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The purpose of the Federal share is to underwrite the cost of the operating expenses of the Delaware River Basin Commission whose basic responsibility involves the conservation, utilization, development, management and control of the water and related sources of the Delaware River Basin under a comprehensive multipurpose plan which will bring the greatest benefits and produce the most efficient service in the public welfare related to the basic interests of the signatory parties to the compact.

The reduction in the Federal contribution for fiscal 1965 has been possible due to the changes made in the basis for handling matching funds for quality of water work under the grant provisions of the U.S. Public Health Service program as well as due to use of carryover 1964 funds to meet $33,000 of operating expenses for 1965. Over and above the $413,900 indicated above for operating expenses a total of $133,000 will be provided for quality of water work with the four States providing $78,100, and the Public Health Service providing a matching grant of $54,900.

Moneys expended under these appropriations will support the following planning activities of the Delaware River Basin Commission:

1. Continuing inventory of water supply of the Delaware River stream system.

2. Analyses of population within the Delaware River Basin and its requirements for land and water.

3. Studies of the demands of fish and wildlife upon the waters of the basin and the potential of those waters for all recreational uses.

4. Analyses of the hydroelectric power potential of Delaware River Basin streams and of the market for such electrical energy.

5. Studies of existing and desirable future water quality conditions in Delaware River Basin streams, and developing and monitoring appropriate water quality standards.

6. Studies of areas within the Delaware River Basin subject to periodic flooding, and of nonstructural methods of reducing flood damages.

7. Development and maintenance of a comprehensive plan for the conservation and management of the water resources of the Delaware River Basin. 8. Reviewing projects proposed by any agency having an effect upon the water resources of the basin.

OPERATIONS OF THE COMMISSION

Mr. NORTHROP. The Delaware River Basin Commission has been in operation now for a little over 2 years, having been organized in December of 1961.

The staffing of the commission occurred during the subsequent year so the staff of the commission has been aboard now for approximately a year's time. We have accomplished a good deal of work in this 2-year period. As you know, we have two appropriations; one is an appropriation to the office of the alternate U.S. commissioner and represents the amount needed to take care of the salary of the alternate U.S. commissioner and a secretary, plus travel and other expenses for a total of $39,000.

The other is the appropriation for a grant to the Delaware River Basin Commission. The commission is supported by grants from the signatory parties with approximately 24 percent of operating expenses being provided by each of the four signatories; namely, New York Pennsylvania, New Jersey, and the U.S. Government, the balance of approximately 4 percent being provided by Delaware.

This arrangement for sharing the operating expenses was agreed upon at the first meeting of the commission and subsequently followed. The change in the budget of the commission or the grant from $117,000 to $92,000 in 1965 is due to (1) the difference in the basis of funding the quality of water work between the Public Health Service and the four signatory parties, other than the United States, and (2) the use

of carryover funds. The combination of these two arrangements provided for a reduction of $25,000 in the amount of the grant for 1963 as compared with 1964.

PERSONNEL

Mr. EVINS. How many personnel do you have on your staff at this time?

Mr. NORTHROP. The office of the U.S. commissioner only has two. Mr. Wright will you supply the number on the staff of the commis

sion?

Mr. WRIGHT. There are 38 employees.

Mr. EVINS. About 40 in all?

Mr. WRIGHT. Forty in all.

Mr. EVINS. I notice there are personnel compensations which have gone up and your travel is up, as well as personnel benefits. Do you have any significant accomplishments or achievements during the past year that you want to report to the committee on? Mr. NORTHROP. Mr. Wright?

SIGNIFICANT ACCOMPLISHMENTS OF THE COMMISSION

Mr. WRIGHT. The past year has been particularly noteworthy, I think, for establishing the going programs. We have some nine which are inventory and water supply, analysis of population and demands for land, water analysis of recreation, fish and wildlife demands, the investigation of projects proposed by others, a water quality program. a comprehensive plan on flood-loss reduction, and basin operations. All of these are essentially planning programs with the exception of the investigation of projects proposed by others, which is essentially a review and coordination operation and highly important in that it enables us to conform the activities of State, Federal, and local and private agencies to the master plan that has been developed.

During this past year, some 24 cases have been reviewed by the commission and approved or approved as modified after discussion with the parties.

The elements of the comprehensive plan have been outlined and the detailed study of the long-range needs for water quality has been made and I have supplied the clerk of the committee with that study.

The summary of commission activities, which is somewhat lengthy and perhaps a little pedantic, is contained in their annual report which I have also supplied to the committee.

Mr. EVINS. We are receiving full cooperation from the Government, the States involved, and the local agencies?

Mr. WRIGHT. Yes, we are.

Mr. EVINS. Thank you very much, gentlemen, for coming in.

Are there any questions?

Mr. PILLION. We will defer them until next year.

Mr. EVINS. Thank you very much, gentlemen.

Mr. NORTHROP. Thank you, sir.

Mr. EVINS. The committee stands adjourned until 10 o'clock in the morning.

TUESDAY, APRIL 14, 1964.

ST. LAWRENCE SEAWAY DEVELOPMENT CORPORATION

WITNESSES

JOSEPH H. McCANN, ADMINISTRATOR

BRENDON T. JOSE, ACTING ASSISTANT ADMINISTRATOR

DAVID C. ZIMMERMANN, COUNSEL

WILLIS H. CROSSWHITE, TRAFFIC SERVICES AND INFORMATION OFFICER

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1 Balances of selected resources are identified on the statement of financial condition.

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Mr. EVINS. The committee will come to order.

We have with us this morning the St. Lawrence Seaway Development Corporation.

We have with us our friend, Mr. Joseph H. McCann, the Administrator; and with him is Mr. Brendon T. Jose, the Assistant Administrator; and Mr. David C. Zimmerman, counsel; and W. H. Crosswhite of Traffic Services and Information Officer.

JUSTIFICATION OF THE ESTIMATES

We shall insert the justifications at this point.

NARRATIVE Statement

The St. Lawrence Seaway Development Corporation, a wholly Governmentowned enterprise, is responsible for the construction, operation, and maintenance

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