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<br />~ <br />~ <br />lV <br />..... <br /> <br />The federal government would bear the remainder of salinity control costs <br />on the grounds that 1) publicly owned lands contribute about half of the total <br />salt load. 2) some salin1ty benefits, such as the value of meeting <br />international agreements, are merit goods, and 3) the government is partially <br />responsible for Upper Basin Irrigation Development. <br />Our analysis supports the findings of pol itical observers that economic <br />efficiency has not been the most important goal in salinity management on the <br />Colorado River (Mann; Miller, et al.). Upper and Lower Basin water interests <br />united to form a strong coalition which pushed a federally funded salinity <br />control program through Congress. The only costs not paid directly by the <br /> <br />federal government are funded from federal hydroelectricity revenues, which are <br />equivalent to federal taxpayer funds. Not only have water users avoided any <br />11 ab fl1ty for sal1nlty control, but all participants have gained from the <br /> <br />program. Lower Basin water users receive better water quality at no additional <br /> <br />cost, and Upper Basin farmers, such as those in the Grand Valley, enjoy net <br /> <br />farm income Increases from subsidized Irrigation system improvements. In <br /> <br />short, salinity co~~!:~.1p!:o~lrams..ar.~..awa~ to ke~p~d~~~ldollars flowing to <br /> <br /> <br />Colorado River water users even as the purse strings for conventional water <br /> <br /> <br />supply projects are tightened; they are a good example of successful rent- <br /> <br />seel<~~~.~L~~_oject . beD!fict!!ries. <br />However. Improved policies are ava1lable. Research both to further <br /> <br />clarify the pathways of salt from upstream sources to downstream water users <br />and to more precisely Identify the extent of downstream economic damages from <br />salinity would be appropriate. The difficult social problem is to design <br />salinity control measures that match the distribution of costs Implied by an <br />agreed-upon set of entitlements and l1ab1l1ties, and yet are reasonably cost- <br /> <br />20 <br />