[Congressional Record Volume 151, Number 103 (Tuesday, July 26, 2005)]
[Senate]
[Pages S9051-S9052]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                  WATER STORAGE FOR CHEYENNE, WYOMING

  The bill (H.R. 1046) to authorize the Secretary of the Interior to 
contract with the city of Cheyenne, Wyoming, for the storage of the 
city's water in the Kendrick Project, Wyoming, was read the third time 
and passed.

                               H.R. 1046

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

     SECTION 1. WATER STORAGE CONTRACTS.

       (a) Definitions.--In this Act:
       (1) City.--The term ``city'' means--
       (A) the city of Cheyenne, Wyoming;
       (B) the Board of Public Utilities of the city; and
       (C) any agency, public utility, or enterprise of the city.
       (2) Kendrick project.--The term ``Kendrick Project'' means 
     the Bureau of Reclamation project on the North Platte

[[Page S9052]]

     River that was authorized by a finding of feasibility 
     approved by the President on August 30, 1935, and constructed 
     for irrigation and electric power generation, the major 
     features of which include--
       (A) Seminoe Dam, Reservoir, and Powerplant; and
       (B) Alcova Dam and Powerplant.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior, acting through the Commissioner of 
     Reclamation.
       (4) State.--The term ``State'' means the State of Wyoming.
       (b) Contracts.--
       (1) In general.--The Secretary may enter into 1 or more 
     contracts with the city for annual storage of the city's 
     water for municipal and industrial use in Seminoe Dam and 
     Reservoir of the Kendrick Project.
       (2) Conditions.--
       (A) Term; renewal.--A contract under paragraph (1) shall--
       (i) have a term of not more than 40 years; and
       (ii) may be renewed on terms agreeable to the Secretary and 
     the city, for successive terms of not more than 40 years per 
     term.
       (B) Revenues.--Notwithstanding the Act of May 9, 1938 (52 
     Stat. 322, chapter 187; 43 U.S.C. 392a)--
       (i) any operation and maintenance charges received under a 
     contract executed under paragraph (1) shall be credited 
     against applicable operation and maintenance costs of the 
     Kendrick Project; and
       (ii) any other revenues received under a contract executed 
     under paragraph (1) shall be credited to the Reclamation Fund 
     as a credit to the construction costs of the Kendrick 
     Project.
       (C) Effect on existing contractors.--A contract under 
     paragraph (1) shall not adversely affect the Kendrick 
     Project, any existing Kendrick Project contractor, or any 
     existing Reclamation contractor on the North Platte River 
     System.
  Mr. McCAIN. Mr. President, I am pleased that the Senate passed S. 
161, the Northern Arizona Land Exchange and Verde River Basin 
Partnership Act of 2005. It is my hope that this bill will be 
considered quickly by the House of Representatives and sent to the 
President for his signature in the near future.
  I want to thank Senator Kyl and his staff for their work in helping 
to develop this compromise legislation. I also want to thank Senators 
Domenici and Bingaman, and their staffs on the Senate Energy and 
Natural Resources Committee, for their efforts in reaching an agreement 
on this legislation during the last Congress and helping to move it 
through the legislative process. In addition, I want to recognize the 
work of Congressmen Renzi and Hayworth who have championed this 
legislation in the House of Representatives.
  Late last year, after several years of negotiation and compromise, 
the Senate passed by unanimous consent a nearly identical measure. This 
bill provides a sound framework for a fair and equal value exchange of 
50,000 acres of private and public land in Northern Arizona. It also 
addresses water issues associated with the exchange of lands located 
within the Verde River Basin watershed by limiting water usage on 
certain exchanged lands and by supporting the development of a 
collaborative science-based water resource planning and management 
entity for the Verde River Basin watershed.
  The Arizona delegation and a broad array of local area officials are 
strongly supportive of the legislation because it will offer 
significant benefits for all parties. Benefits will accrue to the U.S. 
Forest Service and the public with the consolidation of checkerboard 
lands and the protection and enhanced management of extensive forest 
and grasslands. The communities of Flagstaff, Williams, and Camp Verde 
also will benefit in terms of economic development opportunities, water 
supply, and other important purposes.
  While facilitating the exchange of public and private lands is a very 
important objective of this legislation, and indeed, was the original 
purpose when we began working on it several years ago, the provisions 
concerning water management are perhaps even more important. Since 
introducing the original legislation over 2 years ago, I have heard 
from hundreds of Arizonans and learned first-hand of the significant 
water issues raised by the transfer of Federal land into private 
ownership. We have modified the bill to take into account many of the 
concerns raised during meetings held throughout northern Arizona, 
including removing certain lands entirely from the exchange.
  There is growing recognition of the need to develop and promote the 
wise management of Arizona's limited water supplies, particularly with 
the extended drought coupled with rapid population growth. As such, the 
bill passed by the Senate would not only limit water usage on the 
exchanged lands, but also provide an opportunity to encourage sound 
water management in northern Arizona through the creation of a 
collaborative, science-based decision-making body to advance essential 
planning and management at the State and local level in Northern 
Arizona.
  To be successful, this effort will require the involvement of all the 
stakeholders with water supply responsibilities and interests. It will 
also require a solid foundation of knowledge about available resources 
and existing demands. We are fortunate to have an existing model of 
collaborative science-based water resource planning and management with 
the Upper San Pedro Partnership in the Sierra Vista subwatershed of 
Arizona. In my view, the establishment of a similar, cooperative body 
in the Verde Basin will be a vital step in assuring the wise use of our 
limited water resources.
  Again, I want to thank all of the parties involved with this 
legislation.

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