[Congressional Record Volume 154, Number 92 (Thursday, June 5, 2008)]
[Senate]
[Pages S5206-S5208]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

      By Mr. TESTER (for himself, Mr. Crapo, Mr. Baucus, and Mr. 
        Craig):
  S. 3085. A bill to require the Secretary of the Interior to establish 
a cooperative watershed management program, and for other purposes; to 
the Committee on Energy and Natural Resources.
  Mr. TESTER. Mr. President, I rise today to introduce the Cooperative 
Watershed Act of 2008 with my colleagues Senators Crapo, Baucus and 
Craig.
  This is an important piece of legislation because it deals with being 
good caretakers of our water.
  Water is life. It is as simple as that folks. If we do not manage 
what we have, well then people are going to be in trouble. In Montana, 
we are currently suffering through almost a decade of drought, and with 
growing demand, increased pollution, and a changing climate, our water 
resources will only become more stressed in the coming years.
  Now folks in Montana are not the type to sit back and wait for 
someone else to come along and fix a problem for them. No, folks in 
Montana have long since started coming together to form local groups to 
ensure their water resources are properly managed. These groups consist 
of irrigators, farmers, environmental groups, scientists, and 
governmental officials all working together. Unfortunately, these 
groups often are limited by a lack of funding for projects and a full 
time administrator. These groups hold so much potential, but are being 
held back by the simple lack of funding. That is why I, along with 
Senators Crapo, Baucus, and Craig, have introduced the Cooperative 
Watershed Act of 2008.
  The Cooperative Watershed Act of 2008 sets up a granting program 
under the Department of the Interior to help local stakeholders come 
together and form or expand watershed-wide management groups that can 
cooperatively manage their local water resources. The funds in this 
bill will help these groups build the capacity to act as grassroots, 
nonregulatory entities to address local water availability and quality 
issues within a watershed.
  By getting all the different stakeholders involved in the management 
process, these groups will help reduce the need for Federal regulation 
and litigation, and result in the best overall use of the available, 
and often limited, water supply. Make no mistake, in Montana we 
understand that local stakeholders are in the best position to manage 
their own resources, but Federal support must play a role in helping 
them establish the capacity to do so.
  Now in granting funds, this bill takes into account that different 
strokes are needed for different folks. To accommodate the varying 
stages of development of different groups, the grant program is divided 
into three phases: an initial planning phase to help new groups form 
and begin to formulate ideas and project proposals, a pilot project 
phase to help semi-established groups gain the capacity to conduct 
projects and studies, and an implementation phase to help fully formed 
and functioning groups undertake large-scale, multi-year projects.
  Montana has been a leader in implementing water resources planning on 
a watershed scale for years, and the funding provided in this bill will 
allow Montanans and other interested States to increase their capacity 
to effectively manage their vital water resources as we move into the 
future.
  Mr. President, I ask by unanimous consent that the text of the bill 
be printed in the Record.
  There being no objection, the text of the bill was ordered to be 
printed in the Record, as follows:

                                S. 3085

       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 ``Cooperative Watershed 
     Management Act of 2008''.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) Affected stakeholder.--The term ``affected 
     stakeholder'' means an entity that significantly affects, or 
     is significantly affected by, the quality or quantity of 
     water in a watershed, as determined by the Secretary.
       (2) Grant recipient.--The term ``grant recipient'' means an 
     eligible management entity that the Secretary has selected to 
     receive a grant under section 3(c)(2).

[[Page S5207]]

       (3) Management group.--The term ``management group'' means 
     a self-sustaining, cooperative watershed-wide management 
     group that--
       (A) is comprised of each affected stakeholder of the 
     watershed that is the subject of the management group;
       (B) incorporates the perspectives of a diverse array of 
     stakeholders;
       (C) is designed to be carried out as a grassroots, 
     nonregulatory entity to address local water availability and 
     quality issues within the watershed that is the subject of 
     the management group; and
       (D) is capable of managing in a sustainable manner the 
     water resources of the watershed that is the subject of the 
     management group and improving the functioning condition of 
     rivers and streams through--
       (i) water conservation;
       (ii) improved water quality;
       (iii) ecological resiliency; and
       (iv) the reduction of water conflicts.
       (4) Program.--The term ``program'' means the cooperative 
     watershed management program established by the Secretary 
     under section 3(a).
       (5) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.

     SEC. 3. PROGRAM.

       (a) Establishment.--Not later than 180 days after the date 
     of enactment of this Act, the Secretary shall establish a 
     program, which shall be known as the ``cooperative watershed 
     management program'', under which the Secretary shall provide 
     grants to eligible management entities--
       (1) to form a management group;
       (2) to enlarge a management group, of which the eligible 
     management entity is a member; or
       (3) to conduct 1 or more projects in accordance with the 
     goals of a management group, of which the eligible management 
     entity is a member.
       (b) Eligibility.--To be eligible to receive a grant under 
     this section, an eligible management entity shall be 
     comprised of each affected stakeholder of the watershed that 
     is the subject of the eligible management entity, including 
     to the maximum extent practicable--
       (1) representatives of private interests, including 
     representatives of--
       (A) hydroelectric production;
       (B) livestock grazing;
       (C) timber production;
       (D) land development;
       (E) recreation or tourism;
       (F) irrigated agricultural production; and
       (G) the environment;
       (2) any Federal agency that has authority with respect to 
     the watershed, including not less than 1 representative of--
       (A) the Department of Agriculture;
       (B) the Department of the Interior; and
       (C) the National Oceanic and Atmospheric Administration;
       (3) any State or local agency that has authority with 
     respect to the watershed; and
       (4) any member of an Indian tribe that owns land within the 
     watershed or has land in the watershed held in trust.
       (c) Application.--
       (1) Establishment of application process; criteria.--Not 
     later than 1 year after the date of enactment of this Act, 
     the Secretary shall establish--
       (A) an application process under which each eligible 
     management entity may apply for a grant under this section; 
     and
       (B) criteria for consideration of the application of each 
     eligible management entity.
       (2) Application process.--To be eligible to receive a grant 
     under this section, an eligible management entity shall 
     submit to the Secretary an application in accordance with the 
     application process and criteria established by the Secretary 
     under paragraph (1).
       (d) Distribution of Grant Funds.--
       (1) In general.--In distributing grant funds under this 
     section, the Secretary shall comply with paragraph (2).
       (2) Funding procedure.--
       (A) First phase.--
       (i) In general.--During the first phase of a grant 
     established under this subparagraph, the Secretary may 
     provide to a grant recipient a grant in an amount of not 
     greater than $100,000 each year for a period of not more than 
     3 years.
       (ii) Mandatory use of funds.--A grant recipient that 
     receives funds through a grant during the first phase shall 
     use the funds--

       (I) to establish or enlarge a management group;
       (II) to develop a mission statement for the management 
     group; and
       (III) to develop project concepts.

       (iii) Annual determination of eligibility.--

       (I) Determination.--For each year of the first phase, not 
     later than 270 days after the date on which a grant recipient 
     first receives grant funds for the year, the Secretary shall 
     determine whether the grant recipient has made sufficient 
     progress during the year to justify additional funding.
       (II) Effect of determination.--If the Secretary determines 
     under subclause (I) that the progress of a grant recipient 
     during the year covered by the determination justifies 
     additional funding, the Secretary shall provide to the grant 
     recipient grant funds for the year following the year during 
     which the determination was made.

       (iv) Advancement conditions.--A grant recipient shall not 
     be eligible to receive grant funds during the second phase 
     described in subparagraph (B) until the date on which the 
     Secretary determines that the management group established by 
     the grant recipient is--

       (I) fully formed, including the drafting and approval of 
     articles of incorporation and bylaws governing the 
     organization; and
       (II) fully functional, including holding regular meetings, 
     having reached a consensus on the mission of the group, and 
     having developed project concepts.

       (B) Second phase.--
       (i) In general.--During the second phase of a grant 
     established under this subparagraph, the Secretary may 
     provide to a grant recipient a grant in an amount of not 
     greater than $1,000,000 each year for a period of not more 
     than 4 years.
       (ii) Mandatory use of funds.--A grant recipient that 
     receives funds through a grant under the second phase shall 
     use the funds to carry out watershed management projects.
       (iii) Annual determination of eligibility.--

       (I) Determination.--For each year of the second phase, not 
     later than 270 days after the date on which a grant recipient 
     first receives grant funds for the year, the Secretary shall 
     determine whether the grant recipient has made sufficient 
     progress during the year to justify additional funding.
       (II) Effect of determination.--If the Secretary determines 
     under subclause (I) that the progress of a grant recipient 
     during the year covered by the determination justifies 
     additional funding, the Secretary shall provide to the grant 
     recipient grant funds for the year following the year during 
     which the determination was made.

       (iv) Advancement condition.--A grant recipient shall not be 
     eligible to receive grant funds during the third phase 
     described in subparagraph (C) until the date on which the 
     Secretary determines that the grant recipient has--

       (I) completed each requirement with respect to each year of 
     the second phase; and
       (II) demonstrated that 1 or more pilot projects of the 
     grant recipient have resulted in demonstrable improvements in 
     the functioning condition of at least 1 river or stream in 
     the watershed.

       (C) Third phase.--
       (i) Funding limitation.--

       (I) In general.--Except as provided in subclause (II), 
     during the third phase of a grant established under this 
     subparagraph, the Secretary may provide to a grant recipient 
     a grant in an amount of not greater than $5,000,000 for a 
     period of not more than 5 years.
       (II) Exception.--The Secretary may provide to a grant 
     recipient a grant in an amount that is greater than the 
     amount described in subclause (I) if the Secretary determines 
     that the grant recipient is capable of using the additional 
     amount to achieve an appropriate increase in an economic, 
     social, or environmental benefit that could not otherwise be 
     achieved by the grant recipient through the amount described 
     in subclause (I).

       (ii) Mandatory use of funds.--A grant recipient that 
     receives funds through a grant under the third phase shall 
     use the funds to carry out not less than 1 watershed 
     management project of the grant recipient.
       (3) Permissive use of funds.--A grant recipient that 
     receives funds through a grant under this section may use the 
     funds--
       (A) to pay for--
       (i) the administrative costs of the management group of the 
     grant recipient;
       (ii) the salary of not more than 1 full-time employee of 
     the management group of the grant recipient; and
       (iii) any legal fees of the grant recipient arising from 
     the establishment of the management group of the grant 
     recipient;
       (B) to fund--
       (i) studies of the watershed that is managed by the 
     management group of the grant recipient; and
       (ii) any project--

       (I) described in the mission statement of the management 
     group of the grant recipient; and
       (II) to be carried out by the management group of the grant 
     recipient to achieve any goal of the management group;

       (C) to carry out demonstration projects relating to water 
     conservation or alternative water uses; and
       (D) to expand a management group that is established by the 
     grant recipient.
       (4) Requirement of consensus of members of management 
     group.--A management group of a grant recipient may not use 
     grant funds for any initiative of the management group unless 
     the group reaches a consensus decision.
       (e) Cost Share.--
       (1) Planning.--The Federal share of the cost of any 
     activity of a management group of a grant recipient relating 
     to any use required under subsection (d)(2)(A)(ii) shall be 
     100 percent.
       (2) Projects carried out under second phase.--
       (A) In general.--Subject to subparagraph (B), the Federal 
     share of the costs of any activity of a management group of a 
     grant recipient relating to a watershed management project 
     described in subsection (d)(2)(B)(ii) shall not exceed 60 
     percent of the total costs of the watershed management 
     project.
       (B) Limitation.--To pay for any costs relating to 
     administrative expenses incurred for a watershed management 
     project described in subsection (d)(2)(B)(ii), a management 
     group of a grant recipient may use grant funds in an amount 
     not greater than the lesser of--
       (i) $100,000; or

[[Page S5208]]

       (ii) 20 percent of the total amount of the Federal share 
     provided to the management group to carry out the watershed 
     management project.
       (C) Form of non-federal share.--The non-Federal share under 
     subparagraph (A) may be in the form of any in-kind 
     contributions.
       (3) Projects carried out under third phase.--
       (A) In general.--Subject to subparagraph (B), the Federal 
     share of the costs of any activity of a management group of a 
     grant recipient relating to a watershed management project 
     described in subsection (d)(2)(C)(ii) shall not exceed 50 
     percent of the total costs of the watershed management 
     project.
       (B) Limitation.--To pay for any costs relating to 
     administrative expenses with respect to a watershed 
     management project described in subsection (d)(2)(C)(ii), a 
     management group of a grant recipient may use grant funds in 
     an amount not greater than the lesser of--
       (i) $100,000; or
       (ii) 20 percent of the total amount of the Federal share 
     provided to the management group to carry out the watershed 
     management project.
       (C) Form of non-federal share.--The non-Federal share under 
     subparagraph (A) may be in the form of any in-kind 
     contributions.
       (f) Annual Reports.--
       (1) In general.--Not later than 1 year after the date on 
     which a management group of a grant recipient first receives 
     funds through a grant under this section, and annually 
     thereafter, in accordance with paragraph (2), the management 
     group shall submit to the Secretary a report that describes, 
     for the period covered by the report, the progress of the 
     management group with respect to the duties of the management 
     group.
       (2) Required degree of detail.--The contents of an annual 
     report required under paragraph (1) shall contain a degree of 
     detail that is sufficient to enable the Secretary to complete 
     each report required under subsection (g), as determined by 
     the Secretary.
       (g) Report.--Not later than 5 years after the date of 
     enactment of this Act, and every 5 years thereafter, the 
     Secretary shall submit to the appropriate committees of 
     Congress a report that describes--
       (1) the manner by which the program enables the Secretary--
       (A) to address water conflicts;
       (B) to conserve water; and
       (C) to improve water quality; and
       (2) each benefit that is achieved through the 
     administration of the program, including, to the maximum 
     extent practicable, a quantitative analysis of each economic, 
     social, and environmental benefit.
       (h) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section--
       (1) $2,000,000 for each of fiscal years 2008 and 2009;
       (2) $5,000,000 for fiscal year 2010;
       (3) $10,000,000 for fiscal year 2011; and
       (4) $20,000,000 for each of fiscal years 2012 through 2020.
                                 ______