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<br /> <br />-::J <br />) <br />" <br />--J <br />::..u <br />,.... <br /> <br />. <br /> <br />. <br /> <br />Therefore, the Association requests that Congress (1) recognize the <br />existing danger of a national water crisis and take all actions <br />necessary to avoid such a crisis; (2) estab1 ish a national water pol icy <br />which recognizes the importance of water in the development of all <br />aspects of our economy; (3) develop a cost-sharing program which will <br />encourage the development of the water resources in all areas of our <br />country, not just in those parts of the nation which can afford up- <br />front financing; and (4) continue to resist pressure from the <br />Administration to give a higher priority to projects whose sponsors <br />have agreed to the Administration's cost-sharing requirements, and con- <br />tinue to authorize projects and appropriate funds based on policies <br />which have been enacted hy Congress and signed into law by the <br />President. <br /> <br />Further, the Association believes that any local cost-sharing should be <br />accomp1 ished primarily through a revo1 ving fund concept, under which <br />up-front funding for local participation would be provided by the <br />government, with pay back of local sharing funded by proceeds from the <br />project. Of particul ar mention wou1 d be local power projects in the <br />Low-Head dams. <br /> <br />The President of the United States and the Office of Management and <br />Budget have di rected the Department of the Army's Corps of Engi neers to <br />obtain cost-sharing agreements wi th non-federal sponsors for (1) fi fty <br />percent of the total cost of the feasibi1 ity phase of studies conducted <br />by the Corps and for (2) up-front financing of the construction cost in <br />the following amounts: 100 percent of the municipal and industrial <br />water supply cost, 100 percent of the hydropower cost, 75 percent of <br />navigation cost, 50 percent of the fl ood control cost. Un1 ess such <br />agreements are obtained between the Corps and non-federal sponsors on a <br />new project, the President and Office of Management and Budget have <br />refused to include the project as a new start in the budget; although <br />these cost-sharing requirements have never been approved by Congress <br />and differ greatly from current cost-sharing requi rements enacted by <br />previous legislation. <br /> <br />We also ask that you include an additional $200.000 to the President's <br />budget for water studies as re1 ates to municipal. agricu1 tura1 and <br />industrial water. For the past two years, money has been provided by the <br />Congress for this study. Some $105,000 prior year appropriation is still <br />avail ab1 e for app1 ication, but ~ seek an additional $200,000 to provide <br />funds to finish this very important study which is designed to identify any <br />needed projects as relates to water supply in the Arkansas River Valley. <br /> <br />We also urge your support of appropriations in the amounts of $214,000 <br />(included in the President's budget) for Fourche Creek in the vicinity of <br />Little Rock, $300,000 for advance engineering and design studies relating <br />to the flooding conditions in Dark Hollow in North Little Rock and for <br />funds included in the budget for water studies inC1arksville, Arkansas. <br /> <br />9 <br />