[Senate Report 109-167]
[From the U.S. Government Publishing Office]



                                                       Calendar No. 268
109th Congress                                                   Report
                                 SENATE
 1st Session                                                    109-167

======================================================================
 
GLENDO UNIT OF THE MISSOURI RIVER BASIN PROJECT CONTRACT EXTENSION ACT 
                                OF 2005

                                _______
                                

                October 27, 2005.--Ordered to be printed

                                _______
                                

   Mr. Domenici, from the Committee on Energy and Natural Resources, 
                        submitted the following

                              R E P O R T

                         [To accompany S. 592]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S. 592) to extend the contract for the 
Glendo Unit of the Missouri River Basin Project in the State of 
Wyoming, having considered the same, reports favorably thereon 
with an amendment to the title and recommends that the bill, as 
amended, do pass.
    The amendment is as follows:
    Amend the title so as to read: ``To amend the Irrigation 
Project Contract Extension Act of 1998 to extend certain 
contracts between the Bureau of Reclamation and certain 
irrigation water contractors in the States of Wyoming and 
Nebraska.''.

                         Purpose of the Measure

    The purpose of S. 592 is to extend certain contracts 
between the Bureau of Reclamation and certain irrigation water 
contractors in the States of Wyoming and Nebraska.

                          Background and Need

    The Glendo Dam and Reservoir system is one of several 
projects on the North Platte River that are operated by the 
Department of the Interior's Bureau of Reclamation (Bureau) as 
integrated systems. Pursuant to the Endangered Species Act 
(ESA), the Bureau is currently consulting on the operations of 
the entire reservoir system in order to address the habitat 
needs of the following four threatened and endangered species: 
whooping cranes; piping plovers; interior least terns; and 
pallid sturgeons.
    Since entering into a July 1, 1997, cooperative agreement, 
the States of Wyoming, Nebraska, and Colorado, along with the 
Department of the Interior, have studied the Platte River in an 
effort to develop a basin-wide program to improve the habit of 
the four listed species. The goal is to reach agreement on a 
Recovery Implementation Program (Program) as the reasonable and 
prudent alternative for the Platte River ESA consultation.
    In order to renew long-term contracts for Glendo Reservoir 
water, the ESA consultation on the Bureau's North Platte River 
system operations must be completed. The final programmatic 
environmental impact statement is expected to be completed in 
the fall of 2005, and the Record of Decision should be issued 
by December 2005. According to the Department of the Interior, 
consultation will not be considered complete until the above-
referenced Program is achieved. The Interior Department expects 
the States of Wyoming, Nebraska, and Colorado to enter into the 
reasonable and prudent alternative Program in April 2006. S. 
592 is needed to extend the contracts at issue until the 
contemplated Program is in place.

                          Legislative History

    S. 592 was introduced by Senators Thomas, Hagel, Enzi, and 
Nelson of Nebraska on March 10, 2005 and referred to the 
Committee on Energy and Natural Resources. The Water and Power 
Subcommittee held a hearing on S. 592 on April 19, 2005 (S. 
Hrg. 109-96). At the business meeting on September 28, 2005, 
the Committee on Energy and Natural Resources ordered S. 592 
favorably reported, with an amendment to the title.

                        Committee Recommendation

    The Committee on Energy and Natural Resources, in open 
business session on September 28, 2005, by unanimous vote of a 
quorum present, recommends that the Senate pass S. 592, if 
amended as described herein.

                          Committee Amendment

    An amendment was adopted to the bill's title.

                      Section-by-Section Analysis

    Section 1 sets forth the short title.
    Section 2 amends the Irrigation Project Contract Extension 
Act of 1998 to require the Secretary of the Interior to extend 
each of the water service repayment contracts for the Glendo 
Unit of the Missouri River Basin Project from December 31, 2005 
until December 31, 2007.

                   Cost and Budgetary Considerations

    The following estimate of costs of this measure has been 
provided by the Congressional Budget Office.

S. 592--Glendo Unit of the Missouri River Basin Project Contract 
        Extension Act of 2005

    S. 592 would extend--for up to two years--contracts between 
the Bureau of Reclamation and purchasers of irrigation water in 
Wyoming and Nebraska that receive water from the Glendo 
Reservoir. The existing contracts will expire on December 31, 
2005; however, the Secretary of the Interior has the authority 
under current law to renew these contracts on an annual basis. 
Such annual renewals require the Secretary to prepare an 
environmental impact statement and carry out mitigation 
efforts. Under S. 592, the bureau would avoid the costs 
associated with annual renewals.
    CBO estimates that enacting S. 592 would have no 
significant impact on the federal budget. Based on information 
provided by the Bureau of Reclamation, CBO estimates that 
enacting S. 592 would allow the bureau to avoid costs of less 
than $500,000 in 2006 and smaller amounts in future years. 
Those costs are subject to the availability of appropriated 
funds, but the agency is reimbursed by individuals contracting 
for water and the reimbursements are deposited in the Treasury 
as offsetting receipts (a form of direct spending). The 
potential loss of offsetting receipts would match the potential 
reduction in spending subject to appropriation, and we estimate 
that both would be insignificant.
    S. 592 contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act and 
would impose no costs on state, local, or tribal governments. 
Enacting this bill would benefit the water purchasers 
(generally government entities) affected by this bill, because 
it would allow them to avoid the costs of annual renewals.
    The CBO staff contact for federal costs is Rachel Milberg. 
The contact for the impact on state and local governments is 
Lisa Ramirez-Branum. This estimate was approved by Peter H. 
Fontaine, Deputy Assistant Director for Budget Analysis.

                      Regulatory Impact Evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out S. 592.
    The bill is not a regulatory measure in the sense of 
imposing Government-established standards or significant 
economic responsibilities on private individuals and 
businesses.
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
privacy.
    Little, if any, additional paperwork would result from the 
enactment of S. 592, as ordered reported.

                        Executive Communications

    The testimony provided by the Department of the Interior at 
the Subcommittee hearing on S. 592 follows:

    Statement of William Rinne, Deputy Commissioner of Reclamation, 
                       Department of the Interior

    Madam Chairman and Members of the Subcommittee, I am 
William Rinne, Deputy Commissioner of Reclamation. Thank you 
for the opportunity to testify on S. 592. The Department 
supports the goals of S. 592.
    On July 1, 1997, the States of Wyoming, Nebraska, and 
Colorado and the United States Department of the Interior 
entered into a cooperative agreement for Platte River research 
and other efforts relating to endangered species habitats along 
the Central Platte River in Nebraska. The purpose of the 
cooperative agreement is to jointly undertake a basin-wide 
effort to improve the habitat of four threatened and endangered 
species along the Platte River. The cooperative study is 
designed to help develop a basin-wide program to be the 
reasonable and prudent alternative to minimize the effects of 
existing and new water related activities in the Platte River 
Basin.
    Glendo Dam and Reservoir is one of several Bureau of 
Reclamation dams and reservoirs on the North Platte River that 
operate as an integrated system. The Bureau of Reclamation is 
required to consult under the Endangered Species Act (ESA) on 
the operations of the entire reservoir system.
    Successful consultation completion will be dependent upon 
achieving a Recovery Implementation Program (Program) that will 
serve as a reasonable and prudent alternative for the ESA 
consultation. A final programmatic environmental impact 
statement which leads to a Program is scheduled to be completed 
in the fall of 2005, with a record of decision to follow in 
December 2005. We anticipate the Governors of the States of 
Colorado, Nebraska, and Wyoming and the Secretary of the 
Interior will enter into such a Program in April 2006. S. 592 
will allow Reclamation to renew the Glendo contracts when the 
Program is in place.
    The intent of S. 592 is to amend the Irrigation Project 
Contract Extension Act of 1998 to require the Secretary of the 
Interior to extend each of the water service or repayment 
contracts for the Glendo Unit of the Missouri River Basin 
Project for a period of 2 years until December 31, 2007, or for 
the term of the cooperative agreement entered into by the State 
of Wyoming, Nebraska, Colorado and the Secretary of the 
Interior.
    To ensure that the intent of this bill to amend the 
Irrigation Project Contract Extension Act of 1998 is clearly 
identified, the Department recommends the long title of the 
bill read as follows: ``To amend the Irrigation Project 
Contract Extension Act of 1998 to extend certain contracts 
between the Bureau of Reclamation and certain irrigation water 
contractors in the States of Wyoming and Nebraska.''
    With this clarification, the Department supports S. 592. 
Thank you for the opportunity to appear before you today.

                        Changes in Existing Law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the bill S. 592, as ordered reported, are shown as follows 
(existing law proposed to be omitted is enclosed in black 
brackets, new matter is printed in italic, existing law in 
which no change is proposed is shown in roman):

           IRRIGATION PROJECT CONTRACT EXTENSION ACT OF 1998


            (112 Stat. 2816, 114 Stat. 1441, 117 Stat. 1827)


 AN ACT to extend certain contracts between the Bureau of Reclamation 
 and irrigation water contractors in Wyoming and Nebraska that receive 
water from Glendo Reservoir

           *       *       *       *       *       *       *


SEC. 2. EXTENSION OF CONTRACTS.

    (a) In General.--The Secretary of the Interior shall extend 
each of the water service or repayment contracts for the Glendo 
Unit of the Missouri River Basin Project identified in 
subsection (c) until [December 31, 2005] December 31, 2007.
    (b) Extensions Coterminous With Cooperative Agreement.--If 
the cooperative agreement entitled ``Cooperative Agreement for 
Platte River Research and other Efforts Relating to Endangered 
Species Habitats Along the Central Platte River, Nebraska,'' 
entered into by the Governors of the States of Wyoming, 
Nebraska, and Colorado and the Secretary of the Interior, is 
extended for a term beyond December 31, 2000, the contracts 
identified in subsection (c) shall be extended for the same 
term, but not to go [beyond December 31, 2005] beyond December 
31, 2007. If the cooperative agreement terminates [before 
December 31, 2005] before December 31, 2007 the contracts 
identified in subsection (c) shall be subject to renewal on the 
date that the cooperative agreement terminates.

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