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115th Congress   }                                           {    Report
                          HOUSE OF REPRESENTATIVES
 1st Session     }                                           {   115-230

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



 
              ENERGY AND WATER DEVELOPMENT APPROPRIATIONS

                                _______
                                

July 17, 2017.--Committed to the Whole House on the State of the Union 
                       and ordered to be printed

                                _______
                                

          Mr. Simpson, from the Committee on Appropriations, 
                        submitted the following

                              R E P O R T

                             together with

                            ADDITIONAL VIEWS

                        [To accompany H.R. 3266]

    The Committee on Appropriations submits the following 
report in explanation of the accompanying bill making 
appropriations for energy and water development for the fiscal 
year ending September 30, 2018, and for other purposes.

                        INDEX TO BILL AND REPORT

_______________________________________________________________________


                                                            Page Number

                                                            Bill Report
Introduction...............................................
                                                                      5
I. Department of Defense--Civil:                                2
                                                                     11
        Corps of Engineers--Civil..........................     2
                                                                     11
                Investigations.............................     2
                                                                     18
                Construction...............................     3
                                                                     25
                Mississippi River and Tributaries..........     5
                                                                     31
                Operation and Maintenance..................     5
                                                                     34
                Regulatory Program.........................     7
                                                                     58
                Formerly Utilized Sites Remedial Action 
                    Program................................     7
                                                                     59
                Flood Control and Coastal Emergencies......     7
                                                                     59
                Expenses...................................     7
                                                                     59
                Office of the Assistant Secretary of the 
                    Army (Civil Works).....................     8
                                                                     60
        General Provisions.................................     9
                                                                     61
II. Department of the Interior:                                14
                                                                     61
        Central Utah Project...............................    14
                                                                     61
                Central Utah Project Completion Account....    14
                                                                     61
        Bureau of Reclamation:.............................    14
                                                                     62
                Water and Related Resources................    15
                                                                     63
                Central Valley Project Restoration Fund....    16
                                                                     73
                California Bay-Delta Restoration...........    17
                                                                     74
                Policy and Administration..................    17
                                                                     74
        General Provisions.................................    18
                                                                     75
III. Department of Energy:                                     21
                                                                     75
        Introduction.......................................
                                                                     75
        Committee Recommendations..........................
                                                                     75
        Energy Programs:                                       21
                                                                     80
                Energy Efficiency and Renewable Energy.....    21
                                                                     80
                Electricity Delivery and Energy Reliability    22
                                                                     86
                Nuclear Energy.............................    22
                                                                     87
                Fossil Energy Research and Development.....    23
                                                                     88
                Naval Petroleum and Oil Shale Reserves.....    23
                                                                     91
                Strategic Petroleum Reserve................    24
                                                                     91
                Northeast Home Heating Oil Reserve.........    24
                                                                     92
                Energy Information Administration..........    25
                                                                     92
                Non-Defense Environmental Cleanup..........    25
                                                                     92
                Uranium Enrichment Decontamination and 
                    Decommissioning Fund...................    25
                                                                     93
                Science....................................    26
                                                                     93
                Nuclear Waste Disposal.....................    26
                                                                     97
                Title 17 Innovative Technology Loan 
                    Guarantee Program......................    29
                                                                     97
                Advanced Technology Vehicles Manufacturing 
                    Loan Program...........................    30
                                                                     98
                Tribal Energy Loan Guarantee Program.......    31
                                                                     98
                Departmental Administration................    31
                                                                     98
                Office of the Inspector General............    32
                                                                    100
        Atomic Energy Defense Activities:                      32
                                                                    100
        National Nuclear Security Administration:              32
                                                                    101
                Weapons Activities.........................    32
                                                                    101
                Defense Nuclear Nonproliferation...........    33
                                                                    106
                Naval Reactors.............................    34
                                                                    109
                Federal Salaries and Expenses..............    34
                                                                    109
        Environmental and Other Defense Activities:            34
                                                                    110
                Defense Environmental Cleanup..............    34
                                                                    110
                Other Defense Activities...................    35
                                                                    112
                Defense Nuclear Waste Disposal.............    35
                                                                    113
        Power Marketing Administrations:                       36
                                                                    113
                Bonneville Power Administration............    36
                                                                    114
                Southeastern Power Administration..........    36
                                                                    114
                Southwestern Power Administration..........    37
                                                                    115
                Western Area Power Administration..........    39
                                                                    115
                Falcon and Amistad Operating and 
                    Maintenance Fund.......................    40
                                                                    115
        Federal Energy Regulatory Commission...............    42
                                                                    116
        Committee Recommendation...........................
                                                                    116
        General Provisions.................................    43
                                                                    150
IV. Independent Agencies:                                      51
                                                                    151
        Appalachian Regional Commission....................    51
                                                                    151
        Defense Nuclear Facilities Safety Board............    51
                                                                    151
        Delta Regional Authority...........................    52
                                                                    152
        Denali Commission..................................    52
                                                                    152
        Northern Border Regional Commission................    53
                                                                    152
        Southeast Crescent Regional Commission.............    53
                                                                    153
        Nuclear Regulatory Commission......................    53
                                                                    153
        Nuclear Waste Technical Review Board...............    56
                                                                    156
        General Provisions.................................    56
                                                                    156
V. General Provisions                                          58
                                                                    156
House of Representatives Report Requirements...............
                                                                    157
Additional Views...........................................
                                                                    181

                SUMMARY OF ESTIMATES AND RECOMMENDATIONS

    The Committee has considered budget estimates, which are 
contained in the Budget of the United States Government, Fiscal 
Year 2018. The following table summarizes appropriations for 
fiscal year 2017, the budget estimates, and amounts recommended 
in the bill for fiscal year 2018.


                              INTRODUCTION

    The Energy and Water Development Appropriations bill for 
fiscal year 2018 totals $37,562,000,000, $209,000,000 below the 
amount appropriated in fiscal year 2017 and $3,240,861,000 
above the budget request. Total defense funding is 
$20,456,000,000, $500,000,000 above the amount appropriated in 
fiscal year 2017 and $139,298,000 below the budget request. 
Total non-defense funding is $17,106,000,000, $709,000,000 
below the amount appropriated in fiscal year 2017 and 
$3,380,159,000 above the budget request.
    Title I of the bill provides $6,157,764,000 for the Civil 
Works programs of the U.S. Army Corps of Engineers, 
$120,000,000 above fiscal year 2017 and $1,155,764,000 above 
the budget request. Total funding for activities eligible for 
reimbursement from the Harbor Maintenance Trust Fund is 
estimated at $1,340,000,000, which is an increase of 
$40,000,000 above fiscal year 2017 and $375,000,000 above the 
budget request. The bill makes use of all estimated annual 
revenues from the Inland Waterways Trust Fund.
    Title II provides $1,238,149,000 for the Department of the 
Interior and the Bureau of Reclamation, $78,851,000 below 
fiscal year 2017 and $131,773,000 above the budget request. The 
Committee recommends $1,229,166,000 for the Bureau of 
Reclamation, $77,334,000 below fiscal year 2017 and 
$131,773,000 above the budget request. The Committee recommends 
$8,983,000 for the Central Utah Project, $1,517,000 below 
fiscal year 2017 and the same as the budget request.
    Title III provides $29,888,401,000 for the Department of 
Energy, $857,608,000 below fiscal year 2017 and $2,017,804,000 
above the budget request. Funding for the National Nuclear 
Security Administration (NNSA), which includes nuclear weapons 
activities, defense nuclear nonproliferation, naval reactors, 
and federal salaries and expenses, is $13,914,400,000, 
$976,148,000 above fiscal year 2017 and $16,600,000 below the 
budget request.
    Funding for energy programs within the Department of 
Energy, which includes basic science research and the applied 
energy programs, is $9,609,001,000, $1,674,689,000 below fiscal 
year 2017 and $2,098,102,000 above the budget request. The 
Committee recommends $5,392,000,000 for the Office of Science, 
$1,103,908,000 for Energy Efficiency and Renewable Energy, 
$969,000,000 for Nuclear Energy, and $634,600,000 for Fossil 
Energy. No funds are provided for the Advanced Research 
Projects Agency--Energy.
    Environmental management activities--non-defense 
environmental cleanup, uranium enrichment decontamination and 
decommissioning, and defense environmental cleanup--are funded 
at $6,395,400,000, $24,600,000 below fiscal year 2017 and 
$112,935,000 below the budget request.
    The net amount appropriated for the Power Marketing 
Administrations is provided at the requested levels.
    Title IV provides $357,062,000 for several Independent 
Agencies, $7,835,000 above fiscal year 2017 and $147,520,000 
above the budget request. Net funding for the Nuclear 
Regulatory Commission is $161,612,000, $49,107,000 above fiscal 
year 2017 and $23,580,000 above the budget request.

                     Overview of the Recommendation

    The Committee recommendation prioritizes the most critical 
inherently federal responsibilities of this bill: the national 
defense, the maintenance of our nation's waterways, and 
ensuring the resilience and security of our electricity 
infrastructure. Strong support is included for basic science 
programs, which provide the foundation for the new energy 
technologies that are vital to maintaining our global 
competitiveness and ensuring our country's long-term 
prosperity, but that are often too high-risk to receive the 
attention of the private sector. In contrast, the 
recommendation provides limited resources for the applied 
energy research and development activities with the greatest 
opportunity for private sector backing. The recommendation also 
recognizes the importance of the federal government's 
responsibility to dispose of nuclear waste and clean up the 
legacy of five decades of nuclear weapons production and 
government-sponsored nuclear energy research.

                       National Defense Programs

    As in previous years, the Committee considers the national 
defense programs run by the National Nuclear Security 
Administration (NNSA) to be the Department of Energy's top 
priority. The recommendation strongly supports the Department's 
proposals to modernize the nuclear weapons stockpile, increase 
investment in the NNSA's infrastructure, prevent the 
proliferation of nuclear materials, and provide for the needs 
of the naval nuclear propulsion program.

                     Investments in Infrastructure

    The water resource infrastructure funded by the 
recommendation is a critical component of ensuring a robust 
national economy and of supporting American competitiveness in 
international markets. The Corps is responsible for keeping our 
federal waterways open for business. The Corps also has been 
instrumental in reducing the risk of flooding for public 
safety, businesses, and much of this country's food-producing 
lands. The Bureau of Reclamation supplies reliable water to 
approximately ten percent of the country's population and to 
much of its fertile agricultural lands. Both agencies make 
significant contributions to national electricity production 
through hydropower facilities.
    The U.S. marine transportation industry supports 
$2,000,000,000,000 in commerce and creates employment for more 
than 13 million people. As the agency responsible for our 
nation's federal waterways, the Corps maintains 1,067 harbors 
and 25,000 miles of commercial channels serving 40 states. The 
maintenance of these commercial waterways is directly tied to 
the ability of this country to ship its manufactured and bulk 
products, as well as to compete with the ports of neighboring 
countries for the business of ships arriving from around the 
world. As a primary supporter of America's waterway 
infrastructure, the Corps is ensuring that the nation has the 
tools to maintain a competitive edge in the global market. This 
recommendation makes key changes to the budget request to 
ensure that the Corps has the resources to continue to support 
America's shipping infrastructure.
    The flood protection infrastructure that the Corps builds 
or maintains reduces the risk of flooding to people, 
businesses, and other public infrastructure investments. In 
fact, the average annual damages prevented by Corps projects 
over fiscal years 2007-2016 was $67,600,000,000. Between 1928 
and 2016, each inflation-adjusted dollar invested in these 
projects prevented $8.91 in damages. The properties and 
investments protected by the Corps infrastructure would often 
be flooded without that infrastructure, destroying homes, 
businesses, and many valuable acres of cropland.
    The Bureau of Reclamation's water infrastructure is a 
critical component of the agricultural productivity of this 
country. These facilities deliver water to one of every five 
western farmers resulting in approximately 10 million acres of 
irrigated land that produces 60 percent of the nation's 
vegetables and 25 percent of its fruits and nuts. Additionally, 
these facilities deliver water to more than 31 million people 
for municipal, rural, and industrial uses. Without these dams 
and water supply facilities, American agricultural producers in 
the West would not be able to access reliable, safe water for 
their families and their businesses and many municipal and 
industrial users would face critical water shortages.
    The Corps and Reclamation are the nation's largest and 
second largest producers of hydropower, respectively. Combined 
these federal hydropower facilities generate approximately 115 
billion kilowatt-hours annually. Gross revenues from the sale 
of this power reach nearly $6,000,000,000 annually.

                         National Energy Policy

    The Department of Energy and its National Laboratory system 
have helped to lay the foundation for the technological 
advances driving the energy market today. Production 
breakthroughs for every energy generation source can trace 
their origins back to research and development supported by the 
Department. As the energy market continues to change, the 
Department's support for foundational research and development 
in all energy sources remains critical. The President's budget 
request proposes a shift away from later stage research and 
development activities to refocus the Department on an early 
stage research and development mission. The Committee is 
appreciative of the Department's efforts to focus on early 
stage research and development and begins a gradual approach to 
achieve this goal.
    The Committee provides funding in support of an all of the 
above energy strategy designed to take advantage and utilize 
all sources of American-made energy. Funding for fossil and 
nuclear sources, which provide 84 percent of all electricity 
generated in the nation, is targeted to ensure the safe and 
efficient use of the nation's critical baseload energy 
generation sources. Funding for renewable energy sources, which 
provide 15 percent of the nation's electricity, supports 
continued investments in research and development to advance 
technological innovations. This strategy provides the correct 
balance to enable full use of our nation's abundant fossil 
resources while laying the foundation for developing future 
energy sources.
    The success of these innovations depends on a reliable and 
resilient electric grid infrastructure. The nation's electric 
grid was built to handle a different energy reality than the 
one we face today. Weather events, cyberattacks, and an 
increasing diversity of energy sources must be addressed to 
guarantee the continued operation of the electric grid. The 
Committee provides strong support to ensure the nation's 
electric grid remains secure.
    The Committee continues its long-standing support for the 
investment of taxpayer funds across the spectrum of all energy 
technologies. A national energy policy can only be successful 
if it maintains stability while planning for long-term 
strategic goals of energy security, independence, and 
prosperity for the nation. The Committee makes strategic 
choices, recommending a balanced approach to advancing research 
and development in all energy technologies and supporting a 
robust electric grid.

                        CONGRESSIONAL DIRECTION

    Program, Project, or Activity.--The term program, project, 
or activity shall include the most specific level of budget 
items identified in the Energy and Water Development and 
Related Agencies Appropriations Act, 2018 and the Committee 
report accompanying this Act.
    Performance Measures.--The Committee directs each of the 
agencies funded by this Act to comply with title 31 of the 
United States Code including the development of their 
organizational priority goals and outcomes such as performance 
outcome measures, output measures, efficiency measures, and 
customer service measures.
    Offsetting Collections.--The Committee directs each of the 
agencies funded by this Act to continue to report any funds 
derived by the agency from non-federal sources, including user 
charges and fines that are authorized by law, to be retained 
and used by the agency or credited as an graphic in annual 
budget submissions.
    Regional Councils.--The Committee encourages all federal 
agencies to consider including regional councils and councils 
of government as eligible entities in competitions for federal 
funding when local governments or non-profit agencies are 
eligible.
    Digital Accountability and Transparency Act.--The Committee 
supports the requirements of the Digital Accountability and 
Transparency Act of 2014 as identified in the budget request.

                    Committee Oversight Initiatives

    The highest priority mission of any federal agency is to be 
an effective steward of taxpayer dollars. Any waste, fraud, or 
abuse of taxpayer dollars is unacceptable. The Committee uses 
hearings, reviews by the Government Accountability Office, the 
Committee on Appropriations' Surveys and Investigations staff, 
and its annual appropriations Act, including the accompanying 
report, to promote strong oversight of the agencies under its 
jurisdiction, with an emphasis on the U.S. Army Corps of 
Engineers, the Bureau of Reclamation, and the Department of 
Energy.
    The recommendation continues the Committee's responsibility 
to conduct in-depth oversight into all activities funded in 
this bill. Each agency shall designate a specific point of 
contact to track each report required in the bill and ensure 
its timely production and delivery.
    A summary of the major oversight efforts in the bill is 
provided below:

------------------------------------------------------------------------
              Agency/Account                         Requirement
------------------------------------------------------------------------
Energy and Water..........................  Direction on performance
                                             measures
Army Corps of Engineers...................  Direction on projects under
                                             the larger capital program
Army Corps of Engineers...................  Direction on Principles and
                                             Guidelines
Army Corps of Engineers...................  Guidance on ratings systems
                                             for allocating additional
                                             funds
Army Corps of Engineers...................  Direction on 2018 work plan
                                             submission
Army Corps of Engineers...................  Direction on new starts
Army Corps of Engineers...................  Direction on work related to
                                             Asian Carp
Army Corps of Engineers/Investigations....  Direction on management of
                                             the planning program
Army Corps of Engineers/Investigations....  Guidance on specific studies
Army Corps of Engineers/Investigations....  Guidance on allocating
                                             additional funding
Army Corps of Engineers/Investigations....  Notification requirement for
                                             transfer of certain
                                             facilities
Army Corps of Engineers/Investigations....  Report on SMART planning
Army Corps of Engineers/Construction......  Guidance on allocating
                                             additional funding
Army Corps of Engineers/Construction......  Direction on management of
                                             the Continuing Authorities
                                             Program
Army Corps of Engineers/Mississippi River.  Guidance on allocating
                                             additional funding
Army Corps of Engineers/Mississippi River.  Direction on Mississippi
                                             River Commission costs
Army Corps of Engineers/Operation and       Guidance on allocating
 Maintenance.                                additional funding
Army Corps of Engineers/Operation and       Report on section 408
 Maintenance.                                reviews
Army Corps of Engineers/FUSRAP............  Guidance on investigation
                                             and study at former
                                             Sylvania site
Army Corps of Engineers/Expenses..........  Direction on alternative
                                             financing
Army Corps of Engineers/General Provisions  Reprogramming requirements
Army Corps of Engineers/General Provisions  Restriction on use of
                                             continuing contracts
Army Corps of Engineers/General Provisions  Restriction on requiring
                                             permits for the discharge
                                             of dredged or fill material
                                             for certain agricultural
                                             activities
Army Corps of Engineers/General Provisions  Authority on revising
                                             federal jurisdiction under
                                             the Clean Water Act
Bureau of Reclamation/Water and Related     Direction on Mni Wiconi
 Resources.                                  Project
Bureau of Reclamation/Water and Related     Guidance on allocating
 Resources.                                  additional funding
Bureau of Reclamation/General Provisions..  Reprogramming requirements
Department of Energy......................  Guidance on prior-year
                                             balances
Department of Energy......................  Report on cost audit
                                             coverage
Department of Energy......................  Guidance on ARPA-E
Department of Energy......................  Report on alleviation of
                                             poverty
Department of Energy......................  Direction on workplace
                                             diversity
Department of Energy......................  Direction on Public Access
                                             Plan
Department of Energy......................  Direction on implementing a
                                             cybersecurity plan
Department of Energy......................  Direction on educational
                                             activities
Department of Energy......................  Direction on commonly
                                             recycled paper
Department of Energy/Energy Efficiency....  Report on zero emissions
                                             energy credit
Department of Energy/Energy Efficiency....  Direction on Clean Cities
                                             program
Department of Energy/Energy Efficiency....  Report on waste-to-energy
                                             research and development
                                             activities
Department of Energy/Fossil...............  Direction on NETL budget
                                             accounts restructuring
Department of Energy/Fossil...............  Direction on coal research
                                             and development
Department of Energy/Fossil...............  Direction on crude oil by
                                             rail
Department of Energy/Fossil...............  Direction on NETL sites
Department of Energy/Non-Defense Cleanup..  Report on Oak Ridge
                                             activities
Department of Energy/UED&D................;  Report on uranium transfers
Department of Energy/Science..............  Report on solar fuels
                                             research initiative
                                             strategic plan
Department of Energy/Science..............  Report on exascale
                                             deployment plan
Department of Energy/Nuclear/Waste          Direction on Yucca Mountain
 Disposal.                                   licensing process
Department of Energy/Departmental           Direction on renewable fuel
 Administration.                             standards
Department of Energy/Weapons..............  Direction on nuclear
                                             modernization affordability
Department of Energy/Weapons..............  Plan to reduce overhead
                                             costs of NNSA sites
Department of Energy/Weapons..............  Report on W80-4 alternatives
Department of Energy/Weapons..............  Report on milestones for
                                             ignition
Department of Energy/Weapons..............  Direction on footpring
                                             reduction of Albuquerque
                                             Complex
Department of Energy/Weapons..............  Report on vacating legacy
                                             plutonium facilities
Department of Energy/Weapons..............  Reporting on WEPAR project
Department of Energy/Nonproliferation.....  Guidance on new
                                             nonproliferation projects
                                             in Russia
Department of Energy/Nonproliferation.....  Report on commercial nuclear
                                             fuel reprocessing
Department of Energy/Nonproliferation.....  Report on transfer of EM
                                             nuclear material management
                                             facilities
Department of Energy/Nonproliferation.....  Prohibition on use of MOX
                                             funds
Department of Energy/Nonproliferation.....  Guidance on consideration of
                                             MOX alternative
Department of Energy/Nonproliferation.....  Report on removal of
                                             plutonium from South
                                             Carolina
Department of Energy/Defense Cleanup......  Establishment of new budget
                                             control points
Department of Energy/Defense Cleanup......  Direction on budgeting for
                                             the Waste Treatment Plant
Department of Energy/Defense Cleanup......  Report on national
                                             transuranic waste
                                             processing center
Department of Energy/Defense Cleanup......  Report on Office of River
                                             Protection site office
Department of Energy/Defense Cleanup......  Report on WIPP ground
                                             control metrics
Department of Energy/Defense Cleanup......  Guidance on headquarters
                                             planning and budgeting
                                             systems
Department of Energy/Other Defense          Direction on consolidation
 Activities.                                 of safety and security
                                             costs
Department of Energy/Power Marketing        Direction on provision of
 Administrations.                            information
Department of Energy/General Provisions...  Reprogramming requirements
Department of Energy/General Provisions...  Requirement for oversight of
                                             high hazard nuclear
                                             facilities construction
Department of Energy/General Provisions...  Prohibition on funds without
                                             independent cost estimates
Department of Energy/General Provisions...  Restriction of certain
                                             activities in the Russian
                                             Federation
Department of Energy/General Provisions...  Requirements for releases
                                             from Strategic Petroleum
                                             Reserve
Department of Energy/General Provisions...  Guidance on Strategic
                                             Petroleum Reserve
                                             activities
Nuclear Regulatory Commission.............  Establishment reprogramming
                                             control points
Nuclear Regulatory Commission.............  Guidance on reporting of
                                             salaries and expenses
Nuclear Regulatory Commission.............  Report on agency structure
                                             and manning
Nuclear Regulatory Commission.............  Report on use of risk
                                             assessment tools
Nuclear Regulatory Commission.............  Direction on rulemaking
                                             process and activities
Nuclear Regulatory Commission.............  Guidance on transition to
                                             digital systems
Nuclear Regulatory Commission.............  Direction on preparation for
                                             license renewal
                                             applications
Nuclear Regulatory Commission.............  Report on licensing goals
                                             and right-sizing
                                             commitments
Independent Agencies/General Provisions...  Requirement for NRC to
                                             comply with Congressional
                                             requests
Independent Agencies/General Provisions...  Reprogramming requirements
                                             for the NRC
General Provisions........................  Prohibition on funds to
                                             influence congressional
                                             action
General Provisions........................  Consolidation of transfer
                                             authorities
General Provisions........................  Prohibition of funds in
                                             contravention of Executive
                                             Order 12898
General Provisions........................  Prohibition of funds for
                                             computer networks that
                                             don't block
General Provisions........................  Prohibition of funds to
                                             further implement EO 13547
General Provisions........................  Prohibition of funds to
                                             remove or close federally
                                             owned or operated
General Provisions........................  Prohibition of funds to
                                             close Yucca Mountain
                                             application
------------------------------------------------------------------------

                   TITLE I--CORPS OF ENGINEERS--CIVIL


                         DEPARTMENT OF THE ARMY


                       Corps of Engineers--Civil


                              INTRODUCTION

    The Energy and Water Development Appropriations Act funds 
the Civil Works missions of the Army Corps of Engineers 
(Corps). This program is responsible for activities in support 
of coastal and inland navigation, flood and coastal storm 
damage reduction, environmental protection and restoration, 
hydropower, recreation, water supply, and disaster preparedness 
and response. The Corps also performs regulatory oversight of 
navigable waters. Approximately 22,000 civilians and almost 300 
military personnel located in eight Division offices and 38 
District offices work to carry out the Civil Works program.

                         DEEP-DRAFT NAVIGATION

    The Committee remains mindful of the evolving 
infrastructure needs of the nation's ports. Meeting these 
needs--including deeper drafts to accommodate the move towards 
larger ships--will be essential if the nation is to remain 
competitive in international markets and to continue advancing 
economic development and job creation domestically.
    Investigations and construction of port projects, including 
the deepening of existing projects, are cost shared between the 
federal government and non-federal sponsors, often local or 
regional port authorities. The operation and maintenance of 
these projects are federal responsibilities and are funded as 
reimbursements from the Harbor Maintenance Trust Fund (HMTF), 
which is supported by an ad valorem tax on the value of 
imported and domestic cargo. Expenditures from the trust fund 
are subject to annual appropriations. The balance in the HMTF 
at the beginning of fiscal year 2018 is estimated to be 
approximately $9,000,000,000.
    The Water Resources Reform and Development Act (WRRDA) of 
2014 included target annual appropriations levels for use of 
HMTF receipts and the Water Resources Development Act (WRDA) of 
2016 amended those levels. The Committee remains committed to 
providing the maximum practicable amount of funding for HMTF-
reimbursable activities consistent with annual allocations and 
after evaluating funding requirements for other priority 
activities within the Civil Works program.
    For fiscal year 2018, the Committee provides an estimated 
$1,340,000,000 for HMTF-related activities, $40,000,000 more 
than fiscal year 2017, $375,000,000 above the budget request, 
and the same as the annual target. This funding should allow 
the Corps to make significant progress on the backlog of 
dredging needs.

                        INLAND WATERWAYS SYSTEM

    The nation's inland waterways system--consisting of 
approximately 12,000 miles of commercially navigable channels 
and 239 lock chambers--also is essential to supporting the 
national economy. Freight transported on the inland waterways 
system includes a significant portion of the nation's grain 
exports, domestic petroleum and petroleum products, and coal 
used in electricity generation. Much of the physical 
infrastructure of the system is aging, however, and in need of 
improvements. For example, commercial navigation locks 
typically have a design life of 50 years, yet nearly 60 percent 
of these locks in the United States are more than 50 years old, 
with the average age at almost 60 years old.
    Capital improvements to the inland waterways system 
generally are funded 50 percent from the General Treasury and 
50 percent from the Inland Waterways Trust Fund (IWTF), while 
operation and maintenance costs are funded 100 percent from the 
General Treasury. The IWTF is supported by a tax on barge fuel.
    In recent years, the increasing rehabilitation and 
reconstruction needs and the escalating costs of those projects 
have far outstripped available revenues in the IWTF. Two 
statutory changes enacted in fiscal year 2015, however, will 
lead to the availability of additional revenues to stand as the 
required cost share for some additional work on the inland 
waterways system. These changes were the reduction in the 
portion of the costs of the Olmsted Locks and Dam project that 
is to be derived from the IWTF to 15 percent and the increase 
in the fuel tax to $0.29 per gallon from $0.20 per gallon.
    The Corps is directed to take the preparatory steps 
necessary to ensure that new construction projects can be 
initiated as soon as can be supported under the larger capital 
program (i.e., as ongoing projects approach completion). For 
fiscal year 2018, the Committee provides appropriations making 
use of all estimated annual revenues from the IWTF. The final 
program level will depend on project-specific allocations to be 
made by the Corps, but will be at least $332,500,000. The 
Committee also allocates $25,000,000 above the budget request 
for additional operation and maintenance activities on the 
inland waterways.

                      PRINCIPLES AND REQUIREMENTS

    Concerns persist that the effort to update the Water 
Resources Principles and Guidelines did not proceed consistent 
with the language or intent of section 2031 of the Water 
Resources Development Act of 2007. No funds provided to the 
Corps of Engineers shall be used to develop or implement rules 
or guidance to support implementation of the final Principles 
and Requirements for Federal Investments in Water Resources 
released in March 2013 or the final Interagency Guidelines 
released in December 2014. The Corps shall continue to use the 
document dated March 10, 1983, and entitled ``Economic and 
Environmental Principles and Guidelines for Water and Related 
Land Resources Implementation Studies'' during the fiscal year 
period covered by the Energy and Water Development 
Appropriations Act for 2018.

                    FIVE-YEAR COMPREHENSIVE PLANNING

    Historically, the Committee has encouraged the 
Administration to provide five-year investment plans for all 
the agencies within the Energy and Water Development 
jurisdiction, particularly the Corps. The five-year plan should 
be based on realistic assumptions of project funding needs. It 
is the Committee's expectation that once projects have been 
initiated, the Administration will request responsible annual 
funding levels for them through completion.
    The executive branch has traditionally been unwilling to 
project five-year horizons for projects it has not previously 
supported through the budget process. Comprehensive planning is 
important for understanding future requirements of projects 
that have been supported through the appropriations process, as 
well. While this unwillingness to have a dialogue regarding 
additional investment might be reasonable under circumstances 
where there is no likelihood of increased resources, the 
Congress consistently has supported additional investment in 
the nation's water resource infrastructure. The uncertainty 
caused by year-to-year federal planning leaves too many non-
federal sponsors unable to make informed decisions regarding 
local funding.
    It would be beneficial for the Congress, the 
Administration, and project partners to have a comprehensive 
plan to outline requirements for all projects that have 
received an appropriation to date or are proposed to begin 
receiving funding this year. The Committee welcomes a dialogue 
with the new Administration to reach a mutually agreeable way 
to comprehensively plan for all initiated projects.

                      FORMAT OF FUNDING PRIORITIES

    Traditionally, the President requested and the Congress 
appropriated funds for the Civil Works program on a project-
level basis. Taken together, however, these funding decisions 
indicated programmatic priorities and policy preferences. As 
with non-project-based programs, the Congress at times 
disagreed with the priorities stated in the President's budget 
request and made its priorities known in appropriations bills. 
Final federal government priorities were established in Acts 
passed by both chambers of the Congress and signed by the 
President.
    Since the 112th Congress, congressional earmarks, as 
defined in House rule XXI, have been prohibited. That 
definition encompasses project-level funding not requested by 
the President. As a result, the Committee reviewed the 
historical format of appropriations for the Corps to see if 
there was a more transparent way to highlight programmatic 
priorities without abandoning congressional oversight 
responsibilities. The fiscal year 2012 Act included a 
modification to the format used in previous years, and that 
format is continued for fiscal year 2018. As in previous years, 
the Committee lists in report tables the studies, projects, and 
activities within each account requested by the President along 
with the Committee-recommended funding level. To advance its 
programmatic priorities, the Committee has included additional 
funding for certain categories of projects. Project-specific 
allocations within these categories will be determined by the 
Corps based on further direction provided in this report.

                           ADDITIONAL FUNDING

    Although it represents the highest level of funding 
requested since fiscal year 2010, the fiscal year 2018 budget 
request underfunds the Civil Works program of the Corps of 
Engineers. The recommendation, however, includes funding in 
addition to the budget request to ensure continued improvements 
to our national economy, public safety, and environmental 
health that result from water resources projects. This funding 
is for additional work that either was not included in the 
budget request or was inadequately budgeted.
    The Corps again is directed to develop ratings systems for 
use in evaluating studies and projects for allocation of the 
additional funding provided in this title. These evaluation 
systems may be, but are not required to be, individualized for 
each account, category, or subcategory. Voluntary funding in 
excess of legally required cost shares for studies and projects 
is acceptable, but shall not be used as a criterion for 
allocating the additional funding provided in this bill or for 
the selection of new starts. Each study and project eligible 
for funding shall be evaluated under the applicable ratings 
system. A study or project may not be excluded from evaluation 
for being ``inconsistent with Administration policy.'' The 
Corps retains complete control over the methodology of these 
ratings systems. The executive branch retains complete 
discretion over project-specific allocation decisions within 
the additional funds provided, subject to only the direction 
here and under the heading ``Additional Funding'' or 
``Additional Funding for Ongoing Work'' within each of the 
Investigations, Construction, Mississippi River and 
Tributaries, and Operation and Maintenance accounts.
    The Administration is reminded that these funds are in 
addition to the budget request, and Administration budget 
metrics shall not be a reason to disqualify a study or project 
from being funded. It is expected that all of the additional 
funding provided will be allocated to specific programs, 
projects, or activities. The focus of the allocation process 
shall favor the obligation, rather than expenditure, of funds. 
With the significant backlog of work in the Corps' inventory, 
there is no reason for funds provided above the budget request 
to remain unallocated.
    A project or study shall be eligible for additional funding 
within the Investigations, Construction, and Mississippi River 
and Tributaries accounts if: (1) it has received funding, other 
than through a reprogramming, in at least one of the previous 
three fiscal years; (2) it was previously funded and could 
reach a significant milestone, complete a discrete element of 
work, or produce significant outputs in fiscal year 2018; or 
(3) as appropriate, it is selected as one of the new starts 
allowed in accordance with this Act and the additional 
direction provided below. Projects with executed Advanced 
Project Partnership Agreements, or similar agreements, shall be 
eligible for additional funding provided in this bill. None of 
the additional funding in any account may be used for any item 
where funding was specifically denied or for projects in the 
Continuing Authorities Program. Funds shall be allocated 
consistent with statutory cost share requirements.
    Funding associated with each category may be allocated to 
any eligible study or project, as appropriate, within that 
category; funding associated with each subcategory may be 
allocated only to eligible studies or projects, as appropriate, 
within that subcategory. The list of subcategories is not meant 
to be exhaustive.
    The Committee is concerned that the fiscal year 2017 work 
plan allocated Operation and Maintenance funding to some 
activities historically funded in the Construction account. Any 
shift in funding between accounts should be proposed in a 
budget request and addressed through the appropriations 
process. The Committee develops funding levels for accounts and 
additional funding categories based on its assessment of the 
scope of activities that can be advanced within each account 
and category. Shifting activities between accounts or 
categories after these funding level decisions are made is a 
gross misuse of the flexibility inherent in the work plan 
process. For fiscal year 2018, the Corps shall evaluate all 
studies and projects only within accounts and categories 
consistent with previous congressional funding.
    Work Plan.--Not later than 60 days after the enactment of 
this Act, the Corps shall provide to the Committees on 
Appropriations of both Houses of Congress a work plan including 
the following information: (1) a detailed description of the 
ratings system(s) developed and used to evaluate studies and 
projects; (2) delineation of how these funds are to be 
allocated; (3) a summary of the work to be accomplished with 
each allocation, including phase of work; and (4) a list of all 
studies and projects that were considered eligible for funding 
but did not receive funding, including an explanation of 
whether the study or project could have used funds in fiscal 
year 2018 and the specific reasons each study or project was 
considered as being less competitive for an allocation of 
funds.
    New Starts.--The recommendation includes six new study 
starts and up to two new construction starts to be distributed 
across the three main mission areas of the Corps. Of the new 
study starts, one shall be for a navigation study, one shall be 
for a flood and storm damage reduction study, three shall be 
for additional navigation or flood and storm damage reduction 
studies, and one shall be for an environmental restoration 
study. The new construction starts shall be for navigation, 
flood and storm damage reduction, or environmental restoration 
projects. No funding shall be used to initiate new studies, 
programs, projects, or activities in the Mississippi River and 
Tributaries or Operation and Maintenance accounts.
    The Corps is directed to propose a single group of new 
starts as a part of the work plan. The Corps may not change or 
substitute the new starts selected once the work plan has been 
provided to the Committees on Appropriations of both Houses of 
Congress. Each new start shall be funded from the appropriate 
additional funding line item. Any project for which the new 
start requirements are not met by the end of fiscal year 2018 
shall be treated as if the project had not been selected as a 
new start; such a project shall be required to compete again 
for new start funding in future years. As all new starts are to 
be chosen by the Corps, all shall be considered of equal 
importance, and the expectation is that future budget 
submissions will include appropriate funding for all new starts 
selected.
    There continues to be confusion regarding the executive 
branch's policies and guidelines regarding which studies and 
projects require new start designations. Therefore, the Corps 
is directed to notify the Committees on Appropriations of both 
Houses of Congress at least 7 days prior to the execution of an 
agreement for construction of any project except environmental 
infrastructure projects and projects under the Continuing 
Authorities Program. Additionally, the recommendation 
reiterates and clarifies previous congressional direction as 
follows. Neither study nor construction activities related to 
individual projects authorized under section 1037 of the Water 
Resources Reform and Development Act (WRRDA) of 2014 shall 
require a new start or new investment decision; these 
activities shall be considered ongoing work. No new start or 
new investment decision shall be required when moving from 
feasibility to preconstruction engineering and design (PED). A 
new start designation shall be required to initiate 
construction of individually-authorized projects funded within 
programmatic line items. No new start or new investment 
decision shall be required to initiate work on a separable 
element of a project when construction of one or more separable 
elements of that project was initiated previously; it shall be 
considered ongoing work. A new construction start shall not be 
required for work undertaken to correct a design deficiency on 
an existing federal project; it shall be considered ongoing 
work.
    In addition to the priority factors used to allocate all 
additional funding provided in the Investigations account, the 
Corps should give careful consideration to the out-year budget 
impacts of the studies selected and to whether there appears to 
be an identifiable local sponsor that will be ready and able to 
provide, in a timely manner, the necessary cost share for the 
feasibility and PED phases. The Corps is reminded that the 
flood and storm damage reduction mission area can include 
instances where non-federal sponsors are seeking assistance 
with flood control and unauthorized discharges from permitted 
wastewater treatment facilities and that the navigation mission 
area includes work in remote and subsistence harbor areas.
    In addition to the priority factors used to allocate all 
additional funding provided in the Construction account, the 
Corps also shall consider the out-year budget impacts of the 
selected new starts; legal requirements, including 
responsibilities to Tribes; and the cost sharing sponsor's 
ability and willingness to promptly provide the cash 
contribution (if any), as well as required lands, easements, 
rights-of-way, relocations, and disposal areas. When 
considering new construction starts, only those that can 
execute a project cost sharing agreement not later than August 
31, 2018, shall be selected.
    To ensure that the new construction starts are affordable 
and will not unduly delay completion of any ongoing projects, 
the Secretary is required to submit to the Committees on 
Appropriations of both Houses of Congress a realistic out-year 
budget scenario prior to issuing a work allowance for a new 
start. It is understood that specific budget decisions are made 
on an annual basis and that this scenario is neither a request 
for nor a guarantee of future funding for any project. 
Nonetheless, this scenario shall include an estimate of annual 
funding for each new start utilizing a realistic funding 
scenario through completion of the project, as well as the 
specific impacts of that estimated funding on the ability of 
the Corps to make continued progress on each previously funded 
construction project (including impacts to the optimum timeline 
and funding requirements of the ongoing projects) and on the 
ability to consider initiating new projects in the future. The 
scenario shall assume a Construction account funding level at 
the average of the past three budget requests.

                               ASIAN CARP

    The recommendation funds the request for the existing 
electric barriers in the Chicago Area Waterway System. The 
Corps is directed to analyze the most recent information 
regarding the presence of Asian Carp in close proximity to Lake 
Michigan and any other Great Lake to determine if any emergency 
or additional actions are warranted, including increasing the 
existing barriers' efficiency and efficacy. The Corps shall 
complete this analysis not later than 45 days after the 
enactment of this Act. Upon completion of this analysis, the 
Corps shall report to the Committees on Appropriations of both 
Houses of Congress on the conclusions, including whether any 
additional authorization is required. Additionally, the Corps 
is encouraged to consult with the U.S. Fish and Wildlife 
Service, the U.S. Coast Guard, the State of Illinois, and other 
members of the Asian Carp Regional Coordinating Committee to 
evaluate whether navigation protocols would be beneficial or 
effective in reducing the risk of vessels inadvertently 
transporting aquatic nuisance species, including Asian Carp, 
through the Electric Dispersal Barrier near Romeoville, 
Illinois, and locks and dams in the Illinois River.
    The Corps is expected to release the draft Great Lakes and 
Mississippi River Interbasin Study (GLMRIS) Brandon Road Study 
consistent with the urgency of its previous actions. The Corps 
shall adhere to a public and agency review process that is open 
and transparent. The Corps is directed to provide to the 
Committees on Appropriations of both Houses of Congress semi-
annual updates on the progress and status of efforts to prevent 
the further spread of the carp as well as the location and 
density of Asian Carp populations. The Corps is further 
directed to work with other appropriate federal entities to 
develop and submit to the Committees as soon as practicable a 
concise report with graphics and maps detailing the geographic 
migration of Asian Carp up the Mississippi River from 2000 to 
the present.

                     AGING WATERWAY INFRASTRUCTURE

    The Committee recognizes the extraordinary implications to 
the local, regional, and national economy, as well as national 
security due to aging waterway infrastructure. The Committee 
urges the Corps to complete feasibility studies for ongoing 
deep draft lock modernization or replacement projects. In these 
studies, the Corps is encouraged to include national and 
regional economic analyses, taking into account the unique 
movement of the commodities and the value-added in the supply 
chain.

               CONGRESSIONAL DIRECTION AND REPROGRAMMING

    To ensure that the expenditure of funds in fiscal year 2018 
is consistent with congressional direction, to minimize the 
movement of funds, and to improve overall budget execution, the 
bill carries a legislative provision outlining the 
circumstances under which the Corps may reprogram funds.

                        COMMITTEE RECOMMENDATION

    The Committee recommends $6,157,764,000 for the Corps, 
$120,000,000 above fiscal year 2017 and $1,155,764,000 above 
the budget request.
    A table summarizing the fiscal year 2017 enacted 
appropriation, the fiscal year 2018 budget request, and the 
Committee-recommended levels is provided below:

                                             (Dollars in thousands)
----------------------------------------------------------------------------------------------------------------
                                                                      FY 2017         FY 2018
                             Account                                  enacted         request       Cmte. rec.
----------------------------------------------------------------------------------------------------------------
Investigations..................................................        $121,000         $86,000        $105,000
Construction....................................................       1,876,000       1,020,000       1,697,000
Mississippi River and tributaries...............................         362,000         253,000         301,000
Operation and maintenance.......................................       3,149,000       3,100,000       3,519,000
Regulatory program..............................................         200,000         200,000         200,000
FUSRAP..........................................................         112,000         118,000         118,000
Flood control and coastal emergencies...........................          32,000          35,000          32,000
Expenses........................................................         181,000         185,000         181,000
Office of the Assistant Secretary of the Army for Civil Works...           4,764           5,000           4,764
                                                                 -----------------------------------------------
    Total, Corps of Engineers--Civil............................       6,037,764       5,002,000       6,157,764
----------------------------------------------------------------------------------------------------------------

                             INVESTIGATIONS

 
 
 
Appropriation, 2017...................................      $121,000,000
Budget estimate, 2018.................................        86,000,000
Recommended, 2018.....................................       105,000,000
Comparison:
    Appropriation, 2017...............................       -16,000,000
    Budget estimate, 2018.............................       +19,000,000
 

    This appropriation funds studies to determine the need for, 
the engineering and economic feasibility of, and the 
environmental and social suitability of solutions to water and 
related land resource problems; preconstruction engineering and 
design; data collection; interagency coordination; and 
research.
    The past several budget requests have proposed significant 
reductions in funding within the Investigations account, with 
particularly steep reductions in the amount of work to be done 
on individual feasibility studies and preconstruction 
engineering and design projects. The Committee is concerned 
that the Corps has not adequately planned for any changes that 
may be necessary as a result. The Corps is directed to develop 
a comprehensive plan for managing an efficient planning program 
designed to maintain core planning competencies. The Corps 
shall be prepared to brief the Committees on Appropriations of 
both Houses of Congress not later than 180 days after the 
enactment of this Act on the final plan.
    The budget request for this account and the approved 
Committee allowance are shown on the following table:


    Mid-Chesapeake Bay Island Project (James and Barren 
Islands), Maryland.--The Committee understands that the Corps 
must complete and approve its Baltimore Harbor and Channels 
Dredged Material Management Plan Update prior to budgeting for 
the Mid-Chesapeake Bay Island Project (James and Barren 
Islands). The Corps is encouraged to complete the Plan Update 
expeditiously.
    Passaic River Basin Mainstem, New Jersey.--The Committee is 
aware that flooding has long been a problem in the Passaic 
River Basin. The Committee encourages the Corps to continue to 
work in coordination with the non-federal sponsor on plans to 
reduce flooding in the basin, including the reevaluation of the 
Passaic River Basin Mainstem project. The Corps is directed to 
brief the Committee not later than 30 days after the enactment 
of this Act on the current status of this project.
    Peckman River, New Jersey.--The Committee is aware of 
repeated delays with the Peckman River Feasibility Study. The 
Corps is directed to provide to the Committee quarterly 
briefings on the current schedule to bring this study to 
completion, with the first briefing to occur not later than 30 
days after the enactment of this Act.
    Chacon Creek, Texas.--The Corps has multiple authorities to 
provide technical assistance to non-federal entities. The 
Committee encourages the Corps to review these authorities to 
identify opportunities to help advance the Chacon Creek, Texas, 
study, for which the Corps executed a feasibility cost sharing 
agreement in 2004.
    Additional Funding.--The Corps is expected to allocate the 
additional funding provided in this account primarily to 
specific feasibility and PED phases, rather than to Remaining 
Items line items as had been the case in previous work plans. 
The activities funded under Remaining Items address core agency 
competencies, which means the budget request should reflect 
sufficient funding. When allocating the additional funding 
provided in this account, the Corps shall consider giving 
priority to completing or accelerating ongoing studies or to 
initiating new studies that will enhance the nation's economic 
development, job growth, and international competitiveness; are 
for projects located in areas that have suffered recent natural 
disasters; are for projects that protect life and property; or 
are for projects to address legal requirements. The Corps shall 
use these funds for additional work in both the feasibility and 
PED phases. The recommendation includes sufficient additional 
funding to undertake a significant amount of feasibility and 
PED work. The Administration is reminded that a project study 
is not complete until the PED phase is complete.
    Research and Development.--Within the funding provided, the 
Corps is encouraged to advance work to evaluate conservation 
methods to restore riverine ecosystems and to expand 
environmental monitoring and modeling.
    Research and Development, Partnerships.--The Corps is an 
instrumental partner in controlling aquatic nuisance species in 
our nation's waterways, including the Columbia River Basin with 
twelve listed salmon and steelhead species and more than 
$3,000,000,000 of goods transported for delivery around the 
world. The Committee recognizes the economic and environmental 
benefits of the Columbia River Basin and urges the Corps to 
utilize local and regional research partners, as appropriate, 
to address this serious issue.
    Disposition of Completed Projects.--The Corps shall notify 
the Committees on Appropriations of both Houses of Congress not 
less than 7 days prior to execution of a transfer of any Corps 
facilities that closed as a result of Public Law 113-121.
    Water Resources Priorities Study.--No funding shall be used 
for this study.
    Impacts on Oyster Reefs.--The Committee supports Corps 
efforts, when conducting or reviewing environmental assessments 
or environmental impact statements for navigation or coastal 
restoration projects in areas where oyster reefs exist, to 
consider water quality and salinity impacts on those reefs and, 
when appropriate, to mitigate any negative impacts.
    Levee Improvements.--Where Corps-owned levees are 
hydraulically tied to community-owned levees, particularly 
where FEMA levee accreditation is a concern, the Corps is 
encouraged to cooperate with non-federal sponsors on ways to 
implement necessary improvements to the federal project.
    Flood Control and Wastewater Treatment Facilities.--In 
fiscal year 2017, the Corps was directed to provide a briefing 
regarding activities to address concerns about flooding and 
wastewater treatment facilities. The Committee may have 
additional direction after that briefing occurs.
    SMART Planning.--The Committee has heard concerns that the 
Corps is not adequately adhering to its three-year SMART 
planning criteria. These criteria were established to ensure 
the Corps was completing feasibility studies in a timely 
manner. Not later than 120 days after the enactment of this 
Act, the Corps shall provide to the Committees on 
Appropriations of both Houses of Congress a report outlining 
the status of all studies subject to the three-year SMART 
planning criteria. The report shall include, for any studies 
the Corps does not expect to complete within three years, a 
plan for completing the study or an explanation of why the 
study should not be considered under the three-year SMART 
planning criteria, as well as an accounting of non-federal 
funds expended to date.
    Value of Agricultural Land.--The Committee has heard 
concerns that the Corps is not accurately estimating the total 
cost of potential damages when calculating a project's benefit-
cost ratio. While health and safety are vital to these 
calculations, the Corps has statutory authority to include 
other economic factors. Some non-federal sponsors believe the 
Corps has undervalued agricultural land by failing to account 
for the value of future crops that cannot be harvested and 
environmental mitigation practices that prevent food safety 
issues following contamination by floodwaters, particularly 
with respect to high value fruits and vegetables that are often 
sold directly to consumers or to organic production, which 
relies on producers meeting various environmental standards.

                              CONSTRUCTION

 
 
 
Appropriation, 2017...................................    $1,876,000,000
Budget estimate, 2018.................................     1,020,000,000
Recommended, 2018.....................................     1,697,000,000
Comparison:
    Appropriation, 2017...............................      -179,000,000
    Budget estimate, 2018.............................      +677,000,000
 

    This appropriation funds construction, major 
rehabilitation, and related activities for water resource 
projects whose principal purpose is to provide commercial 
navigation, flood and storm damage reduction, or aquatic 
ecosystem restoration benefits to the nation. Portions of this 
account are funded from the Harbor Maintenance Trust Fund and 
the Inland Waterways Trust Fund.
    The budget request for this account and the approved 
Committee allowance are shown on the following table:


    Success Dam, California.--In fiscal years 2016 and 2017, 
the Committee raised the importance of the Corps moving 
expeditiously on this project to increase the reservoir 
capacity and complete the necessary safety reviews of the dam. 
Final resolution of the safety status of the dam is required in 
order for the reservoir to be enlarged. The Committee is aware 
that the Senior Oversight Group review of the dam safety 
analysis is scheduled for March 2018. The Committee strongly 
urges the Corps to complete the safety assessment of the dam by 
this time as detailed in House Report 114-532 and continue to 
expeditiously move ahead with the enlargement project, as 
detailed in House Report 114-91.
    Chesapeake Bay Oyster Recovery, Maryland and Virginia.--The 
Committee urges the Corps to consider species selection for 
disease resistance and survivability as part of oyster recovery 
in the Chesapeake Bay and to support development of substrate 
as a substitute for oyster shell, including competitively 
awarded contracts for research and development, as appropriate.
    New Jersey and New York Harbor Deepening Project.--The 
Committee is encouraged by the work of the Corps and its local 
partners to bring the construction of the New Jersey and New 
York Harbor Deepening Project to completion. This project of 
national significance is an example of how the Corps and its 
partners can work together to enhance our national economy.
    Cano Martin Pena, Puerto Rico.--The Committee notes the 
progress achieved in recent years to advance the Cano Martin 
Pena environmental restoration project in San Juan, Puerto 
Rico. A recent report indicated that this project can provide a 
significant return on investment in terms of improving the 
economy, protecting public health, and restoring the natural 
environment in Puerto Rico. The Corps is encouraged to include 
appropriate funding in future budget requests.
    Additional Funding.--The recommendation includes additional 
funds for projects and activities to enhance the nation's 
economic growth and international competitiveness. Of the 
additional funds provided in this account, the Corps shall 
allocate not less than $12,450,000 to projects with riverfront 
development components. Of the additional funding provided in 
this account for flood and storm damage reduction and flood 
control, the Corps shall allocate not less than $18,000,000 to 
additional nonstructural flood control projects. Of the 
additional funds provided in this account for flood and storm 
damage reduction, navigation, and other authorized project 
purposes, the Corps shall allocate not less than $10,000,000 to 
authorized reimbursements for projects with executed project 
cooperation agreements and that have completed construction or 
where non-federal sponsors intend to use the funds for 
additional water resources development activities. Of the 
additional funding provided in this account for flood and storm 
damage reduction and flood control, the Corps shall allocate 
not less than $13,900,000 to continue construction of projects 
that principally include improvements to rainfall drainage 
systems that address flood damages. The Corps is reminded that 
dam safety projects authorized under section 5003 of the Water 
Resources Development Act of 2007 are eligible to compete for 
the additional funding provided in this account.
    When allocating the additional funding provided in this 
account, the Corps is encouraged to evaluate authorized 
reimbursements in the same manner as if the projects were being 
evaluated for new or ongoing construction and shall consider 
giving priority to the following:
          1. benefits of the funded work to the national 
        economy;
          2. extent to which the work will enhance national, 
        regional, or local economic development;
          3. number of jobs created directly by the funded 
        activity;
          4. ability to obligate the funds allocated within the 
        fiscal year, including consideration of the ability of 
        the non-federal sponsor to provide any required cost 
        share;
          5. ability to complete the project, separable 
        element, or project phase with the funds allocated;
          6. for flood and storm damage reduction projects 
        (including authorized nonstructural measures and 
        periodic beach renourishments),
                  a. population, economic activity, or public 
                infrastructure at risk, as appropriate; and
                  b. the severity of risk of flooding or the 
                frequency with which an area has experienced 
                flooding;
          7. for shore protection projects, projects in areas 
        that have suffered severe beach erosion requiring 
        additional sand placement outside of the normal beach 
        renourishment cycle or in which the normal beach 
        renourishment cycle has been delayed;
          8. for navigation projects, the number of jobs or 
        level of economic activity to be supported by 
        completion of the project, separable element, or 
        project phase;
          9. for projects cost shared with the Inland Waterways 
        Trust Fund (IWTF), the economic impact on the local, 
        regional, and national economy if the project is not 
        funded, as well as discrete elements of work that can 
        be completed within the funding provided in this line 
        item;
          10. for other authorized project purposes and 
        environmental restoration or compliance projects, to 
        include the beneficial use of dredged material; and
          11. for environmental infrastructure, projects with 
        the greater economic impact, projects in rural 
        communities, projects in communities with significant 
        shoreline and instances of runoff, projects in or that 
        benefit counties or parishes with high poverty rates, 
        and projects in financially distressed municipalities.
    The recommendation provides funds making use of all 
estimated annual revenues in the IWTF. The Corps shall allocate 
all funds provided in the IWTF Revenues line item along with 
the statutory cost share from funds provided in the Navigation 
line item prior to allocating the remainder of funds in the 
Navigation line item.
    Aquatic Plant Control Program.--Funding is provided for 
watercraft inspection stations, as authorized by section 1039 
of the Water Resources Reform and Development Act of 2014, and 
related monitoring.
    Continuing Authorities Program (CAP).--The Committee 
continues to support all sections of the Continuing Authorities 
Program. Funding is provided for eight CAP sections at a total 
of $27,000,000, an increase of $18,000,000 above the budget 
request, which proposed funding for only four sections. This 
program provides a useful tool for the Corps to undertake small 
localized projects without the lengthy study and authorization 
process typical of larger Corps projects. Within the Continuing 
Authorities Program and to the extent authorized by section 
1150 of the WIIN Act, the Corps is encouraged to consider 
projects in regions comprised of cities whose historic flooding 
has been caused predominantly by winter snowmelt and ice floes. 
The management of the Continuing Authorities Program should 
continue consistent with direction provided in previous fiscal 
years.
    Energy Ports.--The Committee recognizes that increases in 
domestic energy production and the repeal of the oil export ban 
have resulted in increased maritime transport of energy 
commodities. The Corps is encouraged to consider these 
developments and national energy priorities in supporting 
authorized projects at energy transfer ports.

                   MISSISSIPPI RIVER AND TRIBUTARIES

 
 
 
Appropriation, 2017...................................      $362,000,000
Budget estimate, 2018.................................       253,000,000
Recommended, 2018.....................................       301,000,000
Comparison:
    Appropriation, 2017...............................       -61,000,000
    Budget estimate, 2018.............................       +48,000,000
 

    This appropriation funds planning, construction, and 
operation and maintenance activities associated with projects 
to reduce flood damage in the lower Mississippi River alluvial 
valley below Cape Girardeau, Missouri.
    The budget request for this account and the approved 
Committee allowance are shown on the following table:


    Lower Mississippi River Main Stem.--The budget request 
proposes to consolidate several activities across multiple 
states into one line item. The Committee does not support this 
change and instead continues to fund these activities as 
separate line items.
    Additional Funding for Ongoing Work.--When allocating the 
additional funding provided in this account, the Corps shall 
consider giving priority to completing or accelerating ongoing 
work that will enhance the nation's economic development, job 
growth, and international competitiveness, or are for studies 
or projects located in areas that have suffered recent natural 
disasters. While this funding is shown under remaining items, 
the Corps shall use these funds in investigations, 
construction, and operation and maintenance, as applicable.
    Mississippi River Commission.--No funding is provided for 
this new line item. The Corps is directed to continue funding 
the costs of the commission from within the funds provided for 
activities within the Mississippi River and Tributaries 
project.

                       OPERATION AND MAINTENANCE

 
 
 
Appropriation, 2017...................................    $3,149,000,000
Budget estimate, 2018.................................     3,100,000,000
Recommended, 2018.....................................     3,519,000,000
Comparison:
    Appropriation, 2017...............................      +370,000,000
    Budget estimate, 2018.............................      +419,000,000
 

    This appropriation funds operation, maintenance, and 
related activities at water resource projects the Corps 
operates and maintains. Work to be accomplished consists of 
dredging, repair, and operation of structures and other 
facilities as authorized in various River and Harbor, Flood 
Control, and Water Resources Development Acts. Related 
activities include aquatic plant control, monitoring of 
completed projects, removal of sunken vessels, and the 
collection of domestic, waterborne commerce statistics. 
Portions of this account are financed through the Harbor 
Maintenance Trust Fund.
    The budget request for this account and the approved 
Committee allowance are shown on the following table:


    Los Angeles County Drainage Area, California.--The 
Committee directs the Corps to evaluate methods where the Los 
Angeles County Flood Control District might assume a greater 
role in the operation and maintenance of Corps infrastructure. 
The Committee also directs the Corps to report if an increased 
role by the District can more effectively utilize budgeted 
funds to reduce flood risk and increase stormwater capture, 
which would provide a more sustainable local source of water.
    Santa Ana River, California.--The Committee is aware that 
the planned residential and commercial development project in 
Rialto, California, may involve modification of a portion of 
the Lytle and Cajon Creeks channel improvement project. The 
Corps is directed to conduct any necessary reviews in an 
efficient manner, including conducting concurrent, rather than 
consecutive, reviews to the greatest extent possible.
    Waco Lake, Texas.--The Committee has heard concerns that 
repairs are needed to a local public road due to slope 
instability issues at the Corps project. The Corps is 
encouraged to work with local officials to determine whether 
issues at the Corps project are the cause of damages to the 
public road and what authorities and funding sources may be 
available to assist the local community in repairing the road.
    Additional Funding for Ongoing Work.--When allocating the 
additional funding provided in this account, the Corps shall 
consider giving priority to the following:
          1. ability to complete ongoing work maintaining 
        authorized depths and widths of harbors and shipping 
        channels, including where contaminated sediments are 
        present;
          2. ability to address critical maintenance backlog;
          3. presence of the U.S. Coast Guard;
          4. extent to which the work will enhance national, 
        regional, or local economic development, including 
        domestic manufacturing capacity;
          5. extent to which the work will promote job growth 
        or international competitiveness;
          6. number of jobs created directly by the funded 
        activity;
          7. ability to obligate the funds allocated within the 
        fiscal year;
          8. ability to complete the project, separable 
        element, project phase, or useful increment of work 
        within the funds allocated;
          9. the risk of imminent failure or closure of the 
        facility; and
          10. for harbor maintenance activities,
                  a. total tonnage handled;
                  b. total exports;
                  c. total imports;
                  d. dollar value of cargo handled;
                  e. energy infrastructure and national 
                security needs served;
                  f. designation as strategic seaports;
                  g. lack of alternative means of freight 
                movement; and
                  h. savings over alternative means of freight 
                movement.
    Additional funding provided for donor ports and energy 
transfer ports shall be allocated in accordance with 33 U.S.C. 
2238c. The Corps is encouraged to include funding for this 
program in future budget requests.
    Monitoring of Completed Navigation Projects.--Funding in 
addition to the budget request is included to support the 
structural health monitoring program to facilitate research to 
maximize operations, enhance efficiency, and protect asset life 
through catastrophic failure mitigation. The Corps is 
encouraged to also consider the need for additional work on the 
evaluation of grouted trunnion rods and the validation of 
technologies such as protective coatings.
    Review of Non-Federal Alterations of Civil Works Projects 
(Section 408).--The Committee has heard concerns about the 
Corps' implementation of reviews under section 408 (33 U.S.C. 
408), particularly with respect to operation and maintenance of 
levee systems. The Corps shall be prepared to brief the 
Committees on Appropriations of both Houses of Congress not 
later than 90 days after the enactment of this Act on execution 
of this line item. The briefing shall include an explanation of 
the section 408 authority, including how it compares or 
conflicts with other relevant authorities; the scope of 
projects subject to section 408 reviews; the process used to 
establish the current process; any efforts or mechanisms for 
adjusting the review to the degree of modifications sought; and 
a funding history and funding projections, as well as a 
justification for the fiscal year 2018 budget request.
    Water Operations Technical Support (WOTS).--Funding in 
addition to the budget request is included to continue research 
into atmospheric rivers first funded in fiscal year 2015.
    Emerging Harbor Projects.--The recommendation includes 
funding for individual projects defined as emerging harbor 
projects (in section 210(f)(2) of the Water Resources 
Development Act (WRDA) of 1986) that exceeds the funding levels 
envisioned in section 210(c)(3) and 210(d)(1)(B)(ii) of WRDA 
1986.
    Great Lakes Navigation System.--The recommendation includes 
funding for individual projects within this System that exceeds 
the funding level envisioned in section 210(d)(1)(B)(ii) of 
WRDA 1986.
    Hydrilla.--The Committee recognizes that the uncontrolled 
growth of hydrilla at Corps water resource projects in the 
United States continues to pose a variety of environmental, 
health, safety, and economic problems. The Corps is encouraged 
to develop a regional hydrilla control strategy for the South 
Atlantic Division.
    Shoreline Management Policy.--The Committee is aware of 
concerns regarding the new shoreline management policy for 
Corps reservoirs within the South Atlantic Division. The Corps 
is encouraged to continue working with affected local 
communities and stakeholders to address these concerns, 
including the use of non-potable water from reservoirs.
    Hydropower.--The Committee recognizes hydropower is an 
important resource for the energy requirements of our states 
and local communities. In some areas, such as the Summersville 
Dam in West Virginia, the Corps works with non-federal partners 
to provide reliable and affordable energy for the surrounding 
community. The Committee encourages the Corps to review options 
for expanded non-federal hydropower at appropriate sites 
throughout the nation. The Committee anticipates that this 
would include evaluations of seasonal pool levels and an 
assessment of the impact of expanding hydropower on safety and 
operations for the region.
    Beneficial Use of Dredged Material.--The Corps is 
encouraged to promptly issue implementation guidance for the 
pilot program authorized in section 1122 of the WIIN Act.

                           REGULATORY PROGRAM

 
 
 
Appropriation, 2017...................................      $200,000,000
Budget estimate, 2018.................................       200,000,000
Recommended, 2018.....................................       200,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................             - - -
 

    This appropriation provides funds to administer laws 
pertaining to the regulation of activities affecting U.S. 
waters, including wetlands, in accordance with the Rivers and 
Harbors Appropriation Act of 1899, the Clean Water Act, and the 
Marine Protection, Research, and Sanctuaries Act of 1972. 
Appropriated funds are used to review and process permit 
applications, ensure compliance on permitted sites, protect 
important aquatic resources, and support watershed planning 
efforts in sensitive environmental areas in cooperation with 
states and local communities.
    The Committee encourages the Corps to adhere to established 
regulatory policies and guidance with respect to permits issued 
under section 404 of the Clean Water Act and to refrain from 
imposing additional requirements on permit applicants.
    Public Safety Projects.--The Committee continues to hear 
that public safety infrastructure projects have been delayed 
due to excessive and repeated reviews. Many communities depend 
on these projects to protect their residents from natural 
disasters. Considering the risk to life and other damages that 
these disasters inflict upon communities, it is in the public 
interest to have local governments mitigate for this harm. 
Therefore, the Committee encourages the Corps to give the 
public safety aspects of a project sufficient and appropriate 
consideration when reviewing permit applications.
    Shellfish Aquaculture Activities.--The Committee recognizes 
the significant effort undertaken by the Seattle District and 
the Northwest Division to re-verify 861 pending project 
applications submitted by shellfish growers in Washington state 
under the 2012 Nationwide Permit (NWP) 48 before this permit 
expired in March 2017. Recognizing that these permits will 
remain valid for only one calendar year, the Committee directs 
the Seattle District, the Northwest Division, and Army Corps 
Headquarters to implement a streamlined and efficient process 
to re-issue these permits under the 2017 NWP 48.
    Programmatic Consultations.--The Committee is concerned 
that Endangered Species Act consultation times are causing 
permit reviews to be delayed. In order to reduce permit delays, 
the Seattle District shall implement programmatic 
consultations, also known as Standard Local Operating 
Procedures for Endangered Species (SLOPES), to the maximum 
extent possible.

            FORMERLY UTILIZED SITES REMEDIAL ACTION PROGRAM

 
 
 
Appropriation, 2017...................................      $112,000,000
Budget estimate, 2018.................................       118,000,000
Recommended, 2018.....................................       118,000,000
Comparison:
    Appropriation, 2017...............................        +6,000,000
    Budget estimate, 2018.............................             - - -
 

    This appropriation funds the cleanup of certain low-level 
radioactive materials and mixed wastes located at sites 
contaminated as a result of the nation's early efforts to 
develop atomic weapons.
    The Congress transferred the Formerly Utilized Sites 
Remedial Action Program (FUSRAP) from the Department of Energy 
to the Corps in fiscal year 1998. In appropriating FUSRAP funds 
to the Corps, the Committee intended to transfer only the 
responsibility for administration and execution of cleanup 
activities at FUSRAP sites where the Department had not 
completed cleanup. The Committee did not transfer to the Corps 
ownership of and accountability for real property interests, 
which remain with the Department. The Committee expects the 
Department to continue to provide its institutional knowledge 
and expertise to ensure the success of this program and to 
serve the nation and the affected communities.
    The Committee continues to support the prioritization of 
sites, especially those that are nearing completion. Within the 
funds provided in accordance with the budget request, the Corps 
is directed to complete the Remedial Investigation/Feasibility 
Study of the former Sylvania nuclear fuel site at Hicksville, 
New York, and, as appropriate, to proceed expeditiously to a 
Record of Decision and initiation of any necessary remediation 
in accordance with the Comprehensive Environmental Response, 
Compensation, and Liability Act (CERCLA).

                 FLOOD CONTROL AND COASTAL EMERGENCIES

 
 
 
Appropriation, 2017...................................       $32,000,000
Budget estimate, 2018.................................        35,000,000
Recommended, 2018.....................................        32,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................        -3,000,000
 

    This appropriation funds planning, training, and other 
measures that ensure the readiness of the Corps to respond to 
floods, hurricanes, and other natural disasters, and to support 
emergency operations in response to such natural disasters, 
including advance measures, flood fighting, emergency 
operations, the provision of potable water on an emergency 
basis, and the repair of certain flood and storm damage 
reduction projects.

                                EXPENSES

 
 
 
Appropriation, 2017...................................      $181,000,000
Budget estimate, 2018.................................       185,000,000
Recommended, 2018.....................................       181,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................        -4,000,000
 

    This appropriation funds the executive direction and 
management of the Office of the Chief of Engineers, the 
Division Offices, and certain research and statistical 
functions of the Corps.
    Alternative financing.--The Committee remains supportive of 
public-private partnerships (P3) and other alternative 
financing mechanisms. These arrangements have the potential to 
be project delivery tools to help sustain the performance of 
existing infrastructure and construct new infrastructure more 
quickly. In fiscal year 2016, the Corps was directed to develop 
a policy on how proposals for public-private partnerships will 
be considered by the Corps and how these partnerships will be 
incorporated into the budget policy. A policy will allow 
interested non-federal sponsors equal opportunity to develop 
proposals for the Corps to review under established guidelines. 
To date, the Corps has not developed a policy. Therefore, due 
to the concerns in previous fiscal years and until such time as 
a comprehensive policy is established and provided to the 
Committees on Appropriations of both Houses of Congress, the 
Corps shall discontinue all work on project-specific public-
private partnerships beyond the P3 project selected as a new 
start in fiscal year 2016.
    The Committee reminds the Corps of the Committee's long-
standing concerns that federal funding decisions not be biased 
by non-federal decisions to construct projects in advance of 
federal funding or to provide funding in excess of legally 
required cost shares. Unfortunately, the fiscal year 2017 work 
plan rating system stated that increased contributions from 
non-federal sponsors was one of the criteria used to determine 
the new construction starts. The Committee has included 
language under the heading ``Additional Funding'' in the front 
matter of this title prohibiting the Corps from using such a 
criterion in fiscal year 2018. The Corps is directed to 
consider and address such equity concerns in any policy on 
alternative financing mechanisms being developed.
    Surplus Water.--The Committee urges the Corps to consider 
adoption of the alternative definition of ``surplus water'' 
excluding ``natural flows'' from stored water in the Missouri 
River mainstem reservoirs in its proposed rule entitled ``Use 
of U.S. Army Corps of Engineers Reservoir Projects for 
Domestic, Municipal & Industrial Water Supply'' (82 F.R. 9555).

     OFFICE OF THE ASSISTANT SECRETARY OF THE ARMY FOR CIVIL WORKS

 
 
 
Appropriation, 2017...................................        $4,764,000
Budget estimate, 2018.................................         5,000,000
Recommended, 2018.....................................         4,764,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................          -236,000
 

    The Assistant Secretary of the Army for Civil Works 
oversees the Civil Works budget and policy, whereas the Corps' 
executive direction and management of the Civil Works program 
are funded from the Expenses account.
    The recommendation includes legislative language 
restricting the availability of 75 percent of the funding 
provided in this account until such time as at least 95 percent 
of the additional funding provided in each account has been 
allocated to specific programs, projects, or activities. This 
restriction shall not affect the roles and responsibilities 
established in previous fiscal years of the Office of the 
Assistant Secretary of the Army for Civil Works, the Corps 
headquarters, the Corps field operating agencies, or any other 
executive branch agency.
    The Committee counts on a timely and accessible executive 
branch in the course of fulfilling its constitutional role in 
the appropriations process. The requesting and receiving of 
basic, factual information, such as budget justification 
materials, is vital in order to maintain a transparent and open 
governing process. The Committee recognizes that some 
discussions internal to the executive branch are pre-decisional 
in nature and, therefore, not subject to disclosure. However, 
the access to facts, figures, and statistics that inform these 
decisions are not subject to this same sensitivity and are 
critical to the budget process. The Administration needs to 
ensure timely and complete responses to these inquiries.

             GENERAL PROVISIONS--CORPS OF ENGINEERS--CIVIL


                     (INCLUDING TRANSFER OF FUNDS)

    The bill continues a provision that prohibits the 
obligation or expenditure of funds through a reprogramming of 
funds in this title except in certain circumstances.
    The bill continues a provision prohibiting the use of funds 
in this Act to carry out any contract that commits funds beyond 
the amounts appropriated for that program, project, or 
activity.
    The bill continues a provision authorizing the transfer of 
funds to the Fish and Wildlife Service to mitigate for 
fisheries lost due to Corps of Engineers projects.
    The bill includes a provision regarding certain dredged 
material disposal activities.
    The bill includes a provision regarding acquisitions.
    The bill includes a provision regarding reallocations at a 
project.
    The bill includes a provision prohibiting the use of funds 
to require permits for the discharge of dredged or fill 
material for certain agriculture activities.
    The bill includes a provision regarding a rule under the 
Clean Water Act.
    The bill contains a provision allowing the possession of 
firearms at water resources development projects under certain 
circumstances.

                  TITLE II--DEPARTMENT OF THE INTERIOR


                          Central Utah Project


                CENTRAL UTAH PROJECT COMPLETION ACCOUNT

 
 
 
Appropriation, 2017...................................       $10,500,000
Budget estimate, 2018.................................         8,983,000
Recommended, 2018.....................................         8,983,000
Comparison:
    Appropriation, 2017...............................        -1,517,000
    Budget estimate, 2018.............................             - - -
 

    The Central Utah Project Completion Act (CUPCA) (titles II-
VI of P.L. 102-575) provides for the completion of the Central 
Utah Project by the Central Utah Water Conservancy District. 
The Act also authorizes the appropriation of funds for fish, 
wildlife, and recreation mitigation and conservation; 
establishes an account in the Treasury for the deposit of these 
funds and of other contributions for mitigation and 
conservation activities; and establishes a Utah Reclamation 
Mitigation and Conservation Commission to administer funds in 
that account. The Act further assigns responsibilities for 
carrying out the Act to the Secretary of the Interior and 
prohibits delegation of those responsibilities to the Bureau of 
Reclamation.
    The Committee recommendation includes a total of $8,983,000 
for the Central Utah Project Completion Account, which includes 
$6,635,000 for Central Utah Project construction, $898,000 for 
transfer to the Utah Reclamation Mitigation and Conservation 
Account for use by the Utah Reclamation Mitigation and 
Conservation Commission, and $1,450,000 for necessary expenses 
of the Secretary of the Interior.

                         Bureau of Reclamation


                              INTRODUCTION

    The mission of the Bureau of Reclamation (Reclamation) is 
to manage, develop, and protect water and related resources in 
an environmentally and economically sound manner in the 
interest of the American public. Since its establishment by the 
Reclamation Act of 1902, the Bureau of Reclamation has 
developed water supply facilities that have contributed to 
sustained economic growth and an enhanced quality of life in 
the western states. Lands and communities served by Reclamation 
projects have been developed to meet agricultural, tribal, 
urban, and industrial needs. Reclamation continues to develop 
authorized facilities to store and convey new water supplies 
and is the largest supplier and manager of water in the 17 
western states. Reclamation maintains 338 reservoirs with the 
capacity to store 245 million acre-feet of water.
    As Reclamation's large impoundments and appurtenant 
facilities reach their design life, the projected cost of 
operating, maintaining, and rehabilitating Reclamation 
infrastructure continues to grow, yet Reclamation has not 
budgeted funding sufficient to implement a comprehensive 
program to reduce its maintenance backlog. At the same time, 
Reclamation is increasingly relied upon to provide water supply 
to federally-recognized Indian Tribes through water 
settlements, rural communities through its Title I Rural Water 
Program, and municipalities through its Title XVI Water 
Reclamation and Reuse Program. Balancing these competing 
priorities will be challenging and requires active 
participation and leadership on the part of Reclamation and its 
technical staff.

      FISCAL YEAR 2018 BUDGET REQUEST AND COMMITTEE RECOMMENDATION

    The fiscal year 2018 budget request for the Bureau of 
Reclamation totals $1,097,393,000. The Committee recommendation 
totals $1,229,166,000, $77,334,000 below fiscal year 2017 and 
$131,773,000 above the budget request.
    A table summarizing the fiscal year 2017 enacted 
appropriation, the fiscal year 2018 budget request, and the 
Committee recommendation is provided below:

                                             (Dollars in thousands)
----------------------------------------------------------------------------------------------------------------
                                                                      FY 2017         FY 2018
                             Account                                  enacted         request        Cmte rec.
----------------------------------------------------------------------------------------------------------------
Water and Related Resources.....................................      $1,155,894        $960,017      $1,091,790
Central Valley Project Restoration Fund.........................          55,606          41,376          41,376
California Bay-Delta Restoration................................          36,000          37,000          37,000
Policy and Administration.......................................          59,000          59,000          59,000
                                                                 -----------------------------------------------
    Total, Bureau of Reclamation................................       1,306,500       1,097,393       1,229,166
----------------------------------------------------------------------------------------------------------------

                      WATER AND RELATED RESOURCES

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, 2017.............    $1,155,894,000
Budget estimate, 2018...........       960,017,000
Recommended, 2018...............     1,091,790,000
Comparison:
    Appropriation, 2017.........       -64,104,000
    Budget estimate, 2018.......      +131,773,000
 

    The Water and Related Resources account supports the 
development, construction, management, and restoration of water 
and related natural resources in the 17 western states. The 
account includes funds for operating and maintaining existing 
facilities to obtain the greatest overall levels of benefits, 
to protect public safety, and to conduct studies on ways to 
improve the use of water and related natural resources.
    The budget request for this account and the approved 
Committee allowance are shown on the following table:


    Central Valley Project, San Luis Unit, California.--The 
Committee is aware that Reclamation and the Western Area Power 
Administration are evaluating the possible construction of a 
transmission line to directly serve the San Luis Unit from the 
Central Valley Project system as an alternative to receiving 
service under the California Independent System Operator's 
Tariff. The agencies are encouraged to continue to work 
together and with the affected Central Valley Project water 
contractors to ensure the most efficient and cost-effective 
process for implementation.
    Tualatin Project, Scoggins Dam, Oregon.--The Committee 
supports the budget request of $2,000,000 for Safety of Dams 
preconstruction activities at Scoggins Dam. Consistent with 
existing authorities, the Committee encourages Reclamation to 
evaluate alternatives, including new or supplementary works, to 
address dam safety modifications and increased conservation 
storage. Considering the high risk associated with Scoggins 
Dam, the Committee urges Reclamation to maintain an efficient 
schedule in fiscal year 2018. The Committee has been told that 
a replacement structure downstream could significantly reduce 
project costs for both the federal government and local 
stakeholders.
    Mni Wiconi Project, South Dakota.--Reclamation is directed 
to continue working with the Tribes and relevant federal 
agencies, such as the Department of Agriculture, the 
Environmental Protection Agency, the Bureau of Indian Affairs, 
the Indian Health Service, and the Department of Housing and 
Urban Development, to coordinate use of all existing 
authorities and funding sources to finish needed community 
system upgrades and connections, as well as any transfers of 
those systems, as quickly as possible. The Administration is 
encouraged to include appropriate funding for upgrades in 
future budget requests.
    Yakima River Basin Water Enhancement Project Integrated 
Plan, Washington.--The Committee is aware of the Integrated 
Plan that has been developed by the Yakima River Basin Water 
Enhancement Project Working Group, including the Bureau of 
Reclamation, to address water storage and water supply needs 
for agriculture, fish, and municipalities within the Yakima 
River Basin in Central Washington. The Committee is supportive 
of the Plan and encourages the Bureau to move forward on 
implementing authorized components of the Plan.
    Additional Funding for Water and Related Resources Work.--
The recommendation includes funds in addition to the budget 
request for Water and Related Resources studies, projects, and 
activities. Priority in allocating these funds should be given 
to advance and complete ongoing work, including preconstruction 
activities and where environmental compliance has been 
completed; improve water supply reliability; improve water 
deliveries; enhance national, regional, or local economic 
development; promote job growth; advance tribal and nontribal 
water settlement studies and activities; or address critical 
backlog maintenance and rehabilitation activities. Of the 
additional funding provided under the heading ``Water 
Conservation and Delivery'', $67,000,000 shall be for water 
storage projects as authorized in section 4007 of Public Law 
114-322. Not later than 45 days after the enactment of this 
Act, Reclamation shall provide to the Committees on 
Appropriations of both Houses of Congress a report delineating 
how the additional funds provided are to be distributed, in 
which phase the work is to be accomplished, and an explanation 
of the criteria and rankings used to justify each allocation.
    The fiscal year 2015-2017 Acts included additional funding 
for ``Western Drought Response''. This broad category provided 
maximum flexibility for Reclamation to address the most 
immediate impacts of the historic drought conditions occurring 
at that time. It was always intended to be a temporary measure 
to address unusual circumstances. With the extreme drought 
conditions now over, and with the new authorities provided in 
the WIIN Act, Reclamation can return its focus to long-term 
solutions to long-term water supply issues. Therefore, the 
Committee has focused the additional funding provided within 
specific categories of activities.
    Research and Development: Desalination and Water 
Purification Program.--Of the funding provided for this 
program, $6,000,000 shall be for desalination projects as 
authorized in section 4009(a) of Public Law 114-322.
    WaterSMART Program: Title XVI Water Reclamation & Reuse 
Program.--Of the funding provided for this program, $10,000,000 
shall be for water recycling and reuse projects as authorized 
in section 4009(c) of Public Law 114-322.
    Aquifer Recharge.--The Committee is aware that many states 
are exploring new methods of recharging aquifers for increased 
water storage and drought mitigation. The Committee expects the 
Bureau of Reclamation to work closely with project 
beneficiaries to identify and resolve any barriers to aquifer 
recharge projects when appropriate.
    Quagga and Zebra Mussels.--The Committee is aware of the 
environmental and economic threat posed by invasive quagga and 
zebra mussels. Mussel infestations at Reclamation reservoirs 
can increase significantly the costs of operation of dams, 
power plants, pumping plants, and other water infrastructure. 
Reclamation and its federal, state, and local partners have 
undertaken many varied actions to combat the spread of these 
species, including support for watercraft inspection and 
decontamination where appropriate. In fact, the fiscal year 
2018 budget request includes an increase of $4,388,000 for this 
purpose. The Committee encourages Reclamation to continue its 
efforts in cooperation with its partners to prevent the spread 
of quagga and zebra mussels.

                CENTRAL VALLEY PROJECT RESTORATION FUND

 
 
 
Appropriation, 2017...................................       $55,606,000
Budget estimate, 2018.................................        41,376,000
Recommended, 2018.....................................        41,376,000
Comparison:
    Appropriation, 2017...............................       -14,230,000
    Budget estimate, 2018.............................             - - -
 

    This fund was established to carry out the provisions of 
the Central Valley Project Improvement Act and to provide 
funding for habitat restoration, improvement and acquisition, 
and other fish and wildlife restoration activities in the 
Central Valley area of California. Resources are derived from 
donations, revenues from voluntary water transfers and tiered 
water pricing, and Friant Division surcharges. The account also 
is financed through additional mitigation and restoration 
payments collected on an annual basis from project 
beneficiaries.
    Within available funds, the Committee provides funding for 
programs and activities according to the Administration's 
request. The Committee notes that the decrease for this account 
in the budget request and recommendation is based on a three-
year rolling average of collections, in accordance with the 
authorizing statute.
    Anadromous Fish Screen Program.--The Committee is 
encouraged by the progress being made to screen the high 
priority unscreened diversions on the Sacramento River under 
the Bureau of Reclamation's Anadromous Fish Screen Program. The 
Committee encourages Reclamation to continue its focus on 
screening of the remaining high priority diversions from within 
funds made available under the Central Valley Project 
Restoration Fund in future budget requests. The Committee 
further encourages Reclamation to prioritize those fish screen 
and fish passage projects that will help improve the 
reliability of water supply deliveries in areas recently 
afflicted by severe drought.

                    CALIFORNIA BAY-DELTA RESTORATION

                     (INCLUDING TRANSFERS OF FUNDS)

 
 
 
Appropriation, 2017...................................       $36,000,000
Budget estimate, 2018.................................        37,000,000
Recommended, 2018.....................................        37,000,000
Comparison:
    Appropriation, 2017...............................        +1,000,000
    Budget estimate, 2018.............................             - - -
 

    The California Bay-Delta Restoration account funds the 
federal share of water supply and reliability improvements, 
ecosystem improvements, and other activities being developed 
for the Sacramento-San Joaquin Delta and associated watersheds 
by a state and federal partnership (CALFED). Federal 
participation in this program was initially authorized in the 
California Bay-Delta Environmental and Water Security Act 
enacted in 1996.

                       POLICY AND ADMINISTRATION

 
 
 
Appropriation, 2017...................................       $59,000,000
Budget estimate, 2018.................................        59,000,000
Recommended, 2018.....................................        59,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................             - - -
 

    The Policy and Administration account provides for the 
executive direction and management of all Reclamation 
activities, as performed by the Commissioner's office in 
Washington, D.C.; the Technical Service Center in Denver, 
Colorado; and in five regional offices. The Denver and regional 
offices charge individual projects or activities for direct 
beneficial services and related administrative and technical 
costs. These charges are covered under other appropriations.

                        ADMINISTRATIVE PROVISION

    The bill includes an administrative provision allowing for 
the purchase of passenger motor vehicles.

             General Provisions--Department of the Interior

    The bill continues a provision regarding the circumstances 
in which the Bureau of Reclamation may reprogram funds.
    The bill continues a provision regarding the San Luis Unit 
and Kesterson Reservoir in California.
    The bill includes a provision regarding the San Joaquin 
River Restoration program.

                    TITLE III--DEPARTMENT OF ENERGY


                              INTRODUCTION

    Funds recommended in Title III provide for all Department 
of Energy (DOE) programs, including Energy Efficiency and 
Renewable Energy, Electricity Delivery and Energy Reliability, 
Nuclear Energy, Fossil Energy Research and Development, Naval 
Petroleum and Oil Shale Reserves, the Strategic Petroleum 
Reserve, the Northeast Home Heating Oil Reserve, the Energy 
Information Administration, Non-Defense Environmental Cleanup, 
the Uranium Enrichment Decontamination and Decommissioning 
Fund, Science, Nuclear Waste Disposal, Innovative Technology 
Loan Guarantee Program, Advanced Technology Vehicle 
Manufacturing Loans Program, Tribal Energy Loan Guarantee 
Program, Departmental Administration, Office of the Inspector 
General, the National Nuclear Security Administration (Weapons 
Activities, Defense Nuclear Nonproliferation, Naval Reactors, 
and Federal Salaries and Expenses), Defense Environmental 
Cleanup, Other Defense Activities, Defense Nuclear Waste 
Disposal, the Power Marketing Administrations, and the Federal 
Energy Regulatory Commission.

                        Committee Recommendation

    The Department of Energy has requested a total budget of 
$27,870,597,000 in fiscal year 2018 to fund programs in its 
four primary mission areas: science, energy, environment, and 
national security. The Department of Energy budget request is 
$2,875,412,000 below fiscal year 2017.
    Advanced Research Projects Agency--Energy (ARPA--E).--The 
recommendation does not include funds for ARPA--E and directs 
that prior-year balances be used to conduct an orderly 
shutdown.

                        CONGRESSIONAL DIRECTION

    Article I, section 9 of the United States Constitution 
states ``No money shall be drawn from the Treasury but in 
consequence of Appropriations made by law''.
    The Committee continues the Department's reprogramming 
authority in statute to ensure that the Department carries out 
its programs consistent with congressional direction. This 
reprogramming authority is established at the program, project, 
or activity level, whichever is the most specific level of 
budget items identified in this Act and the Committee report 
accompanying the Act. The Committee also prohibits new starts 
through the use of reprogramming and includes other direction 
to improve public oversight of the Department's actions. In 
addition, the recommendation continues a general provision 
specifying which transfer authorities may be used for accounts 
funded by this Act. The Committee recommendation includes a new 
general provision for fiscal year 2018 that establishes an 
absolute limit on the amount of funding that may be transferred 
from the Department's accounts to the DOE working capital fund 
in aggregate, consistent with the authorities provided by 
section 653 of the Department of Energy Organization Act (42 
U.S.C. 7263).
    United States-Israel Strategic Partnership.--The United 
States-Israel Strategic Partnership Act of 2014 (P.L. 113-296) 
authorized the Department to establish an energy research and 
development partnership with Israel. The recommendation 
includes up to $4,000,000 for the Department to explore 
activities to bring about this collaborative effort. These 
funds are in addition to the $2,000,000 provided for the U.S.-
Israel energy cooperative agreement.

                   FINANCIAL REPORTING AND MANAGEMENT

    The Department still is not in compliance with its 
statutory requirement to submit to Congress, at the time that 
the President's budget request is submitted, a future-years 
energy program that covers the fiscal year of the budget 
submission and the four succeeding years, as directed in the 
fiscal year 2012 Act. In addition, the Department has an 
outstanding requirement to submit a plan to become fully 
compliant with this requirement.
    Working Capital Fund.--The Committee recommends 
$267,901,000, the same as the amount estimated by the 
Department of Energy for transfers to the fund in fiscal year 
2017, after accounting for the shift of CyberOne activities to 
Departmental Administration.
    Alleviation of Poverty.--In its fiscal year 2016 report, 
the Committee directed the Department to provide a report 
detailing all domestic and international projects and programs 
within its jurisdiction that contribute to the alleviation of 
poverty. The Department is reminded that the Committee 
continues to expect the report to be provided expeditiously.
    Workplace Diversity.--The Committee recognizes the 
importance of workplace diversity in the Department of Energy's 
national laboratories. The Committee encourages the Department 
to continue to develop and broaden partnerships with minority 
serving institutions, including Hispanic Serving Institutions, 
Historically Black Colleges and Universities, Asian and Pacific 
Islander Serving Institutions, Predominantly Black 
Institutions, Tribal Colleges, and other Minority Serving 
Institutions. In particular, the Committee encourages programs 
involving undergraduate research experiences, high speed 
computing access, and education. The Committee notes that the 
fiscal year 2017 Act directed the Department to provide a 
detailed plan outlining efforts to recruit and retain diverse 
talent from the institutions mentioned above. The Committee 
looks forward to receiving the plan in a timely manner.
    Public Access Plan.--The Committee appreciates the 
Department issuing its Public Access Plan on July 24, 2014. The 
Committee urges the Department to continue efforts towards full 
implementation of the plan and expects an update on progress to 
be included in the fiscal year 2019 budget request.

           MANAGEMENT OF SPENT NUCLEAR FUEL AND DEFENSE WASTE

    The Committee fully supports the Administration's position 
to move forward with Yucca Mountain. The Department, together 
with the Nuclear Regulatory Commission (NRC), has repeatedly 
confirmed over the years that Yucca Mountain is a safe and 
secure location to permanently store the nation's spent nuclear 
fuel and high-level radioactive waste. However, many more steps 
remain before Yucca Mountain begins to accept waste. The 
Department's request restarts this process and brings the 
Department closer to fulfilling its legal obligation to take 
responsibility for storing the nation's nuclear waste.
    To restart the adjudication of the Yucca Mountain license 
application, the Committee provides the requested levels of 
$90,000,000 within Nuclear Waste Disposal, $30,000,000 within 
Defense Nuclear Waste Disposal, and $30,000,000 within the NRC.

                             CYBERSECURITY

    The Committee is concerned that the Department has not been 
effectively addressing cyber threats to its enterprise. The 
Department developed a cyber strategy in December 2015, but 
failed to create an implementation plan to carry out its 
policy, which creates uncertainty throughout the enterprise on 
how to properly deal with cyber threats and safeguard the 
Department's assets. Not later than 180 days after the 
enactment of this Act, the Department shall develop an 
enterprise-wide cyber strategy implementation plan that 
includes the relevant resources, project plans, and specific 
performance metrics necessary to strengthen the Department's 
cyber posture. To enhance the accountability for management of 
cyber resources, the Committee recommendation consolidates 
funding for cybersecurity that was previously funded within the 
DOE working capital fund with funding for cybersecurity under 
the Office of the Chief Information Officer within Departmental 
Administration.
    In addition to securing its own systems, the Department and 
our national laboratories play an important role in assuring 
the resiliency of the nation's electric grid and energy 
infrastructure. The Committee recommendation provides targeted 
investments that will defend the U.S. energy sector against the 
evolving threat of cyber and other attacks, including 
$12,000,000 above the budget request in Other Defense 
Activities.

                        COMMONLY RECYCLED PAPER

    The Department shall not expend funds for projects that 
knowingly use as a feedstock commonly recycled paper that is 
segregated from municipal solid waste or collected as part of a 
collection system that commingles commonly recycled paper with 
other solid waste at any point from the time of collection 
through materials recovery.

                         EDUCATIONAL ACTIVITIES

    The Department is prohibited from funding fellowship and 
scholarship programs in fiscal year 2018 unless the programs 
were explicitly included in the budget justification or funded 
within this recommendation. Any new or ongoing programs that 
the Department chooses to fund in fiscal year 2019 must be 
detailed in the fiscal year 2019 budget justifications. This 
direction shall be followed in future fiscal years unless 
contradicted by the Committee.

                       PAYMENTS IN LIEU OF TAXES

    Payments in Lieu of Taxes (PILT) is a program for 
discretionary financial assistance that DOE may provide that is 
subject to the availability of funds. While DOE may not make 
payments for most of the property in its possession, the 
Congress provided authorization for payments to specific 
properties acquired by the Atomic Energy Commission in the 
Atomic Energy Act of 1954. While that authority is broad to 
allow for special circumstances, the statute also provides 
clear direction that the Department shall be guided by the 
policy of not making payments in excess of the taxes that would 
have been payable for such property in the condition in which 
it was acquired, except in the case of special burdens. The 
formulas used by DOE to determine what payments it will make 
are not transparent, are not interpreted consistently across 
all sites, and no longer appear to be consistent with the 
intent of Congress as stated in the authorization language. 
Because of the inconsistencies, payments to individual 
recipients may be as little as $1,000 or as much as $6,000,000. 
After an investigation of the program in the 1990s, the 
Government Accountability Office (GAO) substantiated claims 
from some communities that DOE's policy was not being equitably 
applied and described how DOE had changed basic assumptions in 
how it would calculate payments on a case-by-case basis.
    Because the Department has deviated so substantially from 
its authorization basis over time, the Committee directs the 
Department to undertake a full overhaul of the program. After 
reasonable notice has been given in the Federal Register, DOE 
shall terminate all existing PILT agreements and enter into new 
PILT agreements that are consistent across all eligible sites 
and are in compliance with the requirement that payments are 
not made in excess of the taxes that would have been payable 
for such property in the condition in which it was originally 
acquired. Not later than 360 days after the enactment of this 
Act, the Department shall provide to the Committees on 
Appropriations of both Houses of Congress a report that 
describes the terms and payment amounts for each new PILT 
agreement and certifies that the terms of each agreement and 
calculations for payments are consistent across all eligible 
sites and with the statutory policy direction.
    The Committee further directs the Comptroller General to 
undertake an assessment of DOE's PILT program to examine: (1) 
which communities have received payments and in what amounts; 
(2) how payment amounts were determined by DOE; (3) the extent 
to which agreements differ across sites; (4) the consistency of 
adjustments made to payments that reduce or increase amounts 
paid; and (5) whether DOE has made substantive changes to its 
payment policy or individual agreements since the issue was 
last examined by the GAO.

                           PROJECT MANAGEMENT

    The Department recently updated DOE Order 413.3B, its 
formal order on program and project management direction for 
the acquisition of capital assets, with the goal of improving 
its performance in delivering projects within the original 
performance baseline cost and schedule. Increasingly, DOE 
programs are making use of alternative project structures to 
award contracts for procurements and other construction 
activities in advance of formalizing the performance baseline 
for a project. The update fails to address procedures for 
carrying out these ``subprojects'', such as what actions should 
be performed at critical decision points of a ``subproject'' 
and how critical decision milestones for a ``subproject'' 
relate to requirements for the award of critical decision 
milestones as detailed in the DOE Order. The Department shall 
perform a comprehensive review of how its program offices are 
utilizing ``subprojects'' to execute project plans and shall 
update DOE Order 413.3B with appropriate procedures and 
guidelines that will help the Department meet its goal of 
removal from the GAO's High Risk List for fraud, waste, and 
abuse.

                 REPROGRAMMING AND TRANSFER GUIDELINES

    The Committee requires the Department to inform the 
Committee promptly when a change in program execution and 
funding is required during the fiscal year. The Department's 
reprogramming requirements are detailed in statute. To assist 
the Department in this effort, the following guidance is 
provided for programs and activities.
    Definition.--A reprogramming includes the reallocation of 
funds from one activity to another within an appropriation. The 
recommendation includes a general provision providing internal 
reprogramming authority to the Department, as long as no 
program, project, or activity is increased or decreased by more 
than $5,000,000 or 10 percent, whichever is less, compared to 
the levels in the table detailing the Committee's 
recommendations for the Department's various accounts. For 
construction projects, a reprogramming constitutes the 
reallocation of funds from one construction project to another 
project or a change of $2,000,000 or 10 percent, whichever is 
less, in the scope of an approved project.
    Criteria for Reprogramming.--A reprogramming should be made 
only when an unforeseen situation arises, and then only if 
delay of the project or activity until the next fiscal year 
would result in a detrimental impact to an agency program or 
priority. A reprogramming may also be considered if the 
Department can show that significant cost savings can accrue by 
increasing funding for an activity. Mere convenience or 
preference should not be a factor for consideration. A 
reprogramming may not be employed to initiate new programs or 
to change program, project, or activity allocations 
specifically denied, limited, or increased by the Congress in 
the Act or report.
    Reporting and Approval Procedures.--In recognition of the 
security missions of the Department, the legislative guidelines 
allow the Secretary and the Administrator of the National 
Nuclear Security Administration jointly to waive the 
reprogramming restriction by certifying to the Committees on 
Appropriations of both Houses of Congress that it is in the 
nation's security interest to do so. The Department shall not 
deviate from the levels for activities specified in the report 
that are below the level of the detail table, except through 
the regular notification procedures of the Committee. No funds 
may be added to programs for which funding has been denied. Any 
reallocation of new or prior-year budget authority or prior-
year de-obligations, or any request to implement a 
reorganization that includes moving previous appropriations 
between appropriations accounts must be submitted to the 
Committees on Appropriations of both Houses of Congress in 
writing and may not be implemented prior to approval by the 
Committees.
    Transfers.--As in fiscal year 2017, funding actions into or 
out of accounts funded by this Act may only be made by transfer 
authorities provided by this or other appropriations Acts.

                       COMMITTEE RECOMMENDATIONS

    The Committee's recommendations for Department of Energy 
programs in fiscal year 2018 are described in the following 
sections. A detailed funding table is included at the end of 
this title.

                            ENERGY PROGRAMS


                 Energy Efficiency and Renewable Energy


 
 
 
Appropriation, 2017...................................    $2,090,200,000
Budget estimate, 2018.................................       636,149,000
Recommended, 2018.....................................     1,103,908,000
Comparison:
    Appropriation, 2017...............................      -986,292,000
    Budget estimate, 2018.............................      +467,759,000
 

    Energy Efficiency and Renewable Energy (EERE) programs 
include research, development, demonstration, and deployment 
activities advancing energy efficiency and renewable energy 
technologies, as well as federal energy assistance programs. 
The EERE program is divided into three portfolios: sustainable 
transportation, renewable energy, and energy efficiency. The 
sustainable transportation portfolio, which consists of the 
vehicles, bioenergy, and hydrogen and fuel cell programs, 
advances the development of plug-in electric and other 
alternative fuel vehicles, high-efficiency advanced combustion 
engines, and the replacement of oil with clean domestic 
transportation fuels. The renewable energy portfolio, which 
consists of the solar, wind, water, and geothermal programs, 
aims to develop innovative technologies to make renewable 
electricity generation cost competitive with traditional 
sources of energy. The energy efficiency portfolio, which 
consists of the advanced manufacturing, buildings, and federal 
energy assistance programs, seeks cost-effective solutions to 
reduce energy consumption in plants, buildings, and homes.
    The recommendation for EERE broadly reflects a gradual 
shift towards early stage research and development activities. 
However, where noted in the report, the Committee encourages a 
limited scope of deployment activities.
    The Committee encourages EERE to offer technical and other 
programmatic assistance to the Commonwealth of Puerto Rico to 
support investment in innovative technologies to effectively 
reduce power system emissions, efficiently treat wastewater, 
produce biofuels, and generate power from solid waste.
    The Committee recognizes the importance of the Department's 
work on the Energy-Water Nexus and as part of that effort, the 
Committee encourages the Department to enter into an 
interdepartmental agreement with the Department of Agriculture 
for research that explores how to integrate ongoing research 
projects at the various DOE Labs and the Agricultural Research 
Service to develop affordable, deployable, energy- and water-
efficient food production platforms, beginning in food-insecure 
communities across the country. By working together, DOE and 
the Department of Agriculture can bring respective strengths 
and resources to designing the most desirable low-cost and 
efficient production system.
    The Committee is aware of the significant benefits from the 
further development of electrochemical conversion of CO2 to 
syngas for renewable fuel production. The Department is 
encouraged to support the further development of renewable 
hydrocarbon fuels from low-cost waste CO2 and low-carbon 
renewable energy.
    Zero Emissions Energy Credit.--The Department, in 
consultation with the Energy Information Administration, shall 
provide to the Committees on Appropriations of both Houses of 
Congress not later than 180 days after the enactment of this 
Act an analysis evaluating the effects of a Zero Emissions 
Energy Credit that replaces existing renewable energy 
subsidies, once they phase out, with a graduated tax credit 
that is apportioned based on the total emissions profile, 
including both airborne and solid waste byproduct emissions, of 
energy production sources. This analysis shall include: (1) 
estimated effects on utility rates paid by consumers in both 
rate-regulated and competitive access jurisdictions; (2) 
estimated impacts on the cost of zero-emissions-based purchased 
power agreements employed by investor-owned, cooperatively-
owned, and municipal utilities; (3) estimated reductions in 
effective rates on the per-kilowatt-hour customer cost of 
qualifying sources, compared to current per-kilowatt-hour 
customer cost of those sources; (4) estimated impact on the 
need for state-implemented zero emissions credits being used to 
support existing baseload power sources; (5) predicted effects 
on federal government expenditures and revenues; and (6) 
estimated effects in driving the adoption and improvement of 
lower or zero emissions energy production technologies.
    Social Cost of Carbon.--The Department should not 
promulgate any regulations in fiscal year 2018 using the May 
2013 estimates for the social cost of carbon until a new 
working group is convened. The working group should include the 
relevant agencies and affected stakeholders, re-examine the 
social cost of carbon using the best available science, and 
revise the estimates using an accurate discount rate and 
domestic estimate in accordance with E.O. 12866 and OMB 
Circular A-4. To increase transparency, the working group 
should solicit public comment prior to finalizing any updates.

                       SUSTAINABLE TRANSPORTATION

    The Vehicle, Bioenergy, and Hydrogen and Fuel Cell 
Technologies programs fund activities that can reduce American 
exposure to future high oil prices. Research into cutting-edge 
technologies that will increase the fuel economy of gasoline 
and diesel fuel vehicles--the vast majority of today's fleet--
will allow Americans to spend less on fuel while traveling the 
same distance. Research into next-generation automotive and 
fuel cell technologies that power vehicles with domestic energy 
sources such as natural gas, electricity, biofuels, and 
hydrogen can likewise dramatically lower the impact of future 
high gas prices on Americans.
    Vehicle Technologies.--Within available funds, the 
recommendation includes $72,000,000 for Batteries and Electric 
Drive Technology, $25,000,000 for Energy Efficient Mobility 
Systems, and $20,000,000 to continue the SuperTruck II program 
to further improve the efficiency of heavy-duty class 8 long- 
and regional-haul vehicles.
    The Committee directs the Department to continue to support 
the Clean Cities program, including providing competitive 
grants to support alternative fuel, infrastructure, and vehicle 
deployment activities. When issuing competitive grants in 
support of these activities, the Department is encouraged to 
focus on awards that range from $500,000 to $1,000,000 each and 
include at least one Clean Cities coalition partner. The 
recommendation provides $2,500,000 for Advance Vehicle 
Competitions to execute the fourth year of the four-year 
collegiate engineering competitions, EcoCar3. The Committee 
encourages the Department to support continued funding for 
research that allows the U.S. to continue its leadership role 
in advancing state-of-the-art transportation infrastructure, 
which is vital to economic development.
    Within available funds, the recommendation includes up to 
$15,000,000 for medium- and heavy-duty on-road natural gas 
engine research and development, including energy efficiency 
improvements, emission after-treatment technologies, fuel 
system enhancements, and new engine development.
    The Committee notes that the commercial off-road vehicle 
sector, including industrial, mining, and farm equipment, 
consumes over two quads of energy per year. The Department is 
encouraged to consider activities that promote technologies to 
reduce the energy consumption of commercial off-road vehicles 
and provides up to $10,000,000 to support this effort.
    Bioenergy Technologies.--Within available funds, 
$27,000,000 is for feedstock supply and logistics to address 
issues limiting production and conversion systems at large. No 
funding is provided for the joint initiative with the Navy and 
the Department of Agriculture to develop commercial diesel and 
jet biofuels production capacity for defense purposes.
    The Committee is appreciative of research the Bioenergy 
Technologies Office has supported regarding wet and gaseous 
waste streams in waste-to-energy projects. The Committee is 
interested in further research and development activities to 
support baseload power generation using municipal solid waste-
to-energy technologies. The Department is directed to provide 
to the Committees on Appropriations of both Houses of Congress 
not later than 180 days after the enactment of this Act a 
report on research and development activities that can improve 
the economic viability of municipal solid waste-to-energy 
facilities.
    Hydrogen and Fuel Cell Technologies.--Within available 
funds, $2,000,000 is for the EERE share of the integrated 
hybrid energy systems work with the Office of Nuclear Energy 
and $7,000,000 is to enable integrated energy systems using 
high and low temperature electrolyzers with the intent of 
advancing the [email protected] concept.
    The Committee recognizes the progress of the program and 
expresses continued support for stationary, vehicle, motive, 
and portable power applications of this technology. The 
Department is encouraged to explore technologies that advance 
the storage and transportation fuel distribution, such as 
hydrogen compressors and carbon fiber tanks, and retail fueling 
systems. The Department is also encouraged to work with the 
Department of Transportation on supporting hydrogen fueling 
infrastructure.
    The Committee recognizes the need to support the 
development of alternative fueling infrastructure for U.S. 
consumers. Accordingly, the Department is encouraged to 
collaborate with the National Institute of Standards and 
Technology to allow accurate measurement of hydrogen at fueling 
stations.

                            RENEWABLE ENERGY

    The Solar Energy, Wind Energy, Water Power, and Geothermal 
Technologies programs fund applied research, development, and 
demonstration to reduce the cost of renewable energy to 
economically competitive levels. Research into innovative 
technologies, such as photovoltaic and concentrating solar 
technologies, offshore wind, hydropower, and ground heat, can 
expand energy production from our domestic resources and reduce 
our dependence on foreign oil.
    Solar Energy.--The Committee encourages the Department to 
research high efficiency thin-film photovoltaics and processes 
for high-speed, low-cost processing to produce stable materials 
on flexible substrates that can be used in residential and 
commercial power and be integrated into buildings, vehicles, 
and food production. Research programs are encouraged to 
include cooperation between industry and academia and to 
include advanced optical characterization that enables 
development of strong correlations between materials, cell 
optical properties, and the photovoltaic power performance of 
the working solar cells.
    The Committee also encourages the Department to find ways 
to expand access to solar energy to residences and businesses 
in low-income communities.
    Wind Energy.--Within available funds, the recommendation 
provides not less than $10,000,000 on LCOE reduction, domestic 
manufacturing, and lowering market barriers for distributed 
wind systems, including small wind for rural homes and farms. 
The Department may provide $1,000,000 for the Wind for Schools 
program.
    The Committee continues to support wind activities with 
large generation potential that rely on data required by 
federal agencies and technology innovations that would not be 
developed by the private sector alone. To this end, the 
Committee supports an emphasis on offshore wind technologies 
that address the unique opportunities and issues across the 
nation's waterways, such as high winds, icing, and deep water.
    The Committee is aware of efforts by the Wind Technologies 
Office to work with U.S. industry to support the development of 
main shaft and gearbox bearing technologies. The Committee 
encourages the Department to collaborate with industry and to 
consider investment into the development of new technologies 
that advance critical bearing and gearbox technologies used in 
wind turbines.
    Water Power.--Within available funds, the recommendation 
provides $29,000,000 for marine and hydrokinetic technologies 
and $24,000,000 for conventional hydropower, of which 
$6,600,000 is for the purposes of section 242 of the Energy 
Policy Act of 2005. Within the funding provided for marine and 
hydrokinetic technologies, the Department is directed to 
continue competitive solicitations for a balanced portfolio of 
industry-led research, development, and deployment of wave and 
current (ocean, wave, tidal, in-river) energy conversion 
components and systems. The Committee expects the Department to 
continue to support collaborations between the previously 
designated Marine Renewable Energy Centers and the National 
Laboratories, including personnel exchanges, to support 
research, development, and deployment of marine energy 
components and systems.
    The Committee appreciates the Department's ongoing 
exploration of marine and hydrokinetic technologies research. 
In last year's House Report, the Committee directed the 
Department to report on the past allocation of funds, including 
demonstrating diversity in possible public and private 
partnerships and diversity in regional locations for siting 
these new methods and technologies. The Committee looks forward 
to the results of this report.
    The Committee supports the Hydropower Technologies 
subprogram's HydroNEXT Initiative, including efforts to address 
technology development challenges and critical environmental 
and market challenges, such as permitting new hydropower 
projects.

                           ENERGY EFFICIENCY

    The Advanced Manufacturing, Building Technologies, Federal 
Energy Management, and Weatherization and Intergovernmental 
programs advance cost-effective solutions to reduce energy 
consumption through increased efficiency. Research into 
cutting-edge technologies that enhance manufacturing processes; 
develop advanced materials; and reduce energy use in buildings, 
homes, and factories can serve the national interest by greatly 
reducing our energy needs, while also giving American 
manufacturers an advantage to compete in the global 
marketplace.
    Advanced Manufacturing.--Within available funds, the 
recommendation provides not less than $4,205,000 for 
improvements in the steel industry and $5,000,000 for transient 
kinetic analysis for scaling of industrial processes and 
developing new catalysis programs for industrial applications.
    The recommendation does not include funding for the 
Critical Materials Energy Innovation Hub, the Energy Water 
Desalination Hub, or the six Clean Energy Manufacturing 
Innovation (CEMI) Institutes. The Committee supports the 
request to phase out operations and directs an orderly shutdown 
at the Hubs and six CEMI institutes. However, in order to 
ensure the most promising early stage research and development 
efforts of the Hubs and CEMI institutes are continued, the 
Committee provides up to $15,000,000 to support competitive 
awards for similar activities.
    The Committee recognizes the importance of the textile 
sector and believes that federal support for advanced textile 
research is essential to maintaining the competitiveness of the 
domestic textile and apparel industry. The Committee believes 
that advanced textile research can develop more sustainable 
manufacturing processes and technologies that will benefit 
producers, foster the reshoring of textile jobs to the United 
States, and reduce the global environmental impact of textile 
manufacturing. The Committee therefore encourages the 
Department to consider the need for competitively-funded 
advanced textile manufacturing process research.
    In the fiscal year 2016 report, the Committee directed the 
Department to analyze the impact federal investment may have in 
strengthening the availability and usage of lithium, including 
low-sodium lithium metal. As the Committee awaits the results 
of this study, the Department is encouraged to explore ways in 
which these upcoming recommendations can increase U.S. domestic 
supply of lithium and low-sodium lithium metal.
    Building Technologies.--Within available funds, the 
recommendation includes up to $25,000,000 for transactive 
controls research and development and $25,000,000 for solid 
state lighting. If the Secretary finds solid-state lighting 
technology eligible for the twenty-first century lamp prize, 
specified under section 655 of the Energy Independence and 
Security Act of 2007, $5,000,000 is provided in addition to 
funds recommended for lighting research and development.
    Building energy consumption represents at least a 40 
percent component of energy consumption in the U.S. Energy 
efficiency is thus a critical component of infrastructure 
development. The Committee recognizes the importance of the 
Transformation in Cities initiative for local government 
planning and encourages the Department to continue its support 
of the goals of the initiative.
    The Committee notes that natural gas plays an important 
role in meeting the energy needs of U.S. homes and commercial 
buildings. In particular, the Committee is aware of research 
opportunities related to the use of natural gas in water 
heating, space conditioning, furnace venting, and combined heat 
and power systems. The Committee encourages the Department to 
explore research and development that can advance future 
natural gas systems and appliances to meet consumer demand for 
high efficiency and environmentally friendly products. To 
continue these efforts, up to $4,000,000 is for research, 
development, and market transformation programs on energy 
efficiency efforts related to the direct use of natural gas in 
residential applications, including gas heat pump heating and 
water heating, on-site combined heat and power, and natural gas 
appliance venting.
    Weatherization and Intergovernmental Programs.--The 
Committee recommends $278,000,000 for Weatherization and 
Intergovernmental Programs.

                           CORPORATE SUPPORT

    The Program Direction, Strategic Programs, and Facilities 
and Infrastructure budgets provide the necessary resources for 
program and project management across all of EERE's technology 
programs, for the adoption of technologies to market, and for 
the operation and upkeep of the National Renewable Energy 
Laboratory.
    Strategic Programs.--Within available funds, $2,000,000 is 
to continue activities in support of the U.S.-Israel energy 
cooperative agreement.
    The Department is encouraged to work with two-year, public 
community and technical colleges on job training programs that 
lead to an industry-recognized credential in the energy 
workforce.

              Electricity Delivery and Energy Reliability


 
 
 
Appropriation, 2017...................................      $230,000,000
Budget estimate, 2018.................................       120,000,000
Recommended, 2018.....................................       218,500,000
Comparison:
    Appropriation, 2017...............................       -11,500,000
    Budget estimate, 2018.............................       +98,500,000
 

    The Electricity Delivery and Energy Reliability program 
advances technologies and provides operational support to 
increase the efficiency, resilience, and security of the 
nation's electricity delivery system. The power grid employs 
aging technologies at a time when power demands, the deployment 
of new intermittent technologies, and rising security threats 
are imposing new stresses on the system. The Office of 
Electricity Delivery and Energy Reliability aims to develop a 
modern power grid by advancing cybersecurity technologies, 
intelligent and high-efficiency grid components, and energy 
storage systems.
    Electricity Delivery and Energy Reliability Research and 
Development.--The Committee continues to support the 
Department's research activities to ensure transmission 
reliability, but believes reliability and resiliency modeling, 
and the decisions taken by utility industry and emergency 
response planners, can be enacted through the use of advanced 
integrated analytical and decision-making tools. Within 
available funds for Transmission Reliability, $5,000,000 is for 
university, national laboratory, and industry research and 
development for competitively-awarded activities to develop 
multi-use integrated analytical and decision-making tools. 
Within available funds for Cybersecurity for Energy Delivery 
Systems, $9,000,000 is to continue development of the industry-
scale electric grid test bed.
    The Committee notes the important role the National SCADA 
Testbed (NSTB) has played in enhancing power system 
cybersecurity. There remains a need for a capability to assess 
power system vulnerabilities, develop engineered solutions to 
mitigate them, share information and develop operational 
security training and best practices. Requested by its Section 
9 entities, the Department, as the sector-specific agency, is 
encouraged to consider establishing an updated national 
laboratory NSTB capability to support its Section 9 and broader 
energy sector responsibilities.
    The Committee supports the strategic goals of the Grid 
Modernization Multi-year Program Plan and encourages the 
Department to continue implementation as in previous years. The 
Committee supports the Grid Modernization Laboratory Consortium 
leadership in a comprehensive, multi-disciplinary research and 
development program managed through a consortium of national 
laboratories, leveraging national laboratory assets and 
partnerships with non-federal entities. The Committee is 
pleased that the Department has undertaken peer review 
processes.
    The Committee encourages the Office of Electricity Delivery 
and Energy Reliability to continue to collaborate with the 
Office of Science and EERE on the energy storage portion of the 
Grid Modernization Multi-year Program Plan. The Department is 
also encouraged to consider opportunities to translate research 
between grid, vehicular, and other potential energy storage 
applications. Activities should be informed by priorities 
identified by the Department, national laboratories, electric 
utilities, and other members of private industry.
    The Committee notes that the Department has previously 
supported energy storage integration projects. The Department 
is encouraged to continue investment of energy storage systems 
at grid relevant scales and maximize the value stream of these 
technologies. In addition, the Committee supports the 
Department's ongoing efforts to improve electricity reliability 
and other grid integration initiatives. Accordingly, the 
Committee supports the Department's grid integration 
demonstration modules and urges the Department to continue 
collaborating with industrial and academic partners and the 
national laboratories involved in the grid integration 
consortium as they explore the integration of renewables with 
energy storage technologies.

                             Nuclear Energy


 
 
 
Appropriation, 2017...................................    $1,016,616,000
Budget estimate, 2018.................................       703,000,000
Recommended, 2018.....................................       969,000,000
Comparison:
    Appropriation, 2017...............................       -47,616,000
    Budget estimate, 2018.............................      +266,000,000
 

    Nuclear power generates approximately one-fifth of the 
nation's electricity and will continue to be an important 
baseload energy source in the future. The Department of 
Energy's Nuclear Energy (NE) program invests in research, 
development, and demonstration activities that develop the next 
generation of clean and safe reactors, further improve the 
safety of our current reactor fleet, and contribute to the 
nation's long-term leadership in the global nuclear power 
industry.

                NUCLEAR ENERGY RESEARCH AND DEVELOPMENT

    Nuclear Energy Enabling Technologies.--Within available 
funds, $47,000,000 is for Crosscutting Technology Development, 
of which $10,000,000 is for work on advanced sensors and 
instrumentation, $6,000,000 is for hybrid energy systems, and 
up to $30,000,000 is to support development of advanced reactor 
technologies and high-priority crosscutting research and 
development areas; $36,000,000 is for the Nuclear Science User 
Facilities, of which $5,000,000 is for nuclear energy 
computation support; $34,200,000 is for Nuclear Energy Advanced 
Modeling and Simulation; and not less than $9,800,000 is for 
GAIN initiative activities. The recommendation does not include 
funds for the Energy Innovation Hub, but includes additional 
funding within Nuclear Energy Advanced Modeling and Simulation 
for competitive awards to continue similar activities.
    Integrated University Program.--The Committee recommends 
$5,000,000 to continue the Integrated University Program, which 
is critical to ensuring the nation's nuclear science and 
engineering workforce in future years.
    Reactor Concepts Research, Development, and 
Demonstration.--The recommendation includes $144,300,000 for 
Advanced Reactor Technologies, of which $60,000,000 is for a 
solicitation to support technical, first-of-its-kind 
engineering and design and regulatory development of next 
generation light water and non-light water reactor 
technologies, including small modular reactors. The Department 
is encouraged to work with the Nuclear Regulatory Commission to 
ensure appropriate component, system, and plant certification, 
regulation, and licensing support is provided to developers of 
next generation technologies as a part of these activities. The 
recommendation also includes $30,000,000 for fuel and graphite 
qualification and up to $5,000,000 for a MW-scale reactor 
study. The recommendation includes $35,000,000 for research and 
development to support efforts to develop a versatile fast test 
reactor. The Committee also supports the current fleet of 
reactors as they continue to ensure safe and reliable 
operations and includes $40,000,000 for the Light Water Reactor 
Sustainability program.
    The Department shall continue to work with the National 
Aeronautics and Space Administration (NASA) to ensure an 
adequate supply of plutonium-238 is available for future NASA 
space exploration missions.
    Fuel Cycle Research and Development.--Within available 
funds, the recommendation provides $71,000,000 for the Advanced 
Fuels Program, of which not less than $35,000,000 is for the 
accident tolerant fuels activity and $8,000,000 is for 
additional support of capability development of transient 
testing, including test design, modeling, and simulation; 
$24,000,000 for Material Recovery and Waste Form Development to 
maintain U.S. competency in the area of fuel cycle 
technologies; and $8,500,000 for Systems Analysis and 
Integration.
    The recommendation provides $45,000,000 to continue generic 
Used Nuclear Fuel Disposition research and development 
activities and notes that some previous activities supported by 
this account are now included within the funding provided to 
restart Yucca Mountain licensing activities.

                      IDAHO FACILITIES MANAGEMENT

    INL Operations and Infrastructure.--Within available funds, 
the recommendation includes $238,000,000 for INL Operations and 
Infrastructure to support the MFC and ATR Five Year Plan to 
increase reliability and sustainability.

                 Fossil Energy Research and Development


 
 
 
Appropriation, 2017...................................      $668,000,000
Budget estimate, 2018.................................       280,000,000
Recommended, 2018.....................................       634,600,000
Comparison:
    Appropriation, 2017...............................       -33,400,000
    Budget estimate, 2018.............................      +354,600,000
 

    Fossil energy resources, such as coal, oil, and natural 
gas, generate approximately 65 percent of the nation's 
electricity and will continue to provide for the majority of 
our needs for the foreseeable future. The Fossil Energy 
Research and Development program funds research, development, 
and demonstration activities to improve existing technologies 
and to develop next-generation systems in the full spectrum of 
fossil energy areas. At a time when fossil fuel power 
generation is expanding around the globe, the activities funded 
within this program advance our nation's position as a leader 
in fossil energy technologies and ensure that we use the full 
extent of our domestic resources safely and efficiently.
    The Committee notes that the budget request proposed a 
restructuring of the ``NETL Research and Operations'' and 
``NETL Infrastructure'' accounts. That restructuring is not 
included, and the recommendation instead continues the budget 
structure from fiscal year 2017.

                      COAL--CCS AND POWER SYSTEMS

    The Department is directed to use funds within the coal 
program only for coal research and development, with the 
exception of the Supercritical Transformational Electric Power 
Generation Initiative, which has applications to all high-
temperature fossil heat sources.
    The recommendation provides $25,000,000 to continue to 
support the solicitation for two large-scale pilots that focus 
on transformational coal technologies that represent a new way 
to convert energy to enable a step change in performance, 
efficiency, and the cost of electricity compared to today's 
technologies. Such technologies include thermodynamic 
improvements in energy conversion and heat transfer, such as 
pressurized oxygen combustion and chemical looping, and 
improvements in carbon capture systems technology. In making 
the awards for large-scale pilots, the Department should 
prioritize entities that have previously received funding for 
these technologies at the lab and bench scale.
    The Committee also notes that the budget request recommends 
a significant restructuring of the National Energy Technology 
Laboratory (NETL). The Committee does not support the closure 
of any NETL sites and provides no funds to plan, develop, 
implement, or pursue the consolidation or closure of any of the 
NETL sites.
    The Committee supports the integrated carbon and energy 
management activities of NE and EERE and provides $2,000,000 
for Hybrid Carbon Conversion activities within Fossil Energy.
    Carbon Storage.--The Department is encouraged to fund 
activities that promote the reuse of captured carbon from coal 
for the production of fuel and other valuable products.
    Advanced Energy Systems.--Within available funds, 
$8,000,000 is for the Advanced Air Separation Program to 
continue activities improving advanced air separation 
technologies and $30,000,000 is for Solid Oxide Fuel Cells to 
focus on research and development to enable efficient, cost-
effective electricity generation with minimal use of water and 
the use of abundant domestic coal and natural gas resources 
with near-zero atmospheric emissions of CO2 and pollutants. 
Moreover, central power generation applications of solid oxide 
fuel cells can be integrated with carbon capture and storage 
efforts to contribute to a secure energy future. The Committee 
encourages the Department to support field pilot programs to 
advance this technology to commercial success. The Committee 
urges the Department to fund research and development 
activities to improve the efficiency of gas turbines used in 
power generation systems, working cooperatively with industry, 
universities, and other appropriate parties.
    Crosscutting Research.--Within available funds, the 
recommendation provides $16,000,000 for Coal Utilization 
Science and $31,500,000 for Plant Optimization Technologies, of 
which $15,000,000 is for the Advanced Ultrasupercritical 
Program to fabricate, qualify, and develop domestic suppliers 
capable of producing components from high temperature 
materials. The Committee encourages the Department to advance 
technologies that address near-term water needs to treat 
wastewater or other alternate water sources from operative coal 
power plants while generating excess electricity to offset 
water treatment costs.
    The Committee supports the Department's Historically Black 
Colleges and Universities and Hispanic-Serving Institutions 
education and training program and recommends $1,000,000 to 
award research grants to qualifying universities and 
institutions.
    NETL Coal Research and Development.--The recommendation 
includes $15,000,000 for the Department to expand its external 
agency activities to develop and test commercially viable 
advanced separation technologies at proof-of-concept or pilot 
scale that can be deployed near term for the extraction and 
recovery of rare earth elements and minerals from U.S. coal and 
coal byproduct sources having the highest potential for 
success. The Committee encourages the Department to leverage 
the capabilities of outside applied researchers in implementing 
these activities.

                        NATURAL GAS TECHNOLOGIES

    Research.--Within available funds, the recommendation 
provides $7,000,000 for Environmentally Prudent Development and 
$5,200,000 for the Risk Based Data Management System. The 
Department is encouraged to explore technologies that curtail 
methane gas emissions from flaring and venting in shale 
formations. The Department is also encouraged to support 
funding research and development concerning technologies to 
convert flared and vented storage tank waste gas to 
electricity.

               UNCONVENTIONAL FOSSIL ENERGY TECHNOLOGIES

    Prior investment in this area has led to the current shale 
gas revolution and continued research and development is vital 
for the efficient and sustainable development of this resource.
    The Committee encourages the Department to focus resources 
on university-based research in fundamental oil and gas 
research to explore improved oil recovery from unconventional 
reservoirs, enhanced oil recovery for conventional reservoirs, 
and safe and environmentally friendly deep water oil and gas 
technologies.
    The Committee also encourages the Department to support 
efforts to increase production of unconventional fossil fuels 
through advanced technology and modeling, including optimizing 
high resolution and time-lapse geophysical methods for improved 
resource detection and better rock characterization at the 
micro- and nano-scale. Additionally, the Department is 
encouraged to examine the feasibility of utilizing geothermal 
energy from produced fluids for in-field energy requirements.
    The Committee is pleased with the Department's progress to 
date on studying the volatility of crude oil from the Bakken 
Shale in North Dakota and accurately assessing and 
characterizing volatility while transporting. The Committee 
directs the Department to continue this research in partnership 
with the Department of Transportation to improve the safety of 
crude oil transported by rail in this country.
    The Committee notes the fiscal year 2017 report directed 
the Department to issue a report on the feasibility of 
establishing an ethane storage and distribution hub in the 
United States. The Committee expects this report to be 
delivered in a timely manner.

                          NETL INFRASTRUCTURE

    Within available funds, the recommendation provides 
$5,500,000 for NETL's Supercomputer, Joule.

                 Naval Petroleum and Oil Shale Reserves


 
 
 
Appropriation, 2017...................................       $14,950,000
Budget estimate, 2018.................................         4,900,000
Recommended, 2018.....................................         4,900,000
Comparison:
    Appropriation, 2017...............................       -10,050,000
    Budget estimate, 2018.............................             - - -
 

    The Naval Petroleum and Oil Shale Reserves no longer serve 
the national defense purpose envisioned in the early 1900's, 
and consequently the National Defense Authorization Act for 
fiscal year 1996 required the sale of the Government's interest 
in the Naval Petroleum Reserve 1 (NPR-1). To comply with this 
requirement, the Elk Hills field in California was sold to 
Occidental Petroleum Corporation in 1998. Following the sale of 
Elk Hills, the transfer of the oil shale reserves, and transfer 
of administrative jurisdiction and environmental remediation of 
the Naval Petroleum Reserve 2 (NPR-2) to the Department of the 
Interior, the Department retained one Naval Petroleum Reserve 
property, the Naval Petroleum Reserve 3 (NPR-3) in Wyoming 
(Teapot Dome field). The Department issued a disposition plan 
for NPR-3 in June 2013 and began implementation of the plan in 
fiscal year 2014. Transfer of NPR-3 to a new owner occurred in 
fiscal year 2015.

                      Strategic Petroleum Reserve


 
 
 
Appropriation, 2017...................................      $223,000,000
Budget estimate, 2018.................................       180,000,000
Recommended, 2018.....................................       252,000,000
Comparison:
    Appropriation, 2017...............................       +29,000,000
    Budget estimate, 2018.............................       +72,000,000
 

    The mission of the Strategic Petroleum Reserve is to store 
petroleum to reduce the adverse economic impact of a major 
petroleum supply interruption to the U.S. and to carry out 
obligations under the international energy program.
    The recommendation includes funding to address facilities 
development and operations, including physical security and 
cavern integrity, and to maintain 1,000,000 barrels of gasoline 
blendstock in the Northeast Gasoline Supply Reserve. The 
recommendation includes legislative language to direct the 
Secretary to draw down and sell crude oil from the Strategic 
Petroleum Reserve, with proceeds to be deposited into the 
Energy Security and Infrastructure Modernization Fund for use 
in carrying out the Life Extension II project. This drawdown 
and use of proceeds is in accordance with section 404 of the 
Bipartisan Budget Act of 2015.

                   Northeast Home Heating Oil Reserve


 
 
 
Appropriation, 2017...................................        $6,500,000
Budget estimate, 2018.................................         6,500,000
Recommended, 2018.....................................         6,500,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................             - - -
 

    The acquisition and storage of heating oil for the 
Northeast began in August 2000 when the Department of Energy, 
through the Strategic Petroleum Reserve account, awarded 
contracts for the lease of commercial storage facilities and 
acquisition of heating oil. The purpose of the reserve is to 
assure home heating oil supplies for the Northeastern States 
during times of very low inventories and significant threats to 
the immediate supply of heating oil. The Northeast Home Heating 
Oil Reserve was established as a separate entity from the 
Strategic Petroleum Reserve on March 6, 2001. The reserve 
contains one million barrels of Ultra Low Sulfur Diesel (ULSD), 
which is the equivalent of three to four days of emergency 
stocks in the Northeast.

                   Energy Information Administration


 
 
 
Appropriation, 2017...................................      $122,000,000
Budget estimate, 2018.................................       118,000,000
Recommended, 2018.....................................       118,000,000
Comparison:
    Appropriation, 2017...............................        -4,000,000
    Budget estimate, 2018.............................             - - -
 

    The Energy Information Administration is a quasi-
independent agency within the Department of Energy established 
to provide timely, objective, and accurate energy-related 
information to the Congress, the executive branch, state 
governments, industry, and the public. The Committee is 
appreciative of the Energy Information Administration's efforts 
in establishing a National Oil and Gas Gateway.

                   Non-Defense Environmental Cleanup


 
 
 
Appropriation, 2017...................................      $247,000,000
Budget estimate, 2018.................................       218,400,000
Recommended, 2018.....................................       222,400,000
Comparison:
    Appropriation, 2017...............................       -24,600,000
    Budget estimate, 2018.............................        +4,000,000
 

    Non-Defense Environmental Cleanup includes funds to manage 
and remediate sites used for civilian, energy research, and 
non-defense related activities. These past activities resulted 
in radioactive, hazardous, and mixed waste contamination that 
requires remediation, stabilization, or some other action.
    Small Sites.--Within Small Sites, $12,000,000 is for Idaho 
National Laboratory, including increases needed to complete 
security systems upgrades at the Fort Saint Vrain spent fuel 
storage installation that were deferred in fiscal year 2017.
    Oak Ridge Activities.--Since fiscal year 2015, Congress has 
provided support for a memorandum of agreement for historic 
preservation of the K-25 gaseous diffusion uranium enrichment 
facility in Oak Ridge, Tennessee. Not later than 30 days after 
the enactment of this Act, the Department shall provide to the 
Committees on Appropriations of both Houses of Congress a 
report that describes the Department's plan, total cost, and 
proposed schedule for meeting the commitments made in its 
agreement.

      Uranium Enrichment Decontamination and Decommissioning Fund


 
 
 
Appropriation, 2017...................................      $768,000,000
Budget estimate, 2018.................................       752,749,000
Recommended, 2018.....................................       768,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................       +15,251,000
 

    The Uranium Enrichment Decontamination and Decommissioning 
Fund was established by the Energy Policy Act of 1992 to pay 
for the cleanup of gaseous diffusion plants at Portsmouth, 
Ohio; Paducah, Kentucky; and the East Tennessee Technology Park 
in Oak Ridge, Tennessee.
    Title X Uranium/Thorium Reimbursements.--The Committee 
recommends $32,959,000 to reimburse private licensees for the 
cost of cleaning up uranium and thorium processing sites in 
accordance with title X of the Energy Policy Act of 1992. The 
Committee expects the Department to reimburse licensees for all 
previous expenses including costs related to remediation, 
restoration, and oversight of these programs and to ensure all 
of the impacted communities are made whole. Fulfilling the 
obligation to fully reimburse licensees is important to the 
health and safety of the impacted communities. The Committee 
expects the Department of Energy to continue to provide 
sufficient resources within future budgets to reimburse 
licensees for approved claim balances in a timely manner and to 
avoid accumulating balances and liabilities.
    Uranium transfers.--Not later than 90 days after the 
enactment of this Act, the Department shall provide to the 
Committees on Appropriations of both Houses of Congress a 
report with recommendations to minimize the impact of uranium 
transfers on the domestic uranium mining, conversion, and 
enrichment industries, including any actions that would require 
new authority for the Department to implement. The report shall 
specify any new legal authorities necessary for the Department 
to contract directly with domestic uranium industries to 
introduce uranium into the market.

                                Science


 
 
 
Appropriation, 2017...................................    $5,392,000,000
Budget estimate, 2018.................................     4,472,516,000
Recommended, 2018.....................................     5,392,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................      +919,484,000
 

    The Office of Science funds basic science research across 
national laboratories, universities, and other research 
institutions in support of American innovation and the 
Department's energy-focused missions. Through research in 
physics, biology, chemistry, and other science disciplines, 
these activities expand scientific understanding and secure the 
nation's leadership in energy innovation. The Office of Science 
is the nation's largest supporter of basic research in the 
physical sciences.
    The Science program office includes Advanced Scientific 
Computing Research, Basic Energy Sciences, Biological and 
Environmental Research, Fusion Energy Sciences, High Energy 
Physics, Nuclear Physics, Workforce Development for Teachers 
and Scientists, Science Laboratories Infrastructure, Safeguards 
and Security, and Program Direction. The Committee has placed a 
high priority on funding these activities in fiscal year 2018, 
given the private sector is not likely to fund research whose 
findings either have high non-commercial value or are not 
likely to be commercialized in the near or medium term. This 
work is vital to sustaining the scientific leadership of the 
United States and can provide the underpinnings for valuable 
intellectual property in the coming decades.
    The Department is directed to submit to the Committees on 
Appropriations of both Houses of Congress not later than 120 
days after the enactment of this Act a solar fuels research 
initiative strategic plan. The 10-year plan should discuss 
research challenges and opportunities, program goals, and 
milestones to overcome scientific and technological 
impediments. The plan should also include a description of the 
planned coordination between the Office of Science and EERE to 
leverage basic research and early-stage translational research 
in solar fuels to accelerate the pace of innovation, an 
assessment of U.S. leadership in solar fuels research relative 
to international competition, and the extent to which 
investments are sufficient to maintain U.S. leadership.

                 ADVANCED SCIENTIFIC COMPUTING RESEARCH

    The Advanced Scientific Computing Research program develops 
and hosts some of the world's fastest computing and network 
capabilities to enable science and energy modeling, simulation, 
and research.
    Exascale Computing Project.--The recommendation includes 
$170,000,000 for exascale activities.
    High Performance Computing and Network Facilities.--In 
addition to the long-term exascale initiative, the Committee 
supports continued upgrade and operation of the Leadership 
Computing Facilities at Argonne and Oak Ridge national 
laboratories and of the High Performance Production Computing 
capabilities at Lawrence Berkeley National Laboratory. The 
recommendation includes $100,000,000 for the Argonne Leadership 
Computing Facility, $112,000,000 for the Oak Ridge Leadership 
Computing Facility, and $92,000,000 for the National Energy 
Research Scientific Computing Center at Lawrence Berkeley 
National Laboratory. Within available funds, the recommendation 
includes $65,000,000 to support necessary infrastructure 
upgrades and operations for ESnet.
    The Committee is concerned that the deployment plan for an 
exascale machine has undergone major changes without an 
appropriately defined cost and performance baseline. The 
Department is directed to provide to the Committees on 
Appropriations of both Houses of Congress not later than 90 
days after the enactment of this Act an update to the exascale 
plan that includes a detailed cost and performance baseline, 
taking into account flat and slightly increasing funding 
assumptions, for the technological challenges remaining to be 
solved to deliver an exascale machine.

                         BASIC ENERGY SCIENCES

    The Basic Energy Sciences program funds basic research in 
materials science, chemistry, geoscience, and bioscience. The 
science breakthroughs in this program enable a broad array of 
innovation in energy technologies and other industries critical 
to American economic competitiveness.
    Research.--The recommendation provides no funding for the 
continued operation of the Batteries and Energy Storage 
Innovation Hub and the Fuels from Sunlight Innovation Hub. 
However, the recommendation includes $10,000,000 for 
competitive awards that continue similar research activities 
previously supported by the Hubs. Within available funds, the 
Committee directs the continued support of all the nanoscience 
research centers and urges optimal operations for all the light 
sources. The recommendation includes $15,000,000 for the 
Experimental Program to Stimulate Competitive Research, 
$489,109,000 for facilities operations of the nation's light 
sources, $261,000,000 for facilities operations of the high 
flux neutron sources, and $122,272,000 for facilities 
operations of the nanoscale science research centers.

                 BIOLOGICAL AND ENVIRONMENTAL RESEARCH

    The Biological and Environmental Research (BER) program 
supports advances in energy technologies and related science 
through research into complex biological and environmental 
systems. The Committee encourages the Department to give 
priority to optimizing the operation of BER user facilities and 
the programs that utilize them.
    The Committee continues to support the Department's funding 
for academia to perform studies that include the collection and 
evaluation of atmospheric data from satellite observations 
obtained in cooperation with NASA. Satellite observations of 
the atmosphere, within the context of the Earth as a global 
system, provide information that is critical in the 
interpretation of earth-based observations. Additionally, the 
Department encourages cooperative research on this topic with 
the national laboratories and the National Oceanic and 
Atmospheric Administration.
    The Committee notes that the Office of Biological and 
Environmental Research has pioneered research in fundamental 
genomic science of plants and microbes. The Committee urges the 
Department to build upon and leverage this expertise and to 
invest in scientific infrastructure needed to facilitate a 
deeper understanding of the fundamental principles governing 
microbiome establishment, function, and interactions in diverse 
environments, fostering a predictive understanding of how 
microbiomes interact with plants, control the availability of 
materials such as carbon, nutrients, and contaminants, and 
respond to changes in the environment.
    The recommendation includes $40,000,000, the same as the 
budget request, for the Bioenergy Research Centers selected 
from recompetition in fiscal year 2017. Additionally, the 
recommendation supports the operation of the Joint Genome 
Institute.

                         FUSION ENERGY SCIENCES

    The Fusion Energy Sciences program supports basic research 
and experimentation aiming to harness nuclear fusion for energy 
production.
    University-led research helps further U.S. research in 
fusion energy and trains the next generation of scientists. In 
fiscal year 2017, the Department was directed to summarize the 
fusion energy sciences program's current collaborations with 
universities and report back to the Committee. The Committee 
looks forward to the results of this report.
    Research.--The Committee recommends $214,027,000 for 
burning plasma science foundations, $42,069,000 for burning 
plasma science long pulse, and $75,904,000 for discovery plasma 
science. Within available funds, the recommendation provides 
$17,500,000 for High Energy Density Laboratory Plasmas and 
$17,000,000 for Scientific Discovery through Advanced 
Computing.
    Construction.--The Committee recommends $63,000,000 for the 
U.S. contribution to the ITER project. The Committee continues 
to believe the ITER project represents an important step 
forward for energy sciences and has the potential to 
revolutionize the current understanding of fusion energy.

                          HIGH ENERGY PHYSICS

    The High Energy Physics program supports fundamental 
research into the elementary constituents of matter and energy 
and ultimately into the nature of space and time. The program 
focuses on particle physics theory and experimentation in three 
areas: the energy frontier, which investigates new particles 
and fundamental forces through high-energy experimentation; the 
intensity frontier, which focuses on rare events to better 
understand our fundamental model of the universe's elementary 
constituents; and the cosmic frontier, which investigates the 
nature of the universe and its form of matter and energy on 
cosmic scales.
    Research.--Within available funds, the recommendation 
provides $9,800,000 for the Large Synoptic Survey Telescope 
Camera and $29,500,000 for the dark energy and dark matter 
experiments.

                            NUCLEAR PHYSICS

    The Nuclear Physics program supports basic research into 
the fundamental particles that compose nuclear matter, how they 
interact, and how they combine to form the different types of 
matter observed in the universe today.
    Operations and Maintenance.--Within available funds, the 
Department is encouraged to fund optimal operations at Thomas 
Jefferson National Accelerator Facility to support runtime at 
the 12GeV Continuous Electron Beam Accelerator Facility and at 
Brookhaven National Laboratory to support runtime at the 
Relativistic Heavy Ion Collider.

                         Nuclear Waste Disposal


 
 
 
Appropriation, 2017...................................            $- - -
Budget estimate, 2018.................................        90,000,000
Recommended, 2018.....................................        90,000,000
Comparison:
    Appropriation, 2017...............................       +90,000,000
    Budget estimate, 2018.............................             - - -
 

    The Committee recommendation includes $90,000,000 for 
Nuclear Waste Disposal to continue the Department of Energy's 
statutorily required activities for the Yucca Mountain license 
application. Within available funds, the Department is directed 
to reestablish its capability to respond to the Nuclear 
Regulatory Commission during the adjudicatory process and to 
otherwise fully support the Yucca Mountain licensing process. 
The recommendation includes support for affected units of local 
government that have formally consented to host Yucca Mountain.

         Title 17 Innovative Technology Loan Guarantee Program


                        ADMINISTRATIVE EXPENSES


                    (INCLUDING RESCISSIONS OF FUNDS)

                          GROSS APPROPRIATION

 
 
 
Appropriation, 2017...................................       $37,000,000
Budget estimate, 2018.................................         2,000,000
Recommended, 2018.....................................         2,000,000
Comparison:
    Appropriation, 2017...............................       -35,000,000
    Budget estimate, 2018.............................             - - -
 

                         OFFSETTING COLLECTIONS

 
 
 
Appropriation, 2017...................................      $-30,000,000
Budget estimate, 2018.................................        -2,000,000
Recommended, 2018.....................................        -2,000,000
Comparison:
    Appropriation, 2017...............................       +28,000,000
    Budget estimate, 2018.............................             - - -
 

                               RESCISSION

 
 
 
Appropriation, 2017...................................            $- - -
Budget estimate, 2018.................................      -250,000,000
Recommended, 2018.....................................      -411,000,000
Comparison:
    Appropriation, 2017...............................      -411,000,000
    Budget estimate, 2018.............................      -161,000,000
 

                           NET APPROPRIATION

 
 
 
Appropriation, 2017...................................        $7,000,000
Budget estimate, 2018.................................      -250,000,000
Recommended, 2018.....................................      -411,000,000
Comparison:
    Appropriation, 2017...............................      -418,000,000
    Budget estimate, 2018.............................      -161,000,000
 

    The Committee notes that the rescinded loan authority 
excludes authority used for conditional commitments made by 
October 1, 2017.

        Advanced Technology Vehicles Manufacturing Loan Program


 
 
 
Appropriation, 2017...................................        $5,000,000
Budget estimate, 2018.................................         2,000,000
Recommended, 2018.....................................         5,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................        +3,000,000
 

    The Energy Independence and Security Act of 2007 
established a direct loan program to support the development of 
advanced technology vehicles and associated components in the 
United States. The program provides loans to automobile and 
automobile part manufacturers for the cost of re-equipping, 
expanding, or establishing manufacturing facilities in the 
United States to produce advanced technology vehicles or 
qualified components, and for associated engineering 
integration costs. The funds provided support administrative 
operations only.

                  Tribal Energy Loan Guarantee Program


 
 
 
Appropriation, 2017...................................            $- - -
Budget estimate, 2018.................................             - - -
Recommended, 2018.....................................           500,000
Comparison:
    Appropriation, 2017...............................          +500,000
    Budget estimate, 2018.............................          +500,000
 

    The Energy Policy Act of 2005 established a loan guarantee 
program for energy development to provide or expand electricity 
on Indian land. The funds provided support administrative 
operations only.

                      Departmental Administration


                          GROSS APPROPRIATION

 
 
 
Appropriation, 2017...................................      $246,000,000
Budget estimate, 2018.................................       241,652,000
Recommended, 2018.....................................       281,693,000
Comparison:
    Appropriation, 2017...............................       +35,693,000
    Budget estimate, 2018.............................       +40,041,000
 

                                REVENUES

 
 
 
Appropriation, 2017...................................     $-103,000,000
Budget estimate, 2018.................................       -96,000,000
Recommended, 2018.....................................       -96,000,000
Comparison:
    Appropriation, 2017...............................        +7,000,000
    Budget estimate, 2018.............................             - - -
 

                           NET APPROPRIATION

 
 
 
Appropriation, 2017...................................      $143,000,000
Budget estimate, 2018.................................       145,652,000
Recommended, 2018.....................................       185,693,000
Comparison:
    Appropriation, 2017...............................       +42,693,000
    Budget estimate, 2018.............................       +40,041,000
 

    Funding recommended for Departmental Administration 
provides for general management and program support functions 
benefiting all elements of the Department of Energy, including 
the National Nuclear Security Administration. The account funds 
a wide array of Headquarters activities not directly associated 
with the execution of specific programs. The recommendation 
includes six reprogramming control points in this account to 
provide flexibility in the management of support functions. 
Other Departmental Administration includes Management, Project 
Management Oversight and Assessments, Chief Human Capital 
Officer, Office of Technology Transitions, Office of Small and 
Disadvantaged Business Utilization, General Counsel, Energy 
Policy and Systems Analysis, International Affairs, and Public 
Affairs. The Department is directed to continue to submit a 
budget request that proposes a separate funding level for each 
of these activities.
    Economic Impact and Diversity.--The recommendation includes 
$10,169,000 for Economic Impact and Diversity, the same as 
fiscal year 2017 and $169,000 more than the budget request.
    Chief Information Officer.--The recommendation includes 
$126,274,000, including $91,443,000 as requested within 
Departmental Administration and $34,831,000 as requested for 
CyberOne activities within the DOE working capital fund. Within 
this amount, not less than $68,974,000 shall be for 
cybersecurity and secure information. To enhance the 
accountability for management of cyber resources, the Committee 
recommendation consolidates cybersecurity funding under the 
Office of the Chief Information Officer.
    Renewable Fuel Standard.--Under section 211(o)(9)(B) of the 
Clean Air Act, a small refinery may petition the Environmental 
Protection Agency (EPA) Administrator for an exemption from the 
Renewable Fuel Standard (RFS) on the basis that the refinery 
experiences a disproportionate economic hardship under the RFS. 
When evaluating a petition, the Administrator consults with the 
Secretary of Energy to determine whether disproportionate 
economic hardship exists. According to the Department's March 
2011 Small Refinery Exemption Study, disproportionate economic 
hardship must encompass two broad components: a high cost of 
compliance relative to the industry average disproportionate 
impacts and an effect sufficient to cause a significant 
impairment of the refinery operations viability. If the 
Secretary finds that either of these two components exists, the 
Committee directs the Secretary to recommend to the EPA 
Administrator at least a 50 percent waiver of RFS requirements 
for the petitioner. The Committee also directs the Secretary to 
score all of the metrics in the study and to score the metrics 
according to the 2011 study scoring criteria and not any later 
addendum to the study. The Secretary is directed to seek small 
refinery comment before making changes to its scoring metrics 
for small refinery petitions for RFS waivers and to notify the 
Committee prior to making any final changes to scoring metrics. 
Only the impact on the small refinery's transportation fuel 
margins are pertinent to measuring RFS impacts on relative 
refining margins. The Committee notes that the conference 
report accompanying the Energy and Water Development and 
Related Agencies Appropriations Act, 2010, addressed similar 
issues and directed the Secretary to redo an earlier study done 
to evaluate whether the RFS program imposes a disproportionate 
economic hardship on small refineries. In calling for the 
Secretary to redo the study, the conference report cited the 
lack of small refinery input into the earlier study, concerns 
about regional RFS compliance cost disparities, small refinery 
dependence on the purchase of renewable fuel credits (RINs), 
and increasing RIN costs. Since then, the dramatic rise in RIN 
prices has amplified RFS compliance and competitive 
disparities, especially where unique regional factors exist, 
including high diesel production, no export access, and limited 
biodiesel infrastructure and production. In response to 
petitions in prior years, the Secretary determined that the RFS 
program would impose a disproportionate economic and structural 
impact on several small refineries. Despite this determination, 
the Secretary did not recommend, and EPA did not provide, any 
RFS relief because it determined the refineries were profitable 
enough to afford the cost of RFS compliance without 
substantially impacting their viability. The Committee reminds 
the Secretary that the RFS program may impose a 
disproportionate economic hardship on a small refinery even if 
the refinery makes enough profit to cover the cost of complying 
with the program. Small refinery profitability does not justify 
a disproportionate regulatory burden where Congress has 
explicitly given EPA authority, in consultation with the 
Secretary, to reduce or eliminate this burden.

                    Office of the Inspector General


 
 
 
Appropriation, 2017...................................       $44,424,000
Budget estimate, 2018.................................        49,000,000
Recommended, 2018.....................................        49,000,000
Comparison:
    Appropriation, 2017...............................        +4,576,000
    Budget estimate, 2018.............................             - - -
 

    The Office of the Inspector General performs agency-wide 
audit, inspection, and investigative functions to identify and 
correct management and administrative deficiencies that create 
conditions for existing or potential instances of fraud, waste, 
and mismanagement. The audit function provides financial and 
performance audits of programs and operations. The inspections 
function provides independent inspections and analyses of the 
effectiveness, efficiency, and economy of programs and 
operations. The investigative function provides for the 
detection and investigation of improper and illegal activities 
involving programs, personnel, and operations.
    To the extent possible, the Inspector General shall ensure 
the findings of its investigative reports are made available to 
the Committee and the public. Revised reports may be required 
in order to protect information that would otherwise limit 
distribution to Internal Official Use Only.

                    ATOMIC ENERGY DEFENSE ACTIVITIES

    The Atomic Energy Defense Activities programs of the 
Department of Energy in the National Nuclear Security 
Administration (NNSA) consist of Weapons Activities, Defense 
Nuclear Nonproliferation, Naval Reactors, and Federal Salaries 
and Expenses; outside of the NNSA, these include Defense 
Environmental Cleanup, Other Defense Activities, and Defense 
Nuclear Waste Disposal. Descriptions of each of these accounts 
are provided below.

                NATIONAL NUCLEAR SECURITY ADMINISTRATION

    The Department of Energy is responsible for enhancing U.S. 
national security through the military application of nuclear 
technology and reducing the global danger from the 
proliferation of weapons of mass destruction. The NNSA, a semi-
autonomous agency within the Department, carries out these 
responsibilities. Established in March 2000 pursuant to title 
32 of the National Defense Authorization Act for Fiscal Year 
2000, the NNSA is responsible for the management and operation 
of the nation's nuclear weapons complex, naval reactors, and 
nuclear nonproliferation activities.
    The recommendation includes $13,914,400,000 for the NNSA, 
$976,148,000 above fiscal year 2017 and $16,600,000 below the 
budget request.

                           Weapons Activities


 
 
 
Appropriation, 2017...................................    $9,318,093,000
Budget estimate, 2018.................................    10,239,344,000
Recommended, 2018.....................................    10,239,344,000
Comparison:
    Appropriation, 2017...............................      +921,251,000
    Budget estimate, 2018.............................             - - -
 

    Weapons Activities ensures the safety, security, 
reliability, and effectiveness of the nation's nuclear weapons 
stockpile without nuclear testing by providing funding to four 
main elements: Directed Stockpile Work; Research, Development, 
Technology and Engineering; Infrastructure and Operations; and 
Security.
    Affordability of Nuclear Modernization Programs.--To ensure 
that the nation's existing nuclear weapons remain safe, 
reliable, and effective, the NNSA must modernize the nuclear 
weapons stockpile and its related infrastructure. As 
recommended by the Government Accountability Office (GAO), the 
NNSA is directed to include an assessment of the affordability 
of NNSA's portfolio of modernization programs in future 
versions of its Stockpile Stewardship and Management Plan and 
options to bring its estimates of modernization funding needs 
into alignment with potential future budgets.
    Improving the Efficiency of NNSA Sites.--Over the past 
several years, the DOE Inspector General has identified issues 
with the management and oversight of the indirect cost pools at 
the NNSA sites, including the use of general and administrative 
funds to conduct research into laser inertial fusion energy, 
improper use of licensing and royalty funds for a National 
Geographic documentary, improper payments for consultants not 
attributed to any scope of work, and hundreds of millions in 
questioned, unresolved and potentially unallowable costs. 
Recently, the NNSA provided the Committee with a notification 
that it intended to perform an additional $76,800,000 in 
infrastructure projects that were previously unreported, are of 
limited benefit to the weapons program, and are over budget. 
These additional costs will ultimately be charged 
proportionally to all program activities at the laboratories 
via the indirect cost pools, including life extension programs 
whose costs are already trending upwards. The NNSA must take 
action to keep costs in line and complete its projects on time 
and on budget by reducing the proliferation of non-mission and 
administrative costs being charged to weapons programs at its 
nuclear weapons laboratories and production sites. Not later 
than 120 days after the enactment of this Act, the NNSA shall 
provide to the Committees on Appropriations of both Houses of 
Congress a plan to reduce the rates of its overhead indirect 
cost pools at each site by at least five percent in aggregate 
by fiscal year 2020.
    Improving the Return on Infrastructure Investments.--The 
Committee is concerned that the NNSA's prioritization, 
planning, and execution of its infrastructure activities does 
not adequately address the need to reduce the high maintenance 
and operating cost of its facilities or the need to control 
project scope to provide the best value to the taxpayer while 
still meeting requirements. The NNSA has not budgeted 
sufficiently for risk reduction in excess facilities or 
footprint reduction projects and appears to have abandoned its 
previous goals to reduce the footprint and operating costs of 
its Albuquerque Federal Complex. The NNSA has not moved forward 
with mature projects that would eliminate the need to maintain 
and upgrade security zones while improving site security 
postures, such as the West End Protected Area Reduction project 
at Y-12 or the Material Staging Facility at Pantex. Instead, 
the budget request proposes a new Tritium Production Capability 
Project to construct 30,000 square feet of new processing space 
at a high end cost of $16,633 per square foot, which would be 
the highest cost per square foot of any NNSA nuclear facility 
to date. Within infrastructure and operations and security, the 
Committee recommendation makes efforts, where possible, to 
improve efficiency, address the safety issues and risks posed 
by aging legacy facilities, and more effectively meet goals to 
modernize and upgrade the NNSA's infrastructure. In addition, 
the Committee continues to place a strong emphasis on reducing 
the backlog of deferred maintenance.

                        DIRECTED STOCKPILE WORK

    Directed Stockpile Work includes all activities that 
directly support weapons in the nuclear stockpile, including 
maintenance, research, development, engineering, certification, 
dismantlement, and disposal activities. The Committee 
recommends $3,977,026,000 for Directed Stockpile Work, 
$668,999,000 above fiscal year 2017 and the same as the budget 
request.
    Life Extension Programs.--The recommendation provides full 
funding for the NNSA's life extension programs, including the 
ongoing refurbishment efforts for the B61, W76, W88, and W80 
warheads.
    W80-4 Life Extension Program.--The NNSA's Office of Cost 
Estimating and Program Evaluation is directed to conduct a 
review on the alternatives analyzed for the W80-4 life 
extension program and report to the Committees on 
Appropriations of both Houses of Congress not later than 60 
days after the enactment of this Act on whether the NNSA 
considered a wide range of alternatives that would meet 
requirements and whether accurate cost data regarding potential 
alternatives was available and utilized to inform decision-
making.
    Strategic Materials.--A secure supply of beryllium is 
essential to ensuring the reliability of the U.S. nuclear 
stockpile. Government manufacturing of beryllium has become 
increasingly outdated and expensive. The Committee encourages 
the NNSA to investigate the feasibility of developing a new and 
efficient contractor-operated beryllium and beryllium-oxide 
production capability that can supply NNSA needs more 
effectively and affordably.

           RESEARCH, DEVELOPMENT, TECHNOLOGY, AND ENGINEERING

    The NNSA's Research, Development, Technology, and 
Engineering (RDT&E;) activities focus on the development and 
maintenance of critical capabilities, tools, and processes that 
support science-based stockpile stewardship and continued 
certification of the stockpile in the absence of underground 
nuclear testing. For RDT&E;, the Committee recommends 
$2,003,632,000, $161,402,000 above fiscal year 2017 and 
$24,730,000 below the budget request.
    Science.--The recommendation supports the request to 
increase the number of subcritical experiments that are 
necessary to gather data and improve the physics-based 
computational models used for the annual assessment and 
certification of the nuclear weapons stockpile.
    Academic Alliances and Partnerships.--The recommendation 
includes $18,832,000 for the Minority Serving Institution 
Partnerships Program, including funding for Tribal Colleges and 
Universities.
    Inertial Confinement Fusion and High Yield.--The Committee 
recommends $522,959,000, of which $68,000,000 is for the OMEGA 
Laser Facility at the University of Rochester, $330,000,000 is 
for the National Ignition Facility (NIF), and $8,000,000 is for 
the Naval Research Laboratory. The NNSA has made little 
progress in achieving measurable results towards ignition over 
the past two years and does not plan to perform any assessments 
on its ability to achieve ignition until at least 2020. Not 
later than 120 days after the enactment of this Act, the NNSA 
shall provide to the Committees on Appropriations of both 
Houses of Congress a plan with specific performance milestones 
for its experimental activities that covers a five-year period 
and that includes milestones to achieve ignition and to support 
other stockpile activities.
    Advanced Simulation and Computing.--Within the amounts for 
exascale, $12,000,000 is provided for research on advanced 
memory technology research to address exascale technical 
challenges.

                     INFRASTRUCTURE AND OPERATIONS

    Infrastructure and Operations provides funding for the 
operations, maintenance, and recapitalization of NNSA 
facilities and infrastructure. The Committee recommends 
$2,808,363,000 for Infrastructure and Operations, the same as 
fiscal year 2017 and $5,226,000 above the budget request.
    Operations of Facilities.--The recommendation includes 
$848,470,000 for Operations of Facilities. No funding is 
provided to prepare transuranic waste at Lawrence Livermore 
National Laboratory for shipment to the Waste Isolation Pilot 
Plant (WIPP). There is insufficient capacity to begin accepting 
newly-generated transuranic waste at WIPP due to the degraded 
status of its ventilation system. Newly-identified streams of 
transuranic wastes should not delay shipments that are already 
in the queue and that are required to meet cleanup commitments 
when alternatives may be available. The NNSA is directed to 
investigate alternatives for managing its newly-generated 
transuranic wastes, including storage and processing options 
available at other DOE sites, to meet operating needs until 
such time as additional capacity at WIPP is available.
    Maintenance and Repair of Facilities.--The Committee 
recommends $395,000,000. Within this amount, not less than 
$10,000,000 shall be to address structural, electrical, and 
other maintenance deficiencies within the deteriorating Lithium 
Production Facility.
    Recapitalization.--The Committee recommends $545,359,000 to 
restore funding for the Infrastructure and Safety program to 
the fiscal year 2017 level. Of the additional amounts provided 
above the budget request, $43,000,000 is to support excess 
facility disposition at the Pantex Plant, Y-12 National 
Security Site, and other NNSA sites, including up to $9,000,000 
to demolish facilities and utilities along the proposed new leg 
of the PIDAS at the Y-12 National Security Complex and up to 
$7,000,000 to support de-inventory, risk reduction, and pre-
demolition activities at Alpha 5 and Beta-4 that must be 
accomplished before the NNSA can transfer those facilities to 
the Office of Environmental Management.
    18-D-650 Material Staging Facility, PX.--The Committee 
recommends $5,200,000 to advance plans to construct an 
underground facility for safe and efficient staging of weapons 
and weapons components that would enhance the site's security 
posture and reduce the future recapitalization mortgage related 
to Zone 4 West and the associated PIDAS replacements.
    16-D-515 Albuquerque Complex Project, Albuquerque, NM.--The 
Committee recommends $18,000,000 to continue project 
engineering and design. Despite analyses it performed at the 
start of the project that concluded the NNSA would need 279,000 
square feet of new office space to meet its needs, the project 
has grown in scope to a 333,000 square foot office complex 
since project funding was last provided by the Congress. None 
of the project funds may be available for construction until 
the NNSA can provide a design for new office space that will 
meet program mandates to reduce the footprint and achieve 
operating savings.
    06-D-141 Uranium Processing Facility (UPF), Y-12.--In its 
fiscal year 2017 budget request, the NNSA reported it would 
have a sufficient amount of the design completed to establish a 
baseline and begin construction for the Main Process Building, 
Salvage and Accountability Building, and the Process Support 
Facilities in the fourth quarter of fiscal year 2017. The 
fiscal year 2018 budget request indicates these activities have 
slipped into the second quarter of fiscal year 2018 and the 
NNSA's cost estimates for design, equipment, and other 
construction activities have increased by $46,000,000, 
$33,000,000, and $409,000,000, respectively. To address these 
rising costs, the NNSA has redistributed $403,000,000, or 29 
percent, of its project contingency funds that are budgeted to 
address unforeseen issues, and has proposed increasing funding 
$43,000,000 above the fiscal year 2018 estimates included in 
the fiscal year 2017 Future Years Nuclear Security Plan. The 
NNSA also does not have a certified and compliant earned value 
management system in place for the project, which is necessary 
to accurately track project performance. Given the trend in 
rising costs and slipping schedules before major facility 
construction has started, the Committee encourages the NNSA to 
put in place a valid performance tracking system and ensure 
that it sets a performance baseline that adequately addresses 
project risks. Furthermore, the NNSA is encouraged to take 
management action to limit scope creep and reduce risks that 
would otherwise result in the NNSA exceeding the cost 
commitment of $6,500,000,000. The recommendation includes 
$620,000,000, full funding of the fiscal year 2018 needs as 
reported in last year's projections for the project, but defers 
funding requested to address project cost growth until a full 
independent cost estimate has been provided to the Committees 
on Appropriations of both Houses of Congress.
    04-D-125 Chemistry and Metallurgy Research (CMR) 
Replacement Project, LANL.--The Committee recommends 
$177,239,000. Funding for the CMR Replacement Project shall be 
limited to that of the original mission need for the project, 
that is, to relocate existing analytic chemistry and materials 
characterization capabilities from the legacy CMR facility, as 
directed in previous years. The Committee rejects the NNSA's 
continued proposal to restructure this 15 year-old project into 
a rolling series of open ended ``subprojects'' that have no 
clear scope and mission need associated with them. The NNSA has 
not resolved issues detailed by the GAO on setting clear 
parameters and requirements when structuring its plutonium 
recapitalization projects. The Committee is also concerned by 
the NNSA's recently announced plans to continue to operate the 
deteriorating CMR building instead of meeting its prior 
commitments to vacate the facility by 2019, despite the risks 
posed by the facility's location on a possible seismic fault. 
Not later than 30 days after the enactment of this Act, the 
NNSA shall provide to the Committees on Appropriations of both 
Houses of Congress a plan for vacating this facility as soon as 
possible that is not dependent on the NNSA's success in meeting 
pit production targets.

                                SECURITY

    Physical Security Improvement Program.--The Committee 
recommends $30,000,000 to modernize and upgrade physical 
security systems at the NNSA sites that are nearing the end of 
design life. The NNSA did not propose sufficient funding in its 
budget request to begin to address the substantial backlog of 
projects for security infrastructure and is behind on providing 
a plan mandated by the Congress to address the issue.
    17-D-710 West End Protected Area Reduction Project, Y-12.--
The Committee recommends $23,400,000. The NNSA is directed to 
provide to the Committees on Appropriations of both Houses of 
Congress quarterly updates on its progress in advancing the 
project until such time as the NNSA can demonstrate a 
commitment to move the project forward.

                       LEGACY CONTRACTOR PENSIONS

    The Committee provides $232,050,000 for payments into the 
legacy University of California contractor employee defined 
benefit pension plans.

                    Defense Nuclear Nonproliferation


                    (INCLUDING RESCISSION OF FUNDS)

 
 
 
Appropriation, 2017...................................    $1,902,000,000
Budget estimate, 2018.................................     1,842,310,000
Recommended, 2018.....................................     1,825,461,000
Comparison:
    Appropriation, 2017...............................       -76,539,000
    Budget estimate, 2018.............................       -16,849,000
 

    The Defense Nuclear Nonproliferation account provides 
funding to programs of the National Nuclear Security 
Administration that prevent, counter, and respond to global 
nuclear threats. The Committee recommendation rescinds 
$49,000,000 in unexpended prior-year balances, as requested.
    Nuclear Posture Review.--With a Nuclear Posture Review 
currently underway, the Committee encourages the Administration 
to address the importance of nonproliferation activities in 
U.S. nuclear strategy, including efforts to prevent nuclear 
terrorism, counter the proliferation of nuclear material and 
technologies, stop the attainment of nuclear weapons 
capabilities, and enhance strategic stability.
    Continuing U.S. Nonproliferation Activities in Russia.--The 
recommendation includes no new funds to enter into contracts 
and agreements with Russia in fiscal year 2018, the same as 
fiscal year 2017 and the budget request.
    Commercial Nuclear Fuel Reprocessing.--In 1977, President 
Carter issued a policy statement prohibiting the commercial 
reprocessing and recycling of plutonium. DOE shall investigate 
the status of this policy and report to the Committees on 
Appropriations of both Houses of Congress on the impacts to the 
U.S. commercial nuclear power industry and whether it is in the 
U.S. national security interest to continue the policy.

                    DEFENSE NUCLEAR NONPROLIFERATION

    Funding for the Office of Defense Nuclear Nonproliferation 
is provided across five programmatic areas: Global Material 
Security, Material Management and Minimization, 
Nonproliferation and Arms Control, Defense Nuclear 
Nonproliferation R&D;, and Nonproliferation Construction. To 
preserve and advance science and engineering expertise in 
uranium for purposes of national security and nonproliferation, 
the Committee encourages the ongoing collaboration between the 
Office of Defense Nuclear Nonproliferation and the DOE Office 
of Intelligence and Counterintelligence.
    Global Material Security.--Within funds for domestic 
radiological materials, the recommendation includes up to 
$10,000,000 to expand the capacity of radiological security 
programs designed to replace cesium-137 chloride irradiation 
sources with alternate technologies that cannot be used in 
radiological dispersal devices. Replacing these cesium sources 
with safe alternatives provides permanent threat reduction and 
eliminates the need for the NNSA to assist in costly security 
upgrades to irradiator facilities. Within funds for Global 
Material Security, the recommendation includes $101,180,000 for 
Nuclear Smuggling Detection and Deterrence. Due to the delays 
in executing agreements with foreign nations, the NNSA has 
sufficient prior-year balances to support fiscal year 2018 
needs.
    Material Management and Minimization.--Nuclear materials 
management plans at the Savannah River Site (SRS) indicate the 
site is planning to receive plutonium, uranium, and other 
nuclear materials for the next 15 years and that H-Canyon 
would, from fiscal years 2018 to 2024, process 40 metric tons 
of highly enriched uranium (HEU) to support the NNSA's HEU 
downblending activities. By the end of 2017, nearly 75 percent 
of the number of fuel assemblies or items in L-Basin will be 
materials transported from foreign and domestic research 
reactors to reduce proliferation risks and prevent theft and 
diversion. Many of the countries from which the NNSA has 
transported materials are high income nations, including 
Sweden, Belgium, Italy, and Japan. While the NNSA has raised 
the cost share to these countries, the substantial costs of 
receiving, storing, processing, and final disposition are 
nevertheless being transferred onto DOE's cleanup program. The 
EM budget is further burdened by the NNSA's need to restart 
plutonium disposal operations at SRS in order to avoid fines 
for its failure to meet MOX milestones. Not later than 60 days 
after the enactment of this Act, the NNSA shall provide to the 
Committees on Appropriations of both Houses of Congress a 
report on the costs to establish an enduring program for the 
repatriation and elimination of international fuel cycle 
materials to further U.S. nonproliferation and other nuclear 
security goals through the maintenance, operation, and upgrade 
of facilities currently funded within Nuclear Material 
Management of the Defense Environmental Cleanup appropriation.
    Conversion.--The Committee recommends $27,400,000 for 
national laboratory support of domestic Mo-99 production using 
low enriched uranium (LEU) targets and international agreements 
for the conversion of research reactors to LEU fuels. Funds 
requested for the development of LEU fuels for U.S. and DOE-
owned nuclear reactors are provided within Defense Nuclear 
Nonproliferation R&D;, as in fiscal year 2017. The 
recommendation does not include $19,600,000 requested to 
support the final cost share amounts for Mo-99 projects since 
sufficient unencumbered prior-year funds exist. While the NNSA 
continues to request close-out of the domestic Mo-99 
development program, the Committee encourages the NNSA to 
reconsider competitively awarding new cooperative agreements 
given the limited success of the NNSA's program in establishing 
a secure domestic producer that does not use HEU.
    Material Disposition.--The Committee recommends $1,000,000 
for the Uranium Lease and Takeback Program. The recommendation 
does not include $24,000,000 requested to conduct additional 
planning activities for the dilute and dispose alternative to 
the construction of the Mixed Oxide Fuel Fabrication (MOX) 
facility. The Congress has already appropriated $20,000,000 in 
prior years to develop higher fidelity lifecycle cost estimates 
and is awaiting the results of those efforts.
    MOX Fuel Fabrication Facility.--The Committee recommends 
$340,000,000. The recommendation provides sufficient funding to 
sustain the current pace of construction on the MOX facility in 
fiscal year 2018 and prohibits the use of MOX funding to 
terminate the project while the Congress is considering an 
alternative approach for disposing of these materials. Within 
available funds, $5,000,000 is provided for a federal owner's 
agent to provide independent and external assistance to the 
NNSA in providing oversight to the contractor and to ensure 
efficient execution of the MOX project.
    18-D-150 Surplus Plutonium Disposition Project, SRS.--The 
recommendation includes no funds for this project. DOE does not 
yet have the legal or regulatory basis for diluting 34 metric 
tons of plutonium at Savannah River and disposing of that 
material in the Waste Isolation Pilot Plant (WIPP). In 
addition, DOE is specifically prohibited by 50 U.S.C 2566 from 
transferring plutonium into South Carolina until MOX production 
objectives are met. The Committee will not consider this 
proposal as an alternative to MOX until the NNSA submits a 
substantive programmatic proposal that includes: (1) 
legislative modifications needed to the WIPP Land Withdrawal 
Act and to statutory requirements for the disposition of 
weapons-usable plutonium at the Savannah River Site; (2) safety 
and environmental analyses that demonstrate that the 34 metric 
tons can be safely disposed of at WIPP, as required by the 
National Environmental Policy Act (NEPA); (3) detailed cost and 
schedule estimates that have been independently verified; and 
(4) a plan for negotiations with impacted states and the 
Russian Federation on modifications to the Plutonium Management 
Disposition Agreement if U.S. participation in the agreement is 
still in the interest of U.S. national security.
    18-D-150 Plutonium Removal Project, SRS.--The Committee 
recognizes the NNSA's need to begin removing plutonium from the 
State of South Carolina and recommends $9,000,000 to dispose of 
up to 6 metric tons of plutonium that cannot be used for MOX 
fuel for which DOE has issued a record of decision and has 
obtained regulatory concurrence for disposal in WIPP. Not later 
than 30 days after the enactment of this Act, the NNSA shall 
provide to the Committees on Appropriations of both Houses of 
Congress a plan for removing from the State of South Carolina 
an amount of defense plutonium or defense plutonium materials 
equal to the amount of defense plutonium or defense plutonium 
materials transferred to the State after April 15, 2002.
    Defense Nuclear Nonproliferation Research and Development 
(DNN R&D;).--The Committee recommends $523,595,000. As in fiscal 
year 2017, the recommendation includes funds for LEU fuels 
development for U.S. high performance research reactors within 
DNN R&D; to better align research and development-related 
activities with the resident expertise for managing a long term 
development program within the Office of Defense Nuclear 
Nonproliferation, and to respond to concerns detailed in a 
National Academies study regarding the complexity of technical 
issues that must be overcome to convert those reactors over the 
next 15 years. The amount for LEU fuels development also 
includes funding to develop LEU fuel for the TREAT reactor.

             NUCLEAR COUNTERTERRORISM AND INCIDENT RESPONSE

    The NNSA's Nuclear Counterterrorism and Incident Response 
programs respond to and mitigate nuclear and radiological 
incidents worldwide in order to defend the nation from the 
threat of nuclear terrorism. The Committee recommends 
$277,360,000.

                       LEGACY CONTRACTOR PENSIONS

    The Committee provides $40,950,000 for payments into the 
legacy University of California contractor employee defined 
benefit pension plans.

                             Naval Reactors


                     (INCLUDING TRANSFER OF FUNDS)

 
 
 
Appropriation, 2017...................................    $1,420,120,000
Budget estimate, 2018.................................     1,479,751,000
Recommended, 2018.....................................     1,486,000,000
Comparison:
    Appropriation, 2017...............................       +65,880,000
    Budget estimate, 2018.............................        +6,249,000
 

    The Naval Reactors (NR) program is responsible for all 
aspects of naval nuclear propulsion from technology development 
through reactor operations to ultimate reactor plant disposal. 
The program provides for the design, development, testing, and 
evaluation of improved naval nuclear propulsion plants and 
reactor cores. The recommendation fully funds the request to 
develop the Columbia-Class submarine, previously identified as 
the Ohio-replacement submarine, and to refuel the S8G 
prototype, which is closely linked to the Columbia-Class 
submarine.
    Infrastructure Reprioritization.--The Committee recommends 
a total of $619,382,000 to support infrastructure needs of 
Naval Reactors sites, an increase of $21,400,000 above fiscal 
year 2017 and $7,798,000 above the budget request. The 
recommendation reprioritizes infrastructure funds to prevent 
delays to plans to recapitalize NR's aging spent fuel 
infrastructure. NR's budget request does not adequately plan 
sufficient carryover to support the Idaho Spent Fuel Handling 
Recapitalization Project into fiscal year 2019. Rather, the 
project plans would have drawn down contingency balances in 
fiscal year 2018 and added an unacceptable amount of risk to 
completing the project on time and within budget. The 
recommendation includes funding for environmental remediation 
and laboratory facility regulation and compliance activities 
within funding for Naval Reactors Operations and Infrastructure 
at the levels planned for those activities in the fiscal year 
2017 Future Years Nuclear Security Plan.
    Naval Reactors Development.--Within amounts for Naval 
Reactors Development, $82,500,000 is provided for Advanced Test 
Reactor Operations.

                     Federal Salaries and Expenses


 
 
 
Appropriation, 2017...................................      $390,000,000
Budget estimate, 2018.................................       418,595,000
Recommended, 2018.....................................       412,595,000
Comparison:
    Appropriation, 2017...............................       +22,595,000
    Budget estimate, 2018.............................        -6,000,000
 

    The Federal Salaries and Expenses account provides 
corporate planning and oversight for Defense Programs, Defense 
Nuclear Nonproliferation, and Naval Reactors, including the 
NNSA field offices in New Mexico, Nevada, and California.

               ENVIRONMENTAL AND OTHER DEFENSE ACTIVITIES


                     Defense Environmental Cleanup


 
 
 
Appropriation, 2017...................................    $5,405,000,000
Budget estimate, 2018.................................     5,537,186,000
Recommended, 2018.....................................     5,405,000,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................      -132,186,000
 

    The Defense Environmental Cleanup account provides funding 
for identifying and reducing risks and managing waste at sites 
where the nation carried out defense-related nuclear research 
and production activities that resulted in radioactive, 
hazardous, and mixed waste contamination requiring remediation, 
stabilization, or some other cleanup action.
    The Office of Environmental Management (EM) continues to 
request changes to the congressional budget structure without 
obtaining concurrence in advance from the Congress on its 
proposals, despite specific direction to the contrary in prior 
years. In addition, the budget request proposes large increases 
in administrative-type activities and cuts to site cleanup 
funds. The recommendation restores cuts proposed to cleanup 
activities at Hanford, Idaho, Los Alamos, and Oak Ridge and 
redistributes costs within site funding totals for site-
specific safeguards and security activities. The Committee 
recommendation for safeguards and security within each site 
includes full funding amounts requested for site-specific cyber 
security needs. Additionally, Savannah River shall continue to 
receive safeguard and security funds through the NNSA and EM 
indirect cost pools, as in previous years. The recommendation 
does not include an increase requested for the DOE working 
capital fund and funding is provided up to the level of and in 
the budget lines provided for these costs in fiscal year 2017. 
Closure and Other Sites Administration includes funding for 
administration costs, including safeguards and security costs, 
of other EM cleanup sites that are traditionally accounted for 
within Defense Environmental Cleanup.
    Excess Facilities.--The budget request proposed a new 
program line to allow for disposition of excess facilities, but 
the request did not propose a list of the facilities and cost 
estimates. The recommendation includes funding above the budget 
request for individual EM sites to accelerate known demolition 
projects and initiate new transfers to EM, including 
$35,000,000 within Oak Ridge Nuclear Facility D&D; to support 
the demolition of the Y-12 Biology Complex, $30,000,000 within 
NNSA Sites and Nevada Off-sites for demolition of the B280 Pool 
Type Reactor at Lawrence Livermore National Laboratory, and up 
to $10,000,000 above the budget request within the Idaho Site 
to support the demolition of the EBR-II Reactor Dome.
    Closure and Other Administration Costs.--The recommendation 
includes funding requested for administration of DOE closure 
sites and administration of safeguards and security activities, 
including cybersecurity, for the West Valley Demonstration 
Project and the gaseous diffusion uranium enrichment sites.
    Waste Treatment Plant (WTP).--To demonstrate cleanup 
progress while the Department resolves safety-related design 
issues of the WTP project, DOE is implementing an alternative 
direct feed approach for the project. However, the budget 
request provides no specific information regarding ultimate 
costs of the project or how the new project plans will meet new 
schedule milestones for direct feed, despite finalizing a new 
performance baseline to manage this scope. Rather, the budget 
request for construction activities is not transparent, appears 
to be set at an arbitrary amount, and is not reflective of 
actual project needs. The recommendation provides $643,000,000 
under 18-D-16 Waste Treatment Plant LBL/Direct Feed Low 
Activity Waste to fully support planned baseline activities for 
direct feed, consistent with the funding plans of its recently 
completed performance baseline and $14,000,000 above the budget 
request. Other construction activities that support the Waste 
Treatment Plant project are provided separately, including 
funding for maintenance and design resolution of the High-Level 
Waste facility and the Pretreatment Facility and for 
construction of the Low Activity Waste Pretreatment System. The 
Department is directed to discontinue the practice of 
requesting an arbitrary $690,000,000 under activities called 
the Waste Treatment Plant (WTP) project and to report full 
project details that reflect project execution plans in future 
budget requests.
    Hanford Site Management.--Congress directed the 
establishment of the Office of River Protection site office and 
set a termination date for September 30, 2019. The Department 
is directed to provide to the Committees on Appropriations of 
both Houses of Congress a report on the impacts for reaching 
the legislative sunset date of the Office of River Protection 
that includes an assessment of whether the Department can carry 
out its commitments to clean up the Hanford Site under the Tri-
party Agreement with a single site office and whether 
consolidating the two site offices could streamline management, 
enhance accountability, and eliminate duplicative expenses.
    Idaho Site.--Within available funds for Idaho cleanup and 
waste disposition, $5,000,000 is for advanced retrieval and 
disposition techniques for remote handled mixed low-level 
radioactive waste. Not later than 60 days after the enactment 
of this Act, the Department shall provide to the Committees on 
Appropriations of both Houses of Congress a report on the 
feasibility and benefits of expanding the use of the Advanced 
Mixed Waste Treatment Facility to serve as a national or 
regional transuranic waste processing center.
    Oak Ridge Reservation Project Accelerations.--The 
recommendation includes $52,300,000 to expedite plans to 
dispose of U233 at the Oak Ridge Reservation, $17,100,000 for 
construction of the Outfall 200 Mercury Treatment Facility, and 
$10,000,000 for construction of the On-site Waste Disposal 
Facility.
    Savannah River Site.--Within available funds for Site Risk 
Management, the recommendation includes $159,978,000 for 
environmental cleanup activities to support compliance 
milestones and $3,000,000 to support the disposition of spent 
fuel from the High Flux Isotope Reactor. None of the funds 
provided within the Savannah River Site may be used to assume 
costs previously charged to the NNSA via the site's indirect 
cost pools.
    Waste Isolation Pilot Plant (WIPP).--A recent report of the 
Office of Enterprise Assessments indicated that DOE performance 
metrics for roof bolting and other rehabilitation activities 
are not adequate to provide measures for safe, effective ground 
control. Additionally, large portions of the underground are no 
longer considered safe for entry and must be permanently closed 
due to ineffective ground control measures over the last two 
years. Because DOE planned to use these areas for waste 
disposal, new areas must be mined to provide disposal capacity 
and the costs of full recovery continue to rise. Not later than 
60 days after the enactment of this Act, the Department shall 
provide to the Committees on Appropriations of both Houses of 
Congress a plan for maintaining the underground with clear 
performance metrics for roof bolting and other ground control 
rehabilitation activities, including estimates of the funding 
requirements to fully support the plan. Metrics should 
distinguish activities needed to close out existing panels with 
those needed for maintenance of active waste disposal pathways, 
secondary areas, and new mining activities.
    Program Support.--The Committee is concerned about the 
antiquated state of EM headquarters planning and budgeting 
systems to analyze EM's complex portfolio of projects. The 
Department is directed to update its strategic planning tools 
to utilize modern, dynamic software that permits real-time and 
strategic analysis of resource requirements, funding variances, 
regulatory requirements, and scope changes to better ensure 
taxpayers return on investments in the EM program.
    Technology Development.--Within funding for technology 
development and deployment, $4,000,000 is provided for the 
National Spent Nuclear Fuel Program to address issues related 
to storing, transporting, processing, and disposing of DOE-
owned and managed spent nuclear fuel. The Committee encourages 
EM to conduct merit-based funding awards for technology 
development and to ensure the funds provided are competitively 
awarded and managed by DOE Headquarters to address long-term 
cleanup mission needs.

                        Other Defense Activities


 
 
 
Appropriation, 2017...................................      $784,000,000
Budget estimate, 2018.................................       815,512,000
Recommended, 2018.....................................       825,000,000
Comparison:
    Appropriation, 2017...............................       +41,000,000
    Budget estimate, 2018.............................        +9,488,000
 

    The Other Defense Activities account provides funding for 
the Office of Environment, Health, Safety and Security; the 
Office of Independent Enterprise Assessments; the Office of 
Legacy Management; Specialized Security Activities; Defense 
Related Administrative Support; and the Office of Hearings and 
Appeals.
    Environment, Health, Safety and Security.--The 
recommendation includes no funding for processing security 
clearances of headquarters personnel that are not employees of 
the Office of Environment, Health, Safety and Security, 
consistent with congressional direction in the fiscal year 2017 
Act.
    The Committee is concerned that the Office of Environment, 
Health, Safety and Security (EHSS) is funding assessments and 
technology development to upgrade security systems at non-
defense facilities of the Strategic Petroleum Reserve and the 
Power Marketing Administrations. Funding within EHSS is 
duplicative of funds also provided for physical security in 
those program accounts, and the Department is directed to 
consolidate these costs within funds provided for physical 
security systems at program sites.

                     Defense Nuclear Waste Disposal


 
 
 
Appropriation, 2017...................................            $- - -
Budget estimate, 2018.................................        30,000,000
Recommended, 2018.....................................        30,000,000
Comparison:
    Appropriation, 2017...............................       +30,000,000
    Budget estimate, 2018.............................             - - -
 

    The Defense Nuclear Waste Disposal appropriation was 
established by the Congress for activities related to the 
disposal of defense high-level waste from the Department's 
atomic energy defense activities in lieu of payment from the 
Department of Energy into the Nuclear Waste Fund.

                    POWER MARKETING ADMINISTRATIONS

    Management of the federal power marketing functions was 
transferred from the Department of the Interior to the 
Department of Energy in the Department of Energy Organization 
Act of 1977 (Public Law 95-91). These functions include the 
power marketing activities authorized under section 5 of the 
Flood Control Act of 1944 and all other functions of the 
Bonneville Power Administration, the Southeastern Power 
Administration, the Southwestern Power Administration, and the 
power marketing functions of the Bureau of Reclamation that 
have been transferred to the Western Area Power Administration.
    All four power marketing administrations give preference in 
the sale of their power to publicly-owned and cooperatively-
owned utilities. Operations of the Bonneville Power 
Administration are financed principally under the authority of 
the Federal Columbia River Transmission System Act (Public Law 
93-454). Under this Act, the Bonneville Power Administration is 
authorized to use its revenues to finance the costs of its 
operations, maintenance, and capital construction, and to sell 
bonds to the Treasury if necessary to finance any additional 
capital program requirements.
    Beginning in fiscal year 2011, power revenues from the 
Southeastern, Southwestern, and Western Area Power 
Administrations, which were previously classified as mandatory 
offsetting receipts, were reclassified as discretionary 
offsetting collections to directly offset annual expenses. The 
capital expenses of Southwestern and Western Area Power 
Administrations are appropriated annually.
    Beginning this fiscal year, the Congressional Budget Office 
(CBO) changed its scoring of the power marketing 
administrations (PMAs). The change stemmed from information on 
execution of language regarding purchase power and wheeling 
expenses and offsetting collections included in this bill each 
year. To date, the PMAs have been extremely slow to provide 
additional financial information. To address the increased 
score in the short term, the recommendation reduces the maximum 
level for purchase power and wheeling below the budget request. 
The Committee directs the PMAs to provide all information 
requested by the Committee or CBO, without exception, in order 
to accurately reflect expenditures and resolve scoring issues 
appropriately.

                  Bonneville Power Administration Fund

    The Bonneville Power Administration (BPA) is the Department 
of Energy's marketing agency for electric power in the Pacific 
Northwest. Bonneville provides electricity to a 300,000 square 
mile service area in the Columbia River drainage basin. 
Bonneville markets the power from federal hydropower projects 
in the Northwest, as well as power from non-federal generating 
facilities in the region, and exchanges and markets surplus 
power with Canada and California.
    The Committee encourages the Corps of Engineers and Bureau 
of Reclamation to work with the BPA on efforts to drive down 
costs and promote BPA's long-term competitiveness. Assuring BPA 
competitiveness is important not only for BPA's operation, but 
to ensure Treasury repayment and assist the Corps and 
Reclamation in meeting their core functions (including 
navigation, flood control, water supply, and irrigation). The 
Committee is pleased that the operating agencies have taken 
important short-term steps on cost control and encourages 
efforts to make long-term improvements. The Committee 
encourages the Corps and Bureau to work with BPA to optimize 
investment in the federal hydropower system, including 
prioritization of investments, effective project management 
approaches such as efficient procurement of equipment and 
services, and ensuring the cost effectiveness of any proposed 
higher capital spending levels for hydropower facilities. In 
addition, the Committee urges the operating agencies to 
strongly consider matters such as: (1) a more flexible 
workforce and business-oriented organization; (2) increased 
reliance on system automation as appropriate; (3) strategies to 
get labor costs stable or reduced long term; and (4) further 
review of costs of conducting the new environmental impact 
statement for Columbia River System Operations to determine 
what costs are truly incremental.

      Operation and Maintenance, Southeastern Power Administration


 
 
 
Appropriation, 2017...................................            $- - -
Budget estimate, 2018.................................             - - -
Recommended, 2018.....................................             - - -
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................             - - -
 

    The Southeastern Power Administration (SEPA) markets 
hydroelectric power produced at 22 Corps Projects in 11 states 
in the southeast. Southeastern does not own or operate any 
transmission facilities, so it contracts to ``wheel'' its power 
using the existing transmission facilities of area utilities.

      Operation and Maintenance, Southwestern Power Administration


 
 
 
Appropriation, 2017...................................       $11,057,000
Budget estimate, 2018.................................        11,400,000
Recommended, 2018.....................................        11,400,000
Comparison:
    Appropriation, 2017...............................          +343,000
    Budget estimate, 2018.............................             - - -
 

    The Southwestern Power Administration (SWPA) markets 
hydroelectric power produced at 24 Corps projects in the six-
state area of Arkansas, Kansas, Louisiana, Missouri, Oklahoma, 
and Texas. SWPA operates and maintains 1,380 miles of 
transmission lines, along with supporting substations and 
communications sites.

 Construction, Rehabilitation, Operation and Maintenance, Western Area 
                          Power Administration


 
 
 
Appropriation, 2017...................................       $95,581,000
Budget estimate, 2018.................................        93,372,000
Recommended, 2018.....................................        93,372,000
Comparison:
    Appropriation, 2017...............................        -2,209,000
    Budget estimate, 2018.............................             - - -
 

    The Western Area Power Administration is responsible for 
marketing the electric power generated by the Bureau of 
Reclamation, the Corps, and the International Boundary and 
Water Commission. Western also operates and maintains a system 
of transmission lines nearly 17,000 miles long. Western 
provides electricity to 15 western states over a service area 
of 1.3 million square miles.
    The Committee recommendation reduces the level for annual 
expenses by $35,410,000 below the budget request. This 
reduction reflects customer preference to fund the annual 
operation and maintenance program for the Parker-Davis and 
Intertie projects using Western's prepayment authority, rather 
than Western's net zero authority.

           Falcon and Amistad Operating and Maintenance Fund


 
 
 
Appropriation, 2017...................................          $232,000
Budget estimate, 2018.................................           228,000
Recommended, 2018.....................................           228,000
Comparison:
    Appropriation, 2017...............................            -4,000
    Budget estimate, 2018.............................             - - -
 

    Falcon Dam and Amistad Dam are two international water 
projects located on the Rio Grande River between Texas and 
Mexico. Power generated by hydroelectric facilities at these 
two dams is sold to public utilities through the Western Area 
Power Administration. The Foreign Relations Authorization Act 
for Fiscal Years 1994 and 1995 created the Falcon and Amistad 
Operating and Maintenance Fund to defray the costs of 
operation, maintenance, and emergency activities. The Fund is 
administered by the Western Area Power Administration for use 
by the Commissioner of the U.S. Section of the International 
Boundary and Water Commission.
    The budget request includes a proposal for authority to 
accept contributed funds in fiscal year 2018 for use in 
fulfilling duties associated with the Falcon and Amistad Dams. 
This authority would be equivalent to the authority used 
throughout the Western Area Power Administration to secure 
alternative financing. The Committee includes this proposal.
    The Committee continues to hear concerns that additional 
infrastructure investments are necessary at these dams. Western 
is directed to coordinate with the International Boundary and 
Water Commission to determine a plan for addressing any needed 
improvements and brief the Committee not later than 90 days 
after the enactment of this Act on progress towards finalizing 
a plan.

                  Federal Energy Regulatory Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, 2017...................................      $346,800,000
Budget estimate, 2018.................................       367,600,000
Recommended, 2018.....................................       367,600,000
Comparison:
    Appropriation, 2017...............................       +20,800,000
    Budget estimate, 2018.............................             - - -
 

                                REVENUES

 
 
 
Appropriation, 2017...................................     $-346,800,000
Budget estimate, 2018.................................      -367,600,000
Recommended, 2018.....................................      -367,600,000
Comparison:
    Appropriation, 2017...............................       -20,800,000
    Budget estimate, 2018.............................             - - -
 

    The Committee recommendation for the Federal Energy 
Regulatory Commission (FERC) is $367,600,000, the same as the 
budget request. Revenues for FERC are established at a rate 
equal to the budget authority, resulting in a net appropriation 
of $0.
    The Committee directs FERC to analyze electricity 
transmission investment incentives in rate treatments to 
determine ways to encourage efficient investment for critical 
infrastructure security. FERC shall report this analysis to the 
Committees on Appropriations of both Houses of Congress not 
later than 180 days after the enactment of this Act.

                        COMMITTEE RECOMMENDATION

    The Committee's detailed funding recommendations for 
programs in Title III are contained in the following table.


               *GENERAL PROVISIONS--DEPARTMENT OF ENERGY


                     (INCLUDING TRANSFER OF FUNDS)

    The bill includes a provision that prohibits the use of 
funds provided in this title to initiate requests for 
proposals, other solicitations or arrangements for new programs 
or activities that have not yet been approved and funded by the 
Congress; requires notification or a report for certain funding 
actions; prohibits funds to be used for certain multi-year 
``Energy Programs'' activities without notification; prohibits 
the obligation or expenditure of funds provided in this title 
through a reprogramming of funds except in certain 
circumstances; and permits the transfer and merger of 
unexpended balances of prior appropriations with appropriation 
accounts established in this bill.
    The bill continues a provision that authorizes intelligence 
activities of the Department of Energy for purposes of section 
504 of the National Security Act of 1947.
    The bill continues a provision that prohibits the use of 
funds in this title for capital construction of high hazard 
nuclear facilities, unless certain independent oversight is 
conducted.
    The bill continues a provision that prohibits the use of 
funds provided in this title to approve critical decision-2 or 
critical decision-3 for certain construction projects, unless a 
separate independent cost estimate has been developed for that 
critical decision.
    The bill continues a provision restricting certain 
activities in the Russian Federation.
    The bill includes a provision regarding authority to 
release refined petroleum product from the Strategic Petroleum 
Reserve (SPR). Instead of engaging the Congress on developing 
appropriate legislation for a regional refined petroleum 
product reserve, the previous Administration chose to establish 
the Northeast Gasoline Supply Reserve (NGSR) under the existing 
authorities of the SPR. As such, the NGSR is subject to 
national impact thresholds for releases, making it 
operationally ineffective as a regional product reserve. The 
Committee on Energy and Commerce of the House of 
Representatives is evaluating the proper configuration of the 
SPR in light of current circumstances. This evaluation will be 
informed, in part, by an assessment of the SPR being undertaken 
by the Government Accountability Office. While this work is 
ongoing, this bill includes temporary authority to ensure the 
operational effectiveness of the NGSR.
    The bill includes a provision regarding a drawdown and sale 
of crude oil from the Strategic Petroleum Reserve.
    The bill continues a provision regarding management of the 
Strategic Petroleum Reserve.
    The bill includes a provision limiting the amount of funds 
to be used for the working capital fund.

                     TITLE IV--INDEPENDENT AGENCIES


                    Appalachian Regional Commission


 
 
 
Appropriation, 2017...................................      $152,000,000
Budget estimate, 2018.................................        26,660,000
Recommended, 2018.....................................       130,000,000
Comparison:
    Appropriation, 2017...............................       -22,000,000
    Budget estimate, 2018.............................      +103,340,000
 

    The Appalachian Regional Commission (ARC) is a regional 
economic development agency established in 1965 by the 
Appalachian Regional Development Act (P.L. 89-4). It is 
composed of the governors of the 13 Appalachian States and a 
federal co-chair appointed by the President. Each year, the ARC 
provides funding for several hundred projects in the 
Appalachian Region in areas such as business development, 
education and job training, telecommunications, infrastructure, 
community development, housing, and transportation.
    To diversify and enhance regional business development, 
$10,000,000 is provided to continue the program of high-speed 
broadband deployment in distressed counties within the Central 
Appalachian region that have been most negatively impacted by 
the downturn in the coal industry. This funding shall be in 
addition to the 30 percent directed to distressed counties.
    Within available funds, the Committee directs $50,000,000 
for activities in support of the POWER+ Plan.
    The ARC targets 50 percent of its funds to distressed 
counties or distressed areas in the Appalachian region. The 
Committee continues to believe this should be the primary focus 
of the ARC. The recommendation does not include funds to shut 
down the ARC.

                Defense Nuclear Facilities Safety Board


                         SALARIES AND EXPENSES

 
 
 
Appropriation, 2017...................................       $30,872,000
Budget estimate, 2018.................................        30,600,000
Recommended, 2018.....................................        30,600,000
Comparison:
    Appropriation, 2017...............................          -272,000
    Budget estimate, 2018.............................             - - -
 

    The Defense Nuclear Facilities Safety Board (DNFSB) was 
created by the fiscal year 1989 National Defense Authorization 
Act. The Board, composed of five members appointed by the 
President, provides advice and recommendations to the Secretary 
of Energy regarding public health and safety issues at the 
Department's defense nuclear facilities. The DNFSB is 
responsible for reviewing and evaluating the content and 
implementation of the standards relating to the design, 
construction, operation, and decommissioning of the Department 
of Energy's defense nuclear facilities.

                        Delta Regional Authority


                         SALARIES AND EXPENSES

 
 
 
Appropriation, 2017...................................       $25,000,000
Budget estimate, 2018.................................         2,500,000
Recommended, 2018.....................................        15,000,000
Comparison:
    Appropriation, 2017...............................       -10,000,000
    Budget estimate, 2018.............................       +12,500,000
 

    The Delta Regional Authority (DRA) is a federal-state 
partnership established by the Delta Regional Authority Act of 
2000 (P.L. 106-554) that serves a 252-county/parish area in an 
eight-state region near the mouth of the Mississippi River. Led 
by a federal co-chair and the governors of each participating 
state, the DRA is designed to remedy severe and chronic 
economic distress by stimulating economic development and 
fostering partnerships that will have a positive impact on the 
region's economy. The DRA seeks to help local communities 
leverage other federal and state programs that are focused on 
basic infrastructure development, transportation improvements, 
business development, and job training services. Under federal 
law, at least 75 percent of appropriated funds must be invested 
in distressed counties and parishes, with 50 percent of the 
funds for transportation and basic infrastructure improvements.
    The recommendation does not include funds to shut down the 
DRA.

                           Denali Commission


 
 
 
Appropriation, 2017...................................       $15,000,000
Budget estimate, 2018.................................         7,300,000
Recommended, 2018.....................................        11,000,000
Comparison:
    Appropriation, 2017...............................        -4,000,000
    Budget estimate, 2018.............................        +3,700,000
 

    The Denali Commission is a regional development agency 
established by the Denali Commission Act of 1998 (P.L. 105-277) 
to provide critical utilities, infrastructure, health services, 
and economic support throughout Alaska. To ensure that local 
communities have a stake in Commission-funded projects, local 
cost share requirements for construction and equipment have 
been established for both distressed and non-distressed 
communities.
    The recommendation does not include funds to shut down the 
Denali Commission.

                  Northern Border Regional Commission


 
 
 
Appropriation, 2017...................................       $10,000,000
Budget estimate, 2018.................................           850,000
Recommended, 2018.....................................         5,000,000
Comparison:
    Appropriation, 2017...............................        -5,000,000
    Budget estimate, 2018.............................        +4,150,000
 

    The Food, Conservation, and Energy Act of 2008 (P.L.110-
234) authorized the establishment of the Northern Border 
Regional Commission as a federal-state partnership intended to 
address the economic development needs of distressed portions 
of the four-state region of Maine, New Hampshire, Vermont, and 
New York.
    The recommendation does not include funds to shut down the 
Northern Border Regional Commission.

                 Southeast Crescent Regional Commission


 
 
 
Appropriation, 2017...................................          $250,000
Budget estimate, 2018.................................             - - -
Recommended, 2018.....................................           250,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................          +250,000
 

    The Food, Conservation, and Energy Act of 2008 (P.L. 110-
234) authorized the establishment of the Southeast Crescent 
Regional Commission as a federal-state partnership intended to 
address the economic development needs of distressed portions 
of the seven-state region in the southeastern United States not 
already served by a regional development agency.

                     Nuclear Regulatory Commission


                         SALARIES AND EXPENSES

 
 
 
Appropriation, 2017...................................      $905,000,000
Budget estimate, 2018.................................       939,137,000
Recommended, 2018.....................................       939,137,000
Comparison:
    Appropriation, 2017...............................       +34,137,000
    Budget estimate, 2018.............................             - - -
 

                                REVENUES

 
 
 
Appropriation, 2017...................................     $-794,580,000
Budget estimate, 2018.................................      -803,409,000
Recommended, 2018.....................................      -779,829,000
Comparison:
    Appropriation, 2017...............................       +14,751,000
    Budget estimate, 2018.............................       +23,580,000
 

                           NET APPROPRIATION

 
 
 
Appropriation, 2017...................................      $110,420,000
Budget estimate, 2018.................................       135,728,000
Recommended, 2018.....................................       159,308,000
Comparison:
    Appropriation, 2017...............................       +48,888,000
    Budget estimate, 2018.............................       +23,580,000
 

    The Committee recommendation for the Nuclear Regulatory 
Commission (NRC) provides the following amounts:

                                             (Dollars in thousands)
----------------------------------------------------------------------------------------------------------------
                                                                      FY 2017         FY 2018
                             Account                                  enacted         request       Cmte. rec.
----------------------------------------------------------------------------------------------------------------
Nuclear Reactor Safety..........................................        $462,300        $466,655        $466,655
Nuclear Materials and Waste Safety..............................         113,700         113,145         113,145
Decommissioning and Low-Level Waste.............................          27,200          27,980          27,980
Integrated University Program...................................          15,000           - - -          15,000
Yucca licensing.................................................           - - -          30,000          30,000
Corporate Support...............................................         309,800         301,357         301,357
                                                                 -----------------------------------------------
    TOTAL, Program Level........................................         928,000         939,137         954,137
Savings and Carryover...........................................         -23,000           - - -         -15,000
                                                                 -----------------------------------------------
    TOTAL.......................................................         905,000         939,137         939,137
----------------------------------------------------------------------------------------------------------------

    The recommendation includes $15,000,000 in savings for 
fiscal year 2018 that was not included in the budget request. 
The Committee directs the Commission to apply these savings in 
a manner that continues to ensure the protection of public 
health and safety and maintains the effectiveness of the 
current inspection program.
    Within available funds, not more than $9,500,000 is 
included for salaries, travel, and other support costs for the 
Office of the Commission. These salaries and expenses shall 
include only salaries and benefit and travel costs, and not 
general and administrative and infrastructure costs. The 
Committee directs that these funds are to be jointly managed by 
the Commissioners, and the bill requires that the use and 
expenditure of these salaries and expenses shall only be by a 
majority vote of the Commission. The NRC shall continue to 
include a breakout and explanation of the Commission salaries 
and expenses in its annual budget requests. If the Commission 
wishes to change the composition of the funds requested for its 
salaries and expenses in future years, it must do so in an 
annual budget request or through a reprogramming.
    The recommendation directs $30,000,000 to continue 
adjudication of the Yucca Mountain license application.
    Integrated University Program.--The Committee 
recommendation includes $15,000,000 to provide financial 
support for the university education programs, as the 
Commission continues to be reliant on a pipeline of highly 
trained nuclear engineers and scientists and benefits 
substantially from this university program. Not less than 
$5,000,000 of this amount is to be used for grants to support 
research projects that do not align with programmatic missions, 
but are critical to maintaining the discipline of nuclear 
science and engineering.
    Project Aim.--The Committee commends the NRC for the 
progress made to date on the Project Aim initiative. The NRC's 
twin workforce goals under this initiative--of correctly sizing 
the agency staff while also increasing workforce agility--will 
enhance the NRC's ability to address emergent safety issues in 
a timely way. However, the dynamic environment of the nuclear 
industry will continue to challenge the NRC's ability to 
forecast needed competencies and staffing levels. To address 
this, the NRC has undertaken the Enhanced Strategic Workforce 
Planning initiative. While this effort is meritorious, the NRC 
acknowledges that this initiative will not incorporate the 
efficiency gains of process improvements already implemented 
under Project Aim and consequently could result in 
overestimates of needed FTEs. The NRC must continue to review 
the organizational structure of the agency to ensure that staff 
and resources are aligned to support estimated workload 
requirements and that the estimates themselves reflect recent 
efficiency gains. The NRC is directed to provide to the 
Committees on Appropriations of both Houses of Congress by 
February 5, 2018, a report on the actions taken to improve the 
fidelity of agency estimates of necessary FTE levels and to 
optimize the structure of the agency over the next five years, 
including a review of the size, function, and number of program 
offices and regional offices.
    Risk-Informed Activities.--The Committee notes that the 
Commission's existing policy statement on the use of 
probabilistic risk assessment (PRA) finds that the many 
potential applications of this risk tool, if implemented 
broadly in nuclear regulatory activities, ``would promote 
regulatory stability and efficiency'' and concludes that the 
use of probabilistic insights ``should be increased to the 
extent supported by the state-of-the-art.'' The Committee 
agrees with this policy and supports sustained progress by the 
NRC in continuing to apply risk analysis tools to identify 
areas where its regulations may be insufficiently protective 
and where they may be needlessly restrictive. Given the 
Commission's recent direction to agency staff reaffirming the 
Commission's interest in sustained progress in the 
implementation of this policy and directing a suite of follow-
on actions, the Commission is directed to submit to the 
Committees on Appropriations of both Houses of Congress not 
later than 120 days after enactment of this Act a report that 
provides its plan for broadening the application of risk 
assessment tools across the agency's activities; for improving 
the realism of PRA information used in regulatory decision-
making; for establishing a more risk-informed licensing, 
inspection, and oversight process; and for training its 
technical staff more thoroughly in the use of these approaches.
    Rulemaking.--The Commission needs to continue to 
aggressively monitor the rulemaking process and also ensure 
that the Committee receives accurate reports on rulemaking 
activities. The Commission shall list all rulemaking activities 
planned, to include their priority, schedule, and actions taken 
to adhere to the backfit rule, in the annual budget request and 
the semi-annual report to Congress on licensing and regulatory 
activities.
    Digital Instrumentation and Control.--The future of 
commercial nuclear power depends, in part, on the NRC's ability 
to keep pace with innovation and technological developments. 
The NRC has demonstrated its capacity to adapt to new 
technology and innovation in its decision to issue a 
construction license for a first-of-a-kind medical isotope 
production facility. In a similar vein, the NRC should endeavor 
to ensure that it establishes an efficient, reliable, and 
predictable licensing process for power reactors to transition 
from analog to digital instrumentation and control systems for 
safety-related applications.
    Subsequent License Renewal.--The Commission is directed to 
include in the fiscal year 2019 budget request the actions 
taken to be prepared to effectively and efficiently review any 
subsequent license renewal applications.
    Reporting Requirements.--The Committee directs the 
Commission to continue to provide quarterly reports on 
licensing goals and right-sizing commitments, as described in 
the explanatory statement for P.L. 114-113.

                      OFFICE OF INSPECTOR GENERAL

                          GROSS APPROPRIATION

 
 
 
Appropriation, 2017...................................       $12,129,000
Budget estimate, 2018.................................        12,859,000
Recommended, 2018.....................................        12,859,000
Comparison:
    Appropriation, 2017...............................              +730
    Budget estimate, 2018.............................             - - -
 

                                REVENUES

 
 
 
Appropriation, 2017...................................      $-10,044,000
Budget estimate, 2018.................................       -10,555,000
Recommended, 2018.....................................       -10,555,000
Comparison:
    Appropriation, 2017...............................              -511
    Budget estimate, 2018.............................             - - -
 

                           NET APPROPRIATION

 
 
 
Appropriation, 2017...................................        $2,085,000
Budget estimate, 2018.................................         2,304,000
Recommended, 2018.....................................         2,304,000
Comparison:
    Appropriation, 2017...............................              +219
    Budget estimate, 2018.............................             - - -
 

    The Committee has included $1,131,000 within this 
appropriation for the Defense Nuclear Facilities Safety Board 
for Inspector General services from the Nuclear Regulatory 
Commission Inspector General.

                  Nuclear Waste Technical Review Board


                         SALARIES AND EXPENSES

 
 
 
Appropriation, 2017...................................        $3,600,000
Budget estimate, 2018.................................         3,600,000
Recommended, 2018.....................................         3,600,000
Comparison:
    Appropriation, 2017...............................             - - -
    Budget estimate, 2018.............................             - - -
 

    The Nuclear Waste Technical Review Board (NWTRB) was 
established by the 1987 amendments to the Nuclear Waste Policy 
Act of 1982 to provide independent technical oversight of the 
Department of Energy's nuclear waste disposal program. The 
Committee expects the NWTRB to continue its active engagement 
with the Department and the Nuclear Regulatory Commission on 
issues involving nuclear waste disposal.

                GENERAL PROVISIONS--INDEPENDENT AGENCIES

    The bill continues a provision requiring the Nuclear 
Regulatory Commission to fully comply with Congressional 
requests for information.
    The bill continues a provision regarding the circumstances 
in which the Nuclear Regulatory Commission may reprogram funds.

                      TITLE V--GENERAL PROVISIONS

    The bill continues a provision that prohibits the use of 
funds provided in this Act to, in any way, directly or 
indirectly influence congressional action on any legislation or 
appropriation matters pending before the Congress, other than 
to communicate to Members of Congress as described in section 
1913 of title 18, United States Code.
    The bill continues a provision consolidating the transfer 
authorities into and out of accounts funded by this Act. No 
additional transfer authority is implied or conveyed by this 
provision. For the purposes of this provision, the term 
``transfer'' shall mean the shifting of all or part of the 
budget authority in one account to another.
    The bill continues a provision prohibiting funds in 
contravention of E.O. 12898 of February 11, 1994, regarding 
environmental justice.
    The bill includes a provision prohibiting funds in this Act 
from being used to maintain or establish computer networks 
unless such networks block the viewing, downloading, or 
exchange of pornography.
    The bill includes a provision prohibiting the use of funds 
to further implementation of components of the National Ocean 
Policy developed under E.O. 13547.
    The bill includes a provision prohibiting the use of funds 
for the removal of any federally owned or operated dam unless 
the removal was previously authorized by Congress.
    The bill continues a provision prohibiting funds in this 
Act from being used to close the Yucca Mountain license 
application process or for actions that would remove the 
possibility that Yucca Mountain might be an option in the 
future.
    The bill includes a provision regarding the spending 
reduction account.

              HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS

    The following items are included in accordance with various 
requirements of the Rules of the House of Representatives.

         Statement of General Performance Goals and Objectives

    Pursuant to clause 3(c)(4) of rule XIII of the Rules of the 
House of Representatives, the following is a statement of 
general performance goals and objectives for which this measure 
authorizes funding:
    The Committee on Appropriations considers program 
performance, including a program's success in developing and 
attaining outcome-related goals and objectives, in developing 
funding recommendations.

                           Transfer of Funds

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following is submitted describing 
the transfer of funds provided in the accompanying bill.

                   TITLE I--CORPS OF ENGINEERS--CIVIL

    Under section 103, ``General Provisions, Corps of 
Engineers--Civil'', $5,400,000 under the heading ``Operation 
and Maintenance'' may be transferred to the Fish and Wildlife 
Service to mitigate for fisheries lost due to Corps projects.

                    TITLE II--BUREAU OF RECLAMATION

    Under ``Water and Related Resources'', $67,693,000 is 
available for transfer to the Upper Colorado River Basin Fund 
and $5,551,000 is available for transfer to the Lower Colorado 
River Basin Development Fund. Such funds as may be necessary 
may be advanced to the Colorado River Dam Fund. The amounts of 
transfers may be increased or decreased within the overall 
appropriation under the heading.
    Under ``California Bay Delta Restoration'', such sums as 
may be necessary to carry out authorized purposes may be 
transferred to appropriate accounts of other participating 
federal agencies.

                    TITLE III--DEPARTMENT OF ENERGY

    Under ``Atomic Energy Defense Activities--National Nuclear 
Security Administration--Naval Reactors'', $82,500,000 shall be 
transferred to ``Department of Energy--Energy Programs--Nuclear 
Energy'' for the Advanced Test Reactor.
    Under section 301, ``General Provisions--Department of 
Energy'', unexpended balances of prior appropriations provided 
for activities in this Act may be transferred to appropriation 
accounts for such activities established pursuant to this 
title. Balances so transferred may be merged with funds in the 
applicable established accounts and thereafter may be accounted 
for as one fund for the same time period as originally enacted.

   Disclosure of Earmarks and Congressionally Directed Spending Items

    Neither the bill nor the report contains any congressional 
earmarks, limited tax benefits, or limited tariff benefits as 
defined in clause 9 of rule XXI.

               Changes in the Application of Existing Law

    Pursuant to clause 3(f)(1)(A) of rule XIII of the Rules of 
the House of Representatives, the following statements are 
submitted describing the effect of provisions in the 
accompanying bill which directly or indirectly change the 
application of existing law.

                      TITLE I--CORPS OF ENGINEERS

    Language has been included under Corps of Engineers, 
Investigations, providing for detailed studies and plans and 
specifications of projects prior to construction.
    Language has been included under Corps of Engineers, 
Investigations, providing for a limited number of new starts.
    Language has been included under Corps of Engineers, 
Construction, stating that funds can be used for the 
construction of river and harbor, flood and storm damage 
reduction, shore protection, aquatic ecosystem restoration, and 
related projects authorized by law, and for detailed studies 
and plans and specifications of such projects.
    Language has been included under Corps of Engineers, 
Construction, permitting the use of funds from the Inland 
Waterways Trust Fund and the Harbor Maintenance Trust Fund.
    Language has been included under Corps of Engineers, 
Construction, providing for a limited number of new starts.
    Language has been included under Corps of Engineers, 
Mississippi River and Tributaries, permitting the use of funds 
from the Harbor Maintenance Trust Fund.
    Language has been included under the Corps of Engineers, 
Operation and Maintenance, stating that funds can be used for: 
the operation, maintenance, and care of existing river and 
harbor, flood and storm damage reduction, aquatic ecosystem 
restoration, and related projects authorized by law; providing 
security for infrastructure owned or operated by the Corps, 
including administrative buildings and laboratories; 
maintaining authorized harbor channels provided by a State, 
municipality, or other public agency that serve essential 
navigation needs of general commerce; surveying and charting 
northern and northwestern lakes and connecting waters; clearing 
and straightening channels; and removing obstructions to 
navigation.
    Language has been included under Corps of Engineers, 
Operation and Maintenance, permitting the use of funds from the 
Harbor Maintenance Trust Fund; providing for the use of funds 
from a special account for resource protection, research, 
interpretation, and maintenance activities at outdoor 
recreation areas; and allowing use of funds to cover the cost 
of operation and maintenance of dredged material disposal 
facilities for which fees have been collected.
    Language has been included under Corps of Engineers, 
Operation and Maintenance, providing that one percent of the 
total amount of funds provided for each of the programs, 
projects, or activities funded under the Operation and 
Maintenance heading shall not be allocated to a field operating 
activity until the fourth quarter of the fiscal year and 
permitting the use of these funds for emergency activities as 
determined by the Chief of Engineers to be necessary and 
appropriate.
    Language has been included under Corps of Engineers, 
Expenses, regarding support of the Humphreys Engineer Support 
Center Activity, the Institute for Water Resources, the United 
States Army Engineer Research and Development Center, and the 
United States Army Corps of Engineers Finance Center.
    Language has been included under Corps of Engineers, 
Expenses, providing that funds are available for official 
reception and representation expenses.
    Language has been included under Corps of Engineers, 
Expenses, prohibiting the use of other funds in Title I of this 
Act for the activities funded in Expenses.
    Language has been included under Corps of Engineers, 
Expenses, permitting any Flood Control and Coastal Emergency 
appropriation to be used to fund the supervision and general 
administration of emergency operations, repairs, and other 
activities in response to any flood, hurricane or other natural 
disaster.
    Language has been included to provide for funding for the 
Office of the Assistant Secretary of the Army for Civil Works.
    Language has been included under Corps of Engineers, 
General Provisions, section 101, providing that none of the 
funds may be available for obligation or expenditure through a 
reprogramming of funds except in certain circumstances.
    Language has been included under Corps of Engineers, 
General Provisions, section 102, prohibiting the execution of 
any contract for a program, project or activity which commits 
funds in excess of the amount appropriated (to include funds 
reprogrammed under section 101) that remain unobligated.
    Language has been included under Corps of Engineers, 
General Provisions, section 103, providing for transfer 
authority to the Fish and Wildlife Service for mitigation for 
lost fisheries.
    Language has been included under Corps of Engineers, 
General Provisions, section 104, prohibiting certain dredged 
material disposal activities.
    Language has been included under Corps of Engineers, 
General Provisions, section 105, prohibiting any acquisition 
that is not consistent with a certain federal regulation.
    Language has been included under Corps of Engineers, 
General Provisions, section 106, prohibiting certain activities 
at a Corps of Engineers project.
    Language has been included under Corps of Engineers, 
General Provisions, section 107, prohibiting requirement of a 
permit for the discharge of dredged or fill material under the 
Federal Water Pollution Control Act for certain activities.
    Language has been included under Corps of Engineers, 
General Provisions, section 108, authorizing withdrawal of a 
rule related to the definition of waters under the jurisdiction 
of the Federal Water Pollution Control Act.
    Language has been included under Corps of Engineers, 
General Provisions, section 109 allowing the possession of 
firearms at water resources development projects under certain 
circumstances.

                  TITLE II--DEPARTMENT OF THE INTERIOR

    Language has been included under Bureau of Reclamation, 
Water and Related Resources, providing that funds are available 
for fulfilling federal responsibilities to Native Americans and 
for grants to and cooperative agreements with State and local 
governments and Indian tribes.
    Language has been included under Bureau of Reclamation, 
Water and Related Resources, allowing fund transfers within the 
overall appropriation to the Upper Colorado River Basin Fund 
and the Lower Colorado River Basin Development Fund; providing 
that such sums as necessary may be advanced to the Colorado 
River Dam Fund; and, transfers may be increased or decreased 
within the overall appropriation.
    Language has been included under Bureau of Reclamation, 
Water and Related Resources, providing for funds to be derived 
from the Reclamation Fund or the special fee account 
established by 16 U.S.C. 6806; that funds contributed under 43 
U.S.C. 395 by non-federal entities shall be available for 
expenditure; and that funds advanced under 43 U.S.C. 397a are 
to be credited to the Water and Related Resources account and 
available for expenditure.
    Language has been included under Bureau of Reclamation, 
Water and Related Resources, providing that funds may be used 
for high priority projects carried out by the Youth 
Conservation Corps, as authorized by 16 U.S.C. 1706.
    Language has been included under Bureau of Reclamation, 
Central Valley Project Restoration Fund, directing the Bureau 
of Reclamation to assess and collect the full amount of 
additional mitigation and restoration payments authorized by 
section 3407(d) of Public Law 102-575.
    Language has been included under Bureau of Reclamation, 
Central Valley Project Restoration Fund, providing that none of 
the funds under the heading may be used for the acquisition or 
lease of water for in-stream purposes if the water is already 
committed to in-stream purposes by a court order adopted by 
consent or decree.
    Language has been included under Bureau of Reclamation, 
California Bay-Delta Restoration, permitting the transfer of 
funds to appropriate accounts of other participating federal 
agencies to carry out authorized programs; allowing funds made 
available under this heading to be used for the federal share 
of the costs of the CALFED Program management; and requiring 
that CALFED implementation be carried out with clear 
performance measures demonstrating concurrent progress in 
achieving the goals and objectives of the program.
    Language has been included under Bureau of Reclamation, 
Policy and Administration, providing that funds are to be 
derived from the Reclamation Fund and prohibiting the use of 
any other appropriation in the Act for activities budgeted as 
policy and administration expenses.
    Language has been included under Bureau of Reclamation, 
Administrative Provision, providing for the purchase of motor 
vehicles for replacement.
    Language has been included under General Provisions, 
Department of the Interior, section 201, providing that none of 
the funds may be available for obligation or expenditure 
through a reprogramming of funds except in certain 
circumstances.
    Language has been included under General Provisions, 
Department of the Interior, section 202, regarding the San Luis 
Unit and the Kesterson Reservoir in California.
    Language has been included under General Provisions, 
Department of the Interior, section 203, prohibiting funds to 
implement the San Joaquin River Restoration program.

                    TITLE III--DEPARTMENT OF ENERGY

    Language has been included under Energy Efficiency and 
Renewable Energy for the purchase, construction, and 
acquisition of plant and capital equipment.
    Language has been included under Electricity Delivery and 
Energy Reliability for the purchase, construction, and 
acquisition of plant and capital equipment.
    Language has been included under Nuclear Energy for the 
purchase, construction, and acquisition of plant and capital 
equipment.
    Language has been included under Fossil Energy Research and 
Development for the acquisition of interest, including 
defeasible and equitable interest in any real property or any 
facility or for plant or facility acquisition or expansion, and 
for conducting inquires, technological investigations, and 
research concerning the extraction, processing, use and 
disposal of mineral substances without objectionable social and 
environmental costs under 30 U.S.C. 3, 1602 and 1603.
    Language has been included under the Naval Petroleum and 
Oil Shale Reserves, permitting the use of unobligated balances.
    Language has been included under the Strategic Petroleum 
Reserve, directing the Secretary of Energy to draw down and 
sell crude oil from the Strategic Petroleum and providing that 
the proceeds be deposited in the Energy Security and 
Infrastructure Modernization Fund for use in carrying out the 
Life Extension II project.
    Language has been included under Science providing for the 
purchase, construction, and acquisition of plant and capital 
equipment; and for the purchase of motor vehicles.
    Language has been included under Nuclear Waste Disposal for 
the acquisition of real property or facility construction or 
expansion.
    Language has been included under Innovative Technology Loan 
Guarantee Program crediting fees collected pursuant to section 
1702(h) of the Energy Policy Act of 2005 as offsetting 
collections to this account and making fees collected under 
section 1702(h) in excess of the appropriated amount 
unavailable for expenditure until appropriated.
    Language has been included under Innovative Technology Loan 
Guarantee Program prohibiting the subordination of certain 
interests.
    Language has been included under Innovative Technology Loan 
Guarantee Program rescinding subsidy amountsfor the cost of 
loan guarantees.
    Language has been included under Innovative Technology Loan 
Guarantee Program cancelling authority for commitments to 
guarantee loans, excluding commitments made by October 1, 2017.
    Language has been included under Departmental 
Administration providing for the hire of passenger vehicles and 
for official reception and representation expenses.
    Language has been included under Departmental 
Administration providing, notwithstanding the provisions of the 
Anti-Deficiency Act, such additional amounts as necessary to 
cover increases in the estimated amount of cost of work for 
others, as long as such increases are offset by revenue 
increases of the same or greater amounts.
    Language has been included under Departmental 
Administration, notwithstanding 31 U.S.C. 3302, and consistent 
with the authorization in Public Law 95-238, to permit the 
Department of Energy to use revenues to offset appropriations. 
The appropriations language for this account reflects the total 
estimated program funding to be reduced as revenues are 
received. Language has been included under Weapons Activities 
for the purchase, construction, and acquisition of plant and 
capital equipment; and for the purchase of motor vehicles.
    Language has been included under Defense Nuclear 
Nonproliferation for the purchase, construction, and 
acquisition of plant and capital equipment and other incidental 
expenses.
    Language has been included under Defense Nuclear 
Nonproliferation restricting the use of funds provided for a 
specific project.
    Language has been included under Naval Reactors for the 
purchase, construction, and acquisition of plant and capital 
equipment, facilities, and facility expansion.
    Language has been included under Naval Reactors 
transferring certain funds to Nuclear Energy.
    Language has been included under Federal Salaries and 
Expenses providing funding for official reception and 
representation expenses.
    Language has been included under Defense Environmental 
Cleanup for the purchase, construction, and acquisition of 
plant and capital equipment; and for the purchase of motor 
vehicles.
    Language has been included under Other Defense Activities 
for the purchase, construction, and acquisition of plant and 
capital equipment.
    Language has been included under Defense Nuclear Waste 
Disposal for the acquisition of real property or facility 
construction or expansion.
    Language has been included under Bonneville Power 
Administration Fund providing funding for official reception 
and representation expenses and precluding any new direct loan 
obligations.
    Language has been included under Southeastern Power 
Administration providing funds for official reception and 
representation expenses.
    Language has been included under Southeastern Power 
Administration providing that, notwithstanding 31 U.S.C. 3302 
and 16 U.S.C. 825s, amounts collected from the sale of power 
and related services shall be credited to the account as 
discretionary offsetting collections and remain available until 
expended for the sole purpose of funding the annual expenses of 
the Southeastern Power Administration; amounts collected to 
recover purchase power and wheeling expenses shall be credited 
to the account as offsetting collections and remain available 
until expended for the sole purpose of making purchase power 
and wheeling expenditures.
    Language has been included under Southwestern Power 
Administration providing funds for official reception and 
representation expenses.
    Language has been included under Southwestern Power 
Administration providing that, notwithstanding 31 U.S.C. 3302 
and 16 U.S.C. 825s, amounts collected from the sale of power 
and related services shall be credited to the account as 
discretionary offsetting collections and remain available until 
expended for the sole purpose of funding the annual expenses of 
the Southwestern Power Administration; amounts collected to 
recover purchase power and wheeling expenses shall be credited 
to the account as offsetting collections and remain available 
until expended for the sole purpose of making purchase power 
and wheeling expenditures.
    Language has been included under Construction, 
Rehabilitation, Operation and Maintenance, Western Area Power 
Administration, providing funds for official reception and 
representation expenses.
    Language has been included under Construction, 
Rehabilitation, Operation and Maintenance, Western Area Power 
Administration providing that, notwithstanding 31 U.S.C. 
3302,16 U.S.C. 825s, and 43 U.S.C. 392a, amounts collected from 
the sale of power and related services shall be credited to the 
account as discretionary offsetting collections and remain 
available until expended for the sole purpose of funding the 
annual expenses of the Western Area Power Administration; 
amounts collected to recover purchase power and wheeling 
expenses shall be credited to the account as offsetting 
collections and remain available until expended for the sole 
purpose of making purchase power and wheeling expenditures.
    Language has been included under Falcon and Amistad 
Operating and Maintenance Fund providing that, notwithstanding 
68 Stat. 255 and 31 U.S.C. 3302, amounts collected from the 
sale of power and related services shall be credited to the 
account as discretionary offsetting collections and remain 
available until expended for the sole purpose of funding the 
annual expenses of the hydroelectric facilities of those dams 
and associated Western Area Power Administration activities.
    Language has been included under Falcon and Amistad 
Operating and Maintenance Fund providing that the Western Area 
Power Administration may accept a limited amount of 
contributions from the United States power customers of the 
Falcon and Amistad Dams for use by the Commissioner of the 
United States Section of the International Boundary and Water 
Commission for operating and maintenance of hydroelectric 
facilities.
    Language has been included under Federal Energy Regulatory 
Commission to permit the hire of passenger motor vehicles, to 
provide official reception and representation expenses, and to 
permit the use of revenues collected to reduce the 
appropriation as revenues are received.
    Language has been included under Department of Energy, 
General Provisions, section 301, prohibiting the use of funds 
to prepare or initiate requests for proposals or other 
solicitations or arrangements for programs that have not yet 
been fully funded by the Congress; requiring notification and 
reporting requirements for certain funding awards; limiting the 
use of multi-year funding mechanisms; providing that none of 
the funds may be available for obligation or expenditure 
through a reprogramming of funds except in certain 
circumstances; and providing that unexpended balances of prior 
appropriations may be transferred and merged with new 
appropriation accounts established in this Act.
    Language has been included under Department of Energy, 
General Provisions, section 302, providing that funds for 
intelligence activities are deemed to be specifically 
authorized for purposes of section 504 of the National Security 
Act of 1947 during fiscal year 2018 until enactment of the 
Intelligence Authorization Act for fiscal year 2018.
    Language has been included under Department of Energy, 
General Provisions, section 303, prohibiting the use of funds 
for capital construction of high hazard nuclear facilities 
unless certain independent oversight is conducted.
    Language has been included under Department of Energy, 
General Provisions, section 304, prohibiting the use of funds 
to approve critical decision-2 or critical decision-3 for 
certain construction projects, unless a separate independent 
cost estimate has been developed for that critical decision.
    Language has been included under Department of Energy, 
General Provisions, section 305, prohibiting nonproliferation 
activities in the Russian Federation until certain reporting 
requirements are met.
    Language has been included under Department of Energy, 
General Provisions, section 306, authorizing the Secretary of 
Energy to draw down and sell refined petroleum product from the 
Strategic Petroleum Reserve under certain circumstances.
    Language has been included under Department of Energy, 
General Provisions, section 307, directing the Secretary of 
Energy to draw down and sell additional crude oil from the 
Strategic Petroleum Reserve and providing that the proceeds of 
a sale be deposited in the SPR Petroleum Account for use for 
the costs of previously authorized sales of crude oil.
    Language has been included under Department of Energy, 
General Provisions, section 308, limiting the authority of the 
Secretary of Energy to establish regional petroleum product 
reserves.
    Language has been included under Department of Energy, 
General Provisions, section 309, limiting the amount of funds 
that may be transferred to the working capital fund.

                     TITLE IV--INDEPENDENT AGENCIES

    Language has been included under Appalachian Regional 
Commission providing for the hire of passenger vehicles and 
services authorized by 5 U.S.C. 3109.
    Language has been included under Delta Regional Authority 
allowing the expenditure of funds as authorized by the Delta 
Regional Authority Act without regard to section 382C(b)(2), 
382F(d), 382M and 382N of said Act.
    Language has been included under Denali Commission allowing 
the expenditure of funds notwithstanding section 306(g) of the 
Denali Commission Act of 1998, and providing for cost share 
requirements for Commission-funded construction projects in 
distressed and non-distressed communities, as defined by 
section 307 of the Denali Commission Act of 1998 (Division C, 
Title III, Public Law 105-277), and an amount not to exceed 50 
percent for non-distressed communities.
    Language has been included under Denali Commission allowing 
funding to be available for payment of a non-federal share for 
certain programs.
    Language has been included under Northern Border Regional 
Commission for expenditure as authorized by subtitle V of title 
40, United States Code, without regard to section 15751(b).
    Language has been included under Nuclear Regulatory 
Commission, Salaries and Expenses that provides for salaries 
and other support costs for the Office of the Commission, to be 
controlled by majority vote of the Commission.
    Language has been included under Nuclear Regulatory 
Commission, Salaries and Expenses that provides for official 
representation expenses and permits the use of revenues from 
licensing fees, inspections services, and other services for 
salaries and expenses to reduce the appropriation as revenues 
are received. Funding is provided to support university 
research and development, and for a Nuclear Science and 
Engineering Grant Program.
    Language has been included under the Nuclear Regulatory 
Commission providing funds that are not derived from fee 
revenues.
    Language has been included under Office of Inspector 
General that provides for the use of revenues from licensing 
fees, inspections services, and other services for salaries and 
expenses, notwithstanding section 3302 of title 31, United 
States Code, to reduce the appropriation as revenues are 
received.
    Language has been included under Independent Agencies, 
General Provisions, section 401, requiring the NRC to comply 
with certain procedures when responding to Congressional 
requests for information.
    Language has been included under Independent Agencies, 
General Provision, section 402, providing that none of the 
funds may be available for obligation or expenditure through a 
reprogramming of funds except in certain circumstances.

                      TITLE V--GENERAL PROVISIONS

    Language has been included under General Provisions, 
section 501, prohibiting the use of funds in this Act to 
influence congressional action on any legislation or 
appropriation matters pending before the Congress.
    Language has been included under General Provisions, 
section 502, prohibiting the transfer of funds except pursuant 
to a transfer made by, or transfer authority provided in this 
or any other appropriations Act, or certain other authorities, 
and requiring a report.
    Language has been included under General Provisions, 
section 503, prohibiting funds in contravention of Executive 
Order No. 12898 of February 11, 1994, regarding environmental 
justice.
    Language has been included under General Provisions, 
section 504, prohibiting funds from being used to maintain or 
establish computer networks unless such networks block the 
viewing, downloading, or exchange of pornography.
    Language has been included under General Provisions, 
section 505, prohibiting the use of funds to further 
implementation of components of the National Ocean Policy 
developed under Executive Order 13547.
    Language has been included under General Provisions, 
section 506, prohibiting the use of funds for the removal of 
any federally-owned or operated dam unless the removal has been 
previously authorized by Congress.
    Language has been included under General Provisions, 
section 507, prohibiting funds in this Act from being used to 
close the Yucca Mountain license application process, or for 
actions that would remove the possibility that Yucca Mountain 
might be an option in the future.
    Language has been included under General Provisions, 
section 508, setting at $0 the amount that the proposed new 
budget authority exceeds the allocation made by the Committee 
on Appropriations under section 302(b) of the Congressional 
Budget Act of 1974.

                          Program Duplication

    No provision of this bill establishes or reauthorizes a 
program of the Federal Government known to be duplicative of 
another Federal program, a program that was included in any 
report from the Government Accountability Office to Congress 
pursuant to section 21 of Public Law 111-139, or a program 
related to a program identified in the most recent Catalog of 
Federal Domestic Assistance.

                          Directed Rule Making

    The bill does not direct any rule making.

          Compliance with Rule XIII, Cl. 3(e) (Ramseyer Rule)

    In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, the Committee notes that the 
accompanying bill does not propose to repeal or amend a statute 
or part thereof.

                  Appropriations Not Authorized by Law

    Pursuant to clause 3(f) of rule XIII of the Rules of the 
House of Representatives, the following table lists the 
appropriations in the accompanying bill which are not 
authorized:


                              Rescissions

    Pursuant to clause 3(f)(2) of rule XIII of the Rules of the 
House of Representatives, the following table is submitted 
describing the rescissions recommended in the accompanying 
bill:
                                                                  Amount
        Department or Activity
Department of Energy: Title 17 Innovative Technology 
    Loan Guarantee Program..............................     411,000,000
Department of Energy: Defense Nuclear Nonproliferation..      49,000,000

                 Comparison with the Budget Resolution

    Pursuant to clause 3(c)(2) of rule XIII of the Rules of the 
House of Representatives and section 308(a)(1)(A) of the 
Congressional Budget Act of 1974, the following table compares 
the levels of new budget authority provided in the bill with 
the appropriate allocation under section 302(b) of the Budget 
Act.

                                            [In millions of dollars]
----------------------------------------------------------------------------------------------------------------
                                                         302(b) Allocation                   This Bill
                                                 ---------------------------------------------------------------
                                                      Budget                          Budget
                                                     Authority        Outlays        Authority        Outlays
----------------------------------------------------------------------------------------------------------------
Mandatory.......................................  ..............  ..............               0            \1\0
Discretionary...................................          37,562          38,934          37,562          38,931
----------------------------------------------------------------------------------------------------------------
\1\Includes outlays from prior-year budget authority.

                      Five-Year Outlay Projections

    Pursuant to section 308(a)(1)(B) of the Congressional 
Budget Act of 1974, the following table contains five-year 
projections prepared by the Congressional Budget Office of 
outlays associated with the budget authority provided in the 
accompanying bill:

                        [In millions of dollars]
------------------------------------------------------------------------
 
------------------------------------------------------------------------
Projection of outlays associated with the
 recommendation:
    2018..............................................         \2\22,847
    2019..............................................            10,856
    2020..............................................             3,413
    2021..............................................               518
    2022 and future years.............................               230
------------------------------------------------------------------------
\2\Excludes outlays from prior-year budget authority.

               Assistance to State and Local Governments

    Pursuant to section 308(a)(1)(C) of the Congressional 
Budget Act of 1974, the amount of financial assistance to State 
and local governments is as follows:

                        [In millions of dollars]
------------------------------------------------------------------------
                                              Budget
                                             Authority        Outlays
------------------------------------------------------------------------
Financial assistance to State and local              143            \2\0
 governments for 2018...................
------------------------------------------------------------------------
\2\Excludes outlays from prior-year budget authority.




            ADDITIONAL VIEWS OF NITA LOWEY AND MARCY KAPTUR

    The Energy and Water Development bill funds critical energy 
and water resource projects, supports science activities 
necessary for American competitiveness and contributes to our 
national defense through vital weapons, naval reactor research, 
and nonproliferation funding. All of which are priorities that 
should unite rather than divide us. While Chairman Simpson has 
worked to incorporate the interests of Members from both 
parties where possible, much of the funding in this bill is a 
reflection of priorities from the Majority's side of the aisle.
    Beyond the funding decisions, the Majority fortifies the 
partisan cast of the bill by including ideological riders on 
the Clean Water Act, guns on Corps lands and National Ocean 
Policy. We should not have to remind our Majority colleagues 
that similar provisions have imperiled enactment of this bill 
in the past.
    The Republican Majorities in the House and Senate have 
proven they cannot govern responsibly. With full control of the 
Executive and Legislative branches, nearly three months beyond 
the April 15 deadline, Congress has not even adopted a budget. 
It is a willfully blind and irresponsible approach to funding 
the government.
    The Committee began our work with a piecemeal approach to 
the 302(b) allocations that failed to provide the American 
people with a full budget blueprint for federal spending in 
fiscal year 2018. Now we know why. The Majority is choosing to 
consider bills that will breach the defense spending cap 
included in the Budget Control Act by $72,476,000,000 and 
further cut nondefense spending by nearly five billion dollars. 
Democrats and Republicans in Congress must work together to 
raise the budget caps in the Budget Control Act, as we have 
done every year under sequestration. Our commitment to men and 
women in uniform, senior citizens, and working men and women, 
and mothers and fathers raising the next generation cannot be 
met under the current budget caps.
    The subcommittee's allocation is $37,568,000,000. This 
allocation is $3,246,861,000 above the Administration's budget 
request and $209,000,000 below the 2017 level. After adjusting 
for scorekeeping, the defense allocation is $1,086,000,000 
above 2017, while the non-defense allocation is $1,295,000,000 
below 2017.
    Funding for the Corps of Engineers is a bright spot within 
the bill, $1,155,764,000 above the President's inadequate 
request, ensuring that some ongoing projects will continue. The 
bill provides $6,157,764,000 for the Army Corps of Engineers 
and $1,340,000,000 for projects funded from the Harbor 
Maintenance Trust Fund, $40,000,000 above 2017. This funding 
will allow preventive and proactive investments necessary for 
the economy and the safety of American citizens. The funding 
above the request will also allow investments in the nation's 
ports and waterways, which are critical to ensuring that 
American-made goods can move to market, both domestically and 
abroad. We firmly believe that our underinvestment in 
infrastructure continues to hamper economic gains and prolongs 
the underemployment plaguing our middle class.
    While this bill ensures increased investment beyond that 
included in the budget request, we should be doing even more to 
build infrastructure and create jobs. Federal support of water 
resource projects creates construction jobs and indirect 
economic benefits that encourage local businesses and 
individuals to embrace risk and make critical investments in 
their communities. The inclusion of six new study starts and 
two new construction projects will allow incremental progress 
in addressing the $75 billion in projects awaiting funding.
    We appreciate the Chairman's support provided for Science 
in the bill. This account is critical to the competitiveness of 
our nation. With a return on investment of 20 to 67 percent, 
publicly funded research grows our economy and helps the United 
States maintain its position as the global leader in 
innovation. If the U.S. is to truly achieve energy independence 
and tackle the challenges posed by climate change, the federal 
government must continue to prioritize investments in cutting-
edge research at our national laboratories and universities 
along with supporting advancements in high-potential, high-
impact energy technologies that are too early for private-
sector investment.
    On the other hand, the bill's support for the Science 
account is offset by the early termination of ARPA-E, beyond 
even that of the Administration's request. ARPA-E has used 
approximately $1,500,000,000 to fund more than 580 projects 
through 36 focused programs and three open funding 
solicitations. Since 2015, 74 of these projects have attracted 
more than $1,800,000,000 in private sector follow-on funding. 
APRA-E projects have generated 218 patents, and 56 companies 
have been formed as a result of this funding. This highly 
innovative and effective program enjoys bipartisan support both 
on and off Capitol Hill, including from the U.S. Chamber of 
Commerce and the heads of Southern Company, PG&E;, and DuPont, 
among others. The early termination of this program does a 
tremendous disservice to U.S. leadership in energy technologies 
necessary for our economic and energy security.
    With regard to the applied energy programs at the 
Department of Energy, investments in energy technology programs 
are once again skewed heavily toward nuclear and fossil fuels. 
We must provide for critical research and development for the 
nuclear and fossil energy sectors to increase efficiency and 
reduce emissions of those sources that currently provide the 
bulk of our electricity generation. However, continued and 
sustained research and development programs in renewable energy 
cannot be the price of this support. The advances in renewable 
energy are not the drumbeats of some distant clean energy 
future. That future is now, and the rest of the world is ready 
to lay siege to our technologies if we do not continue to 
innovate. An investment in clean energy is an investment in 
American jobs: 288,000 people work in the auto industry supply 
chain making parts that make vehicles cleaner and more fuel 
efficient; 360,000 people work in the solar industry; and, the 
single fastest growing job in America is Wind Turbine 
Technician.
    While our President is choosing to ignore the realities of 
human activity on the climate, the rest of the world has 
roundly rebuked him. Just last week, the other 19 leaders in 
the G-20 confirmed their intention to push towards a cleaner 
energy future. Meanwhile, Volvo announced that after 2019, it 
will design no new models of conventional internal combustion 
powered vehicles, and France announced that it would ban the 
sale of diesel and gas vehicles by 2040--joining India who 
promised to make the switch by 2030.
    The fact that countries as populous as India and as 
developed as France can make such pledges is a tribute to the 
innovations that have been driven by the Department of Energy. 
The Department has spearheaded the research to make all-
electric cars a reality, from the materials science to 
manufacture lightweight vehicles, to the chemical engineering 
necessary for improved batteries, to the electrochemical 
science which is allowing charging to happen faster and 
cheaper. Finally, it was a loan from DOE which helped Tesla 
jump from a small company into the second most highly valued 
car company that will soon bring all-electric vehicles to the 
mainstream.
    In an era when Wall Street chases quarterly profits and 
ever-improving earnings reports, we owe it to our constituents 
to play the long game--making investments that may take decades 
to pay off. More than any other, the energy sector needs 
government support right up until it becomes commercially 
viable. For decades, American presidents have made statements 
targeting energy independence, but this year, that target is 
finally in sight. The Energy Information Administration's 
recent report expects the U.S. to be a net energy exporter by 
2026. The Department of Energy deserves great credit for 
bringing us to this point. The next revolution will be the 
clean energy revolution, but if we do not provide continued and 
consistent support to these nascent technologies, we will be 
left behind.
    The bill provides $10,239,344,000, a massive 11 percent 
increase over the FY 2017 appropriation, for the National 
Nuclear Security Administration (NNSA), even though NNSA 
continues to be plagued by staggering cost overruns and 
schedule delays. While we understand the need to modernize a 
complex built substantially in the 1950s, we continue to 
question whether the organization has the necessary tools and 
processes to continue to manage large increases in these 
activities year after year. The agency projects more than 
$300,000,000,000 in spending on nuclear weapons programs over 
the next 25 years. Notably, NNSA says it may need 
$2,900,000,000,000 more in funding between 2022 and 2026 to 
implement its weapons activities than the agency is projecting 
to request. During this period, the NNSA is planning to be in 
the midst of simultaneously executing four to five major 
warhead life extension programs and several major construction 
projects. While the Chairman continues strong oversight of the 
NNSA, it is long past time to examine the assumptions 
underlying the modernization program to determine if it is well 
justified, affordable and the absolute minimum necessary to 
meet the country's military requirements.
    Nonproliferation programs are our first line of defense and 
the most cost-effective way to achieve the urgent goal of 
securing and reducing the amount of vulnerable bomb-grade 
material. The bill includes $1,776,461,000 for these critical 
programs, $106,411,000 below 2017. Increasing worldwide terror 
threats are proof that we should be increasing our expenditures 
on proliferation risks. In March 2015, the Secretary of Energy 
Advisory Board recommended that the Department expand its 
nonproliferation efforts and augment existing funding, and 
expressed concern about the recent trend of falling budgets for 
the core non-proliferation efforts. This bill continues the 
downward spiral of funding to secure material that could be 
used against a civilian population while providing a massive 
increase to the weapons account.
    The inclusion of controversial riders is an unnecessary 
diversion from our primary responsibility--ensuring that 
taxpayer funds are invested wisely in Federal programs that 
will contribute to the economic vitality of our nation.
    Three of the water riders taken together risk protection of 
the world's most precious resource: fresh water. The first 
Clean Water Act provision authorizes the Corps of Engineers and 
the Environmental Protection Agency to withdraw the Waters of 
the United States rule without regard to any provision of 
statute or regulation that establishes a requirement for such 
withdrawal. This provision would ensure key process steps 
required by the Administrative Procedures Act and the Clean 
Water Act would be bypassed. The bill also includes provisions 
regarding agricultural exemptions to the Clean Water Act and a 
prohibition of activities related to the National Ocean Policy.
    The inclusion of the rider allowing guns to be carried on 
all Corps of Engineers lands injects into the bill an 
unnecessarily partisan topic that is unwarranted. We disagree 
with the notion that reasonable limits on where guns can be 
carried are an infringement upon the Second Amendment. We see 
no need to contribute to an environment where guns are 
commonplace in recreational areas where families are trying to 
escape the pressures of everyday life.
    The cuts proposed in this bill cede the future to our 
competitors who are coopting the energy technologies that the 
American people paid us to protect. While we should be looking 
to build on our significant progress towards energy 
independence under the previous Administration, the cuts to 
clean energy programs represent a serious blow to advancing the 
nation's position globally.
    Ultimately, we appreciate the hard work of Chairman 
Simpson. The allocation provided to Energy and Water required 
significant cuts, and, while we would have made very different 
decisions, we recognize the challenge. While the Chairman 
largely limited the damage, the damage was principally to 
Democratic priorities. We look forward to the day when 
allocations across all Subcommittees are returned to acceptable 
levels and to working with the Chairman and the members of this 
Committee to advance the process. However, we cannot support 
this bill given the funding decisions and ideological riders 
currently included in the Committee product.

                                   Nita Lowey.
                                   Marcy Kaptur.