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of $398.2 million. The 50 new construction starts are estimated to have a total Federal cost of $506.6 million. Included also are $10.6 million for the rehabilitation program. You will recall that last year the Chief of Engineers discussed a program of rehabilitation of the structures on our older projects which represented requirements beyond the scope of normal maintenance. The amount included in the budget for fiscal year 1962 will provide a good start on 20 major rehabilitation projects estimated to cost $40.8 million, and for planning 8 additional projects with an estimated cost of $10.6 million.

OPERATIONS AND MAINTENANCE

For the Operations and Maintenance general appropriation the budget provides $133.6 million as compared to a fiscal year 1961 appropriation of $130.2 million. You will recall that last year's budget provided an increase of $4 million in level of operation and maintenance. The fiscal year 1962 budget provides an additional increase of $2 million in the level. Thus in the past two budgets, the level of operation and maintenance has been raised $6 million in addition to the requirements for wage increases, increased cost of materials and new projects coming into maintenance status. We believe that this increased level will provide for all urgent maintenance requirements unless unusual or severe storm damage occurs. It will be necessary in future years, however, to increase further this level to restore and to maintain properly channel and harbor dimensions.

GENERAL EXPENSES

The request for general expenses of $13.1 million as compared to an appropriation of $12.9 million for fiscal year 1961, provides only for minimum increases in the staffs of the Office of the Chief of Engineers and the Division Offices.

The amount of $70.5 million for the Mississippi River appropriation is slightly below the $71.9 million appropriation for fiscal year 1961. During the year we had a loss which I should bring to your attention. A fire occurred in the main administration building of the Waterways Experiment Station on October 3, 1960. This building was constructed in two parts. All of the new part, including the cafeteria, photo laboratory, printing plant, electronic computing center, library and all its contents, and the administrative offices, was destroyed. The. old portion of the building, which houses the soils laboratory, was saved from fire, but was thoroughly soaked. The estimated damage resulting from the fire is $1,349,000. We are in the process of reconstruction and replacement of these facilities. The total cost is estimated at $1,417,000. This cost is being financed from the Corps of Engineers revolving fund and will not require any future appropriation.

That concludes my statement. My staff and I are available for any information you may desire.

FLOOD PLAIN STUDIES

Mr. CANNON. You mentioned new studies on the flood plains. I live at the confluence of the Missouri and Mississippi Rivers, where these

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flood plains probably reach their widest extent. In what respect are these studies new, General?

General CASSIDY. This is a program to provide flood plain information and data to local interests, so that the local interests can plan the use of the land, and so that they can zone it, or regulate its use, so that we may have a better use of the land. In that way they may recognize the flood hazards and take some steps on their own part to take care of that flood hazard.

Mr. CANNON. How do you propose to implement these studies? General CASSIDY. We have issued a regulation which will guide the field, but basically the local people must come to the Corps of Engineers to ask for such information, and we will put together the information to show them what the problem is in the particular area that they are asking about. Then the solution of that problem is up to them.

Mr. CANNON. If it is not too voluminous we would be glad if you would put a copy in the record.

General CASSIDY. Yes, sir.

Mr. CANNON. How much space would that require?

General CASSIDY. This is the manual, sir.

Mr. CANNON. It is quite lengthy. You may file it with the committee.

CRITERIA FOR LOCAL ASSURANCES REGARDING WATER SUPPLY STORAGE IN FEDERAL RESERVOIRS

Mr. CANNON. In our report last year, General Cassidy, the committee indicated its criteria for local assurances on water supply storage in Federal reservoirs. Have you found it necessary further to define this material?

General CASSIDY. Yes, sir. The committee stated last year that we should either have a contract, or binding legal agreements for future water supply. The binding legal agreement we have considered as a resolution, or some other action, of an official agency, usually created by the State, which has the authority to give that assurance, and has the ability to back up the assurance; but the problem is that a binding legal agreement as an assurance of a county board of commissioners is binding on that board of commissioners. As in any governing body, the makeup of the body can change at a later date, but we expect it to carry out its commitments.

Mr. CANNON. Have you had any difficulty in applying this criteria? General CASSIDY. No, sir. We have had no real difficulty in this. Mr. CANNON. Are there any new construction starts in this budget with regard to which this criteria has not been met, or in which it will not be met before the construction starts?

General CASSIDY. No, sir.

NEW STARTS

Mr. CANNON. What about the number of new starts in this budget as compared with former years?

General CASSIDY. There are a larger number of new starts in this budget than there were last year. For construction we are starting 50 new projects in 1962.

Mr. CANNON. As compared with what in 1961?

General CASSIDY. I believe the budget contained 33 new starts in 1961.

Mr. CANNON. And for 1960 ?

General CASSIDY. The 1960 budget contained no new starts.

RECREATIONAL FACILITIES DEVELOPMENT STUDY AND REPORT

Mr. CANNON. The report of this committee last year required a study and a report on your part concerning the provision of recreational facilities. We will insert your report in the record and ask what steps have been taken to bring your policies, and especially your definition of minimum facilities, and those of the Bureau of Reclamation into harmonious agreement?

(The report referred to is as follows:)

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In accordance with the request by the Committee on Appropriations, House of Representatives, in Report No. 1634 86th Congress, 2nd Session, I am pleased to submit herewith a report on recreational development of Civil Works projects of the Corps of Engineers.

The report contains information in response to the specific questions raised by the Committee with respect to policy and procedural guidelines governing recreational development of reservoirs under jurisdiction of the Corps of Engineers, and includes a discussion of the subject of fees and charges for use of recreational facilities which was mentioned in the Committee's report.

Sincerely yours,

/s/ E. C. Itschner

E. C. ITSCHNER
Lieutenant General, USA
Chief of Engineers

SPECIAL REPORT TO THE COMMITTEE ON APPROPRIATIONS
HOUSE OF REPRESENTATIVES

ON

RECREATIONAL DEVELOPMENT OF CIVIL WORKS PROJECTS
OF THE CORPS OF ENGINEERS

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III ADMINISTRATIVE POLICIES AND PROCEDURES OF THE CORPS OF ENGINEERS

IV

Planning and administration of lands and waters

Criteria for recreational facilities

Fish and Wildlife Conservation

Grants under Sec. 209 of Act of 1954

Results

BASIC FACILITIES FROVIDED BY THE CORPS OF ENGINEERS

Master Plans

Accommodation of public interest

Provision for access and recreational use

V HANDLING OF LEASES AND CONCESSIONS

Commercial leases and concessions
Leases to non-profit organizations

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