April 7, 2015
Bureau of Reclamation: FY2016 Appropriations
Overview

FY2016 President’s Budget Request
Most of the large dams and water diversion structures in the
West were built by, or with the assistance of, the Bureau of
The President’s budget request for FY2016 proposed $1.09
Reclamation. While the Army Corps of Engineers built
billion for the Bureau of Reclamation, a decrease of $32
hundreds of flood control and navigation projects,
million from the FY2015 enacted level. This figure includes
Reclamation’s mission was to develop water supplies,
$805 million for Reclamation’s largest account, Water and
primarily for irrigation to reclaim arid lands in the West.
Related Resources.
Today, Reclamation manages hundreds of dams and
diversion projects, including more than 300 storage
The FY2016 President’s Budget proposes $1.09 billion
reservoirs in 17 western states. These projects provide
for the Bureau of Reclamation, a decrease from the
water to approximately 10 million acres of farmland and a
FY2015 enacted level.
population of 31 million people. Reclamation is the largest
wholesale supplier of water in the 17 western states and the
The Administration also proposed to create new accounts
second-largest hydroelectric power producer in the nation.
for San Joaquin River restoration and Indian water rights
Reclamation facilities also provide substantial flood
settlements activities, both of which previously were funded
control, recreation, and fish and wildlife benefits.
in Water and Related Resources. These new accounts have
Operations of Reclamation facilities often are controversial,
been proposed in recent budget cycles but rejected by
particularly for their effects on fish and wildlife species and
Congress. Activities funded in the San Joaquin River
conflicts among competing water users.
Restoration account fund ongoing activities under a
congressionally authorized settlement act (P.L. 111-11).
Reclamation’s single largest account, Water and Related
The Administration also requested $112 million in funding
Resources, encompasses the agency’s traditional programs
for a separate Indian Water Rights Settlements account to
and projects, including construction, operations and
fund ongoing expenses associated with four congressionally
maintenance, dam safety, and ecosystem restoration, among
authorized Indian water rights settlements: the Aamodt
others. Reclamation also requests funds in a number of
Settlement, the Crow Settlement, the Navajo-Gallup
smaller accounts, including California Bay-Delta
Settlement, and the Taos Settlement. The proposed $112
Restoration, the Central Valley Project Restoration Fund
million for these activities is an increase from the FY2015
(CVPRF), and Policy and Administration. Figure 1 shows
enacted level of $90 million, which was provided within the
the recent appropriations history for major Reclamation
Water and Related Resources Account.
accounts.
Figure 1. Bureau of Reclamation Appropriations,
Earmarks and Reclamation
FY2010-FY2016 Request
The Reclamation budget is made up largely of individual
(nominal $ in millions)
project funding lines and contains relatively few programs.
Recently, these Reclamation projects have been subject to
earmark moratoriums that restrict the addition of funding
for geographically specific project line items that the
Administration did not request. In lieu of these additions,
Congress has included “additional funding” for selected
categories of Reclamation projects (e.g., rural water
projects, water conservation, drought response) and directed
the bureau to report on project-level allocations of this
funding in an annual work plan. Most recently, enacted
appropriations for FY2015 added $97 million to the
President’s requested budget for ongoing work in various
Source: Prepared by the Congressional Research Service with data
categories. This funding was allocated at the program and
from the Bureau of Reclamation.
Notes: “FY2016 Req” means the President’s FY2016 budget request.
project levels in the bureau’s FY2015 work plan, which
For comparison purposes, proposed new accounts for FY2016 are
Reclamation released on February 6, 2015 (see
shown here within the Water and Related Resources account.
http://www.usbr.gov/budget/2016/
CVPRF = Central Val ey Project Restoration Fund.
FY2015_summary_and_detail_Project-Lists_%2002-02-
15.pdf).
www.crs.gov | 7-5700




Bureau of Reclamation: FY2016 Appropriations
Drought in the West
Figure 2. Reclamation WaterSMART Program
(nominal $ in millions)
Drought conditions in California and other states
throughout the West have received attention in recent
appropriations bills. As of early 2015, more than 94% of the
state of California is experiencing severe drought, with
nearly 78% experiencing extreme drought and 40%
experiencing exceptional drought—the most severe drought
classification. Anticipated shortages remain serious enough
to potentially warrant ongoing water delivery curtailments
similar to those in recent years.
In FY2015 appropriations, the Administration requested,
and Congress enacted, an extension of Reclamation’s
authority under P.L. 102-250, Reclamation States
Emergency Drought Relief Act (i.e., authorities other than
the loan authority that was extended in FY2014 enacted
appropriations) from FY2012 to FY2017 and increased
Reclamation’s budget authority for water conservation

Source: Prepared by the Congressional Research Service with data
grants under Section 9504 of the SECURE Water Act of
from the Bureau of Reclamation.
2009 (Subtitle F of P.L. 111-11). In addition, Congress
authorized a pilot program to provide grants to nonfederal
The Reclamation Fund
municipal and other entities to increase water availability in
Lake Mead and other units of the Colorado River Storage
Much of Reclamation’s funding is made available from the
Project. Finally, Congress also provided Reclamation with
Reclamation Fund, which originally was intended as a
$50 million for “Western Drought Response,” which was
mechanism to fund western water infrastructure based on
subsequently allocated by Reclamation among numerous
incoming proceeds from a number of different sources.
projects in its FY2015 work plan. In its FY2016 request, the
These sources include receipts from Reclamation project
Administration did not propose comparable funding for
repayment, natural resource royalties on public lands, and
drought response but instead requested lesser funding under
hydropower revenues. In recent years, appropriations from
other programs (such as the drought response funding for
the fund (largely for the Water and Related Resources
the WaterSMART program, see below).
account) have not kept pace with receipts, and some
propose increasing appropriations from the fund in
WaterSMART
accordance with the original stated intent of the fund’s
authorizers. Congress could increase appropriations from
In recent years, Reclamation has combined funding for
the Reclamation Fund at any time (including in annual
bureau- wide programs promoting water conservation into a
discretionary appropriations or through mandatory
single program—the WaterSMART (Sustain and Manage
funding), but these changes typically are subject to
America’s Resources for Tomorrow) program. The
congressional budget and scoring rules. For more
program is part of the Department of the Interior’s focus on
information on the Reclamation Fund, see CRS Report
water conservation, reuse, and planning, and it is notable
IF10042, The Reclamation Fund, by Charles V. Stern.
for its departure from Reclamation’s traditional project-
based funding. It includes funding for seven programs,
Charles V. Stern, cstern@crs.loc.gov, 7-7786
which are shown in Figure 2. Of these, the largest items are

WaterSMART grants and Title XVI projects.
IF10175
In FY2016, the President’s budget requested $58 million
for the WaterSMART program, an increase of $7.5 million
over the FY2015 enacted level. Most of the increase was
for WaterSMART grants, whose proposed funding level
would be increased from $19 million to $23 million. The
FY2016 request also proposed to include $2.5 million for
drought response as part of the WaterSMART program.
The Drought Response Program would fund new planning
and implementation actions under existing authorities.
www.crs.gov | 7-5700