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The reason for shifting to the established pattern method for accomplishing the allocations was that the updating of the various inputs required in the separable cost-remaining benefits allocation (estimates of operation and maintenance costs, alternative single purpose costs, and benefits) resulted in a significant alteration of the cost distribution pattern. Such an alteration is untenable practically since the storage project power and water selling rates were established on the basis of the cost allocations made at the time. The alteration is also conceptually questionable inasmuch as the allocation inputs would forever change with updating. The cost allocation presented in this report, therefore, continues the established-pattern method. The details and results of the method applied to costs to 'date (June 30, 1974) are explained and summarized in following paragraphs and tables. No further allocation of the costs to June 30, 1974 is expected to be made. Future cost additions to the project will also be allocated following the established-pattern method, as explained in Table 7. Construction Costs Allocation Determin~tion of Separable Costs Irrigation and Other Consumptive Uses Purpose A separable irrigation and other consumptive uses cost is associated only with the Navajo Unit. This cost consists of 5.9 percent of the allocable construction cost of the Navajo Dam and Reservoir including General Property. (It is estimated that the Navajo Reservoir could have been reduced from 1,709,000 acre-feet capacity to 989,000 acre-feet if the irrigation purposes had been omitted. Other storage units' reservoirs would not have been affected in size or cost by omission of the irrigation and other consumptive uses purpose.) Reservoir Fishery'Enhancement Purpose A separable reservoir fishery cost is also associated only with the Navajo Unit. This cost consists of 0.48 percent of the allocable construction cost 8