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Last modified
7/29/2009 10:34:43 PM
Creation date
10/12/2006 12:06:31 AM
Metadata
Fields
Template:
Water Supply Protection
File Number
8410.200.60
Description
Basin Multi-State Organizations - Missouri River Basin Commission - Reports
Date
1/3/1974
Author
Weaver, Bicket
Title
Technical Report of the Federal Marketing and Pricing Group - Joint Federal-State Subcommittee Meeting
Water Supply Pro - Doc Type
Report/Study
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<br />EXHIBrr 1 <br /> <br />A. Basic Reclamation Policy. Reclamation law and policy provide <br />for the furnishing of raw water from Federally constructed <br />supply facilities for municipal and industrial uses. <br />',Construction and operation of conveyance systems and treatment <br />plants is the responsibility of local entities except in cases <br />of special authorization for Federal development of such works. <br />Municipal and industrial water supply investments, including <br />both construction costs and an appropriate share of interest <br />during construction is returned in full with interest within <br />50 years. Variations among projects in the application of <br />"'procedures for allocating costs, establishing M&I water rates <br />and contracting for water result in a flexible Reclamation- <br />wide marketing policy. <br /> <br />B. Types of Contracts. Under Section 9(c) of the Reclamation <br />Project Act of 1939, repayment contracts with a fixed H&I <br />obligation are applicable to subsection 9 (c) (1) and H&I water <br />service contracts with specified rates and maximum water <br />quantities are operative in accord with subsection 9(c)(2). <br />As an alternative to the 1939 Act, repayment contracts <br />providing for deferred repayTIant of eosts'allocated to future <br />M&I supplies are effected 'pursuant to the Water Supply Act of <br />1958. <br /> <br />! <br />Ii <br />i <br />I <br />i: <br />rf <br />"I <br />" <br />I <br />I <br /> <br />C. Period of Pavments. Repayment contracts under section 9(c) (1), <br />require repa)~ent of allocated' costs'over a period of not to <br />exceed 40 years h,om the year in uhieh "ater is first uelivered. <br />Water service contracts under section 9(c)(2) provide for <br />appropriate r:&1 water chayse over [!. period of not .to c.xcced <br />I~O years. 1he latter contracts arc subject.. to:...rc.nc\.,'al. <br />Contracts under the 1958 I\Clter Supply Act set with a repayment <br />period of 50 years frOJil the tiTilC. e3.ch segment of N&I \'.'..::!.ter <br />supply is first used. If the United States i. operClting the <br />\-lorks, O~l&l~ chiJrscs continue as long as service. is provided. <br /> <br />D. Establi,:hnc,nl: of l!aU,,, Ch::J:r~,e. Nunicipal and industrial water <br />ch~r~c is.(:-cm~Jl!t[:d to rc.p.:J.Y al1oc.:1tcd constl'uction co~t.3 uJ thin <br />.1. prc~crib('cl period, f,pncrally 50 )'c.Jrs, ,,,~i tll intcrcs t plus 2.n <br />.:!.pproprint:c sh,"1r("~ ot O:'~~d{ cost:. In some in~t.:1nccs, the lol;],l <br />\"",te:r char:-"c includes fin.:1l1cial assistance. to a [unction <br />EliCh .:IS irrjgation. <br /> <br />E. Readiness-to-Serve Charge under Option M&l contracts. Permit <br />1-1&1 contractor to hold \later for 10 years by unifor;;\ minimum <br />payments generally determined by rr.ultiplying total quantity <br />of water under contract by readiness-to-serve rate. If <br />another party is willing, to pay for any or all of the water <br />, , <br />contractor must either co~ence paying for the quantity <br />desired or lose contract entitlement. No subsequent credit <br />'in future years on readiness-to-serve payments. <br /> <br />F. Adjustment of Payments o~ rate. No adjustment is provided in <br />N&l repayment contracts. Existing H&I water service contracts <br />can be adjusted upon renellal. Some new contracts p~opose <br />periodic rate and adjustment. <br /> <br />, <br />I <br />'I' <br />, , <br />I <br />
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