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Show 56 UPDATING THE HOOVER DAM DOCUMENTS A.4 Contracts Administered by DOE, Interior and Jointly Lists of the power and power related contracts retained for administration by Interior, those assumed by WAPA, and the four minor power related agreements jointly administered by both Reclamation and WAPA, together with a capsule description of each agreement, respectively, appears herein as Appendix 301. B. Boulder Canyon Project B. 1 Background ihe Boulder Canyon Project was authorized by the Act of December 21, 1928 (45 Stat. 1057), subject to the terms of the Colorado River Compact. The Boulder Canyon Project Adjustment Act (54 Stat. 774), dated July 19, 1940, provided for certain changes in the original plan. The Act of June 29, 1948 (62 Stat. 1112), provided that certain investments and expenditures not related to the construction, operation, or maintenance of the project be removed from the repayable costs of the project. The project was constructed for the purposes of controlling the floods, improving navigation, regulating the flow of the Colorado River, providing for storage and for the delivery of the stored waters thereof for reclamation of public lands and other beneficial uses exclusively within the United States, and for the generation of electrical energy. The main features of the project include the dam and reservoir, hydroelectric plant with 1,344,800 kW capacity, and high voltage switchyards. Electrical energy is delivered to the allottees at the high voltage switchyards and transmitted from that point to loads in Arizona, California, and Nevada over facilities which are owned or arranged for by the allottees of electrical energy. The investment of the United States in Hoover Dam and appurtenant works subject to amortization May 31, 1969, was $145,181,882. The total estimated cost of the project is $176,075,663. The final generating unit N-8 was completed and placed in operation on December 1, 1961. Revenues from Hoover Powerplant are paid into the Colorado River.Dam Fund, from which appropriations for operation and maintenance are made by Congress annually. After making provision for operation, maintenance, and replacement of the project, annual payments of $300,000 to each of the States of Arizona and Nevada and annual transfers of $500,000 to the Colorado River Development Fund, the net revenue available for repayment of advances to the Treasury, with interest, amounted to $191,266,074 at May 31, 1977. With the exception of $25,000,000 allocated to flood control and the nonproject costs determined in accordance with the act of June 29, 1948 (62 Stat. 1112), the cost of construction, operation, maintenance, and replacement will be repaid to the United States in 50-year periods with interest at 3 percent per annum by the revenues from generating charges, the sale of energy, and other incidental revenues. These revenues are guaranteed by formal contracts with the energy allottees with rates based on the repayment of advances for construction within 50-year periods. The repayment of the advances of $25,000,000 allocated to flood control has been deferred without interest until June 1, 1987, after which time such advances so allocated to flood control shall be repayable to the Treasury as the Congress shall determine. The dam and powerplant building and their appurtenances are owned, operated, and maintained by the United States. Generating, transforming, and switching facilities are owned by the United States but are operated and maintained by the Department of Water and Power of the City of Los Angeles and the Southern California Edison Company, Ltd., as agents of the United States. The background and texts of Interior's "Contract for Lease of Power Privilege" with the Department of Water and Power of the City of Los Angeles and the Southern California Edison Company, Ltd., and the energy contracts of 1930 entered into pursuant to the Boulder Canyon Project Act of December 21, 1928, 45 Stat. 1057, and the later "Contract for the Operation of Boulder Power Plant" with Los Angeles and Edison, and the energy contracts entered into pursuant to the Boulder Canyon Project Adjustment Act, dated July 19, 1940, 54 Stat. 774, and the regulations promulgated thereunder on May 20, 1941, are set out in "The Hoover Dam Documents, Wilbur and Ely, 1948." |
