(b) Payments to States of Arizona and Nevada.-Annual payments of $300 thousand each in lieu of taxes are made to Arizona and Nevada, from operation of the Boulder Canyon project (43 U.S.C., ch. 12A).

2. Construction of operation and maintenance headquarters and facilities, irrigation projects.-Proceeds from the sale of certain property on the Minidoka, Shoshone, and Yakima projects are available for construction of necessary operation and maintenance headquarters and related facilities on these projects (75 Stat. 388).

3. Payments to the Farmers' irrigation district (North Platte project, Nebraska-Wyoming).-Payments are made to the Farmers' irrigation district on behalf of the Northport irrigation district for water carriage (62 Stat. 273, amended).

as

4. Payments to local units, Klamath Reclamation Area.Certain revenues collected from the leasing of Klamath project reserved Federal lands within the boundaries of certain national wildlife refuges shall be used:

(a) to credit or pay to the Tulelake Irrigation District amounts already committed,

(b) to pay to the Klamath Drainage District the sum of $197,315, and

(c) to make annual payments to the counties in which such refuges are located (78 Stat. 850).

5. Refunds and returns. Overcollections are refunded and unapplied deposits are returned (64 Stat. 689).

4

Object Classification (in thousands of dollars)

8

8

8

"Payments to local units, Klamath Recla

mation Area"

197

actual

"Refunds and returns" (indefinite general fund).

41.0 Grants, subsidies, and contributions. 43.0 Interest and dividends.

600

600

600

3,000

44.0 Refunds.____

100

with the disposal of the Federal interest in the communities.

Funds will be used in 1966 for administration of sales contracts retained by the United States and for other incidental expenses (71 Stat. 530).

SPECIAL FUNDS

Sums herein referred to as being derived from the reclamation fund, the Colorado River Dam fund, or the Colorado River development fund, are appropriated from the special funds in the Treasury created by the Act of June 17, 1902 (43 U.S.C. 391), the Act of December 21, 1928 (43 U.S.C. 617a), and the Act of July 19, 1940 (43 U.S.C. 618a), respectively. Such sums shall be transferred, upon request of the Secretary, to be merged with and expended under the heads herein specified; and the unexpended balances of sums transferred for expenditure under the heads "Operation and Maintenance" and "General Administrative Expenses" shall revert and be credited to the special fund from which derived. (Public Works Appropriation Act, 1965.)

ADMINISTRATIVE PROVISIONS

Appropriations to the Bureau of Reclamation shall be available for purchase of not to exceed [sixty-seven] forty-nine passenger motor vehicles for replacement only; purchase of one aircraft [for replacement only]; payment of claims for damage to or loss of property, personal injury, or death arising out of activities of the Bureau of Reclamation; payment, except as otherwise provided for, of compensation and expense of persons on the rolls of the Bureau of Reclamation appointed as authorized by law to represent the United States in the negotiation and administration of interstate compacts without reimbursement or return under the reclamation laws; rewards for information or evidence concerning violations of law involving property under the jurisdiction of the Bureau of Reclamation; performance of the functions specified under the head "Operation and Maintenance Administration", Bureau of Reclamation, in the Interior Department Appropriation Act, 1945; preparation and dissemination of useful information including recordings, photographs, and photographic prints; and studies of recreational uses of reservoir areas, and investigation and recovery of archeological and paleontological remains in such areas in the same manner as provided for in the Act of August 21, 1935 (16 U.S.C. 461-467): Provided, That no part of any appropriation made herein shall be available pursuant to the Act of April 19, 1945 (43 U.S.C. 377), for expenses other than those incurred on behalf of specific reclamation projects except "General Administrative Expenses" and amounts provided for reconnaissance, basin surveys, and general engineering and research under the head "General Investigations".

Allotments to the Missouri River Basin project from the appropriation under the head "Construction and Rehabilitation" shall be available additionally for said project for those functions of the Bureau of Reclamation provided for under the head "General Investigations" (but this authorization shall not preclude use of the appropriation under said head within that area), and for the continuation of investigations by agencies of the Department on a general plan for the development of the Missouri River Basin. Such allotments may be expended through or in cooperation with State and other Federal agencies, and advances to such agencies are hereby authorized.

Sums appropriated herein which are expended in the performance of reimbursable functions of the Bureau of Reclamation shall be returnable to the extent and in the manner provided by law: Provided, That net revenues not to exceed an additional $88,000 to the amount authorized in the Public Works Appropriation Act, 1964 (77 Stat. 850) arising from the lease of grazing and agricultural lands within the Tule Lake and Lower Klamath Lake Divisions as determined by the Secretary may be credited to the cost heretofore and hereafter incurred for the Klamath project water rights program, notwithstanding the provisions of section 2(c) of the Act of June 17, 1944, and sections 2(a), 2(b), and 2(c) of the Act of August 1, 1956.

No part of any appropriation for the Bureau of Reclamation, contained in this Act or in any prior Act, which represents amounts earned under the terms of a contract but remaining unpaid, shall be obligated for any other purpose, regardless of when such amounts

are to be paid: Provided, That the incurring of any obligation prohibited by this paragraph shall be deemed a violation of section 3679 of the Revised Statutes, as amended (31 U.S.C. 665).

No funds appropriated to the Bureau of Reclamation for operation and maintenance, except those derived from advances by water users, shall be used for the particular benefits of lands (a) within the boundaries of an irrigation district, (b) of any member of a water users' organization, or (c) of any individual when such district, organization, or individual is in arrears for more than twelve months in the payment of charges due under a contract entered into with the United States pursuant to laws administered by the Bureau of Reclamation.

Not to exceed $225,000 may be expended from the appropriation "Construction and Rehabilitation" for work by force account on any one project or Missouri Basin unit and then only when such work is unsuitable for contract or no acceptable bid has been received and, other than otherwise provided in this paragraph or as may be necessary to meet local emergencies, not to exceed 12 per centum of the construction allotment for any project from the appropriation "Construction and rehabilitation" contained in this Act shall be available for construction work by force account: Provided, That this paragraph shall not apply to work performed under the Rehabilitation and Betterment Act of 1949 (63 Stat. 724). (Public Works Appropriation Act, 1965.)

750-100-65- -38

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

This fund defrays the expense of operating the powergeneration and transmission facilities of the Fort Peck project, Corps of Engineers-Civil, and emergency expenses to insure continuous operation (16 U.S.C. 833). Budget program.-Funded operating costs in 1966 are substantially the same as in 1965, and the capital outlay program is completed except for minor continuing capital expenditures from Operation and maintenance appropriation.

Financing. The operation of the Fort Peck project power and transmission facilities is financed by this fund and capital outlays for transmission facilities by advances from the appropriation Construction and rehabilitation. The accompanying statements consolidate the financing from the Continuing fund for emergency expenses, Fort Peck project, Montana, and Construction and rehabilitation.

Operating results.Net income is estimated at $1,028 thousand for 1966, a slight decrease from the 1965 estimates. Earnings in excess of current operating needs are retained so as to maintain a continuing emergency fund of $500 thousand. The balance is paid into the Treasury as miscellaneous receipts toward amortizing with interest that part of the Government investment allocated to power generation and transmission. Such payments totaled $930 thousand in 1964 and are estimated at $1.7 million in 1965 and 1966.

Revenue, Expense, and Retained Earnings (in thousands of dollars)

1 Carried as Treasury cash under the Construction and rehabilitation appropriation.

2 The Fort Peck project and the Missouri River Basin project interchange power in their marketing operations. Rather than exchange funds for settlement on the balance of the interchange, the revenues of each project are covered into deposit funds pending distribution to the appropriate fund or receipt account.

The changes in these items are reflected on the program and financing schedule. The method used to compute the interest payment due the United States is 3% of the balance to be repaid at the end of the previous year of the interest-bearing allocation to commercial electric plant. This allocation is based on the cost of project works constructed by the Bureau of Reclamation and Corps of EngineersCivil.

Object Classification (in thousands of dollars)

21.0 Travel and transportation of persons.. 22.0 Transportation of things....

29

29

Revenue:

23.0 Rent, communications, and utilities. 25.1 Other services...

968

979

1,032

26.0 Supplies and materials..

31.0 Equipment..........

32.0 Lands and structures..

-751

-742

-744

UPPER COLORADO RIVER STORAGE PROJECT

For the Upper Colorado River Storage Project, as authorized by the Act of April 11, 1956 (43 U.S.C. 620d), to remain available until expended, $62,300,000] $48,865,000, of which [$57,800,000] $45,365,000 shall be available for the "Upper Colorado River Basin Fund" authorized by section 5 of said Act of April 11, 1956, and [$4,500,000] $3,500,000 shall be available for construction of recreational and fish and wildlife facilities authorized by section 8 thereof, and may be expended by bureaus of the Department through or in cooperation with State or other Federal agencies, and advances to such Federal agencies are hereby authorized: Provided, That no part of the funds herein appropriated shall be available for construction or operation of facilities to prevent waters of Lake Powell from entering any National Monument. (Public Works Appropriation Act, 1965.)

Appropriations made for the Upper Colorado River storage project include amounts for the Upper Colorado River Basin fund which are reimbursable, except for costs allocated to nonreimbursable purposes, and for the recreational and fish and wildlife facilities, which are not reimbursable under the terms of the law.