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105th CONGRESS

  2d Session

                                S. 2117

_______________________________________________________________________

                               AMENDMENT
                In the House of Representatives, U. S.,

                                                      October 12, 1998.

    Resolved, That the bill from the Senate (S. 2117) entitled ``An Act to 
authorize the construction of the Perkins County Rural Water System and 
authorize financial assistance to the Perkins County Rural Water System, Inc., a 
nonprofit corporation, in the planning and construction of the water supply 
system, and for other purposes'', do pass with the following

                               AMENDMENT:

            Strike out all after the enacting clause and insert:

         TITLE I--PERKINS COUNTY RURAL WATER SYSTEM ACT OF 1998

SEC. 101. SHORT TITLE.

    This title may be cited as the ``Perkins County Rural Water System 
Act of 1998''.

SEC. 102. FINDINGS.

    The Congress finds that--
            (1) in 1977, the North Dakota State Legislature authorized 
        and directed the State Water Commission to conduct the 
        Southwest Area Water Supply Study, which included water service 
        to a portion of Perkins County, South Dakota;
            (2) amendments made by the Garrison Diversion Unit 
        Reformulation Act of 1986 (Public Law 101-294) authorized the 
        Southwest Pipeline project as an eligible project for Federal 
        cost share participation; and
            (3) the Perkins County Rural Water System has continued to 
        be recognized by the State of North Dakota, the Southwest Water 
        Authority, the North Dakota Water Commission, the Department of 
        the Interior, and Congress as a component of the Southwest 
        Pipeline Project.

SEC. 103. DEFINITIONS.

    In this title:
            (1) Feasibility study.--The term ``feasibility study'' 
        means the study entitled ``Feasibility Study for Rural Water 
        System for Perkins County Rural Water System, Inc.'', as 
        amended in March 1995.
            (2) Project construction budget.--The term ``project 
        construction budget'' means the description of the total amount 
        of funds that are needed for the construction of the water 
        supply system, as described in the feasibility study.
            (3) Pumping and incidental operational requirements.--The 
        term ``pumping and incidental operational requirements'' means 
        all power requirements that are incidental to the operation of 
        intake facilities, pumping stations, water treatment 
        facilities, cooling facilities, reservoirs, and pipelines to 
        the point of delivery of water by the Perkins County Rural 
        Water System to each entity that distributes water at retail to 
        individual users.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior, acting through the Commissioner of the Bureau 
        of Reclamation.
            (5) Water supply system.--The term ``water supply system'' 
        means the Perkins County Rural Water System, Inc., a nonprofit 
        corporation, established and operated substantially in 
        accordance with the feasibility study.

SEC. 104. FEDERAL ASSISTANCE FOR WATER SUPPLY SYSTEM.

    (a) In General.--The Secretary shall make grants to the water 
supply system for the Federal share of the costs of--
            (1) the planning and construction of the water supply 
        system; and
            (2) repairs to existing public water distribution systems 
        to ensure conservation of the resources and to make the systems 
        functional under the new water supply system.
    (b) Limitation on Availability of Construction Funds.--The 
Secretary shall not obligate funds for the construction of the water 
supply system until--
            (1) the requirements of the National Environmental Policy 
        Act of 1969 (42 U.S.C. 4321 et seq.) are met with respect to 
        the water supply system; and
            (2) a final engineering report and a plan for a water 
        conservation program have been prepared and submitted to 
        Congress for a period of not less than 90 days before the 
        commencement of construction of the system.

SEC. 105. MITIGATION OF FISH AND WILDLIFE LOSSES.

    Mitigation of fish and wildlife losses incurred as a result of the 
construction and operation of the water supply system shall be on an 
acre-for-acre basis, based on ecological equivalency, concurrent with 
project construction, as provided in the feasibility study.

SEC. 106. USE OF PICK-SLOAN POWER.

    (a) In General.--From power designated for future irrigation and 
drainage pumping for the Pick-Sloan Missouri River Basin Program, the 
Western Area Power Administration shall make available the capacity and 
energy required to meet the pumping and incidental operational 
requirements of the water supply system during the period beginning May 
1 and ending October 31 of each year.
    (b) Conditions.--The capacity and energy described in subsection 
(a) shall be made available on the following conditions:
            (1) The water supply system shall be operated on a not-for-
        profit basis.
            (2) The water supply system may contract to purchase its 
        entire electric service requirements, including the capacity 
        and energy made available under subsection (a), from a 
        qualified preference power supplier that itself purchases power 
        from the Western Area Power Administration.
            (3) The rate schedule applicable to the capacity and energy 
        made available under subsection (a) shall be the firm power 
        rate schedule of the Pick-Sloan Eastern Division of the Western 
        Area Power Administration in effect when the power is delivered 
        by the Administration.
            (4) It shall be agreed by contract among--
                    (A) the Western Area Power Administration;
                    (B) the power supplier with which the water supply 
                system contracts under paragraph (2);
                    (C) the power supplier of the entity described in 
                subparagraph (B); and
                    (D) the Perkins County Rural Water System, Inc.;
        that in the case of the capacity and energy made available 
        under subsection (a), the benefit of the rate schedule 
        described in paragraph (3) shall be passed through to the water 
        supply system, except that the power supplier of the water 
        supply system shall not be precluded from including, in the 
        charges of the supplier to the water system for the electric 
        service, the other usual and customary charges of the supplier.

SEC. 107. FEDERAL SHARE.

    The Federal share under section 104 shall be 75 percent of--
            (1) the amount allocated in the total project construction 
        budget for the planning and construction of the water supply 
        system under section 104; and
            (2) such sums as are necessary to defray increases in 
        development costs reflected in appropriate engineering cost 
        indices after March 1, 1995.

SEC. 108. NON-FEDERAL SHARE.

    The non-Federal share under section 104 shall be 25 percent of--
            (1) the amount allocated in the total project construction 
        budget for the planning and construction of the water supply 
        system under section 104; and
            (2) such sums as are necessary to defray increases in 
        development costs reflected in appropriate engineering cost 
        indices after March 1, 1995.

SEC. 109. CONSTRUCTION OVERSIGHT.

    (a) Authorization.--At the request of the Perkins County Rural 
Water System, the Secretary may provide construction oversight to the 
water supply system for areas of the water supply system.
    (b) Project Oversight Administration.--The amount of funds used by 
the Secretary for planning and construction of the water supply system 
may not exceed an amount equal to 3 percent of the amount provided in 
the total project construction budget for the portion of the project to 
be constructed in Perkins County, South Dakota.

SEC. 110. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated--
            (1) $15,000,000 for the planning and construction of the 
        water system under section 104; and
            (2) such sums as are necessary to defray increases in 
        development costs reflected in appropriate engineering cost 
        indices after March 1, 1995.

              TITLE II--PINE RIVER PROJECT CONVEYANCE ACT

SEC. 201. SHORT TITLE.

    This title may be cited as the ``Pine River Project Conveyance 
Act''.

SEC. 202. DEFINITIONS.

    For purposes of this title:
            (1) The term ``Jurisdictional Map'' means the map entitled 
        ``Transfer of Jurisdiction--Vallecito Reservoir, United States 
        Department of Agriculture, Forest Service and United States 
        Department of the Interior, Bureau of Reclamation and the 
        Bureau of Indian Affairs'' dated March, 1998.
            (2) The term ``Pine River Project'' or the ``Project'' 
        means Vallecito Dam and Reservoir owned by the United States 
        and authorized in 1937 under the provisions of the Department 
        of the Interior Appropriation Act of June 25, 1910, 36 Stat. 
        835; facilities appurtenant to the Dam and Reservoir, including 
        equipment, buildings, and other improvements; lands adjacent to 
        the Dam and Reservoir; easements and rights-of-way necessary 
        for access and all required connections with the Dam and 
        Reservoir, including those for necessary roads; and associated 
        personal property, including contract rights and any and all 
        ownership or property interest in water or water rights.
            (3) The term ``Repayment Contract'' means Repayment 
        Contract #I1r-1204, between Reclamation and the Pine River 
        Irrigation District, dated April 15, 1940, and amended November 
        30, 1953, and all amendments and additions thereto, including 
        the Act of July 27, 1954 (68 Stat. 534), covering the Pine 
        River Project and certain lands acquired in support of the 
        Vallecito Dam and Reservoir pursuant to which the Pine River 
        Irrigation District has assumed operation and maintenance 
        responsibilities for the dam, reservoir, and water-based 
        recreation in accordance with existing law.
            (4) The term ``Reclamation'' means the Department of the 
        Interior, Bureau of Reclamation.
            (5) The term ``Secretary'' means the Secretary of the 
        Interior.
            (6) The term ``Southern Ute Indian Tribe'' or ``Tribe'' 
        means a federally recognized Indian tribe, located on the 
        Southern Ute Indian Reservation, La Plata County, Colorado.
            (7) The term ``Pine River Irrigation District'' or 
        ``District'' means a political division of the State of 
        Colorado duly organized, existing, and acting pursuant to the 
        laws thereof with its principal place of business in the City 
        of Bayfield, La Plata County, Colorado and having an undivided 
        \5/6\ right and interest in the use of the water made available 
        by Vallecito Reservoir for the purpose of supplying the lands 
        of the District, pursuant to the Repayment Contract, and the 
        decree in Case No. 1848-B, District Court, Water Division 7, 
        State of Colorado, as well as an undivided \5/6\ right and 
        interest in the Pine River Project.

SEC. 203. TRANSFER OF THE PINE RIVER PROJECT.

    (a) Conveyance.--The Secretary is authorized to convey, without 
consideration or compensation to the District, by quitclaim deed or 
patent, pursuant to section 206, the United States undivided \5/6\ 
right and interest in the Pine River Project under the jurisdiction of 
Reclamation for the benefit of the Pine River Irrigation District. No 
partition of the undivided \5/6\ right and interest in the Pine River 
Project shall be permitted from the undivided \1/6\ right and interest 
in the Pine River Project described in subsection (b) and any quitclaim 
deed or patent evidencing a transfer shall expressly prohibit 
partitioning. Effective on the date of the conveyance, all obligations 
between the District and the Bureau of Indian Affairs on the one hand 
and Reclamation on the other hand, under the Repayment Contract or with 
respect to the Pine River Project are extinguished. Upon completion of 
the title transfer, said Repayment Contract shall become null and void. 
The District shall be responsible for paying 50 percent of all costs 
associated with the title transfer.
    (b) Bureau of Indian Affairs Interest.--At the option of the Tribe, 
the Secretary is authorized to convey to the Tribe the Bureau of Indian 
Affairs' undivided \1/6\ right and interest in the Pine River Project 
and the water supply made available by Vallecito Reservoir pursuant to 
the Memorandum of Understanding between the Bureau of Reclamation and 
the Office of Indian Affairs dated January 3, 1940, together with its 
Amendment dated July 9, 1964 (`MOU'), the Repayment Contract and 
decrees in Case Nos. 1848-B and W-1603-76D, District Court, Water 
Division 7, State of Colorado. In the event of such conveyance, no 
consideration or compensation shall be required to be paid to the 
United States.
    (c) Federal Dam Use Charge.--Nothing in this title shall relieve 
the holder of the license issued by the Federal Energy Regulatory 
Commission under the Federal Power Act for Vallecito Dam in effect on 
the date of enactment of this Act from the obligation to make payments 
under section 10(e)(2) of the Federal Power Act during the remaining 
term of the present license. At the expiration of the present license 
term, the Federal Energy Regulatory Commission shall adjust the charge 
to reflect either (1) the \1/6\ interest of the United States remaining 
in the Vallecito Dam after conveyance to the District; or (2) if the 
remaining \1/6\ interest of the United States has been conveyed to the 
Tribe pursuant to subsection (b), then no Federal dam charge shall be 
levied from the date of expiration of the present license.

SEC. 204. JURISDICTIONAL TRANSFER OF LANDS.

    (a) Inundated Lands.--To provide for the consolidation of lands 
associated with the Pine River Project to be retained by the Forest 
Service and the consolidation of lands to be transferred to the 
District, the administrative jurisdiction of lands inundated by and 
along the shoreline of Vallecito Reservoir, as shown on the 
Jurisdictional Map, shall be transferred, as set forth in subsection 
(b) (the ``Jurisdictional Transfer''), concurrently with the conveyance 
described in section 203(a). Except as otherwise shown on the 
Jurisdictional Map--
            (1) for withdrawn lands (approximately 260 acres) lying 
        below the 7,765-foot reservoir water surface elevation level, 
        the Forest Service shall transfer an undivided \5/6\ interest 
        to Reclamation and an undivided \1/6\ interest to the Bureau of 
        Indian Affairs in trust for the Tribe; and
            (2) for Project acquired lands (approximately 230 acres) 
        above the 7,765-foot reservoir water surface elevation level, 
        Reclamation and the Bureau of Indian Affairs shall transfer 
        their interests to the Forest Service.
    (b) Map.--The Jurisdictional Map and legal descriptions of the 
lands transferred pursuant to subsection (a) shall be on file and 
available for public inspection in the offices of the Chief of the 
Forest Service, Department of Agriculture, the Commissioner of 

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