SUN RIVER PROJECT, MONTANA

The program followed since 1929 of changing the large grain acreage to alfalfa, sweet clover, forage, and cultivated crops was continued during 1934 and early 1935. Good progress was made with 7,500 acres of seed peas and a general increase in soil-building crops. The water supply for 1935 continued excellent, although the season on the project was one of the driest of record. Prospects for crops in 1935 were good. The Utah-Idaho Sugar Co. was making a detail survey regarding possibilities for a sugar factory. Concerted action developed among farmers for control of noxious weeds. Planting of shelter belts continued and community pastures were operating successfully. The Fort Shaw and Greenfields irrigation districts continued to operate the completed works successfully. Good progress on extensions to lateral system and drainage works was made under N. I. R. A. funds. Twenty-six miles of drain and some 14 miles of laterals and canal extension were completed. Contract was awarded to Tomlinson-Arkwright Construction Co. for construction of about 26 miles of laterals and structures in vicinity of Ashuelot and to T. G. Rowland for some 18 miles of drains and structures. Plans and estimates were completed for improving some 25 miles of Pishkun and Sun River Slope canals. Gibson Reservoir should be enlarged and lateral system built on the Sun River Slope division.

LOWER YELLOWSTONE PROJECT, MONTANA-NORTH DAKOTA

There were 524 irrigated farms on the project. Where there was no irrigation there was no crop.

The irrigated area was 36,348 acres. During the year 57 percent of the irrigated farms were operated by owners or managers and 43 percent by tenants. The demand for irrigated land was greater in the past year than for any year of the project's history. A great number of sales were made during the past year and all lands taken for nonpayment of taxes were sold. One tract of about 1,200 acres was sold at a cash sale and brought a return of $17 an acre. Most of this was land that has not been farmed or developed for a number of years.

Both irrigation districts raised sufficient funds to keep the operation and maintenance work, as well as the purchase of new equipment, on a cash basis.

NORTH PLATTE PROJECT, NEBRASKA-WYOMING

The deficient water supply on the project, which was only one-third of normal, resulted in reduced yields of nearly all crops. The yield of sugar beets was reduced to 8.3 tons per acre, as compared with

12.5 tons per acre the previous year. The yield of alfalfa was 1.5 tons, as compared with 2 tons per acre under normal conditions. The autumn and winter months continued extremely dry. Early in May 1935 the drought was broken by extensive rains over project lands and the storage watershed. These rains put the land in good condition for spring planting and increased the storage water supply. Diversion of water for irrigation was not started until after June 15, and Pathfinder Reservoir was filled to 50 percent of its capacity. Guernsey Reservoir was filled, and Minatare Reservoir was about two-thirds filled. This is not a normal supply, but it was thought to be ample for the season's needs. The general economic condition of project farmers showed improvement during the past year in spite of the 1934 water shortage. Prices received for crops were good, and benefit payments for corn, hog, and sugar-beet farmers helped materially. The area reported cropped was 176,000 acres, as compared with 182,500 acres in 1933. Land sales showed increased activity, although good farms were at a premium.

A new contract was executed with the Northport district which provides for smaller construction payments during the next few years and also for payment from the district's share of power revenues of $6,000 annually to the farmers' irrigation district for the Northport district's water-carriage charges.

Construction was confined to completion of 10 miles of additional power-transmission line between Gering and Mitchell, Nebr., completing a loop circuit serving a total of nine project towns and making duplicate line service available to each town, thus reducing powerservice interruption caused by line outages and resulting in improved service. The cost of the work was financed from power revenues. The irrigation districts were forced to expend unusually large sums in cleaning canals and laterals in the spring of 1935 as a result of sand storms during the winter of 1934-35.

HUMBOLDT PROJECT, NEVADA

Lovelock Valley received only 3,000 acre-feet of water to meet its requirement of approximately 84,000 acre-feet during the 1934 season, accentuating the economic difficulties of previous water shortages and universal depression. Returning confidence among the farmers of the district, inspired by the construction of Rye Patch Dam and the purchase of water rights in the Battle Mountain area for transfer to this project is evidenced by a marked improvement in business and banking conditions locally.

Award of contract was made on December 1, 1934, for the construction of Rye Patch Dam, J. A. Terteling & Sons being the lowest and successful bidder.

Subsequently plans were changed so as to provide for an additional 10 feet in height of the dam. Active construction work was commenced in February 1935, and was 16.9 percent complete on June 30, 1935. In the Battle Mountain area property was purchased aggregating approximately 60,000 acres. Surveys of this property and plans for river channel improvement, removal of old dams, and blocking of sloughs to prevent river overflow in these properties were in progress.

NEWLANDS PROJECT, NEVADA

The project water supply for the 1934 season was seriously short, necessitating a rigid plan for allotting all available water.

The water supply for lands under Lahontan reservoir was adequate during the winter 1934-35.

The First National Bank in Reno, Fallon branch, was opened on May 1, 1935.

The irrigated area totalled 41,070 acres, in addition to 7,600 acres in outside community pastures receiving some drainage waters. Farms operated by owners numbered 606 and by tenants 179. The total estimated value of all crops was $737,164. In 1934 crop values increased $116,674 above the 1933 totals.

Two E. C. W. camps were under construction near Fallon. The plan included such work as grubbing willows, cleaning ditches, building and repairing structures, riprapping around new structures, and replacing riprap around old structures where necessary.

During the winter of 1933-34 C. W. A. funds were made available for a limited amount of work on project drains, all of the work being done by hand labor. Improvement of roads now existing is proposed to facilitate operation of the distribution system, eliminate fence gates across such roads and substituting cattle guards therefor, providing bridges and culverts for ditch crossings and draining or grading operating roads upon the ditch rights-of-way.

Other maintenance work during the fiscal year included the installation of 21 concrete structures, 64 pipe or timber structures in the lateral system, and 13 pipe or timber structures in the drainage system.

TRUCKEE STORAGE PROJECT, NEVADA

Crop production, as a consequence of an inadequate water supply, was much below normal. Grass and fall alfalfa pasture, which were scarce and of poor quality, produced small revenue from feeder cattle. Hay in excess of farm demands was insufficient to provide the usual volume of cattle feeding during the winter. Investigations were made at one of the proposed dam sites on the Little Truckee

River. Topographic surveys of dam site and reservoir and diamond drill explorations of the Boca site at the junction of the Little Truckee River with the Truckee River were in progress at the close of the fiscal year. Form of agreement necessary to be executed by the Sierra Pacific Power Co., the Washoe County water-conservation district, and the Truckee-Carson irrigation district, and the United States was approved as to form.

CARLSBAD PROJECT, NEW MEXICO

There were 438 farms cultivated during the year, 290 by owners and managers and 148 by tenants. The total area cropped was 18,714 acres. Two farms were reported sold to local residents. Prices of farm land ranged from $75 to $250 per acre. No new farm loans were made by the Federal land bank. Payments on loans amounting to $650,000, made by the loan agency, were resumed. Crop returns for 1934 averaged $44 per acre, a decrease of $3.39 per acre. Financial conditions of the project continued to improve. The local bank deposits were $690,215 on June 30, 1934. Industrial developments were confined to the potash and oil industries. The U. S. Potash Co. mining and refinery operation was on a three-shift basis. Both reservoirs of the project were entirely empty on July 1, and there was insufficient water for crops during the remainder of the year. Sufficient water accumulated during the winter to permit a full supply for planting the 1935 crops, and there was sufficient water for all crops at the close of the fiscal year 1935.

Extension of the east embankment at Lake McMillan was started July 23 by F. E. R. A. forces and continued until September 22, when C. C. C. forces took over the work. On June 30 the job was 90 percent completed.

RIO GRANDE PROJECT, NEW MEXICO-TEXAS

There were 4,956 irrigated farms in 1934, of which 3,018 were operated by owners or managers and 1,938 by tenants. The total area cropped in 1934 was 123,800 acres, as compared with 137,400 acres in 1931. A number of cold-storage, wholesale, and commission produce establishments serve El Paso's trade territory.

Weather conditions in 1934 were favorable and exceptional yields were obtained. The average gross return was $76 per acre for the total area cropped of 124,000 acres, as compared with $27.50 per acre in 1932. Crop financing was easily obtained. The mortgage indebtedness of the water users decreased. The total bank deposits increased from $17,550,000 in 1931 to $23,000,000 in June 1935. Collections for 1934 were unusually good and the classified area contracted

for water service in 1935 is the largest during the history of the project.

The most urgent engineering work is the extension or improvement of the drainage facilities for the remainder of the irrigable area of about 4,500 acres scattered throughout the project.

STANFIELD PROJECT, OREGON

The project is located in Umatilla County, eastern Oregon. It was originally constructed in 1905 by the Furnish Ditch Co. for the irrigation of approximately 10,000 acres in the vicinity of Stanfield, Oreg. The main canal diverts water from the Umatilla River. The water supply in part is obtained from the McKay Reservoir under contract for 15,000 acre-feet with the Bureau of Reclamation. An allotment of $100,000 was made by the Public Works Administration for refinancing and rehabilitating the propect, and a repayment contract with the Stanfield irrigation district was executed February 12, 1934. Rehabilitation work was continued during the past fiscal year on the irrigation structures and canals.

UMATILLA PROJECT, OREGON

The operation of the east and west divisions of the Umatilla project were continued under the respective irrigation district organizations, the combined irrigated area of the two divisions being approximately 11,000 acres, which in 1934 produced crops having an average value of approximately $18 per acre. Stock, dairy, and poultry prices showed improvement over the previous year. An early watermelon crop was marketed to good advantage owing to the watermelon code and somewhat to the work-relief projects during the winter months. On the east division the cooperative creamery and cannery are proving advantageous to the farmers and townspeople.

VALE PROJECT, OREGON

There are 242 water users on the project and nearly all lands for which water is available have been settled. Twelve percent of the farms were operated by tenants. Crops were diversified, the largest acreage being planted to alfalfa and hay for winter forage. Alfalfa returned an average yield of approximately 4 tons per acre. From 450 acres of potatoes there was an average of 135 bushels per acre. Dairying is fast becoming an important industry. A creamery was recently established at Vale, receiving cream and poultry from the settlers. Cooperative organizations in the older agricultural sections, adjoining, offer facilities to settlers for cooperative marketing. Two highways and a market road furnish facilities for transportation.