OFFICIALS LEGISLATION INTEREST GROUPS PUBLIC STATEMENTS COMMITTEES VETOES

Allowing for Renegotiation of Payment Schedule of Contracts Between Secretary of the Interior and Redwood Valley County Water District

Date: Feb. 6, 2007
Location: Washington, DC
Issues: Natural Resources


ALLOWING FOR RENEGOTIATION OF PAYMENT SCHEDULE OF CONTRACTS BETWEEN SECRETARY OF THE INTERIOR AND REDWOOD VALLEY COUNTY WATER DISTRICT

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Mrs. NAPOLITANO. Mr. Speaker, I yield myself such time as I may consume.

I rise in very strong support of H.R. 235, as amended. This legislation will allow the Redwood Valley County Water District in Northern California to renegotiate loans it received from the Federal Government for an unsuccessful water project. This action will clear the way for the Water District to initiate a new project that will develop a reliable supply of drinking water for that area. The District will rely only on private financing for the new project. No Federal money will be spent on this new project.

However, before the District can secure private financing for any project, it must renegotiate the existing loans to provide for their repayment subsequent to repayment of the new loan. Once the new project is built and delivering water, it will provide enough revenue to allow the District to repay both its private loan and the United States Government.

Specifically, this legislation allows the Redwood County Valley Water District to secure a private loan for a project to provide the region with a reliable water supply. It also requires the Water District to repay its current suspended loan to the Federal Government once the renewed water project is paid for.

In consultation with the minority, the legislation includes a minor amendment to clarify the requirement that the Secretary of the Interior must reschedule loan payments and that the payments must begin immediately upon satisfaction of the Water District's newer financial obligation.

Similar legislation was passed by this House in the 109th Congress; and I congratulate my colleague, Congressman Mike Thompson, for all of his hard work on behalf of the Redwood Valley County Water District.

I do urge my colleagues to support passage of H.R. 235, as amended.

Mr. Speaker, I reserve the balance of my time.

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