[Congressional Record Volume 148, Number 63 (Thursday, May 16, 2002)]
[Senate]
[Pages S4497-S4501]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. DOMENICI (for himself, Mr. Baucus, Mr. Hagel, Ms. Snowe, 
        Mr. Kyl, Mr. Smith of Oregon, Mr. Smith of New Hampshire, Mr. 
        Graham, Mr. Burns, Mr. Bingaman, Mr. Campbell, Mr. Wyden, and 
        Mr. Allard):
  S. 2528. A bill to establish a National Drought Council within the 
Federal Emergency Management Agency, to improve national drought 
preparedness, mitigation, and response efforts, and for other purposes; 
to the Committee on Environment and Public Works.
  Mr. DOMENICI. Mr. President, I rise today to introduce the National 
Drought Preparedness Act of 2002. Severe droughts are not solely the 
curse of the Southwest. Lately, it has been apparent that every region 
in the United States can be hit by drought. We have certainly 
experienced our share of drought in the Southwest, but we have also 
seen the phenomenon occur in the Pacific Northwest, California, the 
Great Basin States, and this year in Maryland, Virginia, Pennsylvania, 
and Delaware. According to the recent Drought Monitor, a joint 
production of the National Drought Mitigation Center, USDA, NOAA, and 
the Climate Prediction Center, nearly a third of the United States is 
currently in a moderate to extreme drought.
  Currently, the State of New Mexico and much of the Rocky Mountain 
States are near or below 50 percent of normal based on low snow pack. 
Along the east coast, precipitation in many places is 8-20 inches below 
normal over the last year.
  Drought is a unique emergency situation; it creeps in unlike other 
abrupt weather disasters. Without a national drought policy we 
constantly live not knowing what the next year will bring. If we find 
ourselves facing a drought, towns could be scrambling to drill new 
water wells, fire could sweep across bone dry forests and farmers, and 
ranchers could be forced to watch their way of life blow away with the 
dust. We must be vigilant and prepare ourselves for quick action when 
the next drought cycle begins. Better planning on our part could limit 
some of the damage felt by drought. I propose that this bill is the 
exact tool needed for facilitating better planning.
  The impacts of drought are also very costly. According to NOAA, there 
have been 12 different drought events since 1980 that resulted in 
damages and costs exceeding $1 billion each. In 2000, severe drought in 
the South-Central and Southeastern States caused losses to agriculture 
and related industries of over $4 billion. Western wildfires that year 
totaled over $2 billion in damages. The Eastern drought in 1999 led to 
$1 billion in losses. These are just a few of the statistics.
  While drought affects the economic and environmental well-being of 
the entire Nation, the United States has lacked a cohesive strategy for 
dealing with serious drought emergencies. As many of you know, the 
impact of drought emerges gradually rather than suddenly as is the case 
with other natural disasters.
  In 1996, every part of New Mexico suffered from severe drought. As a 
result, I convened a special Multi-State Drought Task Force of Federal, 
State, local, and tribal emergency management agencies to coordinate 
efforts to respond to drought. The task force was headed up by the 
Federal Emergency Management Agency, and included

[[Page S4498]]

every Federal agency that has programs designed to deal with drought. 
The task force found that although the Federal Government has many 
drought-related programs on the books, the real problem is that there 
is no integrated, coordinated system of implementing those programs.
  With the recommendations from the Western Governors' Association, the 
National Governors' Association, and the Multi-State Drought Task 
Force, I introduced the National Drought Policy Act of 1997. This piece 
of legislation, which was signed into law, was the first step toward 
establishing a coherent, effective national drought policy. The 
legislation created a commission comprised of representatives of those 
Federal, State, local, and tribal agencies and organizations most 
involved in drought issues. The bill further charged the commission 
with providing recommendations on a permanent and systematic federal 
process to address this particular type of devastating natural 
disaster.
  The commission included representatives from USDA, Interior, the 
Army, FEMA, SBA and Commerce--all agencies with current drought-related 
programs. The commission also included non-Federal members such as 
representatives from the National Governors' Association, the U.S. 
Conference of Mayors, and four persons representing those groups that 
are always hardest hit by drought emergencies.
  The commission was charged with determining what needs existed on the 
Federal, State, local, and tribal levels with regard to drought; 
reviewing existing drought programs; and determining what gaps exist 
between the needs of drought victims and those programs currently 
designed to deal with drought. Finally, the commission was charged with 
making recommendations on how Federal drought laws and programs could 
be better integrated into a comprehensive national drought policy.
  Ultimately, the commission concluded that ``we must adopt a forward-
looking stance to reduce this nation's vulnerability to the impacts of 
drought. Preparedness--including drought planning, plan implementation, 
proactive mitigation, risk management, resource stewardship, 
consideration of environmental concerns, and public education--must 
become the cornerstone of national drought policy.'' The guiding 
principles of drought policy should be one, favoring preparedness over 
insurance, insurance over relief, and incentives over regulation; two, 
setting research priorities based on the potential of the research 
results to reduce drought impacts; and three, coordinating the delivery 
of Federal services through cooperation and collaboration with non-
Federal entities.
  I am pleased to be following through on what I started in 1997. The 
bill that I am introducing today is the next step in implementing a 
national, cohesive drought policy. The bill recognizes that drought is 
a recurring phenomenon that causes serious economic and environmental 
loss and that a national drought policy is needed to ensure an 
integrated, coordinated strategy.
  The National Drought Preparedness Act of 2002 does the following: It 
creates national policy for drought. This will hopefully move the 
country away from the costly, ad-hoc, response-oriented approach to 
drought, and move us toward a pro-active, preparedness approach. The 
new national policy would provide the tools and focus, similar to the 
Stafford Act, for Federal, State, tribal and local governments to 
address the diverse impacts and costs caused by drought.
  The bill would improve delivery of Federal drought programs. This 
would ensure improved program delivery, integration, and leadership. To 
achieve this intended purpose, the bill establishes the National 
Drought Council, designating USDA as the lead Federal agency. The 
council and USDA would provide the coordinating and integrating 
function for Federal drought programs, much like FEMA provides that 
function for other natural disasters under the Stafford Act.
  The act will provide new tools for drought preparedness planning. 
Building on existing policy and planning processes, the bill would 
assist States, local governments, tribes, and other entities in the 
development and implementation of drought preparedness plans. The bill 
does not mandate State and local planning, but is intended to 
facilitate plan development and implementation through establishment of 
the drought assistance fund.
  The bill would improve forecasting and monitoring by facilitating the 
development of the National Drought Monitoring Network in order to 
improve the characterization of current drought conditions and the 
forecasting of future droughts. Ultimately, this would provide a better 
basis to trigger Federal drought assistance.
  Finally, the bill would authorize FEMA to provide reimbursement to 
States for reasonable staging and pre-positioning costs when there is a 
threat of a wildfire.
  Mr. President I ask unanimous consent that text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 2528

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

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``National 
     Drought Preparedness Act of 2002''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
Sec. 4. Effect of Act.

                     TITLE I--DROUGHT PREPAREDNESS

                  Subtitle A--National Drought Council

Sec. 101. Membership and voting.
Sec. 102. Duties of the Council.
Sec. 103. Powers of the Council.
Sec. 104. Council personnel matters.
Sec. 105. Authorization of appropriations.
Sec. 106. Termination of Council.

          Subtitle B--National Office of Drought Preparedness

Sec. 111. Establishment.
Sec. 112. Director of the Office.
Sec. 113. Detail of government employees.

                 Subtitle C--Drought Preparedness Plans

Sec. 121. Drought Assistance Fund.
Sec. 122. Drought preparedness plans.
Sec. 123. Federal plans.
Sec. 124. State and tribal plans.
Sec. 125. Regional and local plans.
Sec. 126. Plan elements.

                     TITLE II--WILDFIRE SUPPRESSION

Sec. 201. Grants for prepositioning wildfire suppression resources.

     SEC. 2. FINDINGS.

       Congress finds that--
       (1) regional drought disasters in the United States cause 
     serious economic and environmental losses, yet there is no 
     national policy to ensure an integrated and coordinated 
     Federal strategy to prepare for, mitigate, or respond to such 
     losses;
       (2) State, tribal, and local governments have to coordinate 
     efforts with each Federal agency involved in drought 
     monitoring, planning, mitigation, and response;
       (3) effective drought monitoring--
       (A) is a critical component of drought preparedness and 
     mitigation; and
       (B) requires a comprehensive, integrated national program 
     that is capable of providing reliable, accessible, and timely 
     information to persons involved in drought planning, 
     mitigation, and response activities;
       (4) the National Drought Policy Commission was established 
     in 1998 to provide advice and recommendations on the creation 
     of an integrated, coordinated Federal policy designed to 
     prepare for and respond to serious drought emergencies;
       (5) according to the report issued by the National Drought 
     Policy Commission in May 2000, the guiding principles of 
     national drought policy should be--
       (A) to favor preparedness over insurance, insurance over 
     relief, and incentives over regulation;
       (B) to establish research priorities based on the potential 
     of the research to reduce drought impacts;
       (C) to coordinate the delivery of Federal services through 
     collaboration with State and local governments and other non-
     Federal entities; and
       (D) to improve collaboration among scientists and managers; 
     and
       (6) the National Drought Council, in coordination with 
     Federal agencies and State, tribal, and local governments, 
     should provide the necessary direction, coordination, 
     guidance, and assistance in developing a comprehensive 
     drought preparedness system.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Council.--The term ``Council'' means the National 
     Drought Council established by section 101(a).
       (2) Critical service provider.--The term ``critical service 
     provider'' means an entity that provides power, water 
     (including water provided by an irrigation organization or 
     facility), sewer services, or wastewater treatment.
       (3) Director.--The term ``Director'' means the Director of 
     the Federal Emergency Management Agency.

[[Page S4499]]

       (4) Director of the office.--The term ``Director of the 
     Office'' means the Director of the Office appointed under 
     section 112(a).
       (5) Drought.--The term ``drought'' means a major natural 
     disaster that is caused by a deficiency in precipitation--
       (A) that may lead to a deficiency in surface and subsurface 
     water supplies (including rivers, streams, wetlands, ground 
     water, soil moisture, reservoir supplies, lake levels, and 
     snow pack); and
       (B) that causes or may cause--
       (i) substantial economic or social impacts; or
       (ii) physical damage or injury to individuals, property, or 
     the environment.
       (6) Fund.--The term ``Fund'' means the Drought Assistance 
     Fund established by section 121(a).
       (7) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given the term in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).
       (8) Mitigation.--The term ``mitigation'' means a short- or 
     long-term action, program, or policy that is implemented in 
     advance of or during a drought to minimize any risks and 
     impacts of drought.
       (9) National drought monitoring network.--The term 
     ``National Drought Monitoring Network'' means a comprehensive 
     network that collects and integrates information on the key 
     indicators of drought, including stream flow, ground water 
     levels, reservoir levels, soil moisture, snow pack, climate 
     (including precipitation and temperature), and forecasts, in 
     order to make usable, reliable, and timely assessments of 
     drought, including the severity of drought.
       (10) Neighboring country.--The term ``neighboring country'' 
     means Canada and Mexico.
       (11) Office.--The term ``Office'' means the National Office 
     of Drought Preparedness established under section 111.
       (12) Trigger.--The term ``trigger'' means the thresholds or 
     criteria that must be satisfied before mitigation or 
     emergency assistance may be provided to an area--
       (A) in which drought is emerging; or
       (B) that is experiencing a drought.

     SEC. 4. EFFECT OF ACT.

       This Act does not affect--
       (1) the authority of a State to allocate quantities of 
     water under the jurisdiction of the State; or
       (2) any State water rights established as of the date of 
     enactment of this Act.

                     TITLE I--DROUGHT PREPAREDNESS

                  Subtitle A--National Drought Council

     SEC. 101. MEMBERSHIP AND VOTING.

       (a) In General.--There is established a council to be known 
     as the ``National Drought Council''.
       (b) Membership.--
       (1) Composition.--The Council shall be composed of--
       (A) the Director;
       (B) the Secretary of the Interior;
       (C) the Secretary of the Army;
       (D) the Secretary of Agriculture;
       (E) 4 members appointed by the Federal co-chair appointed 
     under subsection (f), in coordination with the National 
     Governors Association, of whom--
       (i) 1 member shall be the Governor of a State from Federal 
     Emergency Management Agency Region I, II, or III;
       (ii) 1 member shall be the Governor of a State from Federal 
     Emergency Management Agency Region IV or VI;
       (iii) 1 member shall be the Governor of a State from 
     Federal Emergency Management Agency Region V or VII; and
       (iv) 1 member shall be the Governor of a State from Federal 
     Emergency Management Agency Region VIII, IX, or X;
       (F) 1 member appointed by the Federal co-chair, in 
     coordination with the National Association of Counties;
       (G) 1 member appointed by the Federal co-chair, in 
     coordination with the United States Conference of Mayors;
       (H) 1 member appointed by the Secretary of the Interior, in 
     coordination with Indian tribes, to represent the interests 
     of tribal governments; and
       (I) 1 member appointed by the Secretary of Agriculture, in 
     coordination with the National Association of Conservation 
     Districts, to represent local soil and water conservation 
     districts.
       (2) Date of appointment.--The appointment of each member of 
     the Council shall be made not later than 120 days after the 
     date of enactment of this Act.
       (c) Term; Vacancies.--
       (1) Term.--A member of the Council shall be appointed for a 
     term of 2 years.
       (2) Vacancies.--A vacancy on the Council--
       (A) shall not affect the powers of the Council; and
       (B) shall be filled in the same manner as the original 
     appointment was made.
       (d) Meetings.--
       (1) In general.--The Council shall meet at the call of the 
     co-chairs.
       (2) Frequency.--The Council shall meet at least 
     semiannually.
       (e) Quorum.--A majority of the members of the Council shall 
     constitute a quorum, but a lesser number may hold hearings or 
     conduct other business.
       (f) Co-Chairs.--
       (1) In general.--There shall be a Federal co-chair and non-
     Federal co-chair of the Council.
       (2) Appointment.--
       (A) Federal co-chair.--The Director shall be Federal co-
     chair.
       (B) Non-federal co-chair.--The Council members appointed 
     under subparagraphs (E) through (I) of subsection (b)(1) 
     shall select a non-Federal co-chair from among the members 
     appointed under those subparagraphs.
       (g) Director of the Office.--
       (1) In general.--The Director of the Office shall serve as 
     Director of the Council.
       (2) Duties.--The Director of the Office shall serve the 
     interests of all members of the Council.

     SEC. 102. DUTIES OF THE COUNCIL.

       (a) In General.--The Council shall--
       (1) not later than 1 year after the date of the first 
     meeting of the Council, develop a comprehensive National 
     Drought Policy Action Plan that--
       (A)(i) delineates and integrates responsibilities for 
     activities relating to drought (including drought 
     preparedness, mitigation, research, risk management, 
     training, and emergency relief) among Federal agencies; and
       (ii) ensures that those activities are coordinated with the 
     activities of the States, local governments, Indian tribes, 
     and neighboring countries;
       (B) is consistent with--
       (i) this Act and other applicable Federal laws; and
       (ii) the laws and policies of the States for water 
     management;
       (C) is integrated with drought management programs of the 
     States, Indian tribes, local governments, and private 
     entities; and
       (D) avoids duplicating Federal, State, tribal, local, and 
     private drought preparedness and monitoring programs in 
     existence on the date of enactment of this Act;
       (2) evaluate Federal drought-related programs in existence 
     on the date of enactment of this Act and make recommendations 
     to Congress and the President on means of eliminating--
       (A) discrepancies between the goals of the programs and 
     actual service delivery;
       (B) duplication among programs; and
       (C) any other circumstances that interfere with the 
     effective operation of the programs;
       (3) make recommendations to the President, Congress, and 
     appropriate Federal Agencies on--
       (A) the establishment of common interagency triggers for 
     authorizing Federal drought mitigation programs; and
       (B) improving the consistency and fairness of assistance 
     among Federal drought relief programs;
       (4) coordinate and prioritize specific activities that will 
     improve the National Drought Monitoring Network by--
       (A) taking into consideration the limited resources for--
       (i) drought monitoring, prediction, and research 
     activities; and
       (ii) water supply forecasting; and
       (B) providing for the development of an effective drought 
     information delivery system that--
       (i) communicates drought conditions and impacts to--

       (I) decisionmakers at the Federal, regional, State, tribal, 
     and local levels of government;
       (II) the private sector; and
       (III) the public; and

       (ii) includes near-real-time data, information, and 
     products developed at the Federal, regional, State, tribal, 
     and local levels of government that reflect regional and 
     State differences in drought conditions;
       (5) encourage and facilitate the development of drought 
     preparedness plans under subtitle C, including establishing 
     the guidelines under sections 121(c) and 122(a);
       (6) based on a review of drought preparedness plans, 
     develop and make available to the public drought planning 
     models to reduce water resource conflicts relating to water 
     conservation and droughts;
       (7) develop and coordinate public awareness activities to 
     provide the public with access to understandable, and 
     informative materials on drought, including--
       (A) explanations of the causes of drought, the impacts of 
     drought, and the damages from drought;
       (B) descriptions of the value and benefits of land 
     stewardship to reduce the impacts of drought and to protect 
     the environment;
       (C) clear instructions for appropriate responses to 
     drought, including water conservation, water reuse, and 
     detection and elimination of water leaks; and
       (D) information on State and local laws applicable to 
     drought; and
       (8) establish operating procedures for the Council.
       (b) Consultation.--In carrying out this section, the 
     Council shall consult with groups affected by drought 
     emergencies, including groups that represent--
       (1) agricultural production, wildlife, and fishery 
     interests;
       (2) forestry and fire management interests;
       (3) the credit community;
       (4) rural and urban water associations;
       (5) environmental interests;
       (6) engineering and construction interests; and
       (7) the portion of the science community that is concerned 
     with drought and climatology.
       (c) Reports to Congress.--
       (1) Annual report.--
       (A) In general.--Not later than 1 year after the date of 
     the first meeting of the Council, and annually thereafter, 
     the Council shall submit to Congress a report on the 
     activities carried out under this title.
       (B) Inclusions.--

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       (i) In general.--The annual report shall include a summary 
     of drought preparedness plans completed under sections 123 
     through 125.
       (ii) Initial report.--The initial report submitted under 
     subparagraph (A) shall include any recommendations of the 
     Council under paragraph (2) or (3) of subsection (a).
       (2) Final report.--Not later than 7 years after the date of 
     enactment of this Act, the Council shall submit to Congress a 
     report that recommends--
       (A) amendments to this Act; and
       (B) whether the Council should continue.

     SEC. 103. POWERS OF THE COUNCIL.

       (a) Hearings.--The Council may hold hearings, meet and act 
     at any time and place, take any testimony and receive any 
     evidence that the Council considers advisable to carry out 
     this title.
       (b) Information From Federal Agencies.--
       (1) In general.--The Council may obtain directly from any 
     Federal agency any information that the Council considers 
     necessary to carry out this title.
       (2) Provision of information.--
       (A) In general.--Except as provided in subparagraph (B), on 
     request of the Federal co-chair or non-Federal co-chair, the 
     head of a Federal agency may provide information to the 
     Council.
       (B) Limitation.--The head of a Federal agency shall not 
     provide any information to the Council that the Federal 
     agency head determines the disclosure of which may cause harm 
     to national security interests.
       (c) Postal Services.--The Council may use the United States 
     mail in the same manner and under the same conditions as 
     other agencies of the Federal Government.
       (d) Gifts.--The Council may accept, use, and dispose of 
     gifts or donations of services or property.
       (e) Federal Facilities.--If the Council proposes the use of 
     a Federal facility for the purposes of carrying out this 
     title, the Council shall solicit and consider the input of 
     the Federal agency with jurisdiction over the facility.

     SEC. 104. COUNCIL PERSONNEL MATTERS.

       (a) Compensation of Members.--
       (1) Non-federal employees.--A member of the Council who is 
     not an officer or employee of the Federal Government shall 
     serve without compensation.
       (2) Federal employees.--A member of the Council who is an 
     officer or employee of the United States shall serve without 
     compensation in addition to the compensation received for 
     services of the member as an officer or employee of the 
     Federal Government.
       (b) Travel Expenses.--A member of the Council shall be 
     allowed travel expenses at rates authorized for an employee 
     of an agency under subchapter I of chapter 57 of title 5, 
     United States Code, while away from the home or regular place 
     of business of the member in the performance of the duties of 
     the Council.

     SEC. 105. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to carry out this 
     title $2,000,000 for each of fiscal years 2003 through 2010.

     SEC. 106. TERMINATION OF COUNCIL.

       The Council shall terminate 8 years after the date of 
     enactment of this Act.

          Subtitle B--National Office of Drought Preparedness

     SEC. 111. ESTABLISHMENT.

       The Director shall establish directly under the Director an 
     office to be known as the ``National Office of Drought 
     Preparedness'' to provide assistance to the Council in 
     carrying out this title.

     SEC. 112. DIRECTOR OF THE OFFICE.

       (a) Appointment.--
       (1) In general.--The Director shall appoint a Director of 
     the Office under sections 3371 through 3375 of title 5, 
     United States Code.
       (2) Qualifications.--The Director of the Office shall be a 
     person who has experience in--
       (A) public administration; and
       (B) drought mitigation or drought management.
       (b) Powers.--The Director of the Office may hire such other 
     additional personnel or contract for services with other 
     entities as necessary to carry out the duties of the Office.

     SEC. 113. DETAIL OF GOVERNMENT EMPLOYEES.

       (a) In General.--An employee of the Federal Government may 
     be detailed to the Office without reimbursement, unless the 
     Federal co-chair, on the recommendation of the Director of 
     the Office, determines that reimbursement is appropriate.
       (b) Civil Service Status.--The detail of an employee shall 
     be without interruption or loss of civil service status or 
     privilege.

                 Subtitle C--Drought Preparedness Plans

     SEC. 121. DROUGHT ASSISTANCE FUND.

       (a) Establishment.--There is established within the Federal 
     Emergency Management Agency a fund to be known as the 
     ``Drought Assistance Fund''.
       (b) Purpose.--The Fund shall be used to pay the costs of--
       (1) providing technical and financial assistance (including 
     grants and cooperative assistance) to States, Indian tribes, 
     local governments, and critical service providers for the 
     development and implementation of drought preparedness plans 
     under sections 123 through 125;
       (2) providing to States, Indian tribes, local governments, 
     and critical service providers the Federal share, as 
     determined by the Federal co-chair, in consultation with the 
     other members of the Council, of the cost of mitigating the 
     overall risk and impacts of droughts;
       (3) assisting States, Indian tribes, local governments, and 
     critical service providers in the development of mitigation 
     measures to address environmental, economic, and human health 
     and safety issues relating to drought;
       (4) expanding the technology transfer of drought and water 
     conservation strategies and innovative water supply 
     techniques;
       (5) developing post-drought evaluations and 
     recommendations; and
       (6) supplementing, if necessary, the costs of implementing 
     actions under section 102(a)(4).
       (c) Guidelines.--
       (1) In general.--The Federal co-chair of the Council shall, 
     in consultation with other members of the Council, promulgate 
     guidelines implementing this section.
       (2) Requirements.--The guidelines shall--
       (A) ensure the distribution of amounts from the Fund within 
     a reasonable period of time;
       (B) take into consideration regional differences; and
       (C) prohibit the use of amounts from the Fund for Federal 
     salaries that are not directly related to the provision of 
     drought assistance.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Fund such sums as are necessary to 
     carry out the purposes described in subsection (b).

     SEC. 122. DROUGHT PREPAREDNESS PLANS.

       (a) In General.--The Director, in consultation with the 
     Council, shall publish guidelines for administering a 
     national program to provide technical and financial 
     assistance to States, Indian tribes, local governments, and 
     critical service providers for the development, maintenance, 
     and implementation of drought preparedness plans.
       (b) Requirements.--To build on the experience and avoid 
     duplication of efforts of Federal, State, local, tribal, and 
     regional drought plans in existence on the date of enactment 
     of this Act, the guidelines may recognize and incorporate 
     those plans.

     SEC. 123. FEDERAL PLANS.

       (a) In General.--The Director, the Secretary of 
     Agriculture, the Secretary of the Interior, the Secretary of 
     the Army, and other appropriate Federal agency heads shall 
     develop and implement Federal drought preparedness plans for 
     agencies under the jurisdiction of the appropriate Federal 
     agency head.
       (b) Requirements.--The Federal plans--
       (1) shall be integrated with each other;
       (2) may be included as components of other Federal planning 
     requirements;
       (3) shall be integrated with drought preparedness plans of 
     State, tribal, and local governments that are affected by 
     Federal projects and programs; and
       (4) shall be completed not later than 2 years after the 
     date of enactment of this Act.

     SEC. 124. STATE AND TRIBAL PLANS.

       States and Indian tribes may develop and implement State 
     and tribal drought preparedness plans that--
       (1) address monitoring of resource conditions that are 
     related to drought;
       (2) identify areas that are at a high risk for drought;
       (3) describes mitigation strategies to address and reduce 
     the vulnerability of an area to drought; and
       (4) are integrated with State, tribal, and local water 
     plans in existence on the date of enactment of this Act.

     SEC. 125. REGIONAL AND LOCAL PLANS.

       Local governments and regional water providers may develop 
     and implement drought preparedness plans that--
       (1) address monitoring of resource conditions that are 
     related to drought;
       (2) identify areas that are at a high risk for drought;
       (3) describe mitigation strategies to address and reduce 
     the vulnerability of an area to drought; and
       (4) are integrated with corresponding State plans.

     SEC. 126. PLAN ELEMENTS.

       The drought preparedness plans developed under sections 123 
     through 125--
       (1) shall be consistent with Federal and State laws, 
     contracts, and policies;
       (2) shall allow each State to continue to manage water and 
     wildlife in the State;
       (3) shall address the health, safety, and economic 
     interests of those persons directly affected by drought;
       (4) may include--
       (A) provisions for water management strategies to be used 
     during various drought or water shortage thresholds, 
     consistent with State water law;
       (B) provisions to address key issues relating to drought 
     (including public health, safety, economic factors, and 
     environmental issues such as water quality, water quantity, 
     protection of threatened and endangered species, and fire 
     management);
       (C) provisions that allow for public participation in the 
     development, adoption, and implementation of drought plans;
       (D) provisions for periodic drought exercises, revisions, 
     and updates;
       (E) a hydrologic characterization study to determine how 
     water is being used during times of normal water supply 
     availability to anticipate the types of drought mitigation 
     actions that would most effectively improve water management 
     during a drought;

[[Page S4501]]

       (F) drought triggers;
       (G) specific implementation actions for droughts;
       (H) a water shortage allocation plan, consistent with State 
     water law; and
       (I) comprehensive insurance and financial strategies to 
     manage the risks and financial impacts of droughts; and
       (5) shall take into consideration--
       (A) the financial impact of the plan on the ability of the 
     utilities to ensure rate stability and revenue stream; and
       (B) economic impacts from water shortages.

                     TITLE II--WILDFIRE SUPPRESSION

     SEC. 201. GRANTS FOR PREPOSITIONING WILDFIRE SUPPRESSION 
                   RESOURCES.

       Title II of the Robert T. Stafford Disaster Relief and 
     Emergency Assistance Act (42 U.S.C. 5131 et seq.) is amended 
     by adding at the end the following:

     ``SEC. 205. GRANTS FOR PREPOSITIONING WILDFIRE SUPPRESSION 
                   RESOURCES.

       ``(a) Findings and Purpose.--
       ``(1) Findings.--Congress finds that--
       ``(A) droughts increase the risk of catastrophic wildfires 
     that--
       ``(i) drastically alter and otherwise adversely affect the 
     landscape for communities and the environment;
       ``(ii) because of the potential of such wildfires to 
     overwhelm State wildfire suppression resources, require a 
     coordinated response among States, Federal agencies, and 
     neighboring countries; and
       ``(iii) result in billions of dollars in losses each year;
       ``(B) the Federal Government must, to the maximum extent 
     practicable, prevent and suppress such catastrophic wildfires 
     to protect human life and property;
       ``(C) not taking into account State, local, and private 
     wildfire suppression costs, during the period of 1996 through 
     2000, the Federal Government expended over $630,000,000 per 
     year for wildfire suppression costs;
       ``(D) it is more cost-effective to prevent wildfires by 
     prepositioning wildfire fighting resources to catch flare-ups 
     than to commit millions of dollars to respond to large 
     uncontrollable fires; and
       ``(E) it is in the best interest of the United States to 
     invest in catastrophic wildfire prevention and mitigation by 
     easing the financial burden of prepositioning wildfire 
     suppression resources.
       ``(2) Purpose.--The purpose of this section is to encourage 
     the mitigation and prevention of wildfires by providing 
     financial assistance to States for prepositioning of wildfire 
     suppression resources.
       ``(b) Authorization.--The Director of the Federal Emergency 
     Management Agency (referred to in this section as the 
     `Director') may reimburse a State for the cost of 
     prepositioning wildfire suppression resources on potential 
     multiple and large fire complexes when the Director 
     determines, in accordance with national and regional severity 
     indices of the Forest Service, that a wildfire event poses a 
     threat to life and property in the area.
       ``(c) Eligibility.--Wildfire suppression resources of the 
     Federal Government, neighboring countries, and any State 
     other than the State requesting assistance are eligible for 
     reimbursement under this section.
       ``(d) Reimbursement.--
       ``(1) In general.--The Director may reimburse a State for 
     the costs of prepositioning of wildfire suppression resources 
     of the entities specified in subsection (c), including 
     mobilization to, and demobilization from, the staging or 
     prepositioning area.
       ``(2) Requirements.--For a State to receive reimbursement 
     under paragraph (1)--
       ``(A) any resource provided by an entity specified in 
     subsection (c) shall have been specifically requested by the 
     State seeking reimbursement; and
       ``(B) staging or prepositioning costs--
       ``(i) shall be expended during the approved prepositioning 
     period; and
       ``(ii) shall be reasonable.''.
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