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                                                       Calendar No. 922
106th Congress                                                   Report
 2d Session                                                     106-473




October 3 (legislative day, September 22), 2000.--Ordered to be printed


   Mr. Smith of New Hampshire, from the Committee on Environment and 
                 Public Works, submitted the following

                              R E P O R T

                        [to accompany H.R. 4435]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Environment and Public Works, to which was 
referred a bill (H.R. 4435) to clarify certain boundaries on 
the map relating to Unit NC-01 of the Coastal Barrier Resources 
System, having considered the same, reports favorably thereon 
and recommends that the bill do pass.

                    General Statement and Background

    The Coastal Barrier Resources System (CBRS) is comprised of 
undeveloped coastal barriers along the coasts of the Atlantic 
Ocean, Gulf of Mexico, the Great Lakes, Puerto Rico and the 
U.S. Virgin Islands. Coastal barriers are landscape features 
that shield the mainland from the full force of wind, wave and 
tidal energies. Coastal barriers come in a variety of forms 
that include bay barriers, tombolos, barrier spits, barrier 
islands, dune or beach barriers, and fringing mangroves. 
Besides bearing the brunt of impacts from storms and erosion, 
most coastal barriers are composed of unconsolidated sediment 
such as sand or gravel. The geological composition makes 
coastal barriers highly unstable areas. Despite their 
instability, many coastal barriers are under heavy development 
    Congress passed the Coastal Barrier Resources Act of 1982 
in an effort to address problems caused by coastal barrier 
development. The Coastal Barrier Resources Act restricts 
Federal expenditures and financial assistance, including 
Federal flood insurance, for development on coastal barriers in 
the CBRS. By restricting funding for Federal programs that 
encourage development of coastal barriers, Congress sought to 
minimize loss of human life; reduce wasteful expenditure of 
Federal funds; and protect the natural resources associated 
with coastal barriers.
    The Coastal Barrier Improvement Act of 1990 added 
``Otherwise Protected Areas'' (OPAs) to the System. OPAs are 
undeveloped coastal barriers within the boundaries of lands 
reserved for conservation purposes, such as wildlife refuges 
and parks. In addition, the 1990 Act added to the System 
coastal barriers in Puerto Rico, the U.S. Virgin Islands, the 
Great Lakes and along the Atlantic and Gulf coasts. The CBRS 
currently includes 850 units, comprising approximately 3 
million acres and approximately 2,500 shoreline miles.
    Undeveloped coastal barriers were identified and mapped 
using criteria developed by the Department of the Interior and 
later approved by Congress. Aerial photographs and ground 
inspections were used to verify the boundaries, and the results 
were then mapped on U.S. Geological Survey quadrangle maps. 
Except for minor and technical modifications to the CBRS unit 
boundaries to reflect changes that have occurred as a result of 
natural forces, modifications of CBRS unit boundaries require 
Congressional approval.
    This bill makes changes to the boundaries of CBRS Unit NC-
01, in Currituck and Dare Counties, North Carolina. NC-01 was 
originally labeled NC-O1P and was included in the System as an 
OPA in the 1990 amendments. In 1992, the boundaries were 
revised to exclude private property that had been included in 
NC-01P and to include aquatic habitat. The boundaries of the 
unit were supposed to follow the boundaries of a wildlife 
sanctuary owned by the National Audubon Society, Pine Island 
Sanctuary, and some associated aquatic habitat (P.L. 102-440, 
Sec. 303). Also, the OPA designation was to be dropped. The 
full CBRS unit was then labeled NC-01. However, the map that 
resulted from the 1992 revisions inadvertently included 4 acres 
of new private property that had not been included before. The 
boundary line of the unit runs through two parcels of privately 
owned land. H.R. 4435 removes the private property from Unit 
NC-01 and adds associated aquatic habitat that was left out in 
the 1992 revisions. This change will result in an increase of 
2,326 acres into the System.

                      Regulatory Impact Statement

    In compliance with section 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact of the reported bill. The 
bill will have no direct regulatory impact. However, by 
removing the 4.4 acre from the CBRS unit, it will make 
landowners in the unit eligible for certain Federal programs 
for which they are not currently eligible.

                          Mandates Assessment

    In compliance with the Unfunded Mandates Reform Act of 1995 
(Public Law 104-4), the Committee finds that H.R. 4435 would 
impose no Federal intergovernmental unfunded mandates on State, 
local, or tribal governments. All of its governmental 
directives are imposed on Federal agencies. The bill does not 
directly impose any private sector mandates.

                          Legislative History

    On June 8, 2000, H.R. 4435 was received in the Senate and 
referred to the Committee on Environment and Public Works. No 
hearings were held on this bill. On September 21, 2000, the 
Committee on Environment and Public Works held a business 
meeting to consider H.R. 4435. The business meeting was 
continued on September 28, 2000, and H.R. 4435 was favorably 
reported out of Committee by voice vote.

                          Cost of Legislation

    Section 403 of the Congressional Budget and Impoundment 
Control Act requires that a statement of the cost of the 
reported bill, prepared by the Congressional Budget Office, be 
included in the report. That statement follows:

                                     U.S. Congress,
                               Congressional Budget Office,
                                Washington, DC, September 29, 2000.

Hon. Robert C. Smith, Chairman,
Committee on Environment and Public Works,
U.S. Senate, Washington, DC.

Dear Mr. Chairman: The Congressional Budget Office has prepared 
the enclosed cost estimate for H.R. 4435, an Act to clarify 
certain boundaries on the map relating to Unit NC-01 of the 
Coastal Barrier Resources System.
    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.
                                            Dan L. Crippen.

               Congressional Budget Office Cost Estimate

H.R. 4435, An Act to clarify certain boundaries on the map relating to 
        Unit NC-01 of the Coastal Barrier Resources System, as ordered 
        reported by the Senate Committee on Environment and Public 
        Works on September 28, 2000
    CBO estimates that enacting H.R. 4435 would result in no 
significant cost to the Federal Government. Because the 
legislation could affect direct spending, pay-as-you-go 
procedures would apply, but we expect that net changes in 
direct spending would be negligible. H.R. 4435 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.
    H.R. 4435 would correct a map of the Coastal Barrier 
Resources System in North Carolina. The proposed correction 
would revise the boundaries of unit NC-01 to include 2,330 
acres of aquatic habitat and exclude about 4 acres of developed 
land. This change would enable local property owners occupying 
the excluded acreage to obtain Federal flood insurance. Once 
insurance policies have been written on the affected 
properties, offsetting collections from premiums paid into the 
national flood insurance fund would increase by less than 
$50,000 per year. Collections would be partially offset by new 
mandatory spending for underwriting and administrative 
expenses. The Federal Government might also incur additional 
costs for losses associated with any future floods that might 
affect this land, but CBO has no basis for predicting such 
floods or their resulting costs.
    On June 5, 2000, CBO transmitted a cost estimate for H.R. 
4435 as ordered reported by the House Committee on Resources on 
May 24, 2000. The two versions of the legislation are 
identical, as are our cost estimates.
    The CBO staff contact for this estimate is Deborah Reis, 
who can be reached at 226-2260. This estimate was approved by 
Peter H. Fontaine, Deputy Assistant Director for Budget 

                        Changes in Existing Law

    Section 12 of rule XXVI of the Standing Rules of the 
Senate, provides that reports to the Senate should show changes 
in existing law made by the bill as reported. Passage of this 
bill will make no changes to existing law.