§390ee Pricing

Summary

Require contracts with a district to deliver irrigation water at full cost (as defined in section 390bb(3)) to certain large landholdings: over 960 acres of class I lands for a qualified recipient; over 320 acres of class I lands for a limited recipient who was getting water on or before October 1, 1981; and the entire landholding of a limited recipient not receiving water on or before October 1, 1981. The Secretary of the Treasury must set the interest rate used to compute full cost by averaging (a) the Treasury’s computed average interest rate on its marketable public obligations that are neither due nor callable for 15 years from issuance, and (b) the weighted average of market yields on all interest‑bearing, marketable issues sold by the Treasury. For lands smaller than those thresholds, contracts must follow the pricing rules that applied under Federal reclamation law immediately before October 12, 1982, or the pre‑amendment terms of an amended contract. The part of the price for operation and maintenance must follow section 390hh. Lands under a recordable contract may get water at less than full cost for up to 10 years for contracts executed before October 12, 1982, or 5 years for those executed after that date (or the time in section 390rr), but not ending sooner than 18 months after the Secretary resumes processing or approving the land disposition.