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1 In the small water facility program of the Farmers Home Administration, several loans at or near the ma.xiJnum of $100,000 are approved or under consid- eration in the Southwest. Interest is being shown in the improvement of culinary water for rural settlements. In utah, loans in excess of $15,000 each have been made on 11 projects now under way or recently cOll1Pleted. In final stages of approval is a loan of $100,000 to the New Escalante Irrigation COll1Pany in Utah. In spite of a fire. season characterized by a late fall drought, less than 4,000 acres of National Forest Lands in Colorado River watersheds were burned over this year. The program of reseeding ranges to grass is popular with cattlemen. To some, the rate of progress seems slow, but the rate .is entirely dependent upon the funds available and these are not large. Last summer, more than 200 men were engaged in the vigorous c8.!lg;laign to stem the outbreak of Engelman Spruce beetle centered at the. head of the .colorado River. The loss of timber from the beetle attack has exceeded a billion board feet of spruce, but the outbreak now appears to be declining. We may expect plans and programs devised under the outgoing administra- tion to be carefully scrutinized by the new. I am certain, however, that principles of wise resource conservation coupled with intelligent development and use of resources transcend partisan considerations. Therefore, I expect the land and water resource conservation activities which have been part of the work of the Department since the Eighteen Nineties to continue. The future of agriculture and of the Nation is too closely tied in with the manner in which soil and water resources are utilil!:ed for any let...dawn in interest and action. It has be'en a pleasure to be with you and give you this brief account of USDA activities. We welcome any suggestions as to how we can b.etter serve you, the water users in the Colorado and adjacent basins. *********** ACTIVITms OF TIre CORPS OF ENGINEERS Lt. Col. Irvin M. Rice, Los Angeles District I am delighted to have the opportunity to meet you and become acquainted with your needs and problems. Colonel Shuler asked me to express his regrets that the urgent military program prevents his attendance at this meeting. The deep sense of urgency that was quickening the pace of mobilizing materials and men a year ago continues. National-defense requirements sharply curtail normal activities on public works and private enterprise. In accordance with the President's directive of 1950, the Corps of Engineers continues to screen its program to defer or curtail projects that do not directly contribute to the defense effort. Most of the Los Angeles District's engineering and technical personnel are still engaged in designing and con- structi~ ~esearch and military~facilities for the Army and Air Force. -3-