The Belle Fourche project in South Dakota is growing in production and prosperity. It is a favorable location for a beet-sugar factory. In some localities the water table is rising and drainage works should be installed, but arrangements have not yet been made for the repayment of the cost. A small amount of the land under the feed canal and not served from the Owl Creek Reservoir suffers from water shortage in some years, and plans are under way for providing a small storage reservoir to serve these lands.

On the Strawberry Valley project in Utah the principal work constructed by the Government is a storage reservoir in Strawberry Valley on the head waters of the Duchesne River and the diversion of its waters through a long tunnel to the westward slope of the Wasatch range where the water is diverted from the Spanish Fork River and an irrigation system constructed. This system is being operated by the irrigators under special contract and payments of construction charges are being regularly made. In many instances canal systems already in existence are being operated by associations which have made arrangements for storage water from the Strawberry Valley Reservoir and are operating their own canal systems. There are still some water rights in the Strawberry Reservoir for sale.

Three extremely dry years-1917, 1918, and 1919-throughout a large portion of the West have broken all records for drought, and thousands of live stock and many private irrigation projects have suffered for lack of water. Dry farming has generally been a failure throughout these regions.

The Reclamation Service experienced serious water shortage on one project-the Okanogan project in northern Washington in 1918, and while there was some shortage also in 1919 it was not so great. Pumping plants were installed at Salmon Lake and Duck Lake to supplement the storage reservoirs which did not entirely fill. The additional pumping capacity and the enlargement of the reservoir hold-over capacity are the remedies being carried out.

The Yakima project in Washington includes a large system of storage reservoirs and two canal systems known as the Sunnyside unit and the Tieton unit. The project as a whole is very productive and prosperous and strong pressure is being made to secure the construction of more storage, the extension of existing canal systems, and the construction of new canals from the Yakima River and its tributaries. The excellent results obtained show that this would be a wise development. The Yakima project as a whole is one of the foremost in general prosperity and in returning the cost of this construction.

The Shoshone project in Wyoming is being gradually extended by additions to the canal and lateral systems on the north side of the

Shoshone River. The drainage system, which has been largely completed and has been very successful, is also being extended under contract with the water users in accordance with law. The lands are very productive and the project very prosperous. Preparations are being made for the construction of an additional unit on the south side of the Shoshone River for which ample storage capacity has been provided in the Shoshone Reservoir.

The value of the agricultural products exclusive of live stock produced by the Government reclamation projects during the season of 1918, amounting to nearly $67,000,000, has been over half of the net cost of construction of all of the projects during the last 17 years. On some of the projects the 1918 production has exceeded the total construction cost, and even better results are anticipated for the current agricultural year. The results in the extension of agriculture and of home making have justified the expectations of the advocates of this activity and argue strongly for its extension, for which there is great and growing demand.

Summary of construction results.-The following table gives a concise view of the work accomplished during the fiscal year and to date:

Summary of construction results, June 30, 1919.

Summary of construction results, June 30, 1919-Continued.

Settlement. Owing to the improved financial condition of the project farmers, due to good crops and war prices, public interest in Government irrigated lands has become very keen, and the inquiries concerning future public openings showed a marked increase during the year. The widespread hunger for irrigated Government land was shown by the number of inquiries which followed the announcement of an opening of 16 farms on the Yuma project. More than a thousand letters were received, nearly every State in the Union being represented. It was necessary to hold a drawing for every one of the farms, as 724 applicants were present at the opening.

Two small land openings occurred during the year-Newlands project, 11 farms; Yuma project, 16 farms. On June 30, 1918, there were 295 unentered farm units on all the reclamation projects. On June 30, 1919, there were 133 unentered farms. During the year there were added 27 units, so that the total number of farm units entered that year was 189. The remaining unentered farms represent the poorest tracts in the projects. Many are seeped and must be drained; others are rough or badly cut by canals and ditches.

The past year was the most active in the history of the service in the transfer of private lands on the projects. The sales by original owners in whole or in part of their ranches amounted to millions of dollars, and prices of land which a few years ago was desert and worthless ranged from $100 to $1,000 per acre. In these transfers it was noted that many of the purchasers were from other projects whereon they had been successful, and the change was made usually by reason of a desire for a milder climate. Montana farmers have sold at good prices to Mississippi Valley farmers and have transferred to Idaho and Oregon, while the Idaho farmer has joined the numbers thronging to California. With plenty of money and experience the newcomers are valuable additions to the communities in which they locate.

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Land values are constantly rising on all the projects. A notable example of this is shown in the sale of State and school lands on the Belle Fourche project last April. The lands offered, 2,124 acres, were listed for sale three years ago with no purchasers, although the prices were very reasonable and the terms most generous. the April sale every acre was sold and the competition was so keen that the prices in every case were above the minimum set by the State. Lands which in 1916 found no bidders at $12 to $20 per acre sold quickly for $20 to $50, the purchaser in each instance assuming an obligation to pay $60 per acre to the Government for a water right.

The demand of the soldiers for opportunities to acquire land overshadows everything in connection with settlement work, but it will

not be a wise policy to overlook the very urgent and increasing call for similar opportunities from citizens who were unable to wear the colors. Every consideration of good policy that can be advanced stresses the need of increasing greatly the acreage for settlers on all public-land projects as well as the taking up of new projects without delay. Neglect and long deferment of definite plans for rapid land development may still this hunger.

Including areas under Warren-Act contracts, served from Government works, the national reclamation policy has resulted in an annual crop production of $100,000,000 or over from lands which a short time ago returned nothing. To it must be attributed also the establishment of more than 200,000 people in prosperous and contented homes on the land and an equal number in the cities, towns, and villages which are the result of this agricultural development. The progress being made by these communities equals that of the most prosperous regions of our country. With millions of acres of equally favorable land awaiting development and thousands of citizens clamoring for farms, it is most important that a liberal policy in providing funds to construct the necessary works should be followed by Congress.

During the coming year land openings will occur on the North Platte and Shoshone projects, and a few additional farms will be available on the Newlands project. In December, 1919, 6,000 acres of land on the Yuma Mesa will be sold at auction. The funds derived from the sale are to be used in constructing a power and pumping plant and the distribution system. These lands are described as being practically frostless and peculiarly adapted to the production of citrus fruits.

Are project settlers permanent?-In order to determine to what degree settlement on reclamation projects is permanent, an investigation was made of a number of representative projects.

Five of the projects selected for investigation, namely, Huntley, Minidoka, North Platte, Shoshone, and Umatilla, were thought to have experienced unusually trying conditions for the settlers, and one, Boise, was thought to have been quite favorable. Letters were sent to the project managers of these six projects asking the number of original settlers still in possession and the number of transfers made by other settlers, together with any proper explanations.

Although the figures are probably not infallible, they are as nearly correct as possible. The margin of error is doubtless small in any case. The chance for greatest variation is in the number given for total farm units, because these are constantly changing and subdividing.

One of the projects, Minidoka, was also checked up by consulting the tract books in the General Land Office in Washington.

Following is a tabulation from the reports received: