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114th Congress    }                                   {         Report
                        HOUSE OF REPRESENTATIVES
 2d Session       }                                   {        114-647

======================================================================




 
                          SAVE OUR SALMON ACT

                                _______
                                

 June 28, 2016.--Committed to the Committee of the Whole House on the 
              State of the Union and ordered to be printed

                                _______
                                

Mr. Bishop of Utah, from the Committee on Natural Resources, submitted 
                             the following

                              R E P O R T

                        [To accompany H.R. 4582]

      [Including cost estimate of the Congressional Budget Office]

    The Committee on Natural Resources, to whom was referred 
the bill (H.R. 4582) to exclude striped bass from the 
anadromous fish doubling requirement in section 3406(b)(1) of 
the Central Valley Project Improvement Act, 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 ``Save Our Salmon Act'' or the ``SOS 
Act''.

SEC. 2. LEGISLATIVE FINDINGS.

  Congress finds the following:
          (1) California is home to many populations of native salmon 
        and steelhead.
          (2) Many of the native salmon and steelhead populations in 
        California are listed under the Endangered Species Act of 1973.
          (3) The Central Valley Project Improvement Act (CVPIA) 
        required a doubling of natural production of Central Valley 
        populations of anadromous fish within 10 years.
          (4) Striped bass are anadromous fish indigenous to the East 
        Coast of the United States and are not native to the State of 
        California.
          (5) Striped bass were included in the CVPIA's fish doubling 
        goal even though they are not a native species.
          (6) Striped bass prey on native salmon and steelhead.
          (7) Predation poses a serious threat to federally protected 
        juvenile salmon and other native fish in California.
          (8) According to the National Marine Fisheries Service, 
        reducing abundance of striped bass and other non-native 
        predators must be achieved to prevent extinction of Central 
        Valley salmon and steelhead or to prevent the species from 
        declining irreversibly.
          (9) Therefore, the CVPIA's fish-doubling goal for two 
        competing species is contradictory and counterproductive for 
        salmon and steelhead recovery.

SEC. 3. TREATMENT OF STRIPED BASS.

  (a) Anadromous Fish.--Section 3403(a) of the Central Valley Project 
Improvement Act (title XXXIV of Public Law 102-575) is amended by 
striking ``striped bass,'' after ``stocks of salmon (including 
steelhead),''.
  (b) Fish and Wildlife Restoration Activities.--Section 3406(b) of the 
Central Valley Project Improvement Act (title XXXIV of Public Law 102-
575) is amended by--
          (1) striking paragraphs (14) and (18);
          (2) redesignating paragraphs (15) through (17) as paragraphs 
        (14) through (16), respectively; and
          (3) redesignating paragraphs (19) through (23) as paragraphs 
        (17) through (21), respectively.
  (c) Restoration Fund Established.--Section 3407(a) of the Central 
Valley Project Improvement Act (title XXXIV of Public Law 102-575) is 
amended by striking ``(10)-(18), and (20)-(22)'' and inserting ``(10)-
(16), and (18)-(20)''.

                          Purpose of the Bill

    The purpose of H.R. 4582 is to exclude striped bass from 
the anadromous fish doubling requirement in section 3406(b)(1) 
of the Central Valley Project Improvement Act.

                  Background and Need for Legislation

    H.R. 4582, as amended, removes contradictions in federal 
law that promote a non-native fish species that have been 
proven to devour salmon and other native species in parts of 
California. The removal of these statutory provisions is 
ultimately aimed at enhancing endangered and other native fish 
populations.
    The U.S. West Coast is home to a number of native and 
federally endangered or threatened fish species. The latter 
includes 28 subpopulations of steelhead and salmon in 
California and the Pacific Northwest that have been listed by 
the National Oceanic and Atmospheric Administration's National 
Marine Fisheries Service (NMFS) under the Endangered Species 
Act (ESA). Although some salmon runs have experienced record 
and near record returns in certain areas, many continue to face 
a number of ``stressors'' that complicate their survivability, 
recovery and eventual delisting. One such stressor, according 
to NMFS, is non-native species predation that causes 
endangerment of 48 percent of the species listed under the 
federal ESA. For example, Caspian terns, the northern 
pikeminnow, cormorants, sea lions and striped bass are a few of 
the native and non-native species on the West Coast that prey 
on salmon fisheries. H.R. 4582 is a bipartisan effort aimed at 
recovering salmon and Delta smelt populations in parts of 
California through the elimination of specific federal 
statutory provisions that promote the non-indigenous, predatory 
striped bass.
    Indigenous to the East Coast of the United States, striped 
bass were first introduced into California's Sacramento/San 
Joaquin Bay-Delta (Bay-Delta) in 1879 for sport and 
recreational fishing purposes. Some believe this species poses 
a direct predatory threat to ESA-listed and other fish species 
in the Bay-Delta. Specifically, the California Department of 
Fish and Wildlife estimates that striped bass may consume 
upwards of 2550 percent of winter and spring run Chinook 
salmon. In its 2009 Recovery Plan for winter and spring run 
Chinook salmon, NMFS identified predation of juvenile salmon as 
one of the primary specific stressors to these species and 
advocated for reducing the population of striped bass to 
``prevent extinction or to prevent the species from declining 
irreversibly.'' In addition, as part of the Federal Energy 
Regulatory Commission's relicensing of Don Pedro Dam, a 
February 2013 report found that 93 percent of juvenile salmon 
smolts perished on the Tuolumne River from striped bass 
predation. Recovering salmon and other federally endangered/
threatened species will help promote a healthy fishery and 
could increase water diversions for human populations if the 
species are de-listed from the federal ESA.
    In a February 10, 2016, Water, Power and Oceans 
Subcommittee oversight hearing on predation, a NMFS witness 
testified that some salmonid populations in California are, 
``extremely low due to an abundance of striped bass.'' One 
focus of that hearing was the Central Valley Project 
Improvement Act's (CVPIA, Public Law 102575) statutory goal to 
at least double the natural production of anadromous fish, 
which includes both salmon and striped bass. The federal Bureau 
of Reclamation, an agency that administers water supply 
deliveries from the Central Valley Project (CVP) and is also 
charged with implementing the CVPIA, has taken a number of 
actions that have helped augment striped bass populations. 
These include funding programs aimed at minimizing CVP 
entrainment losses of striped bass eggs, larvae, and young in 
water intake facilities at the Tracy Fish Collection Facility; 
programs to reduce striped bass losses during fish screen 
salvage, handling, trucking and fish release operations at CVP 
facilities; and funding for reducing predation of striped bass 
at Reclamation water intake structures. The CVPIA and the 
federal government's implementation activities outlined above 
that enhance the non-indigenous and predatory striped bass in 
contradiction to the goals of the ESA.
    H.R. 4582 eliminates this ongoing federal conflict between 
protecting striped bass and endangered salmon in California. 
Water agencies, including the Association of California Water 
Agencies, the Metropolitan Water District of Southern 
California, the San Luis Delta Mendota Water Authority and 
others directly impacted by the abundance of these federally-
protected native fish species support this bill. The 
Administration also supports the bill, as amended. At the 
Subcommittee's April 20, 2016, legislative hearing on H.R. 
4582, the Administration specifically testified:

        In consideration of the striped bass's function as a 
        fish that contributes to mortality for listed species 
        and is not native to the Bay-Delta or even California, 
        the [Interior] Department has no concern with the 
        removal of striped bass from the CVPIA's fish doubling 
        goals.

    In addition, the Administration proposed additional 
modifications aimed at clarifying the intent of the bill. The 
Natural Resources Committee adopted an amendment which 
incorporated these modifications at a June 15, 2016, markup. 
H.R. 4582, as amended, aims to help ensure that non-native 
predation in the Bay-Delta does not impede recovery efforts for 
ESA-listed fish species.

        Section-by-Section Analysis of Bill as Ordered Reported


Section 1. Short title

    This section states the short title of the bill as the 
``Save Our Salmon Act'' or the ``SOS Act''.

Section 2. Legislative findings

    Section 2 lists findings related to the abundance of 
anadromous, non-native striped bass in California.

Section 3. Treatment of striped bass

    This section, as amended, amends Section 3403(a), Section 
3406(b) and Section 3407(a) of the CVPIA to exempt striped bass 
from its requirements to double the natural production of 
anadromous fish species and to strike specific actions related 
to striped bass recovery.

                            Committee Action

    H.R. 4582 was introduced on February 23, 2016, by 
Congressman Jeff Denham (RCA). The bill was referred to the 
Committee on Natural Resources, and within the Committee, the 
bill was referred to the Subcommittee on Water, Power and 
Oceans. On April 20, 2016, the Subcommittee held a hearing on 
the bill. On June 14, 2016, the Natural Resources Committee met 
to consider the bill. The Subcommittee on Water, Power and 
Oceans was discharged by unanimous consent. Congressman Jeff 
Denham offered an amendment designated 056; it was adopted by 
unanimous consent. No additional amendments were offered, and 
the bill, as amended, was ordered favorably reported to the 
House of Representatives by unanimous consent on June 15, 2016.

            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:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 24, 2016.
Hon. Rob Bishop,
Chairman, Committee on Natural Resources,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 4582, the Save Our 
Salmon Act.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Aurora 
Swanson.
            Sincerely,
                                              Keith Hall, Director.
    Enclosure.

H.R. 4582--Save Our Salmon Act

    H.R. 4582 would remove striped bass from the list of fish 
populations that the Bureau of Reclamation (BOR) is tasked with 
doubling in the Sacramento and San Joaquin rivers in 
California. Based on information from the BOR, CBO estimates 
that enacting the legislation would not affect the federal 
budget because activities such as installing diversion screens 
near water intake or pumping structures protect many other fish 
species and the BOR would continue those activities.
    Because enacting the legislation would not affect direct 
spending or revenues, pay-as-you-go procedures do not apply. 
CBO estimates that enacting H.R. 4582 would not increase net 
direct spending or on-budget deficits in any of the four 
consecutive 10-years periods beginning in 2027.
    H.R. 4582 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. 
This estimate was approved by H. Samuel Papenfuss, Deputy 
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.
    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 to exclude striped bass from the 
anadromous fish doubling requirement in section 3406(b)(1) of 
the Central Valley Project Improvement Act.

                           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.

                       Compliance With H. Res. 5

    Directed Rule Making. The Chairman does not believe that 
this bill directs any executive branch official to conduct any 
specific rule-making proceedings.
    Duplication of Existing Programs. This bill does not 
establish or reauthorize a program of the federal government 
known to be duplicative of another program. Such program was 
not included in any report from the Government Accountability 
Office to Congress pursuant to section 21 of Public Law 111-139 
or identified in the most recent Catalog of Federal Domestic 
Assistance published pursuant to the Federal Program 
Information Act (Public Law 95-220, as amended by Public Law 
98-169) as relating to other programs.

                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 (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, and existing law in which no 
change is proposed is shown in roman):

                 CENTRAL VALLEY PROJECT IMPROVEMENT ACT


          TITLE XXXIV--CENTRAL VALLEY PROJECT IMPROVEMENT ACT


SEC. 3401. SHORT TITLE.

  This title may be cited as the ``Central Valley Project 
Improvement Act''.

           *       *       *       *       *       *       *


SEC. 3403. DEFINITIONS.

  As used in this title--
          (a) the term ``anadromous fish'' means those stocks 
        of salmon (including steelhead), [striped bass,] 
        sturgeon, and American shad that ascend the Sacramento 
        and San Joaquin rivers and their tributaries and the 
        Sacramento-San Joaquin Delta to reproduce after 
        maturing in San Francisco Bay or the Pacific Ocean;
          (b) the terms ``artificial propagation'' and 
        ``artificial production'' mean spawning, incubating, 
        hatching, and rearing fish in a hatchery or other 
        facility constructed for fish production;
          (c) the term ``Central Valley Habitat Joint Venture'' 
        means the association of Federal and State agencies and 
        private parties established for the purpose of 
        developing and implementing the North American 
        Waterfowl Management Plan as it pertains to the Central 
        Valley of California;
          (d) the terms ``Central Valley Project'' or 
        ``project'' mean all Federal reclamation projects 
        located within or diverting water from or to the 
        watershed of the Sacramento and San Joaquin rivers and 
        their tributaries as authorized by the Act of August 
        26, 1937 (50 Stat. 850) and all Acts amendatory or 
        supplemental thereto, including but not limited to the 
        Act of October 17, 1940 (54 Stat. 1198, 1199), Act of 
        December 22, 1944 (58 Stat. 887), Act of October 14, 
        1949 (63 Stat. 852), Act of September 26, 1950 (64 
        Stat. 1036), Act of August 27, 1954 (68 Stat. 879), Act 
        of August 12, 1955 (69 Stat. 719), Act of June 3, 1960 
        (74 Stat. 156), Act of October 23, 1962 (76 Stat. 
        1173), Act of September 2, 1965 (79 Stat. 615), Act of 
        August 19, 1967 (81 Stat. 167), Act of August 27, 1967 
        (81 Stat. 173), Act of October 23, 1970 (84 Stat. 
        1097), Act of September 28, 1976 (90 Stat. 1324) and 
        Act of October 27, 1986 (100 Stat. 3050);
          (e) the term ``Central Valley Project service area'' 
        means that area of the Central Valley and San Francisco 
        Bay Area where water service has been expressly 
        authorized pursuant to the various feasibility studies 
        and consequent congressional authorizations for the 
        Central Valley Project;
          (f) the term ``Central Valley Project water'' means 
        all water that is developed, diverted, stored, or 
        delivered by the Secretary in accordance with the 
        statutes authorizing the Central Valley Project and in 
        accordance with the terms and conditions of water 
        rights acquired pursuant to California law;
          (g) the term ``full cost'' has the meaning given such 
        term in paragraph (3) of section 202 of the Reclamation 
        Reform Act of 1982;
          (h) the term ``natural production'' means fish 
        produced to adulthood without direct human intervention 
        in the spawning, rearing, or migration processes;
          (i) the term ``Reclamation laws'' means the Act of 
        June 17, 1902 (82 Stat. 388) and all Acts amendatory 
        thereof or supplemental thereto;
          (j) the term ``Refuge Water Supply Report'' means the 
        report issued by the Mid-Pacific Region of the Bureau 
        of Reclamation of the U.S. Department of the Interior 
        entitled Report on Refuge Water Supply Investigations, 
        Central Valley Hydrologic Basin, California (March 
        1989);
          (k) the terms ``repayment contract'' and ``water 
        service contract'' have the same meaning as provided in 
        sections 9(d) and 9(e) of the Reclamation Project Act 
        of 1939 (53 Stat. 1187, 1195), as amended;
          (l) the terms ``Restoration Fund'' and ``Fund'' mean 
        the Central Valley Project Restoration Fund established 
        by this title; and,
          (m) the term ``Secretary'' means the Secretary of the 
        Interior.

           *       *       *       *       *       *       *


SEC. 3406. FISH, WILDLIFE AND HABITAT RESTORATION.

  (a) Amendments to Central Valley Project Authorizations.--Act 
of August 26, 1937.--Section 2 of the Act of August 26, 1937 
(chapter 832; 50 Stat. 850), as amended, is amended--
          (1) in the second proviso of subsection (a), by 
        inserting ``and mitigation, protection, and restoration 
        of fish and wildlife'' after ``Indian reservations,'';
          (2) in the last proviso of subsection (a), by 
        striking ``domestic uses;'' and inserting ``domestic 
        uses and fish and wildlife mitigation, protection and 
        restoration purposes;'' and by striking ``power'' and 
        inserting ``power and fish and wildlife enhancement'';
          (3) by adding at the end the following: ``The 
        mitigation for fish and wildlife losses incurred as a 
        result of construction, operation, or maintenance of 
        the Central Valley Project shall be based on the 
        replacement of ecologically equivalent habitat and 
        shall take place in accordance with the provisions of 
        this title and concurrent with any future actions which 
        adversely affect fish and wildlife populations or their 
        habitat but shall have no priority over them.''; and
          (4) by adding at the end the following: ``(e) Nothing 
        in this title shall affect the State's authority to 
        condition water rights permits for the Central Valley 
        Project.''
  (b) Fish and Wildlife Restoration Activities.--The Secretary, 
immediately upon the enactment of this title, shall operate the 
Central Valley Project to meet all obligations under State and 
Federal law, including but not limited to the Federal 
Endangered Species Act, 16 U.S.C. 1531, et seq., and all 
decisions of the California State Water Resources Control Board 
establishing conditions on applicable licenses and permits for 
the project. The Secretary, in consultation with other State 
and Federal agencies, Indian tribes, and affected interests, is 
further authorized and directed to:
          (1) develop within three years of enactment and 
        implement a program which makes all reasonable efforts 
        to ensure that, by the year 2002, natural production of 
        anadromous fish in Central Valley rivers and streams 
        will be sustainable, on a long-term basis, at levels 
        not less than twice the average levels attained during 
        the period of 1967-1991; Provided, That this goal shall 
        not apply to the San Joaquin River between Friant Dam 
        and the Mendota Pool, for which a separate program is 
        authorized under subsection 3406(c) of this title; 
        Provided further, That the programs and activities 
        authorized by this section shall, when fully 
        implemented, be deemed to meet the mitigation, 
        protection, restoration, and enhancement purposes 
        established by subsection 3406(a) of this title; And 
        provided further, That in the course of developing and 
        implementing this program the Secretary shall make all 
        reasonable efforts consistent with the requirements of 
        this section to address other identified adverse 
        environmental impacts of the Central Valley Project not 
        specifically enumerated in this section.
                  (A) This program shall give first priority to 
                measures which protect and restore natural 
                channel and riparian habitat values through 
                habitat restoration actions, modifications to 
                Central Valley Project operations, and 
                implementation of the supporting measures 
                mandated by this subsection; shall be reviewed 
                and updated every five years; and shall 
                describe how the Secretary intends to operate 
                the Central Valley Project to meet the fish, 
                wildlife, and habitat restoration goals and 
                requirements set forth in this title and other 
                project purposes.
                  (B) As needed to achieve the goals of this 
                program, the Secretary is authorized and 
                directed to modify Central Valley Project 
                operations to provide flows of suitable 
                quality, quantity, and timing to protect all 
                life stages of anadromous fish, except that 
                such flows shall be provided from the quantity 
                of water dedicated to fish, wildlife, and 
                habitat restoration purposes under paragraph 
                (2) of this subsection; from the water supplies 
                acquired pursuant to paragraph (3) of this 
                subsection; and from other sources which do not 
                conflict with fulfillment of the Secretary's 
                remaining contractual obligations to provide 
                Central Valley Project water for other 
                authorized purposes. Instream flow needs for 
                all Central Valley Project controlled streams 
                and rivers shall be determined by the Secretary 
                based on recommendations of the United States 
                Fish and Wildlife Service after consultation 
                with the California Department of Fish and 
                Game.
                  (C) The Secretary shall cooperate with the 
                State of California to ensure that, to the 
                greatest degree practicable, the specific 
                quantities of yield dedicated to and managed 
                for fish and wildlife purposes under this title 
                are credited against any additional obligations 
                of the Central Valley Project which may be 
                imposed by the State of California following 
                enactment of this title, including but not 
                limited to increased flow and reduced export 
                obligations which may be imposed by the 
                California State Water Resources Control Board 
                in implementing San Francisco Bay/Sacramento-
                San Joaquin Delta Estuary standards pursuant to 
                the review ordered by the California Court of 
                Appeals in United States v. State Water 
                Resources Control Board, 182 Cal.App.3d 82 
                (1986), and that, to the greatest degree 
                practicable, the programs and plans required by 
                this title are developed and implemented in a 
                way that avoids inconsistent or duplicative 
                obligations from being imposed upon Central 
                Valley Project water and power contractors.
                  (D) Costs associated with this paragraph 
                shall be reimbursable pursuant to existing 
                statutory and regulatory procedures.
          (2) upon enactment of this title dedicate and manage 
        annually eight hundred thousand acre-feet of Central 
        Valley Project yield for the primary purpose of 
        implementing the fish, wildlife, and habitat 
        restoration purposes and measures authorized by this 
        title; to assist the State of California in its efforts 
        to protect the waters of the San Francisco Bay/
        Sacramento-San Joaquin Delta Estuary; and to help to 
        meet such obligations as may be legally imposed upon 
        the Central Valley Project under State or Federal law 
        following the date of enactment of this title, 
        including but not limited to additional obligations 
        under the Federal Endangered Species Act. For the 
        purpose of this section, the term ``Central Valley 
        Project yield'' means the delivery capability of the 
        Central Valley Project during the 1928-1934 drought 
        period after fishery, water quality, and other flow and 
        operational requirements imposed by terms and 
        conditions existing in licenses, permits, and other 
        agreements pertaining to the Central Valley Project 
        under applicable State or Federal law existing at the 
        time of enactment of this title have been met.
                  (A) Such quantity of water shall be in 
                addition to the quantities needed to implement 
                paragraph 3406(d)(1) of this title and in 
                addition to all water allocated pursuant to 
                paragraph (23) of this subsection for release 
                to the Trinity River for the purposes of 
                fishery restoration, propagation, and 
                maintenance; and shall be supplemented by all 
                water that comes under the Secretary's control 
                pursuant to subsections 3406(b)(3), 3408(h)-
                (i), and through other measures consistent with 
                subparagraph 3406(b)(1)(B) of this title.
                  (B) Such quantity of water shall be managed 
                pursuant to conditions specified by the United 
                States Fish and Wildlife Service after 
                consultation with the Bureau of Reclamation and 
                the California Department of Water Resources 
                and in cooperation with the California 
                Department of Fish and Game.
                  (C) The Secretary may temporarily reduce 
                deliveries of the quantity of water dedicated 
                under this paragraph up to 25 percent of such 
                total whenever reductions due to hydrologic 
                circumstances are imposed upon agricultural 
                deliveries of Central Valley Project water; 
                Provided, That such reductions shall not exceed 
                in percentage terms the reductions imposed on 
                agricultural service contractors; Provided 
                further, That nothing in this subsection or 
                subsection 3406(e) shall require the Secretary 
                to operate the project in a way that 
                jeopardizes human health or safety.
                  (D) If the quantity of water dedicated under 
                this paragraph, or any portion thereof, is not 
                needed for the purposes of this section, based 
                on a finding by the Secretary, the Secretary is 
                authorized to make such water available for 
                other project purposes.
          (3) develop and implement a program in coordination 
        and in conformance with the plan required under 
        paragraph (1) of this subsection for the acquisition of 
        a water supply to supplement the quantity of water 
        dedicated to fish and wildlife purposes under paragraph 
        (2) of this subsection and to fulfill the Secretary's 
        obligations under paragraph 3406(d)(2) of this title. 
        The program should identify how the Secretary intends 
        to utilize, in particular the following options: 
        improvements in or modifications of the operations of 
        the project; water banking; conservation; transfers; 
        conjunctive use; and temporary and permanent land 
        fallowing, including purchase, lease, and option of 
        water, water rights, and associated agricultural land.
          (4) develop and implement a program to mitigate for 
        fishery impacts associated with operations of the Tracy 
        Pumping Plant. Such program shall include, but is not 
        limited to improvement or replacement of the fish 
        screens and fish recovery facilities and practices 
        associated with the Tracy Pumping Plant. Costs 
        associated with this paragraph shall be reimbursed in 
        accordance with the following formula: 37.5 percent 
        shall be reimbursed as main project features, 37.5 
        percent shall be considered a nonreimbursable Federal 
        expenditure, and 25 percent shall be paid by the State 
        of California. The reimbursable share of funding for 
        this and other facility repairs, improvements, and 
        construction shall be allocated among project water and 
        power users in accordance with existing project cost 
        allocation procedures.
          (5) develop and implement a program to mitigate for 
        fishery impacts resulting from operations of the Contra 
        Costa Canal Pumping Plant No. 1. Such program shall 
        provide for construction and operation of fish 
        screening and recovery facilities, and for modified 
        practices and operations. Costs associated with this 
        paragraph shall be reimbursed in accordance with the 
        following formula: 37.5 percent shall be reimbursed as 
        main project features, 37.5 percent shall be considered 
        a nonreimbursable Federal expenditure, and 25 percent 
        shall be paid by the State of California.
          (6) install and operate a structural temperature 
        control device at Shasta Dam and develop and implement 
        modifications in CVP operations as needed to assist in 
        the Secretary's efforts to control water temperatures 
        in the upper Sacramento River in order to protect 
        anadromous fish in the upper Sacramento River. Costs 
        associated with planning and construction of the 
        structural temperature control device shall be 
        reimbursed in accordance with the following formula: 
        37.5 percent shall be reimbursed as main project 
        features, 37.5 percent shall be considered a 
        nonreimbursable Federal expenditure, and 25 percent 
        shall be paid by the State of California.
          (7) meet flow standards and objectives and diversion 
        limits set forth in all laws and judicial decisions 
        that apply to Central Valley Project facilities, 
        including, but not limited to, provisions of this title 
        and all obligations of the United States under the 
        ``Agreement Between the United States and the 
        Department of Water Resources of the State of 
        California for Coordinated Operation of the Central 
        Valley Project and the State Water Project'' dated May 
        20, 1985, as well as Public Law 99-546.
          (8) make use of short pulses of increased water flows 
        to increase the survival of migrating anadromous fish 
        moving into and through the Sacramento-San Joaquin 
        Delta and Central Valley rivers and streams.
          (9) develop and implement a program to eliminate, to 
        the extent possible, losses of anadromous fish due to 
        flow fluctuations caused by the operation of any 
        Central Valley Project storage or re-regulating 
        facility. The program shall be patterned where 
        appropriate after the agreement between the California 
        Department of Water Resources and the California 
        Department of Fish and Game with respect to the 
        operation of the California State Water Project 
        Oroville Dam complex.
          (10) develop and implement measures to minimize fish 
        passage problems for adult and juvenile anadromous fish 
        at the Red Bluff Diversion Dam in a manner that 
        provides for the use of associated Central Valley 
        Project conveyance facilities for delivery of water to 
        the Sacramento Valley National Wildlife Refuge complex 
        in accordance with the requirements of subsection (d) 
        of this section. Costs associated with implementation 
        of this paragraph shall be reimbursed in accordance 
        with the following formula: 37.5 percent shall be 
        reimbursed as main project features, 37.5 percent shall 
        be considered a nonreimbursable Federal expenditure, 
        and 25 percent shall be paid by the State of 
        California.
          (11) rehabilitate and expand the Coleman National 
        Fish Hatchery by implementing the United States Fish 
        and Wildlife Service's Coleman National Fish Hatchery 
        Development Plan, and modify the Keswick Dam Fish Trap 
        to provide for its efficient operation at all project 
        flow release levels and modify the basin below the 
        Keswick Dam spillway to prevent the trapping of fish. 
        Costs associated with implementation of this paragraph 
        shall be reimbursed in accordance with the following 
        formula: 50 percent shall be reimbursed as main project 
        features and 50 percent shall be considered a 
        nonreimbursable Federal expenditure.
          (12) develop and implement a comprehensive program to 
        provide flows to allow sufficient spawning, incubation, 
        rearing, and outmigration for salmon and steelhead from 
        Whiskeytown Dam as determined by instream flow studies 
        conducted by the California Department of Fish and Game 
        after Clear Creek has been restored and a new fish 
        ladder has been constructed at the McCormick-Saeltzer 
        Dam. Costs associated with channel restoration, passage 
        improvements, and fish ladder construction required by 
        this paragraph shall be allocated 50 percent to the 
        United States as a nonreimbursable expenditure and 50 
        percent to the State of California. Costs associated 
        with providing the flows required by this paragraph 
        shall be allocated among project purposes.
          (13) develop and implement a continuing program for 
        the purpose of restoring and replenishing, as needed, 
        spawning gravel lost due to the construction and 
        operation of Central Valley Project dams, bank 
        protection projects, and other actions that have 
        reduced the availability of spawning gravel and rearing 
        habitat in the Upper Sacramento River from Keswick Dam 
        to Red Bluff Diversion Dam, and in the American and 
        Stanislaus Rivers downstream from the Nimbus and 
        Goodwin Dams, respectively. The program shall include 
        preventive measures, such as re-establishment of 
        meander belts and limitations on future bank protection 
        activities, in order to avoid further losses of 
        instream and riparian habitat. Costs associated with 
        implementation of this paragraph shall be reimbursed in 
        accordance with the following formula: 37.5 percent 
        shall be reimbursed as main project features, 37.5 
        percent shall be considered a nonreimbursable Federal 
        expenditure, and 25 percent shall be paid by the State 
        of California.
          [(14) develop and implement a program which provides 
        for modified operations and new or improved control 
        structures at the Delta Cross Channel and Georgiana 
        Slough during times when significant numbers of striped 
        bass eggs, larvae, and juveniles approach the 
        Sacramento River intake to the Delta Cross Channel or 
        Georgiana Slough. Costs associated with implementation 
        of this paragraph shall be reimbursed in accordance 
        with the following formula: 37.5 percent shall be 
        reimbursed as main project features, 37.5 percent shall 
        be considered a nonreimbursable Federal expenditure, 
        and 25 percent shall be paid by the State of 
        California.]
          [(15)] (14) construct, in cooperation with the State 
        of California and in consultation with local interests, 
        a barrier at the head of Old River in the Sacramento-
        San Joaquin Delta to be operated on a seasonal basis to 
        increase the survival of young outmigrating salmon that 
        are diverted from the San Joaquin River to Central 
        Valley Project and State Water Project pumping plants 
        and in a manner that does not significantly impair the 
        ability of local entities to divert water. The costs 
        associated with implementation of this paragraph shall 
        be reimbursed in accordance with the following formula: 
        37.5 percent shall be reimbursed as main project 
        features, 37.5 percent shall be considered a 
        nonreimbursable Federal expenditure, and 25 percent 
        shall be paid by the State of California.
          [(16)] (15) establish, in cooperation with 
        independent entities and the State of California, a 
        comprehensive assessment program to monitor fish and 
        wildlife resources in the Central Valley to assess the 
        biological results and effectiveness of actions 
        implemented pursuant to this subsection. 37.5 percent 
        of the costs associated with implementation of this 
        paragraph shall be reimbursed as main project features, 
        37.5 percent shall be considered a nonreimbursable 
        Federal expenditure, and 25 percent shall be paid by 
        the State of California.
          [(17)] (16) develop and implement a program to 
        resolve fishery passage problems at the Anderson-
        Cottonwood Irrigation District Diversion Dam as well as 
        upstream stranding problems related to Anderson-
        Cottonwood Irrigation District Diversion Dam 
        operations. Costs associated with implementation of 
        this paragraph shall be allocated 50 percent to the 
        United States as a nonreimbursable expenditure and 50 
        percent to the State of California.
          [(18) if requested by the State of California, assist 
        in developing and implementing management measures to 
        restore the striped bass fishery of the Bay-Delta 
        estuary. Such measures shall be coordinated with 
        efforts to protect and restore native fisheries. Costs 
        associated with implementation of this paragraph shall 
        be allocated 50 percent to the United States and 50 
        percent to the State of California. The United States' 
        share of costs associated with implementation of this 
        paragraph shall be nonreimbursable.]
          [(19)] (17) reevaluate existing operational criteria 
        in order to maintain minimum carryover storage at 
        Sacramento and Trinity River reservoirs to protect and 
        restore the anadromous fish of the Sacramento and 
        Trinity Rivers in accordance with the mandates and 
        requirements of this subsection and subject to the 
        Secretary's responsibility to fulfill all project 
        purposes, including agricultural water delivery.
          [(20)] (18) participate with the State of California 
        and other Federal agencies in the implementation of the 
        on-going program to mitigate fully for the fishery 
        impacts associated with operations of the Glenn-Colusa 
        Irrigation District's Hamilton City Pumping Plant. Such 
        participation shall include replacement of the 
        defective fish screens and fish recovery facilities 
        associated with the Hamilton City Pumping Plant. This 
        authorization shall not be deemed to supersede or alter 
        existing authorizations for the participation of other 
        Federal agencies in the mitigation program. Seventy-
        five percent shall be considered a nonreimbursable 
        Federal expenditure, and 25 percent shall be paid by 
        the State of California.
          [(21)] (19) assist the State of California in efforts 
        to develop and implement measures to avoid losses of 
        juvenile anadromous fish resulting from unscreened or 
        inadequately screened diversions on the Sacramento and 
        San Joaquin rivers, their tributaries, the Sacramento-
        San Joaquin Delta, and the Suisun Marsh. Such measures 
        shall include but shall not be limited to construction 
        of screens on unscreened diversions, rehabilitation of 
        existing screens, replacement of existing non-
        functioning screens, and relocation of diversions to 
        less fishery-sensitive areas. The Secretary's share of 
        costs associated with activities authorized under this 
        paragraph shall not exceed 50 percent of the total cost 
        of any such activity.
          [(22)] (20) provide such incentives as the Secretary 
        determines to be appropriate or necessary, consistent 
        with the goals and objectives of this title, to 
        encourage farmers to participate in a program, which 
        the Secretary shall develop, under which such farmers 
        will keep fields flooded during appropriate time 
        periods for the purposes of waterfowl habitat creation 
        and maintenance and for Central Valley Project yield 
        enhancement; Provided, That such incentives shall not 
        exceed $2,000,000 annually, either directly or through 
        credits against other contractual payment obligations, 
        including the pricing waivers authorized under 
        subsection 3405(d) of this tile; Provided further, That 
        the holder of the water contract shall pass such 
        incentives through to farmers participating in the 
        program, less reasonable contractor costs, if any; And 
        provided further, That such water may be transferred 
        subject to section 3405(a) of this title only if the 
        farmer waives all rights to such incentives. This 
        provision shall terminate by the year 2002.
          [(23)] (21) in order to meet Federal trust 
        responsibilities to protect the fishery resources of 
        the Hoopa Valley Tribe, and to meet the fishery 
        restoration goals of the Act of October 24, 1984, 
        Public Law 98-541, provide through the Trinity River 
        Division, for water years 1992 through 1996, an 
        instream release of water to the Trinity River of not 
        less than three hundred and forty thousand acre-feet 
        per year for the purposes of fishery restoration, 
        propagation, and maintenance and,
                  (A) by September 30, 1996, the Secretary, 
                after consultation with the Hoopa Valley Tribe, 
                shall complete the Trinity River Flow 
                Evaluation Study currently being conducted by 
                the United States Fish and Wildlife Service 
                under the mandate of the Secretarial Decision 
                of January 14, 1981, in a manner which insures 
                the development of recommendations, based on 
                the best available scientific data, regarding 
                permanent instream fishery flow requirements 
                and Trinity River Division operating criteria 
                and procedures for the restoration and 
                maintenance of the Trinity River fishery; and
                  (B) not later than December 31, 1996, the 
                Secretary shall forward the recommendations of 
                the Trinity River Flow Evaluation Study, 
                referred to in subparagraph (A) of this 
                paragraph, to the Committee on Energy and 
                Natural Resources and the Select Committee on 
                Indian Affairs of the Senate and the Committee 
                on Interior and Insular Affairs and the 
                Committee on Merchant Marine and Fisheries of 
                the House of Representatives. If the Secretary 
                and the Hoopa Valley Tribe concur in these 
                recommendations, any increase to the minimum 
                Trinity River instream fishery releases 
                established under this paragraph and the 
                operating criteria and procedures referred to 
                in subparagraph (A) shall be implemented 
                accordingly. If the Hoopa Valley Tribe and the 
                Secretary do not concur, the minimum Trinity 
                River instream fishery releases established 
                under this paragraph shall remain in effect 
                unless increased by an Act of Congress, 
                appropriate judicial decree, or agreement 
                between the Secretary and the Hoopa Valley 
                Tribe. Costs associated with implementation of 
                this paragraph shall be reimbursable as 
                operation and maintenance expenditures pursuant 
                to existing law.
If the Secretary and the State of California determine that 
long-term natural fishery productivity in all Central Valley 
Project controlled rivers and streams resulting from 
implementation of this section exceeds that which existed in 
the absence of Central Valley Project facilities, the costs of 
implementing those measures which are determined to provide 
such enhancement shall become credits to offset reimbursable 
costs associated with implementation of this subsection.
  (c) San Joaquin and Stanislaus Rivers.--The Secretary shall, 
by not later than September 30, 1996:
          (1) develop a comprehensive plan, which is 
        reasonable, prudent, and feasible, to address fish, 
        wildlife, and habitat concerns on the San Joaquin 
        River, including but not limited to the streamflow, 
        channel, riparian habitat, and water quality 
        improvements that would be needed to reestablish where 
        necessary and to sustain naturally reproducing 
        anadromous fisheries from Friant Dam to its confluence 
        with the San Francisco Bay/Sacramento-San Joaquin Delta 
        Estuary. Such plan shall be developed in cooperation 
        with the California Department of Fish and Game and in 
        coordination with the San Joaquin River Management 
        Program under development by the State of California; 
        shall comply with and contain any documents required by 
        the National Environmental Policy Act and contain 
        findings setting forth the basis for the Secretary's 
        decision to adopt and implement the plan as well as 
        recommendations concerning the need for subsequent 
        Congressional action, if any; and shall incorporate, 
        among other relevant factors, the potential 
        contributions of tributary streams as well as the 
        alternatives to be investigated under paragraph (2) of 
        this subsection. During the time that the Secretary is 
        developing the plan provided for in this subsection, 
        and until such time as Congress has authorized the 
        Secretary to implement such plan, with or without 
        modifications, the Secretary shall not, as a measure to 
        implement this title, make releases for the restoration 
        of flows between Gravelly Ford and the Mendota Pool and 
        shall not thereafter make such releases as a measure to 
        implement this title without a specific Act of Congress 
        authorizing such releases. In lieu of such requirement, 
        and until such time as flows of sufficient quantity, 
        quality and timing are provided at and below Gravelly 
        Ford to meet the anadromous fishery needs identified 
        pursuant to such plan, if any, entities who receive 
        water from the Friant Division of the Central Valley 
        Project shall be assessed, in addition to all other 
        applicable charges, a $4 per acre-foot surcharge for 
        all Project water delivered on or before September 30, 
        1997; a $5 per acre-foot surcharge for all Project 
        water delivered after September 30, 1997 but on or 
        before September 30, 1999; and a $7 per acre-foot 
        surcharge for all Project water delivered thereafter, 
        to be covered into the Restoration Fund.
          (2) in the course of preparing the Stanislaus River 
        Basin and Calaveras River Water Use Program 
        Environmental Impact Statement and in consultation with 
        the State of California, affected counties, and other 
        interests, evaluate and determine existing and 
        anticipated future basin needs in the Stanislaus River 
        Basin. In the course of such evaluation, the Secretary 
        shall investigate alternative storage, release, and 
        delivery regimes, including but not limited to 
        conjunctive use operations, conservation strategies, 
        exchange arrangements, and the use of base and channel 
        maintenance flows, in order to best satisfy both basin 
        and out-of-basin needs consistent, on a continuing 
        basis, with the limitations and priorities established 
        in the Act of October 23, 1962 (76 Stat. 173). For the 
        purposes of this subparagraph, ``basin needs'' shall 
        include water supply for agricultural, municipal and 
        industrial uses, and maintenance and enhancement of 
        water quality, and fish and wildlife resources within 
        the Stanislaus River Basin as established by the 
        Secretary's June 29, 1981 Record of Decision; and 
        ``out-of-basin'' needs shall include all such needs 
        outside of the Stanislaus River Basin, including those 
        of the San Francisco Bay/Sacramento-San Joaquin Delta 
        Estuary and those of the San Joaquin River under 
        paragraph (1) of this subsection.
  (d) Central Valley Refuges and Wildlife Habitat Areas.--In 
support of the objectives of the Central Valley Habitat Joint 
Venture and in furtherance of the purposes of this title, the 
Secretary shall provide, either directly or through contractual 
agreements with other appropriate parties, firm water supplies 
of suitable quality to maintain and improve wetland habitat 
areas on units of the National Wildlife Refuge System in the 
Central Valley of California; on the Gray Lodge, Los Banos, 
Volta, North Grasslands, and Mendota state wildlife management 
areas; and on the Grasslands Resources Conservation District in 
the Central Valley of California.
          (1) Upon enactment of this title, the quantity and 
        delivery schedules of water measured at the boundaries 
        of each wetland habitat area described in this 
        paragraph shall be in accordance with level 2 of the 
        ``Dependable Water Supply Needs'' table for those 
        habitat areas as set forth in the Refuge Water Supply 
        Report and two-thirds of the water supply needed for 
        full habitat development for those habitat areas 
        identified in the San Joaquin Basin Action Plan/
        Kesterson Mitigation Action Plan Report prepared by the 
        Bureau of Reclamation. Such water shall be provided 
        through long-term contractual agreements with 
        appropriate parties and shall be supplemented by the 
        increment of water provided for in paragraph (1) of 
        this subsection; Provided, That the Secretary shall be 
        obligated to provide such water whether or not such 
        long-term contractual agreements are in effect. In 
        implementing this paragraph, the Secretary shall 
        endeavor to diversify sources of supply in order to 
        minimize possible adverse effects upon Central Valley 
        Project contractors.
          (2) Not later than ten years after enactment of this 
        title, the quantity and delivery schedules of water 
        measured at the boundaries of each wetland habitat area 
        described in this paragraph shall be in accordance with 
        level 4 of the ``Dependable Water Supply Needs'' table 
        for those habitat areas as set forth in the Refuge 
        Water Supply Report and the full water supply needed 
        for full habitat development for those habitat areas 
        identified in the San Joaquin Basin Action Plan/
        Kesterson Mitigation Action Plan Report prepared by the 
        Bureau of Reclamation. The quantities of water required 
        to supplement the quantities provided under paragraph 
        (1) of this subsection shall be acquired by the 
        Secretary in cooperation with the State of California 
        and in consultation with the Central Valley Habitat 
        Joint Venture and other interests in cumulating 
        increments of not less than ten percent per annum 
        through voluntary measures which include water 
        conservation, conjunctive use, purchase, lease, 
        donations, or similar activities, or a combination of 
        such activities which do not require involuntary 
        reallocations of project yield.
          (3) All costs associated with implementation of 
        paragraph (1) of this subsection shall be reimbursable 
        pursuant to existing law. Incremental costs associated 
        with implementation of paragraph (2) of this subsection 
        shall be fully allocated in accordance with the 
        following formula: 75 percent shall be deemed a 
        nonreimbursable Federal expenditure; and 25 percent 
        shall be allocated to the State of California for 
        recovery through direct reimbursements or through 
        equivalent in-kind contributions.
          (4) The Secretary may temporarily reduce deliveries 
        of the quantity of water dedicated under paragraph (1) 
        of this subsection up to 25 percent of such total 
        whenever reductions due to hydrologic circumstances are 
        imposed upon agricultural deliveries of Central Valley 
        Project water; Provided, That such reductions shall not 
        exceed in percentage terms the reductions imposed on 
        agricultural service contractors. For the purpose of 
        shortage allocation, the priority or priorities 
        applicable to the increment of water provided under 
        paragraph (2) of this subsection shall be the priority 
        or priorities which applied to the water in question 
        prior to its transfer to the purpose of providing such 
        increment.
          (5) The Secretary is authorized and directed to 
        construct or to acquire from non-Federal entities such 
        water conveyance facilities, conveyance capacity, and 
        wells as are necessary to implement the requirements of 
        this subsection; Provided, That such authorization 
        shall not extend to conveyance facilities in or around 
        the Sacramento-San Joaquin Delta Estuary. Associated 
        construction or acquisition costs shall be reimbursable 
        pursuant to existing law in accordance with the cost 
        allocations set forth in paragraph (3) of this 
        subsection.
          (6) The Secretary, in consultation with the State of 
        California, the Central Valley Habitat Joint Venture, 
        and other interests, shall investigate and report on 
        the following supplemental actions by not later than 
        September 30, 1997:
                  (A) alternative means of improving the 
                reliability and quality of water supplies 
                currently available to privately owned wetlands 
                in the Central Valley and the need, if any, for 
                additional supplies; and
                  (B) water supply and delivery requirements 
                necessary to permit full habitat development 
                for water dependent wildlife on one hundred and 
                twenty thousand acres supplemental to the 
                existing wetland habitat acreage identified in 
                Table 8 of the Central Valley Habitat Joint 
                Venture's ``Implementation Plan'' dated April 
                19, 1990, as well as feasible means of meeting 
                associated water supply requirements.
  (e) Supporting Investigations.--Not later than five years 
after the date of enactment of this title, the Secretary shall 
investigate and provide recommendations to the Committee on 
Energy and Natural Resources of the Senate and the Committees 
on Interior and Insular Affairs and Merchant Marine and 
Fisheries of the House on the feasibility, cost, and 
desirability of developing and implementing each of the 
following, including, but not limited to, the impact on the 
project, its users, and the State of California:
          (1) measures to maintain suitable temperatures for 
        anadromous fish survival in the Sacramento and San 
        Joaquin rivers and their tributaries, and the 
        Sacramento-San Joaquin Delta by controlling or 
        relocating the discharge of irrigation return flows and 
        sewage effluent, and by restoring riparian forests;
          (2) opportunities for additional hatchery production 
        to mitigate the impacts of water development and 
        operations on, or enhance efforts to increase Central 
        Valley fisheries; Provided, That additional hatchery 
        production shall only be used to supplement or to re-
        establish natural production while avoiding adverse 
        effects on remaining wild stocks;
          (3) measures to eliminate barriers to upstream and 
        downstream migration of salmonids in the Central 
        Valley, including but not limited to screening 
        programs, barrier removal programs and programs for the 
        construction or rehabilitation of fish ladders on 
        tributary streams;
          (4) installation and operation of temperature control 
        devices at Trinity Dam and Reservoir to assist in the 
        Secretary's efforts to conserve cold water for fishery 
        protection purposes;
          (5) measures to provide for modified operations and 
        new or improved control structures at the Delta Cross 
        Channel and Georgiana Slough to assist in the 
        successful migration of anadromous fish; and
          (6) other measures which the Secretary determines 
        would protect, restore, and enhance natural production 
        of salmon and steelhead trout in tributary streams of 
        the Sacramento and San Joaquin Rivers, including but 
        not limited to the Merced, Mokulumne, and Calaveras 
        Rivers and Battle, Butte, Deer, Elder, Mill, and Thomes 
        Creeks.
  (f) Report on Project Fishery Impacts.--The Secretary, in 
consultation with the Secretary of Commerce, the State of 
California, appropriate Indian tribes, and other appropriate 
public and private entities, shall investigate and report on 
all effects of the Central Valley Project on anadromous fish 
populations and the fisheries, communities, tribes, businesses 
and other interests and entities that have now or in the past 
had significant economic, social or cultural association with 
those fishery resources. The Secretary shall provide such 
report to the Committee on Energy and Natural Resources of the 
Senate and the Committees on Interior and Insular Affairs and 
Merchant Marine and Fisheries of the House of Representatives 
not later than two years after the date of enactment of this 
title.
  (g) Ecosystem and Water System Operations Models.--The 
Secretary, in cooperation with the State of California and 
other relevant interests and experts, shall develop readily 
usable and broadly available models and supporting data to 
evaluate the ecologic and hydrologic effects of existing and 
alternative operations of public and private water facilities 
and systems in the Sacramento, San Joaquin, and Trinity River 
watersheds. The primary purpose of this effort shall be to 
support the Secretary's efforts in fulfilling the requirements 
of this title through improved scientific understanding 
concerning, but not limited to, the following:
          (1) a comprehensive water budget of surface and 
        groundwater supplies, considering all sources of inflow 
        and outflow available over extended periods;
          (2) related water quality conditions and improvement 
        alternatives, including improved temperature prediction 
        capabilities as they relate to storage and flows;
          (3) surface-ground and stream-wetland interactions;
          (4) measures needed to restore anadromous fisheries 
        to optimum and sustainable levels in accordance with 
        the restored carrying capacities of Central Valley 
        rivers, streams, and riparian habitats;
          (5) development and use of base flows and channel 
        maintenance flows to protect and restore natural 
        channel and riparian habitat values;
          (6) implementation of operational regimes at State 
        and Federal facilities to increase springtime flow 
        releases, retain additional floodwaters, and assist in 
        restoring both upriver and downriver riparian habitats;
          (7) measures designed to reach sustainable harvest 
        levels of resident and anadromous fish, including 
        development and use of systems of tradeable harvest 
        rights;
          (8) opportunities to protect and restore wetland and 
        upland habitats throughout the Central Valley; and
          (9) measures to enhance the firm yield of existing 
        Central Valley Project facilities, including improved 
        management and operations, conjunctive use 
        opportunities, development of offstream storage, levee 
        setbacks, and riparian restoration.
All studies and investigations shall take into account and be 
fully consistent with the fish, wildlife, and habitat 
protection and restoration measures required by this title or 
by any other State or Federal law. Seventy-five percent of the 
costs associated with implementation of this subsection shall 
be borne by the United States as a nonreimbursable cost; the 
remaining 25 percent shall be borne by the State of California.
  (h) The Secretary shall enter into a binding cost-share 
agreement with the State of California with respect to the 
timely reimbursement of costs allocated to the State in this 
title. Such agreement shall provide for consideration of the 
value of direct reimbursements, specific contributions to the 
Restoration Fund, and water, conveyance capacity, or other 
contributions in-kind that would supplement existing programs 
and that would, as determined by the Secretary, materially 
contribute to attainment of the goals and objectives of this 
title.

SEC. 3407. RESTORATION FUND.

  (a) Restoration Fund Established.--There is hereby 
established in the Treasury of the United States the ``Central 
Valley Project Restoration Fund'' (hereafter ``Restoration 
Fund'') which shall be available for deposit of donations from 
any source and revenues provided under sections 3404(c)(3), 
3405(f), 3406(c)(1), and 3407(d) of this title. Amounts 
deposited shall be credited as offsetting collections. Not less 
than 67 percent of all funds made available to the Restoration 
Fund under this title are authorized to be appropriated to the 
Secretary to carry out the habitat restoration, improvement and 
acquisition (from willing sellers) provisions of this title. 
Not more than 33 percent of all funds made available to the 
Restoration Fund under this title are authorized to be 
appropriated to the Secretary to carry out the provisions of 
paragraphs 3406(b)(4)-(6), [(10)-(18), and (20)-(22)] (10)-
(16), and (18)-(20) of this title. Monies donated to the 
Restoration Fund by non-Federal entities for specific purposes 
shall be expended for those purposes only and shall not be 
subject to appropriation.
  (b) Authorization of Appropriations.--Such sums as are 
necessary, up to $50,000,000 per year (October 1992 price 
levels), are authorized to be appropriated to the Secretary to 
be derived from the Restoration Fund to carry out programs, 
projects, plans, and habitat restoration, improvement, and 
acquisition provisions of this title. Any funds paid into the 
Restoration Fund by Central Valley Project water and power 
contractors and which are also used to pay for the projects and 
facilities set forth in section 3406(b), shall act as an offset 
against any water and power contractor cost share obligations 
that are otherwise provided for in this title.
  (c) Mitigation and Restoration Payments by Water and Power 
Beneficiaries.--
          (1) To the extent required in appropriation Acts, the 
        Secretary shall assess and collect additional annual 
        mitigation and restoration payments, in addition to the 
        charges provided for or collected under sections 
        3404(c)(3), 3405(a)(1)(C), 3405(f), and 3406(c)(1) of 
        this title, consisting of charges to direct 
        beneficiaries of the Central Valley Project under 
        subsection (d) of this section in order to recover a 
        portion or all of the costs of fish, wildlife, and 
        habitat restoration programs and projects under this 
        title.
          (2) The payment described in this subsection shall be 
        established at amounts that will result in collection, 
        during each fiscal year, of an amount that can be 
        reasonably expected to equal the amount appropriated 
        each year, subject to subsection (d) of this section, 
        and in combination with all other receipts identified 
        under this title, to carry out the purposes identified 
        in subsection (b) of this section; Provided, That, if 
        the total amount appropriated under subsection (b) of 
        this section for the fiscal years following enactment 
        of this title does not equal $50,000,000 per year 
        (October 1992 price levels) on an average annual basis, 
        the Secretary shall impose such charges in fiscal year 
        1998 and in each fiscal year thereafter, subject to the 
        limitations in subsection (d) of this section, as may 
        be required to yield in fiscal year 1998 and in each 
        fiscal year thereafter total collections equal to 
        $50,000,000 per year (October 1992 price levels) on a 
        three-year rolling average basis for each fiscal year 
        that follows enactment of this title.
  (d) Adjustment and Assessment of Mitigation and Restoration 
Payments.--
          (1) In assessing the annual payments to carry out 
        subsection (c) of this section, the Secretary shall, 
        prior to each fiscal year, estimate the amount that 
        could be collected in each fiscal year pursuant to 
        subparagraphs 2(A) and (B) of this subsection. The 
        Secretary shall decrease all such payments on a 
        proportionate basis from amounts contained in the 
        estimate so that an aggregate amount is collected 
        pursuant to the requirements of paragraph (c)(2) of 
        this section.
          (2) The Secretary shall assess and collect the 
        following mitigation and restoration payments, to be 
        covered to the Restoration Fund, subject to the 
        requirements of paragraph (1) of this subsection:
                  (A) The Secretary shall require Central 
                Valley Project water and power contractors to 
                make such additional annual payments as are 
                necessary to yield, together with all other 
                receipts, the amount required under paragraph 
                (c)(2) of this subsection; Provided, That such 
                additional payments shall not exceed 
                $30,000,000 (October 1992 price levels) on a 
                three-year rolling average basis; Provided 
                further, That such additional annual payments 
                shall be allocated so as not to exceed $6 per 
                acre-foot (October 1992 price levels) for 
                agricultural water sold and delivered by the 
                Central Valley Project, and $12 per acre-foot 
                (October 1992 price levels) for municipal and 
                industrial water sold and delivered by the 
                Central Valley Project; Provided further, That 
                the charge imposed on agricultural water shall 
                be reduced, if necessary, to an amount within 
                the probable ability of the water users to pay 
                as determined and adjusted by the Secretary no 
                less than every five years, taking into account 
                the benefits resulting from implementation of 
                this title; Provided further, That the 
                Secretary shall impose an additional annual 
                charge of $25 per acre-foot (October 1992 price 
                levels) for Central Valley Project water sold 
                or transferred to any State or local agency or 
                other entity which has not previously been a 
                Central Valley Project customer and which 
                contracts with the Secretary or any other 
                individual or district receiving Central Valley 
                Project water to purchase or otherwise transfer 
                any such water for its own use for municipal 
                and industrial purposes, to be deposited in the 
                Restoration Fund; And Provided further, That 
                upon the completion of the fish, wildlife, and 
                habitat mitigation and restoration actions 
                mandated under section 3406 of this title, the 
                Secretary shall reduce the sums described in 
                paragraph (c)(2) of this section to $35,000,000 
                per year (October 1992 price levels) and shall 
                reduce the annual mitigation and restoration 
                payment ceiling established under this 
                subsection to $15,000,000 (October 1992 price 
                levels) on a three-year rolling average basis. 
                The amount of the mitigation and restoration 
                payment made by Central Valley Project water 
                and power users, taking into account all funds 
                collected under this title, shall, to the 
                greatest degree practicable, be assessed in the 
                same proportion, measured over a ten-year 
                rolling average, as water and power users' 
                respective allocations for repayment of the 
                Central Valley Project.
  (e) Funding to Non-Federal Entities.--If the Secretary 
determines that the State of California or an agency or 
subdivision thereof, an Indian tribe, or a nonprofit entity 
concerned with restoration, protection, or enhancement of fish, 
wildlife, habitat, or environmental values is able to assist in 
implementing any action authorized by this title in an 
efficient, timely, and cost effective manner, the Secretary is 
authorized to provide funding to such entity on such terms and 
conditions as he deems necessary to assist in implementing the 
identified action.
  (f) Restoration Fund Financial Reports.--The Secretary shall, 
not later than the first full fiscal year after enactment of 
this title, and annually thereafter, submit a detailed report 
to the Committee on Energy and Natural Resources and the 
Committee on Appropriations of the Senate, and the Committee on 
Interior and Insular Affairs, the Committee on Merchant Marine 
and Fisheries, and the Committee on Appropriations of the House 
of Representatives. Such report shall describe all receipts to 
and uses made of monies within the Restoration Fund and the 
Restoration Account during the prior fiscal year and shall 
include the Secretary's projection with respect to receipts to 
and uses to be made of the finds during the next upcoming 
fiscal year.

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