Two western water resource bills became law on October 10: H.R. At issue for entities not party to the settlement is how reintroduction of federally threatened or endangered species (salmon) would affect existing irrigation and power project operations, as well as how increases in water flow would affect land use and flood flows. Background and Analysis

For more than a century, the federal government has been involved in developing water projects for a variety of purposes, including flood control, navigation, power generation, and irrigation. Most of the nation's public municipal water systems have been built by local communities under prevailing state water laws. Water supply for traditional off-stream uses—including municipal, industrial, and agricultural uses—was increasingly in direct competition with a growing interest in allocating water to maintain or enhance in-stream uses, such as recreation, scenic enjoyment, and fish and wildlife habitat. Legislative and Oversight Issues

The 109 th Congress is considering several water resource issues in legislation ranging from re-authorizing the Bureau of Reclamation's water recycling program, to individual project authorizations and agency policy changes (e.g., re-operation of water project facilities in the Central Valley of California and in the Colorado and Columbia River Basins). Oversight of ongoing agency activities, such as water management in the Klamath and San Joaquin River Basins, Salton Sea restoration, allocation of Colorado River water supplies (particularly within California), and CALFED (a program to carry out activities affecting the delta confluence of the San Joaquin and Sacramento Rivers at the San Francisco Bay), may also be discussed. For example, H.R. Some laws authorize the transfers (e.g., P.L. Authorized recipients of program assistance include "legally organized non-federal entities" (e.g., irrigation districts, water districts, and municipalities). 109th Congress Legislation

		Title 16 Projects20

P.L. 5768 (Napolitano) and S. 3639 (Murkowski). Senate Energy and Natural Resources Subcommittee on Water and Power held hearing July 27, 2006. S. 895 (Domenici). To direct the Secretary of the Interior to establish a rural water supply program in the Reclamation States to provide a clean, safe, affordable, and reliable water supply to rural residents. The following water supply and conservation bills have also been introduced: H.R. 5136 (Hall).
For more than a century, the federal government has constructed water resource projects for a variety of purposes, including flood control, navigation, power generation, and irrigation. While most municipal and industrial water supplies have been built by non-federal entities, most of the large, federal water projects in the West, including Hoover and Grand Coulee dams, were constructed by the Bureau of Reclamation (Department of the Interior) to provide water for irrigation.
Growing populations and changing values have increased demands on water supplies and river systems, resulting in water use and management conflicts throughout the country, particularly in the West, where population is expanding rapidly. In many western states, agricultural needs are often in direct conflict with urban needs, as well as with water demand for threatened and endangered species habitat, recreation, and scenic enjoyment.
Debate over western water resources revolves around the issue of how best to plan for and manage the use of this renewable, yet sometimes scarce and increasingly sought after, resource. Some observers advocate enhancing water supplies, for example, by building new storage or diversion projects, expanding old ones, or funding water reclamation and reuse facilities. Others emphasize the need to manage existing supplies more efficiently—through conservation, revision of policies that encourage inefficient use of water, and establishment of market mechanisms to allocate water.
The 109th Congress is considering a number of bills on western water issues, including title transfer, water recycling (e.g., S. 3639 and H.R. 5768), rural water supply (e.g., S. 895), and drought legislation (e.g., H.R. 5136 and S. 2751). Oversight of CALFED—a joint federal and state program to restore fish and wildlife habitat and address California water supply/quality issues—and Klamath River Basin and San Joaquin River Basin issues are also under consideration.
The 109th Congress may also consider Indian water rights settlement legislation; however, Indian settlement bills are not tracked in this report.