Page:United States Statutes at Large Volume 53 Part 2.djvu/719

 53 STAT.] 76TH CONG., 1ST SESS.-CH. 418-AUG. 4, 1939 interest on an appropriate share of the construction investment at not less than 3 per centum per annum, and such other fixed charges as the Secretary deems proper: Provided further, That in said sales Preferential or leases preference shall be given to municipalities and other public corporations or agencies; and also to cooperatives and other non- profit organizations financed in whole or in part by loans made pur- suant to the Rural Electrification Act of 1936 and any amendments 4 Stat. 133 7U.S.C. thereof. Nothing in this subsection shall be applicable to provisions iv, §901-914. in existing contracts, made pursuant to law, for the use of power and miscellaneous revenues of a project for the benefit of users of water from such project. The provisions of this subsection respecting the Prescribd terms of sales of electric power and leases of power privileges shall existing laws. be in addition and alternative to any authority in existing laws relat- ing to particular projects. No contract relating to municipal water contract supply or miscellaneous purposes or to electric power or power privi- leges shall be made unless, in the judgment of the Secretary, it will not impair the efficiency of the project for irrigation purposes. (d) No water may be delivered for irrigation of lands in connec- Repaym'ent tracts for ne tion with any new project, new division of a project, or supple- ects. mental works on a project until an organization, satisfactory in form and powers to the Secretary, has entered into a repayment contract with the United States, in a form satisfactory to the Secretary, pro- Provisions. viding among other thmgs- (1) That the Secretary may fix a development period for each ODeelopmed irrigation block, if any, of not to exceed ten years from and during period, including the first calendar year in which water is delivered for the lands in said block; and that during the development period water shall be delivered to the lands in the irrigation block involved at a charge per annum per acre-foot, or other charge, to be fixed by the Secretary each year and to be paid in advance of delivery of water: Provided, That where the lands included Pw0 ° in an irrigation block are for the most part lands owned by the mostly Govt United States, the Secretary, prior to execution of a repayment lands. contract, may fix a development period, but in such case execu- tion of such a contract shall be a condition precedent to delivery of water after the close of the development period. After the Caredit of , close of the development period, any such charges collected and which the Secretary determines to be in excess of the cost of the operation and maintenance during the development period shall be credited to the construction cost of the project in the manner determined by the Secretary. (2) That the part of the construction costs allocated by the irrjationre Secretary to irrigation shall be included in a general repayment plan. obligation of the organization; and that the organization may Dstutioi vary its distribution of construction charges in a manner that takes into account the productivity of the various classes of lands and the benefits accruing to the lands by reason of the construc- tion: Provided, That no distribution of construction charges Pro"re over the lands included in the organization shall in any manner obligation. be deemed to relieve the organization or any party or any land therein of the organization s general obligation to the United States. (3) That the general repayment obligation of the organization Spread of shall be spread in annual installments, of the number and reyment amounts fixed by the Secretary, over a period not exceeding forty years, exclusive of any development period fixed under subsection (d) (1) of this section, for any project contract unit, or for any irrigation block, if the project contract unit be divided into two or more irrigation blocks. 98907--39 --P' 2 - 44 sales ties, etc., Supp. provi- inal to restric- con- w proj- at peri- ofwater , charge. ock is crnment Ilectious eriod. ated to payment 1 of con- ges. fgeneral general ligation. 1195

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