---
kind: "section"
citation: "43 U.S.C. § 390bb"
title: "43"
title_heading: "Public Lands"
number: "390bb"
heading: "Definitions"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/43/390bb"
units:
  - "Chapter 12 — Reclamation and Irrigation of Lands by Federal Government"
  - "Subchapter I–A — Reclamation Reform"
---

# §390bb. Definitions


As used in this subchapter:

- (1) The term “contract” means any repayment or water service contract between the United States and a [district](#2) providing for the payment of construction charges to the United States including normal operation, maintenance, and replacement costs pursuant to Federal reclamation law.
- (2) The term “district” means any [individual](#4) or any legal entity established under [State](/usc/43/31b.md?p=8) law which has entered into a [contract](#1) or is eligible to [contract](#1) with the [Secretary](#11) for [irrigation water](#5).
- (3)
  - (A) The term “full cost” means an annual rate as determined by the [Secretary](#11) that shall amortize the expenditures for construction properly allocable to irrigation facilities in service, including all operation and maintenance deficits funded, less payments, over such periods as may be required under Federal reclamation law or applicable [contract](#1) provisions, with interest on both accruing from October 12, 1982, on costs outstanding at that date, or from the date incurred in the case of costs arising subsequent to October 12, 1982: Provided, That operation, maintenance, and replacement charges required under Federal reclamation law, including this subchapter, shall be collected in addition to the full cost charge.
  - (B) The interest rate used for expenditures made on or before October 12, 1982, shall be determined by the [Secretary](#11) of the Treasury on the basis of the weighted average yield of all interest bearing, marketable issues sold by the Treasury during the fiscal year in which the expenditures by the United States were made, but shall not be less than 7½ per centum per annum.
  - (C) The interest rate used for expenditures made after October 12, 1982, shall be determined by the [Secretary](#11) of the Treasury on the basis of the arithmetic average of—
    - (i) the rate as of the beginning of the fiscal year in which expenditures are made on the basis of the computed average interest rate payable by the Treasury upon its outstanding marketable public obligations which are neither due nor callable for redemption for fifteen years from the date of issuance; and
    - (ii) the weighted average yield on all interest-bearing, marketable issues sold by the Treasury during the fiscal year preceding the fiscal year in which the expenditures are made.
- (4) The term “individual” means any natural person, including his or her spouse, and including other dependents thereof within the meaning of the Internal Revenue Code of 1986 ([26 U.S.C. 152](/usc/26/152.md)).
- (5) The term “irrigation water” means water made available for agricultural purposes from the operation of [reclamation project](/usc/43/373c.md?p=2) facilities pursuant to a [contract](#1) with the [Secretary](#11).
- (6) The term “landholding” means total irrigable acreage of one or more tracts of land situated in one or more [districts](#2) owned or operated under a lease which is served with [irrigation water](#5) pursuant to a [contract](#1) with the [Secretary](#11). In determining the extent of a landholding the [Secretary](#11) shall add to any landholding held directly by a qualified or [limited recipient](#7) that portion of any landholding held indirectly by such qualified or [limited recipient](#7) which benefits that qualified or [limited recipient](#7) in proportion to that landholding.
- (7) The term “limited recipient” means any legal entity established under [State](/usc/43/31b.md?p=8) or Federal law benefiting more than twenty-five natural persons.
- (8) The term “project” means any reclamation or irrigation project, including incidental features thereof, authorized by Federal reclamation law, or constructed by the United States pursuant to such law, or in connection with which there is a repayment or water service [contract](#1) executed by the United States pursuant to such law, or any project constructed by the [Secretary](#11) through the Bureau of Reclamation for the reclamation of lands.
- (9) The term “qualified recipient” means an [individual](#4) who is a citizen of the United States or a resident alien thereof or any legal entity established under [State](/usc/43/31b.md?p=8) or Federal law which benefits twenty-five natural persons or less.
- (10) The term “recordable contract” means a [contract](#1) between the [Secretary](#11) and a landowner in writing capable of being recorded under [State](/usc/43/31b.md?p=8) law providing for the sale or disposition of lands held in excess of the ownership limitations of Federal reclamation law including this subchapter.
- (11) The term “Secretary” means the Secretary of the Interior.

## Source credit

(Pub. L. 97–293, title II, § 202, Oct. 12, 1982, 96 Stat. 1263; Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095.)

## Notes

### Editorial Notes

### References in Text

Federal reclamation law, referred to in pars. (1), (3)(A), (8), and (10), is defined in section 390aa of this title.

### Amendments

1986—Par. (4). Pub. L. 99–514 substituted “Internal Revenue Code of 1986” for “Internal Revenue Code of 1954”.
