Title 43Public LandsRelease 119-73

§424d Use of moneys collected from sales, project construction charges and water rentals respecting unproductive lands

Title 43 › Chapter CHAPTER 12— - RECLAMATION AND IRRIGATION OF LANDS BY FEDERAL GOVERNMENT › Subchapter SUBCHAPTER V— - ADMINISTRATION OF EXISTING PROJECTS › § 424d

Last updated Apr 6, 2026|Official source

Summary

Unless a contract says something different, money collected under sections 424–424e from land sales, construction charges on lands called temporarily or permanently unproductive, and most water rentals must go to the Reclamation Fund. First it is used as a credit against the construction charge payable on May 16, 1930, to cover extra costs of serving the unproductive area while it was unproductive, as approved by the Commissioner of Reclamation. Any leftover is credited to amounts written off under sections 423–423g and 610. If water rentals are more than current operation and maintenance costs, the Secretary decides the excess and it goes to the Reclamation Fund unless a contract says otherwise. In other cases those water rentals stay with or are turned over to the irrigation district or water users association that operates the project under contract with the United States.

Full Legal Text

Title 43, §424d

Public Lands — Source: USLM XML via OLRC

In the absence of a contrary requirement in the contracts between the United States and the water users organization or district assuming liability for the payment of project construction charges, all sums collected under sections 424 to 424e this title from the sale of lands, from the payment of project construction charges on “temporarily unproductive” or “permanently unproductive” lands so sold, and (except as stated in this section) from water rentals, shall inure to the Reclamation Fund as a credit to the construction charge payable on May 16, 1930, by the water users under their present contracts, to the extent of the additional expense, if any, incurred by such water users in furnishing water to the unproductive area, while still in that status, as approved by the Commissioner of Reclamation and the balance as a credit to the sums heretofore written off in accordance with sections 423 to 423g and 610 of this title. Where water rental collections under sections 424 to 424e of this title are in excess of the current operation and maintenance charges, the excess as determined by the Secretary, shall, in the absence of such contrary contract provision, inure to the Reclamation Fund as above provided, but in all other cases the water rentals collected under sections 424 to 424e of this title shall be turned over to or retained by the operating district or association, where the project or part of the project from which the water rentals were collected is being operated and maintained by an irrigation district or water users association under contract with the United States.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

Sections 423 to 423g and 610 of this title, referred to in text, was in the original “said act of
May 25, 1926”, meaning act of
May 25, 1926, ch. 383, 44 Stat. 636, which enacted sections 423 to 423g and 610 of this title. section 610 of this title was omitted from the Code. For complete classification of this Act to the Code, see Tables.

Reference

Citations & Metadata

Citation

43 U.S.C. § 424d

Title 43Public Lands

Last Updated

Apr 6, 2026

Release point: 119-73