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ANGOSTURA PROJECT

JULY 22, 1948.—Committed to the Committee of the Whole House on the State of the Union and ordered to be printed

Mr. COOLEY, from the Committee on Agriculture, submitted the

following

REPORT

[To accompany H. R. 2538]

The Committee on Agriculture, to whom was referred the bill (H. R. 2538) to authorize completion of the land development and settlement of the Angostura unit of the Missouri Basin project, notwithstanding a limitation of time, having considered the same, report favorably thereon without amendment and recommend that the bill do pass.

STATEMENT

The purpose of this bill (H. R. 2538) is to permit the Department of Agriculture to complete the land-utilization aspects of the Angostura irrigation project in South Dakota.

This is one of the several projects originally undertaken under the authority of the act of August 11, 1939, known as the Case-Wheeler Act, and also as the Water Conservation and Utilization Act. This particular project was authorized by the President on March 6, 1941. The other projects under the act were authorized at an earlier date and have been completed.

Under the terms of the act, the Department of the Interior through the Bureau of Reclamation, was to construct the dam, reservoir and appurtenant works, and the distribution and drainage system. The Secretary of Agriculture was to be responsible for the land-utilization part of the project, including land acquisition, improvement, and settlement.

Pursuant to the authorization of March 6, 1941, the Department of Agriculture acquired approximately 18,000 acres of private land for the project development and transferred to the project 1,570 acres of irrigable land originally purchased under title III of the BankheadJones Farm Tenant Act. The Department of Agriculture promptly

began the leveling and development of this land for irrigated agricultural use.

Before the Bureau of Reclamation could commence the actual construction of the dam and appurtenant works, however, the war emergency intervened and construction was halted. The other projects undertaken under the Case-Wheeler Act, being far enough along in their development to provide additional land for war production purposes, were continued to their completion during the war years.

In 1943, the project was reauthorized as part of the Missouri Basin flood-control project and work on the dam and irrigation facilities was resumed by the Bureau of Reclamation in 1946. That work is now approximately 80 percent completed and is expected to be entirely completed during 1949. In the meantime, however, the authority for the Department of Agriculture to complete land-utilization aspects of the project expired on June 30, 1947. The project, therefore, is now in the situation where the dam and irrigation facilities are almost ready for use, but the land on which the water is to be used is not level and is still in the same condition it was in 1941 when work on the project was stopped.

The purpose of this bill is merely to extend the time under which the Department of Agriculture may complete the land-utilization aspects of the Angostura project under authority of existing law. It is the understanding of the committee that the bill is designed solely to authorize the Secretary of Agriculture to complete the landdevelopment phases of the project contemplated when the project was initially approved and pursuant to the limitation and conditions as defined by the Water Conservation and Utilization Act of August 11, 1939, as amended, the amendatory provision (act of July 16, 1943, sec. 5, 57 Stat. 566, 567), by H. R. 2538, being made applicable to the land development and settlement without further findings by this Department or approval thereof. It is our understanding that the bill is not intended to affect in any manner the authority of the Bureau of Reclamation to construct the irrigation features of the project and to arrange for the repayment of the reimbursable cost thereof, in accordance with the Flood Control Act of December 22, 1944, and the provisions of the Federal reclamation laws.

DEPARTMENT REPORTS

Both the Department of Agriculture and the Department of the Interior have recommended approval of the bill, and the letters from the Secretary of Agriculture and the Secretary of the Interior are appended hereto and made a part of this report.

Hon. HAROLD D. COOLEY,

DEPARTMENT OF AGRICULTURE,
Washington, June 7, 1949.

Chairman, Committee on Agriculture,

House of Representatives.

DEAR MR. COOLEY: This is in reply to your request of April 30 for a report on H. R. 2538, a bill to authorize completion of the land development and settlement of the Angostura unit of the Missouri Basin project, notwithstanding a limitation of time. This bill would extend the provisions of section 5 of the act of July 16, 1943 (57 Stat. 566, 567), and give them force and effect to the same

extent as though the requirements thereof had been completed prior to June 30, 1947.

The act of July 16, 1943, which amended previously enacted legislation under which construction of the Angostura project was authorized, made possible the completion of similar projects and the construction of additional new projects during the war where such construction would aid in the production of needed agricultural products. It authorized expenditure of funds appropriated under the Water Conservation and Utilization Act of August 11, 1939, as amended, in lieu of services, labor, materials, and other property, including money, authorized by the original legislation to be utilized by the Work Projects Administration, the Civilian Conservation Corps, or other agencies in connection with such projects. It further authorized the Secretary of Agriculture, in determining reimbursability by water users, to exclude project expenditures to the extent deemed necessary for the successful prosecution of the project. Enactment of H. R. 2538 would make possible completion of the land development and settlement of the Angostura project as contemplated in the original plan authorized by the President on March 6, 1941. Completion of construction of the storage reservoir and main distribution canals is now being accomplished by the Bureau of Reclamation under separate legislation applying to that agency.

In the plan approved by the President, the Department of Agriculture proposed to acquire excess land holdings deemed necessary to assure success of the project, level and prepare project lands for irrigation, subdivide the acquired land into adequate-sized units and be responsible for the settlement phases of the project. · Upon approval of the project the Department proceeded with its plan and secured control of approximately 75 percent of the land which will be irrigated. The actual leveling of farm lands for irrigation, and installation of farm irrigation systems was not undertaken during the war because water for irrigation could not be made immediately available Soil and topographic surveys have been made, however, and a tentative subdivision of acquired lands into family-sized farms has been completed for a portion of the project In view of the progress now being made by the Bureau of Reclamation in completing construction of the major irrigation features of the project. it is evident that if farm lands are to be ready to receive irrigation water when it is made available for irrigation. the farm-development program should be resumed at an early date.

The $638,000 development and settlement program originally authorized by the President in March 1941 included expenditure by this Department of $448,000 from appropriations authorized by the act of August 11, 1939, as amended, and participation by the Work Projects Administration or Civilian Conservation Corps having an estimated value of $190,000. Due, however, to rapidly changing conditions resulting from the war emergency, these latter agencies were unable to participate in the farm development program as planned. Completion of the project will require, therefore, additional funds to cover (a) the cost at today's prices of the work which was to have been accomplished by WPA or CCC, and (b) the general increase in cost of all labor, material, supplies, and technical supervision which has taken place since 1940. The amount required is estimated at approximately $1,036,000 in addition to the $448,000 already obligated or available for obligation. These figures include the cost of equipment but do not take into account the estimated salvage value of about $100,000 for such equipment since it will not be disposed of and the proceeds returned to the Treasury before the project is completed.

This Department recommends that the bill be passed.

The Bureau of the Budget advises that there is no objection to the submission of this report.

Sincerely yours,

CHARLES F. BRANNAN, Secretary.

DEPARTMENT OF THE INTERIOR,
OFFICE OF THE SECRETARY,
Washington, D. C., July 5, 1949.

Chairman, Committee on Agriculture,

House of Representatives.

Hon. HAROLD D. COOLEY,

MY DEAR MR. COOLEY: I am glad to comply with your request for an expression of our views on H. R. 2538 which is entitled "A bill to authorize completion of the land development and settlement of the Angostura unit of the Missouri Basin project, notwithstanding a limitation of time."

H. Repts., 81-1, vol. 5-52

We recommend enactment of the proposed legislation.

The Angostura project, South Dakota, was originally authorized by the President on March 6, 1941, under authority of the Water Conservation and Utilization Act of August 11, 1939 (53 Stat. 1418). By this original authorization, the Department of the Interior through the Bureau of Reclamation was to construct the dam, reservoir and appurtenant works, and the distribution and drainage systems. It was also proposed that the Bureau of Reclamation would operate the irrigation works and would negotiate contracts with the water users for the repayment of reimbursable construction charges. The same authorization committed the Secretary of Agriculture to participate in the project development as follows: to arrange for the settlement of the project on a sound agricultural basis; to extend guidance and advice to settlers in matters of farm practice, soil conservation, and efficient land use: to acquire agricultural lands within the boundaries of the project; and to arrange for the improvement of lands within the project boundaries, including leveling and preparation of the lands for distribution of irrigation water.

Promptly after authorization of the project by the President. the Department of Agriculture launched an extensive land-acquisition program Eighteen thousand acres of privately owned land were acquired by the Secretary of Agriculture for project development, of which 10,535 acres are irrigable In addition, subsequently the Secretary of Agriculture by a special act of Congress was authorized to include for project development 1,570 acres of irrigable land originally purchased under title III of the Bankhead-Jones Farm Tenant Act. Thus, out of a total of 16,180 acres of irrigable land on the Angostura project, 12,105 acres, approximately 75 percent are federally owned and under the jurisdiction of the Secretary of Agriculture.

Inauguration of actual construction of the dam and reservoir by the Bureau of Reclamation was delayed for some months following the original authorization when detailed borings at the proposed dam site indicated the necessity for seeking a more suitable location or for a change in the design of the structure Thus, actual construction of the irrigation features of the project was not under way at the time of the national emergency commencing December 7 1941 - Subsequently, War Production Board stop orders prevented instituting construction of the irrigation features.

The Flood Control Act of December 22, 1944 (58 Stat 887), reauthorized construction of the Angostura project as a unit of the Missouri Basin project. Section 9 (c) of the Flood Control Act requires that the construction and operation of units authorized shall be in accordance with the provisions of the Federal Reclamation Laws (act of June 17, 1902, 32 Stat 388, and acts amendatory thereof or supplementary thereto). In accordance with this reauthorization the Bureau of Reclamation started construction of the Angostura Dam and Reservoir in the fall of 1946. At the present time the construction of the Angostura Dam and Reservoir is approximately 80 percent completed.

In view of the factual situation described above, it is our interpretation that H. R. 2538 is designed solely to authorize the Secretary of Agriculture to complete the land-development and settlement phases of the Angostura project contemplated when the project was initially approved and pursuant to the limitation and conditions as defined by the Water Conservation and Utilization Act of August 11, 1939, as amended, the amendatory provision (act of July 16, 1943, sec. 5, 57 Stat. 566, 567), by H. R. 2538, being made applicable to the land development and settlement without further findings by this Department or approval thereof It is our understanding that the bill is not intended to affect in any manner the authority of the Bureau of Reclamation to construct the irrigation features of the project and to arrange for the repayment of the reimbursable cost thereof, in accordance with the Flood Control Act of December 22, 1944. and the provisions of the Federal reclamation laws.

In view of my understanding that your Committee desires an immediate report on this bill, there has been no time for the usual clearance with the Bureau of the Budget. Accordingly, I cannot advise regarding the relationship to the President's program of the views herein expressed.

Sincerely yours,

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TOWN OF CRAIG, ALASKA

JULY 25, 1949.-Committed to the Committee of the Whole House and ordered to be printed

Mr. DENTON, from the Committee on the Judiciary, submitted the

following

REPORT

[To accompany H. R. 322]

The Committee on the Judiciary, to whom was referred the bill (H. R. 322) for the relief of the town of Craig, Alaska, having considered the same, report favorably thereon with amendment and recommend that the bill do pass.

The amendment is as follows:

Strike out all after the enacting clause, and insert in lieu thereof: That the Secretary of the Treasury is authorized and directed to pay out of the “Alaska fund” to the city treasurer of the incorporated town of Craig, Alaska, the sum of $745.64 heretofore deposited into the said "Alaska fund" by the clerk of the United States District Court for the First Judicial Division of the Territory of Alaska, said amount having been paid to the clerk by the New England Fish Company as a license tax for the year 1947 on 18,641 cases of salmon packed or canned at the Libby, McNeill and Libby cannery located within the city limits of the incorporated town of Craig. Alaska.

The purpose of the proposed legislation is to authorize the Secretary of the Treasury to pay out of the Alaska fund to the city treasurer of the incorporated town of Craig, Alaska, the sum of $745.64 heretofore deposited into the said Alaska fund by the clerk of the United States District Court for the First Judicial Division of the Territory of Alaska, said amount having been paid to the clerk by the New England Fish Co. as a license tax for the year 1947 on 18,641 cases of salmon packed or canned at the Libby, McNeill & Libby cannery located within the city limits of the incorporated town of Craig, Alaska.

STATEMENT OF FACTS

It appears that the clerk of the Court for First Judicial Division of the Territory of Alaska stated that the New England Fish Co. paid a license tax of $745.64, covering salmon packed for the year 1947, which was deposited in the Alaska fund by the clerk for the reason

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