Finish the Arkansas Valley Conduit Act
What changed between versions
The repayment structure changed from a single no-interest payment of 35 percent of conduit cost (funded only by non-federal construction contributions over up to 100 years) to a two-tier system: first, funding provided during construction from any entity other than the Secretary; second, if financial hardship is demonstrated to the Secretary, repayment of the remaining balance over up to 75 years with simple interest at 50 percent of the Treasury-determined rate.
A new operations and maintenance clause requires contracting parties to assume responsibility for care, operation, maintenance, and replacement of the conduit.
The maximum repayment period was reduced from 100 years to 75 years for the hardship-based repayment portion.
A financial hardship demonstration requirement was added as a condition for accessing the interest-bearing repayment option, with the Secretary making the determination.
The amendment was restructured from modifying existing subsection (c) of Public Law 87-590 to adding an entirely new subsection (d) dedicated to the Arkansas Valley Conduit, with a stated purpose of providing domestic water supplies to communities and households lacking reliable access.
The original version restricted payments to funding provided during construction from any person other than the Secretary with no interest. The engrossed version allows revenue derived from excess capacity or exchange contracts using Fryingpan-Arkansas project facilities to be included in the hardship-based repayment stream.
