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<br />Reclamation Lee-islation: <br /> <br />(.0.) <br />~.- <br />-.:I <br />1',,) <br /> <br />P.L. 104-20, "An Act to Amend the Salinity Control Acl," was enacled on July 28,1995 in response <br />10 expiring authorities in lhe original legislation and 10 address more recent criticism of <br />Reclamation's ability to implement the most cost-effeclive program possible. The originally <br />authorized projects (paradox, Lower Gunnison, Dolores, Las Vegas Wash, and Grand Valley) were <br />either compleled or nearing completion and the authorized spending ceiling for these units was about <br />to be exceeded. P.L. 104-20 provides for a new, more flexible basinwide program and authorizes <br />an additional $75 million for ils implementation. Key features are as follows: <br /> <br />. Projects currently under construction will generally be completed during the next 2 years <br />under the old authorities, with minimum changes or disruption. <br /> <br />. All new projects on which c.onstruction has not already started will be awarded through a <br />competitive process which will evaluate proposals submitted by water users and private <br />interests. Proposals will be ('valuated on the bases of cost to the federal government for salt <br />removal ($/ton), cost risk (a',:curacy and uncertainty in cost estimates and exposure to cost <br />ovemms), and performance risk (reliability of design and operation). <br /> <br />. The selection process under this new basinwide program is underway with a Request for <br />Proposals being issued by Reclamation in December 1995. Initial proposals are due by <br />August 7, 1996 and approximliteIy $5 million of salinity control work over the next 3 years <br />will be awarded to the best of those proposals. <br /> <br />. This process is not amenable to private projects needing !<;lng-term funding commi,tments, <br />therefore the Aqua-Chern proposal for construction and opemiion of a desalination plant at <br />Glenwood Springs is not considered a viable project at this time. ' <br /> <br />. Congress has approved the competitive proposal process based on its of Reclamation's <br />Report to Con€Tess, submitted in late April 1996. Once a projecl is selected through this <br />process there will be no need for specific Congressional authorization. <br /> <br />. Due to the increased emphasis on lowest cosl salinily control, program participants will <br />probably have to "buy-down" the federal cost of their proposals through increased cosl- <br />sharing. State and local financing may be essential to their ability 10 submil successful <br />proposals. The Uncompahgre Valley Water Users Association and several irrigation entilies <br />in the Grand Valley are currenlly evaluating their options for proposing new segments of <br />their systems for additional salinity control. <br /> <br />. 11 is anlicipated that the initial $75 million authorization will fund Reclamation's new <br />program for the nexl 5-7 years, after which time addilional spending aulhority would be <br />sought. <br />