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<br />1057 <br /> <br />The report further states, <br /> <br />The Garrison Conservancy District will obligate itself through a <br />master contract with the United States each time a new group of <br />lands in the form of a new irrigation district contracts for water <br />supply. In the case of a municipal customer, a 9(c) contract for <br />the sale of water will be executed between the conservancy district <br />and the United States. For municipal water, the conservancy district <br />will merely function as a medium through which the customer gets and <br />pays for its share of project operation, maintenance and replacement <br />and transmits to the United States its repayment installments. There131 <br />is no requirement for financial assistance to the municipal customer.__ <br /> <br />It is of interest to note that there is no reference in H.D. 435 (Garrison <br />Unit) to the use of revenues from M&I sources being collected and assigned <br />to the basin account system. The State of Kansas takes the position that <br />unless and until this concept is factually treated, we hold to the provisions <br />of repayment and disposition of revenues as provided in the Water Supply Act. <br /> <br />PART IV - Surplus Waters <br /> <br />The definition of surplus water as currently being considered is vague at its <br />best. Associated with this matter is the definition of natural flows made in <br />the various state water laws. The legal task force committee of the states <br />reached a consensus regarding the definition of natural flows. As noted in <br />the review paper prepared by the Kansas legal representative, "Natural flow <br />means all water that naturally drains through a particular channel. It may <br />not include waters appearing as unusual freshets or rains.1i1 But it may <br />include increases resulting through artificial drainage."lSI "In a case <br />involving a convenant relating to 'normal and natural flow (exclusive of <br />storm water)', a New York court described 'natural flow' as the flow of a <br />stream unaffected by artificial conditions. "l2..1 <br /> <br />Application of "natural flows" in terms of reservoir storage would be the <br />concept of inflow equals outflow. However, many states and particularly <br />Kansas, have further decreed that natural flow as it relates to a reservoir <br />holds only to the extent of satisfying existing and established valid water <br />rights. Any flows in excess of these rights may be subject to storage for <br />future beneficial use. <br /> <br />,. <br /> <br />The question of surplus waters is not easily defined. There appears to be <br />differences between states, as well as between the states and the federal <br />government, particularly as applied to waters being stored by an artificial <br />impoundment, such as a dam. Under Kansas law, we subscribe to the general <br />concept that in a federally constructed and financed impoundment, water would <br />be considered as stored waters subject to the previously discussed natural <br />flow concept. Such stored waters are subject to federal control in accordance <br />with an authorized purpose. <br /> <br />5. <br />