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Show 322 Reclamation Projects.-By a 1906 supplement to the Rec- lamation Act, Congress authorized the Secretary of the Interior to "provide for water rights" for towns established by him in connection with reclamation projects and to contract with such towns and with towns in the immediate vicinity of projects which "shall have a water right from the same source" as the project, for delivery of water supply to some convenient point.29 Charges must not be less nor upon terms more favorable than those fixed for the irrigation project, and must be paid into the Reclamation Fund.30 A 1920 statute empowers the Secretary to contract to supply water "for other purposes than irrigation."81 Such a contract may be executed only when there is "no other practicable source of water supply for the purpose," and when the delivery of such water would not be detrimental to water service from the irrigation project or rights of prior appropriators. Proceeds must be covered into the Reclamation Fund. Under 1939 reclamation legislation, the Secretary is author- ized to enter into contracts to furnish water for "municipal water supply or miscellaneous purposes."32 The contract must require repayment of "an appropriate share" of that part of con- struction costs allocated by the Secretary to "municipal water supply or other miscellaneous purposes," within not to exceed 40 years and with interest at not exceeding 3^ percent per annum if he deems an interest charge proper. Or the con- tract must produce revenues at least sufficient to cover an "appropriate" share of annual operation and maintenance costs and fixed charges, within not to exceed 40 years and with annual payments made in advance of delivery of water. Here again, the contract must not impair the efficiency of the project for irrigation purposes. Special note should be made of the history of the authoriza- tion of the Parker Dam, operation of which provides impor- 29 Act of April 16,1906, § 4, 34 Stat. 116, 43 U. S. O. 567. 80 Id. 81 Act of February 25,1920, 41 Stat 451, 43 U. S. C. 521. M Act of August 4,1939, § 9(c), 53 Stat. 1187,1194, 43 U. S. O. 485h (c). |