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70 Rev. 4 -8 -69 D. COST ALLOCATION The dam, spillway, and outlet works serve the functions of providing both irrigation benefits and fish, wildlife and recreation benefits. Because of different methods provided by law for the funding of costs attributable to the several types of benefits, an allocation of the cost of jointly used facilities is required. The method of allocation of cost used herein is known as the separable costs - remaining benefits method. In this method, the justifiable expendi- ture for each function is the lesser of the capitalized benefits determined for the function, or the cost of a single purpose facility to provide these benefits. Separable costs allocable to a purpose are the difference between the multi - purpose project costs and the costs with that purpose omitted. In this proposal, the cost with a purpose omitted is the same as the single purpose alternate for the other purpose. The determination of separable costs and also single purpose alternate costs is shown in Table VII -B. In the present case, a single purpose irrigation project would con- sist of a dam with a crest 1.8 feet lower than that shown for the multi- purpose structure and the Grand River Ditch improvements. In other words, there would be no provision for a permanent pool for fish, wildlife, and recreation. The costs of recreation facilities would not be included and the reservoir capacity would be reduced 600 acre -feet. Single purpose irrigation costs including Bureau of Reclamation participation are esti- mated to total $1 Similarly, single purpose fish, wildlife, and recreation facilities would consist of a reservoir that would provide an average area of 282 surface acres throughout the recreation June 15 to September 15; together with specific recreation facilities. Considera- tion of all reasonable alternatives showed the only solution would be to raise the existing dam to include an additional 4,000 acre -feet of storage. Single purpose fish, wildlife, and recreation costs including Bureau of Reclamation participation are estimated to be $1,188,000. The cost allocation is shown in Table VII -C. Benefit figures are taken from Section B of this chapter. The construction components of alternative costs (line 2a) are shown above. Interest during construc- tion (line 2b) is computed at the rate of 4 -5/8 percent simple interest based on the estimated expenditure of funds. Since there will be no change in the OM &R cost due to the inclusion of the increased size of the dam and reservoir, the only increase in OM &R cost is the $8,925 for the specific recreation facilities. Table VII -A shows the computations. The justifiable expenditure, line 3, is limited by the benefits for irrigation, recreation, and fish and wildlife.