[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1242 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  1st Session
                                S. 1242

   To authorize the Secretary of the Interior to carry out watershed 
                    pilots, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

               April 1 (legislative day, March 31), 2025

   Mr. Wyden introduced the following bill; which was read twice and 
       referred to the Committee on Energy and Natural Resources

_______________________________________________________________________

                                 A BILL


 
   To authorize the Secretary of the Interior to carry out watershed 
                    pilots, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Watershed Results Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Advance watershed analytics.--The term ``advance 
        watershed analytics'' means the technical analysis that--
                    (A) is conducted before providing funding for a 
                watershed outcomes project;
                    (B) identifies and quantifies the outcomes and 
                costs of all potential qualifying activities across the 
                watershed outcomes project; and
                    (C) assesses how different groups of qualifying 
                activities in the watershed outcomes project could 
                efficiently maximize outcomes for the least cost.
            (2) Appropriate committees of congress.--The term 
        ``appropriate committees of Congress'' means--
                    (A) the Committee on Energy and Natural Resources 
                of the Senate; and
                    (B) the Committee on Natural Resources of the House 
                of Representatives.
            (3) Eligible entity.--The term ``eligible entity'' 
        includes--
                    (A) a State, Indian Tribe, Tribal organization, 
                irrigation district, or water district;
                    (B) a State, regional, or local authority, the 
                members of which include 1 or more organizations with 
                water or power delivery authority;
                    (C) any other organization with water or power 
                delivery authority; and
                    (D) any nongovernmental entity.
            (4) Pay-for-performance contract.--The term ``pay-for-
        performance contract'' means a contract to purchase verified 
        outcomes produced by implemented qualifying activities in a 
        watershed outcomes project at a negotiated price.
            (5) Qualifying activity.--The term ``qualifying activity'' 
        means a conservation project carried out in a watershed 
        identified through advance watershed analytics as having a high 
        likelihood of cost-effectively achieving 1 or more outcomes if 
        implement consistent with applicable performance standards made 
        available under section 3(e)(4).
            (6) Reclamation state.--The term ``Reclamation State'' 
        means--
                    (A) a State or territory described in the first 
                section of the Act of June 17, 1902 (32 Stat. 388, 
                chapter 1093; 43 U.S.C. 391);
                    (B) the State of Hawaii;
                    (C) the State of Alaska; and
                    (D) the Commonwealth of Puerto Rico.
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of the Interior, acting through the Commissioner of 
        Reclamation.
            (8) Watershed outcomes project.--The term ``watershed 
        outcomes project'' means the overall watershed project managed 
        by the watershed partner.
            (9) Watershed partner.--The term ``watershed partner'' 
        means an eligible entity selected by the Secretary under 
        section 3(a)(2) to carry out a watershed outcomes project.

SEC. 3. WATERSHED OUTCOMES PROJECTS.

    (a) Proposals; Selection.--The Secretary shall--
            (1) not later than 1 year after the date of enactment of 
        this Act, solicit the submission from eligible entities of 
        proposals to develop and implement a strategy that develops and 
        uses advance watershed analytics to cost-effectively carry out 
        watershed outcomes projects to achieve meaningful watershed-
        scale outcomes in a Reclamation State; and
            (2) from among the proposals submitted under paragraph (1), 
        select a watershed partner for each watershed to complete 
        advance watershed analytics, carry out watershed outcomes 
        projects in a Reclamation State, manage watershed partnership 
        duties during the term of the partnership agreement, and 
        support pay-for-performance contracts.
    (b) Guidelines and Criteria for Proposals.--The Secretary--
            (1) shall develop criteria and guidelines for the 
        submission and selection of proposals under subsection (a); and
            (2) for purposes of developing the criteria and guidelines 
        under paragraph (1), may consider--
                    (A) the scope of the proposed watershed outcomes 
                project, including the selected subregion or basin-
                level watershed for consideration;
                    (B) the purpose and goals of the proposed watershed 
                outcomes project;
                    (C) any stakeholder outreach conducted with respect 
                to the proposed watershed outcomes project;
                    (D) evidence of widespread support within the local 
                community for, the proposed watershed outcomes project;
                    (E) the capability of the watershed partner to 
                perform the required duties in accordance with 
                subsection (d);
                    (F) how the watershed partner will procure and use 
                advance watershed analytics to identify and quantify 
                the outcomes and costs of all potential qualifying 
                activities for the proposed watershed outcomes project;
                    (G) estimated costs of completing advance watershed 
                analytics and operating the proposed watershed outcomes 
                project;
                    (H) the anticipated qualifying activity types that 
                are relevant for the selected watershed identified 
                under subparagraph (A); and
                    (I) plans for monitoring, evaluating, and reporting 
                on progress made toward achieving the outcomes of the 
                proposed watershed outcomes project.
    (c) Partnership Agreements.--
            (1) In general.--The Secretary may enter into a partnership 
        agreement with a watershed partner selected under subsection 
        (a)(2) to design and implement a watershed outcomes project 
        that uses advance watershed analytics to achieve meaningful 
        watershed-scale outcomes in accordance with this section.
            (2) Term.--
                    (A) In general.--A partnership agreement entered 
                into under paragraph (1) shall be for a term--
                            (i) of not more 5 years; or
                            (ii) if the Secretary determines that a 
                        longer term is necessary to meet the objectives 
                        of the watershed outcomes project, a longer 
                        term established by the Secretary.
                    (B) Renewal.--A partnership agreement entered into 
                under paragraph (1) may be renewed for a term of not 
                more than 5 years.
                    (C) Extension.--A partnership agreement entered 
                into under paragraph (1) or renewed under subparagraph 
                (B) may be extended 1 time for a term of not more than 
                2 years, as determined by the Secretary.
            (3) Technical and financial assistance.--Through a 
        partnership agreement entered into under paragraph (1), the 
        Secretary shall provide to a watershed partner--
                    (A) technical or financial assistance to design and 
                implement a watershed outcomes project; and
                    (B) grants, cooperative agreements, or other 
                financial assistance to support--
                            (i) the activities under subparagraph (A); 
                        and
                            (ii) performance payments to qualifying 
                        activities under subsection (g)(4).
            (4) Project development costs.--The Secretary may annually 
        award to a watershed partner an amount equal to not more than 
        50 percent of estimated costs of the watershed outcomes project 
        to carry out the duties described in subsection (d).
    (d) Duties of Watershed Partners.--Under a partnership agreement 
entered into under subsection (c)(1), the Secretary shall establish 
duties to be carried out by the watershed partner, including 
considering establishing the following duties:
            (1) Preparing a funding and implementation strategy that 
        uses advance watershed analytics to cost-effectively carry out 
        a watershed outcomes project by selecting a sufficient number 
        of qualifying activities to achieve meaningful watershed-scale 
        outcomes by--
                    (A) completing advance watershed analytics to 
                identify and quantify the outcomes and costs of all 
                potential qualifying activities for the watershed 
                outcomes project;
                    (B) establishing baseline metrics to support the 
                development of setting outcome prices and performance 
                standards for the watershed outcomes project;
                    (C) developing performance standards for the 
                watershed outcomes project;
                    (D) leveraging financial assistance provided by the 
                Secretary to secure additional funds for the watershed 
                outcomes project;
                    (E) designing, recruiting, and verifying qualifying 
                activities for the watershed outcomes project; and
                    (F) providing outcome and financial accounting 
                services relating to qualifying activities carried out 
                to achieve outcomes.
            (2) Using the strategy prepared under paragraph (1) to 
        prioritize qualifying activity outreach efforts.
            (3) Working with local stakeholders to recruit and design 
        an implementation-ready queue of priority qualifying 
        activities.
            (4) Ensuring that any proposed priority qualifying 
        activities have the support of affected local stakeholders.
            (5) Setting activity outcome prices and developing 
        performance standards for qualifying activities.
            (6) Developing a plan to carry out qualifying activities 
        having a high likelihood of cost-effectively achieving 1 or 
        more outcomes described in subsection (f) if implemented 
        consistent with the applicable performance standards made 
        available by the Secretary under subsection (e)(4).
            (7) Selecting, developing pay-for-performance contracts 
        for, funding, and carrying out qualifying activities, in 
        accordance with the plan developed under paragraph (6), to 
        achieve meaningful watershed-scale outcomes.
            (8)(A) Quantifying the outcomes for qualifying activities.
            (B) Verifying that qualifying activities have been 
        implemented consistent with applicable performance standards.
            (C) Providing applicable documentation to the Secretary 
        with respect to the information quantified and verified under 
        subparagraphs (A) and (B).
            (9) Monitoring qualifying activities at appropriate levels 
        to confirm ongoing performance.
            (10) Other duties necessary to carry out a watershed 
        outcomes project, as determined to be necessary by the 
        Secretary.
    (e) Duties of Secretary.--Under a partnership agreement entered 
into under subsection (c), the Secretary shall--
            (1) ensure that there is widespread support within the 
        local community for the watershed outcomes project;
            (2) verify the advance watershed analytics completed by the 
        watershed partner, to the maximum extent practicable;
            (3) ensure that there are made available to the public 
        outcome price tables, by qualifying activity type, for use as 
        the basis for negotiating pay-for-performance contracts for the 
        applicable watershed outcomes project;
            (4) ensure that there are made available to the public 
        qualifying activity and watershed outcomes project performance 
        standards that are to be used as the basis for--
                    (A) identifying, quantifying, and verifying 
                qualifying activity outcomes; and
                    (B) executing pay-for-performance contracts;
            (5) review outcome quantification and verification 
        documentation provided by the watershed partner under 
        subsection (d)(8)(C);
            (6) provide to a watershed partner financial assistance to 
        purchase verified outcomes from qualifying activities in a 
        watershed outcomes project, at prices set for the watershed 
        outcomes project in accordance with this section; and
            (7) coordinate with other Federal agencies, to the maximum 
        extent practicable, to help leverage and concentrate funding 
        into watershed outcomes projects.
    (f) Required Outcomes for Qualifying Activities.--To be eligible 
for a performance payment under subsection (g)(4), a qualified activity 
shall produce 1 or more measurable, clearly defined outcomes that 
result in a quantifiable and verifiable--
            (1) increase in surface water or groundwater;
            (2) increase in aquatic habitat quality, quantity, 
        connectivity, or access in a watershed;
            (3) surface water or groundwater quality improvement, 
        including water temperature reductions, or a reduction in 
        salinity or nutrient or sediment runoff associated with 
        irrigated agriculture; or
            (4) other quantifiable benefits, as determined by the 
        Secretary, likely to improve watershed health in the watershed 
        outcomes project.
    (g) Financial Assistance for Qualifying Activities in Watershed 
Outcomes Projects.--
            (1) Leveraging federal funding.--To achieve meaningful 
        watershed-scale outcomes, amounts made available under section 
        5 may be used to satisfy any cost-sharing requirement with 
        respect to carrying out a watershed outcomes project.
            (2) Federal share.--The Federal share of grants or other 
        financial assistance for a watershed outcomes project under 
        this Act shall be not more than 75 percent of the total cost of 
        the watershed outcomes project.
            (3) Watershed partner contributions.--The Secretary may--
                    (A) accept non-Federal contributions for a 
                watershed outcomes project, including funding or 
                financing secured by the watershed partner in 
                accordance with the strategy developed under subsection 
                (d)(1); and
                    (B) use amounts accepted under subparagraph (A) to 
                carry out activities authorized under this Act in the 
                watershed outcomes project.
            (4) Performance payments.--Not later than 90 days after the 
        date on which a watershed partner verifies the outcomes 
        generated from qualifying activities and confirms that the 
        qualifying activity has been implemented consistent with the 
        performance standards of the applicable watershed outcomes 
        project, the Secretary shall provide financial assistance to 
        the watershed partner to support performance payments.
    (h) Maximum Number of Watershed Outcomes Projects.--Not more than a 
total of 5 watershed outcomes projects may be carried out under this 
section.
    (i) Restrictions on Use of Advance Watershed Analytics Data.--
            (1) In general.--Nothing in this Act affects or modifies 
        existing law with respect to the treatment of personal data in 
        the conduct by an employee of the Federal Government or a 
        designee of an employee of the Federal Government in carrying 
        out official duties of the Federal employee or designee under 
        this Act.
            (2) Data collection.--All information or data collected or 
        assembled by a Federal employee or a designee of a Federal 
        employee to complete advance watershed analytics activities, 
        directly or indirectly, under this Act--
                    (A) shall be used for the sole purpose of 
                identifying, prioritizing, and funding qualifying 
                activities in a watershed outcomes project; and
                    (B) shall be considered to be confidential 
                commercial information that is exempt from disclosure 
                under section 552(b)(4) of title 5, United States Code 
                (commonly known as the ``Freedom of Information Act'').
            (3) Applicability to watershed partners.--Any restrictions 
        on a Federal employee under this section shall apply to an 
        employee of a watershed partner.
    (j) Effect.--Nothing in this Act creates, impairs, alters, or 
supersedes a Federal or State water right.

SEC. 4. BRIEFING; REPORTS.

    (a) Annual Briefing or Report.--For each fiscal year for which a 
watershed outcomes project is carried out under section 3, not later 
than the date on which the budget of the United States Government is 
submitted by the President under section 1105 of title 31, United 
States Code, for that fiscal year, the Secretary shall provide to the 
appropriate committees of Congress a briefing or report describing the 
status of each watershed outcomes project, including progress towards 
the applicable strategy prepared under section 3(d)(1), including any 
payments made for outcomes.
    (b) 5-Year Report.--Not later than October 1 of the fifth fiscal 
year in which a watershed outcomes project is carried out under section 
3, the Secretary shall submit to the appropriate committees of Congress 
a report that--
            (1) summarizes--
                    (A) the projected results of the qualifying 
                activities in the watershed outcomes project in meeting 
                the strategy prepared under section 3(d)(1);
                    (B) the projected outcomes of the watershed 
                outcomes project;
                    (C) the total amount of funds secured for the 
                watershed outcomes project;
                    (D) the type of funding expended under the 
                watershed outcomes project; and
                    (E) such other information as the Secretary 
                determines to be appropriate; and
            (2) includes recommendations for continuing, terminating, 
        or making permanent the authoriz