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Show 301 Boulder Canyon Project.-Statutory authorization for the Boulder Canyon Project marks the initial undertaking by the Federal Government of a truly large-scale, multiple-purpose development.245 Congress authorized the Secretary of the In- terior to construct, operate, and maintain the project for flood control, navigation, reclamation, and other beneficial uses. In addition, the generation of energy was expressly described as a means for making the project a "self-supporting and finan- cially solvent undertaking." 246 Unique and extensive provisions are prescribed for facilities constructed, the rights and obligations of the Colorado River Basin States, sale of power, water use, irrigation rights, and approval of the Colorado River Compact. For example, dis- cretionary power is vested in the Secretary of the Interior to lease "units of any Government-built plant, with right to gen- erate electrical energy," or to lease the use of water for such generation.247 Moreover, Congress directed that the Secretary make provision by contract for revenues to meet expenses of construction, operation, and maintenance within 50 years from the completion date of the works.248 A maximum power-con- tract period of 50 years is prescribed, but an entitlement to renewals is included.249 In 1930, the Secretary disposed of the entire output of firm energy to be generated during the 50 years following comple- tion of the dam and reported to Congress that he had obtained the required contracts.250 Under requirements adopted by statute in 1940, several changes were made: in lieu of rate adjustments every ten years upon a basis of competitive conditions, rates are stabilized for a period from June 1, 1937 to May 1, 1987; the interest rate is reduced from 4% to 3% and applied to all of the Government's investment except $25,000,000 allocated to flood control; and 845 Act of December 21, 1928, 45 Stat. 1057, 43 U. S. O. 617-617t; Act of July 19,1940, 54 Stat. 774, 43 U. S. G. 618-6180. 846 Act of December 21,1928, § 1, 45 Stat. 1057, 43 U. S. C. 617. 247 § 6, 45 Stat. 1061, 43 U. S. C. 617e. 248 § 4(b), 45 Stat. 1059, 43 U. S. O. 617c(b). 249§5(a), (b), 45 Stat. 1060, 43 U. S. C. 617d(a), (b). 260 Sen. Rep. No. 1784, 76th Cong., 3d sess., p. 3 (1940). |