[Congressional Record Volume 151, Number 69 (Monday, May 23, 2005)]
[Senate]
[Pages S5789-S5790]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. ALLARD (for himself and Mr. Salazar):
  S. 1106. A bill to authorize the construction of the Arkansas Valley 
Conduit in the State of Colorado, and for other purposes; to the 
Committee on Energy and Natural Resources.
  Mr. ALLARD. Mr. President, it is with much excitement and 
anticipation that I, along with Congresswoman Marilyn Musgrave in the 
House of Representatives, introduce legislation known as ``The Arkansas 
Valley Conduit.'' This bill will ensure the expedited construction of a 
pipeline that will provide the small, financially strapped towns and 
water agencies along the Arkansas River with safe, clean, affordable 
water. By creating a Federal-Local cost share to help offset the costs 
of constructing the Conduit, this legislation will protect the future 
of Southeastern Colorado. First introduced during the 107th Session of 
Congress and subsequently in the 108th, we have redrafted the 
legislation for the 109th Session to create a stronger stand-alone 
bill. Congresswoman Musgrave and I have worked hard to craft it so that 
it meets the needs of a region of Colorado that has suffered from 
decades of inadequate drinking water supplies. On the heels of one of 
the worst droughts in Colorado history, the Conduit will provide a 
dependable source of water to communities--water that will allow these 
communities to grow and prosper.
  By way of background, the Arkansas Valley Conduit was originally 
authorized by Congress forty years ago as a part of the Fryingpan-
Arkansas Project. Due to the authorizing statute's lack of a cost share 
provision and Southeastern Colorado's depressed economic status, the 
Conduit was never built. Until recently, the region has been fortunate 
to enjoy an economical and safe alternative to pipeline-transportation 
of Project Water: the Arkansas River. Sadly, the water quality in the 
Arkansas has degraded to a point where it is no longer economical to 
use as a means of transport. At the same time, the Federal Government 
has continued to strengthen its unfunded water quality standards.
  Several years ago, in an effort to resurrect the Conduit, Senator Ben 
Nighthorse Campbell and I worked to secure $200,000 for a Bureau of 
Reclamation Re-evaluation Statement on the project. Thanks to this 
effort, the people of the valley began to realize that the Conduit may 
one day be more than just a pipedream, and that Congress was serious 
about fulfilling the promise of the Fryingpan-Arkansas Project.
  Our legislation calls for a 80/20 Federal/Local cost share. This is a 
sizeable sum, but is a far cry from the estimated $640 million it would 
take to build new treatment facilities for each of the communities if 
the Conduit was not built. It requires cooperation of the Department of 
the Interior, U.S. Army Corps of Engineers and local project 
participants.
  The Arkansas Valley Conduit will deliver fresh, clean water to dozens 
of valley communities and tens-of-thousands of people along the river. 
Local community participants continue to explore options for financing 
their share of the costs, and are working hard to develop the 
organization that will oversee the Conduit project. I applaud those in 
the community who have worked so hard for the past several years to 
make the Conduit a reality. Upon its completion, it will stand as 
testament to a pioneering vision and commitment to sensible water 
policy.
  With the help of my colleagues, the promise made by Congress forty 
years ago to the people of Southeastern Colorado, will finally become a 
reality.
  I ask unanimous consent that the text of the legislation be printed 
in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1106

       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 ``Arkansas Valley Conduit 
     Act''.

     SEC. 2. FINDINGS AND PURPOSES.

       (a) Findings.--Congress finds that--
       (1) Public Law 87-590 (76 Stat. 389) authorized the 
     Fryingpan-Arkansas project, including construction of the 
     Arkansas Valley Conduit, a pipeline extending from Pueblo 
     Reservoir, Pueblo, Colorado to Lamar, Colorado;
       (2) the Arkansas Valley Conduit was never built, partly 
     because of the inability of local communities to pay 100 
     percent of the costs of construction of the Arkansas Valley 
     Conduit;
       (3) in furtherance of the goals and authorization of the 
     Fryingpan-Arkansas project, it is necessary to provide 
     separate authorization for the construction of the Arkansas 
     Valley Conduit;
       (4) the construction of the Arkansas Valley Conduit is 
     necessary for the continued viability of southeast Colorado; 
     and
       (5) the Arkansas Valley Conduit would provide the 
     communities of southeast Colorado with safe, clean, and 
     affordable water.
       (b) Purposes.--The purposes of this Act are--
       (1) to ensure a safe and adequate water supply for the 
     beneficiaries identified in Public Law 87-590 (76 Stat. 389) 
     and related authorizing documents and subsequent studies; and
       (2) to establish a cost-sharing requirement for the 
     construction of the Arkansas Valley Conduit.

[[Page S5790]]

     SEC. 3. ARKANSAS VALLEY CONDUIT, COLORADO.

       (a) In General.--The Secretary of the Interior (referred to 
     in this Act as the ``Secretary'') shall plan, design, and 
     construct a water delivery pipeline, and branch lines as 
     needed, from a location in the vicinity (as determined by the 
     Secretary) of Pueblo Reservoir, Pueblo, Colorado to a 
     location in the vicinity (as determined by the Secretary) of 
     Lamar, Colorado, to be known as the ``Arkansas Valley 
     Conduit'', without regard to the cost-ceiling for the 
     Fryingpan Arkansas Project established under section 7 of 
     Public Law 87-590 (76 Stat. 393).
       (b) Lead Non-Federal Entity.--
       (1) Designation.--The Southeastern Colorado Water 
     Conservancy District, or a designee of the Southeastern 
     Colorado Water Conservancy District that is recognized under 
     State law as an entity that has taxing authority, shall be 
     the lead non-Federal entity for the Arkansas Valley Conduit.
       (2) Duties.--The lead non-Federal entity shall--
       (A) act as the official agent of the Arkansas Valley 
     Conduit;
       (B) pay--
       (i) the non-Federal share of any increased costs required 
     under subsection (e)(2)(C); and
       (ii) the non-Federal share of construction costs under 
     subsection (e)(2); and
       (C) pay costs relating to, and perform, the operations, 
     maintenance, and replacement of the Arkansas Valley Conduit.
       (c) Cooperation.--To the maximum extent practicable during 
     the planning, design, and construction of the Arkansas Valley 
     Conduit, the Secretary shall collaborate and cooperate with 
     the United States Army Corps of Engineers, other Federal 
     agencies, and non-Federal entities.
       (d) Cost Estimate.--
       (1) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary, in cooperation with the 
     lead non-Federal entity, shall prepare an estimate of the 
     total costs of constructing the Arkansas Valley Conduit.
       (2) Actual costs.--If the actual costs of construction 
     exceed the estimated costs, the difference between the actual 
     costs and the estimated costs shall be apportioned in 
     accordance with subsection (e)(2)(C).
       (3) Agreement on estimate and design.--The estimate 
     prepared under paragraph (1), and the final design for the 
     Arkansas Valley Conduit, shall be--
       (A) subject to the agreement of the Secretary and the lead 
     non-Federal entity;
       (B) developed in cooperation with the lead non-Federal 
     entity; and
       (C) consistent with commonly accepted engineering 
     practices.
       (e) Cost-sharing Requirement.--
       (1) Federal share.--
       (A) In general.--The Federal share of the total costs of 
     the planning, design, and construction of the Arkansas Valley 
     Conduit shall be 80 percent.
       (B) Increased costs.--The Federal share of any increased 
     costs that are a result of fundamental design changes 
     conducted at the request of any person other than the lead 
     non-Federal entity shall be 100 percent.
       (2) Non-federal share.--
       (A) Non-federal share.--The non-Federal share of the total 
     costs of the planning, design, and construction of the 
     Arkansas Valley Conduit shall be 20 percent.
       (B) Form.--Up to 100 percent of the non-Federal share may 
     be in the form of in-kind contributions or tasks that are 
     identified in the cost estimate prepared under subsection 
     (d)(1) as necessary for the planning, design, and 
     construction of the Arkansas Valley Conduit.
       (C) Increased costs.--
       (i) Fundamental design changes.--The lead non-Federal 
     entity shall pay any increased costs that are a result of 
     fundamental design changes conducted at the request of the 
     lead non-Federal entity.
       (ii) Other causes.--For any increased costs that are from 
     causes (including increased supply and labor costs and 
     unforseen field changes) other than fundamental design 
     changes referred to in clause (i) and paragraph (1)(B)--

       (I) the Federal share shall be 80 percent; and
       (II) the non-Federal share shall be 20 percent.

       (D) Up-front payment.--Not later than 180 days after the 
     date of completion of the cost-estimate under subsection (d), 
     the Secretary and the non-Federal entity may enter into an 
     agreement under which--
       (i) the Secretary pays 100 percent of the non-Federal share 
     on behalf of the non-Federal entity; and
       (ii) the non-Federal entity reimburses the Secretary for 
     the funds paid by the Secretary in accordance with the terms 
     of the agreement.
       (E) Timing.--Except as provided in subparagraph (D), the 
     non-Federal share shall be paid in accordance with a schedule 
     established by the Secretary that--
       (i) takes into account the capability of the applicable 
     non-Federal entities to pay; and
       (ii) provides for full payment of the non-Federal share by 
     a date that is not later than 50 years after the date on 
     which the Arkansas Valley Conduit is capable of delivering 
     water.
       (f) Transfer on Completion.--On completion of the Arkansas 
     Valley Conduit, as certified in an agreement between the 
     Secretary and the lead non-Federal entity, the Secretary 
     shall transfer ownership of the Arkansas Valley Conduit to 
     the lead non-Federal entity.
       (g) Applicable Law.--Except as provided in this Act, Public 
     Law 87-590 (76 Stat. 389) and related authorizing documents 
     and subsequent studies shall apply to the planning, design, 
     and construction of the Arkansas Valley Conduit.
       (h) Water Rights.--Nothing in this Act affects any State 
     water law or interstate compact.

     SEC. 4. AUTHORIZATION OF APPROPRIATIONS.

       (a) In General.--There are authorized to be appropriated 
     such sums as are necessary to carry out this Act.
       (b) Limitation.--Amounts made available under subsection 
     (a) shall not be used for the operation or maintenance of the 
     Arkansas Valley Conduit.
                                 ______