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<br />t <br /> <br />REPORT OF 'THE REGIONAL DIRECTOR <br /> <br />I <br /> <br />19. Future variations in price levels might result in a more <br />favorable benefit-cost ratio than is presently indicated as the actual <br />ratio would depend on the relationship between prices at the time of <br />construction and the average level of crop prices during the long useful <br />life of the. project. While construction costs are based on the unusually <br />high prices now prevailing, the benefits are based on average 1939-1944 <br />crop prices received by farmers which are believed to be indicative of <br />'future crop prices over an extended period in the future. <br /> <br />Reimbursemen~ <br /> <br />20. The total reimbursable cost of the project, estimated at <br />$8,544,000, would be app;ropriately allocable to irrigation and repay- <br />able with no interest charge in accordance with reclamation law. The <br />water users' capacity to repay this cost without undue hardship is expected <br />to average approximately i~60,900 annually following a suitable development <br />period. Thus, in the 40-year repayment period prescribed by present recla- <br />mation law, water users could pay about $2,436,000 or 28 percent of the <br />total cost. Total repayment could be increased proportionately by an <br />extension in the repayment period and the total cost could be repaid in <br />about 140 years. The actual relationship between cost and repayment over <br />any given period, however, would depend primarily on the relationship <br />between construction' costs at the time of project development and the <br />!!overage crop prices prevailing througho\1.t the repayment period. <br /> <br />21. 'New legislation bv the state of Wvoming wOlllrl hA"-rlvi",,hlA fo!" <br />