[House Report 107-635]
[From the U.S. Government Publishing Office]



107th Congress                                                   Report
                        HOUSE OF REPRESENTATIVES
 2d Session                                                     107-635
======================================================================
 
   AUTHORIZATION OF AUSTIN, TEXAS, WASTEWATER RECLAMATION AND REUSE 
                                PROJECT

                                _______
                                

 September 4, 2002.--Committed to the Committee of the Whole House on 
            the State of the Union and ordered to be printed

                                _______
                                

  Mr. Hansen, from the Committee on Resources, submitted the following

                              R E P O R T

                        [To accompany H.R. 4739]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Resources, to whom was referred the bill 
(H.R. 4739) to amend the Reclamation Wastewater and Groundwater 
Study and Facilities Act to authorize the Secretary of the 
Interior to participate in the design, planning, and 
construction of a project to reclaim and reuse wastewater 
within and outside of the service area of the City of Austin 
Water and Wastewater Utility, Texas, 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. 4739 is to amend the Reclamation 
Wastewater and Groundwater Study and Facilities Act to 
authorize the Secretary of the Interior to participate in the 
design, planning, and construction of a project to reclaim and 
reuse wastewater within and outside of the service area of the 
City of Austin Water and Wastewater Utility, Texas.

                  Background and Need for Legislation

    A continually growing population in conjunction with the 
natural scarcity of fresh water make the discovery of new and 
untapped sources of water important to provide for the future. 
One source of water that has traditionally been overlooked is 
recycled water. Recycled water is desirable because there is a 
constant supply, and although recycled water is mostly used in 
irrigation and industry, it relieves pressure on local streams 
and aquifers that currently provide water for municipal and 
industrial use. The importance of this resource was officially 
recognized in 1992 by the passing of Public Law 102-575. Title 
XVI of this law, also known as the Reclamation Wastewater and 
Groundwater Study and Facilities Act, authorized the Bureau of 
Reclamation to participate in the construction of five water 
recycling projects. Since 1992, the Act has been revised to 
include several other projects. H.R. 4739 would authorize one 
more project under Title XVI.
    Title XVI has three prerequisites that must be met before 
funds can be appropriated for projects authorized by the Title. 
First, either the Bureau of Reclamation or the non-federal 
project sponsor must complete a feasability study. Second, the 
non-federal sponsor must demonstrate that it is financially 
capable of funding its share. Third, the Bureau must ensure 
completion of appropriate environmental compliance under the 
National Environmental Policy Act. H.R. 4739 not only provides 
funding for the construction of a wastewater reclamation 
facility, it also provides funding for a cost-sharing program 
to help with the costs of complying with these prerequisites.
    Austin, as well as the entire central region of Texas, is 
notorious for its drought conditions. A drought occurs in the 
area, on average, every four years, and a major drought occurs 
about every twenty years. The most recent drought was in 1999-
2000 when it was necessary to institute mandatory water 
restrictions, and the water level at the local recreation 
destination, Lake Travis, was 40 feet below normal. H.R. 4739 
will provide assistance to the City of Austin Water and 
Wastewater Utility for planning, design, and construction of a 
facility to provide a reliable water supply and help mitigate 
future droughts.

                            Committee Action

    H.R. 4739 was introduced on May 15, 2002, by Congressman 
Lloyd Doggett (D-TX). The bill was referred to the Committee on 
Resources, and within the Committee to the Subcommittee on 
Water and Power. On July 9, 2002, the Subcommittee held a 
hearing on the bill. On July 10, 2002, the Full Committee met 
to consider the bill. The Subcommittee on Water and Power was 
discharged from further consideration of the bill by unanimous 
consent.No amendments were offered and the bill was then 
ordered favorably reported to the House of Representatives by unanimous 
consent.

            Committee Oversight Findings and Recommendations

    Regarding clause 2(b)(1) of rule X and clause 3(c)(1) of 
rule XIII of the Rules of the House of Representatives, the 
Committee on Resources' oversight findings and recommendations 
are reflected in the body of this report.

                   Constitutional Authority Statement

    Article I, section 8 of the Constitution of the United 
States grants Congress the authority to enact this bill.

                    Compliance With House Rule XIII

    1. Cost of Legislation. Clause 3(d)(2) 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 this bill. However, clause 3(d)(3)(B) 
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 402 of the 
Congressional Budget Act of 1974.
    2. Congressional Budget Act. As required by clause 3(c)(2) 
of rule XIII of the Rules of the House of Representatives and 
section 308(a) of the Congressional Budget Act of 1974, this 
bill does not contain any new budget authority, spending 
authority, credit authority, or an increase or decrease in 
revenues or tax expenditures.
    3. General Performance Goals and Objectives. As required by 
clause 3(c)(4) of rule XIII, the general performance goal or 
objective of this bill is to amend the Reclamation Wastewater 
and Groundwater Study and Facilities Act to authorize the 
Secretary of the Interior to participate in the design, 
planning, and construction of a project to reclaim and reuse 
wastewater within and outside of the service area of the City 
of Austin Water and Wastewater Utility, Texas.
    4. Congressional Budget Office Cost Estimate. Under clause 
3(c)(3) of rule XIII 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 this bill from the Director of the Congressional Budget 
Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, July 26, 2002.
Hon. James V. Hansen,
Chairman, Committee on Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 4739, a bill to 
amend the Reclamation Wastewater and Groundwater Study and 
Facilities Act to authorize the Secretary of the Interior to 
participate in the design, planning, and construction of a 
project to reclaim and reuse wastewater within and outside of 
the service area of the City of Austin Water and Wastewater 
Utility, Texas.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Julie 
Middleton.
    Sincerely,
                                        Steven M. Lieberman
                                    (For Dan L. Crippen, Director).
    Enclosure.

H.R. 4739--A bill to amend the Reclamation Wastewater and Groundwater 
        Study and Facilities Act to authorize the Secretary of the 
        Interior to participate in the design, planning, and 
        constructions of a project to reclaim and reuse wastewater 
        within and outside of the service area of the City of Austin 
        Water and Wastewater Utility, Texas

    Summary: H.R. 4739 would authorize federal participation in 
the design, planning, and construction of a project to reclaim 
and reuse wastewater that would be carried out by the City of 
Austin Water and Wastewater Utility in Texas. The bill would 
limit the federal share of those costs to 25 percent and would 
prohibit the use of the federal funds for operating or 
maintaining the project.
    Assuming appropriation of the necessary amounts, CBO 
estimates that implementing H.R. 4739 would cost about $5 
million over the 2003-2007 period and an additional $17 million 
over the 2008-2022 period. H.R. 4739 contains no 
intergovernmental or private-sector mandates as defined in the 
Unfunded Mandates Reform Act (UMRA). State and local 
governments might incur some costs to match the federal funds 
authorized by this bill, but these costs would be voluntary.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 4739 is shown in the following table. 
The costs of this legislation fall within budget function 300 
(natural resources and environment).

------------------------------------------------------------------------------
                                  By fiscal year, in millions of dollars
                                                               --------------------------------------------
                               2003     2004     2005     2006     2007
------------------------------------------------------------------------------                                         CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Estimated authorization level    1        1        1        1        1
Estimated outlays........        1        1        1        1        1
------------------------------------------------------------------------------
    Basis of estimate: For this estimate, CBO assumes that H.R. 
4739 will be enacted by the start of fiscal year 2003 and that 
the necessary funds will be appropriated for each year. H.R. 
4739 would limit the federal cost share to 25 percent of the 
total cost of planning, design, and construction of a 
wastewater reclamation project for Austin, Texas. According to 
the Bureau of Reclamation and the city of Austin, the total 
cost of the project will be approximately $110 million with a 
maximum federal cost share of $28 million. Under the 
Reclamation Wastewater and Groundwater Study and Facilities 
Act, however, the federal share of total project costs cannot 
exceed $20 million (measured in 1996 dollars). Therefore, CBO 
estimates that the maximum federal cost share for this project 
will be about $22 million (including adjustments for 
inflation).
    Based on information from the bureau and the city of 
Austin, CBO expects that it will take approximately 20 years to 
complete all phases of this project. For this estimate, CBO 
assumes that funds will be appropriated in equal installments 
over that period to complete the project. CBO estimates that 
implementing H.R. 4739 would cost approximately $5 million over 
the 2003-2007 period and an additional $17 million over the 
2008-2022 period.
    Pay-as-you-go considerations: None.
    Intergovernmental and private-sector impact: H.R. 4739 
contains no intergovernmental or private-sector mandates as 
defined in UMRA. State and local governments might incur some 
costs to match the federal funds authorized by this bill, but 
these costs would be voluntary.
    Estimate prepared by: Federal costs: Julie Middleton, 
impact on State, local, and tribal governments: Marjorie 
Miller; impact on the private sector: Lauren Marks.
    Estimate approved by: Peter H. Fontaine, Deputy Assistant 
Director for Budget Analysis.

                    Compliance With Public Law 104-4

    This bill contains no unfunded mandates.

                Preemption of State, Local or Tribal Law

    This bill is not intended to preempt any State, local or 
tribal law.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italic and existing law in which no change is 
proposed is shown in roman):

     RECLAMATION PROJECTS AUTHORIZATION AND ADJUSTMENT ACT OF 1992


(Public Law 102-575)

           *       *       *       *       *       *       *


SEC. 2. DEFINITION AND TABLE OF CONTENTS.

  For purposes of this Act, the term ``Secretary'' means the 
Secretary of the Interior.

TABLE OF CONTENTS

           *       *       *       *       *       *       *



       TITLE XVI--RECLAMATION WASTEWATER AND GROUND WATER STUDIES

Sec. 1601. Short title.
     * * * * * * *
Sec. 1635. Austin, Texas, Water Reclamation and Reuse Project.
     * * * * * * *

       TITLE XVI--RECLAMATION WASTEWATER AND GROUNDWATER STUDIES

SEC. 1601. SHORT TITLE.

  This title may be referred to as the ``Reclamation Wastewater 
and Groundwater Study and Facilities Act''.

           *       *       *       *       *       *       *


SEC. 1635. AUSTIN, TEXAS, WATER RECLAMATION AND REUSE PROJECT.

  (a) Authorization.--The Secretary, in cooperation with the 
City of Austin Water and Wastewater Utility, Texas, is 
authorized to participate in the planning (including an 
appraisal and feasibility study), design, and construction of, 
and land acquisition for, a project to reclaim and reuse 
wastewater, including degraded groundwaters, within and outside 
of the service area of the City of Austin Water and Wastewater 
Utility, Texas.
  (b) Cost Share.--The Federal share of the cost of the project 
authorized by this section shall not exceed 25 percent of the 
total cost of the project.
  (c) Limitation.--The Secretary shall not provide funds for 
the operation and maintenance of the project authorized by this 
section.

           *       *       *       *       *       *       *


                                
