[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4349 Reported in Senate (RS)]

                                                       Calendar No. 615
111th CONGRESS
  2d Session
                                H. R. 4349

                          [Report No. 111-329]


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              June 9, 2010

   Received; read twice and referred to the Committee on Energy and 
                           Natural Resources

                           September 27, 2010

              Reported by Mr. Bingaman, without amendment

_______________________________________________________________________

                                 AN ACT


 
To further allocate and expand the availability of hydroelectric power 
            generated at Hoover Dam, and for other purposes.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Hoover Power Allocation Act of 
2010''.

SEC. 2. ALLOCATION OF CONTRACTS FOR POWER.

    (a) Schedule A Power.--Section 105(a)(1)(A) of the Hoover Power 
Plant Act of 1984 (43 U.S.C. 619a(a)(1)(A)) is amended--
            (1) by striking ``renewal'';
            (2) by striking ``June 1, 1987'' and inserting ``October 1, 
        2017''; and
            (3) by striking Schedule A and inserting the following:

                                                  ``Schedule A
  Long-term Schedule A contingent capacity and associated firm energy for offers of contracts to Boulder Canyon
                                               project contractors
----------------------------------------------------------------------------------------------------------------
                                                                 Contingent     Firm energy (thousands of kWh)
                           Contractor                             capacity  ------------------------------------
                                                                    (kW)       Summer      Winter       Total
----------------------------------------------------------------------------------------------------------------
Metropolitan Water District of Southern California.............     249,948     859,163     368,212    1,227,375
City of Los Angeles............................................     495,732     464,108     199,175      663,283
Southern California Edison Company.............................     280,245     166,712      71,448      238,160
City of Glendale...............................................      18,178      45,028      19,297       64,325
City of Pasadena...............................................      11,108      38,622      16,553       55,175
City of Burbank................................................       5,176      14,070       6,030       20,100
Arizona Power Authority........................................     190,869     429,582     184,107      613,689
Colorado River Commission of Nevada............................     190,869     429,582     184,107      613,689
United States, for Boulder City................................      20,198      53,200      22,800       76,000
                                                                ------------------------------------------------
Totals.........................................................   1,462,323   2,500,067   1,071,729  3,571,796''
                                                                                                               .
----------------------------------------------------------------------------------------------------------------

    (b) Schedule B Power.--Section 105(a)(1)(B) of the Hoover Power 
Plant Act of 1984 (43 U.S.C. 619a(a)(1)(B)) is amended to read as 
follows:
    ``(B) To each existing contractor for power generated at Hoover 
Dam, a contract, for delivery commencing October 1, 2017, of the amount 
of contingent capacity and firm energy specified for that contractor in 
the following table:

                                                  ``Schedule B
  Long-term Schedule B contingent capacity and associated firm energy for offers of contracts to Boulder Canyon
                                               project contractors
----------------------------------------------------------------------------------------------------------------
                                                                  Contingent    Firm energy (thousands of kWh)
                           Contractor                              capacity  -----------------------------------
                                                                     (kW)       Summer      Winter       Total
----------------------------------------------------------------------------------------------------------------
 City of Glendale...............................................       2,020       2,749       1,194       3,943
City of Pasadena................................................       9,089       2,399       1,041       3,440
City of Burbank.................................................      15,149       3,604       1,566       5,170
City of Anaheim.................................................      40,396      34,442      14,958      49,400
City of Azusa...................................................       4,039       3,312       1,438       4,750
City of Banning.................................................       2,020       1,324         576       1,900
City of Colton..................................................       3,030       2,650       1,150       3,800
City of Riverside...............................................      30,296      25,831      11,219      37,050
City of Vernon..................................................      22,218      18,546       8,054      26,600
Arizona.........................................................     189,860     140,600      60,800     201,400
Nevada..........................................................     189,860     273,600     117,800     391,400
                                                                 -----------------------------------------------
Totals..........................................................     507,977     509,057     219,796  728,853''.
----------------------------------------------------------------------------------------------------------------

    (c) Schedule C Power.--Section 105(a)(1)(C) of the Hoover Power 
Plant Act of 1984 (43 U.S.C. 619a(a)(1)(C)) is amended--
            (1) by striking ``June 1, 1987'' and inserting ``October 1, 
        2017''; and
            (2) by striking Schedule C and inserting the following:

                                                  ``Schedule C
                                                  Excess Energy
----------------------------------------------------------------------------------------------------------------
          Priority of entitlement to excess energy                                  State
----------------------------------------------------------------------------------------------------------------
First: Meeting Arizona's first priority right to delivery    Arizona
 of excess energy which is equal in each year of operation
 to 200 million kilowatthours: Provided, That in the event
 excess energy in the amount of 200 million kilowatthours
 is not generated during any year of operation, Arizona
 shall accumulate a first right to delivery of excess
 energy subsequently generated in an amount not to exceed
 600 million kilowatthours, inclusive of the current year's
 200 million kilowatthours. Said first right of delivery
 shall accrue at a rate of 200 million kilowatthours per
 year for each year excess energy in an amount of 200
 million kilowatthours is not generated, less amounts of
 excess energy delivered...................................
Second: Meeting Hoover Dam contractual obligations under     Arizona, Nevada, and California
 Schedule A of subsection (a)(1)(A), under Schedule B of
 subsection (a)(1)(B), and under Schedule D of subsection
 (a)(2), not exceeding 26 million kilowatthours in each
 year of operation.........................................
Third: Meeting the energy requirements of the three States,  Arizona, Nevada, and California''.
 such available excess energy to be divided equally among
 the States................................................
----------------------------------------------------------------------------------------------------------------

    (d) Schedule D Power.--Section 105(a) of the Hoover Power Plant Act 
of 1984 (43 U.S.C. 619a(a)) is amended--
            (1) by redesignating paragraphs (2), (3), and (4) as 
        paragraphs (3), (4), and (5), respectively; and
            (2) by inserting after paragraph (1) the following:
    ``(2)(A) The Secretary of Energy is authorized to and shall create 
from the apportioned allocation of contingent capacity and firm energy 
adjusted from the amounts authorized in this Act in 1984 to the amounts 
shown in Schedule A and Schedule B, as modified by the Hoover Power 
Allocation Act of 2010, a resource pool equal to 5 percent of the full 
rated capacity of 2,074,000 kilowatts, and associated firm energy, as 
shown in Schedule D (referred to in this section as `Schedule D 
contingent capacity and firm energy'):

                                                  ``Schedule D
     Long-term Schedule D resource pool of contingent capacity and associated firm energy for new allottees
----------------------------------------------------------------------------------------------------------------
                                                                  Contingent    Firm energy (thousands of kWh)
                              State                                capacity  -----------------------------------
                                                                     (kW)       Summer      Winter       Total
----------------------------------------------------------------------------------------------------------------
New Entities Allocated by the Secretary of Energy...............      69,170     105,637      45,376     151,013
New Entities Allocated by State
Arizona.........................................................      11,510      17,580       7,533      25,113
 California.....................................................      11,510      17,580       7,533      25,113
Nevada..........................................................      11,510      17,580       7,533      25,113
                                                                 -----------------------------------------------
Totals..........................................................     103,700     158,377      67,975     226,352
----------------------------------------------------------------------------------------------------------------

    ``(B) The Secretary of Energy shall offer Schedule D contingency 
capacity and firm energy to entities not receiving contingent capacity 
and firm energy under subparagraphs (A) and (B) of paragraph (1) 
(referred to in this section as `new allottees') for delivery 
commencing October 1, 2017 pursuant to this subsection. In this 
subsection, the term `the marketing area for the Boulder City Area 
Projects' shall have the same meaning as in appendix A of the General 
Consolidated Power Marketing Criteria or Regulations for Boulder City 
Area Projects published in the Federal Register on December 28, 1984 
(49 Federal Register 50582 et seq.) (referred to in this section as the 
`Criteria').
    ``(C)(i) Within 36 months of the date of enactment of the Hoover 
Power Allocation Act of 2010, the Secretary of Energy shall allocate 
through the Western Area Power Administration (referred to in this 
section as `Western'), for delivery commencing October 1, 2017, for use 
in the marketing area for the Boulder City Area Projects 66.7 percent 
of the Schedule D contingent capacity and firm energy to new allottees 
that are located within the marketing area for the Boulder City Area 
Projects and that are--
            ``(I) eligible to enter into contracts under section 5 of 
        the Boulder Canyon Project Act (43 U.S.C. 617d); or
            ``(II) federally recognized Indian tribes.
    ``(ii) In the case of Arizona and Nevada, Schedule D contingent 
capacity and firm energy for new allottees other than federally 
recognized Indian tribes shall be offered through the Arizona Power 
Authority and the Colorado River Commission of Nevada, respectively. 
Schedule D contingent capacity and firm energy allocated to federally 
recognized Indian tribes shall be contracted for directly with Western.
    ``(D) Within 1 year of the date of enactment of the Hoover Power 
Allocation Act of 2010, the Secretary of Energy also shall allocate, 
for delivery commencing October 1, 2017, for use in the marketing area 
for the Boulder City Area Projects 11.1 percent of the Schedule D 
contingent capacity and firm energy to each of--
            ``(i) the Arizona Power Authority for allocation to new 
        allottees in the State of Arizona;
            ``(ii) the Colorado River Commission of Nevada for 
        allocation to new allottees in the State of Nevada; and
            ``(iii) Western for allocation to new allottees within the 
        State of California, provided that Western shall have 36 months 
        to complete such allocation.
    ``(E) Each contract offered pursuant to this subsection shall 
include a provision requiring the new allottee to pay a proportionate 
share of its State's respective contribution (determined in accordance 
with each State's applicable funding agreement) to the cost of the 
Lower Colorado River Multi-Species Conservation Program (as defined in 
section 9401 of the Omnibus Public Land Management Act of 2009 (Public 
Law 111-11; 123 Stat. 1327)), and to execute the Boulder Canyon Project 
Implementation Agreement Contract No. 95-PAO-10616 (referred to in this 
section as the `Implementation Agreement').
    ``(F) Any of the 66.7 percent of Schedule D contingent capacity and 
firm energy that is to be allocated by Western that is not allocated 
and placed under contract by October 1, 2017, shall be returned to 
those contractors shown in Schedule A and Schedule B in the same 
proportion as those contractors' allocations of Schedule A and Schedule 
B contingent capacity and firm energy. Any of the 33.3 percent of 
Schedule D contingent capacity and firm energy that is to be 
distributed within the States of Arizona, Nevada, and California that 
is not allocated and placed under contract by October 1, 2017, shall be 
returned to the Schedule A and Schedule B contractors within the State 
in which the Schedule D contingent capacity and firm energy were to be 
distributed, in the same proportion as those contractors' allocations 
of Schedule A and Schedule B contingent capacity and firm energy.''.
    (e) Total Obligations.--Paragraph (3) of section 105(a) of the 
Hoover Power Plant Act of 1984 (43 U.S.C. 619a(a)) (as redesignated as 
subsection (d)(1)) is amended--
            (1) in the first sentence, by striking ``schedule A of 
        section 105(a)(1)(A) and schedule B of section 105(a)(1)(B)'' 
        and inserting ``paragraphs (1)(A), (1)(B), and (2)''; and
            (2) in the second sentence--
                    (A) by striking ``any'' and inserting ``each'';
                    (B) by striking ``schedule C'' and inserting 
                ``Schedule C''; and
                    (C) by striking ``schedules A and B'' and inserting 
                ``Schedules A, B, and D''.
    (f) Power Marketing Criteria.--Paragraph (4) of section 105(a) of 
the Hoover Power Plant Act of 1984 (43 U.S.C. 619a(a)) (as redesignated 
as subsection (d)(1)) is amended to read as follows:
    ``(4) Subdivision E of the Criteria shall be deemed to have been 
modified to conform to this section, as modified by the Hoover Power 
Allocation Act of 2010. The Secretary of Energy shall cause to be 
included in the Federal Register a notice conforming the text of the 
regulations to such modifications.''.
    (g) Contract Terms.--Paragraph (5) of section 105(a) of the Hoover 
Power Plant Act of 1984 (43 U.S.C. 619a(a)) (as redesignated as 
subsection (d)(1)) is amended--
            (1) by striking subparagraph (A) and inserting the 
        following:
            ``(A) in accordance with section 5(a) of the Boulder Canyon 
        Project Act (43 U.S.C. 617d(a)), expire September 30, 2067;'';
            (2) in the proviso of subparagraph (B)--
                    (A) by striking ``shall use'' and inserting ``shall 
                allocate''; and
                    (B) by striking ``and'' after the semicolon at the 
                end;
            (3) in subparagraph (C), by striking the period at the end 
        and inserting a semicolon; and
            (4) by adding at the end the following:
            ``(D) authorize and require Western to collect from new 
        allottees a pro rata share of Hoover Dam repayable advances 
        paid for by contractors prior to October 1, 2017, and remit 
        such amounts to the contractors that paid such advances in 
        proportion to the amounts paid by such contractors as specified 
        in section 6.4 of the Implementation Agreement;
            ``(E) permit transactions with an independent system 
        operator; and
            ``(F) contain the same material terms included in section 
        5.6 of those long-term contracts for purchases from the Hoover 
        Power Plant that were made in accordance with this Act and are 
        in existence on the date of enactment of the Hoover Power 
        Allocation Act of 2010.''.
    (h) Existing Rights.--Section 105(b) of the Hoover Power Plant Act 
of 1984 (43 U.S.C. 619a(b)) is amended by striking ``2017'' and 
inserting ``2067''.
    (i) Offers.--Section 105(c) of the Hoover Power Plant Act of 1984 
(43 U.S.C. 619a(c)) is amended to read as follows:
    ``(c) Offer of Contract to Other Entities.--If any existing 
contractor fails to accept an offered contract, the Secretary of Energy 
shall offer the contingent capacity and firm energy thus available 
first to other entities in the same State listed in Schedule A and 
Schedule B, second to other entities listed in Schedule A and Schedule 
B, third to other entities in the same State which receive contingent 
capacity and firm energy under subsection (a)(2) of this section, and 
last to other entities which receive contingent capacity and firm 
energy under subsection (a)(2) of this section.''.
    (j) Availability of Water.--Section 105(d) of the Hoover Power 
Plant Act of 1984 (43 U.S.C. 619a(d) is amended to read as follows:
    ``(d) Water Availability.--Except with respect to energy purchased 
at the request of an allottee pursuant to subsection (a)(3), the 
obligation of the Secretary of Energy to deliver contingent capacity 
and firm energy pursuant to contracts entered into pursuant to this 
section shall be subject to availability of the water needed to produce 
such contingent capacity and firm energy. In the event that water is 
not available to produce the contingent capacity and firm energy set 
forth in Schedule A, Schedule B, and Schedule D, the Secretary of 
Energy shall adjust the contingent capacity and firm energy offered 
under those Schedules in the same proportion as those contractors' 
allocations of Schedule A, Schedule B, and Schedule D contingent 
capacity and firm energy bears to the full rated contingent capacity 
and firm energy obligations.''.
    (k) Conforming Amendments.--Section 105 of the Hoover Power Plant 
Act of 1984 (43 U.S.C. 619a) is amended--
            (1) by striking subsections (e) and (f); and
            (2) by redesignating subsections (g), (h), and (i) as 
        subsections (e), (f), and (g), respectively.
    (l) Continued Congressional Oversight.--Subsection (e) of section 
105 of the Hoover Power Plant Act of 1984 (43 U.S.C. 619a)) (as 
redesignated by subsection (k)(2)) is amended--
            (1) in the first sentence, by striking ``the renewal of''; 
        and
            (2) in the second sentence, by striking ``June 1, 1987, and 
        ending September 30, 2017'' and inserting ``October 1, 2017, 
        and ending September 30, 2067''.
    (m) Court Challenges.--Subsection (f)(1) of section 105 of the 
Hoover Power Plant Act of 1984 (43 U.S.C. 619a) (as redesignated by 
subsection (k)(2)) is amended in the first sentence by striking ``this 
Act'' and inserting ``the Hoover Power Allocation Act of 2010''.
    (n) Reaffirmation of Congressional Declaration of Purpose.--
Subsection (g) of section 105 of the Hoover Power Plant Act of 1984 (43 
U.S.C. 619a) (as redesignated by subsection (k)(2)) is amended--
            (1) by striking ``subsections (c), (g), and (h) of this 
        section'' and inserting ``this Act''; and
            (2) by striking ``June 1, 1987, and ending September 30, 
        2017'' and inserting ``October 1, 2017, and ending September 
        30, 2067''.

SEC. 3. PAYGO.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the House Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.
                                                       Calendar No. 615

111th CONGRESS

  2d Session

                               H. R. 4349

                          [Report No. 111-329]

_______________________________________________________________________

                                 AN ACT

To further allocate and expand the availability of hydroelectric power 
            generated at Hoover Dam, and for other purposes.

_______________________________________________________________________

                           September 27, 2010

                       Reported without amendment