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<br />....::...14 <br />00 <br />t-- <br />Q <br />o <br />o <br /> <br />. <br /> <br />. <br /> <br />In addition, the extent to which a private corporation could <br /> <br />resort to condemnation in aid of construction of pipelines for the <br /> <br />primary purpose of decreasing Colorado River salinity rather than <br /> <br />delivering water for beneficial use might be questions. See <br /> <br />footnote 10, infra. Such question would not cause the same <br /> <br />concern if a public or quasi-municipal corporation (e.g., a Water <br /> <br />Conservancy District) were utilized as the Proposed Organization. <br /> <br />See discussion under Section 11, below. <br /> <br />A principal problem encountered in utilizing existing Lateral <br /> <br />Ditch Corporations as Proposed Organizations stems from the fact <br /> <br />that each of such corporations owns and operates but one lateral. <br /> <br />Unless a consolidation of the companies were madE~, the Secretary <br /> <br />would be obligated to contract with each corpora1:ion separately. <br /> <br />Whether the Secretary would be willing to so con':ract is unknown <br /> <br />to us and involves policy matters outside the scope of <br /> <br />our investigation. <br /> <br />(b) New Lateral Ditch Corporations. <br /> <br />As more fully discussed above, Lateral Ditc~h Corporations <br /> <br />have several attractive features as Proposed Organizations. The <br /> <br />corporations have the benefit of the Lateral Incorporation Law <br /> <br />allowing the owners of 60% of the land served by the lateral to <br /> <br />condemn the interests of the remaining owners of ditch rights in <br /> <br />the laterals and to use stock, at least in part, in payment for <br /> <br />such rights. <br /> <br />(See Section 5(a) above and discussion under <br /> <br />"Desirable Features of Proposed Organizations", supra.) <br /> <br />-22- <br />