Southwestern Power Administration Fund Establishment Act
- Sponsor
- Sen. Moran, Jerry [R-KS]
- Committees
- Energy and Natural Resources Committee (primary)
- Last action
- Mar 17, 2026
Bottom line
This bill streamlines the financial management of the Southwestern Power Administration by creating a dedicated, continuously available fund, aiming to improve operational efficiency and financial accountability for critical power infrastructure.
What it actually does
This bill establishes the Southwestern Power Administration Fund in the Treasury of the United States, consolidating all existing financial receipts, collections, and unexpended balances from various Southwestern Power Administration (SWPA) funds into this single, continuously available fund. It authorizes the use of these funds for SWPA's core operations, including power transmission, marketing, construction, and administrative expenses, while also mandating annual transfers of excess funds back to the Treasury and applying government corporation financial management rules to SWPA.
Proponents argue
Proponents argue that consolidating SWPA's financial resources into a single, continuously available fund will enhance operational efficiency, reduce administrative burdens, and provide greater financial stability for critical power transmission and marketing activities in the region. They emphasize that this structure aligns SWPA with best practices for government corporations, improving accountability and long-term planning for essential infrastructure.
Opponents contend
No specific opposition is typically raised against administrative and financial streamlining measures for federal agencies like SWPA, especially when they are designed to improve efficiency and accountability without expanding the agency's scope or increasing overall federal spending. Potential concerns, if any, might revolve around the level of congressional oversight over a continuously available fund, but the bill includes provisions for annual transfers of excess funds to the Treasury.
The bill is very short and clear, making it highly accessible for any reader to understand its core provisions quickly.
Section 3(a)
Establishment of the Southwestern Power Administration Fund
This provision creates a new dedicated fund in the U.S. Treasury called the "Southwestern Power Administration Fund." This fund will collect all money received by SWPA, including existing trust funds, new appropriations, and amounts transferred from other existing SWPA funds, centralizing its financial resources.
Supporters argue
Supporters argue this consolidation will simplify SWPA's financial structure, making it easier to manage funds and ensuring resources are readily available for its operations and long-term planning.
Critics contend
No specific opposition is typically raised against administrative streamlining that aims to improve efficiency and accountability without expanding agency scope.
Tradeoffs
Balances the need for operational flexibility for SWPA with the desire for clear and consolidated financial oversight by Congress.
Section 3(b)
Transfers of Existing Balances to the Fund
This section mandates the transfer of unspent money from several existing SWPA funds, including the continuing fund (16 U.S.C. 825s-1), the advanced payment fund (16 U.S.C. 825s-4), and the offsetting collections fund (16 U.S.C. 825s-7), into the newly established Southwestern Power Administration Fund.
Section 3(c), (d)
Continuous Availability and Authorized Uses of Fund Amounts
Amounts in the new Fund will remain available until expended, meaning they do not expire at the end of a fiscal year. The Secretary of Energy, through the Administrator, is authorized to use these funds for SWPA's core functions: operating and maintaining power transmission facilities, marketing electric power, constructing and acquiring transmission infrastructure, and covering administrative expenses related to its duties under the Flood Control Act of 1944 and the Energy Policy Act of 2005.
Section 3(e)
Authority to Incur Obligations in Advance of Appropriations
This provision grants the Secretary, acting through the Administrator, the authority to commit funds for authorized purposes even before those appropriations are formally received into the Fund. These obligations would then be paid ("liquidated") by the Fund once the appropriations are available.
Section 3(f)
Annual Transfer of Excess Funds to the Treasury
Annually, any amounts in the Fund that are deemed "excess" by the Secretary, acting through the Administrator, must be transferred to the U.S. Treasury as miscellaneous receipts. This ensures that SWPA does not accumulate unnecessary reserves and returns surplus funds to the general federal coffers.
Section 3(g)
Applicability of Government Corporation Financial Management Rules
This section mandates that the Administrator of SWPA must follow the financial management rules outlined in Chapter 91 of Title 31, U.S. Code, in the same way that a wholly owned government corporation (like Amtrak or the Tennessee Valley Authority) would. This includes requirements for budget preparation, audits, and financial reporting.
Section 3(h)
Conforming Amendments and Repeals
This section makes necessary technical changes to existing law. It amends the Energy and Water Development Appropriations Act, 2005, to redirect certain receipts to the new Fund and repeals specific provisos from the Energy and Water Development and Related Agencies Appropriations Act, 2010, which established the now-consolidated offsetting collections fund. These amendments ensure consistency with the new fund structure.
Amends 16 U.S.C. 825s-4 to direct receipts to the new Fund and repeals provisos in 16 U.S.C. 825s-7, effectively eliminating the prior offsetting collections fund and other legacy financial mechanisms.
Section 3(h)
Why it matters:This is standard legislative practice for technical updates to existing law, but its impact on consolidating SWPA's financial architecture is significant, as it formally dismantles the old system.
Case for: Ensures legal consistency and avoids conflicting financial directives for SWPA, streamlining its operations under the new fund by removing superseded statutory provisions.
Case against: No specific case against, as these are technical adjustments necessary for the bill's primary purpose.
Estimated impact: Consolidates several existing financial mechanisms into one, simplifying SWPA's financial architecture and removing legal ambiguities.