SAN LUIS PROJECT, CALIFORNIA

WEDNESDAY, JANUARY 15, 1958

HOUSE OF REPRESENTATIVES,

SUBCOMMITTEE ON IRRIGATION AND RECLAMATION OF THE

COMMITTEE ON INTERIOR AND INSULAR AFFAIRS,

Washington, D. C. The subcommittee met, pursuant to call, at 10 a. m., in the committee room, New House Office Building, Hon. Wayne N. Aspinall, chairman of the subcommittee, presiding.

Mr. ASPINALL. The Subcommittee on Irrigation and Reclamation of the Committee on Interior and Insular Affairs will now be in session for the consideration of H. R. 6035, by our colleague, Mr. Sisk of California, a bill to authorize the Secretary of the Interior to construct the San Luis unit of the Central Valley project, California, to enter into an agreement with the State of California with respect to the construction and operation of such unit, and for other purposes, and its companion bill, H. R. 7295, by Mr. Gubser; and bills having to do with the same subject matter, H. R. 2452, by Mr. Hosmer, and H. R. 2521, by Mr. Utt, both colleagues and members of this committee, and H. R. 9969, by Mr. Hagen, of California.

It is my understanding that H. R. 6035 and H. R. 7295 are identical except for an added section in H. R. 7295 which proposes extending project service to Alameda, Santa Clara, and San Benito Counties. H. R. 2452 and H. R. 2521 are similar bills.

Unless there is an objection, H. R. 6035 and H. R. 7295 will be printed in the record at this point, together with H. R. 2452, by Mr. Hosmer, and H. R. 9969, by Mr. Hagen. H. R. 2521, by Mr. Útt, will not be printed, since it is similar to H. R. 2452.

Is there any objection?

Hearing no objection, it is so ordered.

Unless there is an objection, the report of the Department of the Interior, under date of June 28, 1957, signed by Hon. Roger Ernst, Assistant Secretary of the Interior, will be printed in the record at this place.

Hearing no objection, it is so ordered.

(The bills and the report follows:)

[H. R. 6035, 85th Cong., 1st sess.]

A BILL To authorize the Secretary of the Interior to construct the San Luis unit of the Central Valley project, California, to enter into an agreement with the State of California with respect to the construction and operation of such unit, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That for the principal purpose of furnishing water for the irrigation of approximately five hundred thousand acres of land in Merced, Fresno, and Kings Counties, California, and as incidents thereto of furnishing water for municipal and domestic use and providing recreation and

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fish and wildlife benefits, the Secretary of the Interior (hereinafter referred to as the Secretary) is authorized to construct, operate, and maintain the San Luis unit as an integral part of the Central Valley project. The principal engineering features of said unit, which may be constructed to permit future expansion, shall be a dam and reservoir at or near the San Luis site, a forebay and afterbay, the San Luis Canal, the Pleasant Valley Canal, and necessary pumping plants and distribution systems, drains, channels, levees, flood works, and related facilities. In constructing, operating, and maintaining the San Luis unit, the Secretary shall be governed by the Federal reclamation laws (Act of June 17, 1902, 32 Stat. 388, and Acts amendatory thereof or supplementary thereto) except so far as the provisions thereof are inconsistent with this Act. Construction of the San Luis unit shall not be commenced until the Secretary has secured, or has satisfactory assurances of his ability to secure, all rights to the use of water which are necessary to carry out the purposes of the unit and the terms and conditions of this Act.

SEC. 2. The Secretary is authorized, on behalf of the United States, to negotiate and enter into an agreement with the State of California (hereinafter referred to as the State) providing for coordinated operation and joint use of the facilities of the San Luis unit, in order that the State may, without cost to the United States, deliver water in service areas outside the San Luis service area as described in the report of the Department of the Interior, entitled "San Luis Unit, Central Valley Project" dated December 17, 1956. The Secretary shall not commence construction of the San Luis unit, except for the preparation of designs and specifications and other preliminary work, until the execution of such an agreement between the United States and the State, but if such an agreement has not been executed by May 1, 1958, and if, after consultation with the Governor of the State, the Secretary determines that the prospects of reaching accord on the terms thereof are not reasonably firm, he may proceed to construct and operate the San Luis unit in accordance with section 1 of this Act. In considering the prospects of reaching accord on the terms of the agreement the Secretary shall give substantial weight to any relevant affirmative action theretofore taken by the State, including the enactment of State legislation authorizing the State to acquire and convey to the United States title to lands to be used for the San Luis unit or assistance given by it in financing Federal design and construction of the unit. The authority conferred upon the Secretary by the first sentence of this section shall not, except as is otherwise provided in this section, be construed as a limitation upon the exercise by him of the authority conferred in section 1 of this Act.

SEC. 3. The agreement between the United States and the State referred to in section 2 of this Act shall provide, among other things, that—

(a) the project works and features to be constructed by the Secretary shall be so designed and constructed as to permit either (i) immediate integration and coordinated operation with the State's water projects or (ii) such subsequent enlargement or other modification as may be required for integration and coordinated operation therewith;

(b) the State shall make available to the Secretary during the construction period sufficient funds to pay an appropriate share of the construction costs of any facilities designed and constructed as provided in paragraph (a) above. The State contribution shall be made in annual installments, each of which bears aproximately the same ratio to total expenditures during that year as the total of the State's share bears to the total cost of the facilities;

(c) the State may at any time after approval of its plans by the Secretary and at its own expense enlarge or modify San Luis Dam and Reservoir and other facilities to be used jointly by the State and the United States, but the performance of such work shall be so carried on as not to interfere with the operation of the San Luis unit for the purposes set forth in section 1 of this Act;

(d) the State shall pay annually an appropriate service charge in connection with, and/or an appropriate share of the operation, maintenance and replacement costs of, those features of the San Luis unit which are used or designed to be used jointly by the United States and the State and any other features of the Central Valley project which are of service to the State;

(e) upon completion of repayment of those portions of the reimbursable Federal costs of constructing the Central Valley project which are assignable to the San Luis unit, title to the facilities of the San Luis unit shall, upon

request of the State, be conveyed to the State. Upon such conveyance, the State shall assume the obligation and responsibility of providing water service to the users of San Luis unit service area;

(f) promptly after execution of this agreement between the Secretary and the State, the State shall convey to the United States title to any lands, easements, and rights-of-way which it then owns and which are required for facilities of the San Luis unit to be used jointly by the United States and the State. The State shall be given credit for the costs of these lands, easements, and rights-of-way toward its share of the construction cost of the San Luis unit. The State shall likewise be given credit for any funds advanced by it to the Secretary for preparation of designs and specifications or for any other work in connection with the San Luis unit;

(g) the United States shall have unrestricted use of such capacities in the works of the San Luis unit which are used jointly by the United States and the State as shall be required to carry out the purposes of section 1 of this Act. Such unrestricted use shall extend throughout the repayment period and so long thereafter as title to the works remains in the United States;

(h) the State shall have unrestricted use of the remainder of the capacity of San Luis Reservoir and of other jointly used facilities for water service outside the San Luis unit service area solely under the jurisdiction of the State;

(i) the Secretary may turn over to the State the care, operation, and maintenance of any works of the San Luis unit which are used jointly by the United States and the State at such time and under such conditions as shall be agreed upon by the Secretary and the State;

(j) notwithstanding transfer of title or of the care, operation, and maintenance of any works to the State, as hereinbefore provided, any organization which has theretofore entered into a contract with the United States under the Reclamation Project Act of 1939 for a water supply through the works of the San Luis unit shall continue to have and to enjoy the same rights which it would have had under its contract with the United States and the provisions of paragraph (4) of section 1 of the Act of July 2, 1956 (70 Stat. 483, 43 U. S. C. 485h-1) in the absence of such transfer, and its enjoyment of such rights shall be without added cost or other detriment arising from such transfer;

(k) if a nonreimbursable allocation to the preservation and propagation of fish and wildlife has been made as provided in section 2 of the Act of August 14, 1946 (60 Stat. 1080, 16 U. S. C. 662), the features of the unit to which such allocation is attributable shall, notwithstanding transfer of title or of the care, operation, and maintenance to the State, be operated and maintained in such wise as to retain the bases upon which such allocation is premised and, upon failure so to operate and maintain those features, the amount allocated thereto shall become a reimbursable cost to be paid by the State.

SEC. 4. In constructing, operating, and maintaining a drainage system for the San Luis unit, the Secretary is authorized to permit the use thereof by other parties under contracts conforming generally to the provisions of the Federal reclamation laws with respect to irrigation repayment or service contracts and is further authorized to enter into agreements and participate in construction and operation of drainage facilities designed to serve the general area of which the lands to be served by the San Luis unit are a part, to the extent the works authorized in section 1 of this Act contribute to drainage requirements of said area. The Secretary is also authorized to permit the use of the irrigation facilities of the San Luis unit, including its facilities for supplying pumping energy, under contracts entered into pursuant to section 1 of the Act of February 21, 1911 (36 Stat. 925, 43 U. S. C. 523).

SEC. 5. The Secretary is authorized, in connection with the San Luis unit, to construct minimum basic public recreational facilities and to arrange for the operation and maintenance of the same by the State or an appropriate local agency or organization. The cost of such facilities shall be nonreturnable and nonreimbursable under the Federal reclamation laws.

SEC. 6. There is hereby authorized to be appropriated for construction of the works of the San Luis unit authorized by this Act, other than distribution systems and drains, the sum of plus such additional amount, if any,

as may be required by reason of changes in costs of construction of the types involved in the San Luis unit as shown by engineering indices. There are also

authorized to be appropriated, in addition thereto, such amounts as are required (a) for construction of such distribution systems and drains as are not constructed by local interests, and (b) for operation and maintenance of the unit.

[H. R. 7295, 85th Cong., 1st sess.]

A BILL To authorize the Secretary of the Interior to construct the San Luis unit of the Central Valley project, California, to enter into an agreement with the State of California, with respect to the construction and operation of such unit, and for other purposes

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That for the principal purpose of furnishing water for the irrigation of approximately five hundred thousand acres of land in Merced, Fresno, and Kings Counties, California, and as incidents thereto of furnishing water for municipal and domestic use and providing recreation and fish and wildlife benefits, the Secretary of the Interior (hereinafter referred to as the Secretary) is authorized to construct, operate, and maintain the San Luis unit a san integral part of the Central Valley project. The principal engineering features of said unit, which may be constructed to permit future expansion, shall be a dam and reservoir at or near the San Luis site, a forebay and afterbay, the San Luis Canal, the Pleasant Valley Canal, and necessary pumping plants and distribution systems, drains, channels, levees, flood works, and related facilities. In constructing, operating, and maintaining the San Luis unit, the Secretary shall be governed by the Federal reclamation laws (Act of June 17, 1902, 32 Stat. 388, and Acts amendatory thereof or supplementary thereto) except so far as the provisions thereof are inconsistent with this Act. Construction of the San Luis unit shall not be commenced until the Secretary has secured, or has satisfactory assurances of his ability to secure, all rights to the use of water which are necessary to carry out the purposes of the unit and the terms and conditions of this Act.

SEC. 2. The Secretary is authorized, on behalf of the United States, to negotiate and enter into an agreement with the State of California (hereinafter referred to as the State) providing for coordinated operation and joint use of the facilities of the San Luis unit, in order that the State may, without cost to the United States, deliver water in service areas outside the San Luis service area as described in the report of the Department of the Interior, entitled "San Luis Unit, Central Valley Project" dated December 17, 1956. The Secretary shall not commence construction of the San Luis unit, except for the preparation of designs and specifications and other preliminary work, until the execution of such an agreement between the United States and the State, but if such an agreement has not been executed by May 1, 1958, and if, after consultation with the Governor of the State, the Secretary determines that the prospects of reaching accord on the terms thereof are not reasonably firm, he may proceed to construct and operate the San Luis unit in accordance with section 1 of this Act. In considering the prospects of reaching accord on the terms of the agreement the Secretary shall give substantial weight to any relevant affirmative action theretofore taken by the State, including the enactment of State legislation authorizing the State to acquire and convey to the United States title to lands to be used for the San Luis unit or assistance given by it in financing Federal design and construction of the unit. The authority conferred upon the Secretary by the first sentence of this section shall not, except as is otherwise provided in this section, be construed as a limitation upon the exercise by him of the authority conferred in section 1 of this Act.

SEC. 3. The agreement between the United States and the State referred to in section 2 of this Act shall provide, among other things, that

(a) the project works and features to be constructed by the Secretary shall be so designed and constructed as to permit either (i) immediate integration and coordinated operation with the State's water projects or (ii) such subsequent enlargement or other modification as may be required for integration and coordinated operation therewith;

(b) the State shall make available to the Secretary during the construction period sufficient funds to pay an appropriate share of the construction costs of any facilities designed and constructed as provided in paragraph (a) above. The State contribution shall be made in annual installments, each of which bears approximately the same ratio to total expenditures during that year as the total of the State's share bears to the total cost of the facilities;

(c) the State may at any time after approval of its plans by the Secretary and at its own expense enlarge or modify San Luis Dam and Reservoir and other facilities to be used jointly by the State and the United States, but the performance of such work shall be so carried on as not to interfere with the operation of the San Luis unit for the purposes set forth in section 1 of this Act;

(d) the State shall pay annually an appropriate service charge in connection with, and/or an appropriate share of the operation, maintenance and replacement costs of, those features of the San Luis unit which are used or designed to be used jointly by the United States and the State and any other features of the Central Valley project which are of service to the State;

(e) upon completion of repayment of those portions of the reimbursable Federal costs of contructing the Central Valley project which are assignable to the San Luis unit, title to the facilities of the San Luis unit shall, upon request of the State, be conveyed to the State. Upon such conveyance, the State shall assume the obligation and responsibility of providing water service to the users of San Luis unit service area;

(f) promptly after execution of this agreement between the Secretary and the State, the State shall convey to the United States title to any lands, easements, and rights-of-way which it then owns and which are required for facilities of the San Luis unit to be used jointly by the United States and the State. The State shall be given credit for the costs of these lands, easements, and rights-of-way toward its share of the construction cost of the San Luis unit. The State shall likewise be given credit for any funds advanced by it to the Secretary for preparation of designs and specifications or for any other work in connection with the San Luis unit;

(g) the United States shall have unrestricted use of such capacities in the works of the San Luis unit which are used jointly by the United States and the State as shall be required to carry out the purposes of section 1 of this Act. Such unrestricted use shall extend throughout the repayment period and so long thereafter as title to the works remains in the United States;

(h) the State shall have unrestricted use of the remainder of the capacity of San Luis Reservoir and of other jointly used facilities for water service outside the San Luis unit service area solely under the jurisdiction of the State;

(i) the Secretary may turn over to the State the care, operation, and maintenance of any works of the San Luis unit which are used jointly by the United States and the State at such time and under such conditions as shall be agreed upon by the Secretary and the State;

(j) notwithstanding transfer of title or of the care, operation, and maintenance of any works to the State, as hereinbefore provided, any organization which has theretofore entered into a contract with the Untied States under the Reclamation Project Act of 1939 for a water supply through the works of the San Luis unit shall continue to have and to enjoy the same rights which it would have had under its contract with the United States and the provisions of paragraph (4) of section 1 of the Act of July 2, 1956 (70 Stat. 483, 43 U. S. C. 485h-1) in the absence of such transfer, and its enjoyment of such rights shall be without added cost or other detriment arising from such transfer;

(k) if a nonreimbursable allocation to the preservation and propagation of fish and wildlife has been made as provided in section 2 of the Act of August 14, 1946 (60 Stat. 1080, 16 U. S. C. 662), the features of the unit to which such allocation is attributable shall, notwithstanding transfer of title or of the care, operation, and maintenance to the State, be operated and maintained in such wise as to retain the bases upon which such allocation is premised and, upon failure so to operate and maintain those features, the amount allocated thereto shall become a reimbursable cost to be paid by the State.

SEC. 4. The Secretary is authorized to extend the water service area of the San Luis unit to Santa Clara, San Benito, and Alameda Counties and to construct the Santa Clara-San Benito-Alameda unit of the Central Valley project: Provided, That construction of such unit shall not be undertaken until a report demonstrating its physical and economic feasibility has been completed, reviewed by the State, and approved by the Secretary and by the Congress, and in no event prior to July 1, 1962, unless in the meantime the Governor of the State of California shall have notified the Secretary that the State approves construction