[Congressional Record Volume 140, Number 139 (Thursday, September 29, 1994)]
[Senate]
[Page S]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: September 29, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
               BELLE FOURCHE IRRIGATION PROJECT--S. 1786

  Mr. JOHNSON. Mr. President, on September 26, the Committee on Energy 
and Natural Resources filed the reports to accompany S. 1988, the 
Stagecoach Reservoir Project Act of 1993, and S. 1786, an act to 
authorize rehabilitation of the Belle Fourche irrigation project, and 
for other purposes.
  At the time these two reports were filed, the Congressional Budget 
Office had not submitted its budget estimates regarding these measures. 
The committee has since received these communications from the 
Congressional Budget Office, and I ask unanimous consent that they be 
printed in the Record in full at this point.
  There being no objection, the estimates were ordered to be printed in 
the Record, as follows:

                                                    U.S. Congress,


                                  Congressional Budget Office,

                                Washington DC, September 27, 1994.
     Hon. J. Bennett Johnson,
     Chairman, Committee on Energy and Natural Resources, U.S. 
         Senate, Washington, DC.
       Dear Mr. Chairman: The Congressional Budget Office has 
     prepared the enclosed estimate for S. 1786, an act to 
     authorize rehabilitation of the Belle Fourche irrigation 
     project, and for other purposes.
       Enactment of S. 1786 would affect direct spending. 
     Therefore, pay-as-you-go procedures would apply to the bill.
       If you wish further details on this estimate, we will be 
     pleased to provide them.
           Sincerely,

                                                 James L. Blum

                             (For Robert D. Reischauer, Director).
       Enclosure.


               congressional budget office cost estimate

       1. Bill Number: S. 1786.
       2. Bill title: An act to authorize rehabilitation of the 
     Belle Fourche irrigation project, and for other purposes.
       3. Bill status: As reported by the Senate Committee on 
     Energy and Natural Resources on September 26, 1994.
       4. Bill purpose: S. 1786 would authorize the appropriation 
     of an additional $10.5 million (in October 1, 1994, prices) 
     for the rehabilitation of the Belle Fourche irrigation 
     project. In addition, the bill would allow the repayment 
     schedule of the $51 million already appropriated for the 
     irrigation project to be renegotiated.
       5. Estimated cost to the Federal Government:

------------------------------------------------------------------------
                                        1995   1996   1997   1998   1999
------------------------------------------------------------------------
Authorizations:                                                         
  Estimated authorization of                                            
   appropriations....................      1      4      6  .....  .....
  Estimated outlays..................      1      4      5      1  .....
Direct spending:                                                        
  Estimated budget authority.........  (\1\)  (\1\)  (\1\)  (\1\)  (\1\)
  Estimated outlays..................  (\1\)  (\1\)  (\1\)  (\1\)  (\1\)
------------------------------------------------------------------------
\1\Less than $500,000.                                                  

       The costs of this bill fall within budget function 300.
       Basis of estimate: CBO assumed that the full amount 
     authorized for the rehabilitation of the Belle Fourche 
     irrigation project would be appropriated. Authorization 
     estimates are based on a proposed project schedule obtained 
     from the Bureau of Reclamation (BOR) and are adjusted for 
     inflation. Outlay estimates are based on historical spending 
     rates for similar projects.
       The rehabilitation of the Belle Fourche irrigation project 
     is 100 percent reimbursable. BOR does not expect to start 
     receiving repayment of the $11 million of new authorizations 
     until after fiscal year 2000. Finally, based on information 
     from BOR, we expect that any change in the repayment of the 
     $51 million already appropriated for the project because of a 
     renegotiated repayment schedule would be insignificant for 
     fiscal years 1995 through 1999. Any significant change would 
     occur in the later years of the schedule. The repayments 
     appear in the budgets as offsetting receipts, and thus any 
     change would be considered direct spending.
       6. Pay-as-you-go considerations: Section 252 of the 
     Balanced Budget and Emergency Deficit Control Act of 1985 
     sets up pay-as-you-go procedures for legislation affecting 
     direct spending or receipts through 1998. S. 1786 would allow 
     the repayment schedule of the $51 million already 
     appropriated for the project to be renegotiated, which could 
     affect direct spending. CBO estimates that any change in 
     direct spending for fiscal years 1995 through 1998 would be 
     insignificant. The following table shows the estimated pay-
     as-you-go impact of this bill.

------------------------------------------------------------------------
                              1994     1995     1996     1997      1998 
------------------------------------------------------------------------
Change in outlays..........        0        0        0        0        0
Change in receipts.........    (\1\)    (\1\)    (\1\)    (\1\)    (\1\)
------------------------------------------------------------------------
\1\Not applicable.                                                      

       7. Estimated cost to State and local governments: The state 
     share of the additional project costs, to be paid by the 
     State of South Dakota, would be at least $4 million.
       8. Estimate comparison: None.
       9. Previous CBO estimate: None.
       10. Estimate prepared by: John Patterson.
       11. Estimate approved by: C.G. Nuckols, Assistant Director 
     for Budget Analysis.

                                                    U.S. Congress,


                                  Congressional Budget Office,

                               Washington, DC, September 27, 1994.
     Hon. J. Bennett Johnston,
     Chairman, Committee on Energy and Natural Resources, U.S. 
         Senate, Washington, DC.
       Dear Mr. Chairman: The Congressional Budget Office has 
     reviewed S. 1988, the Stagecoach Reservoir Project Act of 
     1993, as reported by the Senate Committee on Energy and 
     Natural Resources on September 27, 1994. We estimate that 
     enactment of this legislation would have no net impact on the 
     federal budget or on the budgets of state or local 
     governments. Enactment of this bill would not affect direct 
     spending or receipts. Therefore, pay-as-you-go procedures 
     would not apply to the bill.
       S. 1988 would authorize the Bureau of Reclamation (BOR) to 
     sell or accept prepayment of a small reclamation loan held by 
     the Upper Yampa Water Conservancy District (district) in 
     Colorado. The loans were made to the district for 
     construction of the Stagecoach Reservoir Project. The bill 
     specifies that the price paid for the loan be calculated such 
     that there is no net cost to the federal government on a 
     present value basis. Once payment is received for the loan, 
     title to the Stagecoach Reservoir would be transferred to the 
     district.
       BOR has indicated that, if S. 1988 is enacted, the agency 
     would accept a prepayment from the district of the remaining 
     loan balance for the Stagecoach Reservoir Project. The 
     district owes a total of $8.7 million in principal and 
     interest for the project. CBO estimates that, assuming the 
     prepayment amount is calculated as specified in S. 1988, 
     enactment of this legislation would result in no net cost to 
     the federal government.
       If you wish further details on this estimate, we will be 
     pleased to provide them. The CBO staff contact is Theresa 
     Gullo, who can be reached at 226-2860.
           Sincerely,
                                                    James L. Blum,
     (For Robert D. Reischauer, Director).

                          ____________________