HR831-119

What This Bill Does

This bill creates a special interest-bearing account in the U.S. Treasury to hold money contributed by state governments to the Lower Colorado River Multi-Species Conservation Program. The account allows these state contributions to earn interest on safe federal investments (U.S. Treasury obligations), with the interest helping fund wildlife and habitat conservation efforts in the Lower Colorado River region without requiring additional taxpayer appropriations.

Who Benefits and How

State governments participating in the conservation program (primarily Arizona, Nevada, and California water agencies) benefit significantly. Their contributed funds now earn interest instead of sitting idle, generating additional conservation funding at no cost to the states. Most importantly, the bill explicitly protects these state governments from any investment losses—if the federal investments lose money, the states don't pay; the federal Treasury absorbs the loss.

The Lower Colorado River Multi-Species Conservation Program itself benefits from increased funding through interest earnings on the deposited state contributions. Endangered species and critical habitats in the Lower Colorado River region also benefit from enhanced conservation resources funded by the interest income.

Who Bears the Burden and How

The federal government bears the primary burden through the U.S. Treasury, which assumes all investment risk for the state-contributed funds. If investments underperform or lose value, federal taxpayers cover the losses, not the state governments. Additionally, the Treasury Department faces administrative costs for managing this separate fund, conducting investments, and providing oversight. Congressional appropriators may also face a modest burden if the bill requires annual appropriations for interest earnings, though the bill text suggests funds may be available without further appropriation.

Key Provisions

• Creates the "Non-Federal Funding Account for the Lower Colorado River Multi-Species Conservation Program" in the U.S. Treasury
• Requires the Secretary of the Treasury to deposit both past and future state contributions into this interest-bearing account
• Authorizes investment of account funds in interest-bearing U.S. Treasury obligations only
• Makes deposited funds available for conservation program expenditures without requiring additional congressional appropriations
• Explicitly protects state governments from any losses resulting from federal investment of their contributed funds
• Requires transfer of previously contributed state funds into the new account within 90 days of enactment