[Congressional Record Volume 162, Number 21 (Thursday, February 4, 2016)]
[Senate]
[Pages S688-S689]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 3288. Mr. MERKLEY (for himself and Mr. Wyden) submitted an 
amendment intended to be proposed to amendment SA 2953 proposed by Ms. 
Murkowski to the bill S. 2012, to provide for the modernization of the 
energy policy of the United States, and for other purposes; which was 
ordered to lie on the table; as follows:

       At the end of subtitle E of title IV, add the following:

     SEC. 44___. KLAMATH PROJECT WATER AND POWER.

       (a) Addressing Water Management and Power Costs for 
     Irrigation.--The Klamath Basin Water Supply Enhancement Act 
     of 2000 (Public Law 106-498; 114 Stat. 2221) is amended--
       (1) by redesignating sections 4 through 6 as sections 5 
     through 7, respectively; and
       (2) by inserting after section 3 the following:

     ``SEC. 4. POWER AND WATER MANAGEMENT.

       ``(a) Definitions.--In this section:
       ``(1) Covered power use.--The term `covered power use' 
     means a use of power to develop or manage water for 
     irrigation, wildlife purposes, or drainage on land that is--
       ``(A) associated with the Klamath Project, including land 
     within a unit of the National Wildlife Refuge System that 
     receives water due to the operation of Klamath Project 
     facilities; or
       ``(B) irrigated by the class of users covered by the 
     agreement dated April 30, 1956, between the California Oregon 
     Power Company and Klamath Basin Water Users Protective 
     Association and within the Off Project Area (as defined in 
     the Upper Basin Comprehensive Agreement entered into on April 
     18, 2014), only if each applicable owner and holder of a 
     possessory interest of the land is a party to that agreement 
     (or a successor agreement that the Secretary determines 
     provides a comparable benefit to the United States).
       ``(2) Klamath project.--
       ``(A) In general.--The term `Klamath Project' means the 
     Bureau of Reclamation project in the States of California and 
     Oregon.
       ``(B) Inclusions.--The term `Klamath Project' includes any 
     dams, canals, and other works and interests for water 
     diversion, storage, delivery, and drainage, flood control, 
     and similar functions that are part of the project described 
     in subparagraph (A).
       ``(3) Power cost benchmark.--The term `power cost 
     benchmark' means the average net delivered cost of power for 
     irrigation and drainage at Reclamation projects in the area 
     surrounding the Klamath Project that are similarly situated 
     to the Klamath Project, including Reclamation projects that--
       ``(A) are located in the Pacific Northwest; and
       ``(B) receive project-use power.
       ``(b) Water, Environmental, and Power Activities.--
       ``(1) In general.--Pursuant to the reclamation laws and 
     subject to appropriations and required environmental reviews, 
     the Secretary may carry out activities, including entering 
     into an agreement or contract or otherwise making financial 
     assistance available--
       ``(A) to plan, implement, and administer programs to align 
     water supplies and demand for irrigation water users 
     associated with the Klamath Project, with a primary emphasis 
     on programs developed or endorsed by local entities comprised 
     of representatives of those water users;
       ``(B) to plan and implement activities and projects that--
       ``(i) avoid or mitigate environmental effects of irrigation 
     activities; or
       ``(ii) restore habitats in the Klamath Basin watershed, 
     including restoring tribal fishery resources held in trust; 
     and
       ``(C) to limit the net delivered cost of power for covered 
     power uses.
       ``(2) Effect.--Nothing in subparagraph (A) or (B) of 
     paragraph (1) authorizes the Secretary--
       ``(A) to develop or construct new facilities for the 
     Klamath Project without appropriate approval from Congress 
     under section 9 of the Reclamation Projects Act of 1939 (43 
     U.S.C. 485h); or
       ``(B) to carry out activities that have not otherwise been 
     authorized.
       ``(c) Reducing Power Costs.--
       ``(1) In general.--Not later than 180 days after the date 
     of enactment of the Energy Policy Modernization Act of 2016, 
     the Secretary, in consultation with interested irrigation 
     interests that are eligible for covered power use and 
     representative organizations of those interests, shall submit 
     to the Committee on Energy and Natural Resources of the 
     Senate and the Committee on Natural Resources of the House of 
     Representatives a report that--
       ``(A) identifies the power cost benchmark; and
       ``(B) recommends actions that, in the judgment of the 
     Secretary, are necessary and appropriate to ensure that the 
     net delivered power cost for covered power use is equal to or 
     less than the power cost benchmark, including a description 
     of--
       ``(i) actions to immediately reduce power costs and to have 
     the net delivered power cost for covered power use be equal 
     to or less than the power cost benchmark in the near term, 
     while longer-term actions are being implemented;
       ``(ii) actions that prioritize water and power conservation 
     and efficiency measures and, to the extent actions involving 
     the development or acquisition of power generation are 
     included, renewable energy technologies (including 
     hydropower);
       ``(iii) the potential costs and timeline for the actions 
     recommended under this subparagraph;

[[Page S689]]

       ``(iv) provisions for modifying the actions and timeline to 
     adapt to new information or circumstances; and
       ``(v) a description of public input regarding the proposed 
     actions, including input from water users that have covered 
     power use and the degree to which those water users concur 
     with the recommendations.
       ``(2) Implementation.--Not later than 180 days after the 
     date of submission of the report under paragraph (1), the 
     Secretary shall implement those recommendations described in 
     the report that the Secretary determines will ensure that the 
     net delivered power cost for covered power use is equal to or 
     less than the power cost benchmark, subject to availability 
     of appropriations, on the fastest practicable timeline.
       ``(3) Annual reports.--The Secretary shall submit to each 
     Committee described in paragraph (1) annual reports 
     describing progress achieved in meeting the requirements of 
     this subsection.
       ``(d) Treatment of Power Purchases.--
       ``(1) In general.--Any purchase of power by the Secretary 
     under this section shall be considered to be an authorized 
     sale for purposes of section 5(b)(3) of the Pacific Northwest 
     Electric Power Planning and Conservation Act (16 U.S.C. 
     839c(b)(3)).
       ``(2) Effect.--Nothing in this section authorizes the 
     Bonneville Power Administration to make a sale of power from 
     the Federal Columbia River Power System at rates, terms, or 
     conditions better than those afforded preference customers of 
     the Bonneville Power Administration.
       ``(e) Goals.--The goals of activities under subsections (b) 
     and (c) shall include, as applicable--
       ``(1) the short-term and long-term reduction and resolution 
     of conflicts relating to water in the Klamath Basin 
     watershed; and
       ``(2) compatibility and utility for protecting natural 
     resources throughout the Klamath Basin watershed, including 
     the protection, preservation, and restoration of Klamath 
     River tribal fishery resources, particularly through 
     collaboratively developed agreements.
       ``(f) Pumping Plant D.--The Secretary may enter into 1 or 
     more agreements with the Tulelake Irrigation District to 
     reimburse the Tulelake Irrigation District for not more than 
     69 percent of the cost incurred by the Tulelake Irrigation 
     District for the operation and maintenance of Pumping Plant 
     D, on the condition that the cost benefits the United 
     States.''.
       (b) Conveyance of Non-Project Water; Replacement of C 
     Canal.--
       (1) Definition of klamath project.--In this subsection:
       (A) In general.--The term ``Klamath Project'' means the 
     Bureau of Reclamation project in the States of California and 
     Oregon.
       (B) Inclusions.--The term ``Klamath Project'' includes any 
     dams, canals, and other works and interests for water 
     diversion, storage, delivery, and drainage, flood control, 
     and similar functions that are part of the project described 
     in subparagraph (A).
       (2) Conveyance of non-project water.--
       (A) In general.--An entity operating under a contract 
     entered into with the United States for the operation and 
     maintenance of Klamath Project works or facilities, and an 
     entity operating any work or facility not owned by the United 
     States that receives Klamath Project water, may use any of 
     the Klamath Project works or facilities to convey non-Klamath 
     Project water for any authorized purpose of the Klamath 
     Project, subject to subparagraphs (B) and (C).
       (B) Permits; measurement.--An addition, conveyance, and use 
     of water pursuant to subparagraph (A) shall be subject to the 
     requirements that--
       (i) the applicable entity shall secure all permits required 
     under State or local laws; and
       (ii) all water delivered into, or taken out of, a Klamath 
     Project facility pursuant to that subparagraph shall be 
     measured.
       (C) Effect.--A use of Klamath Project water under this 
     paragraph shall not--
       (i) adversely affect the delivery of water to any water 
     user or land served by the Klamath Project; or
       (ii) result in any additional cost to the United States.
       (3) Replacement of c canal flume.--The replacement of the C 
     Canal flume within the Klamath Project shall be considered to 
     be, and shall receive the treatment authorized for, emergency 
     extraordinary operation and maintenance work in accordance 
     with Federal reclamation law (the Act of June 17, 1902 (32 
     Stat. 388, chapter 1093), and Acts supplemental to and 
     amendatory of that Act (43 U.S.C. 371 et seq.)).
       (c) Administration.--
       (1) Compliance.--In implementing this section and the 
     amendments made by this section, the Secretary of the 
     Interior shall comply with--
       (A) the National Environmental Policy Act of 1969 (42 
     U.S.C. 4321 et seq.);
       (B) the Endangered Species Act of 1973 (16 U.S.C. 1531 et 
     seq.); and
       (C) all other applicable laws.
       (2) Effect.--Nothing in this section--
       (A) modifies the authorities or obligations of the United 
     States with respect to the tribal trust and treaty 
     obligations of the United States; or
       (B) creates or determines water rights or affects water 
     rights or water right claims in existence on the date of 
     enactment of this Act.
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