(a) In general

Funds made available under section 3201(8) of this title for use in the Lower Colorado River Basin may be used for projects—

(1) to establish or conserve recurring Colorado River water that contributes to supplies in Lake Mead and other Colorado River water reservoirs in the Lower Colorado River Basin; or

(2) to improve the long-term efficiency of operations in the Lower Colorado River Basin.

(b) Limitation

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None of the funds made available under section 3201(8) of this title may be used for the operation of the Yuma Desalting Plant.

(c) Effect

Nothing in section 3201(8) of this title limits existing or future opportunities to augment the water supplies of the Colorado River.