Sec. 3001. Federal Power Act amendments

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It is the sense of Congress that— hydropower is a renewable resource for purposes of all Federal programs and is an essential source of energy in the United States; and the United States should increase substantially the capacity and generation of clean, renewable hydropower resources that would improve environmental quality in the United States. Section 203 of the Energy Policy Act of 2005 ( 42 U.S.C. 15852 ) is amended— in subsection (a), by striking the following amounts and all that follows through paragraph

(3)and inserting not less than 15 percent in fiscal year 2018 and each fiscal year thereafter shall be renewable energy. ; and in subsection (b), by striking paragraph

(2)and inserting the following: The term renewable energy means energy produced from solar, wind, biomass, landfill gas, ocean (including tidal, wave, current, and thermal), geothermal, municipal solid waste, or hydropower. . Section 4(e) of the Federal Power Act ( 16 U.S.C. 797(e) ) is amended in the first sentence by striking deem in the first proviso and all that follows through in the second proviso and inserting , That no license Provided further determine to be necessary for the adequate protection and utilization of such reservation: . , That no license Provided further Section 5 of the Federal Power Act ( 16 U.S.C. 798 ) is amended— in subsection (a), by striking three and inserting 4 ; and in subsection (b)— by striking Commission may extend the period of a preliminary permit once for not more than 2 additional years beyond the 3 years and inserting the following: Commission may— extend the period of a preliminary permit once for not more than 4 additional years beyond the 4 years ; by striking the period at the end and inserting ; and ; and by adding at the end the following: after the end of an extension period granted under paragraph (1), issue an additional permit to the permittee if the Commission determines that there are extraordinary circumstances that warrant the issuance of the additional permit. . Section 7 of the Federal Power Act ( 16 U.S.C. 800 ) is amended by adding at the end the following: Notwithstanding section 5, and regardless of whether the holder of a preliminary permit for a closed-loop pumped storage project (as defined under section 6(e)) of the Hydropower Regulatory Efficiency Act of 2013 ( 16 U.S.C. 797 note; Public Law 113–23 )) claimed municipal preference under subsection

(a)when obtaining the permit, on request by a municipality, the Commission, to facilitate development of a closed-loop pumped storage project, may— add entities as joint permittees following issuance of a preliminary permit; and transfer a license in part to 1 or more nonmunicipal entities as co-licensees with a municipality. . Section 13 of the Federal Power Act ( 16 U.S.C. 806 ) is amended in the second sentence by striking once but not longer than two additional years and inserting for not more than 8 additional years, . Section 18 of the Federal Power Act ( 16 U.S.C. 811 ) is amended by striking the second, third, and fourth sentences. Section 33 of the Federal Power Act ( 16 U.S.C. 823d ) is amended— in subsection (a)— in paragraph (1), by striking deems and inserting determines ; in paragraph (2)(B), in the matter preceding clause (i), by inserting determined to be necessary before by the Secretary ; by striking paragraph (4); and by striking paragraph (5); in subsection (b)— by striking paragraph (4); and by striking paragraph (5); and by adding at the end the following: This section applies to any further conditions or prescriptions proposed or imposed pursuant to section 4(e), 6, or 18. . Section 4(e) of the Federal Power Act ( 16 U.S.C. 797(e) ) is amended, in the third sentence— by striking and after recreational opportunities, ; and by inserting , and minimizing infringement on the useful exercise and enjoyment of property rights held by nonlicensees after aspects of environmental quality . Section 10 of the Federal Power Act ( 16 U.S.C. 803 ) is amended— in subsection (a)(1), by inserting , including minimizing infringement on the useful exercise and enjoyment of property rights held by nonlicensees after section 4(e) ; and by adding at the end the following: In developing any recreational resource within the project boundary, the licensee shall consider private landownership as a means to encourage and facilitate— private investment; and increased tourism and recreational use. . Part I of the Federal Power Act ( 16 U.S.C. 792 et seq.) is amended by adding at the end the following: To facilitate the timely and efficient completion of the license proceedings under this part, the Commission, in consultation with applicable Federal and State agencies and interested members of the public, shall— compile current best practices in performing studies required in such license proceedings, including methodologies and the design of studies to assess the full range of environmental impacts of a project that reflect the best available science; compile a comprehensive collection of studies and data accessible to the public that could be used to inform license proceedings; and encourage license applicants and agencies to develop and use, for the purpose of fostering timely and efficient consideration of license applications, a limited number of open-source methodologies and tools applicable across a wide array of projects, including water balance models and streamflow analyses. To the maximum extent practicable and in accordance with the best available science, the Commission and other Federal and State agencies considering an aspect of an application for Federal authorization (as defined in section 35(a)) shall— use relevant existing studies and data; and avoid duplicating current, existing studies that are applicable to the relevant project. To the maximum extent practicable, the Secretary of Commerce and the Secretary of the Interior shall ensure that relevant offices within the National Marine Fisheries Service and the United States Fish and Wildlife Service prepare any biological opinion under section 7 of the Endangered Species Act of 1973 ( 16 U.S.C. 1536 ) that forms the basis for a prescription under section 18 on a concurrent rather than sequential basis. Beginning not later than 1 year after the date of enactment of this section, the Commission, the Secretary of Agriculture, the Secretary of Commerce, and the Secretary of the Interior shall encourage greater interagency experience among executive branch personnel on matters involving implementation of this part. The encouragement provided by the Commission and the Secretaries under paragraph

(1)may include adding, for appropriate categories of positions, as determined by the Commission and the Secretaries, participation and willingness to participate in interagency rotational service as— factors in annual performance evaluations; and hiring qualifications. In determining the term of a new license issued when an existing license under this part expires, the Commission shall take into consideration, among other things— project-related investments by the licensee under the new license; and project-related investments by the licensee over the term of the existing license. The determination of the Commission under paragraph

(1)shall give equal weight to— investments by the licensee to implement the new license under this part, including investments relating to redevelopment, new construction, new capacity, efficiency, modernization, rehabilitation, safety improvements, and environmental, recreation, and other protection, mitigation, or enhancement measures required or authorized by the new license; and investments by the licensee over the term of the existing license (including any terms under annual licenses) beyond the investments required by the license on issuance of the license that— resulted in redevelopment, new construction, new capacity, efficiency, modernization, rehabilitation, safety improvements, and environmental, recreation, and other protection, mitigation, or enhancement measures conducted over the term of the existing license; and did not result in the extension of the term of the license by the Commission. In this section, the term Federal authorization means any authorization required under Federal law (including any license, permit, special use authorization, certification, opinion, consultation, determination, or other approval) with respect to— a project licensed under section 4 or 15; or a facility exempted under— section 30; or section 405(d) of the Public Utility Regulatory Policies Act of 1978 ( 16 U.S.C. 2705(d) ). The Commission shall act as the lead agency for the purposes of coordinating all applicable Federal authorizations and for the purposes of complying with the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.) with respect to a Federal authorization. Each Federal and State agency considering an aspect of an application for Federal authorization shall cooperate with the Commission. It is the sense of Congress that all Federal authorizations required for a project or facility, including a license of the Commission, should be issued by the date that is 3 years after the date on which an application is considered to be complete by the Commission. The Commission, in accordance with the rule issued under subparagraph (C), shall establish a case-by-case schedule for the issuance of all Federal authorizations. In establishing the schedule under subparagraph (A), the Commission shall— consult and cooperate with the Federal and State agencies responsible for a Federal authorization; ensure the expeditious completion of all proceedings relating to a Federal authorization; and comply with applicable schedules established by Federal law with respect to a Federal authorization. Not later than 180 days after the date of enactment of this section, the Commission, in consultation with the appropriate Federal and State agencies and after providing for notice and public comment, shall issue a rule establishing a process for setting a schedule, to be applied on a case-by-case basis, for applications for Federal authorization filed under this part. In issuing a rule under this subparagraph, the Commission shall consider including guidelines so that the schedule for each Federal authorization— includes deadlines for actions by— any Federal or State agency that may consider an aspect of an application for the Federal authorization; the applicant; the Commission; and other participants in a proceeding; is developed in consultation with the applicant and any Federal or State agency that may consider an aspect of an application for the applicable Federal authorization; provides an opportunity for any Federal or State agency that may consider an aspect of an application for the applicable Federal authorization to identify and resolve issues of concern; complies with applicable schedules established under Federal and State law; ensures expeditious completion of all proceedings required under Federal and State law, to the maximum extent practicable; facilitates completion of Federal and State agency studies, reviews, and any other procedures required prior to, or concurrent with, the preparation of the environmental document of the Commission required under the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.), to the maximum extent practicable; and provides a procedure for any modification to the schedule. If the Federal agency fails to adhere to the schedule established by the Commission under paragraph (2), or if the final condition of the Secretary of Agriculture under section 4(e) or prescription under section 18 has been unreasonably delayed in derogation of the schedule established under paragraph (2), or if a proposed alternative condition or prescription has been unreasonably denied, or if a final condition or prescription would be inconsistent with the purposes of this part or other applicable law, the Commission may refer the matter to the Director of the Office of Management and Budget, acting in consultation with the Chair of the Council on Environmental Quality, as appropriate— to ensure timely participation; to ensure a timely decision; to mediate the dispute; or to refer the matter to the President. Federal and State agencies may allow an applicant seeking a Federal authorization to fund a third-party contractor selected by the Federal or State agency to assist in reviewing the application. Beginning in fiscal year 2018, a Federal or State agency may accept and expend funds contributed by a license applicant seeking a Federal authorization to carry out an activity that directly and meaningfully contributes to expediting the consideration by the agency of the application. Any funds received by an agency under this paragraph may be used only to carry out activities that would not otherwise occur within the same timeframe using discretionary funds provided in appropriations Acts. Any costs associated with a third-party contractor under paragraph (1), and any expenditure of funds received by an agency under paragraph (2), shall not be considered costs of the United States for the administration of this part under section 10(e). In carrying out this subsection, the Commission or an applicable agency shall ensure that the use of license applicant funds under paragraph

(1)or

(2)will not impact impartial decisionmaking with respect to the responsibilities of the agency, either substantively or procedurally, under this part or any other Federal law, consistent with the regulations for implementing the procedural provisions of the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.) under parts 1500 through 1508 of title 40, Code of Federal Regulations (or successor regulations). Nothing in this subsection requires or compels a license applicant— to fund a third-party contractor under paragraph (1); or to contribute direct funding for expedited consideration under paragraph (2). Nothing in this section affects any third-party contract in effect as of the date of enactment of this section under section 2403 of the Energy Policy Act of 1992 ( 16 U.S.C. 797d ) (as in effect on the day before the date of enactment of this section). A Federal or State agency shall submit to the Commission for each fiscal year a report that describes the manner in which the agency used funds under this subsection during that fiscal year. The Comptroller General of the United States shall conduct periodic audits to ensure that Federal and State agencies use funds in accordance with this subsection. The Commission shall maintain official consolidated records of all license proceedings under this part. Any Federal or State agency that is providing recommendations with respect to a license proceeding under this part shall submit to the Commission for inclusion in the consolidated record relating to the license proceeding maintained under paragraph (1)— the recommendations; the rationale for the recommendations; and any supporting materials relating to the recommendations. In a case in which a Federal agency is making a determination with respect to a covered measure (as defined in section 36(a)), the head of the Federal agency shall include in the consolidated record a written statement demonstrating that the Federal agency gave equal consideration to the effects of the covered measure on— energy supply, distribution, cost, and use; flood control; navigation; water supply; and air quality and the preservation of other aspects of environmental quality. In preparing a written statement under subparagraph (A), the head of a Federal agency may make use of information produced or made available by other agencies with relevant expertise in the factors described in clauses

(i)through

(v)of that subparagraph. The Secretary of Agriculture shall not delegate the authority to require a condition under section 4(e), other than to the Chief of the Forest Service or the Under Secretary for Natural Resources and Environment. Interagency cooperation in the preparation of environmental documents under the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.) and interagency communications relating to licensing process coordination under this section shall not— be considered to be ex parte communications under Commission rules; or preclude an agency from participating in a licensing proceeding under this part. Notwithstanding paragraph (1), to the extent the Commission determines necessary, the Commission may require Federal and State agencies participating as cooperating agencies under the National Environmental Policy Act of 1969 ( 42 U.S.C. 4321 et seq.) to demonstrate a separation of staff cooperating with the Commission and staff that may participate in an intervention in the applicable proceeding under this part. In this section, the term covered measure means— a condition prescribed under section 4(e), including an alternative condition proposed under section 33(a); fishways prescribed under section 18, including an alternative prescription proposed under section 33(b); or any further condition or prescription pursuant to section 4(e), 6, or 18. The license applicant (including an applicant for a license under section 15) and any party to the proceeding shall be entitled to a determination on the record, after opportunity for a trial-type hearing of not more than 120 days, on any disputed issues of material fact with respect to an applicable covered measure. A request for a trial-type hearing under this section shall be submitted not later than 60 days after the date on which, as applicable— the Secretary submits the condition under section 4(e) or prescription under section 18; or the Commission publishes notice of the intention to use the reserved authority of the Commission to order a further condition under section 6; or the Secretary exercises reserved authority under the license to prescribe, submit, or revise any condition to a license under the first proviso of section 4(e) or fishway prescribed under section 18, as appropriate. By electing not to request a trial-type hearing under subsection (c), a license applicant and any other party to a license proceeding shall not be considered to have waived the right of the applicant or other party to raise any issue of fact or law in a non-trial-type proceeding, but no issue may be raised for the first time on rehearing or judicial review of the license decision of the Commission. All disputed issues of material fact raised by a party in a request for a trial-type hearing submitted under subsection

(c)shall be determined in a single trial-type hearing to be conducted by an Administrative Law Judge within the Office of Administrative Law Judges and Dispute Resolution of the Commission, in accordance with the Commission rules of practice and procedure under part 385 of title 18, Code of Federal Regulations (or successor regulations), and within the timeframe established by the Commission for each license proceeding (including a proceeding for a license under section 15) under section 35(c). The trial-type hearing shall include the opportunity— to undertake discovery; and to cross-examine witnesses. The Administrative Law Judge may impose a stay of a trial-type hearing under this section for a period of not more than 120 days to facilitate settlement negotiations relating to resolving the disputed issues of material fact with respect to the covered measure. The decision of the Administrative Law Judge shall contain— findings of fact on all disputed issues of material fact; conclusions of law necessary to make the findings of fact, including rulings on materiality and the admissibility of evidence; and reasons for the findings and conclusions. The decision of the Administrative Law Judge shall not contain conclusions as to whether— any condition or prescription should be adopted, modified, or rejected; or any alternative condition or prescription should be adopted, modified, or rejected. A decision of an Administrative Law Judge under this section with respect to a disputed issue of material fact shall not be subject to further administrative review. The Administrative Law Judge shall serve the decision on each party to the hearing and forward the complete record of the hearing to the Commission and the Secretary that proposed the original condition or prescription. Not later than 60 days after the date on which the Administrative Law Judge issues the decision under subsection

(g)and in accordance with the schedule established by the Commission under section 35(c), the Secretary proposing a condition under section 4(e) or a prescription under section 18 shall file with the Commission a final determination to adopt, modify, or withdraw any condition or prescription that was the subject of a hearing under this section, based on the decision of the Administrative Law Judge. The final determination of the Secretary filed with the Commission shall identify the reasons for the decision and any considerations taken into account that were not part of, or inconsistent with, the findings of the Administrative Law Judge and shall be included in the consolidated record in section 35(e). Notwithstanding sections 4(e) and 18, if the Commission finds that the final condition or prescription of the Secretary is inconsistent with the purposes of this part or other applicable law, the Commission may refer the matter to the Director of the Office of Management and Budget, acting in consultation with the Chair of the Council on Environmental Quality, as appropriate, under section 35(c)(3). The decision of the Administrative Law Judge and the record of determination of the Secretary shall be included in the record of the applicable licensing proceeding and subject to judicial review of the final licensing decision of the Commission under section 313(b). .

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