DOMENICI OFFERS BILL TO FACILITATE TITLE TRANSFER

Bill Designed to Reduce Costs and Administrative Burdens

August 4, 2006
04:15 PM
          WASHINGTON, DC – U.S. Senator Pete Domenici today announced that he has introduced legislation designed to facilitate the title transfer of Bureau of Reclamation water facilities, a reform that could reduce management costs for the Bureau and project beneficiaries.
                                               
          The Reclamation Facility Title Transfer Act of 2006 would build on existing Bureau guidelines to transfer titles to some of its facilities.  The measure was introduced Thursday by Domenici, and is cosponsored by Senator Jeff Bingaman.  Domenici and Bingaman are, respectively, chairman and ranking member of the Senate Energy and Natural Resources Committee.
 
          “I have become increasingly concerned that Reclamation lacks adequate resources to fulfill its current mission, particularly in light of increasing non-reimbursable expenditures required for operations, maintenance, and rehabilitation of Reclamation facilities.  For this reason, we need to investigate opportunities, including title transfers, to make more money available to Reclamation,” Domenici said.  “While Reclamation currently has an administrative process for determining which uncomplicated transfers should be pursued by Congress, it is my belief that the process is not as aggressive or comprehensive as it should be.”
 
          “Transferring title of Reclamation facilities to water users can be a very complicated process.  This bill with provide clarity to the title transferring process and a sound basis for transfers to be negotiated,” Bingaman said. 
 
          The bill would:
·        Direct the Secretary of the Interior to promulgate criteria for the transfer of title to Reclamation facilities and lands, including multi-purpose and multi-beneficiary projects; and,
·        Directs the Secretary of the Interior to undertake a study to identify which Reclamation facilities may be appropriate for transfer.
 
          The Bureau currently owns 673 facilities that are part of 178 major projects.  These include facilities constructed for the storage, diversion, distribution, or conveyance of water.   
 
Communities, organizations and others who benefit from a Reclamation project frequently claim that Reclamation services passed on to customers are far more expensive than comparable services in the private sector and that Reclamation ownership of these facilities imposes an unnecessary administrative burden on project beneficiaries.
 
Subsequently, many project beneficiaries, who have fulfilled their construction repayment obligations, would like to pursue the transfer of title to Reclamation facilities and land.
 
Domenici said that in addition to benefiting project beneficiaries, transfer of title to Reclamation facilities would also divest the federal government of the liability, operation, maintenance, management and regulation associated with these facilities.
 
“In its framework for transfer of title to Reclamation facilities, Reclamation acknowledged its commitment to a Federal Government that ‘works better and costs less.’  I believe that pursuing title transfers on a widespread basis is consistent with this policy,” Domenici said.
 
          Since its creation in 1902, the Bureau’s responsibilities have shifted from planning, designing and construction of large water projects to primarily managing existing projects.  Federal appropriations for the Bureau of declined as a result over the past 40 years.
 
          Domenici is also chairman of the Senate Energy and Water Development Appropriations Subcommittee that has funding jurisdiction over the Bureau.