[House Report 104-35]
[From the U.S. Government Publishing Office]



104th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES

 1st Session                                                     104-35
_______________________________________________________________________


 
 CONVEYANCE OF THE FAIRPORT NATIONAL FISH HATCHERY TO THE STATE OF IOWA

                                _______


 February 15, 1995.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

_______________________________________________________________________


  Mr. Young of Alaska, from the Committee on Resources, submitted the 
                               following

                              R E P O R T

                             together with

                            DISSENTING VIEWS

                        [To accompany H.R. 584]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Resources, to whom was referred the bill 
(H.R. 584) to direct the Secretary of the Interior to convey a 
fish hatchery to the State of Iowa, having considered the same, 
report favorably thereon without amendment and recommend that 
the bill do pass.

                          PURPOSE OF THE BILL

    The purpose of H.R. 584 is to direct the Secretary of the 
Interior to convey the Fairport National Fish Hatchery to the 
State of Iowa.

                  BACKGROUND AND NEED FOR LEGISLATION

    As introduced, H.R. 584 directs the Secretary of the 
Interior to convey to the State of Iowa, without reimbursement 
and within 180 days after enactment, all right, title, and 
interest of the United States in the Federal fish hatchery in 
Fairport, Iowa.
    The Fairport Fish Hatchery is located along the Mississippi 
River about eight miles east of Muscatine, Iowa. The Federal 
Government obtained the site as a donation from the Association 
of Button Manufacturers. In 1908, Congress established the site 
as a biological station of foster research and assist in the 
propagation of freshwater mussels.
    In 1929, the focus of the facility changed, and it became a 
fish hatchery producing fish for private farm ponds and State 
stocking programs. The Federal Bureau of Sport Fisheries and 
Wildlife continued to operate and maintain the Fairport Fish 
Hatchery until 1973. At that time, the Bureau's budget was 
severely reduced and the Federal farm pond stocking program was 
eliminated. Instead of closing the facility, the State of Iowa 
Department of Natural Resources was given the opportunity to 
assume responsibility for operation of the hatchery to ensure 
that its State stocking programs could continue in the future.
    The State has continued as manager of the facility for the 
past twenty-two years, and Fairport has become an important 
part of Iowa's fish hatchery system. It is one of the warmwater 
fish hatcheries within the States hatcheries program. It fills 
the need for several fish, including largemouth bass, bluegill, 
white amur, and channel catfish. These fish are utilized 
throughout Iowa as a part of the State's program.
    At this time, the State would like to upgrade the facility 
by constructing a new holding house and renovating its holding 
ponds to include liner, fish harvest basins and water control 
structures. While the Fairport Fish Hatchery has not been 
improved in decades, the State is unable to justify the expense 
of these improvements without having legal title to the 
property.
    H.R. 584 would transfer ownership of the hatchery and the 
immediate property and buildings to the State of Iowa. 
Ownership would revert to the United States should the State 
decide in the future that it is no longer interested in 
operating the facility as part of its fishery resources 
management program.
    The bill is supported by both the State of Iowa and the 
United States Fish and Wildlife Service (USFWS).

                            COMMITTEE ACTION

    H.R. 584 was introduced by Congressman James A. Leach on 
January 19, 1995, and referred to the Committee on Resources. 
Within the Committee, the bill was referred to the Subcommittee 
on Fisheries, Wildlife and Oceans.
    On January 25, 1995, the Subcommittee on Fisheries, 
Wildlife and Oceans held an oversight hearing on H.R. 584. Mr. 
Gary Edwards, Assistant Director for Fisheries, USFWS, 
testified for the Administration.
    In his testimony, Mr. Edwards noted that the Administration 
agreed with the intent of the legislation and that ``the U.S. 
Fish and Wildlife Service has generally supported the transfer 
of Service fishery facilities to the States when those 
facilities no longer support Federal fishery programs.''
    Furthermore, a letter submitted for the record by Mr. Sam 
Marler, a Regional Director of USFWS, stated that ``the Service 
has no present, or foreseeable need for a hatchery at this site 
[Fairport] and recognizes the importance of the facility to the 
fishery resources program of the State of Iowa.''
    On February 1, 1995, the Subcommittee on Fisheries, 
Wildlife and Oceans met to consider H.R. 584. At that time, Mr. 
Miller of California offered an amendment requiring the State 
of Iowa to pay the Federal Government the fair market value of 
the property at the time ownership is transferred. The 
amendment was rejected by voice vote. The bill was then 
approved by voice vote in the presence of a quorum and ordered 
reported to the Full Committee.
    On February 8, 1995, the Full Committee met to consider 
H.R. 584. At that time, Mr. Miller of California offered an 
amendment to require that the State of Iowa pay the fair market 
value for receiving the fish hatchery and to eliminate the 
reversionary requirement. The amendment was defeated on a roll 
call vote of 10 yeas and 22 nays as follows:

                              RECORDED VOTE                             
    [Bill Number H.R. 584; Amendment Number 1; Offered by Mr. Miller]   
------------------------------------------------------------------------
                                                  Roll Call Vote        
                Members                 --------------------------------
                                            Yea        Nay      Present 
------------------------------------------------------------------------
Mr. Young, Chairman....................  .........          X  .........
Mr. Hansen.............................  .........          X  .........
Mr. Saxton.............................  .........          X  .........
Mr. Gallegly...........................  .........  .........  .........
Mr. Duncan.............................  .........          X  .........
Mr. Hefley.............................  .........          X  .........
Mr. Doolittle..........................  .........          X  .........
Mr. Allard.............................  .........          X  .........
Mr. Gilchrest..........................  .........          X  .........
Mr. Calvert............................  .........  .........  .........
Mr. Pombo..............................  .........          X  .........
Mr. Torkildsen.........................  .........          X  .........
Mr. Hayworth...........................  .........  .........  .........
Mr. Cremeans...........................  .........          X  .........
Mrs. Cubin.............................  .........  .........  .........
Mr. Cooley.............................  .........  .........  .........
Mrs. Chenoweth.........................  .........          X  .........
Mrs. Smith.............................  .........          X  .........
Mr. Radanovich.........................  .........          X  .........
Mr. Jones..............................  .........          X  .........
Mr. Thornberry.........................  .........  .........  .........
Mr. Hastings...........................  .........          X  .........
Mr. Metcalf............................  .........          X  .........
Mr. Longley............................  .........          X  .........
Mr. Shadegg............................  .........  .........  .........
Mr. Miller.............................          X  .........  .........
Mr. Rahall.............................  .........  .........  .........
Mr. Vento..............................          X  .........  .........
Mr. Kildee.............................          X  .........  .........
Mr. Williams...........................  .........  .........  .........
Mr. Gejdenson..........................          X  .........  .........
Mr. Richardson.........................          X  .........  .........
Mr. DeFazio............................          X  .........  .........
Mr. Faleomavaega.......................  .........  .........  .........
Mr. Johnson............................          X  .........  .........
Mr. Abercrombie........................          X  .........  .........
Mr. Studds.............................  .........          X  .........
Mr. Tauzin.............................  .........          X  .........
Mr. Ortiz..............................  .........  .........  .........
Mr. Dooley.............................          X  .........  .........
Mr. Romero-Barcelo.....................  .........  .........  .........
Mr. Deal...............................  .........          X  .........
Mr. Hinchey............................          X  .........  .........
Mr. Underwood..........................  .........  .........  .........
Mr. Farr...............................  .........          X  .........
                                        --------------------------------
      Total............................         10         22  .........
------------------------------------------------------------------------

    H.R. 584 was then ordered reported by voice vote in the 
presence of a quorum to the House of Representatives.

                      section-by-section analysis

    Section 1(a) directs the Secretary of the Interior to 
convey to the State of Iowa, without reimbursement, all right, 
title, and interest of the United States in and to the property 
known as the Fairport National Fish Hatchery for the purpose of 
fishery resource management.
    Section 1(b) states that the fish hatchery is located in 
Muscatine County, Iowa, and includes all real property, 
improvements to real property, and personal property.
    Section 1(c) mandates that all property and interest 
conveyed shall revert to the United States if the State of Iowa 
decides to no longer use the property for its fishery resource 
management program.

            committee oversight findings and recommendations

    Pursuant to clause 2(l)(3) of rule XI of the Rules of the 
House of Representatives and clause 2(b)(1) of rule X of the 
Rules of the House of Representatives, the Committee's 
oversight findings and recommendations are reflected in the 
body of this report.

                     inflationary impact statement

    Pursuant to clause 2(l)(4) of rule XI of the Rules of the 
House of Representatives, the Committee estimates that the 
enactment of H.R. 584 will have no significant inflationary 
impact on prices and costs in the operation of the national 
economy.

                        cost of the legislation

    Clause 7 of rule XIII of the Rules of the House of 
Representatives requires an estimate and a comparison by the 
Committee of the costs which would be incurred in carrying out 
H.R. 584. However, clause 7(d) of that rule provides that this 
requirement does not apply when the Committee has included in 
its report a timely submitted cost estimate of the bill 
prepared by the Director of the Congressional Budget Office 
under section 403 of the Congressional Budget Act of 1974.

                     compliance with house rule xi

    1. With respect to the requirements of clause 2(l)(3)(A) of 
rule XI of the Rules of the House of Representatives, the 
Subcommittee on Fisheries, Wildlife and Oceans held a hearing 
on January 25, 1995, to transfer the Fairport National Fish 
Hatchery to the State of Iowa, and the oversight findings and 
recommendations of the Committee are reflected in this report.
    2. With respect to the requirement of clause 2(l)(3)(D) of 
rule XI of the Rules of the House of Representatives, the 
Committee has received no report of oversight findings and 
recommendations from the Committee on Government Reform and 
Oversight on the subject of H.R. 584.
    3. With respect to the requirement of clause 2(l)(3)(C) of 
rule XI of the Rules of the House of Representatives and 
section 403 of the Congressional Budget Act of 1974, the 
Committee has received the following cost estimate for H.R. 584 
from the Director of the Congressional Budget Office.

               congressional budget office cost estimate

                                     U.S. Congress,
                               Congressional Budget Office,
                                 Washington, DC, February 10, 1995.
Hon. Don Young,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
reviewed H.R. 584, a bill to direct the Secretary of the 
Interior to convey a fish hatchery to the State of Iowa, as 
ordered reported by the House Committee on Resources on 
February 8, 1995.
    H.R. 584 would direct the Secretary of the Interior to 
convey the Fairport National Fish Hatchery, without 
reimbursement, to the state of Iowa. Because the state is 
already responsible for operating the Fairport facility, we 
expect that implementing this bill would have no impact on the 
federal budget or on the budgets of state or local governments. 
Moreover, the bill would have no effect on direct spending or 
receipts; therefore, pay-as-you-go procedures would not apply.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Deborah Reis, 
who can be reached at 226-2860.
            Sincerely,
                                    Robert D. Reischauer, Director.

                        changes in existing law

    If enacted, H.R. 584 would make no changes in existing law.

                          departmental reports

    The Committee has received no departmental reports on H.R. 
584.

                            dissenting views
                 Dissenting Views of Mr. George Miller

    I oppose enactment of H.R. 584 as reported by the 
Committee. To paraphrase the late Senator Everett Dirkson, a 
million here and a million there and pretty soon we're talking 
about real money and a real federal budget deficit.
    This legislation would transfer to the State of Iowa--
without any compensation to the federal taxpayers for their 
investment--title to a federally constructed fish hatchery and 
60 acres of land located on the Mississippi River. The 
Committee approved this bill by voice vote, yet not a single 
Member even knows the current fair market value of the federal 
property being given away for free. In response to my 
inquiries, the Fish and Wildlife Service stated that the 
property was last appraised in 1983 at $717,000 but admitted 
there is no updated appraisal.
    I do not object to the basic intent of conveying the 
Fairport hatchery property to the State of Iowa. There is no 
continuing federal interest in management of this fish 
hatchery. Moreover, state ownership and operation of this 
facility makes sense, given that the hatchery is used solely to 
produce fish for state recreation and other programs.
    I do object, however, to the give-away of at least $717,000 
worth of federal assets to the State of Iowa, without 
reimbursement to the federal taxpayers and without the Congress 
even knowing what the property is worth. This is essentially a 
case where the federal landlord is giving away property to the 
state tenant without recovering any of the original capital 
investment, never mind making a profit. Any private business 
which managed its property in such a care-free manner would go 
broke in a hurry.
    During markup, proponents of H.R. 584 stated that Iowa was 
paying the current costs of operating the hatchery, displacing 
federal expenditures. Yet if Iowa has not assumed the cost of 
operations--to provide a basic service for state residents--the 
facility could have been closed and auctioned by GSA as surplus 
federal property. Given the prime location on the main channel 
of the Mississippi River, the commercial potential of the 
property could have resulted in significant revenue and, in any 
event, greater return for the federal taxpayers than the big 
zero provided for by H.R. 584.
    I could support this legislation if the Committee had not 
rejected my amendment to require: (1) an updated appraisal of 
the property; and (2) payment of fair market value by the State 
of Iowa to reimburse the U.S. for the federal investment. When 
combined with Committee approval of H.R. 535 (to transfer 137 
acres plus the Corning fish hatchery facilities to the State of 
Arkansas) and H.R. 614 (to transfer the New London fish 
hatchery plus 132 acres of land to the State of Minnesota), 
along with a dozen or so more free fish hatchery transfers to 
states in the works at the Fish and Wildlife Service, it is the 
federal taxpayer who is getting soaked along with the fish.