[House Report 116-647]
[From the U.S. Government Publishing Office]


116th Congress  }                                              {   Report
                        HOUSE OF REPRESENTATIVES
 2d Session     }                                              {  116-647

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

 
 TO DIRECT THE SECRETARY OF THE INTERIOR TO CONVEY CERTAIN FACILITIES, 
EASEMENTS, AND RIGHTS-OF-WAY TO THE KENNEWICK IRRIGATION DISTRICT, AND 
                           FOR OTHER PURPOSES

                                _______
                                

 December 15, 2020.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

 Mr. Grijalva, from the Committee on Natural Resources, submitted the 
                               following

                              R E P O R T

                        [To accompany H.R. 278]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Natural Resources, to whom was referred 
the bill (H.R. 278) to direct the Secretary of the Interior to 
convey certain facilities, easements, and rights-of-way to the 
Kennewick Irrigation District, and for other purposes, having 
considered the same, reports favorably thereon without 
amendment and recommends that the bill do pass.

                          PURPOSE OF THE BILL

    The purpose of H.R. 278 is to direct the Secretary of the 
Interior to convey certain facilities, easements, and rights-
of-way to the Kennewick Irrigation District.

                  BACKGROUND AND NEED FOR LEGISLATION

    The U.S. Bureau of Reclamation (Reclamation) is the largest 
supplier and manager of water in the western United States and 
the nation's second largest producer of hydroelectric power. 
Reclamation owns and operates much of the water-related 
infrastructure in the American West, including hundreds of 
dams, canals, and other associated infrastructure. For most 
Reclamation projects, the federal government has historically 
financed the initial costs of study and construction, and 
beneficiaries repay their allocated share of costs over 
time.\1\ Once relevant costs have been repaid, responsibility 
for operations and maintenance of the project may be 
transferred to project beneficiaries in some cases, but the 
project typically remains under federal ownership unless 
Congress explicitly authorizes a title transfer.\2\ 
Additionally, P.L. 116-9 provided Reclamation with the 
authority to transfer title for certain eligible facilities to 
qualifying entities through an administrative process.\3\
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    \1\Charles V. Stern, Cong. Research Serv., IF10924, Title Transfer 
for Bureau of Reclamation Facilities (updated Feb. 6, 2019).
    \2\Id.
    \3\John D. Dingell Jr. Conservation, Management, and Recreation 
Act, Pub. L. No. 116-9, tit. VIII, subtitle A.
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    Some water districts choose to pursue title transfers to 
gain ownership of the water facilities they use, which allows 
them to leverage those assets to obtain loans for upgrades or 
other expenses. Title transfers for some projects benefit 
Reclamation by divesting the agency of responsibility for 
operations, and maintenance, as well as liability associated 
with the project lands and facilities.
    The Kennewick Irrigation District (KID) is a water provider 
that serves more than 63,000 urban and agricultural customers 
as part of the Yakima Project in eastern Washington State.\4\ 
Operation and maintenance responsibilities of the irrigation 
facilities serving KID water users were transferred to KID in 
1953.\5\ In December 2017, KID and Reclamation entered into a 
Memorandum of Agreement to facilitate the title transfer of 
certain project facilities and lands.\6\ At a legislative 
hearing in the 115th Congress, KID District Manager Charles 
Freeman, appearing before the House Committee on Natural 
Resources, testified that ``the transfer of title would enable 
the District to have more direct control of an important 
infrastructure asset and could provide value added service to 
[KID's] operations.''\7\
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    \4\Submitted Testimony of Charles Freeman, General Manager, 
Kennewick Irrigation District, before the House Water, Power and Oceans 
Subcommittee, September 5, 2018.
    \5\U.S. Bureau of Reclamation, Kennewick Irrigation District Title 
Transfer (July 1, 2020) (online at https://www.usbr.gov/pn/programs/
title/kennewick/index.html).
    \6\Id.
    \7\Id.
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    H.R. 278 authorizes the Secretary of the Interior to convey 
all right, title, and interest in specified Reclamation 
facilities to KID, subject to the terms of this legislation. 
The transferred federal assets, referred to as ``Transferred 
Works,'' include the canals, laterals, and appurtenant works 
and lands that begin at KID's head gate and extend 
approximately forty miles east to the Columbia River.
    Before conveying land and facilities to KID, H.R. 278 
requires the Secretary to complete all actions required under 
the National Environmental Policy Act (42 U.S.C. 4321 et seq.), 
the Endangered Species Act (16 U.S.C. 1531 et seq.), the 
National Historical Preservation Act (subtitle III of title 54, 
United States Code), and all other applicable laws. KID must 
comply with all applicable federal, state, and local laws and 
regulations in its operation of the Transferred Works. H.R. 278 
also requires the Department of the Interior to affirm in 
writing to the House Committee on Natural Resources and Senate 
Committee on Energy and Natural Resources that certain criteria 
have been met before transferring the federal assets. This 
includes confirming that the asset transfer will not have an 
unmitigated negative effect on the environment or negatively 
impact land and water resources held in trust for federally 
recognized tribes.

                            COMMITTEE ACTION

    H.R. 278 was introduced on January 8, 2019, by 
Representative Dan Newhouse (R-WA). The bill was referred 
solely to the Committee on Natural Resources, and within the 
Committee to the Subcommittee on Water, Oceans, and Wildlife. 
On May 1, 2019, the Natural Resources Committee met to consider 
the bill. The Subcommittee was discharged by unanimous consent. 
No amendments were offered. The bill was adopted and ordered 
favorably reported to the House of Representatives by unanimous 
consent.

                                HEARINGS

    For the purposes of section 103(i) of H. Res. 6 of the 
116th Congress--the following hearing was used to develop or 
consider H.R. 278: full committee markup held on May 1, 2019.

            COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

    Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of 
rule XIII of the Rules of the House of Representatives, the 
Committee on Natural Resources' oversight findings and 
recommendations are reflected in the body of this report.

      COMPLIANCE WITH HOUSE RULE XIII AND CONGRESSIONAL BUDGET ACT

    1. Cost of Legislation and the Congressional Budget Act. 
With respect to the requirements of clause 3(c)(2) and (3) of 
rule XIII of the Rules of the House of Representatives and 
sections 308(a) and 402 of the Congressional Budget Act of 
1974, the Committee has received the following estimate for the 
bill from the Director of the Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                      Washington, DC, May 13, 2019.
Hon. Raul M. Grijalva,
Chairman, Committee on Natural Resources,
House of Representatives, Washington, DC.
    Dear Chairman: The Congressional Budget Office has prepared 
the enclosed cost estimate for H.R. 278, a bill to direct the 
Secretary of the Interior to convey certain facilities, 
easements, and rights-of-way to the Kennewick Irrigation 
District, and for other purposes.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Aurora 
Swanson.
            Sincerely,
                                                Keith Hall,
                                                          Director.
    Enclosure.

    
    

    H.R. 278 would direct the Bureau of Reclamation (BOR) to 
negotiate an agreement within 2 years of enactment with the 
Kennewick Irrigation District located in the State of 
Washington to convey specific federal land and facilities to 
the district. Using information from BOR, CBO estimates that 
implementing H.R. 278 would cost about $75,000 for staff to 
carry out the title transfer, which includes coordinating 
surveys and the National Environmental Policy Act reviews. Any 
spending would be subject to the availability of appropriated 
funds.
    Under current law, the district pays the federal government 
about $70,000 annually for the costs of constructing the 
project. The district will make its last payment in 2024. Under 
the bill, the district would pay the federal government an 
amount equal to the net present value of its payments remaining 
at the time of the conveyance instead of making annual 
payments. Those payments are recorded in the federal budget as 
offsetting receipts, or reductions in direct spending; however, 
CBO estimates that the net effect on direct spending would be 
insignificant.
    The CBO staff contact for this estimate is Aurora Swanson. 
The estimate was reviewed by H. Samuel Papenfuss, Deputy 
Assistant Director for Budget Analysis.
    2. General Performance Goals and Objectives. As required by 
clause 3(c)(4) of rule XIII, the general performance goals and 
objectives of this bill are to direct the Secretary of the 
Interior to convey certain facilities, easements, and rights-
of-way to the Kennewick Irrigation District.

                           EARMARK STATEMENT

    This bill does not contain any Congressional earmarks, 
limited tax benefits, or limited tariff benefits as defined 
under clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of 
the House of Representatives.

                 UNFUNDED MANDATES REFORM ACT STATEMENT

    This bill contains no unfunded mandates.

                           EXISTING PROGRAMS

    This bill does not establish or reauthorize a program of 
the federal government known to be duplicative of another 
program.

                  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.

               PREEMPTION OF STATE, LOCAL, OR TRIBAL LAW

    Any preemptive effect of this bill over state, local, or 
tribal law is intended to be consistent with the bill's 
purposes and text and the Supremacy Clause of Article VI of the 
U.S. Constitution.

                        CHANGES IN EXISTING LAW

    If enacted, this bill would make no changes to existing 
law.

        SUPPLEMENTAL, MINORITY, ADDITIONAL, OR DISSENTING VIEWS

    None.