Hydropower Efficiencies at Reclamation projects

Section 9 of the Reclamation Project Act of 1939 (43 U.S.C. 485h) is amended by adding at the end the following:

(g)

Authorization of hydroelectric power at Bureau of Reclamation power generation facilities

(1)The Secretary of the Interior, acting through the Commissioner of the Bureau of Reclamation, is authorized to plan, design, construct, operate, and maintain additions, improvements, efficiencies, and replacements of power generation facilities at existing Reclamation project facilities, including exclusive development of non-Federal power at Bureau of Reclamation facilities, provided that— (A)the Commissioner shall approve such development of non-Federal power using the lease of power privilege; and (B)any power generation facilities for which funds made available under this subsection are used shall be constructed, operated, and maintained in a manner consistent with water supply and other purposes specifically authorized for the project regarding which the power generation facilities are a part. (2)Revenues from the lease of power privileges shall be deposited into the Reclamation Fund, to the credit of the project from which such power is derived. Any construction cost component of such revenues from the Lease of Power Privilege shall be— (A)applied first— (i)against reimbursable construction costs allocated to power; and (ii)for use for any future improvements, efficiencies, and replacements that increase power production at the facility from which such power is derived; and (B)the remainder applied against non-reimbursable construction costs, under the applicable cost allocation formula for the project. (3)Nothing in this subsection shall alter or affect contracts or authorities in force and effect on the date of the enactment of this subsection to advance funds for the operation, maintenance, and repair costs.