APPENDIX I
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<br />States of Mexico but if, as provided in paragraph (c) of Article III of the Colorado River compact, it shall
<br />become necessary to supply water to the United States of Mexico from waters over and above the quantities
<br />which are surplus as defined by said, compact, then the State of California shall and will mutually agree with
<br />the State of Arizona to supply, out of the main stream of the Colorado River, one -half of any deficiency
<br />which must be supplied to Mexico by the lower basin, and (5) that the State of California shall and will "further
<br />mutually agree with the States of Arizona and Nevada that none of said three States shall withhold water and
<br />none shall require the delivery of water, which cannot reasonably be applied to domestic and agricultural
<br />uses, and (6) that all of the provisions of said tri =State agreement shall be subject in all particulars to the pro-
<br />visions of the Colorado River compact, and (7) said agreement to take effect upon the ratification of the Col-
<br />orado River compact by Arizona, California, and Nevada.
<br />(b) Before any money is appropriated for the construction of said dam or power plant, or any construction
<br />work done or contracted for, the Secretary of the Interior shall make provision for revenues by contract, in ac-
<br />cordance with the provisions of this Act, adequate in his judgment to insure payment of all expenses of
<br />operation and maintenance of said works incurred by the United States and the repayment, within fifty years
<br />from the date of the completion of said works, of all amounts advanced to the fund under subdivision (b) of
<br />section 2 for such works, together with interest thereon made reimbursable under this Act.
<br />Before any money is appropriated for the construction of said main canal and appurtenant structures to
<br />connect the Laguna. Dam with the Imperial and Coachella Valleys in California, or any construction work is
<br />done upon said canal or contracted for, the Secretary of the Interior shall make provision for revenues,,,by
<br />contract or otherwise, adequate in. his judgment to insure payment of all expenses of- construction, operation,
<br />and maintenance of said main canal and appurtenant structures in the manner provided in the reclamation
<br />law.
<br />If during the period of amortization the Secretary of the Interior shall receive revenues in excess of the
<br />amount necessary to meet the periodical payments to the United" States as provided in the contract, or con-
<br />tracts, executed under this Act, then, immediately after the settlement of such periodical payments, he shall
<br />pay to the State of Arizona 183/4 per centum of such excess revenues and to the State of Nevada 183/4 per
<br />centum of such excess revenues.
<br />SEC. 5. That the Secretary of the Interior is hereby authorized, under such general regulations as he may
<br />prescribe, to contract for the storage of water in said reservoir and for the delivery thereof at such points on
<br />the river and on said canal as may be agreed upon, for irrigation and domestic uses, and generation of elec-
<br />trical energy and delivery at the switchboard to States, municipal corporations, political subdivisions, and
<br />private corporations of electrical energy generated at said dam, upon charges that will provide revenue
<br />which, in addition to other revenue accruing under the reclamation law and under this Act, will in his judg-
<br />ment cover all expenses of operation and maintenance incurred by the United States on account of works
<br />constructed under this Act and the payments to the United States under subdivision (b) of section 4. Con-
<br />tracts respecting water for irrigation and domestic uses shall be for permanent service and shall conform to
<br />paragraph (a) of section 4 of this Act. No person shall have or be entitled to have the use for any purpose of
<br />the water stored as aforesaid except by contract made as herein stated.
<br />After the repayments to the United States of al] . money advanced with interest, charges shall be on such
<br />basis and the revenues derived therefrom shall be kept in a separate fund to be expended within the Colorado
<br />River Basin as may hereafter be prescribed by the Congress.
<br />General and uniform regulations shall be prescribed by the said Secretary for the awarding of contracts for
<br />the sale and delivery of electrical energy, and for renewals under subdivision (b) of this section, and in making
<br />such contracts the following shall govern:
<br />(a) No contract for electrical energy or for generation of electrical energy shall be of longer duration than fif-
<br />ty years from the date at which such energy is ready for delivery.
<br />Contracts made "pursuant- to subdivision (a) of this section shall be made with a view to obtaining
<br />reasonable returns and shall contain provisions whereby at the end of fifteen years from the date of their ex-
<br />ecution.and every ten years thereafter, there shall be readjustment of the contract, upon the demand of either
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