An act to increase the appropriations ceiling for title I of the Colorado River Basin Salinity Control Act (the Act of June 24, 1974; 88 Stat. 266), to increase the appropriations authorization for the Small Reclamation Projects Act of 1956 (70 Stat. 1044), and for other purposes.

(Senate agreed to House amendment with an amendment)

Amends the Colorado River Basin Salinity Control Act to delete the provision that all costs associated with the desalting plant near Yuma, Arizona, be nonreimbursable. Authorizes the Secretary of the Interior to use electrical power available from the Navajo Generating Station, which is in excess of the pumping requirements of the Central Arizona Project, to meet the power and energy requirements of the desalting plant. Requires the Secretary to complete an analysis of alternative sources of supply, including an agreement with Mexico for a sufficient supply of power, before delivering power from the Navajo Generating Station. Authorizes the Secretary of the Interior to purchase supplemental power as required to meet the requirements of the desalting plant.

Provides for the replacement of the reject stream from the desalting plant with Colorado River waters for the mitigation of fish and wildlife habitat losses.

Authorizes the Secretary to enter into contracts for the delivery of water from the well fields to U.S. entities for municipal, industrial, or irrigation purposes. Authorizes the Secretary to administer and dispose of lands and facilities acquired under this Act.

Authorizes appropriations for the construction of works necessary to accomplish the purposes of this Act. Specifies the portion of such funds that are to be used for mitigation of fish and wildlife losses.

Directs the Secretary to evaluate improvements in desalinization technology and to implement such improvements into the operations of the desalting plant near Yuma when evaluation indicates resultant cost savings. Authorizes the Secretary to acquire and dispose of lands and facilities for such mitigation.

Amends the Small Reclamation Projects Act to increase the authorization of appropriations of such Act from $400,000,000 to $600,000,000. Exempts from interest charges the portion of project loans attributable to furnishing benefits to a facility operated by a Federal agency.