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<br />00 O@{!4uRGARITA WATER RIGHTS CONTROVERSY, CALIFORNIA 11
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<br />3. Wa.ter losses from DeLuz Reservoir, inclLJding but not limited to evaporatioll
<br />losses, shall be chare;ed a.gainst water in storage to the credit of the Naval Reser-
<br />va.tions, Fallbrook Public Utility District, or both, and against that water which
<br />would be in DeLuz Reservoir if no credits to either party existed io. the ratio
<br />that each segment of the reservoir content bears to the total content.
<br />4. All claims of the Fallbrook Public Utility District in and to ri~hts to the
<br />use of waters from the Santa Margarita. River will be traosferred to the reservoir
<br />created by the proposed dam, and after it is in opera.tion, be forever satisfied
<br />from the qua.ntities of water accorded to tha.t District pursuant to this Memo-
<br />randum of Understanding.
<br />5. It is understood a.nd agreed that the top 23,000 &cre.feet of DeLuz Reservoir
<br />shall be used exclusively for the control of floods of the Santa Margarita. River,
<br />under rules prescribed by the Secretary of the Army through the Chief of En.
<br />gioeers.
<br />6. In case the Secretary of the Interior shall, a.8 provided in the proposed bill,
<br />transfer to the contracting body or bodies the operation of the works provided
<br />for in section 2 of the proposed bill, the Secretary of the Navy 'will make available
<br />to Buch body or bodies free and unrestricted access to those works as may be
<br />necessary for the proper operation of the works and facilities, subject only to the
<br />requirements of the national defense.
<br />7. It is understood that nothing contained in this memorandum of under-
<br />standing is intended to affect the right, title, and interest of the United States of
<br />America to the right to the use of water from the Santa Margarita River, as
<br />provided for in the judgment entered in the case entitled: "Rancho Santa ^!ar-
<br />garita, a corporation, v. N. R. Vail et ai., No. 42850, in the Superior Court of the
<br />State of CaIHornia, in the County of San Diego."
<br />8. It is understood that the Department of the Navy will initiate a request of
<br />the Department of Justice that appropriate action be taken by the United States
<br />to protect the rights to the use of water as proposed in this memorandum of
<br />understanding whenever and wherever the same may be attacked.
<br />9. It is understood that the Secretary of the Navy and the Secretary of the
<br />Interior will request the Attorney General of the United States to advise them of
<br />the best means to safeguard and protect the use of water by the United States as
<br />herein proposed and against any encroachment thereof.
<br />10. It is understood that the provisions of this memorandum of understanding
<br />are subject to approval by the Department of the Navy, Fallbrook Public Utility
<br />District, D~partm:mt of the InterIOr, and the Department of the Army, and that
<br />it shall not be effective unless approved by all of th~ p3.rti::!3.
<br />
<br />Department of the Navy.
<br />
<br />Fallbrook Public Utility Dislrict.
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<br />Department of the Army.
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<br />Department of the Interior.
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