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                                                       Calendar No. 307
106th Congress                                                   Report
                                 SENATE
 1st Session                                                    106-177
======================================================================

 
                  CENTRAL UTAH PROJECT COMPLETION ACT

                                _______
                                

                October 6, 1999.--Ordered to be printed

                                _______
                                

  Mr. Murkowski, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 1377]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 1377) to amend the Central Utah Project 
Completion Act regarding the use of funds for water development 
for the Bonneville Unit, and for other purposes, having 
considered the same, reports favorably thereon with an 
amendment and recommends that the bill, as amended, do pass.
    The amendment is as follows:
    Strike out all after the enacting clause and insert in lieu 
thereof the following:

That the first sentence of Section 202(c) of the Central Utah Project 
Completion Act (Public Law 102-575, 106 Stat. 4600, 4611) is revised to 
read as follows:
    ``(c) The Secretary is authorized to utilize any unexpended budget 
authority provided in title II up to $60,000,000 and such funds as may 
be provided by the Commission for fish and wildlife purposes, to 
provide 65 percent Federal share pursuant to section 204, to acquire 
water and water rights for project purposes including instream flows, 
to complete project facilities authorized in Titles II and III, to 
implement water conservation measures, and for the engineering, design, 
and construction of Hatchtown dam in Garfield County and associated 
facilities to deliver supplemental project water from Hatchtown dam.''

                         Purpose of the Measure

    The purpose of S. 1377 is to amend the Central Utah Project 
Completion Act (CUPCA) to permit the transfer of unused 
spending authority between CUPCA programs.

                          Background and Need

    The CUPCA which was enacted as part of the Reclamation 
Projects Authorization and Adjustment Act of 1992 (PL 102-575), 
authorized $900 million to complete the Central Utah Project. 
This authorization was broken down into numerous feature or 
program-specific authorizations. These features or program-
specific authorization levels were based on original estimates 
from the Bureau of Reclamation. CUPCA also transferred 
construction responsibility for the CUP from the Bureau to the 
Central Utah Water Conservancy District, the state sponsoring 
agency for the project. Oversight of the District's planning 
and construction activities is provided by the Department of 
the Interior.
    Since 1992, the District has reformulated the CUP in a 
number of significant ways. Several project features, including 
the irrigation and drainage system, have been eliminated, and 
other programs have been redesigned to be more cost-effective. 
In addition, CUPCA's water conservation program has met with 
great acceptance and is expected to fully use its program-
specific authorization. The District's program to purchase 
water rights to meet minimum stream flow needs is also in need 
of additional funding. Further, certain water delivery features 
have been redesigned. For example, the Diamond Fork System was 
redesigned to eliminate the controversial Monks Hollow dam. 
This redesign, however, increased the overall cost of the 
Diamond Fork System beyond the authorization limit contained in 
CUPCA.
    S. 1377 would expand the authority given the Secretary of 
the Interior in section 202(c) of CUPCA to use unexpended 
budget authority for water conservation projects, water rights 
acquisition, and other specifically authorized project features 
in Title II of CUPCA. S. 1377 does not increase the total 
overall authorization for the Central Utah Project.

                          Legislative History

    S. 1377 as introduced by Senator Bennett on July 15, 1999. 
A hearing was held before the Water and Power Subcommittee on 
July 28, 1999. At the business meeting on September 22, 1999, 
the Committee on Energy and Natural Resources ordered S. 1377, 
as amended, favorably reported.

           Committee Recommendations and Tabulation of Votes

    The Committee on Energy and Natural Resources, in open 
business session on September 22, 1999, by a unanimous vote of 
a quorum present, recommends that the Senate pass S. 1377, if 
amended as described herein.

                          Committee Amendments

    During the consideration of S. 1377, the Committee adopted 
a substitute amendment that makes technical corrections and 
also responds to concerns expressed by the Administration at 
the July 28, 1999 Subcommittee hearing, including limiting the 
total amount of funds that may be transferred and deleting 
authority regarding recreation expenditures.

                         Summary of the Measure

    As ordered reported, S. 1377 authorizes the Secretary of 
the Interior to transfer unexpended budget authority between 
CUPCA programs for purposes specified in the measure.

                   Cost and Budgetary Considerations

    The Congressional Budget Office cost estimate report had 
not been received at the time the report was filed. When the 
report becomes available, the Chairman will request that it be 
printed in the Congressional Record for the advice of the 
Senate.

                      Regulatory Impact Evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 1377. The bill is not a regulatory measure in 
the sense of imposing Government-established standards or 
significant economic responsibilities on private individuals 
and businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 1377, as ordered reported.

                        Executive Communications

    On September 15, 1999, the Committee on Energy and Natural 
Resources requested legislative reports from the Department of 
the Interior and the Office of Management and Budget setting 
forth Executive agency recommendations on S. 1377. These 
reports had not been received at the time the report on S. 1377 
was filed. When the reports become available, the Chairman will 
request that they be printed in the Congressional Record for 
the advice of the Senate. The testimony provided by the 
Department of the Interior at the Subcommittee hearing follows:

              Statement of U.S. Department of the Interior

          This statement provides the Administration's 
        testimony on S. 1377. Section 202(c) of the Central 
        Utah Project Completion Act (Public Law 102-575, 106 
        Stat. 4600, 4611) originally authorized the Secretary 
        to utilize any unappropriated funding authority for the 
        engineering, design, and construction of the Hatchtown 
        Dam in Utah. S. 1377 amends section 202(c) by expanding 
        the Secretary's authority to utilize unappropriated 
        funding authority to also acquire water rights, to 
        complete project facilities, and to implement water 
        conservation measures.
          While the Department is willing to consider a limited 
        and specified increase in authorized funding for water 
        rights acquisition, water conservation, and efficient 
        completion of project facilities, it opposes this 
        legislation as currently drafted because it is overly 
        broad and inadequately defined. The bill leaves unclear 
        exactly how much total funding it intends to make 
        available for these purposes and its allocation among 
        purposes. Furthermore recreation is not a top priority 
        of the Central Utah Completion Act and we would suggest 
        deletion of the reference to recreational enhancement. 
        We would welcome the opportunity to work with the 
        Committee to develop language to address these 
        concerns.
          In early 1993, following the enactment of the Central 
        Utah Project Completion Act (Act), a Program Office in 
        Provo, Utah was established to carry out the 
        Secretary's responsibilities under the Act and to 
        coordinate the implementation of the Act with the 
        Central Utah Water Conservancy District (District) and 
        the Utah Reclamation Mitigation and Conservation 
        Commission (Mitigation Commission). This has been a 
        very successful arrangement, and the implementation of 
        the project has made substantial progress over the past 
        6 years. The Department is proud of its role in 
        implementing the Act and coordinating with the District 
        and the Mitigation Commission.
          During this period, it has become apparent that key 
        issues such as the endangered June sucker, water 
        conservation, and minimum flows in the lower Provo 
        River are items that must be considered and addressed 
        as the project is completed. This amendment would 
        provide the Secretary with additional budget authority 
        to more easily address alternative solutions to these 
        issues.

                        Changes in Existing Law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the bill S. 1377, as ordered reported, are shown as follows 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed in italic, existing law in 
which no change is proposed is shown in roman):

               PUBLIC LAW 102-575 (106 STAT. 4600, 4611)


TITLE II--CENTRAL UTAH PROJECT CONSTRUCTION

           *       *       *       *       *       *       *



SEC. 202.

    (c) [The Secretary is authorized to utilize any unexpended 
budget authority provided in title II and such funds as may be 
provided by the Commission for fish and wildlife purposes, to 
provide 65 percent Federal share pursuant to section 204, of 
engineering, design, and construction of Hatchtown dam in 
Garfield County and associated facilities to deliver 
supplemental project water from Hatchtown dam.] The Secretary 
is authorized to utilize any unexpended budget authority 
provided in title II up to $60,000,000 and such funds as may be 
provided by the Commission for fish and wildlife purposes, to 
provide 65 percent Federal share pursuant to section 204, to 
acquire water and water rights for project purposes including 
instream flows, to complete project facilities authorized in 
Titles II and III, to implement water conservation measures, 
and for the engineering, design, and construction of Hatchtown 
dam in Garfield County and associated facilities to deliver 
supplemental project water from Hatchtown dam. The District 
shall establish a viable minimum conservation pool in Hatchtown 
dam and shall ensure maintenance of viable instream flown in 
the Sevier River between Hatchtown dam and the Piute dam with 
the concurrence of the Commission and in consultation with the 
Division of Wildlife Resources of the State of Utah. The 
District shall comply with the provisions of section 202(a)(1) 
with respect to the features to be provided for in this 
subsection.

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