[House Report 112-217]
[From the U.S. Government Publishing Office]
112th Congress Report
HOUSE OF REPRESENTATIVES
1st Session 112-217
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SOUTH UTAH VALLEY ELECTRIC CONVEYANCE ACT
_______
September 23, 2011.--Committed to the Committee of the Whole House on
the State of the Union and ordered to be printed
_______
Mr. Hastings of Washington, from the Committee on Natural Resources,
submitted the following
R E P O R T
[To accompany H.R. 461]
[Including cost estimate of the Congressional Budget Office]
The Committee on Natural Resources, to whom was referred
the bill (H.R. 461) to direct the Secretary of the Interior to
convey certain Federal features of the electric distribution
system to the South Utah Valley Electric Service District, and
for other purposes, having considered the same, report
favorably thereon with an amendment and recommend that the bill
as amended do pass.
The amendment is as follows:
Strike all after the enacting clause and insert the
following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``South Utah Valley Electric Conveyance
Act''.
SEC. 2. DEFINITIONS.
In this Act:
(1) District.--The term ``District'' means the South Utah
Valley Electric Service District, organized under the laws of
the State of Utah.
(2) Electric distribution system.--The term ``Electric
Distribution System'' means fixtures, irrigation, or power
facilities lands, distribution fixture lands, and shared power
poles.
(3) Fixtures.--The term ``fixtures'' means all power poles,
cross-members, wires, insulators and associated fixtures,
including substations, that--
(A) comprise those portions of the Strawberry Valley
Project power distribution system that are rated at a
voltage of 12.5 kilovolts and were constructed with
Strawberry Valley Project revenues; and
(B) any such fixtures that are located on Federal
lands and interests in lands.
(4) Irrigation or power facilities lands.--The term
``irrigation or power facilities lands'' means all Federal
lands and interests in lands where the fixtures are located on
the date of the enactment of this Act and which are encumbered
by other Strawberry Valley Project irrigation or power
features, including lands underlying the Strawberry Substation.
(5) Distribution fixture lands.--The term ``distribution
fixture lands'' means all Federal lands and interests in lands
where the fixtures are located on the date of the enactment of
this Act and which are unencumbered by other Strawberry Valley
Project features, to a maximum corridor width of 30 feet on
each side of the centerline of the fixtures' power lines as
those lines exist on the date of the enactment of this Act.
(6) Shared power poles.--The term ``shared power poles''
means poles that comprise those portions of the Strawberry
Valley Project Power Transmission System, that are rated at a
voltage of 46.0 kilovolts, are owned by the United States, and
support fixtures of the Electric Distribution System.
(7) Secretary.--The term ``Secretary'' means the Secretary of
the Interior.
SEC. 3. CONVEYANCE OF ELECTRIC DISTRIBUTION SYSTEM.
(a) In General.--Inasmuch as the Strawberry Water Users Association
conveyed its interest, if any, in the Electric Distribution System to
the District by a contract dated April 7, 1986, and in consideration of
the District assuming from the United States all liability for
administration, operation, maintenance, and replacement of the Electric
Distribution System, the Secretary shall, as soon as practicable after
the date of the enactment of this Act and in accordance with all
applicable law convey and assign to the District without charge or
further consideration--
(1) all of the United States right, title, and interest in
and to--
(A) all fixtures owned by the United States as part
of the Electric Distribution System; and
(B) the distribution fixture land;
(2) license for use in perpetuity of the shared power poles
to continue to own, operate, maintain, and replace Electric
Distribution Fixtures attached to the shared power poles; and
(3) licenses for use and for access in perpetuity for
purposes of operation, maintenance, and replacement across,
over, and along--
(A) all project lands and interests in irrigation and
power facilities lands where the Electric Distribution
System is located on the date of the enactment of this
Act that are necessary for other Strawberry Valley
Project facilities (the ownership of such underlying
lands or interests in lands shall remain with the
United States), including lands underlying the
Strawberry Substation; and
(B) such corridors where Federal lands and interests
in lands--
(i) are abutting public streets and roads;
and
(ii) can provide access that will facilitate
operation, maintenance, and replacement of
facilities.
(b) Compliance With Environmental Laws.--
(1) In general.--Before conveying lands, interest in lands,
and fixtures under subsection (a), the Secretary shall comply
with all applicable requirements under--
(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) any other law applicable to the land and
facilities.
(2) Effect.--Nothing in this Act modifies or alters any
obligations under--
(A) the National Environmental Policy Act of 1969 (42
U.S.C. 4321 et seq.); or
(B) the Endangered Species Act of 1973 (16 U.S.C.
1531 et seq.).
(c) Power Generation and 46kV Transmission Facilities Excluded.--
Except for the uses as granted by license in Shared Power Poles under
section 3(a)(2), nothing in this Act shall be construed to grant or
convey to the District or any other party, any interest in any
facilities shared or otherwise that comprise a portion of the
Strawberry Valley Project power generation system or the federally
owned portions of the 46 kilovolt transmission system which ownership
shall remain in the United States.
SEC. 4. EFFECT OF CONVEYANCE.
On conveyance of any land or facility under section 3(a)(1)--
(1) the conveyed and assigned land and facilities shall no
longer be part of a Federal reclamation project;
(2) the District shall not be entitled to receive any future
Bureau or Reclamation benefits with respect to the conveyed and
assigned land and facilities, except for benefits that would be
available to other non-Bureau of Reclamation facilities; and
(3) the United States shall not be liable for damages arising
out of any act, omission, or occurrence relating to the land
and facilities, including the transaction of April 7, 1986,
between the Strawberry Water Users Association and Strawberry
Electric Service District.
SEC. 5. REPORT.
If a conveyance required under section 3 is not completed by the date
that is 1 year after the date of the enactment of this Act, not later
than 30 days after that date, the Secretary shall submit to Congress a
report that--
(1) describes the status of the conveyance;
(2) describes any obstacles to completing the conveyance; and
(3) specifies an anticipated date for completion of the
conveyance.
PURPOSE OF THE BILL
The purpose of H.R. 461, as ordered reported, is to direct
the Secretary of the Interior to convey certain Federal
features of the electric distribution system to the South Utah
Valley Electric Service District.
BACKGROUND AND NEED FOR LEGISLATION
The Bureau of Reclamation (Reclamation) initiated the
development of the Strawberry Valley Project (SVP) in Utah in
1906. Today, the SVP includes the Strawberry Dam and Reservoir,
several diversion dams, canals, three power plants and a 296-
mile long electric transmission and distribution system. The
Strawberry Water Users Association (SWUA), which operated the
SVP until 1986 and repaid all applicable construction costs of
the electricity distribution system to the federal government,
also owned a portion of that system.
In 1986, SWUA sold its portion of the electric distribution
system to the South Utah Valley Electric Service District
(SESD). Since there was a mix of federal and non-federal
ownership of the electricity distribution system, Reclamation
approved the sale only on the condition that the sale be
limited to those portions that were not part of the original
SVP or were not constructed on federal lands or easements. At
the time, Reclamation, SWUA and the SESD believed that most of
the distribution system was non-federal. However, Reclamation
recently determined that most of the distribution system was
built on federal easements acquired early in the SVP history.
Reclamation, as a result, now believes that most of the
distribution system still belongs to the federal government. It
has not quantified how much of the system it owns, however, due
to inadequate paperwork. The federal government's determination
has created system management and ownership uncertainty since
it is unclear to either SESD or Reclamation what entity owns
which portions of the electric distribution system. H.R. 461's
title transfer resolves this confusion by placing the entire
system in local ownership.
In general, title transfers benefit both local communities
and the federal government. The transfer of title will divest
Reclamation of federal liability while providing the non-
federal entity with greater autonomy and flexibility to manage
facilities in a manner that best meets its needs. Non-federal
ownership also gives a local entity the ability to leverage
private equity in the event of needed repairs or for other
reasons. Each Reclamation title transfer requires specific
Congressional authorization and Presidential signature. Since
1996, titles to portions of 27 Reclamation projects have been
transferred.
Reclamation generally agreed with the need for H.R. 461 at
a June 23, 2011, Water and Power Subcommittee hearing, but
expressed some concerns over National Environmental Policy Act
review and federal liability. Those concerns have been
addressed in a fashion similar to Public Law 109-321, which the
109th Congress passed without dissent.
COMMITTEE ACTION
H.R. 461 was introduced on January 26, 2011, by Congressman
Jason Chaffetz (R-T). The bill was referred to the Committee on
Natural Resources, and within the Committee to the Subcommittee
on Water and Power. On June 23, 2011, the Subcommittee on Water
and Power held a hearing on the bill. On July 20, 2011, the
Full Resources Committee met to consider the bill. The
Subcommittee on Water and Power was discharged by unanimous
consent. Congressman Tom McClintock (R-CA) offered an
amendment; the amendment was adopted by unanimous consent. The
bill, as amended, was 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 Natural Resources' oversight findings and
recommendations are reflected in the body of this report.
COMPLIANCE WITH HOUSE RULE XIII
1. Cost of Legislation. Clause 3(d)(1) 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)(2)(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. 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:
H.R. 461--South Utah Valley Electric Conveyance Act
H.R. 461 would direct the Secretary of the Interior, acting
through the Bureau of Reclamation, to transfer the title of the
electric distribution system located in Spanish Fork, Utah, to
the South Utah Valley Electric Service District. Based on
information from the Bureau of Reclamation, CBO estimates that
enacting the bill would have no significant net impact on the
federal budget. Enacting H.R. 461 would have an insignificant
impact on direct spending; therefore, pay-as-you-go procedures
apply. The legislation would not affect revenues.
The electric distribution system was developed as part of
the Strawberry Valley Project in the 1920s. The Strawberry
Water Users Association (SWUA), the nonfederal sponsor of the
project, satisfied all federal repayment obligations associated
with the project in 1974. In 1986, the SWUA spun off the South
Utah Valley Electric Service District and the Bureau of
Reclamation transferred financial responsibility for the
operation and maintenance of the electric distribution system
to the district. Under current law, the Bureau of Reclamation
oversees those operation and maintenance activities.
Under the bill, transfer of the title of the electric
distribution system to the district would include all federally
owned fixtures and the underlying federal land not shared by
other facilities. In instances where the underlying federal
land is also occupied by other facilities and in the case of
shared power poles, permanent access and licensing privileges
would be granted to the district to perform the required
maintenance.
Under H.R. 461, the Bureau of Reclamation would discontinue
oversight of the facilities. In addition, the Bureau of
Reclamation would no longer collect licensing fees from
utilities seeking easements to cross those federal lands. Based
on information from the Bureau of Reclamation, CBO estimates
that the loss of those collections would have no significant
net impact on the federal budget.
H.R. 461 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.
The CBO staff contact for this estimate is Aurora Swanson.
The estimate was approved by Peter H. Fontaine, Assistant
Director for Budget Analysis.
2. Section 308(a) of 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. Based on
information from the Bureau of Reclamation, CBO estimates that
enacting the bill would have no significant net impact on the
federal budget. Enacting H.R. 461 would have an insignificant
impact on direct spending; therefore, pay-as-you-go procedures
apply. The legislation would not affect revenues.
3. General Performance Goals and Objectives. This bill does
not authorize funding and therefore, clause 3(c)(4) of rule
XIII of the Rules of the House of Representatives does not
apply.
EARMARK STATEMENT
This bill does not contain any Congressional earmarks,
limited tax benefits, or limited tariff benefits as defined
under clause 9(e), 9(f), and 9(g) of rule XXI of the Rules of
the House of Representatives.
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
If enacted, this bill would make no changes in existing
law.