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Calendar No. 60
107th Congress Report
SENATE
1st Session 107-25
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DENVER WATER REUSE PROJECT
_______
June 5, 2001.--Ordered to be printed
_______
Mr. Murkowski, from the Committee on Energy and Natural Resources,
submitted the following
R E P O R T
[To accompany S. 491]
The Committee on Energy and Natural Resources, to which was
referred the bill (S. 491) 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 the Denver Water Reuse project,
having considered the same, reports favorably thereon with an
amendment and an amendment to the title and recommends that the
bill, as amended, do pass.
The amendments are as follows:
1. Strike all after the enacting clause and insert the
following:
SECTION 1. DENVER WATER REUSE PROJECT.
(a) Authorization.--The Secretary of the Interior, in cooperation
with the appropriation State and local authorities, may participate in
the design, planning, and construction of the Denver Water Reuse
Project (hereinafter referred to as the ``Project'') to reclaim and
reuse water in the service area of the Denver Water Department of the
city and county of Denver, Colorado.
(b) Cost Share.--The Federal share of the cost of the Project shall
not exceed 25 percent of the total cost.
(c) Limitation.--Funds provided by the Secretary shall not be used
for the operation or maintenance of the Project.
(d) Funding.--Funds appropriated pursuant to section 1631 of the
Reclamation Wastewater and Groundwater Study and Facilities Act (43
U.S.C. 390h-13) may be used for the Project.
SEC. 2. RECLAMATION WASTEWATER AND GROUND WATER STUDY AND FACILITIES
ACT.
Design, planning, and construction of the Project authorized by
this Act shall be in accordance with, and subject to the limitations
contained in, the Reclamation Wastewater and Groundwater Study and
Facilities Act (106 Stat. 4663-4669, 43 U.S.C.. 390h et. seq.), as
amended.
2. Amend the title so as to read: ``A bill to authorize the
Secretary of the Interior, pursuant to the provisions of the
Reclamation Wastewater and Groundwater to participate in the
design, planning, and construction of the Denver Water Reuse
project.''
PURPOSE OF THE MEASURE
The purpose of S. 491 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 the Denver Water Reuse
Project.
BACKGROUND AND NEED
Title XVI of the Reclamation Projects Authorization and
Adjustment Act of 1992 (P.L. 102-575, 106 Stat. 4006)
authorized a program of wastewater reclamation and reuse
feasibility and demonstration projects within the Reclamation
States. The Federal share of costs was limited to 50 percent.
In addition, several individuals studies were directed as well
as 5 projects (San Jose, Phoenix, San Diego, Los Angeles, and
San Gabriel Basin) for which funding was limited to 25 percent.
The legislation was directed at reuse of existing supplies and
did not address desalination, although title XI did authorize a
program to research and demonstrate methods for control of
salinity at the Salton Sea in California with 50 percent
Federal cost-sharing. Partially in response to the number of
requests for participation in the program and the costs, Public
Law 104-266 modified the program to limit Federal contributions
to 25 percent of the total cost, with a maximum of $20 million,
and required a feasibility analysis prior to the expenditure of
any funds for construction. The new requirements were not made
applicable to the several very large projects, mainly in
California, authorized under title XVI. The 1996 Act also
included authorization for 18 additional water reclamation and
reuse projects in California, Utah, New Mexico, Nevada, and
Texas. Title XVI was again amended in October 1998 by Public
Law 105-321 to include authorization for the Willow Lake
Natural Treatment System project in Oregon.
The use of reclaimed water in the arid West is significant,
especially in areas experiencing groundwater overdraft or
facing reduced freshwater supplies. While municipal uses are
the primary benefits of the program, there can be significant
indirect benefits for other consumptive uses, such as
agriculture, and non-consumptive uses, such as augmenting in-
stream flows or reducing depletions.
The Denver Nonpotable Reuse Project will treat secondary
wastewater for irrigation and industrial uses around the Denver
International Airport and Rocky Mountain Wildlife Refuge. The
project ultimately is designed to provide 15,000 acre feet,
freeing up potable supplies for 30,000 homes. The reuse will
also aid Denver in complying with the Blue River Decree, signed
by the Secretary of the Interior, under which Denver conveys
water from Colorado's western slope to its eastern slope
customers. The total project cost for all three phases is about
$100 million. Under the cost-share limitations of Public Law
104-566, the Federal funding contribution will be limited to
$20 million, notwithstanding the 25 percent limitation in the
legislation.
LEGISLATIVE HISTORY
S. 491 was introduced by Senator Campbell on March 8, 2001.
At the business meeting on May 16, 2001, the Committee on
Energy and Natural Resources ordered S. 491, as amended,
favorably reported. S. 491 is similar to S. 1848, introduced by
Senator Campbell in the 106th Congress. The Subcommittee on
Water and Power held a hearing on S. 1848 and the bill was
subsequently reported out of the Committee with a technical
amendment and passed by Unanimous Consent on the Senate floor.
COMMITTEE RECOMMENDATION AND TABULATION OF VOTES
The Committee on Energy and Natural Resources, in open
business session on May 16, 2001, by a unanimous voice vote
with a quorum present, recommends that the Senate pass S. 491,
if amended as described herein.
COMMITTEE AMENDMENT
During the consideration of S. 491, the Committee adopted
an amendment in the nature of a substitute that rewrites the
legislation to make it a freestanding bill, rather than
amending title 16 of Public Law 102-575, which established the
wastewater reclamation program. The title of the bill was also
amended to reflect that change.
COST AND BUDGETARY CONSIDERATIONS
The following estimate of costs of this measure has been
provided by the Congressional Budget Office.
U.S. Congress,
Congressional Budget Office,
Washington, DC, May 31, 2001.
Hon. Frank H. Murkowski,
Chairman, Committee on Energy and Natural Resources,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 491, a bill to
authorize the Secretary of the Interior, pursuant to the
provisions of the Reclamation Wastewater and Groundwater Study
and Facilities Act to participate in the design, planning, and
construction of the Denver Water Reuse project.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is Rachel
Milberg.
Sincerely,
Barry B. Anderson
(For Dan L. Crippen, Director).
Enclosure,
S. 491--A bill to authorize the Secretary of the Interior, pursuant to
the provisions of the Reclamation Wastewater and Groundwater
Study and Facilities Act to participate in the design,
planning, and construction of the Denver Water Reuse project
Summary: S. 491 would authorize the Secretary of the
Interior to participate in the design, planning, and
construction of the Water Reuse Project. This project would
recycle wastewater for the city and county of Denver, Colorado.
Based on information from the Bureau of Reclamation, CBO
estimates that implementing S. 491 would cost $23 million over
the 2002-2004 period, assuming appropriation of the necessary
amounts. S. 491 would not affect direct spending or receipts;
therefore, pay-as-you-go procedures would not apply.
S. 491 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 S. 491 is shown in the following table. The
costs of this legislation fall within budget function 300
(national resources and environment).
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-----------------------------------------------------------
2001 2002 2003 2004 2005 2006
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SPENDING SUBJECT TO APPROPRIATION
Estimated authorization level....................... 0 10 13 0 0 0
Estimated outlays................................... 0 5 10 8 0 0
----------------------------------------------------------------------------------------------------------------
Basis of estimate: for this estimate, CBO assumes enactment
of S. 491 in fiscal year 2001 and that the necessary funds will
be appropriated each year beginning in 2002. Based on
information from the Bureau of Reclamation, CBO estimates that
the total Denver Water Reuse project would cost $140 million.
S. 491 would allow any funds appropriated under section 1631 of
the Reclamation Wastewater and Groundwater Study and Facilities
Act to be used for the project. That act limits the federal
contribution to 25 percent of a project's total cost, but no
more than $20 million, as adjusted for inflation since October
1996. Because 25 percent of the Denver Water Reuse project's
total cost would exceed this threshold, CBO estimates that
implementing S. 491 would involve a federal contribution of $23
million over the 2002-2004 period. S. 491 would not authorize
the federal government to fund the operation and maintenance of
the project.
Pay-as-you-go considerations: None.
Intergovernmental and private-sector impact: S. 491
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: Rachel Milberg; Impact
on State, local, and tribal governments: Majorie Miller, impact
on the private sector: Lauren Marks.
Estimate 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. 491. 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. 491, as ordered reported.
EXECUTIVE COMMUNICATIONS
On May 25, 2001, the Committee on Energy and Natural
Resources requested legislative reports form the Department of
the Interior and the Office of Management and Budget setting
forth Executive agency recommendations on S. 491. These reports
had not been received at the time the report on S. 491 was
filed. When the reports become available, the Chairman will
request that they be printed in the Congressional Record for
the advice of the Senate. At the Subcommittee hearing on S.
1848 held in the 106th Congress, the Administration did not
support the measure.
CHANGES IN EXISTING LAW
In compliance with paragraph 12 of rule XXVI of the
Standing Rules of the Senate, the Committee notes that no
changes in existing law are made by the bill S. 491, as ordered
reported.
