[House Report 113-553]
[From the U.S. Government Publishing Office]
113th Congress Report
HOUSE OF REPRESENTATIVES
2d Session 113-553
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TO APPROVE THE TRANSFER OF YELLOW CREEK PORT PROPERTIES IN IUKA,
MISSISSIPPI
_______
July 24, 2014.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
_______
Mr. Shuster, from the Committee on Transportation and Infrastructure,
submitted the following
R E P O R T
[To accompany H.R. 3044]
[Including cost estimate of the Congressional Budget Office]
The Committee on Transportation and Infrastructure, to whom
was referred the bill (H.R. 3044) to approve the transfer of
Yellow Creek Port properties in Iuka, Mississippi, having
considered the same, report favorably thereon without amendment
and recommend that the bill do pass.
CONTENTS
Page
Purpose of Legislation........................................... 2
Background and Need for Legislation.............................. 2
Hearings......................................................... 3
Legislative History and Consideration............................ 3
Committee Votes.................................................. 3
Committee Oversight Findings..................................... 4
New Budget Authority and Tax Expenditures........................ 4
Congressional Budget Office Cost Estimate........................ 4
Performance Goals and Objectives................................. 5
Advisory of Earmarks............................................. 5
Duplication of Federal Programs.................................. 5
Disclosure of Directed Rule Makings.............................. 5
Federal Mandate Statement........................................ 5
Preemption Clarification......................................... 6
Advisory Committee Statement..................................... 6
Applicability of Legislative Branch.............................. 6
Section-by-Section Analysis of Legislation....................... 6
Changes in Existing Law Made by the Bill, as Reported............ 6
PURPOSE OF LEGISLATION
H.R. 3044, to approve the transfer of Yellow Creek Port
properties in Iuka, Mississippi, approves the conveyance of
property by the Tennessee Valley Authority to the State of
Mississippi.
BACKGROUND AND NEED FOR LEGISLATION
The Tennessee Valley Authority (TVA) was established by
Congress in 1933 to aid in the development of the Tennessee
River Valley region through the proper use, conservation, and
development of the region's natural resources. The region
includes parts of seven states--Virginia, Kentucky, Tennessee,
North Carolina, Mississippi, Alabama, and Georgia.
TVA is an independent government corporation, with
headquarters in Knoxville, Tennessee. One of the most
significant programs of the TVA has been the furnishing of
plentiful, low cost electricity to the region.
Under Section 4(k)(b) of the Tennessee Valley Authority Act
of 1933, TVA may ``convey by deed, lease, or otherwise, the
possession and control of any such real property to any
corporation, partnership, person, or persons for the purpose of
erecting thereon docks and buildings for purposes or the
manufacture or storage thereon of products for the purpose of
trading or shipping in transportation: Provided, That no
transfer authority herein (b) shall be made without the
approval of Congress: . . .''
This provision allows TVA to negotiate the conveyance of
property without a public auction, subject to the approval of
Congress.
Though rare, Congress has taken action to approve of this
type of non-competitive conveyance in the past. For instance,
in August 1954, Congress enacted Public Law 83-722 to approve
of the conveyance TVA public use terminal properties in
Knoxville, Chattanooga, and Harriman, Tennessee, and Decatur
and Guntersville, Alabama.
The Yellow Creek Port Project is an industrial port
development project at the juncture of the Tennessee and
Tombigbee Rivers to stimulate economic growth in the northern
Mississippi area. The project initiators were TVA, Mississippi
Development Authority, Tombigbee River Valley Water Management
District, and Yellow Creek Port Authority which were bound by a
contractual agreement first executed in 1971 to develop the
port.
As intended by this project, economic and industrial port
development has occurred, including industrial growth, high
paying jobs, associated spin off industries, and increased
traffic on the inland waterway system. TVA's contribution
consisted of land, roads and railroads, docks, buildings, and
materials handling equipment equaling about $7 million, most of
which were appropriated funds. Mississippi's investment in the
project has been considerably more significant and to date
totals over $24 million.
Construction of Yellow Creek Port in 1971 initially
involved approximately 289 acres. Approximately 116 acres have
been sold in fee. The remaining approximately 173 acres to be
conveyed are described as follows:
75 acres are encumbered by a permanent industrial
easement;
16.8 acres are encumbered by highway easements;
26.5 acres are encumbered by railroad easements; and,
54 acres remain undeveloped and zoned for industrial
use.
Of the lands that are encumbered by permanent easements,
the easement rights are so extensive that the remaining fee has
no appreciable value. The easement rights include rail and road
rights-of way over tracts that are only wide enough to allow
the applicable rail line or road as well as easements that
allow industrial or port operations over the entire tract.
The 54 unencumbered acres that remain undeveloped have been
available for sale since 1984, despite ongoing marketing
efforts by TVA. Approximately 50 percent of this remaining land
is undevelopable due to topography and sensitive resources.
TVA has not considered asking for fair market value for the
land transfer due to state and local investments at Yellow
Creek Port, and due to TVA's determination that transferring
the land to the state of Mississippi, with the condition that
it be developed solely for industrial purposes consistent with
Section 4(k)(b) of the TVA Act, is the most effective way to
advance TVA's original economic development goals for the
project.
Under a law enacted by the state in 2011, Mississippi is
authorized to acquire the property if environmental assessments
determine that the property is clear of any contaminants or
pollutants and if TVA waives certain payment obligations.
Although some spending may occur if the state's environmental
assessments identify a need for remedial action, TVA
anticipates that any such costs would be negligible and could
occur under current law.
TVA does place reversionary interest clauses in transfers
and sales to ensure that those uses specified by Congress in
the TVA Act are carried out. TVA retains the right to re-enter
and take possession of the property if the use conditions are
breached.
HEARINGS
No hearings were held on H.R. 3044.
LEGISLATIVE HISTORY AND CONSIDERATION
On August 2, 2013, Representative Alan Nunnelee of
Mississippi introduced H.R. 3044, a bill to approve the
transfer of Yellow Creek Port properties in Iuka, Mississippi.
On July 16, 2014, the Committee on Transportation and
Infrastructure met in open session to consider H.R. 3044, and
ordered the bill reported favorably to the House by voice vote
with a quorum present.
COMMITTEE VOTES
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires each committee report to include the
total number of votes cast for and against on each recorded
vote on a motion to report and on any amendment offered to the
measure or matter, and the names of those members voting for
and against. There were no recorded votes taken in connection
with consideration of H.R. 3044, or ordering the bill reported.
A motion to order H.R. 3044 reported favorably to the House was
agreed to by voice vote with a quorum present.
COMMITTEE OVERSIGHT FINDINGS
With respect to the requirements of clause 3(c)(1) of rule
XIII of the Rules of the House of Representatives, the
Committee's oversight findings and recommendations are
reflected in this report.
NEW BUDGET AUTHORITY AND TAX EXPENDITURES
Clause 3(c)(2) of rule XIII of the Rules of the House of
Representatives does not apply where a cost estimate and
comparison prepared by the Director of the Congressional Budget
Office under section 402 of the Congressional Budget Act of
1974 has been timely submitted prior to the filing of the
report and is included in the report. Such a cost estimate is
included in this report.
CONGRESSIONAL BUDGET OFFICE COST ESTIMATE
With respect to the requirement of clause 3(c)(3) of rule
XIII of the Rules of the House of Representatives and section
402 of the Congressional Budget Act of 1974, the Committee has
received the enclosed cost estimate for H.R. 3044 from the
Director of the Congressional Budget Office:
U.S. Congress,
Congressional Budget Office,
Washington, DC, July 18, 2014.
Hon. Bill Shuster,
Chairman, Committee on Transportation and Infrastructure,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 3044, a bill to
approve the transfer of Yellow Creek Port properties in Iuka,
Mississippi.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Kathleen
Gramp.
Sincerely,
Douglas W. Elmendorf.
Enclosure.
H.R. 3044--A bill to approve the transfer of Yellow Creek Port
properties in Iuka, Mississippi
H.R. 3044 would authorize the Tennessee Valley Authority
(TVA) to convey certain federal properties to the state of
Mississippi. Enacting the bill would affect direct spending;
therefore, pay-as-you-go procedures apply. CBO estimates,
however, that the net impact on direct spending would be
insignificant over the 2014-2024 period. Enacting H.R. 3044
would not affect revenues or spending subject to appropriation.
Based on information from TVA and the state of Mississippi,
CBO estimates that TVA would convey approximately 172 acres in
an area known as the Yellow Creek Port in Iuka, Mississippi.
Under a law enacted by the state in 2011, Mississippi is
authorized to acquire the property if environmental assessments
determine that the property is clear of any contaminants or
pollutants and if TVA waives certain payment obligations. The
conveyance is subject to Congressional approval because the
transfer would occur through a noncompetitive process.
TVA would incur some administrative and other expenses to
implement the conveyance, but CBO expects that those costs
probably would be insignificant in any given year. Although
some spending may occur if the state's environmental
assessments identify a need for remedial action, TVA
anticipates that any such costs would be negligible and could
occur under current law. Furthermore, CBO estimates that any
changes in TVA's expenses would have no significant net effect
on direct spending over the 2014-2024 period because TVA is
required by law to pass on all of its costs and savings to its
electricity customers.
H.R. 3044 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act and
would benefit the state of Mississippi.
On February 28, 2014, CBO transmitted a cost estimate for
S. 212, a bill to approve the transfer of Yellow Creek Port
Properties in Iuka, Mississippi, as ordered reported by the
Senate Committee on Environment and Public Works on February 6,
2014. H.R. 3044 is identical to S. 212 and the CBO cost
estimates are the same.
The CBO staff contact for this estimate is Kathleen Gramp.
The estimate was approved by Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
PERFORMANCE GOALS AND OBJECTIVES
With respect to the requirement of clause 3(c)(4) of rule
XIII of the Rules of the House of Representatives, the
performance goal and objective of this legislation is to
approve the transfer of Yellow Creek Port properties in Iuka,
Mississippi.
ADVISORY OF EARMARKS
Pursuant to clause 9 of rule XXI of the Rules of the House
of Representatives, the Committee is required to include a list
of congressional earmarks, limited tax benefits, or limited
tariff benefits as defined in clause 9(e), 9(f), and 9(g) of
rule XXI of the Rules of the House of Representatives. No
provision in the bill includes an earmark, limited tax benefit,
or limited tariff benefit under clause 9(e), 9(f), or 9(g) of
rule XXI.
DUPLICATION OF FEDERAL PROGRAMS
Pursuant to section 3(j) of H. Res. 5, 113th Cong. (2013),
the Committee finds that no provision of H.R. 3044 establishes
or reauthorizes a program of the federal government known to be
duplicative of another federal program, a program that was
included in any report from the Government Accountability
Office to Congress pursuant to section 21 of Public Law 111-
139, or a program related to a program identified in the most
recent Catalog of Federal Domestic Assistance.
DISCLOSURE OF DIRECTED RULE MAKINGS
Pursuant to section 3(k) of H. Res. 5, 113th Cong. (2013),
the Committee estimates that H.R. 3044 directs no rule makings.
FEDERAL MANDATE STATEMENT
The Committee adopts as its own the estimate of federal
mandates prepared by the Director of the Congressional Budget
Office pursuant to section 423 of the Unfunded Mandates Reform
Act (P.L. 104-4).
PREEMPTION CLARIFICATION
Section 423 of the Congressional Budget Act of 1974
requires the report of any Committee on a bill or joint
resolution to include a statement on the extent to which the
bill or joint resolution is intended to preempt state, local,
or tribal law. The Committee states that H.R. 3044 does not
preempt any state, local, or tribal law.
ADVISORY COMMITTEE STATEMENT
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act are created by this
legislation.
APPLICABILITY TO THE LEGISLATIVE BRANCH
The Committee finds that the legislation does not relate to
the terms and conditions of employment or access to public
services or accommodations within the meaning of section
102(b)(3) of the Congressional Accountability Act (P.L. 104-1).
SECTION-BY-SECTION ANALYSIS OF LEGISLATION
Section 1. Transfer of Yellow Creek Port properties
Section 1 provides for the approval of the conveyance of
172 acres of property from the Tennessee Valley Authority to
the State of Mississippi.
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
H.R. 3044 makes no changes in existing law.