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of all or any part of the water of the Central Valley project assigned to the San Felipe division. (Pub. L. 90-72, § 3, Aug. 27, 1967, 81 Stat. 174.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616fff-4, 616fff-6 of this title.

§ 616fff-4. Same; consideration of State water plan reports; consultation with local interests; public hearings or other expression of local views.

In locating and designing the works and facilities authorized for construction by sections 616fff-1 to 616fff-7 of this title, and in acquiring or withdrawing any lands as authorized by such sections, the Secretary shall give due consideration to reports prepared by the State of California on the California water plan, and shall consult with local interests who may be affected by the construction and operation of said works and facilities or by the acquisition or withdrawal of lands, through public hearings or in such manner as in his discretion may be found best suited to a maximum expression of the views of such local interests. (Pub. L. 90-72, § 4, Aug. 27, 1967, 81 Stat. 174.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616fff-6 of this title.

§616fff-5. Same; nonapplication of other laws.

In view of the special circumstances of the San Felipe division, neither the provisions of the third sentence of section 423e of this title nor any other similar provision of the Federal reclamation laws shall be applicable in the south and north Santa Clara subareas so long as the water utilized on project lands is acquired by pumping from the underground reservoir. (Pub. L. 90-72, § 5, Aug. 27, 1967. 81 Stat. 174.)

REFERENCES IN TEXT

The Federal reclamation laws, referred to in the text, are classified generally to this title. See Tables for distribution.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616fff-4, 616fff-6 of this title.

$616fff-6. Same; restriction on delivery of water for production of excessive basic commodities.

For a period of ten years from August 27, 1967, no water from the project authorized by sections 616fff-1 to 616fff-7 of this title shall be delivered to any water user for the production on newly irrigated lands of any basic agricultural commodity, as defined in the Agricultural Act of 1949, or any amendment thereof, if the total supply of such commodity for the marketing year in which the bulk of the crop would normally be marketed is in excess of the normal supply as defined in section 1301(b) (10) of Title 7, unless the Secretary of Agriculture calls for an increase in production of such commodity in the interest of national security. (Pub. L. 90-72, §6, Aug. 27, 1967, 81 Stat. 174.)

REFERENCES IN TEXT

The Agricultural Act of 1949, referred to in the text, is classified principally to chapter 35A of Title 7, Agriculture. See Short Title note under section 1421 of Title 7.

CROSS REFERENCE

Basic agricultural commodity defined in Agricultural Act of 1949, see section 1428(c) of Title 7, Agriculture. SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616fff-4 of this title.

§ 616fff-7. Same; authorization of appropriations.

There are hereby authorized to be appropriated for construction of the new works involved in the San Felipe division $92,380 (October 1966 prices), plus or minus such amounts, if any, as may be required by reason of changes in the cost of construction work of the types involved therein as shown by engineering cost indexes and, in addition thereto, such sums as may be required to operate and maintain said division. (Pub. L. 90-72, § 7, Aug. 27, 1967, 81 Stat. 174.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616fff-4, 616ffff-6 of this title.

SOUTHERN NEVADA PROJECT, NEVADA

§ 616ggg. Authorization for construction, operation, and maintenance of project; distribution of water within Clark County, Nevada.

The Secretary of the Interior is authorized to construct, operate, and maintain the southern Nevada water project, Nevada, in accordance with the Federal reclamation laws (Act of June 17, 1902; 32 Stat. 388, and Acts amendatory thereof or supplementary thereto), except as those laws are inconsistent with sections 616ggg to 616mmm of this title for the principal purpose of delivering water for municipal and industrial use. The principal features of the southern Nevada water project shall consist of intake facilities, pumping plants, aqueduct and laterals, transmission lines, substations, and storage and regulatory facilities required to provide water from Lake Mead on the Colorado River for distribution to municipalities and industrial centers within Clark County, Nevada. (Pub. L. 89-292, § 1, Oct. 22, 1965, 79 Stat. 1068.)

REFERENCES IN TEXT

The Federal reclamation laws (Act of June 17, 1902; 32 Stat. 388, and Acts amendatory thereof or supplementary thereto), referred to in text, are classified generally to this title. See Tables for distribution.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616lll of this title. § 616hhh. Allocation of project costs.

(a) Allocation to municipal and industrial water sup

ply; fish, wildlife, and recreation.

The Secretary shall make appropriate allocations of project costs to municipal and industrial water supply and, if appropriate, to fish and wildlife and recreation: Provided, That all operation and maintenance costs for the southern Nevada water project shall be allocated to municipal and industrial water supply. Construction costs of the River Mountains dam and reservoir allocated to fish and wildlife and recreation shall be nonreimburseable in accordance with the Federal Water Project Recreation Act.

(b) Repayment of allocated project costs; interest. Allocations of project costs made to municipal and industrial water supply shall be repayable to the United States in not more than fifty years under either the provisions of the Federal reclamation laws or under the provisions of Water Supply Act of 1958 (title III of Public Law 85-500, 72 Stat. 319 and Acts amendatory thereof or supplementary thereto): Provided, That, in either case, repayment of costs allocated to municipal and industrial water supply shall include interest on the unamortized balance of such allocations at a rate equal to the average rate (which rate shall be certified by the Secretary of the Treasury) paid by the United States on its marketable long-term securities outstanding on October 22, 1965, and adjusted to the nearest one-eighth of 1 per centum. (Pub. L. 89292, § 2, Oct. 22, 1965, 79 Stat. 1068.)

REFERENCES IN TEXT

The Federal Water Project Recreation Act, referred to in text, is Pub. L. 89-72 and is classified to section 460112 et seq. of Title 16, Conservation.

The Federal reclamation laws, referred to in text, are classified generally to this title. See Tables for distribution.

The Water Suply Act of 1958 (title III of Public Law 85-500, 72 Stat. 319), is classified to section 390b of this title.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616ggg, 6161ll of this title.

§ 616iii. Commencement of construction.

(a) Contract with Nevada or Nevada state agency.

The Secretary is authorized to enter into a contract with the State of Nevada, acting through the Colorado River Commission of Nevada or other duly authorized State agency, for the delivery of water and for repayment of the reimbursable construction cost.

(b) Execution of contract prerequisite to commencement of project.

Construction of the project shall not be commenced until a suitable contract has been executed by the Secretary and the Colorado River Commission or other duly authorized State agency.

(c) Impairment of efficiency of project for irrigation purposes.

Such contract may be entered into without regard to the last sentence of section 485h(c) of this title. (d) Transfer of project to state agency.

Upon execution of the contract referred to in subsection (a) of this section, and upon completion of construction of the project, the Secretary shall transfer to said Colorado River Commission of Nevada or other duly authorized State agency the care, operation, and maintenance of the intake, pumping plants, aqueducts, reservoirs, and related features of the southern Nevada water project upon the terms and conditions set out in the said contract.

(e) Permanent use of project facilities by Nevada. When all of the costs allocable to reimbursable purposes incurred by the United States on constructing, operating, and maintaining the project, together with appropriate interest charges, have been returned to the United States by the State of Nevada, said State shall have the permanent right to use the intake, pumping plants, aqueducts, reservoirs, and related features of the southern Nevada water sup

ply project in accordance with said contract. (Pub. L. 89-292, § 3, Oct. 22, 1965, 79 Stat. 1068.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616ggg, 6161ll of this title.

§ 616jjj. Construction costs allocated to defense installations.

Such amount of the costs of construction as are allocated to the furnishing of a water supply to Nellis Air Force Base or other defense installations shall be nonreimbursable. (Pub. L. 89-292, § 4, Oct. 22, 1965, 79 Stat. 1069.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616ggg. 6161ll of this title.

§ 616kkk. Control of diverted waters.

The use of all water diverted for this project from the Colorado River system shall be subject to and controlled by the Colorado River compact, the Boulder Canyon Project Act, and the Mexican Water Treaty (Treaty Series 994) (59 Stat. 1219). (Pub. L. 89-292, § 5, Oct. 22, 1965, 79 Stat. 1069.)

REFERENCES IN TEXT

The Boulder Canyon Project Act, referred to in text. is classified to subchapter I of chapter 12A of this title. SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616ggg, 616111 of this title.

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§ 616lll. Contract provisions for subordination of rights contracting party to those of Basic Management, Inc., or its assignees.

The contract for delivery of water and repayment of reimbursable construction costs of the Southern Nevada Water Project required by section 616ill of this title shall provide that if within five years from October 22, 1965, Basic Management, Inc., or its assignees applies for a contract for the storage and delivery of water in accordance with the provisions of section 5 of the Boulder Canyon Project Act and the regulations of the Secretary of the Interior issued pursuant to said Act, the rights of the party contracting pursuant to section 616iii of this title shall be subordinate to those of Basic Management, Inc., or its assignees to the extent of 41,266 acrefeet per annum or so much thereof as is required for beneficial consumptive use by it, its right to the storage and delivery of the same having been properly maintained in accordance with the terms of its contract. Northing contained in sections 616ggg to 616mmm of this title shall be construed as affecting the satisfaction of present perfected rights as defined by the decree of the United States Supreme Court in Arizona v. California, 367 U.S. 340. (Pub. L. 89-292, § 6, Oct. 22, 1965, 79 Stat. 1069; Pub. L. 89-510, July 19, 1966, 80 Stat. 312.)

REFERENCES IN TEXT

Section 5 of the Boulder Canyon Project Act, referred to in the text, is classified to section 617d of this title. Said Act, referred to in the text, means the Boulder Canyon Project Act, which is classified to subchapter I of chapter 12A of this title.

AMENDMENTS

1966-Pub. L. 89-510 amended section generally by substituting provisions requiring the contract for delivery of water and repayment of reimbursable construction costs to provide for subordination of the rights of the contracting party to those of Basic Management, Inc., or its assignees, if Basic Management, Inc., or its assignees applies for a contract for the storage and delivery of water within five years from October 22, 1965, for provisions which directed the Secretary, in all water supply contracts for the use of water in Nevada under sections 616ggg-616mmm of this title or section 617d of this title. to recognize the intrastate priorities of water rights to the use of water existing on October 22, 1965.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616ggg of this title.

§616mmm. Authorization of appropriations.

There is hereby authorized to be appropriated for construction of the southern Nevada water project, Nevada, the sum of $81,003,000 (September 1965 prices) plus or minus such amounts, if any, as may be justified by reason of ordinary fluctuations in construction costs as indicated by engineering cost indexes applicable to the types of construction involved herein. (Pub. L. 89-292, § 7, Oct. 22, 1965, 79 Stat. 1069.)

SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 616ggg, 6161ll of this title.

TUALATIN PROJECT, OREGON

§616nnn. Authorization for construction, operation, and maintenance; purposes; principal features. In order to supply irrigation water to approximately seventeen thousand acres of land in the Tualatin River Valley, Oregon, to develop municipal and industrial water supplies, to provide facilities for river regulation and control of floods, to enhance recreation opportunities, to provide for the conservation and development of fish and wildlife resources, and for other purposes, the Secretary of the Interior is authorized to construct, operate, and maintain the Tualatin Federal reclamation project in accordance with the Federal reclamation laws (Act of June 17, 1902 (32 Stat. 388), and Acts amendatory thereof and supplementary thereto). The principal features of the said project shall be a dam and reservoir on Scoggin Creek, canals, pumping plants and water distribution facilities. (Pub. L. 89-596, § 1, Sept. 20, 1966, 80 Stat. 822.)

REFERENCES IN TEXT

The Federal reclamation laws (Act of June 17, 1902 (32 Stat. 388), and Acts amendatory thereof and supplementary thereto), referred to in the text, are classified generally to this title. See Tables for distribution.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616qqq of this title. §616000. Irrigation repayment contracts; repayment period; repayment from revenues derived from disposition of power; charges for power and energy.

Irrigation repayment contracts shall provide, with respect to any contract unit, for repayment of the irrigation construction costs assigned for repayment to the irrigators over a period of not more than fifty years exclusive of any development period authorized by law. Construction costs allocated to irrigation beyond the ability of the irrigators to repay during the repayment period shall be returned to the reclamation fund within said repayment period from revenues derived by the Secretary from the disposition of power marketed through the Bonneville

Power Administration. Power and energy required for irrigation water pumping for the Tualatin project shall be made available by the Secretary from the Federal Columbia River power system at charges determined by him. (Pub. L. 89-596, § 2, Sept. 20, 1966, 80 Stat. 822.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616qqq of this title.

§ 616ppp. Conservation and development of fish and wildlife resources and enhancement of recreation.

The conservation and development of the fish and wildlife resources and the enhancement of recreation opportunities in connection with the Tualatin project shall be in accordance with the provisions of the Federal Water Project Recreation Act. (Pub. L. 89-596, § 3, Sept. 20, 1966, 80 Stat. 822.)

REFERENCES IN TEXT

The Federal Water Project Recreation Act, referred to in the text, is classified to section 4601-12 et seq. of Title 16, Conservation.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616qqq of this title. § 616qqq. Project repayment.

(a) Water users' contracts; period for repayment; interest.

Costs of the project allocated to municipal water supply shall be repayable, with interest, by the municipal water users over a period of not more than fifty years from the date that water is first delivered for that purpose, pursuant to contracts with municipal corporations, or other organizations, as defined in section 485a(g) of this title. Contracts may be entered into with water users' organizations pursuant to the provisions of sections 616nnn to 616sss of this title without regard to the last sentence of section 485h(c) of this title.

(b) Interest rate; basis for determination by Secretary of Treasury.

The interest rate used for computing interest during construction and interest on the unpaid balance of the costs of the project allocated to municipal water supply shall be determined by the Secretary of the Treasury, as of the beginning of the fiscal year in which construction is commenced, 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 date of issue, and by adjusting such interest rate to the nearest multiple of one-eighth of 1 per centum if the computed average interest rate is not a multiple of oneeighth of 1 per centum.

(c) Nonreimbursable costs.

Costs of the project allocated to highway transportation shall be nonreimbursable in accordance with section 701r-1 of Title 33. (Pub. L. 89-596, § 4, Sept. 20, 1966, 80 Stat. 822.)

§ 616rrr. Restriction on delivery of water for production of excessive basic commodities.

For a period of ten years from September 20, 1966, no water shall be delivered to any water user on the Tualatin project for the production on newly irrigated lands of any basic agricultural commodity, as defined in the Agricultural Act of 1949, or any amendment thereof, if the total supply of such commodity for the marketing year in which the bulk of the crop would normally be marketed is in excess of the normal supply as defined in section 1301(b) (10) of Title 7, unless the Secretary of Agriculture calls for an increase in production of such commodity in the interest of national security. (Pub. L. 89-596, § 5, Sept. 20, 1966, 80 Stat. 823.)

REFERENCES IN TEXT

The Agricultural Act of 1949, referred to in the text, is classified principally to chapter 35A of Title 7, Agriculture. See Short Title note under section 1421 of Title 7.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616qqq of this title.

§ 616sss. Authorization of appropriations.

There is hereby authorized to be appropriated for the construction of the Tualatin project the sum of $20,900,000 (January 1965 prices) plus or minus such amounts, if any, as may be justified by reason of ordinary fluctuations in construction costs as indicated by engineering cost indexes applicable to the types of construction involved therein, and, in addition thereto, such sums as may be required to operate and maintain said project. (Pub. L. 89-596, § 6, Sept. 20, 1966, 80 Stat. 823.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616qqq of this title.

MISSOURI RIVER BASIN PROJЕСТ,

SOUTH DAKOTA

§ 616ttt. Authorization for construction, operation, and maintenance; purposes; principal features.

The Secretary of the Interior is hereby authorized to construct, operate, and maintain in accordance with the Federal reclamation laws (Act of June 17, 1902 (32 Stat. 388), and Acts amendatory thereof or supplementary thereto) the initial stage of the Oahe unit, James division, Missouri River Basin project, South Dakota, for the principal purposes of furnishing a surface irrigation water supply for approximately one hundred and ninety thousand acres of land, furnishing water for municipal and industrial uses, controlling floods, conserving and developing fish and wildlife resources, and enhancing outdoor recreation opportunities, and other purposes. The principal features of the initial stage of the Oahe unit shall consist of the Oahe pumping plant (designed to provide for future enlargement) to pump water from the Oahe Reservoir, a system of main canals, regulating reservoirs, and the James diversion dam and the James pumping plant on the James River. The remaining works will include appurtenant pumping plants, canalas, and laterals for distributing water to the land, and a drainage system. (Pub. L. 90-453, § 1, Aug. 3, 1968, 82 Stat. 624.)

REFERENCES IN TEXT

The Federal reclamation laws (Act of June 17, 1902 (32 Stat. 388), and Acts amendatory thereof or supplementary thereto), referred to in the text, are classified generally to this title. See Tables for distribution.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616www, 616yyy of this title.

§ 616uuu. Conservation and development of fish and wildlife resources and enhancement of recreation; commencement of construction upon elimination of State prohibition against hunting by nonresidents in waterfowl enhancement areas.

The conservation and development of the fish and wildlife resources and the enhancement of recreation opportunities in connection with the initial stage of the Oahe unit shall be in accordance with the provisions of the Federal Water Project Recreation Act. Construction of the initial stage of the Oahe unit shall not be commenced as long as the State of South Dakota retains in its laws provisions that prohibit the hunting of migratory waterfowl by nonresidents in the waterfowl enhnacement areas included within the area served by the project herein authorized. (Pub. L. 90-453, § 2, Aug. 3, 1968, 82 Stat. 624.)

REFERENCES IN TEXT

The Federal Water Project Recreation Act, referred to in the text, is classified to section 460l-12 of Title 16, Conservation.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616www, 616yyy of this title.

§ 616vvv. Physical and financial integration with other Federal works.

The Oahe unit shall be integrated physically and financially with the other Federal works constructed or authorized to be constructed under the comprehensive plan approved by section 9 of the Act of December 22, 1944, as amended and supplemented. (Pub. L. 90-453, § 3, Aug. 3, 1968, 82 Stat. 625.)

REFERENCES IN TEXT

Act of Dec. 22, 1944, as amended and supplemented, referred to in the text, is act Dec. 22, 1944, ch. 665, 58 Stat. 887, popularly known as the Flood Control Act of 1944. Section 9 of such Act is not classified to the Code.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616www, 616yyy of this title.

§616www. Restriction on delivery of water for production of excessive basic commodities.

For a period of ten years from August 3, 1968, no water from the project authorized by sections 616ttt to 616yyy of this title shall be delivered to any water user for the production on newly irrigated lands of any basic agricultural commodity, as defined in the Agricultural Act of 1949, or any amendment thereof, if the total supply of such commodity for the marketing year in which the bulk of the crop would normally be marked is in excess of the normal supply as defined in section 1301(b) (10) of Title 7. unless the Secretary of Agriculture calls for an increase in production of such commodity in the interest of national security. (Pub. L. 90-453, § 4, Aug. 3, 1968, 82 Stat. 625.)

REFERENCES IN TEXT

The Agricultural Act of 1949, referred to in the text, is classified principally to chapter 35A of Title 7, Agriculture. See Short Title note under section 1421 of Title 7.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616yyy of this title. § 616xxx. Interest rate; basis for determination by Secretary of Treasury.

The interest rate used for purposes of computing interest during construction and interest on the unpaid balance of the capital costs allocated to interest-bearing features of the project shall be determined by the Secretary of the Treasury, as of the beginning of the fiscal year in which construction is initiated, 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 date of issue. (Pub. L. 90-453, § 5, Aug. 3, 1968, 82 Stat. 625.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in sections 616www, 616yyy of this title.

§616yyy. Authorization of appropriations.

There is hereby authorized to be appropriated for construction of the initial stage of the Oahe unit as authorized in sections 616ttt to 616yyy of this title the sum of $191,670,000 (based upon January 1964 prices), plus or minus such amounts, if any, as may be justified by reason of ordinary fluctuations in construction costs as indicated by engineering costs indexes applicable to the types of construction involved herein. There are also authorized to be appropriated such additional sums as may be required for operation and maintenance of the unit. (Pub. L. 90-453, § 6, Aug. 3, 1968, 82 Stat. 625.)

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616www of this title.

MOUNTAIN PARK PROJECT, OKLAHOMA §616aaaa. Authorization for construction, operation, and maintenance.

The Secretary of the Interior is authorized to construct, operate, and maintain the Mountain Park reclamation project, Oklahoma, under the Federal reclamation laws (Act of June 17, 1902; 32 Stat. 388, and Acts amendatory thereof or supplementary thereto) for the principal purposes of storing, regulating, and furnishing water for municipal, domestic. and industrial uses, conserving and developing fish and wildlife resources, providing outdoor recreation opportunities, and controlling floods. The principal features of the project shall consist of a dam and reservoir on Otter Creek, a diversion dam on Elk Creek, a canal from the diversion dam to a storage reservoir on Otter Creek, aqueducts from the storage reservoir to the cities of Altus and Snyder, Oklahoma, a wildlife management area, and basic public outdoor recreation facilities. Construction of the project may be undertaken in such units or stages as in the determination of the Secretary will best serve project requirements and meet water needs. (Pub. L. 90-503, § 1, Sept. 21, 1968, 82 Stat. 853.)

REFERENCES IN TEXT

The Federal reclamation laws (Act of June 17, 1902; 32 Stat. 388, and Acts amendatory thereof and supplementary thereto), referred to in text, are classified generally to this title. See Tables for classification.

SECTION REFERRED TO IN OTHER SECTIONS

This section is referred to in section 616bbbb of this title.

§616bbbb. Repayment of costs; interest rate.

(a) Costs of the project, or any unit or stage thereof, allocated to municipal water supply, shall

be repayable, with interest, by the municipal water users over a period of not more than fifty years from the date that water is first delivered for that purpose, pursuant to contracts with municipal corporations or other organizations, as defined in section 485a(g) of this title. Such contracts shall be precedent to the commencement of construction of any unit or stage of the project. The contracting organization shall be responsible for the disposal and sale of water surplus to its requirements, but revenues therefrom shall be used only for payment of operation and maintenance costs, interest, and retirement of the obligation assumed in the contract. Contracts may be entered into with water users' organizations pursuant to the provisions of sections 616aaaa to 616ffff of this title without regard to the last sentence of subsection (c) of section 485h of this title.

(b) The interest rate used for computing interest during construction and interest on the unpaid balance of the costs of the project allocated to municipal water supply shall be determined by the Secretary of the Treasury, as of the beginning of the fiscal year in which construction is commenced, 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 date of issue, and by adjusting such interest rate to the nearest multiple of one-eighth of 1 per centum if the computed average interest rate is not a multiple of one-eighth of 1 per centum. (Pub. L. 90-503, § 2, Sept. 21, 1968, 82 Stat. 853.)

§ 616cccc. Transfer of operation to water users' organization.

The Secretary is authorized to transfer to a water users' organization the care, operation, and maintenance of the project works, and, if such transfer is made to credit annually against the organization's repayment obligation that portion of the year's operation and maintenance costs which, if the United States had continued to operate the project, would have been allocated to flood control, fish and wildlife, and recreation purposes. Prior to assuming care, operation, and maintenance of the project works the water users' organization shall obligate itself to operate them in accordance with regulations prescribed by the Secretary of the Army with respect to flood control, and by the Secretary of the Interior with respect to fish and wildlife and recreation. Upon complete payment of the obligation assumed, the water users' organization, its designee or designees, shall be conveyed title to such portions of the aqueducts and related facilities as are used solely for delivering project water to water users, and shall have a permanent right to use that portion of project reservoir capacity which is or may be allocated to municipal and industrial water supply purposes by the Secretary of the Interior, so long as the space designated for those purposes may be physically available, taking into account such equitable reallocation of reservoir storage capacities among the purposes to be served by the project as may be necessary due to sedimentation, subject, if the project is then operated by the United States, to payment to the United

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