WATER RESOURCES AUTHORITY HEARINGS BEFORE THE COMMITTEE ON INSULAR AFFAIRS SEVENTY-SIXTH CONGRESS THIRD SESSION ON H. R. 8239 A BILL CREATING THE PUERTO RICO WATER OTHER PURPOSES 219245 MARCH 19, 20, 21, 22, 25, 26, 27, 28, 29, Printed for the use of the Committee on Insular Affairs PUERTO RICO WATER RESOURCES AUTHORITY MARCH 19, 1940 COMMITTEE ON INSULAR AFFAIRS, The committee met at 10 a. m., Hon. Leo Kocialkowski (chairman), presiding. The CHAIRMAN. The committee will come to order, please. We are opening hearings this morning on H. R. 8239, a bill to create the Puerto Rico Water Resources Authority and for other purposes. This is the only bill we have before the committee. (H. R. 8239 referred to by the chairman is as follows:) [H. R. 8239, 76th Cong., 3d sess.] A BILL Creating the Puerto Rico Water Resources Authority, and for other purposes Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "Puerto Rico Water Resources Authority Act". DEFINITIONS SEC. 2. The following terms, whenever used or referred to in this Act, shall have the following meanings, except where the context clearly indicates otherwise: (a) The term "Authority" shall mean the Puerto Rico Water Resources Authority created by this Act. (b) The term "Board" shall mean the governing body of the Authority. (c) The term "bonds" shall mean the bonds, temporary bonds, debentures, notes, interim bonds, receipts, certificates, or other evidences of indebtedness or obligations which the Authority is authorized to issue pursuant to this Act. (d) The term "undertaking" shall mean any one or a combination of two or more of the following for continuing to completion the development of the water resources of Puerto Rico: Water, irrigation, electric, heat, light, or power works, facilities, structures, plants, or systems, together with all parts thereof, appurtenances thereto, and lands, rights in lands, water rights, rights and privileges in connection therewith and including, but not limited to, irrigation and hydroelectric supply and distribution systems, plants for generating electricity by water power or by any other means, including steam, and stations, reservoirs, dams, canals, tunnels, conduits, transmission and distribution lines, and other facilities and appurtenances necessary, useful, or customarily used and employed in the production, diversion, collection, storage, conservation, utilization, transportation, distribution, sale, exchange, or other disposition of water or electric energy. (e) The term "Federal agency" shall mean the United States of America, the President, or any department of, or corporation, agency, or instrumentality heretofore or hereafter created, designated, or established by, the United States of America. (f) The term "holder of bonds" or "bondholder" or any similar term shall mean any person who shall be the bearer of any outstanding bond or bonds registered to bearer or not registered, or the registered owner of any outstanding bond or bonds which at the time shall be registered other than to bearer. (g) The term "utilization of the water resources" shall mean the operating agency for the system belonging to the people of Puerto Rico, constructed, operated, and maintained under the provisions of an act of the Legislature of Puerto Rico entitled "An Act for the Development of the Water Resources", approved (f) To make contracts and to execute all instruments necessary or convenient in the exercise of any of its powers; (g) To prepare, or cause to be prepared, plans, designs, and estimates of costs for the construction, reconstruction, extension, improvement, enlargement, or repair of any undertaking or any part or parts thereof, and from time to time to modify such plans, designs, or estimates; (h) To acquire by purchase, lease, devise, gift, or by the exercise of the power of eminent domain, in the manner provided by the condemnation laws of Puerto Rico, and to hold, maintain, and operate any undertaking or any part or parts thereof; (i) To acquire by purchase or otherwise, produce, impound, develop, manufacture, treat, hold, conserve, use, transmit, distribute, exchange, sell and otherwise dispose of, water or electric energy: Provided, That in disposing at wholesale of electric energy the Authority shall give preference and priority as to supply to public bodies and cooperatives: (j) To purchase, lease or lessee, or otherwise acquire and to hold and use any property, real, personal, or mixed, tangible or intangible, or any interest therein deemed by it to be necessary or desirable for carrying out the purposes of the Authority, and (subject to the limitations contained in this Act) to sell, lease as lessor, transfer, exchange, and otherwise dispose of any property or interest therein at any time acquired by it; (k) To construct or reconstruct any undertaking or any part or parts thereof, and any additions, improvements, and extensions to any undertaking of the Authority by contract or contracts, or under, through, or by means of its own officers, agents, and employees; (1) To determine, fix, alter, charge, and collect reasonable rates, fees, rentals, and other charges for the use of the facilities of the Authority, or for the services, electric energy, or other commodities sold, rendered, or furnished by it, which shall be sufficient for the payment of the expenses of the Authority incurred in the conservation, development, improvement, extension, repair, maintenance, and operation of its facilities and properties, for the payment of the principal of and interest on its bonds, and for fulfilling the terms and provisions of such covenants as may be made with or for the benefit of the purchasers or holders of any bonds of the Authority: Provided, That in fixing rates, fees, rentals, and other charges for electric energy, the Authority shall have in view the encouragement of the widest economically possible diversified use of electric energy; (m) To appoint such officers, agents, and employees and vest them with such powers and duties, and to fix, change, and pay such compensation for their services as the Board may determine; (n) To borrow money, make and issue bonds of the Authority for any of its corporate purposes, and to secure payment of its bonds or any part thereof by pledge of or lien on all or any of its contracts, revenues, and income; (0) To make and issue bonds for the purpose of funding, refunding, paying, or discharging any of its outstanding or assumed bonds or obligations, or any bonds or obligations the principal or interest of which is payable in whole or in part from the revenues of its hydroelectric system or of any undertaking forming a part of said system: (p) To accept grants from, and enter into contracts, leases, agreements, or other transactions with, any Federal agency, the people of Puerto Rico, or political subdivisions of the people of Puerto Rico, and to expend the proceeds of any such grants for any corporate purposes; (q) To sell or otherwise dispose of any property of any kind, real, personal, or mixed, or any interest therein, as in the judgment of the Board is no longer necessary for carrying on the business of the Authority or for effectuating the purposes of this Act; (r) To enter on any lands, waters, or premises, after notifying the owners or holders thereof, for the purpose of making surveys, soundings, or examinations; (s) To do all acts or things necessary or convenient to carry out the powers granted to it by this Act or by any act of the Legislature of Puerto Rico, or by any other Act of the Congress of the United States: Provided, however, That the Authority shall have no power at any time or in any manner to pledge the credit or taxing power of the people of Puerto Rico or any of its political subdivisions nor shall the people of Puerto Rico or any of its political subdivisions be liable for the payment of the principal of or interest on any bonds issued by the Authority. |