Sponsors (2)
Last progress January 8, 2026 (1 month ago)
Introduced on January 3, 2025 by Lauren Boebert
Requires the Arkansas Valley Conduit contract to cover 35% of the conduit construction cost, permits the remainder to be paid over time, and assigns the contracting parties responsibility for operating, maintaining, and replacing the conduit. The amendment adds these rules into the law that governs the project so that cost-sharing, repayment timing, and long‑term ownership/operation responsibilities are specified in the conduit contract.
In the first section, subsection (c), in the second sentence, the text "; and" is struck (removed) from that sentence.
Adds a new subsection (d) titled "Arkansas valley conduit" to the first section of Public Law 87–590.
The contract for the Arkansas Valley Conduit must provide for payment equal to 35 percent of the cost of the conduit, notwithstanding the reclamation laws or any other provision of this Act.
Contract payments shall consist of funding provided during construction from any entity other than the Secretary.
Contract payments shall also consist of, based on a demonstration of financial hardship as determined by the Secretary, repayment of the balance not covered under subparagraph (A) for a period of not more than 75 years with simple interest at a rate equal to 50 percent of the interest rate determined by the Secretary of the Treasury under section 2(c). This repayment may include revenue derived from contracts for the use of excess capacity or exchange contracts using Fryingpan-Arkansas project facilities.
Passed/agreed to in Senate: Passed Senate without amendment by Voice Vote.
Vetoed by President Donald J. Trump.
The legislation returns to Congress, which may attempt to override the veto.
Directly affected: local governments, water utilities/irrigation districts, and other contracting parties tied to the Arkansas Valley Conduit. Those entities must provide a 35% covered share of conduit construction costs up front (or as provided by contract), accept repayment schedules for the remaining balance, and assume ongoing obligations to operate, maintain, and replace conduit infrastructure. Practically, this will require revised financial plans, potential borrowing or rate adjustments, updated operations budgets, and administrative actions to amend or execute contracts reflecting the new statutory terms. Indirectly affected groups include residents, farmers, and businesses that will receive water services through the conduit — they could see changes in user rates, assessments, or service timelines depending on how contracting parties finance construction and long‑term upkeep. The change is narrowly targeted to project contracting rules and should accelerate clarity on cost allocation and long‑term responsibilities, but it also concentrates lifecycle cost risk on local partners rather than creating new direct federal appropriations.
Updated 2 days ago
Last progress January 29, 2025 (1 year ago)