But rather than move any bills to a vote, action stalled when several of the committee's western Republicans expressed reservations about the costs of S 1768, and whether it might pull resources away from other states' water projects. Several previously uncirculated amendments were proposed, and debate did not bring about a consensus on bill language. As the number of members in the room dwindled, the hearing was adjourned without further action.

At the hearing's outset, Senator Feinstein announced the release of 'technical and clarifying' amendments on the bill, and assured members that the federal share of CALFED's Stage 1 project costs would not exceed 33 percent.

Senator Nighthorse-Campbell (R-CO) said he understands that the value of this 33 percent is more than the entire Bureau of Reclamation's annual budget. "We've got important projects in Colorado too,' he said. Nighthorse-Campbell said it is wrong to throw so many resources into just one state.

Ranking Member Frank Murkowski (R-AK) said he shares Senator Nighthorse-Campbell's concerns. He noted the CALFED authorization would be worth $2.7 billion - $480 million per year, and said "I share the goals of CALFED, but I'm not sure this bill is the best way to get there, in its current form." He said that the bill used to contain balanced language when originally introduced, but that it does not anymore. "I think we need a better understanding of what we are being asked to authorize. For $2.4 billion, I think Congress deserves to be better informed." Murkowski then cited several separate problems, which he said were 1) concern that the bill lacked repayment obligations and could reduce the Bureau of Reclamation's ability to fund other legitimate projects, citing several in western states, 2) the program is already demonstrably tilted toward environmental programs, 3) the $10 million cap would further imbalance CALFED, saying "You can't build Shasta Dam one inch at a time," 4) the bill is "not coordinated" with CVPIA, and 5) there is no guarantee that California will reach the goal of a 4.4 maf draw from the Colorado River under the bill. Murkowski then suggested that the bill simply ask for a three-year authorization for CALFED, authorize any and all storage facilities that have undergone feasibility studies, and authorize more feasibility studies.

Senator Feinstein responded to Murkowski by saying that the bill's 'balance' language addresses his concerns. She said the bill will revitalize "decrepit" water projects, and resolve the current situation of a "necessary conflict" between fish, people, and the economy. Feinstein said that Senators who would like to see California meet its 4.4 obligations "should have a natural impulse to vote for this bill." Feinstein said Murkowski's concern about funds getting diverted away from BuRec would be addressed by language being amended into the bill requiring that funds be appropriated directly to the agencies delegated to undertake specific tasks, not taken from the BuRec budget.

Feinstein then offered an amendment to reduce the federal share of the program from $2.4 billion to $1 billion. Feinstein did not detail how this would affect overall program implementation, and no committee members reacted to this idea.

Chairman Bingaman then asked staff member Patty Beneke to explain the amendment requiring that agencies receive directly the funds for portions of the ROD they were obligated to implement, and whether this would address the potential diversion of resources from BuRec. She said it would address the concern but gave no assurances that the Bureau's budget would be preserved. Minority staff member Jim Bierne countered that the amendment would not address concerns that concern, and could be written better than it was.

Murkowski then asked Jim Bierne what effect the Program might have on BuRec funds, who responded that the Program does not prohibit the BuRec from fulfilling other projects 'per se.'

Murkowski then asked Feinstein of what the total 30 year cost of CALFED would be. Feinstein called on CALFED Director Patrick Wright, who, along with Senator Feinstein, could not give an answer. Feinstein pointed out that the bill was only considering Stage 1.

Senator Conrad Burns (R-MT) said he remembered the CVPIA, saying of the requirement that agencies receive funding for their responsibilities, "This is not a good amendment. If you want to create a bureaucrat's dream, it is this amendment." Burns said that the bill should simply authorize the BOR to get the program finished. "This is why they call Washington DC 17 square miles of logic-free environment." "Let's be up front with the American taxpayer," Burns said, continuing, "We are creating something that cannot work."

Senator Pete Domenici (R-NM) asked Feinstein what authorization the federal government has to participate in CALFED. Feinstein said the ROD gives the history, and that S 1768 authorizes the ROD. Domenici shared concerns about pulling money away from other BuRec state projects, and said he wants an amendment for money for rural water systems. "I can't go home and tell New Mexicans that I just voted for $2.4 billion for California but got nothing for rural needs." Some confusion then ensued about whether the bill authorized projects that were under or above the $10 million cap, which was clarified.

Senator Gordon Smith (R-OR) then spoke, and said "I am glad we're doing this for Senator Feinstein, but I'd like to do this for other states as well." He said he would support the Feinstein bill provided he could count on her support later.

Senator Jon Kyl (R-AZ) then defended Feinstein's earlier amendment, but said he shared concern for protecting the Bureau's budget. Says the bill needs to be improved for: 1) simplicity of the authorization amongst the agencies, and 2) funding going directly to the implementing agencies. Kyl expressed his concern that no element of S 1768 could be said to result in increased water supplies. Said Arizona ranked behind Guam and Puerto Rico in money allocated for water treatment. "I am not going to help with an authorization for one state when no one will help me with my state."

Senator Feinstein then interjected that she would help Kyl with this problem, and said everyone who knows her knows she is a strong supporter of water storage. Feinstein reminded Kyl that California cannot get to 4.4 without CALFED. Feinstein then told members that S 1768 represented California's proactive effort to prevent another electricity crisis happening with water. Feinstein said she was happy to work with Kyl and others, but that they must agree to work together on language. Kyl said that he would after the hearing.

Senator Murkowski then asked whether, if the program were to receive $1 billion for Stage 1, it would result in any storage projects being completed. Feinstein deferred to Patty Beneke, who replied that it would not and that storage projects would need to come back for their own specific authorizations. "This thing is like a jellyfish - you can't get ahold of it," he said. "Clearly, there is going to be more pressure brought to bear on the existing BuRec funds."

AT THIS TIME, CHAIRMAN BINGAMAN OBSERVED THE ABSENCE OF A REPORTING QUORUM, BUT SAID THE COMMITTEE STILL HAD A WORKING QUORUM, ALLOWING THEM TO AMEND THE BILL.

Senator Craig Thomas (R-WY) expressed continued reservations about the cost of the bill, and said that "I think we have to take a look at the whole total," of costs, and said he was not going to support the bill. Senator Burns asked Feinstein if the bill codifies the ROD, and she replied that it does. Conrad Burns then objected that members of the committee had not seen the ROD.

Chairman Bingaman then asked for any other amendments.

Senator Kyl announced that he had another amendment proposal to authorize a three-year program with the costs and benefits outlined. He said 'the Californians' would prioritize the projects under this amendment. Kyl said he suspected that no cost-benefit analyses had been done on CALFED. Feinstein said this was not true but that she would be happy to work with him on amendments in this spirit.

CHAIRMAN BINGAMAN ANNOUNCED THE COMMITTEE NO LONGER HAD A WORKING QUORUM.

Chairman Bingaman then asked the committee to approve technical amendments to the other bills pending that day by a voice vote. The hearing was adjourned, at which point Senators Feinstein and Kyl, along with staff from Senator Feinstein's office, the committee, and water interests, assembled to discuss plans for getting the bill to markup in May or June.