[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1474 Reported in Senate (RS)]






                                                       Calendar No. 709
106th CONGRESS
  2d Session
                                S. 1474

                          [Report No. 106-358]

 Providing for conyenance of the Palmetto Bend project to the State of 
                                 Texas.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             August 2, 1999

Mrs. Hutchison introduced the following bill; which was read twice and 
       referred to the Committee on Energy and Natural Resources

                             July 24, 2000

              Reported by Mr. Murkowski, with an amendment
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]

_______________________________________________________________________

                                 A BILL


 
 Providing for conyenance of the Palmetto Bend project to the State of 
                                 Texas.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Palmetto Bend Conveyance 
Act''.</DELETED>

<DELETED>SEC. 2. DEFINITIONS.</DELETED>

<DELETED>    In this Act:</DELETED>
        <DELETED>    (1) Project.--The term ``Project'' means the 
        Palmetto Bend Reclamation Project in the State of Texas 
        authorized under Public Law 90-562 (82 Stat. 999).</DELETED>
        <DELETED>    (2) Secretary.--The term ``Secretary'' means the 
        Secretary of the Interior.</DELETED>
        <DELETED>    (3) State.--The term ``State'' means the State of 
        Texas, acting through the Texas Water Development Board and/or 
        the Lavaca-Navidad River Authority, or both.</DELETED>

<DELETED>SEC. 3. CONVEYANCE.</DELETED>

<DELETED>    On receipt of payment in accordance with section 5(a), the 
Secretary shall convey to the State the title and all rights and 
interests (excluding the mineral estate) in and to the Project held by 
the United States.</DELETED>

<DELETED>SEC. 4. COMPLETION OF CONVEYANCE.</DELETED>

<DELETED>    (a) In General.--The Secretary shall expeditiously 
complete the conveyance under section 3 including such actions as may 
be required under the National Environmental Policy Act of 1969 (42 
U.S.C. 4321 et seq.).</DELETED>
<DELETED>    (b) Report.--If the conveyance under section 3 is 
completed later than 1 year and 180 days after the date of enactment of 
this Act, the Secretary shall submit to the Committee on Resources of 
the House of Representatives and the Committee on Energy and Natural 
Resources of the Senate a report that describes--</DELETED>
        <DELETED>    (1) the status of the conveyance;</DELETED>
        <DELETED>    (2) any obstacles to completion of the conveyance; 
        and</DELETED>
        <DELETED>    (3) the anticipated date for completion of the 
        conveyance.</DELETED>

<DELETED>SEC. 5. PAYMENT.</DELETED>

<DELETED>    (a) In General.--As a condition of the conveyance under 
section 3, the State shall pay to the Secretary $48,000,000.</DELETED>
<DELETED>    (b) Obligation Extinguished.--On payment by the State 
under subsection (a), the obligation of the State under the Bureau of 
Reclamation contract numbered 14-06-500-1880, as amended, shall be 
extinguished.</DELETED>
<DELETED>    (c) Additional Costs.--In addition to the payment under 
subsection (a), as a condition of conveyance, the State shall bear the 
cost of all boundary surveys, title searches, appraisals, and other 
transaction costs for the conveyance.</DELETED>
<DELETED>    (d) Financing.--Nothing in this Act shall be construed to 
affect the right of the State to use a particular type of 
financing.</DELETED>
<DELETED>    (e) Reclamation Fund.--All funds paid by the State to the 
Secretary under this section shall be credited to the Reclamation Fund 
in the Treasury of the United States.</DELETED>

<DELETED>SEC. 6. FUTURE MANAGEMENT.</DELETED>

<DELETED>    (a) In General.--As a condition of the conveyance under 
section 3, the land, water, facilities, and mineral estate of the 
Project shall continue to be managed by the State and operated for the 
purposes for which the Project was originally authorized, based on 
current use and historic operation, to ensure the implementation of 
fish, wildlife, and recreational activities.</DELETED>
<DELETED>    (b) Existing Obligations.--As a condition of the 
conveyance under section 3, the State shall assume all obligations of 
the United States associated with the Project existing on the date of 
the conveyance, including obligations under contracts, for recreation, 
fish and wildlife, easements, and any permits or license 
agreements.</DELETED>

<DELETED>SEC. 7. MINERAL DEVELOPMENT.</DELETED>

<DELETED>    (a) In General.--All mineral interests in the Project 
retained by the United States on completion of the conveyance under 
section 3 shall be subject to continued use by the State for the 
purposes for which the Project was authorized, including--</DELETED>
        <DELETED>    (1) maintenance of the municipal and industrial 
        water supply;</DELETED>
        <DELETED>    (2) recreation; and</DELETED>
        <DELETED>    (3) fish and wildlife activities.</DELETED>
<DELETED>    (b) Surface Estate.--The surface estate of the Project may 
be used for exploration, development, or production of oil, gas, or 
minerals only on approval by the State.</DELETED>

<DELETED>SEC. 8. LIABILITY.</DELETED>

<DELETED>    (a) In General.--Effective on the date of conveyance of 
the Project, except as relates to retained mineral interests, the 
United States shall not be liable for damages of any kind arising out 
of any act, omission, or occurrence with respect to the Project, except 
for damages caused by acts of negligence committed prior to the date of 
conveyance by--</DELETED>
        <DELETED>    (1) the United States; or</DELETED>
        <DELETED>    (2) an employee, agent, or contractor of the 
        United States.</DELETED>
<DELETED>    (b) No Increase Liability.--Nothing in this section 
increases the liability of the United States beyond that provided for 
in chapter 171 of title 28, United States Code.</DELETED>

<DELETED>SEC. 9. FUTURE BENEFITS.</DELETED>

<DELETED>    (a) Deauthorization.--Effective on the date of conveyance 
of the Project, the Project conveyance under this Act shall be 
deauthorized.</DELETED>
<DELETED>    (b) No Reclamation Benefits.--After deauthorization of the 
Project under subsection (a), the State shall not be entitled to 
receive any benefits under Federal reclamation law (the Act of June 17, 
1902 (32 Stat. 388, chapter 1093), and Acts supplemental to and 
amendatory of that Act (43 U.S.C. 371 et seq.)).</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Palmetto Bend Conveyance Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Project.--the term ``Project'' means the Palmetto Bend 
        Reclamation Project in the State of Texas authorized under 
        Public Law 90-562 (82 Stat. 999).
            (2) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior.
            (3) State.--The term ``State'' means the State of Texas, 
        acting through the Texas Water Development Board or the Lavaca-
        Navidad River Authority or both.

SEC. 3. CONVEYANCE.

    (a) In General.--The Secretary shall, as soon as practicable after 
the date of enactment of this Act and in accordance with all applicable 
law, and subject to the conditions set forth in sections 4 and 5, 
convey to the State all right, title and interest (excluding the 
mineral estate) in and to the Project held by the United States.
    (b) Report.--If the conveyance under Section 3 has not been 
completed within 1 year and 180 days after the date of enactment of 
this Act, the Secretary shall submit to the Committee on Resources of 
the House of Representatives and the Committee on Energy and Natural 
Resources of the Senate a report that describes--
            (1) the status of the conveyance;
            (2) any obstacles to completion of the conveyance; and
            (3) the anticipated date for completion of the conveyance.

SEC. 4. PAYMENT.

    (a) In General.--As a condition of the conveyance, the State shall 
pay the Secretary the adjusted net present value of current repayment 
obligations on the Project, calculated 30 days prior to closing using a 
discount rate equal to the average interest rate on 30-year U.S. 
Treasury notes during the proceeding calendar month, which following 
application of the State's August 1, 1999 payment, is currently 
calculated to be $45,082,675 using a discount rate of 6.070%. The State 
shall also pay interest on the adjusted net present value of current 
repayment obligations from the date of State's most recent annual 
payment until closing at the interest rate for constant maturity U.S. 
Treasury notes of an equivalent term.
    (b) Obligation Extinguished.--Upon payment by the State under 
subsection (a), the obligation of the State and the Bureau of 
Reclamation under the Bureau of Reclamation Contract No. 14-06-500-
1880, as amended shall be extinguished. After completion of conveyance 
provided for in Section 3, the State shall assume full responsibility 
for all aspects of operation, maintenance and replacement of the 
Project.
    (c) Additional Costs.--The State shall bear the cost of all 
boundary surveys, title searches, appraisals, and other transaction 
costs for the conveyance.
    (d) Reclamation Fund.--All funds paid by the State to the Secretary 
under this section shall be credited to the Reclamation Fund in the 
Treasury of the United States.

SEC. 5. FUTURE MANAGEMENT.

    (a) In General.--As a condition of the conveyance under section 3, 
the State shall agree that the lands, water, and facilities of the 
Project shall continue to be managed and operated for the purposes for 
which the Project was originally authorized; that is, to provide a 
dependable municipal and industrial water supply, to conserve and 
develop fish and wildlife resources, and to enhance recreational 
opportunities. In future management of the Project, the State shall, 
consistent with other project purposes and the provision of dependable 
municipal and industrial water supply:
            (1) provide full public access to the Project's lands, 
        subject to reasonable restrictions for purposes of Project 
        security, public safety, and natural resource protection;
            (2) not sell or otherwise dispose of the lands conveyed 
        under Section 3;
            (3) prohibit private or exclusive uses of lands conveyed 
        under Section 3;
            (4) maintain and manage the Project's fish and wildlife 
        resource and habitat for the benefit and enhancement of those 
        resources;
            (5) maintain and manage the Project's existing recreational 
        facilities and assets, including open space, for the benefit of 
        the general public;
            (6) not charge the public recreational use fees that are 
        more than is customary and reasonable.
    (b) Fish, Wildlife, and Recreation Management.--As a condition of 
conveyance under Section 3, management decisions and actions affecting 
the public aspects of the Project (namely, fish, wildlife, and 
recreation resources) shall be conducted according to a management 
agreement between all recipients of title to the Project and the Texas 
Parks and Wildlife Department and shall extend for the useful life of 
the Project that has been approved by the Secretary.
    (c) Existing Obligations.--The United States shall assign to the 
State and the State shall accept all surface use obligations of the 
United States associated with the Project existing on the date of the 
conveyance including contracts, easements, and any permits or license 
agreements.

SEC. 6. MANAGEMENT OF MINERAL ESTATE.

    All mineral interests in the Project retained by the United States 
shall be managed consistent with Federal Law and in a manner that will 
not interfere with the purposes for which the Project was authorized.

SEC. 7. LIABILITY.

    (a) In General.--Effective on the date of conveyance of the 
Project, the United States shall be liable for damages of any kind 
arising out of any act, omission, or occurrence relating to the 
Project, except for damages caused by acts of negligence committed 
prior to the date of conveyance by--
            (1) the United States; or
            (2) an employee, agent, or contractor of the United States.
    (b) No Increase in Liability.--Nothing in this Act increases the 
liability of the United States beyond that provided for in the Federal 
Tort Claims Act, (28 U.S.C. 2671 et seq.).

SEC. 8. FUTURE BENEFITS.

    (a) Deauthorization.--Effective on the date of conveyance of the 
Project, the Project conveyed under this Act shall be deauthorized.
    (b) No Reclamation Benefits.--Afte deauthorization of the Project 
under subsection (a), the State shall not be entitled to receive any 
benefits for the Project under Federal reclamation law (the Act of June 
17, 1902 (32 Stat. 388, chapter 1093), and Acts supplemental to and 
amendatory of that Act (43 U.S.C. 371 et seq.).




                                                       Calendar No. 709

106th CONGRESS

  2d Session

                                S. 1474

                          [Report No. 106-358]

_______________________________________________________________________

                                 A BILL

 Providing for conveyance of the Palmetto Bend project to the State of 
                                 Texas.

_______________________________________________________________________

                             July 24, 2000

                       Reported with an amendment