'am. Ms. Darcy. We will give you a specific number for that particular category of harbors. Mr. Visclosky. If you could. And echoing the full Committee Chairman's question earlier on deferred maintenance with the monies that are in the budget request for '16, would the backlog whatever it may be stay the same, decline, or increase during fiscal year '16? If you could answer that for the record as well. Ms. Darcy. Will do. Mr. Visclosky. Good. Thank you. And thank you, Mr. Chairman. Mr. Simpson. Thank you. Ms. Herrera Beutler. Ms. Herrera Beutler. Thanks, Mr. Chairman. It is a pleasure to be on the Subcommittee. I feel like I am following you around Subcommittees. I specifically asked to be on this Subcommittee in large part because of the important role you all play in the Pacific Northwest. My district is about from Mount St. Helens down to the Columbia River, out through the mouth, and then as you can ascertain I am on the Wet side of Washington State. So you all play an incredibly important role in the protection, growth, development, and sustainability of my district. And in that vein I have a couple of questions. The first is the water bill that we passed last year directs 10 percent of the total funding for harbor maintenance activities to be used at emerging harbors. I have 15 public ports. I have a lot of small ports. That term is defined similarly to what this Committee calls small, remote, or subsistence navigation. Since the total Harbor Maintenance Trust Fund request is $915 million, basic math, which is about where I roll, 10 percent would be about 91.5. Does this budget include that $91.5 million for emerging harbors and small ports? Ms. Darcy. Yes, it does. Ms. Herrera Beutler. Wonderful. The other, kind of switching gears, in Washington State, so the Cowlitz River which picks up a lot of the silt from Mount St. Helens, very often is it in danger of flooding many communities in my district up and down that river. And one of the things I wanted to ask about is both the work plan and the FY '16 request zero out existing efforts to monitor and assess flood risk in that region. Can you speak to that for a moment, because I assume if we have heavy flooding it is going to be more expensive for you all to go in there. I just wanted some background or some thoughts on why. General Bostick. On why it would be more expensive? Ms. Herrera Beutler. No, on why it was zeroed out. General Bostick. Representative, I would say that this project is considered with all other projects and we do a performance based budgeting by policy. While this is very important, it competes with a lot of other projects that we have to work on. What we are hoping to do is a Limited Reevaluation Report on this which would be a follow up to the Chief's Report which done in the '80s, and that report would require about $140,000 in order to complete it. Ms. Herrera Beutler. I am so sorry to interrupt. I just want to make sure I am following. So the evaluation that helped you make the decision to zero was the one done in the '80s? No? General Bostick. No. Ms. Herrera Beutler. I am not following that. General Bostick. No. Normally in order to have a project you have to have a Chief's report. Ms. Herrera Beutler. Yes. General Bostick. So we did that back in the '80s. We then had to reevaluate based on trying to do new work there and it was not included in the budget. But it could still compete later in the work plan with the additional money that has not been allocated. We are going to do that work by the end of February, reassess other projects and this may or may not be one that we can fund. Ms. Darcy. I was going to concur with the Chief that yes, we are looking at that unexpended balances in the work plan and this is one of the projects that is being considered. Ms. Herrera Beutler. Great. We very much appreciate that second consideration. I know our Governor is working with the local stakeholders and the State is doing its part, but obviously the Corps plays a pretty big role here. So I appreciate that and would like to be kept up to date as you move forward. The last little section I wanted to cover was we seem to have a permitting problem in Washington State. Being where I am located we have the privilege of working both with the Washington and the Portland Corps, and the difference between the two--and I am not talking about the people, I am just talking about the actual product in terms of days waiting for a yes or a no, is night and day. And it is not that there are more sensitive environmental or tribal issues more so to Portland or Southwest Washington, it is the same region, but we are talking of hundreds of days' difference in terms of NPDES or nationwide permits. So we feel like we have a pretty good thing to compare in terms of reasonable similarity. And we have been very grateful for the Section 214 flexibility, we are working on maybe expanding on that, but is there a way that you can help us figure out why there is such a difference? I have my own ideas, but I would really like your help in bringing into line the amount of time it takes to get those permits, with reasonableness in regards to other regional offices. It should not be this different. General Bostick. You know we hear this from time to time in a number of different areas, but we are happy to take a look at it. Usually there is some reason that is not clear to everybody, but we are happy to look at it. Ms. Herrera Beutler. Well, I mean I see it across, whether it is municipalities, whether it is developers, whether it is people just trying to rebuild after a flood. It is amazing the difference. And I know that the Corps has put in Vancouver, just across the river from Portland but down from Seattle, an office to help. We thought maybe it is just paperwork, maybe it is just getting stuff where it needs to go. But what we have found is the Vancouver office has not had the same ability to make decisions and so things get sent there bundled and then sent up to Seattle and they are actually put behind--it is further down the wait list. And I know in Eugene you put a section chief there so that people did not have to come all the way up to Portland. Maybe giving a little bit more authority to Vancouver, perhaps making a section chief would help. So I would ask that you look at that as we move forward. General Bostick. We will take a look at it and provide you some feedback. Ms. Herrera Beutler. That would be great. And with that I yield back. Thanks, Mr. Chairman. Mr. Simpson. Thank you. Mr. Calvert. Mr. Calvert. Thank you, Mr. Chairman. I would like to add on. Ms. Roybal-Allard mentioned the significant drop we are having in the West, not just in California, but I would add that the City of Los Angeles and much of Southern California probably will be going into mandatory rationing this summer unless a miracle occurs here in the next few weeks and resolves that issue. But I do not have high expectations. And so it is correct that we have been studying these, you and your brothers and sisters in reclamation, storage projects from expanding Shasta to the San Luis Reservoir, to the Upper San Joaquin, the offsite reservoir sites, and the rest. And we need to get moving on these things, the sooner the better. Obviously this summer is going to be a very difficult one and my friend Mr. Valadao is feeling the brunt of this already and we are going to be feeling the brunt of it also in Southern California. But with that, we had mentioned this work plan, money, that $79-80 million that has yet to be allocated. And I think I have discussed with several of you about the project in Murrieta, California. We have been working on a very aggressive schedule to bring flood control to the community. It was made possible through both the combination of federal funds secured in the project and we accelerated the non-federal cost share from the County of Riverside, from the county flood control. This project obviously is critical. The community is vulnerable to flooding, to long delays in implementing the La Mirida Creek Project, and I think the Corps, Riverside, and I made commitments to the community to move this project forward. In addition to adding your flood protection community, the project will create over 160 acres of wildlife habitat, wetland reparation, and seven miles of earth channelization and development of continuous habitat and so forth. But the question is I understand we are waiting for the completion of a limited reevaluation report. This report will likely result in a project that is economically justified under the Corps policy so it can be complete for additional funds in the future. What is your timeline for this report? General Bostick. We are looking at the third quarter of 2015. Mr. Calvert. Third quarter of 2015? General Bostick. Yes, sir. Mr. Calvert. Okay. Because we need to get this done in this area. We have had a 10-year lull between when this project first started, as you know, in phase one; now in development of phase two. So we would like to get this completed. As a comment, Ms. Roybal-Allard brought up the L.A. River, and I am just going to make a comment about it. As you know, no funds were included in Fiscal Year 2016 Budget Request. No funds were included in Fiscal Year 2016 Work Plan. Funds allocated in a study in Fiscal Year 2014 are expected to be sufficient to complete the study phase as I understand it, and a chief report is expected sometime later this year. The project would then need to be authorized before construction funding could be considered. There is a phase of work between the Chief's Report and construction, as you know, called the PED, or the preconstruction engineering design. So if the Corps has funds above the budget request in Fiscal Year 2016, is it possible PED funding would be provided if the construction has not been authorized by then? Is that possible? Ms. Darcy. Sir, we are looking at funding PED for projects that have a completed Chief's Report. So if there is some---- Mr. Calvert. Even if it is not authorized? Ms. Darcy. We usually do not allocate PED funding on projects that are not authorized. Mr. Calvert. Usually? Ms. Darcy. Yes. Mr. Calvert. What does that mean? Ms. Darcy. It means most of the time. Mr. Calvert. Does that mean that you are going to make an exception here? Ms. Darcy. What we are trying to do with PED funding is not allocate PED money to projects that are not going to be authorized. We are trying to find a place in the process that makes the most sense to be the cutoff point for when we would proceed to PED. That is usually an authorized project. However, there can be considerations made if the Chief's Report is on its way. There can be considerations made. Mr. Calvert. How often does that happen? Ms. Darcy. Not very often. Mr. Calvert. Let us say in the last 10 years, how often has that happened? Ms. Darcy. I do not know but I could find out for you. Mr. Calvert. Not often, has it? Ms. Darcy. Pardon me? Mr. Calvert. If any? Ms. Darcy. Not very. Mr. Calvert. Yeah. Ms. Darcy. I will look though for you so that I can better answer the question. Mr. Calvert. I just think a number of us have had projects that we have been working on for a number of years, so I just bring that up. And so, and I have a couple of other questions regarding that that I will enter into the record. For the interest of time, I will yield back the balance of my time. Mr. Simpson. Thank you, Mr. Calvert. I would note before I call on the last member that for your sake, if you have not noted it already, that three of the four new members are from California. And the only four members of the Committee that are not either the ranking member or myself that are still here at this hearing are from California. California plays an important part both in this country and on this Committee. I just say that for your benefit if nobody had noticed yet. Now I call on the other new member to the Committee from California, Mr. Valadao. Mr. Valadao. Thank you, Chairman. I would like to back up some of the comments or reinforce some of the comments made by my colleagues from California. Water is obviously something that is very important to all of us. Ms. Roybal-Allard and Mr. Calvert--I am used to calling him Ken and I have got to break that habit in front of people. But those are what we are facing right now in the Central Valley especially. We have started to kind of feel the brunt of it faster and quicker than anywhere else because my area does not have as many votes as some of the larger cities. And so we, for some reason, get beat up the worst. But I would like to also talk a little bit about the Clean Water Act, which Mr. Rogers, the chairman, brought up earlier. The Fiscal Year 2015 Act included a prohibition on regulating certain agriculture activities under the Clean Water Act. Can you please explain any actions taken to date to ensure compliance with this provision? Has any guidance or direction been provided to district offices? And if so, please submit a copy to the Committee. If no actions have been taken to date, when do you anticipate implementing these provisions? Ms. Darcy. Congressman, we have submitted guidance to the field on the provision that you are referring to regarding exemptions under the Clean Water Section 404(F)(1)(a)(c). And that guidance has gone to the field. We also have withdrawn, which was also required in the Appropriations Bill, the interpretive rule that we had published with EPA. Mr. Valadao. Then on to a different topic. In 2014, Congress approved the Water Resources Reform and Development Act or WRRDA, and specifically, Section 1006. Section 1006 allows public utility companies and natural gas companies to participate in an already established program within the Army Corps of Engineers to expedite the processing of permits. Or my constituents, this means a more transparent, timely, and predictable evaluation of permits, which will facilitate infrastructure investment that ultimately supports economic growth and job creation in my district and around California. I understand the Army Corps of Engineers held a public listening in September 2014 to receive public input on the development and implementation guidance for Section 1006 and other provisions under WRRDA 2014. I appreciate you taking such action; however, to date, guidance for Section 1006 has not been issued. Can you please provide me with an update on the status of the guidance document for this section, and specifically, when you expect it to be finalized and implemented? Ms. Darcy. I do not have that but I can get it for you. I know that it amends Section 214, which is the provision that the Congresswoman was referring to by adding oil and natural gas to that. It is under development but I will get you an answer as to when we expect it to be finalized. Mr. Valadao. All right. And then the Panoche Valley Solar Project in both my district and Sam Farr's district, my bordering district, would bring jobs to our communities and help increase California's energy portfolio. This project would finance the permanent conservation of over 24,000 acres of the Diablo Range habitat. This project is currently awaiting its environmental review, and I understand the project development team has proposed several logical adaptations to the draft project review schedule. Given the extended time the project team has been working with the Army Corps staff, I see no reason why the necessary draft Federal Environmental Impact Statement publication and circulation cannot be completed by February 2015. Can you give me an update on this project's environmental review? General Bostick. The draft EIS is supposed to be complete in September of 2015, and we expect a permit decision by the summer of 2016. Mr. Valadao. So still a ways away? General Bostick. I know we have worked this diligently and we are going to go back and review our own processes and determine what happened here. If there are some systemic issues, we will certainly work those throughout the Corps. We have our folks focused on it. They are working it hard in the district, and we are monitoring it from our level. I am a resident of California. Mr. Valadao. Lucky. General Bostick. Representative Farr is my Congressman, so we are very close by, and a lot of the issues that you relate and others have related on the water challenges out there, my own family and friends are feeling that. So I am not biased in my decisions but I did want to mention my personal interest and understanding of the issues. Mr. Valadao. Well, I appreciate that, and I look forward to getting some answers on those two. Perfect. Thank you. Mr. Simpson. Mr. Fortenberry. Mr. Fortenberry. Thank you, Mr. Chairman. I apologize. I am in between two hearings and doing the best I can, so I am sorry if some of this may be redundant. Secretary Darcy, thank you again for your hard work and I believe proper assessment of the Western Sarpy County Clear Creek Project. That is completed successfully now. A few years ago you were able to come out and observe the importance of this project from both an environmental, as well as flood control status, and I was grateful for your willingness to do that. So thank you very much. I hope it was enjoyable for you. Ms. Darcy. I think it was one of my only trips to your state. Mr. Fortenberry. Well, you are welcome any time, and if you do not want to ride the airboat again, we can also arrange that. But I want to talk about two issues. Let me be specific in regards to the 500 Year Flood that happened on the Missouri River. Apparently, Corps-designed standards for the levees now are imposing upon the community of Bellevue, which is home to Offutt Air Force Base and Strategic Command. New levee designs that will cost, it has been proposed, about $35 million. That levee held during the flood. There was some sandbagging and a robust community response that did take place, but it did hold. So now we have some new design standard that is coming along and apparently a confusion or discussion or a lack of clarity on how this is going to get paid for. So I would like you to address that issue. First of all, the necessity of such a standard given that that levee held with some support mechanisms, and then secondly, payment. The third point I would like to make with you is going back to the Waters of the U.S. proposed rule. If you have not heard yet, this has upset a lot of people. I think you are getting a lot of commentary in that regard. I understand there has been some discussion internally of perhaps an agricultural exemption. If that is the case, I would like to hear your perspective. Ms. Darcy. On the Waters of the U.S. rule, Congressman, the rule as proposed keeps in place all of the existing agricultural exemptions under the Clean Water Act for farming, ranching, and silviculture. What the proposed rule does, in addition, is exclude upland ditches for the first time. There are other exceptions as well in there, but that one is the most, I think, particular to agriculture. But the rule, as I say, keeps the agriculture exemptions as they are, as well as includes additional exemptions. Mr. Fortenberry. Define upland ditch for me. Ms. Darcy. An upland ditch is when you make a ditch from a dry place, through a dry place. So it is not connected to a water body. It is upland of water. I always think of it as dry to dry. Mr. Fortenberry. Independent of some tributary then? Ms. Darcy. Yes. Mr. Fortenberry. I see. Okay. General Bostick. As far as the levees, I cannot speak to the specific issue at Bellevue and Offutt Air Force Base, but we will follow up on that. But I would say in general, when we look at our levees and develop a standard, that standard is the standard that we use throughout. And it has been developed over many years. The whole intent is public safety. And because a levee might have served and survived a storm, there is no clear indication that it would survive the next one. I do not know the facts behind this, and we will go dig into the facts, but I feel our levee safety program and the design of our levees, in addition to what we have learned from Hurricane Katrina and Sandy and the flood on the Mississippi, has given us a wealth of expertise in how we design these. In terms of the cost, I will have to look deeper. Mr. Fortenberry. Well, this was the Missouri, just to be clear. General Bostick. Right. I understand. Mr. Fortenberry. You said Mississippi. I just need to---- General Bostick. I meant there was a Mississippi flood. Mr. Fortenberry. I get that, too. But the one next to me was---- General Bostick. Right. And we have learned a lot from Missouri. That was my error. Mr. Fortenberry. Just add that to what you have learned from, I guess. General Bostick. We have learned a whole lot from the Missouri. Mr. Fortenberry. Well, would you unpack though the problematic question of, again, an imposition by the Federal government of a new standard design and then cost-sharing arrangements. General Bostick. Again, I would have to take a look at it. I am not aware of a new standard design. The design standard is the design standard. Mr. Fortenberry. Well, maybe I am stating that incorrectly. There is some need to enhance the current levee structure that, again, held properly with some reinforcement during what I think is classified as a 500-year flood. And so now that comes along as cause of great consternation in the community as to, again, there is a major federal installation there, a base that would demand protection, and yet, a significant cost potentially being imposed upon the local community which may be beyond its capacity to absorb. General Bostick. We do annual levee safety inspections, and it is possible that this originated from a safety inspection that identified some damage. Or identified that the levee was actually not built to standard, and that may have originated the issue. We will find out. Then in terms of cost, there is generally a cost-share agreement that we work. And I do not know if that is where the $35 million came from, but again, we will follow-up, Congressman, and make sure we provide you the details. Mr. Fortenberry. Well, that would be helpful. Again, we are at the early stages where the possibility of this is being not just proposed but imposed upon the community, and that is causing a great deal of concern as to where the payment is going to come from and how that is properly allocated, particularly given the fact that this substantively protects a major military installation. Obviously, the local community would benefit from that and would have some role, but again, the clear issue is the federal nexus here. General Bostick. Okay. Mr. Fortenberry. Thank you. Thank you, Mr. Chair. Mr. Simpson. Thank you. Now, let me ask a couple questions. One of them is a little parochial. Ririe Reservoir. Ririe Reservoir in Bonneville County is a Corps of Engineers built and our Bureau of Reclamation owned and operated reservoir with flood control authority administered by the Corps. First, thank you for your work with reclamation regarding the possibility of additional water being carried over from one water year to the next. I understand that the water users, however, are interested in seeing further changes to allow more water to be carried over and available for use. General Bostick, can you please discuss the process for any next steps at Ririe? Which federal agency would take the lead on any next steps? And do you have the necessary authority? If you are in charge, do you have the necessary authority or would a change in law be required in which account and line items would funding be appropriated and would be appropriate? And would further action be considered ongoing operations or would a new start be required? And would there be a cost-share requirement for local stakeholders? I know that is a series of questions on the same subject. General Bostick. This would fall under the lead of the U.S. Bureau of Reclamation, but we would work very closely with them. They would have to go through a reallocation study. They would have to find a nonfederal sponsor that would pay the nonfederal share. My sensing that it would have to be authorized, but I would leave the details to the Bureau of Reclamation to answer. Mr. Simpson. Okay. Section 2102 of the Water Resources Development WRRDA of 2014 directed the Corps to submit a report to this Committee and others identifying the costs associated with maintaining authorized dimensions of harbors and inland harbors, as well as the funding included in the annual budget request. This information is to be on a project-by-project basis. The Committee has not received this report yet, even though it was directed to be submitted in conjunction with the Fiscal Year 2016 budget. Is the Corps working on it? And is there a schedule for submitting it? Ms. Darcy. Yes. Mr. Simpson. Yes, you are working, or yes, there is a schedule? Ms. Darcy. We have not initiated the development of this report. As you know, it was one of over 40 reporting requirements that were in that bill. So we have not initiated, and I do not know what our timetable is for starting it. Do you, Mark? Mr. Mazzanti. No, I do not, but we are looking at those requirements. Mr. Chairman, we are looking at all of the requirements in the WRRDA for reporting and trying to determine where those that we need additional funding are and where those that we can meet them based on the number of criteria. And we will have that analysis completed very shortly. Mr. Simpson. You will let us know if additional funding is required and where it will come from? Ms. Darcy. Yes. Mr. Simpson. Okay, thank you. Finally, my last question, the ban on congressional earmarks means that the administration has the sole discretion to decide what specific new studies and construction projects are initiated. This Committee though still has a role to play in setting programmatic parameters for which types of projects should be considered. Unfortunately, the Committee efforts have been hindered by the lack of clarity as to how the administration determines new starts. Secretary Darcy, can you please discuss how your office approaches the decision to which projects are considered new starts and which are not? How do you determine which projects to propose for new starts in your budget request? And then I will ask about a specific one. Ms. Darcy. Okay. We had nine new study starts in the 2014 work plan. I think we also submitted the rating report which explains how we made the decisions on new starts, both in studies, construction, and the whole account. But new starts in the construction account are when we actually turn dirt. That is when it is considered to be a new start. Mr. Simpson. Okay. Ms. Darcy. And in the other accounts, it is when a federal investment is beginning. So a new start study would be when that first federal investment is being proposed for that. Mr. Simpson. In the Fiscal Year 2016 Budget Request, it proposes a single new start in investigations that would fund continuing work on three of the nine focus areas identified in the North Atlantic Coast Comprehensive Study. Can you please explain, one, why this activity was determined to be a new start rather than ongoing work? And two, why this work was proposed in a single line under Remaining Items rather than proposed each focus area as its own line item as with most feasibility studies? And can we expect to see the remaining six areas requested in future budgets, and will they be treated as new starts? Ms. Darcy. As a result of the Sandy comprehensive study we looked at nine focus areas in the region and in looking at those, for the purposes of the '16 budget, we are looking at three of those nine focus areas in that Remaining Item to be funded in the '16 budget. All of the other focus areas in that remaining line item would all be considered the same. The only ones that we are asking for funding for in the '16 budget are the three. And those three are ones that we think that we have local sponsors for. In the future, we would be looking at the other focus areas the same way we are looking at these. It is just that the others are not ready to go yet. Mr. Simpson. But we have three areas that are one new start, right? Ms. Darcy. Well, the line item is one new start but it is for the nine focus areas within that study. They have already had some initial study and use of the money from the Sandy supplemental. We wanted to make sure that the whole item shows the nine focus areas but just for this '16 budget, the funding would be requested for those three. Mr. Simpson. If they have already had some Sandy funding put toward them how come they are new starts instead of ongoing work? Ms. Darcy. We want to make sure that we are being transparent in showing what we plan to do regarding this study. The study did something different than we ordinarily do in looking at these areas quite frankly, but we wanted to make sure that we are open to what the new start realm is. Mr. Simpson. Okay, thank you. I appreciate that very much. Ms. Kaptur. Ms. Kaptur. Thank you very much, Mr. Chairman. And we thank the witnesses this morning for their longevity here. We appreciate it very much. You can see there is a great deal of interest and that is good. General Bostick, in the 2015 report accompanying your appropriations, there was a requirement for the Corps to report on how existing federal authorities can be exercised for interagency cooperation to meet the needs of the largest watershed in the Great Lakes, Lake Erie. Could you update us on the status of this report? There was a timeline requirement of 90 days in the legislation. General Peabody. Yes, Congresswoman. We have initiated coordination with the specified federal partners, interagency partners, and that initial report is due next month. We are on track to provide a strategic framework recommending how we might get after this issue associated with algal blooms in Western Lake Erie. Ms. Kaptur. Thank you. General Peabody. And we have also been collaborating with the Western Lake Erie Basin Alliance in that regard as well. Ms. Kaptur. Thank you. Thank you very much, General, I appreciate that. I am also going to unanimous consent to place in the record a follow-up to a question I asked first in the last round which had to do with the employment, the job creating potential, of the Corps. I also am going to ask if to include, Mr. Chairman, a summary I have state by state but I am going to ask the Corps, congressional district by congressional district, how many jobs the Corps directly hires. In other words, if you are total staffing which congressional districts they are located in? So we have it by state and we would appreciate that. Thank you so much, Mr. Chairman. I wanted to also ask on dredging contracts, the Corps generally bids contracts based on least-cost bidder. I have been made aware that at least one project in the State of Washington resulted in award to a contractor who really seemed not qualified to do the job. And it may result in a large portion of that particular harbor not being able to be used for the majority of this year. General, there are many areas of the country where these dredging projects are challenging on the best of days. Is this a more widespread problem than just one harbor and what can be done to ensure that this is not an issue going forward? General Bostick. We talked about this with leaders in our headquarters and I would say probably 98, 99 percent of the time we get it right on this dredging. And from time to time, we run into a contractor that bids on a contract--and these are sealed bids--that it turns out that the work they run into is more difficult than the crew that they have or the equipment that they can handle. And that was the case in this particular area. But it does not happen often. It is not a systemic problem. We do very well on these contracts and the work that we have to do in dredging. Ms. Kaptur. Thank you. I have a question on Asian carp. Congressman Visclosky didn't want to get into it in a great deal of detail this morning but I have to say, obviously, it threatens a $7 billion fishery in the Great Lakes. And I am curious as to how many years it would take to have the operational barrier completed at the Brandon Road Lock and Dam and how does this compare to other proposals you have to review and what can be done to speed up the process if it is going to languish out there? Ms. Darcy. Congresswoman, the Brandon Road Lock proposal is a result of the GLMRIS study that the Corps completed looking at a number of alternatives for keeping invasive species out of the Great Lakes from the Mississippi River and tributaries. And the Brandon Road Lock was one of the alternatives that was part of several of the alternatives. We are funding it because this is a one-way pathway for the fish. That is one of the reasons it was selected, that through the study process we can to determine whether this could provide an additional barrier. We are scoping, I think we have our first scoping meeting, I am looking at General Peabody, underway to determine the scope of the study because it is going to a complex problem. We plan to look at an existing structure and how one can, in some way, retrofit that to take care of the Asian carp or the invasive species problem. I don't know, General, if you want to add anything? General Peabody. The only thing I would add, ma'am, is this is a good example of why we appreciate the Congress giving us waivers for the policy that we put in place and that you put into law because this is likely to exceed that by two or three times that amount, maybe more. Next month we will be having a review at the headquarters of the regional proposal to execute the feasibility study for Brandon Road. And once we have that reviewed, then we will be able to make a determination as to what the appropriate funding allocations will be. But the Administration has put in with carry-over, I think in GLMRIS we have, close to $2.5 million to get this kick- started and we will continue to keep Secretary Darcy apprised of our funding needs as we go forward. Ms. Kaptur. General, could you give us a sense of what you know? The last I heard was that a lot of the fish were 30 miles from the Chicago barrier. For some strange reason, no one understood why more of them were not coming north. But we know some are coming north. But what is the latest you know? General Bostick. I actually put a chart together for you and we can pass that to you either now or later. But it provides to answer to the question you had last year, a graphical means to better see it. If you would like to see that chart, we can show it to you now or I can talk you through it. Ms. Kaptur. Well, General, give us the short synopsis. General Bostick. The dispersal, the electric barrier is about 37 miles from the Great Lakes. The presence of adult fish is about 55 miles. Spawning area is at about 62 miles and in the established population is about 143 miles away from the Great Lakes. So that gives you a feel for where we are seeing them. And I think the point is that leading edge of the Asian carp has not changed movement since 2006 and we don't know why they have not moved, but they have not moved from that leading edge of where the carp are located since 2006. Ms. Kaptur. General, that is such important information. I would ask you to summarize it in a way we can provide it to all interested members, surely those from the Great Lakes. Might even ask for a special briefing because it is of deep, deep concern. Ms. Darcy. We can leave those charts with you, too. General Peabody. We will provide this to the staff what the Chief just talked about. Ms. Kaptur. I thank you very, very much. I wanted to ask a question about the harbor maintenance tax. And everybody is getting down in the weeds for their region so I have to do it for my region, too. If I look at the Cleveland Harbor and I look at the Toledo Harbor and the dredging challenges we face and the dredge disposal challenges we face, when you have--what happens to you inside of the Executive Branch if there is $9 billion projected to be in the Harbor Maintenance Fund not able to be expended to deal with a few million dollars' worth of dredge material? Why can't we solve the problems of the dredge disposal by using a small amount of additional funds from the harbor maintenance tax? What goes on inside that denies us that ability? Ms. Darcy. Congresswoman, we need to look at the demands on the budget across the entire government and we did, however, in this budget have 10 percent of the Harbor Maintenance Trust Fund for Great Lakes activities, Great Lakes dredging. Ms. Kaptur. Yes. Let us hope that that helps us this year. And we thank you for that very much and I thank the Chairman for helping us all along. I also wanted to echo what the Chairman said about the number of members who are here from California today. But I wanted to step back from the particular to the general and ask you to inform us in the country, with the changing nature of the climate and the weather, a region like I represent has 50 percent more rainfall in the last decade. But if we listen to the other members of this committee, what is happening in California and other places is quite atypical. Could you give us just your brief sense of what are the most water-stressed communities in terms of water as you look at the whole country? I am talking about fresh water for drinking or for irrigation. And which areas of the country you see as having large amounts of water? What is the map in your mind? What comes up? Most water short, most water-stressed, most water plentiful, atypically plentiful? Ms. Darcy. I see the arid west. General Bostick. I think the Southwest is probably the driest and the Northwest has a lot of the water as well as parts of the East. But I think the Southwest, from, Texas to California, Southern California, clearly has huge, significant drought issues. Ms. Kaptur. Are you able to define that any more specifically by community, by congressional district? General Bostick. We could define it. Last year we were looking at a period, or year before last, where 67 percent of the country was in severe drought and that was significant. And that was the year that, or in 2012, where we had the issues on the Mississippi where we almost could not move barge traffic. So the drought affected a large part of the country. In using that kind of a map, we can show you what districts, how districts overlay in the drought area. Ms. Kaptur. I think that would be very interesting. We could share it with our colleagues. Ms. Darcy. And we would also probably be looking to the U.S. Geological Survey because they do hydrologic mapping for the whole country and they probably have it by district and state by state as well. Ms. Kaptur. All right, well, we will work with you to prepare summary information in that regard. I didn't understand something in your testimony, Secretary Darcy. You talked about renewal of energy-sustaining accounts in your testimony? What was that referencing? Ms. Darcy. We are funding several efforts to help increase our sustainability. Is that what you are referencing? Ms. Kaptur. Yes. Ms. Darcy. For climate change. Ms. Kaptur. Could you explain a little more on that? Ms. Darcy. They are in various accounts and across projects and business lines. The majority of it is a focus on communities and helping communities to be more resilient by providing them with information and planning tools so that when they make decisions on whether to go forward with a project or to go forward with building, they can see what kinds of impacts that they would have. This is important especially in coastal communities regarding what the impact would be on future projections of sea-level rise. Ms. Kaptur. I see. Ms. Darcy. We have developed that tool along with FEMA and NOAA. Ms. Kaptur. All right, thank you. Thank you all very much for your service and, Mr. Chairman, thank you. I want to thank the staffs for doing a great job for this first hearing for us. Mr. Simpson. Thank you. Ms. Darcy. Thank you. Mr. Simpson. Again, thank you for being here. You can understand the frustration that some members have and when they see an increase, continual increase, in the amount in the Harbor Maintenance Trust Fund and it's growing and we can't spend it. That is not your problem. That is our problem because of the budget rules that we work under and if we were to increase the spending out of there and take money out of there to spend it, it would come out of some other account within the Energy and Water Appropriation Bill. The increase in tax, on fuel tax, for the Inland Waterway Trust Fund is something that has been needed, that the operators agreed to and to see the funding go down for it when the taxes are increased is frustrating to them and everyone else. But again, this is an issue that we have to resolve somewhere within Congress so that it doesn't affect some of my priorities in other parts of the budget to do it. It is the debate we come up with every year on the floor and it is hard sometimes for some people to understand but it is, you know, this wasn't imposed by God. He didn't say if you spend money in the Harbor Maintenance Trust Fund, you have got to take it out of this. That is something we did. So it is something we have got to address and try to fix so that we can actually, if you are going to tax somebody to address a need and the need still exits, why don't you spend the money to do what it was originally intended for? That is, you know, a rhetorical question. It is not for you to answer. But I appreciate you all being here today and again, I appreciate the great work that you all do. We thank you all very much for the work you do not only in-country but around the world. Thank you. General Peabody. Thank you. Ms. Darcy. Thank you. [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] Thursday, February 12, 2015. BUREAU OF RECLAMATION WITNESS ESTEVAN R. LOPEZ, COMMISSIONER, BUREAU OF RECLAMATION Mr. Simpson. I would like to call the hearing to order this morning. Good morning, everyone. Our hearing today is on the fiscal year 2016 budget request from the Bureau of Reclamation. Our witness is the new commissioner for Reclamation, Mr. Estevan Lopez. I would like to first congratulate you on your confirmation and also welcome you to the House Energy & Water Subcommittee. I look forward to working with you on the very important issues facing the Bureau of Reclamation. Your extensive experience with western water issues, or lack of western water issues, should serve you well as you take on this new role. My next comments may sound familiar to those who have been here in previous years, but since this is Commissioner Lopez's first time before the subcommittee, I think the message bears repeating. The fundamental challenge facing Reclamation is that the agency continues to be expected to do more and more with less and less. That challenge holds true for both water and funding. The population of the western United States continues to grow, which impacts the amount of water needed for public consumption and increases in demand for the electricity generated by our hydropower facilities. Our environmental requirements, or new interpretations of old requirements, have increased the amount of water directed towards restoring fish runs and habitat areas, yet the current drought reminds us that water supplies are not limitless and that we need to be mindful of how we prioritize its use. As for funding, Reclamation's budget has remained relatively flat for several years now while the increasing costs of an aging infrastructure, Indian water rights settlements, and large-scale ecosystem restorations often associated with the Endangered Species Act compliance, compete for limited resources. It would seem we, the Executive Branch and Legislative Branch together, have some tough decisions to make. We must reevaluate the number and breadth of actions we promised to deliver and ensure that the funding provided is directed to the activities that will bring the greatest benefits to the nation. I look forward to discussing with the new commissioner how the federal government might address these many concerns. Again, I would like to welcome to the subcommittee Commissioner Lopez. Please ensure that the hearing record, questions for the record, and any supporting information requested by the subcommittee are delivered in its final form to us no later than four weeks from the time you receive them; members who have additional questions for the record will have until close of business Tuesday to provide them to the subcommittee office. With that I would like to turn to Mr. Visclosky for his opening statement. Ms. Kaptur, our Ranking Member, is in Ohio at a funeral today and could not make it. [The information follows:] Mr. Visclosky. Mr. Chairman, thank you very much. And Mr. Lopez, I want to welcome you to your first hearing before the subcommittee. I join with the Chairman in looking forward to your testimony and thank you for joining us today. As the Chairman noted, Ms. Kaptur has to be absent today. Mr. Chairman, I would ask that her entire statement be entered into the record. Mr. Simpson. No objection. Mr. Visclosky. I would simply make a note that Reclamation's budget request for water and related resources is a 3 percent reduction from current year funding levels. Given the hearing we had yesterday on the Army Corps of Engineers and given my tenure on this subcommittee, I have no doubt where things were lost in the translation as you made your way to the subcommittee today. But nevertheless, we are all interested in finding appropriate places to cut. I have concerns that this reduced request continues the disinvestment in our nation's water resource infrastructure. Therefore, it will be especially important for the subcommittee to understand the specific methodology used to arrive at the set of projects and activities that you are now left with. Given your responsibilities and the drought situation in the west, particularly in the state of California, the work the Bureau is responsible for is critically important, and I look forward to your testimony today. And, again, thank you very much, Mr. Chairman. Mr. Simpson. Thank you. Commissioner Lopez, we look forward to your testimony. Mr. Lopez. Thank you, Chairman Simpson, and Ranking Member Visclosky and members of the subcommittee. It is an honor and a privilege to appear before this subcommittee today to discuss the President's Fiscal Year 2016 Budget for the Bureau of Reclamation and the Central Utah Project Completion Act. I appreciate the time and the consideration given to reviewing and understanding our budget, projects, and programs. I look forward to working collaboratively with you to continue to address the complex water issues that we face in the west. I have submitted detailed written testimony for the record. Reclamation's overall Fiscal Year 2016 Budget is $1.1 billion. It allocates funds based on objective- and performance-based criteria designed to effectively implement Reclamation's programs and management responsibilities for its water and power infrastructure. At this time I would like to share a few highlights. The budget supports the Powering Our Future initiative by including $1.3 million to implement an automated data collection and archival system to aid in hydropower benchmarking, performance testing, strategic decision making, to investigate Reclamation's capability to integrate large amounts of renewable resources such as wind and solar into the electric grid, and to assist tribes in developing renewable energy resources. Reclamation's budget supports Interior's Strengthening Tribal Nations initiative through endangered species recovery, rural water projects, and water rights settlement programs. The budget includes $112.5 million for the planning and construction of five recent Indian water rights settlements. Reclamation's Native American Affairs program is funded at $10.9 million for activities with tribes, including technical assistance, Indian water rights settlement negotiations, implementation of enacted settlements, and outreach to tribes. The budget includes $36.5 million for rural water projects, of which $18 million is for the operation and maintenance of completed tribal systems. The remaining $18.5 million is for continued construction for authorized projects, most of which benefit both tribal and nontribal communities. The budget supports ecosystem restoration, providing $158 million to operate, manage, and improve California's Central Valley Project, including $35 million for current appropriations to the San Joaquin Restoration Fund. The budget provides $437.7 million at a project level for water and power facilities' operation, maintenance, and rehabilitation. Reclamation's highest priority is the safe, efficient, and reliable operation of its facilities, ensuring that systems and safety measures are in place to protect both the facilities and the public. The budget provides $88.1 million for Reclamation's Dam Safety program, which includes $66.5 million to correct identified safety issues; $20.3 million for safety evaluations of existing dams; and $1.3 million to oversee the Department of Interior's Safety of Dams program. Reclamation is developing and implementing approaches for climate change adaptation, including through Interior's Water Smart program as follows: The Basin Study program is funded at $5.2 million. Working collaboratively with stakeholders, we assess risks and impacts, develop landscape-level science, and communicate information and science to develop adaptation strategies to cope with water supply and demand imbalances. The Drought Response program is funded at $2.5 million and will implement a comprehensive new approach to drought planning, drought emergency response, and long-term resilience strategies using existing authorities. The Resilient Infrastructure program is funded at $2.5 million to proactively maintain and improve existing infrastructure for system reliability, safety, and efficiency for water conservation to prepare for extreme variability and to support healthy and resilient watersheds. Reclamation's Water Smart Grants is funded at $23.4 million; Title XVI programs is funded at $20 million; and Water Conservation Field Services is funded at $4.2 million, enabling the west to better adapt to the impacts of a changing environment by helping to conserve tens of thousands of acre feet of water each year in urban and rural settings on both large and small scales. Now I am going to talk about the Central Utah Project Completion Act or CUPCA. This CUPCA office is a Department of Interior program that reports to the Office of Water and Science. In this budget, Interior is no longer proposing CUPCA be integrated into Reclamation. The 2016 budget request for the CUPCA program is $7.3 million and includes $1 million to be transferred to the Utah Reclamation Mitigation and Conservation Commission. The budget provides funding through the Department's CUPCA office to continue the partnership with the Central Utah Water Conservancy District and the ongoing construction of the Utah Lake System facilities, required program oversight activities, and Endangered Species Recovery program implementation. Reclamation and CUPCA are committed to working with our customers, federal, state, and tribal partners, and other stakeholders to find ways to meet water resource demands in 2016 and for future generations. Mr. Chairman, this completes my statement and I would be happy to answer any questions that you may have. Mr. Simpson. Thank you and, again, welcome to the committee. Since this is your first time testifying as commissioner before this subcommittee, I would like to hear from you, what is your vision for the Bureau of Reclamation? Do you have specific goals for the agency, be it programmatic, administrative, or technical, to accomplish during your time as commissioner? Mr. Lopez. Mr. Chairman, as I think you know, I am relatively new on the job. I have been on the job now for four months, and I have been confirmed for just a bit over a month. So I am still on a very steep learning curve, but during the time that I have been here, first of all I would like to say that I am very impressed with the quality of the personnel that we have and with the impact that Reclamation and its activities have on the West and, by extension, on the entire Nation. It is imperative that we continue to maintain the existing and now aging infrastructure, to continue to provide those services. The economy of the entire West is really underpinned by the availability of water. If our infrastructure is not maintained, the economy is going to suffer. So this year and the last several years we have been suffering through some very, very difficult droughts. Reclamation has been focusing on trying to do drought planning and trying to respond to those droughts. That is going to be a continuing effort. Climate change is becoming more and more accepted as a reality, and I think in water management we are going to be challenged. I think we are going to be essentially at the tip of the spear, if you will, in terms of dealing with some of the consequences of climate change. As we get higher temperatures, crops are going to use more water. There is going to be more demand for water. Precipitation is expected in many instances to decrease, and the precipitation that we do get is often going to be in the form of rain as opposed to snow. So this is going to require that we plan our infrastructure and our infrastructure needs to accommodate that increased variability that we are going to be seeing. These are not new priorities for Reclamation. I think it is the path that the previous Commissioner and now Deputy Secretary had set us upon, but I think they are the right ones. One other challenge that is a huge issue for Reclamation I think, is we have an aging workforce. A very high percentage of our workforce is nearing retirement. We have a challenge to build up our workforce and bring in new talent, talent that will help us resolve some of these climate change and water availability challenges that we are facing. Mr. Chairman, I hope that answers your question. Mr. Simpson. Thank you. You mentioned the Central Utah Valley Completion project, Completion Act. I am not really up to speed on all of that, but I noticed in the title that Completion Act is part of the title. Is it something that we are ever going to be out of, that we are going to finish, that we are not going to have to worry about funding anymore in our bill? Mr. Lopez. Mr. Chairman, I think that we will be out of it, but perhaps not in as short a timeframe as we would all like. As you know, budgets are constrained and we are trying to make decisions as to how we allocate the limited resources to move all of the myriad of challenges forward, but none of them perhaps is moving at the pace that all of us would like. Mr. Simpson. Well, what are you proposing to do with this in your budget? You mentioned it and said that they are moving it out of BOR? Mr. Lopez. Mr. Chairman, no. In the last several years I think Reclamation has proposed on a number of occasions to move this, to integrate it into Reclamation's operation. At present it is outside of Reclamation. It is managed by Interior's Office of Water and Science, and this was I believe at the request of the constituents in Utah. We have requested it a number of years and Congress has chosen not to integrate it, and it has become very clear that the constituents out in Utah oppose that as well. We are not going to propose anymore that we integrate it into Reclamation. We are going to leave it standalone. Mr. Simpson. Okay. You mentioned during your testimony that you did take efforts to support Tribal Renewable Energy projects. Any other energy projects that you help with tribes, or is just renewable energy? What exactly does that program entail? Mr. Lopez. Mr. Chairman, within our mission we are obviously in the water business and, by extension, hydropower. So our primary focus is on hydropower and the things that we might do in that vein to improve energy reliability. Certainly there are all sorts of other energy options available to anybody, including the Tribes, but our focus is primarily on hydropower and to some extent other renewables that might be integrated into some of our works. For example, oftentimes on some of the lands that we own in and around our facilities, they might be conducive to installing solar or wind generators simply because there are already transmission facilities nearby and that sort of thing. So that is where our focus is. Mr. Simpson. The reason I ask that is because there are some people in the world who do not consider hydro as renewable energy. In fact, in one of the acts that we passed--and I think it was the Renewable Energy Standard--if it is hydropower now, it is not considered renewable. But if you improve the efficiency of the turbine, the addition will be renewable. And I am kind of going, this is bizarre. It is either renewable or it is not renewable. So definitions sometimes get in our way. Lastly, let me ask you about the Ririe Reservoir in Bonneville County. It was built by the Corps of Engineers--I asked this of the Corps of Engineers yesterday--but it was built by the Corps of Engineers and is now a Bureau of Reclamation owned and operated reservoir with flood control authority administered by the Corps. First, I want to thank you for your work with the local water users and the Corps of Engineers regarding the possibility of additional water storage being carried over from one water year to the next. I understand that the water users are interested in seeing further changes to allow more water to be carried over and available for use. Can you discuss with me what steps would have to be taken next, which federal agency--the Corps or DOR--would take the lead in those next steps, under what line item would funding have to be appropriated, and would further action be considered an ongoing operation or a new start? Mr. Lopez. Mr. Chairman, I will try to answer at least a piece of that question. As I think is implicit in your question, the Corps and Reclamation have worked together in recent years, and, in fact, last year we issued a record decision that would allow for some additional winter carryover of 8,000 acre feet. So we have, I think, begun the process that water users have wanted. I am told, and I am not an expert in all of this, but I am told that the Corps believes that if we were going to go any further in terms of looking at additional storage that there would need to be a reallocation study. The Corps believe that we, as owners of the reservoir, would be the lead agency in it. I would assume that for this sort of project we would have to have a cost-share sponsor, local cost-share sponsors. And we would have to work through all of those agreements in advance of this. Mr. Simpson. Okay. Appreciate it. Mr. Visclosky. Mr. Visclosky. Thank you, Mr. Chairman. Commissioner, in response to one of the Chairman's questions you mentioned the aging workforce and the fact that you have some turnover. Are there particular skill sets you are most concerned about losing and acquiring as you go through that transition with your employees? Mr. Lopez. Senator, or excuse me---- Mr. Visclosky. Don't do that to me. Mr. Lopez. I apologize. I was in a Senate hearing yesterday---- Mr. Visclosky. No, I am kidding you. I am kidding you. I am kidding you. Mr. Lopez [continuing]. I am still in that mode. Mr. Visclosky. I am kidding you. Mr. Simpson. You can tell which of us are senators and which are representatives because we don't have doctors standing behind us just in case. Go ahead, Commissioner. Mr. Lopez. I think we have across the board in all skill sets, we have got a lot of people that have been with the agency for many, many years and are getting ready to retire. But of particular concern are some of the engineering positions and, you know, power hydrology and hydraulic engineering-type skills. As you know, most of our dams were built 50 and more years ago. So we now have fewer engineers that have built those things and have the opportunity to build them. So people with those sorts of skill sets are going to be particularly valuable to us and we are probably going to be left with the responsibility of helping them acquire additional skills. Young people acquire additional skills once we are able to recruit them. Additionally, some of our facilities are in somewhat remote areas and that also makes it difficult to attract people with those skill sets. Mr. Visclosky. Right, okay. Thank you very much. Commissioner, reclamation emphasizes that water-smart grants and Title 16 grant programs are primary contributors to the Department's priority goal of water conservation. The budget request for '16 maintains funding for water-smart at currently year levels but reduces Title 16 grants below inactive '15 levels. Why the disparity in treatment and is it a reflection of the effectiveness of either of the programs compared to the other? Mr. Lopez. I don't think it is intended to be any sort of reflection on the relative effectiveness of one program over the other. There are a few authorized Title XVI projects that continue to move forward and we continue to move forward. We think the budget that we have proposed, $20 million for that program, will continue to move those projects forward. The reason we are asking to grow the WaterSMART component relative to the other is that we want to try and get as many participants in this as we possibly can. Both programs do things that help us conserve water and, in essence, do more with less. But the WaterSMART grant program, in particular, is smaller amounts to more people and we want to just get more people involved in on the action. Mr. Visclosky. I usually refrain from asking hypotheticals but I will. If the Committee finds additional resources, would you have a preference between one or the other program if there was an add-on by the Subcommittee? Mr. Lopez. Representative, I think that we could probably use it in either and a good approach might be to split it between the two of them. Mr. Visclosky. Okay. Mr. Lopez. Last year we had the good fortune, and I want to thank this Committee for your part in it, of getting some funds in our budget and we used just criteria that made sense to us in terms of spreading all of those resources over a myriad of programs to try and maximize the benefit of those additional funds. And we would do the same here. Mr. Visclosky. Good. Thank you, Mr. Chairman. Mr. Simpson. Thank you. Mr. Calvert. Mr. Calvert. Thank you, Mr. Chairman. Mr. Lopez, you probably noticed that three out of the five members participating in this are from California. And I know you are very aware of the fact that we are having difficulties in our state and in the west, you know, and that is--we are not exclusively in a drought. But there were some questions on Title 16 and water-grant programs and the Secretary was out in California recently and made an announcement of some dollars that were for drought relief. This $14 million of Title 16 program, this apparently an additional $14 million, where do you plan to spend that money? Mr. Lopez. I think I have got some in last year's budget, there was an additional $96 million that was added into our budget for various categories. One of those categories was for drought and that amount was $50 million. That drought response was allocated, it included an additional $4.5 million for the WaterSMART program, the WaterSMART grants, and $4.5 million for the Title 16 program. So those monies would go toward--we have put out, we have already put out funding opportunity announcements for both of the programs or are close to putting them out. We generally get many more applications than we have funds to go around. Mr. Calvert. So you haven't made any specific recommendations as of yet where this money is going to be spent? Mr. Lopez. For the individual projects? Mr. Calvert. Right. Mr. Lopez. No, not yet. We are close. We are in the evaluation process. Mr. Calvert. As you know, for the first time in history as I understand it, you are unable to provide any CVP water to the water service contractors. And the process on how you make that evaluation, forecasting, the hydraulic mauling tools, whatever, how do you make that determination about what you are going to deliver, for instance, in this year which is zero, how do you come to that conclusion? Mr. Lopez. We, first of all, track the amount of inflow into key reservoirs, Shasta Reservoir being one of the very key reservoirs, and at certain times of the year we note how much is in there and we project how much we expect to get into the reservoir. Mr. Calvert. Well, the reason I ask the question is during the five-year drought from 1987 to 1992, the water service allocations were, in those five years, was 100 percent, 100 percent, 50 percent, then was dropped down to 25 and 25. And in 2011, which was the ninth wettest water season we had since we have been taking history, we only allocated 80 percent when those reservoirs were at complete capacity. The next year you dropped it to 40 percent and then, to 20 and now, we are at 0. What happened between 1992 and 2011 in the way you regulate, in the way you make your determinations on how have you allocated water? Mr. Lopez. Congressman, I think, as you know I wasn't here in 1992 or until just recently. However, I know of some things that have fundamentally changed the availability of water. And one of the big ones has to do with the Endangered Species Act and the Biological Opinions that are now in place. Mr. Calvert. You would say that the biological opinion is now in effect in the northern part of the State of California, the most recent biological opinion in regards to delta smelt and the pacific salmon, you would say on the record that that has the biggest impact of why the water is not being, for the first time in history, not being delivered to the California contractors that are asking for that water delivery? Mr. Lopez. Congressman, I can't say for certain if that is the largest effect. I know that it is a significant impact but in addition to that, there are new water quality standards for water in the Delta. Those things combined, the water quality issues, that is making sure that we keep salinity out of the Delta and the fish needs, those two things combined are very, very significant drivers that control how much water can be harvested for use---- Mr. Calvert. Well, as you know, we have spent a significant amount of money through this Committee over the last 20 years in supposedly improving the water quality in the Bay delta. And doing significant amount of environmental projects that were front-loaded in order for us to move toward what we believed was a long-term solution in bringing both help to the delta and at the same time being able to meet our obligations for delivery of water. Part of that is water storage. You brought up that because of climate change that snow is now being replaced by rain. So by definition, we have to capture that rain when it comes along just like last weekend. We had significant flow of water. But as I understand, one, we don't have the water storage in order to capture that right now and want to get into that a little bit. And two, because of the Endangered Species Act, as recently as last weekend, you were not able to because of the lack of flexibility, were not able to pump to what would have been your allowable level. I haven't talked to Mike this week, Mike Hunter this week, but I understand that you were pumping less than 6,000 CFS when you have 30,000 CFS of water flowing underneath the Golden Gate Bridge. And the reason I bring this up, the City of Los Angeles is probably going to go, and the balance of Southern California, is probably going to go into mandatory rationing this summer. For the first time, the most severe rationing probably in the history of the City of Los Angeles and much of Southern California. And when people hear, like last year, a million- acre feet of water went under the Golden Gate Bridge, which I understand without one risk of losing one delta smelt. Because of the lack of flexibility in which would be interpreted on how to move that water, people are going to get upset. So I would hope that all of you, yourself, you have a big job ahead of you, Mr. Connor, certainly the Secretary, is going to have to make sure we don't lose one drop of water. I think this last weekend we probably lost, I hear--I don't have the final reports but well, at least 10,000 acre-feet of water probably is gone because we were unable to pump that without any threat to smelt population. And, you know, I respect the fact we have the Endangered Species Act we have to deal with but if we are not threatening a species and we are unable to pump, that doesn't make a lot of sense to me. How do you feel about that? Mr. Lopez. Congressman, I know there is a lot of frustration over the water that is going out and not being captured. But let me take a few of the things that you have said. In the current situation, right now, we are not constrained by storage. We are actually constrained, I believe, by how much we are able to pump away from the Delta. And that is being driven, in large part, by the Endangered Species Act but the other thing is making sure that there is enough water going out of the Delta to keep saltwater from encroaching into it which would create a totally different set of water quality issues. Mr. Calvert. When you have 30,000 cubic feet per second flowing out and you are pumping 5 or 6,000 cubic feet per second, how is that going to allow for saltwater intrusion to get in the Bay delta? You have got water displacing seawater significantly more than the effect of that pumping operation. Mr. Lopez. I believe, in the storm event that you are talking about, you are absolutely right. There is plenty of water to flush out the saltwater. In this instance, it is the Biological Opinions that are constraining our ability to pump. Having said that, we are working very, very closely with fish agencies, the U.S. Fish and Wildlife Service, the National Marine Fisheries Service and the California Fish Agencies, to maximize the amount of flexibility. They put forward their best judgment about how much flow needs to go out. But they have been, actually, very responsive to recognizing the need and recognizing the severity of the drought and they have been allowing for more flexibility than was originally in the Biological Opinions. However, they have---- Mr. Calvert. That didn't happen this weekend. Mr. Lopez. Congressman, it did but perhaps not as much as everyone would like and this is what I mean. They required, in order to get some of that flexibility, they have required that we do things in a step-wise fashion. That we increase pumping in a step-wise fashion and we monitor the impacts of those step increases as we go. Monitor by sampling for smelt and for salmon, both, and so, over this weekend we ultimately did get to 6,000 CFS of pumping. But it was done in increments where they took the amounts up in increments of about 500 CFS and they checked to see that they weren't creating problems along the way. Then, they took it up some more, take it up some more and that is kind of the way they are allowing the flexibility to happen by doing monitoring in real time and making decisions that are well reasoned. One of the reasons that they are not--that they have not endorsed simply cranking on the pumps and really taking as much water as they can is, and I understand this from last year, that last year there was an instance where some of that was done and as a result, some of the smelt moved into the area where the pumps are. At that point, they had to constrain pumping dramatically. Mr. Calvert. I understood that was less than 50 smelt. Mr. Lopez. It is very few Smelt. I, you know, Mr. Calvert. These are 50 minnows, by the way. Mr. Lopez. The numbers that they use to guide whether it is allowed or not, it is an extrapolation. They measure how many they catch and they extrapolate. If they are catching that many that means a much larger number is actually being impacted. I am not the biologist. I don't claim to know all of the validity of the statistics but that is my understanding of how those numbers work. Mr. Calvert. Thank you, Mr. Chairman. Mr. Simpson. Ms. Roybal-Allard. Ms. Roybal-Allard. Commissioner Lopez, let me join my colleagues in welcoming you to the Committee. First of all, I just want to say Los Angeles always keeps getting mentioned and I think in a lot of ways we get a bad rep. While it is true we are going to have to have these measures in terms of conservation, I don't have the exact date but I just want to say that the level of water usage in Los Angeles today is somewhere at the same level it was in the 1980s. So Angelinos have done a pretty good of doing their part in trying to conserve water. Now, if I understood you correctly, the $50 million in funds that the Bureau of Reclamation has allocated for the Western Drought Response, you still haven't decided on the types of projects and activities that you plan in implementing in California for 2015, is that correct? Mr. Lopez. No, that is not correct. Ms. Roybal-Allard. That is not correct? Okay. Mr. Lopez. The projects that we haven't selected yet are the ones that have been proposed for WaterSMART Grants or Title XVI. But there is a whole--another long list of projects that we have identified specifically and California was the largest recipient of some of that drought money. Ms. Roybal-Allard. But could you elaborate then a little bit on what types of projects and activities you plan then? Mr. Lopez. Sure, we can. For California in particular, first off, the reason that California got so much of this is that California is kind of in the bull's eye of the drought. If you look at the drought maps, the drought shows up on these maps as red, you know, the more intense red being the more severe drought. And right now, if you look at those drought maps, most of California is dark, dark red. And that is the most intense drought anywhere in the nation right now. And so, what we have done is we have allocated $19, almost $20 million, $19.9 million to Central Valley project areas. And we did this, we described it to try and get as much flexibility as we can in how it is used. Such that if it is needed for emergency situations, that the water managers will have it at hand to use for those things. But then, we broke that $19.9 million into six or seven specific projects. If it is not needed for those emergent things, there are a number of things that can be done. For example, for some gates that control cross-channel flow and for some monitoring on some of the fish things, those are just a couple of examples but we have identified six specific projects that that money could be used for. And in addition to that, California also benefits. We have allocated 18, or excuse me, $8.6 million to some projects, drought response projects on the Lower Colorado River. In Los Angeles in particular, Los Angeles takes water both from the State Water Project that brings water from the Bay Delta area but also, Los Angeles receives a significant portion of its supply from the Colorado River. So that will benefit California as well. Then there are the ones that I was talking about earlier, the WaterSMART Grants and the Title XVI. Those things are applied via competitive processes and those are the ones where we haven't yet selected the---- Ms. Roybal-Allard. I see. Mr. Lopez [continuing]. Specific project. Ms. Roybal-Allard. Okay. Besides the 50 million that we were just talking about, you know, given this recurring drought that we have in the West, what additional and more specific activities does the Bureau plan on implementing and what would be the total cost that the Bureau plans on spending on preparedness and response during FY2015? Mr. Lopez. I am sorry, could you restate the question? Ms. Roybal-Allard. Yeah, well, in addition to the projects that you were just talking about, are there additional additional, and more specific activities that the Bureau is planning to implement, with regards to drought preparedness and response. Mr. Lopez. Okay. So, specifically out of the extra funds that we got last year, out of that 50 million, we also allocated $5 million specifically to the Drought Response and Comprehensive Drought Plans. We recognize that this is going to be a continuing type of activity, and we want to encourage communities, and states, and the people that we deal with, to think proactively about how they will respond in times of drought, what sort of measures can they take to impact their own demands and that sort of thing. So, we have allocated that amount, but besides the additional monies that we got, and how we allocated those, our general budget has a number of things, that we are constantly dealing with things that will impact our ability to withstand drought. You know, all of what we do is all about making sure that water is available in drought. On the Colorado there are huge storage reservoirs, on the Colorado River, Lakes Mead and Powell, but for those reservoirs and all of the people that rely on the Colorado River supply would have probably been out of water two or three years ago. Those reservoirs combined store something like a four-year supply of water, and we have been able to withstand multiple years of drought as a result of these efforts. So, it is really part of our overall basic mission, in terms of helping withstand droughts. Ms. Roybal-Allard. I just have one final question. Are there any temporary changes that the bureau is planning to make during this fiscal year to better manage the water supplies and make water available for use during the drought? Mr. Lopez. Going back to what I was speaking about with Congressman Calvert, in the operation of the Central Valley Project, there are some specific, temporary plans that are for this year in particular. We have worked with the State, and the State Water Project, and the fish agencies. All of us have worked, combined, to develop a Drought Contingency Plan for 2015 that has a whole series of things that we are coordinating to try and make sure that we are able to capture as much of the water as we possibly can in this very trying time. Ms. Roybal-Allard. Okay. Those are all flexible, and I see. Okay. Mr. Lopez. We have tried to build in as much flexibility as we possibly can. Ms. Roybal-Allard. Mm-hmm. All right. Mr. Lopez. And it is still important to make sure that we are protecting the environment, while maximizing water availability to the farmers and to the municipalities. Ms. Roybal-Allard. Okay. Thank you, Mr. Chairman. Mr. Simpson. Mr. Valadao. Mr. Valadao. Thank you, Mr. Simpson. Commissioner I appreciate the position you are in now, obviously coming into this and the disaster we have got going on in California, you are obviously in a very tough position. But no matter how we look at this, this is something that has to be addressed, and has to be addressed quickly. The comments you made about the TUCP earlier, and how you are working with some state agency, since it has been basically shut down by the State Water Resources Board when they said, no; and you had the support of the U.S. Fish and Wildlife, National Marine Fisheries, California Park with Fish and Wildlife, for that added flexibility. What have you done to put pressure on the State Water Resources' Board, to make sure they do approve this temporary flexibility so we can get some water pumped? Mr. Lopez. Well, Congressman, as I understand it, the denial of one element of our permit---- Mr. Valadao. The most important part, where we can actually pump water? Mr. Lopez. An important piece, admittedly. That was by---- Mr. Valadao. Was it the State Water Resources Board, that denied that portion of it? Mr. Lopez. It was not the Board in total. So the Board, still, can weigh in on it, and that is--I think there is an appeal to the Board. Mr. Valadao. Well, I signed onto a letter, as did Mr. Calvert, and Senator Feinstein, and others, so that we can voice our opinion that this needed to be approved. It is very important to us, and I hope that you can use everything--every power that you have got, to put some pressure on them as well. Back in December of 2014, Secretary John Laird, Secretary of Natural Resources in California, wrote a letter in opposition to a Bill that I wrote, introduced last year in Congress. And what he stated was, ``As a result of the drought, of emergency declared by the Governor on January 17, 2014, California state agencies have worked very closely with their Federal counterparts and impacted stakeholders to provide critically-needed water supplies while protecting our water quality in imperiled species and fragile ecosystems. All are suffering from these unprecedented drought conditions.'' One other Federal counterpart's reference in the statement, is the Bureau of Reclamation, ``How much critically needed water was supplied to South-of-Delta, CVP AG service contractors and farmers, as a result of this work described in the Secretary's letter,'' and I think we both know the answer to that, it is pretty much zero, and there might have been a percent or 1 thrown in there. And how much do you believe will be allocated this coming year? I am assuming another zero. Mr. Lopez. Congressman, I do not know what the allocations are going to be yet, but the outlook right now is looking very, very similar to what it looked like last year. Mr. Valadao. Yeah. So, I have got a few cities in my district as well, some of the most underserved communities, obviously in the Valley, Abeno, Coalinga and a few others, that have their M&I, Municipal and Industrial Water, and they are allocated to a certain amount of water. And when those numbers come out on paper, they always look really large, and they come out like at 75 percent, sometimes 80 percent, or 90 percent, and everybody thinks, well, they are getting all their water. But the problem with that statement is it has always followed 75 percent, or the number of their historical use; and every year that 75 percent of their historical use, that average keeps getting notched, lower and lower and lower; and so some of these communities are under 50 percent, barely struggling to stay over 40 percent. And so when the Governor is very proud of the fact that the state has learned to live with less, 20 percent, the constituency in those parts of the district, are laughing at that number saying, we have make up the majority of that average, and we help bring that number down, and they get absolutely no credit for it and no relief when this drought does take effect. I know that is something that is very important to my constituents, the people there, and I would like you to just know a little bit about that situation. And then in my district, and this is another, there are people now, who two years ago had jobs. They were working on farms, and they had homes, and we got a lot of stores and a lot of businesses in my district that are struggling. But this people that had jobs back then, had homes. And now they are basically living in shacks build along canals out in the middle of nowhere. I do not know if you have seen any of those pictures, but I know that some of those pictures have been in the capital. These are people that are out of work and standing in, you know, food lines, because farmers have no water. According to a March 2014 letter, from Fresno County Sheriff, Margaret Mims, to the California State Water Resource Control Board, which I would like to enter into the record. ``Reclamations failure to deliver water to farmers in my congressional district is having what Sheriff Mims refers to as an immediate public health and safety----'' Mr. Lopez. There is, as you know, it is a crisis, there is no water and we cannot make water, and we have the responsibilities for certain priorities of delivery, and we are doing our best to makes sure that we meet the health and safety requirements, first and foremost, but---- Mr. Valadao. I would like you to be really careful with that statement because I hear that a lot, with, we cannot make water. We all know we cannot make it rain, we all know that we cannot produce water here, but back to the comments made by a lot of members here, there have been real water from my constituents and for many south of me. And so it is something that whenever we fall back on that line of trying to make water, there is ways that we can produce, save, and produce some water for our constituents. So I would appreciate it if you just take that comment a little more to heart, and careful with that line in the future. So, thank you. Mr. Simpson. Ms. Herrera Beutler. Ms. Herrera Beutler. Thank you Mr. Chairman. Powering our future initiative; I have three questions and they all relate to different things, so I am going to start with this one first. On your testimony you talked a little bit about this initiative and I wanted to see if you would expand on it, as it relates to hydropower, because as I understand the goals, the program is to promote renewable sources of energy, hydropower, and in my mind it should be at the forefront of an initiative like this, since it is the cleanest, cheapest and most reliable, if not the only really strong reliable source of renewable energy. I wanted to hear if you had a plan for hydropower as you move forward. Mr. Lopez. Thank you, Congresswoman. We had a bit of a discussion about that, earlier, about how oftentimes hydropower is not counted as renewable, and I think it is all about how they've defined it, or how we have set baselines. Basically, if it was already in our baseline, it is not counted, and it is only if it is incremental that it is counted. But there is a significant opportunity for incremental power within our facilities. We still hold a lot of water, and we have identified, I think it is something like 300 megawatts of additional potential for generating additional hydropower Reclamation- wide, off some of our facilities. Oftentimes, we do not have the capital to make the investments that would be needed, so what we have done, is we have got a Lease of Power Privilege Program, whereby our partners, the people that operate or benefit from our facilities, can make an investment, and they can get some of the benefits of that to try and develop as much of that additional power as we can. So those are some of the examples. Ms. Herrera Beutler. And, you know, I had a sense of Congress Resolution, I think, last year that I might be working on again this year, the last Congress. To count hydro as renewable, at the Federal level, at the very least; because I now can. So it is interesting if we have an existing infrastructure that we are not fond of, coal, whatever. I mean I have one coal fire plant in my district, and at the state level, they had really, they had slated it to close, so we basically have none of that. But if we have it, we counted against us, but if we have something amazing like hydropower which produces, 60-plus percent of the energy for Washington, Monticello Dam, California, and they all count it as renewable. We do not count it; so it feels like we need to bring some common sense to how we look at an amazing, clean, carbonless source of energy. All right, moving on. Quagga Mussels; quagga mussels are a pretty big threat to our infrastructure, and in Washington, our PUDs, imports have been speaking to me a lot about their concern on their assets, invasive species, with several threats when it comes to invasive species, but this is the one they have been talking to me a lot. And I wanted I wanted to hear what steps the Bureau is going to be taking to address this particular species within its own facilities and, hopefully, how you can help Park Service and Fish and Wildlife, as they move forward so we can prevent the spread. Mr. Lopez. Before I get into the question of Quagga Mussels, regarding hydropower I just want to mention that I recently got an opportunity to tour the dam you were talking about. Ms. Herrera Beutler. Oh. Mr. Lopez. I got an opportunity to go up into Washington, to Grand Coulee. Ms. Herrera Beutler. Oh, yeah. Mr. Lopez. And that is an amazing facility that generates a huge amount of hydropower. Ms. Herrera Beutler. Yeah. Mr. Lopez. So, I agree, hydropower is something that we ought to be doing as much as we can with it. Ms. Herrera Beutler. Thank you. Mr. Lopez. Going back to the question of Quagga Mussels, these are invasive and very difficult organisms to deal with. They have been moving into many of our reservoirs, as you are probably aware. If a boat goes into an infested reservoir, some of the larva can attach themselves to the boat, and then if they go into a reservoir that did not have them in it, it can in that way, in essence, infect that reservoir. So, we have been working with some of the parks that control access into reservoirs and so forth, to try and get decontamination facilities, those sorts of things. But in addition, this year, we are doing a significant amount of research. We are focusing some research on Quagga Mussels, how to control them, you know, and also developing--quite frankly, trying to develop materials that they cannot really stick to. For example, on the Colorado River, some of the reservoirs that are already infested, that take water for Los Angeles, and other communities, they increased the operations cost dramatically, because you have to clean these screens all the time. So if we can develop materials that they cannot adhere to, that might help us deal with it in a different way. But this is going to be a continuing challenge for us and for anybody that has any waterways to deal with, and we will work with all of the other entities to learn from them and, hopefully, find a solution to this. Ms. Herrera Beutler. We appreciate that. And one final question, and it has to do with fish passage, I cannot say that fast once, let alone 10 times. I was very happy to hear about the Yakima Basin, the support that you are giving to the Yakima Basin for its water enhancement project, fish passage, sometimes I can say it, fish passage is incredibly important to our regions, and I mentioned hydro earlier. We really have an amazing success story to tell with regard to how we have worked, and how peers in our region, and how tribes, and how the communities have come around to allow for that hydro project, and in addition we have had record returns for our salmon population, our wild salmon population which is incredibly important to us, and we are working on continuing fish passage. So, in the FY '16 request for fish, I wanted to hear how the fish--I am sorry guys; it is how your fish passage budget this year compares to what you have done last year. We are hopeful for continued interest and investment on your part. And in the selection process, just as a hint about how you did selection process, where you spent that. I wanted to hear what your thoughts are, when you are deciding that money. Mr. Lopez. So, I can tell you a little about how we did the selection process for this, just recently. Ms. Herrera Beutler. Thank you. Yeah. Mr. Lopez. In the additional monies that were allocated in 2015, a portion was allocated specifically for Fish Passage. I'm sorry, I am not sure that I said Fish Passage any better. Ms. Herrera Beutler. I am sorry. I will try not to laugh. Mr. Lopez. There was $4 million; $4 million that was allocated to that, and basically what we tried to do was to select a couple of projects that we knew that could benefit and that was ready to move forward on this thing; and the Cle Elum Fish Passage, that was one of them. So, we try and find projects that are ready to go, we try and distribute the money, kind of, geographically; those sorts of things. Where we can make an impact immediately, that is the selection process; for this year's, for the 2016 Request we are requesting a little bit over $5 million for Cle Elum Fish Passage. Ms. Herrera Beutler. Great, great. Thank you. Mr. Simpson. Mr. Fleischmann. Mr. Fleischmann. Thank you, Mr. Chairman. Commissioner; Mr. Wolf, good to see you all today. I have some questions about dams and dam safety. Dam safety continues to be a high priority for the subcommittee. Around of Reclamations dams are more than 60 years old. A couple and age and improved understanding of hydrological and seismic issues, and change in construction practices, you have quite a challenge in ensuring the safety and security of the nation's dams. I have three questions in this regard. How often do you perform risk assessment of the dams? Mr. Lopez. Congressman, this is going to be subject to check. I know I read this recently, but I believe we have--we try and rotate through all of our facilities on no longer than an eight-year cycle. Is that correct? Eight-year cycle---- Mr. Fleischmann. Eight-year cycle? Mr. Lopez. And in addition if we know of, or if we are going to be there for another reason, even before that eight- year cycle comes up, we will do an assessment of it. Or if something is brought to our attention that we know might bear additional scrutiny, we will certainly go out there, on a more frequent basis. Mr. Fleischmann. Thank you, sir. How does the Bureau prioritize future safety and security work on the dam, sir? Mr. Lopez. We try and assess the impact of failure, including, if there is potential loss of life that's, obviously, one of the things that we will put at a highest priority. I am not intimately familiar with the process, but basically if we try and assess the probability of failure, and we look at if there were a failure what would it impact? For example, if a city has grown up right below a dam, and if the dam were to fail it would create large loss of property and life. That is going to be given the highest priority. That's the sort of consideration that we take. Mr. Fleischmann. Yes, sir. As a follow up to that, Commissioner, what is your plan to deal with the inevitable increase in the amounts of dams that will require infrastructure and safety activities in the coming years? Mr. Lopez. In the current year's budget we have allocated $88.1 million to that of which $66.5 million is to deal with problems that we have already identified, and deal with those directly. A bit over $20 million is to continue our assessments of all of the rest of the dams. But I think, that in general, this is one of our priorities, to make sure that we have safe facilities. So we continue to look out for, and this is one of our priorities in terms of the aging infrastructure that we have to maintain. It will continue to be. It has to be. Mr. Fleischmann. Does reclamation conduct a comprehensive review or keep a comprehensive list of maintenance needs and costs? Mr. Lopez. Congressman, we do, but that is a difficult question. I know that in---- Mr. Visclosky. I'm sorry, I didn't hear the question. Mr. Fleischmann. Does reclamation conduct a comprehensive review or keep a comprehensive list of maintenance needs and costs? Mr. Lopez. We track all of our rehabilitation needs and so forth. However, we do not generally try and lump them all into one lump sum figure. What we try and do is establish, kind of, a five year work plan of the Aging Infrastructure, and figure out how we would address that over a five year period that makes sure that we keep the most critical needs at the highest priority, and then move into the next phases as they come in. Mr. Fleischmann. Okay. One final question, Commissioner, presumably the budget request does not fund every maintenance need. Do you know how big the maintenance backlog is, sir? Mr. Lopez. So this is related to the last question. Our agency, I believe, I am told that we define backlog differently than some of the other agencies that we deal with or that you may deal with. If we have programmed a certain project, if we have planned on doing it, say, in the next year, and then for whatever reason we do not do it be it we just do not have the resources, whatever the case may be. That we would term a backlog. Not the overall outlook into the future. So the way we have approached this is we look at what our most critical needs are, and establish, kind of, a five year window or a five year work plan for that. And on the basis of that five year work plan we have estimated an aging infrastructure funding need of something like $2.9 billion. But not all of that would need to be appropriated monies. We estimate that about 36% of that would need to be appropriate, and that is over a five year period. The addition would be either from power partners or the beneficiaries' cautionary partners that we would be looking to fund the incremental costs. Mr. Fleischmann. Thank you, Commissioner. Mr. Chairman, I yield back. Mr. Simpson. Thank you. Mr. Honda. Mr. Honda. Thank you, Mr. Chairman, and welcome. Commissioner Lopez, I am very concerned about the public health and safety implications of allocation decisions, and the over drafting of our groundwater basin in and around my Silicon Valley district. Last year the ground water reserves in Santa Clara Valley were drawn down 80,000 acre feet. Our county experienced 14 feet of historical subsidence, prior to 1970, with much of the county already subsided below sea level. Our region is densely populated with waste water treatment plants, sewer and water lines, rows and foot controlled levies that traverse; areas vulnerable to subsidence. Even if Santa Clara Valley Water District were to receive its expected 50% municipal and industrial allocation or approximately 65,000 acre feet from the Central Valley Project it will still be a challenge to address the risk of subsidence in our country. They'll be likely not enough water supply to meet Silicon Valley's projected indoor residential, and commercial and industrial demands, our public health and safety needs, if you will, without pulling from our groundwater basin. In Silicon Valley the groundwater basin is used to balance our water supply needs, but it is critical that in doing so we avoid land subsidence in the San Jose area. So, obviously, this awful draught has left the Bureau with significant challenges the past three years. So I wanted to ask your thoughts on how public health and safety issues should come into play when we are making difficult decisions about allocation decisions? Mr. Lopez. Congressman, thank you for your question. Public health and safety has to be given one of, if not the highest priority, in terms of allocations. We have a lot of contractual obligations that we have to meet. We have environment regulations that we have to meet, but public health and safety has to be given a high priority as well. The problem that you highlight, the fact that the last few years there has been so little water that you have had to go more and more towards groundwater is, obviously, a huge problem. I think to the extent that communities are able to find alternatives, potentially desalination, reuse, things of that nature. Those are, obviously, much preferred. Mr. Honda. Yes. I appreciate the level of concern and where it sits in the allocation decisions, but in Silicon Valley the driving force in our economy is technology. So we have commercial, high-tech, including the public consumption of water, so it seems to me that that kind of consideration hopefully played a large part in how we look at allocations. Because I think sometimes we make allocation decisions based on historical uses, urban versus ag, and I think with ag we are even looking at how we are going to allocate ag waters if they have certain kinds of conservation practices. So with that, appreciate some thoughtful considerations on that area. On the Bay Delta conservation plan can you provide us with an update on the status of efforts on the Bay Delta conservation plan, and what has been the federal role to the state? Mr. Lopez. Congressman, the Bureau of Reclamation continues to work very, very closely with the state and the other agencies that are looking at this thing, notably the Fish and Wildlife Service, the National Marine Fishery Service, California Department of Fish and Wildlife, and the California Water Agencies to try and figure out how to move this forward. As I think you know, we have been through an EIS, Environment Impact Statement, California in an Environmental Impact Report last year, and then we put it out for comments and got thousands of comments. We have adjusted, and we recognize that there needs to be a supplemental EIS or Environmental Assessment. We are getting ready to finalize that. We should have that sometime in the Spring to be able to put out and keep that process moving forward. Mr. Honda. In that 2016 budget request of the reclamation section what federal role is envisioned under that current plan, and what kinds of costs would be involved at the federal level, and are those costs including reclamation activities or include other federal agencies that will be included in reclamation or that kind of activity? So just kind of curious how much and what role it is going to play. Mr. Lopez. So I have described, kind of, the agencies that I am familiar with that are working on this, but for our budget, for our portion of that work, we have requested $4 million for continuing our part of that process. Mr. Honda. So I can pursue how that would be distributed and what we can expect to spend it on? Mr. Lopez. Mr. Chairman, yes. I think that it basically would be to continue the sort of, technical work that needs to go into this, sort of, continuing to move this environment compliance forward. Mr. Honda. Thank you, Mr. Chairman. Appreciate it. Mr. Simpson. Thank you. I think I kind of see how this committee is going to breakout now after this just being our second hearing is that we are going to have California water as the main issue, and with the four Californians that do not always agree on the best solution to everything, and it is going to be the rest of us trying to protect ourselves from California with Representative Herrera because they want our water. Mr. Honda. Idaho has a lot of beautiful water. Mr. Simpson. Yes, it does. First, just kind of a technical question I need to ask, Fiscal Year 2012 reclamation was directed to assemble data on pipeline reliability for a variety of types of pipe, and to conduct an analysis of a performance of these types of pipes. Additional clarification was provided in subsequent fiscal years, including that reclamation should take all steps possible to avoid even the appearance of bias in this work. Can you please provide the committee with an update on what is being done in response to these directives, including reclamation's role, and what activities are being conducted by an outside entity? And when will this report be completed and submitted to the committee? Mr. Lopez. Mr. Chairman, yes. This has been a long running issue for Reclamation. Following the National Academy of Science Report that was done a few years ago, one of the items that that National Academy of Science Report identified was that the amount of information or the amount of data on the corrosion rates of various types of pipe was, kind of, lacking. So coming out of that we were directed to conduct that sort of survey on the various types of pipes that are out there. We have done that. We have formulated the survey documents or what we need to do the survey. Then it became apparent that there was concern about whether we could do that objectively or whether we would be biased and try and drive the outcome of the survey. So we were instructed to have an independent entity do that. We are doing that. In developing, kind of, the scope of the survey and all of that we are required to make that available to the public before going out and starting the work. We have done that, and we have put it out to the public for 60 days, and right at the end of the comment period we got a very large amount of comments. As a result, we redid the survey instruments, and we put it out for public comment again. Halfway through that process some of the interested Congressmen asked if we would give additional time for comment on those things. We accommodated that. That moved the timeframe into December, I believe it was. We are now trying to still finalize the thing. We had anticipated that we would be able to do all of this by this September, September of 2015. Because of these delays and the comments that we have tried to accommodate we think that it will now take us into mid-2016 to complete all of this, assuming that there are no further delays. Another element that you asked about was what role we would play. As I mentioned, there is concern about whether we can be unbiased in that process, so we had already planned on having an independent contractor do the work. Now we have been asked to have an independent contractor do the analysis, the economic analysis, that would follow up on the results of that. That is part of our plan as well. Mr. Simpson. Okay. Thank you. I want to get into just a little bit something that Mr. Visclosky and I were talking about that has come up. Having been ranking member and chairman of this committee we both have, kind of, an interest in this. That is the future. We do not like to be surprised. Do you have a five year plan in place for your agency, five year work plan? Mr. Lopez. Mr. Chairman, as I mentioned we have a five year plan as relates to, kind of, our infrastructure and the aging infrastructure and making sure that we can deal with that. We have that. Is that what you are referring to? Mr. Simpson. That and, as an example, today in this budget we are funding three of the four Indian water rights settlements proposed in this new account, and it has increased significantly in this budget request. Some of these settlements have statutory deadlines for completing work. Are we on track for those deadlines? Can we anticipate over the next five years what we are going to be spending on Indian rights settlements on water rights and stuff, in all of those categories? I guess to ask it in kind of a not too specific way, and I will not ask you to do this, but if you ran a business I could go back and sit down and probably put together, if someone asked me to, what it was going to cost me to run my business next year, and what I anticipate it is going to cost me in a couple years. Understanding that there are, sometimes, things that happen to change those plans. Could you do that, and I am not going to ask you to do it, but could you tell us what, and I am not asking you to actually tell us, but if you had to could you tell us what you think the budget will be for the next year and the year after? Mr. Lopez. Mr. Chairman, yes, I think. And going back to your question about the Indian Water Rights Settlements and so forth, this year showed a significant increase on that, and it is driven by the statutory deadlines that are built into those settlements, and making sure that we can meet those deadlines for implementation. I am told, I spoke with Mr. Wolf earlier that the level that we have asked for this year, the $112.5 million, should, essentially, stabilize. We may have a little bit of an increase, but not a big increase. That is assuming that we are focused on the settlements that are now currently in place. Obviously, if we get new settlements that add additional responsibilities that changes that picture. But for the settlements in place we think we are, essentially, a stable funding level. For the rest of this, in general, we have been over the course of the last eight years or so, essentially, very close to an overall flat budget. I would anticipate we would be, essentially, the same. We will have to reorder our priorities within that as we move forward. Mr. Simpson. When you talk about the Indian water rights settlements, is this for the negotiation of the Indian water rights settlement or is this payments that were negotiated? In other words, are we appropriating money for that or does that come out of the Judgment Fund? Mr. Lopez. The $112.5 million that I am talking about is for the implementation of settlements that have already been-- -- Mr. Simpson. Negotiated? Mr. Lopez. Negotiated and approved by Congress. In most instances, the monies that are being put out, that we are asking for, is to build infrastructure that is a compliment of the settlement. Mr. Simpson. Okay, I appreciate that. Thank you, Mr. Visclosky. Mr. Visclosky. Thank you, Mr. Chairman. I just would make a comment in conjunction with what the chairman said on the work plan, $2.9 billion over five years, if I am doing the 36 percent correct, that gets me at about $1.44 billion, which divided by five, five years, is 18 percent more than you asked for this year. I despair that this institution continues not to address the issue of entitlements and adequate revenue, because I do not see how you get your work plan done, which is no failing of yours. On dam safety, a number of questions were asked. I would have one on the authorization ceiling. The Bureau has indicated that reauthorization efforts for the Safety of Dams Act would need to be completed prior to the submission of one of the modification reports planned for fiscal year 2016 and future modifications. Authorization extensions were called for in the budget for CALFED as well as the Secure Water Act. Why did the budget not include any recommended changes for the Safety of Dams Act, given the pressing need? Mr. Lopez. We have some room in the authority for the Safety of Dams Act, I believe, somewhere on the order of $383 million still within the existing cap. You are correct, there is at least one dam that we have identified in Oregon, that dam by itself, the cost of that modification is estimated at about $450 million. Before that could be moved forward, we would need to raise the authorization ceiling. We did not request that. We know the Authorizing Committee is aware of it. It was requested last year, but they opted not to. Mr. Visclosky. I assume it will be worked on. Mr. Lopez. We hope to talk to them and see if they are willing to do that. Mr. Visclosky. Sooner rather than later. Mr. Simpson. Will the gentleman yield? Mr. Visclosky. Sure. Mr. Simpson. Is there any controversy with that, do you know, with the authorization committees or anything? Mr. Lopez. I am looking at Mr. Wolf, and he says no. Mr. Visclosky. One final question. The budget request increases funding for the resilient infrastructure investments account, it is a component of WaterSMART, by 67 percent. Could you provide for the subcommittee details of what Reclamation is doing with this line item, and how it compliments or is different from another line item, which is the examination of existing structures? Mr. Lopez. Let me describe the last portion first, the examination of existing structures is part of our Dam Safety Program that basically is again--I described earlier how we do an eight year rotation, make sure we inspect all of our facilities. That is what that portion is. Mr. Visclosky. Okay. Mr. Lopez. The Infrastructure Resilience Fund, we are asking a modest amount, $2.5 million. It is an increase over what we have had before. What we are trying to focus on here is not the infrastructure rehabilitation itself, but trying to set up the mechanisms and the protocols such that as a matter of course, when we know we have to rehabilitate infrastructure, that we are not just dealing with bringing it back to what it was before, but rather looking out into the future about climate change and what modifications can we change to make that infrastructure as we are doing that routine work, make it more resilient to withstand those kind of anticipated future changes, or as we were talking earlier about, kind of some of the environmental impacts. If there is something we can do as we are just doing some of our routine rehabilitation, upkeep, if we can anticipate the needs such that we do not have to come back and do a retrofit later, that is what that money is going to be focused on. Mr. Visclosky. Thank you. Thank you, Mr. Chairman. Mr. Simpson. Mr. Calvert. Mr. Calvert. Thank you, Mr. Chairman. I just want to emphasize again, Mr. Valadao certainly brought this up, and I will do it again. The short term issue that we were just discussing on the flexibility to pump to the maximum degree possible under the existing biological opinion, I do not believe that is occurring. I will be talking to you and Mike in the future about this, but I do not believe it is occurring because of some of the difficulties that Mr. Valadao brought up and others that this is happening. When we get the final report, if we did lose 10,000 acre feet of water this last weekend, that is enough water to supply Mr. Valadao's small communities for the rest of the year. That is a lot of water. When you have 30,000 CFS, most people cannot even visualize that kind of water moving down and through the Bay. I wrote the CALFED bill a number of years ago. That was my legislation. How long has that been, 12 years ago? Something like that. We have had reports. We have had studies. We have had technical evaluations. We have had environmental reviews. If all that stuff was water, the drought would be over. We have been studying the various expansions of capacity and dams in California to move the construction of this long term solution of storage. A Shasta study was supposed to be done this year, I understand. The Upper San Joaquin River study is supposed to be done this year. We have had frustrations on the Sites Reservoir, and certainly we have some issues with a non-Federal share, and those issues have to be resolved. All of these things, at the end of the day, we have to finish these studies and we have to get on with it and start building reservoirs, and the long term solution to California is we have to get the storage completed. That was the intent of the bill. We have spent God knows how much money on environmental projects in the Bay area. That is great. We have to build the storage because Silicon Valley is going to be out of water. Los Angeles is going to be out of water. Southern California is going to be out of water. People like to joke about California, but we are a big part of the economy. You cannot do much without water. I will be leaning on you, Commissioner, Mike, and the Secretary, that we have to deal with this. I have not even got into the Colorado River. As you know, we have 67 million acre feet of storage in the Colorado River system. What are you down to right now in capacity? Mr. Lopez. We are down below half. Mr. Calvert. Below half. That is about as low as it has been since the creation of much of those projects, is it not? Mr. Lopez. Certainly, Lake Mead is down at a lower level since it was built. Mr. Calvert. Las Vegas is putting in a new tunnel to be able to capture water out of the bottom of Lake Mead. If Lake Mead runs dry, they are going to have to shut down that Palazzo Hotel. We will be having Frank Sinatra sprouting water. I make a joke about it. That is a big part of the western economy. Arizona is out of water. Nevada is out of water. New Mexico is out of water. This is severe. We cannot lose a drop of water. That is the point I want to make. We have to start building storage and resolve this problem for the long term. With that, Mr. Chairman, thank you. Mr. Simpson. Mr. Honda. Mr. Honda. I was going to ask a question, but I thought I would get into that discussion about water. We do not manage drought. We manage water. The drought issue is a phenomenon that is kind of global, I think, and it is affected by a lot of other things. We can figure out the different ways of recycling water, manage the water, things like that. Water is a finite commodity in the world, globally. I think it is something that California is going through, and we have not learned to manage a couple of things, and one is understand that water is a commodity that you can only get so much of, it is a limiting factor, I guess they call it. If we continue to grow our population without taking into consideration how we are going to have sufficient water for the growing population, then we are going to constantly face this issue of the shortage of water. It is really learning how to manage it. One of the ways is we could probably tap into Idaho's great rivers where large sturgeons are living. My point is I think as humans we have to start looking at the essence of the limiting factor that water presents itself in and how we look at our population, how we look at growth, how we look at management, and storage is one way but it is not the answer to this thing we call a ``drought'' that happens, that we do not have much control over, unless we understand other dynamics. I go to Idaho to enjoy your beautiful rivers. I think the salmon and the different places is something that needs to be preserved. I think Idaho has something to be proud of. We have some things to be proud of in California. We just have a large growth of people that want to live there, and I think we have to learn how, as farmers and ag people, learn how to manage that. A lot of them are doing it. I think we just have to learn how to manage our water. In California, we were rationing 25 percent in the last drought, and after the drought was over, we lifted it, and we should have continued our practice of managing and rationing our water so that we learned to live with what we can. A lot of it is going to be behooving upon us as a population to understand how we do that as a community. It affects a lot of people. I think this is one of the lessons I have learned. I think it behooves us to sort of share that insight, and at the same time, solve a problem. I do not think we as humans know how to do flood control, but we certainly should know how to manage the water that we have. I have a parochial question, in the words of the chairman that he used yesterday. The water hyacinth, what is happening with that in the San Joaquin/Sacramento Delta area? For some, it is a plant, and it is a beautiful plant, but for others, it is a weed. As a fisherman, it messes up my fishing. It just drags my line down the river. Mr. Lopez. I spoke earlier about some of the constraints on pumping water out of the Sacramento River Delta and so forth. Water Hyacinth, I understand it is an invasive species and it has been around for a long while, I think it may be an attractive plant but it can also completely clog these waterways. That is what has happened this year. It has completely clogged these waterways, including preventing us to really be able to operate those things the way we would like. We have been doing all that we can to remove that. There was literally, at least at the beginning of this, miles of this they were trying to clean up. They were moving a tremendous amount of these plants out of the area, but not really able to keep up. Since then, they have made some headway. A number of the irrigation districts are working with us, the State of California is working with us, providing resources. We are working on trying to clear out these things, but they continue to be a huge challenge. Mr. Honda. The use of fertilizers, is that a big contributor and something we should be looking at also? Mr. Lopez. Congressman, I do not know the answer to that. I was told yesterday something about the drought itself and perhaps the increased water temperatures might have been contributing to it, but frankly, I do not know the answer to what is driving that. Mr. Honda. Thank you. Mr. Simpson. Thank you. Mr. Valadao. Mr. Valadao. There was a lot in that last statement there, but one comment on transporting water across different state lines that would require a pipeline, and those are not popular back here at times. On the agriculture, I am the only farmer up here and I still currently farm. When we look at the pesticides that are being used throughout, and herbicides, the things we do use, they are so expensive and resources are so tight, there is no room for just throwing stuff on fields or just putting it around. I happen to be the guy that has the permit on our own personal property. The amount of work it takes for me to get my ability to hire a PCA and the permitting process he has to go through so he can come out and look at my fields and tell me what pesticides to use, for me to then hire another guy who has gone through a permitting process again to be able to apply those things, it is not as simple as the people that go to town, whatever hardware store they go to, and purchase whatever, and just put it on their grass without any specific measurements. There is a huge difference between agriculture and urban users. I just wanted to just make a point of clarification. Mr. Honda. If you would allow me to make a quick comment, I was trying to make a distinction between urban users and ag, and I think urban users, we do put a lot of stuff on the ground with a lot of thought. I think that is probably a great source of the nutrients that run off. I think you guys are pretty scientific about it. Mr. Valadao. We have done everything we possibly can to save money and preserve resources. Commissioner, as you know, obviously building water restructure is very important to me and something I am very interested in. Yesterday, I met with representatives from the Sites Reservoir or Sites Project Joint Powers Authority, the JPA. They said they are on the verge of making great progress on the project itself. The JPA and the Bureau of Reclamation are working on a plan to get the feasibility study and the environmental documents completed no later than December 2016, which will help ensure the project is in a position to compete for the funds made available. The Sites JPA is pursuing investors and reaching out to the environmental community and land owners that will be impacted by the project. I want to make sure that the Bureau is committed to helping to move this project forward and that you have the resources necessary to help ensure the feasibility study and EIR and EIS are completed no later than the end of 2016. What steps is the Bureau taking on this project to make sure the deadline is met? Mr. Lopez. Congressman, we also met with some of those folks in the last couple of days. They are very focused right now on getting us what they need in terms of the agreements and so forth. We are working with them on developing a Project Management Plan. That is one of the key elements. Obviously, I am relatively new to this one, but I met with a group that included a number of people within our organization that are very familiar with what needs to be done. I got a very distinct impression during that conversation that we were all on the same page about being able to get to that deadline you are talking about and making sure a decision can be made relative to the funds. As I understand it, that is kind of the driver for that whole thing. Mr. Valadao. One of the issues with pumping on the Delta, there is a lot of blame to go around, if it is ESA or other things, but there is that issue, I think it is called ``hyacinth,'' that weed, the invasive species that has come over on ships or whatever it was. Some money was brought in through that $50 million to help eliminate that issue. Is there anything going on or do you have any plans going forward with that to help remove that invasive species? I do not know what the proper term is for that. When are we going to see some action on that? Mr. Lopez. There is a lot of action going on right now. Basically, we are trying to get as many resources as we can to get that cleared out right now. We are finally having some impact. Initially, when we started out---- Mr. Valadao. It is an underwater weed; right? Mr. Lopez. It floats on the water. As I understand it, I do not know much about this but I have been talking to a lot of people in the last few days about it, and I am told it floats on the water with kind of a bulb-ish mass on the top with roots that go down into the water. I am told it can be up to five or six feet thick, just floating on the top there. Right now, we have partners, the San Luis and Delta-Mendota Water Authority, the Central California Irrigation District, the Department of Boating and Waterways, the Department of Water Resources. They are all helping us to try to remove that right now. In some instances, we are entering into agreements, such that they can operate some of our equipment. We are trying to do all things to move that process forward. Mr. Valadao. It is a huge challenge. This is my last question, so I just want to thank you very much for taking some time out for us today, and I look forward to working with you in the future, and appreciate the chairman for giving me some time today. Mr. Simpson. Thank you. It is interesting sitting and listening to this debate and the questions about California waters and the drought down there. I went and visited the Central Valley in Mr. Valadao's district last summer, I guess it was, last May or so. To tell you the truth, I was shocked. I have never seen any place where agriculture has done as much to conserve water as they have in the Central Valley. You do not see sprinklers spraying water all over the fields and that kind of stuff like you do in most agricultural places, or flood irrigation, or any of that. It is all drip. They use as little water as possible to address the needs. It is also really kind of sad to see them taking out the almond trees and the pistachio trees. If the drought is over next year, they do not come back next year. A potato crop you cannot grow because of a drought this year, next year when you get water, you can replant it. Losing some very long term investment there that is important. Anyway, they do a great job in the Central Valley in trying to conserve what they have during these difficult times. Mr. Visclosky, anything else? Mr. Visclosky. No, thank you. Mr. Simpson. Mr. Honda. Mr. Honda. No, thank you. Mr. Simpson. Thank you for being here. We look forward to working with you, and congratulations on your confirmation by the Senate. The Senate finally did something that we are very proud of. Thank you for coming today, and we look forward to working with you as we put this budget together. Mr. Lopez. Thank you, Mr. Chairman. Thank you, members, appreciate the discussion. [GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT] W I T N E S S E S ---------- Page Bostick, General T. P............................................ 1 Darcy, Jo-Ellen.................................................. 1 Lopez, E. R...................................................... 97