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<br />Now, as to existing contracts regarding construction of reservoirs, I <br />don't really know the answer to that, Ralph. My understanding was that, <br />if construction has not yet started, it would clearly then be lodged <br />with the Corps of Engineers. <br /> <br />MR. ADKINS: What about all your repayment contracts and service <br />contracts and all those types of contracts? <br /> <br />MR. SHERMAN: I have not heard of any discussion on that particular <br />point. <br /> <br />I <br /> <br />I might just also add that the procedure here under the Presidential. <br />Reorganization Act is that the President will introduce to Congress <br />this proposal. If Congress does not disapprove the proposal within <br />60 days, it becomes law. That means that;, "i'f either HOuse disapproves <br />the proposal, that is it; it does not become law. But if it goes <br />through Congress and Congress simply takes no action or Congress affir- <br />matively supports what the President is proposing, then it would, in <br />fact, become law. My understanding is that the President, this Friday, <br />will make a decision on what he wants to do. The proposal w~ll then <br />be submitted to the Congress in the latter part of February. And then <br />you will see some action by congress one way or the other in the follow- <br />ing two months. <br /> <br />Now, there are other reorganization efforts that the Carter Administra- <br />tion is considering. Economic development is one of those. There is a <br />lot of talk about changing the Department of Commerce and the Depart- <br />ment of Education, but those will be separate reorganization thrusts. <br />which will come at separate times during the current legislative <br />session. . <br /> <br />MR. STAPLETON: Mr. GOslin. <br /> <br />MR. GOSLIN: IvaI Goslin, of the Upper Colorado River Commission. <br />Harris, I can't find anything in the papers that I have on this govern- <br />mental reorganization that says where operation and maintenance and <br />replacement is going to go--of water projects, that is. <br /> <br />MR. SHERMAN: I have a more recent draft, which I would be happy to <br />share with you, IvaI, which I think sheds SOme more light on this. <br /> <br />,MR. GOSLIN: All right. Fine. <br /> <br />MR. SHERMAN: We have also had the benefit of discussing this with <br />members of the reorganization team. And in our ,asking questions on I <br />that very point, they have at least said verbally to us that the Corps <br />of Engineers would be responsible for opera~ion,of all new reservoirs. <br />As I said,' at least temporarily, the Bureau would continue operation of <br />their own reservoirs, but that would be phased out over a period, of <br />time. <br /> <br />MR. STAPLETON: Tommy, did you have a question? <br /> <br />MR. THOMSON: We are having an annual meeting:of the Water Resources <br /> <br />-12- <br />