[House Report 108-721]
[From the U.S. Government Publishing Office]
108th Congress Rept. 108-721
HOUSE OF REPRESENTATIVES
2d Session Part 1
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TAPOCO PROJECT LICENSING ACT OF 2004
_______
October 4, 2004.--Ordered to be printed
_______
Mr. Barton of Texas, from the Committee on Energy and Commerce,
submitted the following
R E P O R T
[To accompany H.R. 4667]
[Including cost estimate of the Congressional Budget Office]
The Committee on Energy and Commerce, to whom was referred
the bill (H.R. 4667) to authorize and facilitate hydroelectric
power licensing of the Tapoco Project, and for other purposes,
having considered the same, report favorably thereon without
amendment and recommend that the bill do pass.
CONTENTS
Page
Purpose and Summary.............................................. 1
Background and Need for Legislation.............................. 2
Hearings......................................................... 2
Committee Consideration.......................................... 2
Committee Votes.................................................. 2
Committee Oversight Findings..................................... 3
Statement of General Performance Goals and Objectives............ 3
New Budget Authority, Entitlement Authority, and Tax Expenditures 3
Committee Cost Estimate.......................................... 3
Congressional Budget Office Estimate............................. 3
Federal Mandates Statement....................................... 4
Advisory Committee Statement..................................... 4
Constitutional Authority Statement............................... 4
Applicability to Legislative Branch.............................. 4
Section-by-Section Analysis of the Legislation................... 5
Changes in Existing Law Made by the Bill, as Reported............ 5
PURPOSE AND SUMMARY
The purpose of the bill is to facilitate the relicensing of
the Tapoco Project by the Federal Energy Regulatory Commission
(FERC) and effect a land swap. The bill provides that Alcoa
Power Generating Inc. (APGI) will convey approximately 186
acres of land to the National Park Service and that APGI will
acquire about 110 acres of parkland now inundated by the Tapoco
Project. The National Park Service will retain a conservation
easement on the land conveyed to APGI and the boundaries of the
National Park will not be adjusted to reflect the land transfer
to APGI. Upon completion of this land swap, FERC will be
authorized to relicense the Tapoco Project, notwithstanding the
fact that a portion of the Project remains within the
boundaries of the National Park. The bill also provides for a
process whereby Alcoa can convey additional land to the
National Park Service or the Forest Service at a later time.
BACKGROUND AND NEED FOR LEGISLATION
The Tapoco Hydroelectric Project is an approximately 360 MW
hydroelectric project located on the Little Tennessee and
Cheoah rivers in Tennessee and North Carolina. It is operated
by APGI and provides power for Alcoa facilities in the region.
The FERC project license issued in 1955 expires on February 28,
2005. APGI began discussions with interested stakeholders
related to relicensing the Project in 1999, and filed with FERC
to relicense the Project in early 2003.
The reservoir for part of the Project floods approximately
110 acres of the Great Smoky Mountains National Park. Because a
portion of the Project reservoir extends onto National Park
land, FERC does not have statutory authority to issue a new
license for the Project. APGI entered into a comprehensive
settlement agreement with the U.S. Department of the Interior,
the U.S. Department of Agriculture, resource agencies of the
States of Tennessee and North Carolina, local governments, and
national, regional and local non-governmental organizations
with respect to the relicensing. The bill provides that APGI
will transfer approximately 186acres of land within the
boundaries of the Great Smoky Mountains National Park to the National
Park Service in exchange for the National Park Service transferring to
APGI the approximately 110 acres of flooded land in the reservoir
subject to conservation easements. Once the land swap is completed, the
bill authorizes FERC to relicense the Project.
H.R. 4667 is needed to implement the land swap between APGI
and the National Park Service and authorize FERC to relicense
the Project.
HEARINGS
The Committee on Energy and Commerce has not held hearings
on the legislation.
COMMITTEE CONSIDERATION
On Thursday, September 30, 2004, the Full Committee met in
open markup session and ordered H.R. 4667 favorably reported to
the House, without amendment, by a voice vote, a quorum being
present.
COMMITTEE VOTES
Clause 3(b) of rule XIII of the Rules of the House of
Representatives requires the Committee to list the record votes
on the motion to report legislation and amendments thereto.
There were no record votes taken in connection with ordering
H.R. 4667 reported. A motion by Mr. Barton to order H.R. 4667
reported to the House, without amendment, was agreed to by a
voice vote.
COMMITTEE OVERSIGHT FINDINGS
Pursuant to clause 3(c)(1) of rule XIII of the Rules of the
House of Representatives, the Committee has not held oversight
or legislative hearings on this legislation.
STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES
The goal of the bill is to authorize a land swap and
authorize FERC to relicense the Tapoco Project.
NEW BUDGET AUTHORITY, ENTITLEMENT AUTHORITY, AND TAX EXPENDITURES
In compliance with clause 3(c)(2) of rule XIII of the Rules
of the House of Representatives, the Committee finds that H.R.
4667, the Tapoco Project Licensing Act of 2004, would result in
no new or increased budget authority, entitlement authority, or
tax expenditures or revenues.
COMMITTEE COST ESTIMATE
The Committee adopts as its own the cost estimate prepared
by the Director of the Congressional Budget Office pursuant to
section 402 of the Congressional Budget Act of 1974.
CONGRESSIONAL BUDGET OFFICE ESTIMATE
Pursuant to clause 3(c)(3) of rule XIII of the Rules of the
House of Representatives, the following is the cost estimate
provided by the Congressional Budget Office pursuant to section
402 of the Congressional Budget Act of 1974:
U.S. Congress,
Congressional Budget Office,
Washington, DC, October 4, 2004.
Hon. Joe Barton,
Chairman, Committee on Energy and Commerce,
House of Representatives, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for H.R. 4667, the Tapoco
Project Licensing Act of 2004.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Megan
Carroll.
Sincerely,
Robert A. Sunshine
(For Douglas Holtz-Eakin, Director)
Enclosure.
H.R. 4667--Tapoco Project Licensing Act of 2004
CBO estimates that implementing H.R. 4667 would cost $6
million over the 2005-2009 period, assuming appropriation of
the necessary amounts. Enacting the bill would not affect
direct spending or revenues. H.R. 4667 contains no
intergovernmental or private-sector mandates as defined in the
Unfunded Mandates Reform Act and would impose no significant
costs on state, local, or tribal governments.
H.R. 4667 would authorize the Secretary of the Interior to
exchange 100 acres of land within the Great Smoky Mountains
National Park in Tennessee for 186 acres of other land within
the authorized boundary of that park owned by Alcoa Power
Generating Inc. (APGI). APGI would use the land it receives for
the Tapoco Hydroelectric Project. According to the National
Park Service, the federal land to be conveyed currently
generates no receipts and is not expected to do so over the
next 10 years. Hence, we estimate that the proposed exchange
would not affect offsetting receipts (a credit against direct
spending). We estimate that the agency would spend about
$30,000 in 2005 to complete the transaction, assuming the
availability of appropriated funds.
H.R. 4667 also would authorize the Secretaries of
Agriculture and the Interior to acquire certain other land that
is currently owned by APGI. Based on information from APGI and
local tax assessors regarding the value of that land, CBO
estimates that the federal government would spend $6 million
over the 2006-2009 period to acquire that land, assuming
appropriation of the necessary funds. We also estimate that any
resulting increase in federal spending for land management
would total less than $500,000 a year.
On June 23, 2004, CBO transmitted a cost estimate for S.
2319, the Tapoco Project Licensing Act of 2004, as ordered
reported by the Senate Committee on Energy and Natural
Resources on June 16, 2004. On September 17, 2004, CBO
transmitted a cost estimate for H.R. 4667 as ordered reported
by the House Committee on Resources on September 15, 2004. All
three pieces of legislation are similar, and our cost estimates
are the same.
The CBO staff contact for this estimate is Megan Carroll.
This estimate was approved by Peter H. Fontaine, Deputy
Assistant Director for Budget Analysis.
FEDERAL MANDATES 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.
ADVISORY COMMITTEE STATEMENT
No advisory committees within the meaning of section 5(b)
of the Federal Advisory Committee Act were created by this
legislation.
CONSTITUTIONAL AUTHORITY STATEMENT
Pursuant to clause 3(d)(1) of rule XIII of the Rules of the
House of Representatives, the Committee finds that the
Constitutional authority for this legislation is provided in
Article I, section 8, clause 3, which grants Congress the power
to regulate commerce with foreign nations, among the several
States, and with the Indian tribes.
APPLICABILITY TO 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.
SECTION-BY-SECTION ANALYSIS OF THE LEGISLATION
Section 1. Short title
Section 1 establishes the short title of the bill, the
``Tapoco Project Licensing Act of 2004.''
Section 2. Definitions
Section 2 defines terms that are specific to the bill.
Section 3. Land exchange
This section authorizes the land swap whereby APGI will
convey about 186 acres of land to the National Park Service,
through the Secretary of the Interior, and the National Park
Service will convey about 110 acres of land to APGI, retaining
a conservation easement and a reversion on the land. The
section also provides that the Secretary can adjust the
National Park boundary to reflect the land transferred to the
National Park, but not change the boundary to reflect the land
transferred to APGI.
Section 4. Project licensing
Section 4 authorizes FERC to relicense the Project once the
land swap is completed, notwithstanding the fact that portions
of the Project lie within the boundaries of the National Park.
Section 5. Land acquisition
This section authorizes the Secretary of the Interior or
the Secretary of Agriculture to acquire and administer
additional lands transferred by APGI to a nongovernmental
organization and administer those lands as part of a National
Park or National Forest.
Section 6. Authorization of appropriations
Section 6 authorizes such sums as are necessary to carry
out the bill.
CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED
This legislation does not amend any existing Federal
statute.