Army Corps of Engineers: Water Resource Authorization and Project Delivery Processes

Summary

The U.S. Army Corps of Engineers (USACE) in the Department of Defense undertakes water resources development activities. Its projects primarily are to maintain navigable channels, reduce flood and storm damage, and restore aquatic ecosystems. Congress directs USACE through authorizations and appropriations legislation. This report summarizes congressional authorization legislation, the standard project delivery process, authorities for alternative water resource project delivery, and other USACE authorities.

Authorization Legislation. Congress generally authorizes USACE water resource activities in authorization legislation prior to funding them through appropriations legislation. USACE’s ability to act on an authorization often is determined by funding. Congress typically authorizes numerous new USACE site-specific activities and provides policy direction in an omnibus USACE authorization bill, typically titled a Water Resources Development Act (WRDA). Most project-specific authorizations in WRDAs fall into three general categories: project studies, construction projects, and modifications to existing projects. A few provisions in WRDA bills have time-limited authorizations; therefore, some WRDA provisions may be reauthorizing expired or expiring authorities. In 2018, USACE identified a $96 billion backlog of authorized construction projects. As USACE starts only a few construction projects in a fiscal year (e.g., five in FY2018), numerous projects authorized for construction in previous WRDAs remain unfunded.

From 1986 through 2000, Congress often enacted a WRDA on a roughly biennial schedule. The pattern shifted after 2000; no WRDA bills were enacted in the 107th, 108th, and 109th Congresses. Several factors contributed to the lack of WRDAs in these Congresses, including disagreements over whether to change how USACE plans and constructs projects and over the effect of additional project authorizations and policy changes on both spending and the backlog of USACE authorized construction projects. The 110th Congress enacted the Water Resources Development Act of 2007 (P.L. 110-114) in November 2007, overriding a presidential veto. The next omnibus USACE authorization bill, the Water Resources Reform and Development Act of 2014 (WRRDA 2014; P.L. 113-121), was enacted in June 2014. In WRRDA 2014, Congress developed and used new processes for identifying site-specific studies and projects for authorization to overcome concerns related to congressionally directed spending (known as earmarks). The 114th Congress enacted the Water Infrastructure Improvements for the Nation Act (WIIN; P.L. 114-322); Title I of the bill had the short title of Water Resources Development Act of 2016 (WRDA 2016).

Standard and Alternative Project Delivery. The standard process for a USACE project requires two separate congressional authorizations—one for studying feasibility and a subsequent one for construction—as well as appropriations for both. Congressional authorization for project construction in recent years has been based on a favorable report by the Chief of Engineers (known as a Chief’s Report) and an accompanying feasibility study. For most activities, Congress requires a nonfederal sponsor to share some portion of study and construction costs. Cost-sharing requirements vary by type of project. For some project types (e.g., levees), nonfederal sponsors own the completed works after construction and are responsible for operation and maintenance.

As nonfederal entities have become more involved in USACE projects and their funding, they have expressed frustration with the time it takes USACE to complete projects. WRRDA 2014 and WRDA 2016 expanded the opportunities for interested nonfederal entities, including private entities, to have greater roles in project development, construction, and financing. WRRDA 2014 also authorized, through the Water Infrastructure Finance and Innovation Act (WIFIA), a program to provide direct loans and loan guarantees for water projects, including those for navigation, flood risk reduction, and ecosystem restoration, among others. Although the portion of the WIFIA program administered by the U.S. Environmental Protection Agency is operational, the USACE WIFIA program, which was focused more on water resource projects, has not been funded.

Other USACE Activities and Authorities. Although most USACE projects are developed under the standard project development process, exceptions exist. Congress has granted USACE general authorities to undertake some studies, small projects, technical assistance, and emergency actions (e.g., flood fighting, repair of damaged levees, and limited drought assistance). Additionally, under the National Response Framework, USACE may be tasked with performing activities in response to an emergency or disaster, such as emergency power restoration.