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                                                       Calendar No. 937
106th Congress                                                   Report
                                 SENATE
 2d Session                                                     106-488

======================================================================



 
      CHANDLER PUMPING PLANT AT PROSSER DIVERSION DAM, WASHINGTON

                                _______
                                

October 4 (legislative day, September 22), 2000.--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. 2163]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 2163) to provide for a study of the 
engineering feasibility of a water exchange in lieu of 
electrification of the Chandler Pumping Plant at Prosser 
Diversion, Washington, 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:

SECTION 1. CHANDLER PUMPING PLANT AND POWERPLANT OPERATIONS AT PROSSER 
                    DIVERSION DAM, WASHINGTON.

    Section 1208 of Public Law 103-434 (108 Stat. 4562) is amended--
          (1) in subsection (a)--
                  (A) in the subsection heading, by inserting ``or 
                Water Exchange'' after ``Electrification'';
                  (B) by redesignating paragraphs (1), (2), and (3) as 
                subparagraphs (A), (B), and (C), respectively, and 
                indenting appropriately;
                  (C) by striking ``In order to'' and inserting the 
                following:
          ``(1) Electrification.--In order to''; and
                  (D) by adding at the end the following:
          ``(2) Water exchange alternative.--
                  ``(A) In general.--As an alternative to the measures 
                authorized under paragraph (1) for electrification, the 
                Secretary is authorized to use not more than $4,000,000 
                of sums appropriated under paragraph (1) to study the 
                engineering feasibility of exchanging water from the 
                Columbia River for water historically diverted from the 
                Yakima River.
                  ``(B) Requirements.--In carrying out subparagraph 
                (A), the Secretary, in coordination with the Kennewick 
                Irrigation District and in consultation with the 
                Bonneville Power Administration, shall--
                          ``(i) prepare a report that describes project 
                        benefits and contains feasibility level designs 
                        and cost estimates;
                          ``(ii) secure the critical right-of-way areas 
                        for the pipeline alignment;
                          ``(iii) prepare an environmental assessment; 
                        and
                          ``(iv) conduct such other studies or 
                        investigations as are necessary to develop a 
                        water exchange.'';
          (2) in subsection (b)--
                  (A) in paragraph (1), by inserting ``or water 
                exchange'' after ``electrification''; and
                  (B) in the second sentence of paragraph (2)(A), by 
                inserting ``or the equivalent of the rate'' before the 
                period;
          (3) in subsection (d), by striking ``electrification,'' each 
        place it appears and inserting ``electrification or water 
        exchange''; and
          (4) in subsection (d), by striking ``of the two'' and 
        inserting thereof''.

                         Purpose of the Measure

    The purpose of S. 2163 is to provide for a study of the 
engineering feasibility of using water from the Columbia River, 
instead of the Yakima River or electricity, to power pumps at 
the Chandler Pumping Plant at Prosser Diversion Dam, 
Washington.

                          Background and Need

    The Yakima Project in Washington State provides irrigation 
water for a narrow strip of fertile land that extends for 175 
miles on both sides of the Yakima River in south-central 
Washington. There are seven divisions in the project, one of 
which is the Kennewick Division. This Division is a combined 
irrigation and power development and includes the Chandler 
Powerplant and 19,171 acres or irrigable land, of which 4,637 
are in the Kennewick highlands and have been irrigated for many 
years. The Prosser Diversion Dam, on the Yakima River near 
Prosser, is a 9-foot-high concrete weir. Two fishways are 
provided to facilitate movement of fish over the dam. The 
Chandler Powerplant develops 12,000 kilowatts, which are 
delivered to the Bonneville Power Administration.
    The Kennewick Irrigation District (KID) currently diverts 
water from the Yakima River at Prosser, Washington. The water 
flows down Chandler Canal to the Chandler Pump Station where it 
is pumped into the KID's Main Canal. Up to 333 cubic feet per 
second (cfs) of irrigation water is pumped into the Main Canal. 
The pumps in Chandler Pump Station are hydraulically driven 
turbine pumps which require approximately 1.25 gallons of water 
to lift (pump) one gallon of water into KID's Main Canal. 
Therefore, furnishing KID's irrigation and pumping water 
requires a peak diversion from the Yakima River of 749 cfs. At 
Chandler Pump Station, the 416 cfs used to drive the hydraulic 
pumps is returned to the Yakima River. In the roughly 10-mile 
stretch of the Yakima River between Prosser Dam and Chandler 
Pump Station, the diversion of KID's 749 cfs can result in low 
instream flows. Downstream from Chandler Pump Station, instream 
flows are not as significantly impacted because water used to 
drive the turbine pumps has been returned to the river.
    Much of the KID's irrigated acreage is adjacent to the 
Columbia River. The proximal location of KID's irrigated 
acreage and the Columbia River make it possible to serve much 
or all of the KID's irrigated land from the Columbia River. 
Relocation of KID's diversion to the Columbia River is being 
evaluated as a means of increasing Yakima instream flows and 
thereby improving anadromous fish habitat.
    Section 1208 of Public Law 103-434 authorized a specific 
project to electrify hydraulic turbines at the Chandler Pumping 
Plant. By converting these pumps from hydraulic to electrical 
power, an additional 400 second feet of water would be added to 
a 12-mile stretch of the Yakima River below Prosser Dam called 
Chandler Reach. This project would increase survival rates and 
provide important new habitat for both the anadromous and 
resident fisheries. Although the electrification project is 
still a good approach to augmenting Yakima River flows, early 
in its implementation, an alternative idea was developed that 
could nearly double the benefits projected from 
electrification.
    S. 2163 amends section 1208 of Public Law 103-434 to 
require the Secretary of the Interior to study the engineering 
feasibility of exchanging water from the Columbia River for 
water historically diverted from the Yakima River. This new 
approach could result in completely eliminating the need to 
divert water at Prosser Dam and Wanasish Dam for use by the KID 
and the Columbia Irrigation District. The plan will require 
building a new pumping plant on the Columbia River and a 
pipeline to connect this new facility to KID. Taking this 
approach could add back to the Yakima River during critical 
flow periods, the entire 749 second feet of water now diverted 
at Prosser Dam.

                          Legislative History

    S. 2163 was introduced by Senator Gorton on March 2, 2000 
and a Subcommittee hearing as held on May 24, 2000. At the 
business meeting on September 20, 2000, the Committee on Energy 
and Natural Resources ordered S. 2163, as amended, favorably 
reported.

                        Committee Recommendation

    The Committee on Energy and Natural Resources, in open 
business session on September 20, 2000, by a unanimous voice 
vote with a quorum present, recommends that the Senate pass S. 
2163, if amended as described herein.

                          Committee Amendment

    During the consideration of S. 2163, the Committee adopted 
an amendment in the nature of a substitute that incorporated 
suggestions made by the Bonneville Power Administration at the 
Subcommittee hearing. The changes are: (1) the cost of the 
study is limited to $4,000,000, rather than ``such sums as 
necessary;'' and (2) in conducting the study, the Secretary is 
directed to cooperate with the Columbia Irrigation District (in 
addition to the Kennewick Irrigation District) and consult with 
the Bonneville Power Administration.
    S. 2163 makes several amendments to section 1208 of Public 
Law 103-434. This Act authorized appropriations to electrify 
pumps at the Kennewick Irrigation District (KID). The 
substantive changes made by S. 2163 authorize the Secretary of 
the Interior to use up to $4,000,000 of sums already authorized 
to study the engineering feasibility of exchanging water from 
the Columbia River for water historically diverted from the 
Yakima River. This exchange, if deemed feasible, would be done 
in place of the electrification proposed in P.L. 103-434. In 
carrying out the feasibility, the Secretary, in coordination 
with KID and the Bonneville Power Administration, is directed 
to: (1) prepare a report that describes project benefits and 
contains feasibility level designs and cost estimates; (2) 
secure critical right-of-ways; (3) prepare an environmental 
assessment; (4) and conduct other studies and investigations as 
necessary. S. 2163 also makes technical and conforming 
amendments to P.L. 103-434.
    In testimony on this measure at the May 24, 2000 hearing, 
the Administration witness objected to the provision 
authorizing the Secretary to ``secure the critical right of way 
areas for the pipeline alignment'' in advance of the conclusion 
of the study. The Committee chose to retain this provision 
because testimony of the project sponsors indicated that the 
potential for development along a small but critical section of 
the necessary pipeline alignment could make later acquisition 
of the necessary rights of way difficult and substantially more 
costly. If the results of the feasibility study indicate that 
the pump exchange is the best option for the District and the 
environment--and preliminary reports suggest that such an 
exchange will provide more benefits than the previously 
considered electrification project--the rights of way will be 
necessary and possibly not available if not acquired in 
advance. If the exchange is not selected as the preferable 
option, and the rights of way are then not necessary, the 
Committee anticipates that the rights of way would be 
reconveyed to the original holders.

                   Cost and Budgetary Considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office.

                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 28, 2000.
Hon. Frank H. Murkowski,
Chairman, Committee on Energy and Natural Resources,
U.S. Senate, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for S. 2163, a bill to 
provide for a study of the engineering feasibility of a water 
exchange in lieu of electrification of the Chandler Pumping 
Plant at Prosser Diversion Dam, Washington.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Rachel 
Applebaum.
            Sincerely,
                                          Barry B. Anderson
                                    (For Dan L. Crippen, Director).
    Enclosure.

S. 2163--A bill to provide for a study of the engineering feasibility 
        of a water exchange in lieu of electrification of the Chandler 
        Pumping Plant at Prosser Diversion Dam, Washington

    Summary: The Kennewich and Columbia Irrigation Districts in 
Washington use water diverted from the Yakima River. S. 2163 
would authorize the Secretary of the Interior to conduct a 
feasibility study, prepare an environmental assessment, and 
acquire right-of-way areas necessary to divert water from the 
Columbia River rather than the Yakima River to meet the needs 
of these irrigation districts.
    Based on information from the Bureau of Reclamation, CBO 
estimates that implementing S. 2163 would cost $6 million over 
the 2001-2003 period, assuming the appropriation of the 
necessary funds. Enacting S. 2163 would not affect direct 
spending or receipts; therefore, pay-as-you-go procedures would 
not apply.
    S. 2163 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of S. 2163 is shown in the following table. 
The costs of this legislation fall within budget function 300 
(natural resources and environment).

----------------------------------------------------------------------------------------------------------------
                                                                    By fiscal year, in millions of dollars--
                                                               -------------------------------------------------
                                                                  2001      2002      2003      2004      2005
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Estimated Authorization Level.................................         6         0         0         0         0
Estimated Outlays.............................................         1         2         3         0         0
----------------------------------------------------------------------------------------------------------------

    Basis of estimate; Based on information from the Bureau of 
Reclamation, CBO estimates that the feasibility study and the 
environmental assessment authorized by the bill would cost $4 
million, and that the acquisition of right-of-way areas for 
this water diversion project would cost $2 million.
    Current law authorizes the appropriation of $4 million for 
an electrification project at the Chandler pumping plant. 
Although S. 2163 authorizes the exchange of water as an 
alternative to this electrification project, appropriated funds 
for the electrification project have already been spent by the 
bureau to study this project and on other activities. 
Consequently, S. 2163 provides new authority to study the 
exchange of water from the Yakima to the Columbia River and for 
the acquisition of right-of-way areas.
    Pay-as-you-go considerations: None.
    Intergovernmental and private-sector impact; S. 2163 
contains no intergovernmental or private-sector mandates as 
defined in UMRA and would impose no costs on state, local, or 
tribal governments.
    Previous CBO estimate: On September 20, 2000, CBO 
transmitted a cost estimate for H.R. 3986, a bill to provide 
for study of the engineering feasibility of a water exchange in 
lieu of electrification of the Chandler Pumping Plant at 
Prosser Diversion Dam, Washington, as reported by the House 
Committee on Resources on September 19, 2000. These two bills 
are nearly identical, and their estimated costs are the same.
    Estimate prepared by: Federal Costs: Rachel Applebaum. 
Impact on State, Local, and Tribal Governments: Marjorie 
Miller. Impact on the Private Sector: Lauren Marks.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                      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. 2163. 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 impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 2163, as ordered reported.

                        Executive Communications

    On May 10, 2000, 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. 2163. These 
reports had not been received at the time the report on S. 2163 
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 
Commissioner of the Bureau of Reclamation at the Subcommittee 
hearing follows:

 Statement of Eluid L. Martinez, Commissioner, Bureau of Reclamation, 
                       Department of the Interior

    I am Eluid Martinez, Commissioner of the Bureau of 
Reclamation (Reclamation). I appreciate the opportunity to 
testify on S. 2163, a bill that would amend Public Law 103-434 
to authorize the Secretary of the Interior (Interior), in 
cooperation with the Kennewick Irrigation District (District), 
to study the engineering feasibility of exchanging water from 
the Columbia River for water historically diverted from the 
Yakima River in lieu of electrification of the Chandler Pumping 
Plant at Prosser Diversion Dam, Washington. Although the 
Administration supports the authorization of the feasibility 
study proposed in the legislation, we have concerns with S. 
2163 as introduced. The Administration believes that any 
further authorization beyond this study is premature.
    The Chandler Pumping Plant is currently hydraulically 
powered by water that has been diverted from the Yakima River 
at Prosser, Washington. This diverted water could remain in the 
Yakima River if the pumps were powered by electric motors 
(electrified) or if the project lands were irrigated by water 
pumped from the Columbia River (exchanged).
    To date, Reclamation has pursued study of water 
conservation opportunities for the Kennewick and Columbia 
Irrigation Districts, including hydraulic pump electrification 
and pump exchange opportunities, under its Yakima River Basin 
Water Enhancement Project water conservation planning 
authority. Preliminary reports suggest that a water exchange 
may provide more benefits than the Chandler Electrification 
Project for both the District and for fishery restoration in 
the lower Yakima River.
    Authorization of the feasibility study under S. 2163 is 
urgently needed because of the key location of the proposed 
pump exchange on the lower fifty miles of the Yakima River. 
Preliminary reports suggested a very significant relationship 
between Yakima River flows and the survival of migrating 
juvenile salmon and steelhead below the Prosser Diversion Dam. 
Delay of this project could jeopardize or lessen the positive 
impact of fishery restoration activities in the entire upper 
Yakima Basin above this fifty mile exchange reach. Such 
activities include the Yakama Nation's Full Supplementation 
Hatchery (the only supplementation hatchery in the Northwest), 
fish ladders and screens, full scale water conservation 
improvements, water and habitat acquisition programs including 
the Governor's salmon program, and Yakama Indian Nation water 
acquisition programs.
    The Administration does not support the provision in S. 
2163 authorizing the Secretary to ``secure the critical right 
of way areas for the pipeline alignment.'' Federal 
contributions for land acquisition should await the outcome of 
the study. The Administration also does not support authorizing 
use of project power for the water exchange until after the 
study is completed.
    Full feasibility studies would include a Feasibility Level 
Planning/Environmental Impact Statement, full benefit and cost 
analyses of the alternatives identified (both partial and full 
water exchange options), and would include Endangered Species 
Act consultation. We estimate the cost to complete the studies 
to be about $4 million over a three-year period. The Chandler 
Electrification Project was put on hold by the Regional 
Director in 1998, to allow the district to pursue an exchange 
option. A reconnaissance report prepared by the District shows 
that a water exchange project from the Columbia River has 
promise. We recommend that the feasibility level studies be 
completed.
    This concludes my statement. I will be glad to answer any 
questions.

                        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. 2163, as ordered reported, are shown as follows 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed italic, existing law in which 
no change is proposed is shown in roman):

                  PUBLIC LAW 103-434 (108 Stat. 4562)

           *       *       *       *       *       *       *



SEC. 1206. CHANDLER PUMPING PLANT AND POWERPLANT-OPERATIONS AT PROSSER 
                    DIVERSION DAM.

    (a) Authorization of Appropriations for Electrification or 
Water Exchange.--[In order to]
          (1) Electrification._In order to provide for 
        electrification to enhance instream flows by 
        eliminating the need to divert water to operate the 
        hydraulic turbines which pump water to the Kennewick 
        Irrigation District, there is authorized to be 
        appropriated--
                  [(1)] (A) $50,000 to conduct an assessment of 
                opportunities for alternative pumping plant 
                locations;
                  [(2)] (B) $4,000,000 for construction; and
                  [(3)] (C) such sums as may be necessary for 
                the prorata share of the operation and 
                maintenance allocated to fish and wildlife as 
                determined by the Secretary.
          (2) Water exchange alternative.--
                  (A) In general.--As an alternative to the 
                measures authorized under paragraph (1) for 
                electrification, the Secretary is authorized to 
                use not more than $4,000,000 of sums 
                appropriated under paragraph (1) to study the 
                engineering feasibility of exchanging water 
                from the Columbia River for water historically 
                diverted from the Yakima River.
                  (B) Requirements.--In carrying out 
                subparagraph (A), the Secretary, in 
                coordination with the Kennewick Irrigation 
                District and in consultation with the 
                Bonneville Power Administration, shall--
                          (i) prepare a report that describes 
                        project benefits and contains 
                        feasibility level designs and cost 
                        estimates;
                          (ii) secure the critical right-of-way 
                        areas for the pipeline alignment;
                          (iii) prepare an environmental 
                        assessment; and
                          (iv) conduct such other studies or 
                        investigations as are necessary to 
                        develop a water exchange.
    (b) Power for Project Pumping.--(1) The Administrator of 
the Bonneville Power Administration shall provide for project 
power needed to effect the electrification or water exchange as 
provided in subsection (a).
    (2)(A) There is authorized to be appropriated for the 
Bureau of Reclamation for each fiscal year in which the 
Administrator provides power under this subsection an amount 
equal to the cost to the Bonneville Power Administration of 
providing power under this subsection during such fiscal year. 
The rate to be utilized by the Administrator in determining the 
cost of power under this paragraph in a fiscal year shall be 
the rate for priority firm power charged by the Bonneville 
Power Administration in that fiscal year under section 7(b) of 
the Pacific Northwest Electric Power Planning and Conservation 
Act (16 U.S.C. 839e(b)) or the equivalent of the rate.
    (B) The Bureau of Reclamation shall, using funds 
appropriated pursuant to the authorization of appropriations in 
subparagraph (A), reimburse the Bonneville Power Administration 
for the costs of the project power provided under this 
subsection. Such funds shall be available for such purpose 
without fiscal year limitation.
    (c) Subordination.--Any diversions for hydropower 
generation at the Chandler Powerplant shall be subordinated to 
meet the flow targets determined under subsection (f).
    (d) Water Supply for Kennewick Irrigation District.--The 
Secretary shall ensure that the irrigation water supply for the 
Kennewick Irrigation District shall not be affected by 
conservation, [electrification] electrification or water 
exchange or subordination pursuant to this title and any 
reduction in its irrigation water supply resulting from 
conservation measures adopted or implemented by other entities 
pursuant to this title shall be replaced by water developed 
through subordination, [electrification] electrification or 
water exchange or a combination [of the two] thereof.
    (e) Treatment of Certain Funds.--Funds appropriated and 
project power provided pursuant to this section shall be 
nonreimbursable since such funds are used for fish and wildlife 
purposes and such funds are not subject to cost share under 
section 1203(d).
    (f) Target Flows.--Target flows measured at appropriate 
biological and hydrological location or locations shall be 
determined by the Yakima Project Superintendent in consultation 
with the System Operations Advisory Committee.