Board Meeting 10/07/1982

• Board Meeting Date: 10/7/1982
• Description: CWCB Meeting
• Board Meetings - Doc Type: Meeting

For federal budgetar," purposes, it is obvious~ preferable if non-
federal contributio~ are' required "up front" :ather than having
to be financed by the federal government. The Council recommends
that "up front", financing be presumed in all cases' for the non-
federal share, but that this presumption should be, rebuttable upon
an adequate showing. If this presumption is rebutted, the agency
could'then include deferred financing in a proposal made to OMS,
and such a proposal could be included in an Ad~inistration budget
recommendation. . ,

...._ - - ..:. . ...a oe ....\0.,.. ---- -,---.;-,.,. 'r'-~""'''''1"'e~ ~';sr-.'oe_
.l.n...:a ma,,-ec.1.d..L. .L~ .. '~WIUllCL~.r . ........... ....._w_ ------...:1 ..~__...__~_ __ _.... _......~
ed by the Cabinet Council May 18, 1982.' A more formal explication
of cost sharing principles and guidelines will be prepared by the
(""f'..ePQl.t.."nen~ of ~hQ ~nterio:" through t.he Water R'7s~tlrCas ~T."ki.n9
krr:HlP anti nubl1.!'lhea ,,;:t"r <::1",;u'ance by'the Cablnet c.:ouncll.'1.
~ - . ;.J

OP'I'IO~: :

Publish these cost sharing guidelines as a statement of the ~~min-
istration's policy on recommending water projects.

]o.d'!ant~n,?c;: ~

o Will extend '~he Administration's principie .of user fees to.
service provided by federal water prQjects.

o ,':i11 provide a nr.:arket testn for new water projects.

o ~il: aug~ent water development funding by encouraging tangl?le
local support.

o ~i1: provide mere consistency in cost sharing among all federal
w-a ter de':elopment agencies and across water project purposes.

oisadvantaaes:

o Could create political problems by reduclng expected levels of
federal support for specific water projects.

o Could limit future political flexibility in project choice.

o ~h~ presumption of .up-frontn cost sharing may be viewed as dis-
criminatory against states with limited fiscal capacity.

RECO:.l:1E~lD;',~I.o:.l :

'.

The Council recommends approval of these cost sharing guidelines
for federal water projects.

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hPPROV:

DIS';PPROVl: