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S. Rept. 114-352 1 (2016-09-15)

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                                                        Calendar No. 630
                   114TH CONGRESS                                    REPORT
                     2d Session               SENATE                 114-352





                           ARKANSAS VALLEY CONDUIT, COLORADO
                                         MODIFICATIONS


                                 SEPTEMBER 15, 2016.-Ordered to be printed


                     Ms. MURKOWSKI,  from the Committee on Energy and Natural
                                 Resources, submitted the following


                                         REPORT

                                         [To accompany S. 2616]
                    The  Committee on Energy  and Natural Resources, to which was
                  referred the bill (S. 2616) to modify certain cost-sharing and rev-
                  enue provisions relating to the Arkansas Valley Conduit, Colorado,
                  having  considered the same, reports favorably thereon without
                  amendment   and recommends  that the bill do pass.
                                             PURPOSE
                    The  purpose of S. 2616 is to modify certain cost-sharing and rev-
                  enue provisions relating to the Arkansas Valley Conduit, Colorado.
                                      BACKGROUND   AND NEED
                    The  Fryingpan-Arkansas Project was first authorized in 1962 to
                  furnish irrigation water, municipal and industrial water, and elec-
                  tric power, and to control floods in the Arkansas River Valley in
                  Southeastern Colorado. The last component of this project, the Ar-
                  kansas Valley Conduit, is a 130-mile pipeline which would deliver
                  water  from the Pueblo Reservoir to more than 40 communities in
                  Colorado. Currently, revenue generated by existing Fryingpan-Ar-
                  kansas project facilities is used for debt repayment associated with
                  construction of related facilities. Congress enacted legislation as
                  part of the Omnibus Public Lands Act of 2009 to require the water
                  users to pay 35 percent of the reimbursable cost of the conduit. In
                  addition, the 2009 law credited the miscellaneous revenues that
                  the Project receives for the use of its excess storage capacity and
                  exchange  contracts towards the water users' repayment obligation.
                      59-010

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