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<br />II. PURPOSE AND SCOPE OF THE STUDY <br /> <br />The purpose of this report is to provide information required by Congress <br />in Title I, Section 108 of the Hoover Power Plant Act of 1984 <br />(Public Law 98-381). <br /> <br />Section 108 states: <br /> <br />Recognizing the expiration of Colorado River storage project (CRSP) <br />contracts in 1989, prior to final reallocation of CRSP power <br />pursuant to existing law, and within 1,year after enactment of this <br />Act, the Secretary of Energy, acting through the Western Area Power <br />Administration, shall report, to the Committee on Interior and <br />Insular Affairs of the House of Representatives and the Committee on <br />Energy and Natural Resources of the United States Senate, on all <br />Colorado River storage project (CRSP) power resources, including <br />those presently allocated to the Lower: Division States, which may <br />be used to financially support the development of authorized <br />projects in the States of the Upper Diyision (as that term is used <br />in article II of the Colorado River Compact) of the Colorado River <br />Basin. <br /> <br />The "States of the Upper Division" as defined in article II of the Colorado <br />River Compact are Colorado, New Mexico, Utah and Wyoming and are referred to <br />in this report as the Upper Basin States. The States of the Lower Division <br />are Arizona, California, and Nevada and are referred to in this report as the <br />Lower Basin States. <br /> <br />The scope of this report is designed to re~pond to Section 108 requirements, <br />to aid Congress in their decisionmaking and to give recognition to the various <br />concerns of the interested parties. <br /> <br />The report specifically does the following: <br /> <br />1. Identifies the CRSP power resources available to the Northern and <br />Southern Divisions of the CRSP marketing area, which may be used to <br />financially support the development of authorized projects. <br /> <br />2. Identifies all authorized projects (including current Participating <br />Projects) in the Upper Basin States. <br /> <br />3. Explores potential methods for developing additional CRSP power <br />revenues to financially support the development of authorized <br />projects. <br /> <br />4. Identifies potential sources of revenue other than from CRSP power <br />sales. <br /> <br />5. Identifies methods of obtaining capital for constructing authorized <br />projects. <br /> <br />4 <br /> <br />