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Page 1 of 6 United States Department of the Interior OFFICE OF THE SOLIciTOR WASHINGTON, D.C. 20240 June 13, 1973 IN REPl.. V REFC:l'l TO, 4 3 '-I' CK-SLO.C,N M 8 P. Memorandum ,- To: Co1lllllissioner of Reclamation From: Assistant Solicitor, PoweJ: Subject: . Sub allocation of power investment-Pick-Sloan Missouri Bas:in Program (PSMBP) Your memorandum of Apri~ 26, 1973, J:equests the opinion of this office on the ques tion whether the Se cretary may, without prior congressional consent, make a substantial shift in the suballoca- . tion. of power costs of the Pick-Sloan Missouri Basin Program from: interest-free irrigation pumping to :interest-bear:ing commercial power by chang:ing the basis for the suballocation from "ultimate use" to "current use". For the reasons expla:ined below, we are of the view that congressional approval would be necessary before ~e Secretary could make such a change. . !he Pick-Sloan Missouri Bas:in Program (formerly.-kno-.m as the Missouri River Bas:in project) was authorized by section 9 of the flood Control Act of 1944, 58 Stat. 887, 891. It was an aIQbitious undertaking over a long period of years that inc~uded the construction by the Arnry Corps of Engineers of six (:including For"!: Peck) large reservoir projects on the mainstem of the Missouri River and the cons truction by the Bureau of Reclamation of a large number of reservoir and water conveyance proj ects. !he hydroelectric power generated by facilities of both the Department of the Arm1 and the Department of the f:nterior is marketed by the Bureau, which also constructs the necessary transmission facilities. Repayment policies applY'. generallY in accordance wi th ReclaIllation law. In addition to the repayment analysis made at the time of initial authorization, repayment studies were made by the Bureau in 1950, 1954-55, 1958, and January 1962. The later studies showed that the project was not pay:ing out, that is, that power revenues were not