[Congressional Record (Bound Edition), Volume 145 (1999), Part 4]
[Senate]
[Page 6052]
[From the U.S. Government Publishing Office, www.gpo.gov]




      ALASKA STATE JURISDICTION OVER SMALL HYDROELECTRIC PROJECTS

  The Senate proceeded to consider the bill (S. 422) to provide for 
Alaska state jurisdiction over small hydroelectric projects, which has 
been reported from the Committee on Energy and Natural Resources, with 
an amendment on page 4, line 23, to insert the word ``not'' between 
``are'' and ``located.''
  The amendment was agreed to.
  The bill was considered, ordered to be engrossed for a third reading, 
read the third time and passed; as follows:

                                 S. 422

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

     SECTION 1. ALASKA STATE JURISDICTION OVER SMALL HYDROELECTRIC 
                   PROJECTS.

       Part I of the Federal Power Act (16 U.S.C. 792 et seq.) is 
     amended by adding at the end the following:

     ``SEC. 32. ALASKA STATE JURISDICTION OVER SMALL HYDROELECTRIC 
                   PROJECTS.

       ``(a) Discontinuance of Regulation by the Commission.--
     Notwithstanding sections 4(e) and 23(b), the Commission shall 
     discontinue exercising licensing and regulatory authority 
     under this Part over qualifying project works in the State of 
     Alaska, effective on the date on which the Commission 
     certifies that the State of Alaska has in place a regulatory 
     program for water-power development that--
       ``(1) protects the public interest, the purposes listed in 
     paragraph (2), and the environment to the same extent 
     provided by licensing and regulation by the Commission under 
     this Part and other applicable Federal laws, including the 
     Endangered Species Act (16 U.S.C. 1531 et seq.) and the Fish 
     and Wildlife Coordination Act (16 U.S.C. 661 et seq.);
       ``(2) gives equal consideration to the purposes of--
       ``(A) energy conservation;
       ``(B) the protection, mitigation of damage to, and 
     enhancement of, fish and wildlife (including related spawning 
     grounds and habitat);
       ``(C) the protection of recreational opportunities,
       ``(D) the preservation of other aspects of environmental 
     quality,
       ``(E) the interests of Alaska Natives, and
       ``(F) other beneficial public uses, including irrigation, 
     flood control, water supply, and navigation; and
       ``(3) requires, as a condition of a license for any project 
     works--
       ``(A) the construction, maintenance, and operation by a 
     licensee at its own expense of such lights and signals as may 
     be directed by the Secretary of the Department in which the 
     Coast Guard is operating, and such fishways as may be 
     prescribed by the Secretary of the Interior or the Secretary 
     of Commerce, as appropriate;
       ``(B) the operation of any navigation facilities which may 
     be constructed as part of any project to be controlled at all 
     times by such reasonable rules and regulations as may be made 
     by the Secretary of the Army; and
       ``(C) conditions for the protection, mitigation, and 
     enhancement of fish and wildlife based on recommendations 
     received pursuant to the Fish and Wildlife Coordination Act 
     (16 U.S.C. 661 et seq.) from the National Marine Fisheries 
     Service, the United States Fish and Wildlife Service, and 
     State fish and wildlife agencies.
       ``(b) Definition of `Qualifying Project Works'.--For 
     purposes of this section, the term `qualifying project works' 
     means project works--
       ``(1) that are not part of a project licensed under this 
     Part or exempted from licensing under this Part or section 
     405 of the Public Utility Regulatory Policies Act of 1978 
     prior to the date of enactment of this section;
       ``(2) for which a preliminary permit, a license 
     application, or an application for an exemption from 
     licensing has not been accepted for filing by the Commission 
     prior to the date of enactment of subsection (c) (unless such 
     application is withdrawn at the election of the applicant);
       ``(3) that are part of a project that has a power 
     production capacity of 5,000 kilowatts or less;
       ``(4) that are located entirely within the boundaries of 
     the State of Alaska; and
       ``(5) that are not located in whole or in part on any 
     Indian reservation, a conservation system unit (as defined in 
     section 102(4) of the Alaska National Interest Lands 
     Conservation Act (16 U.S.C. 3102(4))), or segment of a river 
     designated for study for addition to the Wild and Scenic 
     Rivers System.
       ``(c) Election of State Licensing.--In the case of 
     nonqualifying project works that would be a qualifying 
     project works but for the fact that the project has been 
     licensed (or exempted from licensing) by the Commission prior 
     to the enactment of this section, the licensee of such 
     project may in its discretion elect to make the project 
     subject to licensing and regulation by the State of Alaska 
     under this section.
       ``(d) Project Works on Federal Lands.--With respect to 
     projects located in whole or in part on a reservation, a 
     conservation system unit, or the public lands, a State 
     license or exemption from licensing shall be subject to--
       ``(1) the approval of the Secretary having jurisdiction 
     over such lands; and
       ``(2) such conditions as the Secretary may prescribe.
       ``(e) Consultation With Affected Agencies.--The Commission 
     shall consult with the Secretary of the Interior, the 
     Secretary of Agriculture, and the Secretary of Commerce 
     before certifying the State of Alaska's regulatory program.
       ``(f) Application of Federal Laws.--Nothing in this section 
     shall preempt the application of Federal environmental, 
     natural resources, or cultural resources protection laws 
     according to their terms.
       ``(g) Oversight by the Commission.--The State of Alaska 
     shall notify the Commission not later than 30 days after 
     making any significant modification to its regulatory 
     program. The Commission shall periodically review the State's 
     program to ensure compliance with the provisions of this 
     section.
       ``(h) Resumption of Commission Authority.--Notwithstanding 
     subsection (a), the Commission shall reassert its licensing 
     and regulatory authority under this Part if the Commission 
     finds that the State of Alaska has not complied with one or 
     more of the requirements of this section.
       ``(i) Determination by the Commission.--
       ``(1) Upon application by the Governor of the State of 
     Alaska, the Commission shall within 30 days commence a review 
     of the State of Alaska's regulatory program for water-power 
     development to determine whether it complies with the 
     requirements of subsection (a).
       ``(2) The Commission's review required by paragraph (1) 
     shall be completed within one year of initiation, and the 
     Commission shall within 30 days thereafter issue a final 
     order determining whether or not the State of Alaska's 
     regulatory program for water-power development complies with 
     the requirements of subsection (a).
       ``(3) If the Commission fails to issue a final order in 
     accordance with paragraph (2), the State of Alaska's 
     regulatory program for water-power development shall be 
     deemed to be in compliance with subsection (a).''.

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