cost per horsepower than would be the case if the development were divided into two or more installations; and it would not interfere with any of the proposed developments below Boulder Canyon. On the contrary, it would provide a regulated flow which would permit of power development at Black Canyon, also one at a point known as "The Portals" below Black Canyon and one at Bulls Head Rock, although as a matter of economy I would recommend that the dam when constructed at "The Portals" be carried to a height which would back the water to the Boulder Canyon development, thus consolidating "The Portals" development and the Black Canyon site at an economy of cost. The dam at Bulls Head Rock could then be constructed to a height which would back the water to "The Portals development, so there would be no loss of head. The water from the Bulls Head reservoir could then be utilized in a gravity system to irrigate an extensive basin, about 27,000 acres, in the Colorado River bottom between Bulls Head Rock and the town of Needles. I would also recommend that the Government withdraw permanently from entry and reserve for future development a natural dam site above the town of Parker, where the construction of a balancing reservoir would be eventually justified, to further equate the flow of the river and prevent any loss of flood waters or waters discharged from the Boulder reservoir during the winter months in excess of the agricultural requirements.

Consideration has been given the charge that the evaporation from large reservoirs will be excessive and will deplete the supply of water required for domestic and agricultural purposes. The efficiency of storage is the important consideration. If the area of the reservoir is greater than that actually demanded for the storage of flood waters, then the losses from evaporation would probably be excessive; but if the storage capacity is too small, then the loss of flood waters beyond the capacity of the reservoir will be excessive. It is necessary to balance these two factors, and consideration must also be given to the storage required to carry domestic demands and the demands of agriculture over the longest possible period of drought.

During the first period of 50 years after constructing a dam at Boulder Canyon, the upper basin States, due to the time required to develop their agricultural areas, will not utilize all of the water allocated to them. This excess, if stored in a reservoir of adequate capacity, will be available for the production of power, and the extra power so produced during this 50 years will repay many times the cost of the required extra height of the dam and power development. After the construction of all of the dams required to utilize the water allocated to the upper basin States and the development of the agricultural areas has been carried to the full utilization of the water allocated to the upper basin States, then the level of the water in the reservoirs above Boulder Canyon dam will be automatically lowered by the amount of this depletion, but the area then will be no greater than it would be if the dam had been constructed only to the then water level of the reservoir. The excess capacity will, however, continue to possess the advantage of being able to impound any excess waters escaping from the upper basin or excesses due to un72578-25-PT 1- -11

usually wet seasons. These excesses will then continue as an added safety factor to the users of water below Boulder Dam.

With the exception of a small amount of irrigation in Southern Utah and the utilization in Utah of a small part of the power developed at Boulder Canyon, I can not see how the upper basin States can be directly benefited by the Boulder Canyon development. The direct benefit will flow entirely to the States of the lower basin. The water delivered from the reservoir and the power generated in connection therewith will, with the exception of the above reference to Southern Utah, be utilized in the lower basin States.

A number of very excellent dam sites exist on the upper river which will be developed as the demands for water and power justify. There are several dam sites on the river in the upper basin at which electric power can be developed within transmision distance of the markets in Utah, Wyoming, and Colorado, and it is probably that eventually transmission lines will be extended into northern New Mexico. New Mexico's interest in the river lies in the San Juan River, the Little Colorado River, and the Gila River, all of which head in New Mexico and flow westerly into the Colorado River.

Under the plans proposed, all of the waters of the Colorado will not be utilized on the Colorado River watershed. Utah is now diverting some of the waters of the Duchene watershed to what is known as the "Strawberry project." These waters are put to beneficial use outside of the Colorado watershed. The citizens of Colorado propose a tunnel to divert some of the waters of the Colorado watershed into the Mississippi watershed, to supply domestic water in the vicinity of Denver. With the exception of these two projects, all future projects now under contemplation in the upper basin States will be on the Colorado River watershed. Most of the waters taken from the river in the lower basin will be used outside of the Colorado River drainage area.

Under the high-dam development approximately 1,750,000 horsepower can be developed from the Colorado River below and including Boulder Canyon, provided all of the dams and transmissions as recommended by me are installed. The ultimate development in the upper basin will depend to a great extent on the coordination of the several units which it is possible to develop and the manner in which the water is diverted for agricultural purposes. If the streams were to be developed for power alone, without giving full consideration to agriculture, it would be possible to generate in the upper basin States on the Colorado and its tributaries approximately 5,000,000 horsepower, but this will be reduced by diversions for domestic purposes and agriculture. Based on my studies of these projects, I am of the opinion that the upper basin streams can be so developed that after providing for the maximum demand for irrigation and domestic purposes, at least 3,000,000 horsepower can be developed in the upper basin.

Report of the Reclamation Service, as contained in Senate Document No. 142, on page 48, shows that 698,000 acres are now being irrigated from the Colorado River, of which 190,000 acres are located south of the international boundary line, or in Mexico, leaving 508,000 acres now irrigated in the United States. And if a dam were constructed at Boulder Canyon as proposed, and if all of the

waters conserved for beneficial use, the total acreage that would then be irrigated in the area tributary to the Colorado River below Boulder Canyon would be 2,020,000 acres, of which 800,000 would be south of the international boundary line, or in Mexico, leaving 1220,000 acres in the United States. Of this, 1,023,000 acres would be irrigated by gravity and 197,000 acres by pumping.

This same report also shows that at the time this report was completed in 1922, 167,000 acres in the United States was then public domain and 11,500 acres was Indian land. Since that time the area of publicly owned land has been greatly reduced.

There are areas in central and southern Nevada which are underlain with water and which can be irrigated by pumping if electric power was made available during the irrigation season at a reasonable cost. The same condition exists to a lesser degree in the State of Utah. There are also extensive areas in Arizona and California which can be irrigated by pumping and which were not given consideration in the survey made by the Reclamation Service. Since this survey, much information has been secured. The information regarding Arizona was secured some years ago under the direction of Mr. Epps Randolph, then an officer of the Southern Pacific Railroad, and a large part of the Arizona area is owned by the Southern Pacific Railroad. This data I am informed was not submitted to the Reclamation Service engineers. Investigation from year to year is disclosing additional areas in California from which ground water' can be pumped profitably for irrigation.

In Utah, Nevada, and Arizona a considerable portion of this land which is subject to irrigation by pumping still belongs to the public domain. The incomplete information before me at the present time indicates that the total area will eventually aggregate more than at million acres, of which at the present time I would estimate that at least one-third is public domain.

Fortunately, the flood season on the Colorado River comes during the months of June, July, and August. These are the months in which the maximum discharge of water is required for irrigation, so it is possible to utilize this excess demand in the development of extra power during these months.

This power could, and in my opinion should, be delivered to the irrigation districts at a price comparable with the price at which power is delivered to political divisions and public utility corporations, after taking into consideration the interest on the investment during the remainder of the year. This would mean that power could be delivered to the irrigation projects during four to six months at the rate of $2 to $36 per horsepower year, which would be $16 to $18 per horsepower actually paid for on a six months' season basis.

I am of the opinion that appropriations by the Federal Government should be limited to localities in which interstate streams are liable to endanger life and property and to interstate streams on which appropriations are required to maintain navigable waterways. In the case of the Colorado River, the stream flows between Arizona and Nevada but is a menace to life and property in the State of California. Under such a condition I am convinced that the Federal

Government should appropriate such funds as may be necessary to protect the lives and property of the people on this stream.

The States of Arizona and Nevada could hardly be expected to appropriate such funds for protection extended to California, and California could not, as the laws now stand, expend state or municipal funds in Arizona or Nevada without permission from those States.

I am of the opinion that the Federal Government should appropriate funds for the construction of a dam on the Colorado River of sufficient size to safeguard the people of the lower river against flood damage.

Many engineers are of the opinion that an appropriation of $30,000,000 would provide a dam of sufficient size to protect the lower river lands against floods under conditions as they exist to-day, but I am of the opinion that the engineers who agree upon this recommendation have not given sufficient consideration to the very high burden of silt carried by the stream.

If a limit of $30,000,000 was invested in dam construction at Boulder Canyon, or any other location far enough down the river to intercept and control the flood discharge from the tributaries of the Colorado, except the Williams and Gila Rivers, it would provide a reservoir of just sufficient capacity to hold the floods at the time of their occurrence. Following the flood period the reservoir would have to be drained to make the capacity available for the next flood season. This would mean that the silt would be discharged with the water and would continue to accumulate in the channel of the lower river and in the irrigation canals.

At the present time a certain amount of silt deposited in the lower river each year is cut away and carried into the Gulf of California, during the next period of extreme flood. It has been found that when the river reaches a rate of flow of approximately 75,000 secondfeet, the current is strong enough to pick up a part of the previous year's deposit of silt and carry it on. In this way the capacity of the river channel is increased during the periods of extreme flood; then, as the flood diminishes and the discharge recedes below 75,000 second-feet, a silt is again deposited in the river channel. If a flood control reservoir, without permanently storing the silt, limits the discharge to 80,000 or 90,000 second-feet, then the proportion of the annual discharge which will flow through the channel at a rate of less than 75,000 second-feet will be increased and the annual accumulation of silt in the river channel will be greater than it is at the present time.

I feel that the construction of a low dam would not correct existing conditions. A settling basin for the silt must be provided and the economic waste of power should be stopped.

At the present time the fuel used to generate electric power within transmission distance of Boulder Canyon is equivalent to the continuous discharge of fuel oil from an 8-inch pipe at the rate of 5 feet per second every second of the year. This oil should be conserved for the use of the Navy and marine shipping.

I am not in favor of Federal appropriation for complete development, and am certain that the appropriation of $30,000,000 would be inadequate to accomplish the purpose; but, it can be ac

complished by a cooperative plan. I told that it would not be equitable to permit one city to develop and utilize the water and power to the exclusion of the others in the States at interest, nor would it be equitable in the States at interest, nor would it be equitable to permit one public service corporation to develop and sell the water and power from this stream to the exclusion of all other public service corporations in the States at interest.

The demand for power at the present time is not sufficient to justify the financing of the project on the returns from power alone without demanding an excessive rate for power. It is possible, however, to create under the authority of Congress a corporation authorized to participate with the Federal Government in the cost of the construction of the dam, and authorized to permit all political divisions, irrigation districts, public service corporations, and railroads within the States at interest to participate in the financing and to prorate the power and stored water. The poltical divisions, irrigation districts, public service companies, and railroads within the States at interest could then participate in proportion to their participation in the financing. A prominent New York banking house stands ready to cooperate in financing the company under these conditions. That is, I mean that Los Angeles and any other city within California, Arizona, Nevada, and Utah would be permitted to come into the corporation for such an amount as they desired to invest and participate in proportion to their investment, and that the same privilege should be extended to irrigation districts, public service corporations, and railroads within the States at interest.

If it should be difficult for political divisions, say for municipalities, to invent in the stock or bonds in a private corporation as I have proposed, as such an investment was not in accord with the law or public policy, then that municipality or other political division could enter into a definite contract for a block of power, the contract to extend over a period of years, and the banking firm to which I have referred would take up securities in proportion to the contract entered into. If public service corporations within the states at interest were permitted to invest in the securities of the corporations, then it would be necessary for them to take their proper proportion of stock so that the junior financing would in this way be provided for; and I would accord the same privilege to railroads, and irrigation districts, I would ask them to acquire by purchase or to guarantee securities in proportion to their requirements. Then the cooperative company would not be a distributing company, but would be in the position of a generating and wholesale company only. The power to be delivered to political divisions, irrigation districts, public service companies, and railroads only. They to take the power at transmission potential from the power companies' trunk lines at a wholesale rate and distribute it within their own districts or under their own franchises.

To distribute the water stored for domestic or irrigation purposes, I would construct the dam and all discharge works under the supervision of the Department of the Interior, and I would leave the ownership of the dam and reservoir and the control of all discharge. works permanently in the hands of the Department of the Interior.