§617e Uses to Be Made of Dam and Reservoir; Title in Whom; Leases, Regulations; Limitation on Authority

Summary

The dam, reservoir, and related works must be used for three things: controlling the river and protecting navigation and against floods; providing water for irrigation, homes, and existing water rights under Article VIII of the Colorado River Compact; and producing power. The United States will own the dam, reservoir, power plant, and related works forever and will run and manage them unless Congress says otherwise. The Secretary of the Interior may lease parts of any government-built power plant or lease water for making electricity. If he does, the rules in section 617d about money, lease length and renewals, handling competing applications, and sharing transmission lines for power sales apply. The Secretary must make and enforce rules that follow the Federal Power Act where relevant. These rules must cover keeping the works in good repair, accounting, control of rates and service when states do not, valuing assets for rates, transferring and extending contracts, taking back excessive profits, using lessees’ property in emergencies, and penalties for breaking the rules. He must also follow other Federal Power Act and Federal Power Commission rules that protect investors and consumers. Until this subchapter becomes effective as provided in section 617c, the Federal Power Commission must not issue or approve Federal Power Act permits or licenses affecting the Colorado River or its tributaries (except the Gila River) in Colorado, Wyoming, Utah, New Mexico, Nevada, Arizona, or California.