; and (B) a water service contract entered into under subsection (c)(2) of section 9 of the Act of August 4, 1939 (53 Stat. 1193, chapter 418), proposed to be converted under this subsection shall be converted to a contract under subsection (c)(1) of that section. (2) Prepayment Except for a repayment contract under which the contractor has previously negotiated for prepayment, on request of a party to the contract, a repayment contract under section 9(d) of the Act of August 4, 1939 (53 Stat. 1195, chapter 418), in effect on the date of enactment of this Act, and all contracts converted pursuant to paragraph (1)(A), shall— (A) provide for the repayment, in lump sum or by accelerated prepayment, of the remaining construction costs identified in water project-specific irrigation rate repayment schedules, as adjusted to reflect payments not reflected in those schedules, and properly assignable for ultimate return by the contractor, or if made in approximately equal installments, not later than 3 years after the effective date of the repayment contract, subject to the conditions that— (i) the amount shall be discounted by 1/2 the Treasury rate; and (ii) an estimate of the remaining construction costs, as adjusted, shall be provided by the Secretary to the contractor by not later than 90 days after the date of receipt of a request from the contractor; (B) require that construction costs or other capitalized costs incurred after the effective date of the contract or not reflected in the rate schedule referred to in subparagraph (A), and properly assignable to the contractor, shall be repaid— (i) by not later than 5 years after the date of notification of the allocation if the amount is a result of a collective annual allocation of capital costs to the contractors exercising contract conversion under this subsection of less than $5,000,000; or (ii) if the amount is equal to $5,000,000 or more, in accordance with applicable reclamation laws