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Show in lieu of taxes on the various kinds of acquired Federal properties. Conclusions Tax losses to State and local governments from property acquisition in connection with water re- sources programs cannot equitably be ignored. To do so might impose an unmerited hardship on some local governmental agencies, and would doubtless arouse resentment; it is also desirable that the Federal Government assume proper costs of ownership of federally acquired lands including an appropriate share of the costs of local government. Projects that primarily benefit local communities should be regarded as though they were owned by the State or local governments and no payments in lieu of taxes, beyond any applicable sharing of gross income from such projects, should be made thereon. But State and local governments should be compen- sated for tax losses on property used primarily to serve national or broad regional interests, with credit for any services rendered directly by the Fed- eral Government or for payments made under any revenue-sharing arrangement. General legislation of national scope should in- clude such provisions as will result in a definite and equitable solution of the existing problem in the basin and elsewhere. B. Problems Related to Specific Functions in Multiple-Purpose Programs 1. Planning for Public and Industrial Water Supplies The Problem Present and future needs for public and indus- trial water supplies in the Ohio River Basin. The Situation In general, use of water for domestic water sup- plies has tlie highest priority of all water uses. Priority for industrial uses is probably second in this river basin. At present there are more than 1,750 public surface and ground water supplies serving ovex 9.5 million persons, of which 550 ob- tain water jfrom surface sources to serve about 6.5 million people. These also serve connected indus- try. In addition, there are an undetermined num- ber of industries using surface or ground water supplies. Daily consumption of surface water is measured in billions of gallons and about one bil- lion gallons of ground water are used daily. Water use of this magnitude, and future increases in such use, require careful consideration in a water re- sources program. Future public and industrial water-supply needs cannot be predicted accurately. This is particu- larly true with respect to industrial water needs. However, every attempt should be made to antici- pate those needs and to allow an adequate factor of safety to meet unforeseen requirements. Increasing demands for water in expanding mu- nicipal and industrial areas accentuate the need for considering such water uses in the development of surface-water resources. There are many in- stances where former or partially developed ground water or surface supplies are no longer adequate or are rapidly becoming inadequate. For example, public and industrial water supplies taken from some parts of the Mill Creek Valley in the vicinity of Cincinnati are approaching or have exceeded the recharge capacity of the underground reservoir. Industrial use of ground water in Louisville and vicinity is about one-tenth of the recharge capacity, but apparent water shortages developed during World War II because wells were developed with- out knowledge of the ground-water hydrology. Industrial use of surface water in the Youngstown area is so great that further development of the water resources is required or further industrial growth must go to other areas. The public water- supply demand at Columbus exceeds the present surface supply development. During World War II the demand for water for a war industry at Point Pleasant, W. Va., exceeded the capacity of the wells, although the ground-water reservoir was ade- quate to meet the demands. Treatment of surface waters was undertaken. Generally, public and industrial water supplies have been developed by individual municipalities, private industries, or by a small group associated for this purpose. This practice will probably continue to be the usual procedure. However, there are instances where large-scale river projects have been constructed by Federal, State, or other agencies or are proposed in which existing or potential water supply requirements have been considered. For example, Mosquito Creek Reservoir in the Mahon- ing Basin provides storage for water supply for Warren. Industrial and domestic water supplies are two important considerations in planning for 668 |
