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<br />Governor designated the Director of Water Re-
<br />sources to assume responsibility for the direction
<br />of such negotiations on behalf of the Governor
<br />and urged that all possible assistance be provided.
<br />At a special meeting held on November 29, the
<br />Colorado River Board unanimously "agreed to
<br />support Governor Reagan's leadership of negoti-
<br />ations with Arizona and the other states of the
<br />Colorado River Basin as set forth in his letter
<br />to the Chairman on November 28, 1967," and
<br />pledged continuing cooperation "as in the past
<br />in achieving a satisfactory solution to Colorado
<br />River legislation."
<br />Looking toward early consideration of Colo-
<br />rado River Basin Project legislation by the House
<br />Interior Committee in the second session of the
<br />90th Congress, a draft of revision to H.R. 3300
<br />was prepared by the State of Colorado for con-
<br />sideration during a meeting of the seven Colo-
<br />rado River Basin states to be held in Las Vegas,
<br />Nevada, on December 7, 1967. On December 4,
<br />1967, the Colorado River Board staff and ad-
<br />visors, representatives of the Department of
<br />Water Resources and the Attorney General met
<br />to consider the draft proposal. A prime objective
<br />of the seven-state meeting on December 7 was to
<br />bring together the suggestions for revision and
<br />develop areas of agreement on proposed legisla-
<br />tive amendments to H.R. 3300 which could be
<br />supported by the basin states. As a result of the
<br />seven-state meeting, a new revision to the Colo-
<br />rado draft of H.R. 3300 was developed.
<br />Certain aspects of the legislation prepared by
<br />the State of Colorado were not acceptable to
<br />California so a draft of revision was also pre-
<br />pared by the California interests: representatives
<br />of the Colorado River Board, Department of
<br />'Vater Resources, Attorney General and the
<br />California Advisory Committee on Western
<br />States Water Planning. Although the new draft
<br />of a California bill deferred authorization of
<br />Hualapai Dam, it did contain the three major ele-
<br />ments essential to California's acceptance of a
<br />bill.
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<br />1. Protection of existillg uses. We must insist
<br />upon the principle stated in H,R. 3300 for the
<br />allocation of water shore,ages, irrespective of how
<br />it may be exptessed, This is the universal principle
<br />of western water law I that existing uses shall not
<br />be impaired to make water available for new ones.
<br />The Boulder Canyon Project Act in 1929 limited
<br />this protection for California to 4.4 million acre-
<br />feet annually, The result is that California's pres-
<br />ently existing projects, which were constructed
<br />
<br />to use 5.4 million acre-feet at a cost exceeding
<br />$600,000,000 and are now furnishing 5.1 million
<br />acre-feet of water annuallv to more than half
<br />of California's population, must bear the full im-
<br />pact of shortages which reduce the Lower Basin's
<br />total mainstream supply to 7.5 million, California
<br />is then reduced to 4.4 million, while leaving 2,8
<br />million for Arizona, 300,000 for Nevada, to make
<br />possible large expansion of uses in those states.
<br />California's legislature agreed to this in 1929 be-
<br />cause Congress required it of us jf construction
<br />of Hoo,'er Dam were to proceed notwithstanding
<br />Arizona's rejection of the Colorado River Com-
<br />pact, ,Ve will live up to that burdensome limita-
<br />tion, but we did not agree then, and will not
<br />agree now, to any deeper cut, below 4.4 million.
<br />If the supply is less than 7.5 million, the next loss
<br />must be borne by Ariz.ona. and diversions for
<br />the Central Arizona project must he reduced, as
<br />H.R. 3300 requires, in the amount necessary to
<br />supply the requirements of existing projects in
<br />Arizona and Nevada, and 4,4 million acre-feet of
<br />the requirements of existing projects in Cali-
<br />fornia.
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<br />2. Augmentation. lnasmuch as the assurance
<br />of 7,5 million acre-feet of mainstream consump-
<br />tive uses will require the introduction of about
<br />2.5 million acre-feet of new water annually into
<br />the river below Lee Ferry, the bill should author-
<br />ize investigations of means to accomplish at least
<br />this minimum objective. The protection of exist-
<br />ing uses must continue until that objective is ac-
<br />complished. To facilitate passage of the bill, we
<br />would reduce the target figure for planning the
<br />first stage of augmentation to a flat 2,5 million
<br />acre-feet (it is now stated in H.R, BOO as a
<br />"range" of 2.5 to 8.5 million). By "augmentation"
<br />we mean the introduction of new supplies into the
<br />rh'er for use below Lee Ferry, not salvage or
<br />exchange or other devices. We must insist on ade-
<br />quate priority protection for areas and states of
<br />origin in the event that any of this water is taken
<br />from Cali fornia rh'ers.
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<br />3, Fintmcing, To facilitate passage of the bill,
<br />we would reluctantly agree [Q delete authorization
<br />of Hualapai dam, deferring that issue to later con-
<br />sideration, But if Hualapai is eliminated, we must
<br />insist that the remaining sources of revenues for
<br />the ildevelopment fund", primarily Hoover, Davis
<br />and Parker Dam power revenues be earmarked to
<br />finance augmentation works, and not be made
<br />available to subsidize the Central Arizona project.
<br />This accords with the Boulder Canyon Project
<br />Act, which specifically prohibits use of any
<br />Hoover power revenues to assist the AIl-AmerI-
<br />can Canal, and denies use of sllch revenues to aid
<br />Metropolitan's aqueduct. The cost of augmenta-
<br />tion works attributable to the Mexican Treaty
<br />burden and associated losses (about 1.8 million
<br />acre-feet altogether) must be nonreimbursable,
<br />carrying out the agreement which Senator Kuchel
<br />obtained from the Budget Bureau on this point.
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