HR 7938 — Klamath Basin Water Agreement Support Act of 2024

changes in existing law made by 
the bill, as reported, are shown as follows (new matter is 
printed in italics and existing law in which no change is 
proposed is shown in roman):

 KLAMATH BASIN WATER SUPPLY ENHANCEMENT ACT
 OF 2000

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SEC. 4. POWER AND WATER MANAGEMENT

 (a) Definitions.--In this section:
 (1) Covered power use.--The term ``covered power 
 use'' means a use of power to develop or manage water 
 from any source for irrigation, wildlife purposes, or 
 drainage on land that is--
 (A) associated with the Klamath Project, 
 including land within a unit of the National 
 Wildlife Refuge System that receives water due 
 to the operation of Klamath Project facilities; 
 or
 (B) irrigated by the class of users covered 
 by the agreement dated April 30, 1956, between 
 the California Oregon Power Company and Klamath 
 Basin Water Users Protective Association and 
 within the Off Project Area (as defined in the 
 Upper Basin Comprehensive Agreement entered 
 into on April 18, 2014), only if each 
 applicable owner and holder of a possessory 
 interest of the land is a party to that 
 agreement (or a successor agreement that the 
 Secretary determines provides a comparable 
 benefit to the United States).
 (2) Klamath project.--
 (A) In general.--The term ``Klamath Project'' 
 means the Bureau of Reclamation project in the 
 States of California and Oregon.
 (B) Inclusions.--The term ``Klamath Project'' 
 includes any dam, canal, or other works or 
 interests for water diversion, storage, 
 delivery, and drainage, flood control, or any 
 similar function that is part of the project 
 described in subparagraph (A).
 (3) Power cost benchmark.--The term ``power cost 
 benchmark'' means the average net delivered cost of 
 power for irrigation and drainage at Reclamation 
 projects in the area surrounding the Klamath Project 
 that are similarly situated to the Klamath Project, 
 including Reclamation projects that--
 (A) are located in the Pacific Northwest; and
 (B) receive project-use power.
 (b) Water Activities and Drought Response.--
 (1) In general.--Subject to appropriations and 
 required environmental reviews, the Secretary is 
 authorized to carry out activities, including entering 
 into a contract or making financial assistance 
 available through cooperative agreements or other 
 methods--
 (A) to plan, implement, and administer 
 programs, including conservation and efficiency 
 measures, land idling, and use of groundwater, 
 to align water supplies and demand for 
 irrigation water users associated with the 
 Klamath Project, with a primary emphasis on 
 programs developed or endorsed by local 
 entities comprised of representatives of those 
 water users;
 (B) Expenditures under this paragraph shall 
 not exceed $10 million on an average annual 
 basis.
 (2) 2018 drought response.--All disbursements made or 
 to be made based on actions approved by the Secretary 
 under Contract Numbers 18-WC-20-5322 and 18-WC-20-5323 
 are authorized.
 (3) Requirements.--The Secretary shall ensure that 
 the activities under this subsection--
 (A) do not foster groundwater use that 
 results in groundwater level declines that, 
 based on existing data from the United States 
 Geological Survey, are more than appropriate in 
 a critically dry year, taking into 
 consideration the long-term sustainability of 
 aquifers; and
 (B) do not adversely affect compliance with 
 applicable laws protecting fishery resources in 
 Upper Klamath Lake and the Klamath River.
 (4) Conveyance of non-project water.--
 (A) In general.--Subject to subparagraphs (B) 
 and (C), any entity operating under a contract 
 entered into with the United States for the 
 operation and maintenance of any Klamath 
 Project works or facility, and any entity 
 operating any works or facility not owned by 
 the United States that receives Klamath Project 
 water, may use, without any additional Federal 
 contract, permit, or other authorization, any 
 Klamath Project works or facility to convey 
 non-Klamath Project water for any authorized 
 purpose of the Klamath Project.
 (B) Permits; measurement.--A use of water 
 pursuant to subparagraph (A) (including an 
 addition or conveyance of water) shall be 
 subject to the requirements that--
 (i) the applicable entity shall 
 secure all permits required under State 
 or local law; and
 (ii) as applicable--
 (I) all water delivered into 
 and taken out of a Klamath 
 Project works or facility 
 pursuant to that subparagraph 
 shall be measured; and
 (II) any irrigation district 
 conveying water shall ensure 
 that only the land authorized 
 to receive water under 
 applicable State law shall 
 receive, and put to beneficial 
 use, the water, in accordance 
 with the applicable State law 
 and any associated terms and 
 conditions.
 (C) Limitation.--A use of non-Klamath Project 
 water under this paragraph shall not--
 (i) adversely affect the delivery of 
 water to any water user or land served 
 by the Klamath Project; or
 (ii) result in any additional cost to 
 the United States.
 (5) Effect of subsection.--Nothing in this subsection 
 authorizes the Secretary to develop or construct new 
 facilities for the Klamath Project without appropriate 
 approval from Congress under section 9 of the 
 Reclamation Projects Act of 1939 (43 U.S.C. 485h).
 (c) Reducing Power Costs.--
 (1) In general.--Not later than 180 days after the 
 date of enactment of America's Water Infrastructure Act 
 of 2018, the Secretary, in consultation with interested 
 irrigation interests that are eligible for covered 
 power use and organizations representative of those 
 interests, shall submit to the Committee on Energy and 
 Natural Resources of the Senate and the Committee on 
 Natural Resources of the House of Representatives a 
 report that--
 (A) identifies the power cost benchmark; and
 (B) recommends actions (other than direct 
 payments to persons making covered power uses 
 or to other entities for the purposes of 
 subsidizing power rates) that, in the judgment 
 of the Secretary, are necessary and appropriate 
 to ensure that the net delivered power cost for 
 covered power use is equal to or less than the 
 power cost benchmark, including a description 
 of--
 (i) actions--
 (I) to immediately reduce 
 power costs; and
 (II) to ensure that the net 
 delivered power cost for 
 covered power use is equal to, 
 or less than, the power cost 
 benchmark in the near term, 
 while longer-term actions are 
 being implemented;
 (ii) actions that prioritize--
 (I) water and power 
 conservation and efficiency 
 measures that could assist in 
 achieving the power cost 
 benchmark;
 (II) to the extent actions 
 involving the development or 
 acquisition of power generation 
 are included, renewable energy 
 technologies (including 
 hydropower); and
 (III) regional economic 
 development;
 (iii) the potential costs and 
 timeline for the actions recommended 
 under this subparagraph;
 (iv) provisions for modifying the 
 actions and timeline to adapt to new 
 information or circumstances; and
 (v) a description of public input 
 regarding the proposed actions, 
 including--
 (I) input from water users 
 that have covered power use; 
 and
 (II) the degree to which 
 those water users concur with 
 the recommendations.
 (d) Restoration Activities.--The Secretary may--
 (1) plan, design, construct, operate, and maintain 
 projects in the Klamath Basin watershed, including--
 (A) facilities to reduce fish entrainment;
 (B) projects that reduce or avoid impacts on 
 aquatic resources of facilities involved in the 
 storage or diversion of water for irrigation in 
 the Klamath Project service area; and
 (C) projects that restore habitats in the 
 Klamath Basin watershed, including Tribal 
 fishery resources held in trust;
 (2) undertake studies, including feasibility studies, 
 and improvements that the Secretary determines to be 
 necessary to implement this subsection;
 (3) in implementing this subsection, enter into 
 contracts, memoranda of understanding, financial 
 assistance agreements, cost-sharing agreements, or 
 other appropriate agreements with--
 (A) State, Tribal, and local governmental 
 agencies; and
 (B) private parties; and
 (4) accept and expend non-Federal funds in order to 
 facilitate implementation of this subsection.
 (e) Goals.--The goals of activities under subsections (b) and 
(d) shall include, as applicable--
 (1) the short-term and long-term reduction and 
 resolution of conflicts relating to water in the 
 Klamath Basin watershed; and
 (2) compatibility and utility for protecting natural 
 resources throughout the Klamath Basin watershed, 
 including the protection, preservation, and restoration 
 of Klamath River Tribal fishery resources, particularly 
 through collaboratively developed agreements.
 (f) Pumping Plant D.--The Secretary may enter into 1 or more 
agreements with the Tulelake Irrigation District to reimburse 
the Tulelake Irrigation District for not more than 69 percent 
of the cost incurred by the Tulelake Irrigation District for 
the operation and maintenance of Pumping Plant D, subject to 
the condition that the cost results in benefits to the United 
States.
 (g) Infrastructure.--
 (1) Keno and link river dams.--The Secretary of the 
 Interior shall comply with the terms of the agreement 
 entitled ``2016 Klamath Power and Facilities 
 Agreement''(``Agreement''), including Attachment A to 
 the Agreement.
 (2) Replacement of c canal flume.--
 (A) In general.--The replacement of the C 
 Canal flume within the Klamath Project shall be 
 considered to be, and shall receive the 
 treatment authorized for, qualified emergency 
 extraordinary operation and maintenance work in 
 accordance with Federal reclamation law (the 
 Act of June 17, 1902 (32 Stat. 388, chapter 
 1093), and Acts supplemental to and amendatory 
 of that Act (43 U.S.C. 371 et seq.)).
 (B) Contract.--
 (i) In general.--Not later than 180 
 days after the date of receipt of a 
 request from the Klamath Irrigation 
 District to enter into a contract with 
 that district to amend the contract 
 numbered 16-WC-20-4838, the Secretary 
 shall enter into a contract with the 
 Klamath Irrigation District providing 
 that under the contract entered into 
 under this subparagraph--
 (I) 35 percent of the total 
 repayment obligation is 
 nonreimbursable to the United 
 States; and
 (II) 65 percent of the total 
 repayment obligation shall be 
 repaid to the United States 
 over a period of 50 years.
 (ii) Inclusion.--Although the 
 Secretary shall not condition the 
 agreement to the contract entered into 
 under subparagraph (A) on any other 
 term, the contract may include other 
 terms that are not less favorable to 
 the contractor than contract numbered 
 16-WC-20-4838.

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