AUTHORIZATION OF CANADIAN RIVER PROJECT An act to authorize the construction, operation, and maintenance by the Secretary of the Interior of the Canadian River reclamation project, Texas. (Act of December 29, 1950, 64 Stat. 1125, Public Law 898, 81st Cong., 2d sess.) is *** That, for the purposes of irrigating land, delivering water for industrial and municipal use, controlling floods, providing recreation and fish and wildlife benefits, and controlling and catching silt, the Secretary of the Interior, acting pursuant to the Federal reclamation laws (Act of June 17, 1902, 32 Stat. 388, and Acts amendatory thereof or supplementary thereto), authorized to construct, operate, and maintain the Canadian River reclamation project, Texas, described in the report of the Commissioner of Reclamation approved by the Secretary May 3, 1950, entitled "Plan for Development, Canadian River Project, Texas", Project Planning Report Number 5-12.22-1, at an estimated cost of $86,656,000, the impounding works whereof shall be located at a suitable site on the Canadian River in that area known as the Panhandle of Texas. In addition to the impounding works, the project shall include such main canals, pumping plants, distribution and drainage systems, and other works as are necessary to accomplish the purposes of this Act. The use by the project of waters arising in Ute and Pajarito Creeks, New Mexico, shall be only such use as does not conflict with use, present or potential, of such waters for beneficial consumptive purposes in New Mexico. SEC. 2. (a) Notwithstanding any recommendations in the above-mentioned report to the contrary, only the costs of construction allocable to flood control and, upon approval by the President of a suitable plan thereof, to the preservation and propagation of fish and wildlife, and operation and maintenance costs allocable to the same purposes, shall be nonreimbursable. (b) Actual construction of the project herein authorized shall not be commenced, and no construction contract awarded therefor, until (1) the Congress shall have consented to the interstate compact between the States of New Mexico, Oklahoma, and Texas agreed upon by the Canadian River Compact Commission at Santa Fe, New Mexico, December 6, 1950, in conformity with Public Law 491, Eighty-first Congress, and (2) repayment of that portion of the actual cost of constructing the project which is allocated to municipal and industrial water supply and of interest on the unamortized balance thereof at a rate (which rate shall be certified by the Secretary of the Treasury) equal to the average rate paid by the United States on its long-term loans outstanding at the time the repayment contract is negotiated minus the amount of such net revenues as may be derived from temporary water supply contracts, or from other sources prior to the close of the repayment period, shall have been assured by a contract satisfactory to the Secretary, with one central repayment contract organization, the term of which shall not exceed fifty years from the date of completion of the municipal and industrial water supply features of the project as determined by the Secretary. (c) The repayment contract shal provide, among other things, (1) that the holder thereof shall have a first right, to which right the rights of the holders of any other type of contract shall be subordinate, to a stated share or quantity of the project's available water supply for use by its constituent industrial and municipal water users during the repayment period and a permanent right to such share or quantity thereafter subject to payment of such costs as may be incurred by the United States in its operation and maintenance of any part of the project works; (2) that, subject to such rules and regulations as the Secretary may prescribe, the care, operation, and maintenance of such portions of the pipeline and related facilities as are used solely for delivering such water to the contract holder and its constituent organizations shall, as soon as is practicable after completion of the municipal and industrial water supply features of the project, pass to the contract holder or to an organization which is designated by it for that purpose and which is satisfactory to the Secretary; and (3) that title to such portions of the pipeline and related facilities shall in like manner pass to the contract holder or its designee or designees upon payment to the United States of all obligations arising under this Act or incurred in connection with the project. SEC. 3. There are hereby authorized to be appropriated, out of any moneys in the Treasury not otherwise appropriated, such sums as may be required to carry out the purposes of this Act. CARLSBAD PROJECT NEW MEXICO The Carlsbad project was authorized by the Secretary on November 28, 1905, under the Reclamation Act of 1902 (32 Stat. 388); examined and reported upon by the Board of Army Engineers pursuant to section 1 of the Act of June 25, 1910 (36 Stat. 835), and approved by the President January 5, 1911. Alamogordo Dam, for the purpose of augmenting the water supply for the Carlsbad project, was found feasible by the Secretary on November 1, 1935, and approved by the President on November 6, 1935, pursuant to section 4 of the act of June 25, 1910 (36 Stat. 836), and subsection B of section 4 of the act of December 5, 1924 (43 Stat. 702). The Flood Control Act of August 11, 1939 (53 Stat. 1414, 1417), states that the Alamogordo Dam and Reservoir is to be used for irrigation first, for flood control and river regulation second, and third for other purposes. Funds were provided, without an additional finding of feasibility, for enlargement of the spillway of Alamogordo Dam by the Interior Department Appropriation Act, 1955 (Act of July 1, 1954, 68 Stat. 361, Public Law 465, 83d Cong., 2d sess.) UNITED STATES GEOLOGICAL SURVEY, Carlsbad, N. Mex., August 31, 1905. CHIEF ENGINEER, U. S. Reclamation Service, Washington, D. C. SIR: The board of engineers designated to consider the Carlsbad Project, New Mexico, submits the following report: During October, 1904, a flood in the Pecos River destroyed a large portion of Avalon dam upon which the diversion for the Pecos Irrigation Company's canal system depends. During the winter of that year and the spring of this year efforts were made to construct a temporary diversion dam and flume in order that water might be furnished for irrigation during the present season. The money for this purpose was furnished by the company and the work was performed under the supervision of the engineers of the Reclamation Service engaged in investigating the project. The flood conditions of the Pecos River during this construction were such that the proposed work was destroyed and it became impossible to furnish any water for irrigation. Fortunately, there were unusual rains during the irrigation season so that some crops were raised and the orchards were only partially killed, but the district as a whole is on the verge of ruin. About 15,000 acres heretofore irrigated, upon which there is dependent a population of some 3,000 people and property to the value of about two million dollars will return to desert conditions unless some action can be taken to provide a reliable irrigation system, and the loss of the agricultural improvements already made will be complete unless some water can be furnished during the irrigation season of 1906. The present condition of the irrigation system of the Pecos Irrigation Company is as follows: The McMillan reservoir which has served to supply the small amount of storage rendering possible the irrigation of 15,000 acres is underlaid by gypsum beds. This gypsum dissolved by the action of the stored waters has caused a large number of sink holes through which considerable quantities of water have been lost. The investigations indicate that a considerable percentage of this leekage is not recovered for use in the system. These leakage conditions have become worse in the last few months. Consequently this reservoir can not be relied upon for permanent storage so far as the conditions are now understood. It may, however, serve for temporary or auxiliary storage. Considerable work is required to replace the gates and spillway in serviceable condition. The Avalon reservoir is used for diversion into canal system and furnishes an inconsiderable amount of storage. The dam is destroyed for a space of 450 feet at the river channel. This must be replaced and the entire structure including the remaining 1,000 feet of embankment must be made impervious by a concrete and metal core. Extensive repairs and reconstruction are required at the headworks of the canal. The piers of the concrete aqueduct carrying the west side canal across the Pecos River have settled and considerable expenditure will be required to make it serviceable. Unless this work is immediately performed the aqueduct is liable to be destroyed by the flood waters. The canal system passes through gypsum beds in numerous places causing great waste of water, more than one-half the amounts turned into it being lost. Considerable sums must be expended to reduce this loss to a reasonable percentage and much excavation will be needed to clean out the canals and restore them to the necessary carrying capacity, besides which there are a number of repairs to be made. A study of the soil conditions shows that by using Lake McMillan for storage to the extent which it has heretofore supplied, putting the canals in proper condition, reducing the loss and avoiding waste in the use of water in irrigation an area of 20,000 acres of first and second class land can be furnished with water, including the areas heretofore cultivated. Upon making an estimate of the expense of reconstruction it became evident that the possibility of taking up the project under the Reclamation Act depended upon the price for which the plant of the Pecos Irrigation Co. could be purchased by the United States. The par value of the Company's stock is $450,000, bonds outstanding $355,000, on which the interest for 18 months is due. The following statement was made by the company as to obligations which must be paid in full. Prior lien bonds at 6 percent.. $50,000 6 percent interest for 18 months. 4,500 Bonds non-consenting to prior lien or to any trade. 25,000 36,500 10,000 Work yet to be done, estimated 10,000 Contingent 4,000 140,000 In addition to this, bonds to the amount of $280,000 with an addition of 5 percent accrued interest for 18 months must be retired. Three conferences were had with the company's representatives. The first offer made was $350,000, finally it was stated by Mr. Francis G. Tracy, President and General Manager, that he felt unable to assure the board that a price of less than $250,000 would be accepted by the bond holders. The necessary reconstruction and repairs for the irrigation of 20,000 acres depending upon the storage to be had from Lake McMillan may be placed at $450,000 as a safe estimate. A careful consideration of the agricultural conditions brings the board to the conclusion that a charge of $30 per acre without maintenance is all that should be placed upon the land. Upon this basis it appears to the board that the extreme price which can be paid for the entire irrigation plant and property of the Pecos Irrigation Co. including right of way, reservoir sites, claims to water, existing canals, laterals, structures, buildings, etc., excluding only the irrigable lands owned by the company and the canal known as the Hagerman Land and Improvement Company's canal on the east side of the river heading in sec. 11 T. 23 S., R. 28 E., is $150,000. It will be necessary also for the company to sign the usual contracts providing for the disposition of its lands in tracts not exceeding 160 acres so that the same may become subject to the provisions of the Reclamation Act. This sum is regarded as the present value of the plant, although the expense of construction has been much greater. |