WSP03268

• File Number: 8220.101.10
• Description: Colorado River-Water Projects-Glen Canyon Dam/Lake Powel-Glen Canyon Adaptive Management
• Basin: Colorado Mainstem
• Water Division: 5
• Date: 1/1/1993
• Title: Western Area Power Administration-Issues for Discussion-Proposed SLCA/IP Firm Power Rate Adjustment
• Water Supply Pro - Doc Type: Report/Study

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if the Secretary finds in any such year the enactment of this Act does
cause a r.eduction in net offsetting receipts generated by all provisions
of this Act. all costs described ,in this section shall remain
reimbursable. "

. To the extent they are deemed reimbursable, there is a question about
which project purpose expenses should be allocated to, Reclamation does
not expect to reallocate the costs of Glen Canyon Dam, as provided in the
GCPA. for several years,

. The Interior Secretary has tasked Reclamation's Upper Colorado Regional
Office with the responsibility of calculating the net revenues named in
the RPAAA. 'and determining whether they are positive or negative,

Problems

. 'the annual PRSs are' prepared by December 1st' for the FY ending the
, previ ous September 30th, Thi s is two months before the report on net
revenues is required to be available,

. The question of reallocation of costs cannot be settled until the Interior
Secretary reallocates environmental expenses, which may not take place for
four or five years,

Options

. Since the report of net revenues from all of the provisions of the RPAAA
will not be available in time to include the results in the PRS:

A, Assume that there wi 11 be a decrease in net recei pts duri ng the
current year. Therefore all current'year environmental expenses are
reimbursable, An adjustment would then be made in the following
year if any actual net revenues do occur, This would be the most
conservative approach,

B, Assume that there will be sufficient net revenues during the current
year to make all of the specified environmental expenses
nonreimbursable, An adjustment would then be made in the following
year for any shortage that occurred, Thi s is the most 1 i bera 1
approach, However, it would be consistent with the law in that all
the specifi ed envi ronmenta 1 expenses before and a fter the 5, year
period are nonreimbursable,

C, Request and obtain an estimate of the available net revenues from
Reclamation and use this estimate for the current-year amount of the
specHi ed envi ronmenta I expenses to be cons i dered as
nonreimbursable, An adjustment would then be made in the follOWing

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