Bureau of Reclamation-Comparison of funds available in 1938 with estimates of appropriation for 1948

Bureau of Reclamation—Comparison of funds available in 1938 with estimates of appropriation for 1948-Continued

Mr. JONES. The point I had in mind, sir, was that these folks with whom I worked when I first went on the committee, former members of this subcommittee, were able men. They were extremely anxious

for the expansion of the Interior Department and its operations and they were extremely anxious to expedite the development of the Reclamation Service. When I look at the meager amounts, compared to present estimates, that were presented and were appropriated and voted by these men who were very ardent supporters of the Interior Department, and then see the criticism that comes to this committee in later years when we have appropriated more money, and I do not mean criticism from the Department particularly, although your predecessor did criticize us bitterly, some sections of the public which have criticized us as being parsimonious-I have smarted under it because this committee has appropriated a lot more money than was appropriated formerly. I think it would be very helpful in the way of general information to get that analysis before the public in the hearings.

In

Secretary KRUG. I think, too, that it would be a good thing for the committee to have a statement of the history of the major projects because they are the substance of our whole reclamation program. my own view it is a tragedy that they were not completed earlier. The war came along and added millions of dollars to their cost. The Central Valley project would have been completed during the war years, but that is water over the dam now, and we have to do our best to bring these projects to completion and get the taxpayer's dollar out of them.

OIL, GAS, AND MINING ROYALTIES AND RENTALS

Mr. JONES. Now, in the table at the end of your statement I notice that oil, gas, and mining royalties and rentals are $11,224,558.84 in 1946, and they are estimated to drop off some $97,000 in 1947, and there is a further drop in 1948. What is the reason for that?

Secretary KRUG. I assume that is the change that was made in the basic law in the Seventy-ninth Congress, but I would like to check that up before saying so definitely. Is that right, Mr. Northrup? Mr. NORTHRUP. I am not sure.

Secretary KRUG. I am quite sure that it is. You recall the law was changed from a graduated scale to a flat 12% percent on all of the discovery leases in oil.

Mr. JONES. If you will check that, please.
Secretary KRUG. Yes; I will check that.

(The following was submitted later:)

NOTE. In the fiscal year 1946, collections under the Mineral Leasing Act totaled $10,031,247. The estimated receipts for 1947 and for 1948 have been placed at $10,000,000. Inasmuch as it is impossible to estimate accurately these receipts, and because no material change in their volume is anticipated in 1947 and 1948, a rounded figure of $10,000,000 was used.

COLLECTIONS, RECLAMATION FUNDS

Mr. JONES. The next is collections in reclamation funds. You estimate they will go up to $26,285,000 in 1948 as against $22,653,384 in 1946. What is the reason for that?

Secretary KRUG. That is due to the general expansion in areas receiving reclamation water. In short, the sale of additional quantities of water and power.

Mr. JONES. Can you get down to specific data on that as to what they are?

Secretary KRUG. Yes; we can give you that information project by project.

(The matter referred to is as follows:)

Mr. JONES. Now, on the sale of Bonneville power, you expect this to go from $21,546,000 in 1946 to $23,575,000 in 1948.

Secretary KRUG. That is the sale of the additional power generated at Coulee from the new units that are being put in now.

Mr. JONES. Did you estimate these yourself, or has thet been done at the Bonneville office?

Secretary KRUG. The Bonneville office submitted these estimates of receipts, but all of these estimates were checked by my staff before being included in this table.

ALASKA RAILROAD RECEIPTS

Mr. JONES. With reference to the Alaska Railroad receipts I note there will be a decrease of $800,000 estimated in 1948 over 1947. What is the reason for that?

Secretary KRUG. That is due to the decline in military activity in 1948.

Mr. BEASLEY. Revenues in 1947 from transportation of materials to be used in the Army's construction program will not recur in 1948. Secretary KRUG. Oh, yes, that is the big Army program that has come into full operation in 1947. It is expected to be at a somewhat lower level in the fiscal year 1948. A good part of the Alaskan railroad receipts come from the movement of Army and Navy freight and equipment.

OVER-ALL INCOME

Mr. JONES. Now your over-all income in 1946 is scheduled as $84,712,084, and it is estimated in 1948 it will be $85,181,488. Will you analyze the difference there?

Secretary KRUG. Well, that is the effect of the pluses and minuses which you, Mr. Chairman, have already referred to and due to the fact that we expect an increase in reclamation funds, and an increase in the sale of Bonneville power with certain partially offsetting decreases. The Alaska Railroad decrease is one of the largest. The