Omaha daily bee., 1909-11-29

the cost thereoI. ana give authority 70
compel q prompt reimbursement
ION anticipation Of new legislation by
congress to prevent the acquisition OF
power sites on the public domain by pri-
vate persons or corporations with the view
OF monopolizing or adversely controlling
them against the public Interest, there
have been temporarily withdrawn from
all forms Of entry approximately $685. $50
acres, covering all locations known to
possess power possibilities on unappro-
priated lands outside OF national forests.
without such Withdrawals these sites
would be enterab,e under existing laws,
and their patenting would leave the gen
eral government powerless to impose any
limitations as to their use.
"Tf the federal government desires TO
exercise control or supervision over water
power development on the public domain,
Il can only do so by limitations imposed
upon the disposal Of power and reservoir
sites upon the public lands, the waters
Of the streams being subject to state
Jurisdiction in their appropriation end
beneficial use. 1 would, therefore, advise
that the congress be asked to enact a
measure that will authorize the CLASH
ncation Of all lands capable Of being used
for water power development, and TO dl-
rect their disposal, through this depart
ment. under substantially the following
conditions:
Il. That the title to such lands be re-
served in the fedora government and
only an easement granted for the pur-
pose Of developing and transmitting cleo
trical power for private and public use,
and for the storage Of waters for power,
irrigation and other uses;
q. That such easement be granted for
a limited period, with a maximum Of at
least thirty years. and the option Of re-
newal for stated periods upon agreed
terms;
"3. That entry shall be accompanied by
plans and specifications covering the
works sought to be installed, and cover
ing the maximum horse power capable
Of development at such site; also, that
a substantial, entry fee be paid to show
good faith. and that a transfer to the
United States of the necessary water rights
to permit Of the estimated power develop
ment be made;
Il. That the construction period allowed
entrymen for the development Of at least
25 per cent of such power shall not ex-
tend beyond four years, or such further
time as may be granted by the secretary
Of the interior upon a proper showing;
.. mat a HlOubIdlb CllhlBb olidl W
made on the capital invested, or upon
the gross earnings OF the project for the
first ter years Of operation, adjusted at
each subsequent ten-year period, and
equitably determined by appraisement;
"6. That all rights and easements shall
be forfeltable for failure to make develop
ment within the limitations imposed or
upon entry into any contract or comblna-
ton to charge or fix rates beyond a rea-
sonable profit on the investment and cost
Of operation, or entry into any agreement
or combination to limit the supply Of cleo
trical current, or failure to operate the
plant; and,
-. That all books and accounts shall
always be subject to the inspection Of the
department.
Unreasonable or narrow restrictions be-
yond the necessity OF public protection
! against monopoly, or extortion in charges,
will, of course, defeat development and
serve no useful purpose. The statute
should, therefore, while giving full public
protection against the abuses Of the prlvi-
leges extended, so far as consistent, en-
courage investment in these projects; and
II must always be borne in mind that ex-
cessive charges for the franchise will fall
upon the consumer. Legislation OF this
character proceeds upon the theory that
congress can impose such contractual
terms and conditions as 1t sees fit in the
sale or use permitted of government lands
so lang as such limitations do not con
fict with the powers properly exercised
by the state wherein they may be stu
ated. - .
Reclamation Service,
THE act approved June II, 1902. known
as the reclamation act, clothes the ssege-
tary of the interior with a broad discre-
ton in the construction Of irrigation works
and the disbursement Of the reclamation
fund. into which und had been paid, UP
to and including June 80, 1908, the total
sum Of $50, 661, $40. 81, and the net invest
ments from which the reclamation works
on June so, 1909, amounted to the sum OF
s45, 757,9lS.s4. The cash I<eipts from water
right charges to June 80, 1909, were: Build
ing charges. $2os, S41. %; operation and main
~tenance charges, SOS 2b. IS; total, $50, 667 10.
Because of the magnitude Of the work and
the deslrabillty OF making plans far in ad-
vance, 1t has been found necessary to
MAKE estimates Of the amounts that will
become available before the actual receipts
can be known. The estimated total re-
ceipts in the fund to June 80, 1909, are S5s,-
5S2, 14o.66. Upon this basis, and estimated
receipts which will become available be,
fore December 81, 1910, S5,52S,O5O have been
allotted for reclamation purposes to De-
cember 81. 1910.
The discretion imposed by the act also
carries with it commensurate responsible
ties and obligations, which my predecessors
have carried out with the Utmost fidelity
to the public good,
'Some OF the most important elements
Of conservation Of the natural resources OF
the public domain lie within the purview
of this statute; the dormant power OF
steam and flood being conserved for the
transformation Of the desert into vast till
able areas. o.
THE receipts from all sources do not give
announcement that the fund will ne suf-
f~iciently replenished to enable an expe-
ditious completion and extension Of exist.
ing projects or to take up any new work
! I'm not in favor Of the extension of the
time OF these payments, as eleven veal
(Which the law practically gives) withou.
interest, in ten annual installments, oughI
TO permit any prudent man to meet his
payments, unless the cost OF construction
is a greater burden than the lands vii
naturally sustain.
IN view OF the Importance Of a SPEEDY
completion Of existing projects and thei
proper extension and Of the necessity II
1912 Of an adjustment between the state