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.... " .... " ~ l' ~t 1 { 1{ Mount Glennon should not be funded through the Corps of Engineers - Civil appropriations, another avenue for Federal participation might be the Land and Water Conservation Fund program. I I We concur strongly in the item of local cooperation specified by the Chief of Engineers that would require that local interests furnish assur e ecretar 0 rm that y 1 provide guidance and leadershi in reventin u wise and uneconom1 u eve opment of the flood a'n areas by encourag1n~ prudent use 0 00 proD 1n, an regulation planning, or other tIood plain management techniques to reduce future fTOoa losses. We note, however, that over 60 percent of the total ~nual flood control benefits estimated to accrue due to the con- struction of this project arise from protection and encouragement of future development in the flood plain. Such a case presents an opportunity to pursue non-structural measures as an alternative to project scale to reduce flood plain damage. t' r;- I , Therefore, the Bureau of the Budget believes that the project, if authorized, should be reviewed prior to the initiation of construction to determine if the size and scope of the proposed plan should be modified to achieve the most practicable balance between structural works, flood plain regulation and a broad flood plain management program. Such a review should also consider specific guidelines established pursuant to Executive Order 11296, which directs all Federal agencies to evaluate flood hazards in locating federally owned or financed facilities, disposing of Federal properties and administering programs supported by Federal grantsJ loans or mortgage insurance in order to preclude uneconomic, hazardous, or unnecessary use of flood plains. Subject to your consideration of the above, 1 am authorized by the Director of the Bureau of the Budget to advise you that there would be no objection to the submission of the proposed report to the Congress. No commitment, however, can be made at this time as to when any estimate of appropriation would be submitted for construction of the project, if authorized by the Congress, since this would be governed by the President's budgetary objectives as determined by the then prevail~ng fiscal situation. S{ncerely yours, / l~.{"/' Cari R. Schwartz, Jr. ~irectorJ Natural Resources Programs Division ,~ '. I I I I I x