the Coastal Plain.45 A water contract was necessary to enable the district to utilize the electric energy allocated to it.

Accordingly, a water delivery contract was executed with the Metropolitan Water District on April 24, 1930, immediately preceding the execution of its power contract. This water agreement had been preceded by a compromise among the various California claimants to Colorado River water on February 21, 1930, whereby the Metropolitan Water District had been allocated a total of 1,100,000 acre-feet. The amount fixed in the Federal contract was 1,050,000 acre-feet, to provide a margin against further demands from the California Coastal Plain on behalf of cities not members of the Metropolitan Water District.

The Metropolitan water contract was subsequently amended to accord with a further agreement among the California claimants as pointed out below.

Negotiations between the department and the Imperial Irrigation District upon the All-American Canal contract meanwhile proceeded,46 feet high, for installation in the intake towers, and will ask for bids on furnishing generators for the power plant early in 1933.

In January, 1932, a contract for furnishing 380,000 barrels of cement was awarded to the Riverside Cement Co., California Portland Cement Co., Southwestern Portland Cement Co., and Monolith Portland Cement Co., all of Southern California, the four companies acting jointly. This was the first purchase of cement for the dam, power plant, and appurtenant works, which will require about 5,500,000 barrels. A second purchase of 400,000 barrels was made in September, 1932, of which amount the four California companies furnished 332,500 barrels and the Union Portland Cement Co., of Denver, Colo., 67,500 barrels.

Materials entering into the permanent works, such as cement, lumber (not including lumber for forms), reinforcing steel, pipe, gates and valves, structural steel, machinery, etc., are being purchased by the Government after appropriate advertising and competitive bidding. All major purchases are made through the Chief Engineer's Office, United States Customhouse, Denver, Colo., where the main purchasing office of the Bureau of Reclamation is located. Equipment, materials, and supplies required in the construction plant and camp and in the incidental operations of the contractors are purchased by the contractors.

Contract for 150-ton permanent cableway was awarded in October, 1932, to the Lidgerwood Manufacturing Company of Elizabeth, N. J.

45 The proposal to build an aqueduct to the Colorado River for augmenting the water supply of the Coastal Plain was first brought forward by Chief Engineer William Mulholland, of the Los Angeles Department of Water and Power, and much of the early work was done under the supervision of Mr. Mulholland his associates, H. A. Van Norman, E. F. Scattergood, and W. B. Mathews.

46 The present plans for the All-American Canal are based upon the surveys and report of Homer J. Gault, Engineer of the Bureau of Reclamation.

and during such negotiations the necessity for a more definite division of the California water became manifest.

The agreement of February 21, 1930, among the Metropolitan Water District, the Imperial Irrigation District, the Coachella Valley County Water District, and the Palo Verde Irrigation District had made no division individually among these agencies but had allocated the water available to California by "agricultural" and coastal plain" groups, paralleling in this respect the Colorado River compact.

The allocation gave the first 3,850,000 acre-feet of water to the "agricultural group;" next, 550,000 acre-feet to the Metropolitan Water District; third, 550,000 acre-feet to the Metropolitan Water District; and, finally "all water in river available for California use in excess of above 4,950,000 acre-feet per annum" to the agricultural group.

In negotiating the All-American Canal contract it became apparent that, inasmuch as the Palo Verde Irrigation District would not be a party to that contract, a subdivision within the agricultural group would be necessary; meanwhile the City of San Diego had presented an application for a water contract.

The Seven-Party Water Agreement of 1931.

Accordingly, on November 5, 1930, the Secretary addressed the Imperial Irrigation District, and all other agencies who might contract with the United States, requesting that they ask the cooperation of the State of California in effecting an allocation which they could join in recommending to the Secretary of the Interior. From November 5, 1930, until August 18, 1931, a series of conferences was held under the chairmanship of Mr. Ed. C. Hyatt, State engineer of California. By August of 1930 the differences between the parties had been reduced to points touching on the terms of their proposed water contracts with the United States, and representatives of the Interior Department were asked to participate. Messrs. Northcutt Ely, E. B. Debler, and Richard J. Coffey attended for the United States. On August 18, 1931, an agreement was reached, and was subsequently recommended to the Secretary by Mr. Hyatt, State en

gineer, with the approval of the State division of water resources.47 Its principal provisions follow:

"The waters of the Colorado River available for use within the State of California under the Colorado River compact and the Boulder Canyon project act shall be apportioned to the respective interests below named and in amounts and with priorities therein named and set forth, as follows:

"SECTION 1. A first priority to Palo Verde Irrigation District for beneficial use exclusively upon lands in said district as it now exists and upon lands between said district and the Colorado River, aggregating (within and without said district) a gross area of 104,500 acres, such waters as may be required by said lands.

"SEC. 2. A second priority to Yuma project of the United States Bureau of Reclamation for beneficial use upon not exceeding a gross area of 25,000 acres of land located in said project in California such waters as may be required by said lands.

"SEC. 3. A third priority (a) to Imperial Irrigation District and other lands under or that will be served from the All-American Canal in Imperial and Coachella Valleys, and (b) to Palo Verde Irrigation District for use exclusively on 16,000 acres in that area known as the Lower Palo Verde Mesa, adjacent to Palo Verde Irrigation District, for beneficial consumptive use, 3,850,000 acre-feet of water per annum less the beneficial consumptive use under the priorities designated in sections 1 and 2 above. The rights designated (a) and (b) in this section are equal in priority. The total beneficial consumptive use under priorities stated in sections 1, 2, and 3 of this article shall not exceed 3,850,000 acre-feet of water per annum.

"SEC. 4. A fourth priority to the Metropolitan Water District of Southern California and/or the City of Los Angeles, for beneficial consumptive use, by themselves and/or others, on the Coastal Plain of Southern California, 550,000 acre-feet of water per annum.

"SEC. 5. A fifth priority (a) to the Metropolitan Water District of Southern California and/or the City of Los Angeles, for beneficial consumptive use, by themselves and/or others, on the Coastal Plain of Southern California, 550,000 acre-feet of water per annum and (b) to the City of San Diego and/or County of San Diego, for beneficial

47 The seven-party water agreement was executed for the Palo Verde Irrigation District by Ed. J. Williams and Arvin B. Shaw, jr.; for the Imperial Irrigation District by Mark Rose, Charles L. Childers, and M. J. Dowd; for the Coachella Valley County Water District by Thomas C. Yager and Robbins Russel; for the Metropolitan Water District of Southern California by W. B. Matthews and C. C. Elder; for the City of Los Angeles by W. W. Hurlbut and C. A. Davis; for the City of San Diego by C. L. Byers and H. N. Savage; for the County of San Diego by H. N. Savage and C. L. Byers.

State Engineer Hyatt was assisted by Mr. Conkling.

consumptive use, 112,000 acre-feet of water per annum. The rights designated (a) and (b) in this section are equal in priority.

"SEC. 6. A sixth priority (a) to Imperial Irrigation District and other lands under or that will be served from the All-American Canal in Imperial and Coachella Valleys, and (b) to Palo Verde Irrigation District for use exclusively on 16,000 acres in that area known as the Lower Palo Verde Mesa, adjacent to Palo Verde Irrigation District, for beneficial consumptive use, 300,000 acre-feet of water per annum. The rights designated (a) and (b) in this section are equal in priority. "SEC. 7. A seventh priority of all remaining water available for use within California, for agricultural use in the Colorado River Basin in California, as said basin is designated on Map No. 23000 of the Department of the Interior, Bureau of Reclamation.

"SEC. 8. So far as the rights of the allottees named above are concerned, the Metropolitan Water District of Southern California and/or the City of Los Angeles shall have the exclusive right to withdraw and divert into its aqueduct any water in Boulder Canyon Reservoir accumulated to the individual credit of said district and/or said city (not exceeding at any one time 4,750,000 acre-feet in the aggregate) by reason of reduced diversions by said district and/or said city; Provided, that accumulations shall be subject to such conditions as to accumulation, retention, release, and withdrawal as the Secretary of the Interior may from time to time prescribe in his discretion, and his determination thereof shall be final; Provided further, that the United States of America reserves the right to make similar arrangements with users in other States without distinction in priority, and to determine the correlative relations between said district and/or said city and such users resulting therefrom.

"SEC. 9. In addition, so far as the rights of the allottees named above are concerned, the City of San Diego and/or County of San Diego shall have the exclusive right to withdraw and divert into an aqueduct any water in Boulder Canyon Reservoir accumulated to the individual credit of said city and/or said county (not exceeding at any one time 250,000 acre-feet in the aggregate) by reason of reduced diversions by said city and/or said county; Provided, that accumulations shall be subject to such conditions as to accumulations, retention, release, and withdrawal as the Secretary of the Interior may from time to time prescribe in his discretion, and his determination thereof shall be final; Provided further, that the United States of America reserves the right to make similar arrangements with users in other States without distinction in priority, and to determine the correlative relations between the said city and/or said county and such users resulting therefrom.

"SEC. 10. In no event shall the amounts allotted in this agreement to the Metropolitan Water District of Southern California and/or the City of Los Angeles be increased on account of inclusion of a supply

(

for both said district and said city, and either or both may use said apportionments as may be agreed by and between said district and said city.

"SEC. 11. In no event shall the amounts allotted in this agreement to the City of San Diego and/or to the County of San Diego be increased on account of inclusion of a supply for both said city and said county, and either or both may use said apportionments as may be agreed by and between said city and said county.

"SEC. 12. The priorities herein before set forth shall be in no wise affected by the relative dates of water contracts executed by the Secretary of the Interior with the various parties."

This agreement was ratified by all of its parties unconditionally, except the Palo Verde Irrigation District. That district attached certain conditions to its ratification which were subsequently approved by the other parties, and on September 28, 1931, the Secretary of the Interior promulgated amended regulations which incorporated the agreement, with Palo Verde's reservation. The substance of the so-called seven-party water agreement was thus adopted as a uniform water-allocation clause to be utilized in all California water contracts. Concurrently, by virtue of the State's approval, it became an allocation by the State. By this quadruple process of agreement, allocation by the State, promulgation of regulations by the Secretary, and incorporation of an identical clause in separate contracts with the United States, the claims of the various parties were placed on an assured basis.

The water contract with the Metropolitan Water District was amended on the same date and it appears in the appendix in final form.

The All-American Canal contract.

The conclusion of the seven-party water agreement made possible the completion of drafting of the All-American Canal contract. That contract, designed to carry out the third objective of the Boulder Canyon project act, was reduced to final form on October 3, 1931. In brief, its form is that of a contract between the United States and the Imperial Irrigation District, obligating the latter to repay the cost of a canal to be constructed by the United States connecting the Imperial and Coachella Valleys in California with the Colorado River. The total cost is limited to $38,500,000 to be payable in 48 annual installments.

The proposed system would start with a new diversion dam, the Imperial Dam, to be built across the Colorado River about 5 miles