Presidential Return of H.R. 131: A Critical Perspective on Water Funding
In a notable political move, I am returning H.R. 131, the Finish the Arkansas Valley Conduit Act, without my approval.
The Arkansas Valley Conduit (AVC) is an ambitious water pipeline project aimed at supplying municipal and industrial water to communities in southeastern Colorado. Originally authorized as part of the Fryingpan-Arkansas Project under President Kennedy in 1962, it has languished in a state of limbo for decades, primarily due to its questionable economic viability. The initial plan required federal funding for the project’s construction, with local users expected to repay the costs, plus interest, over a 50-year span post-completion. However, local participants failed to meet these repayment obligations.
Fast forward to 2009, when President Obama signed the Omnibus Public Land Management Act, which notably reduced the repayment obligation from a daunting 100 percent to a mere 35 percent. This legislation also allowed miscellaneous revenues from the broader Fryingpan-Arkansas Project to contribute towards the cost-sharing of the AVC. Yet, construction still did not commence until a staggering 14 years later, following the State of Colorado’s authorization of $100 million in loans and grants to kickstart the project.
The current legislative proposal seeks to further extend the repayment period on this already reduced obligation by an additional 25 years, effectively creating a 75-year repayment timeline. It also suggests slashing the interest rate by half.
To date, over $249 million has been invested in the AVC, with total costs projected to reach around $1.3 billion. H.R. 131 appears set to perpetuate the fiscal follies of the past by imposing even more financial burdens on federal taxpayers for a project that was initially intended to be funded by local users. This raises serious concerns about the fairness and sustainability of such funding practices.
It’s time for a reality check. My Administration is dedicated to preventing American taxpayers from being ensnared in the web of costly and unreliable policies. It is essential to halt the cycle of taxpayer bailouts and restore fiscal responsibility, which is critical for both economic growth and the overall fiscal health of our nation.
For these compelling reasons, I cannot endorse the Finish the Arkansas Valley Conduit Act. Consequently, I must return H.R. 131 to the House of Representatives without my approval.
DONALD J. TRUMP
THE WHITE HOUSE,
December 29, 2025.
