This work is being carried forward in complete accordance with the plans of the Army Corps of Engineers and with full participation by our county and State government. Because this particular part of this more than $40 million project could not wait-and I have distrib uted to you, Mr. Chairman, and members of the committee a photograph showing the bad condition of the beach there that makes this

an emergency.

The people of Bal Harbour have pledged future tax collections for a revenue bond issue to proceed with the work.

As you know, the 10-mile stretch of ocean front from the Bakers Haulover Inlet north of Bal Harbour to the Government Cut south of Miami Beach has upon it perhaps the largest investment in resort hotels and apartment buildings of any 10-mile strip of land in the world. The beach, south of the inlet, has gradually eroded and has left this enormous investment in property highly vulnerable to the threat of hurricane winds and waves.

Your committee has recognized the need for Federal participation in the restoration of the beach as a natural barrier against the stormdriven waves that could collapse the existing seawalls and wreak hundreds of millions of dollars worth of property damage.

Unfortunately, the project has been delayed by the number of jurisdictions and interests involved, and especially by the problem of publie versus private ownership of the beach, which has now been resolved by our State legislature and new State constitution and which has caused the Corps of Engineers to delay making a request for funding of the project as a means of bringing Federal pressure to bear to assure public access to the restored beach,

Now these problems have been resolved and the Congress appropriated for fiscal 1973 the sum of $100,000 for the advance engineering and design work on the entire project. Unfortunately, the President saw fit to impound these funds. He has indicated, however, that he intends to release them in fiscal 1974 and he has asked that we appropriate an additional $50,000 for this engineering work in the fiscal year beginning July 1. It is my hope that we will appropriate yet another $50,000 to bring up to $200,000 the amount which would be available for fiscal 1974, since $200,000 is the Corps of Engineers' full capability for the next fiscal year.

The Bal Harbour part of the project could not wait, however-as all the parties involved agree. It was necessary for them to go ahead with the design and construction work that is now underway on the 1-mile strip immediately below the inlet-which, as you know, blocks the littoral drift of sand which would naturally help to replenish the beaches to the south as they are naturally eroded by the action of the waves.

It is only proper and just that we provide for the reimbursement of the village of Bal Harbour as the rest of the project goes forward with Federal participation.

Since the Federal share of the Bal Harbour part of the project is $2.2 million, it is not possible for the Corps of Engineers to commit the Federal Government to reimburse. Section 215 of the Flood Control Act of 1968-Public Law 90-483-limits the Secretary of the Army to authorizing reimbursements up to $1 million. It was anticipated, however, when this section 215 was adopted, that the Con

gress would continue to handle other reimbursement situations and authorize reimbursements larger than $1 million.

In his letter to the speaker transmitting the proposed section 215 legislation, Secretary of the Army Stanley R. Resor stated:

A limit of $1 million was proposed for any single project, subject to specific advance agreement on plans with the Chief of Engineers and subject to his review, supervision and approval. I suggested further that appropriation of up to $10 million be authorized for reimbursement in any one fiscal year. Reimbursement for non-Federal advance expenditures in excess of $1 million should continue to be authorized specifically by law, after consideration of a report to be submitted by the Chief of Engineers, through the Secretary of the Army. Now, Mr. Chairman, I am informed that conversations have already been held between your committee staff and the representatives of the Corps of Engineers. Your staff has been informed that the Corps of Engineers is engaged in the preparation of this report, and I anticipate that if it has not already been received it will be received at a very early date by your committee and I anticipate it will be a report approving this proposal.

Secretary Resor's letter was included in the report for the legislation authorizing section 215 and it was noted in the report that this provision-which was designed to handle small reimbursements without specific congressional action-was in response to the recommendation of the Corps and the Department of the Army.

What we are asking, therefore. Mr. Chairman, is the kind of action which the Congress has taken in the past: for example, in the Orange County, Calif., case. (H. Doc. No. 602, 87th Congress), where there was a specific authorization of reimbursement of an estimated $2,845,000 under Public Law 87-874.

I urge the favorable action of this committee on our request.

And, in closing, I wish to request correction of a typographical error in my bill.

My bill. Mr. Chairman, on page 1. says that we propose to amend section 103. It should be 203, and I would appreciate it if the committee will kindly correct that error.

The section to be amended is 203 rather than 103.

It is section 203 of the Flood Control Act of 1968 which authorized the Dade County, Fla., beach erosion control and hurricane protection project. We will be most grateful if the committee will amend that section and let it be granted your favorable recommendation upon this needed enterprise that the city is willing to initiate, and just so it is assured that it will get its Federal share of the money back.

Mr. ROBERTS. As I understand the bill, the Federal and local share of the cost on construction and maintenance would be the same as authorized in the project. The only change is that the local interests could do the construction.

Mr. PEPPER. That is right.

Mr. ROBERTS. And the maintenance would be reimbursed.

Mr. PEPPER. That is right. And everything would be in accordance with the plan of the Corps of Engineers.

Mr. ROBERTS. Insofar as possible, and that is the point I wanted to bring up, but you anticipated the question.

If there is any deviation from it, you understand, there would not be reimbursement.

Mr. PEPPER. We understand that.

Mr. ROBERTS. Then let's say you have to do something else, and maybe you will get 80 percent or 70 percent, and you know if you get 70 percent reimbursement on your claim, you are pretty lucky. And we just want you to know that.

Mr. PEPPER. We understand, and we are working in closest cooperation with the Corps.

Mr. ROBERTS. I see nothing wrong with your request at all. We run into this and, of course, you do the same thing in your committee. How many other claims do you have?

People say. "Well, you did it for Bal Harbour," and will ask us to go back and reimburse them.

Claude, you go ahead and introduce anybody you wish.

Mr. PEPPER. This is an emergency. This is the worst part of the beach, Mr. Chairman, and this city can raise the money and the Corps of Engineers will report favorably upon it and it will enable part of this project to be built, and all we need is the promise for it to be reimbursed.

Mr. ROBERTS. I will be down there in August.

Mr. PEPPER. This is Mayor Printup, the distinguished mayor of the Bal Harbour Village, and I am sure he would like to make a brief statement.

Mr. ROBERTS. Yes, Mavor.

Mr. PRINTUP. Mr. Chairman and distinguished members of the subcommittee, true to its reputation as America's major resort area. Miami Beach graciously hosted both national political conventions in the summer of 1972. Most of you gentlemen were present at these significant events in American history.

If you were able to take time from your busy schedules for a moment of relaxation on the beach, you were most likely surprised to see firsthand the startling fact that there was no beach left on Miami Beach. The forces of erosion have removed our most important assetour beach-the backbone of our economy.

As early as 1962, the Congress of the United States recognized our need and approved a study by the U.S. Army Corps of Engineers of this beach loss. The Congress acted in 1968 approving Public Law 90-483 authorizing a Federal public works project to restore 10 miles of seriously eroded ocean front. But for lack of funding, this project is no more a reality today than it was 11 years ago. The northern stretch of the beach, at Bal Harbour, is in extremely serious condition. Ocean waves pound directly against the seawalls of our ocean front hotels and apartments. We have some of the most highly developed ocean front property in the world. The potential wave damage during a storm or hurricane could reach tens of millions of dollars. Our need is such that we must act now.

Three years ago the citizens of Bal Harbour determined that with or without the restoration of the total beach, we must act to restore our section. In 1968, the city levied a special tax to pay for our portion of the project and sought permission from the U.S. Army Corps of Engineers to build our portion of the project ourselves.

This permission was obtained. The city hired engineers specializing in erosion control to formulate plans in accordance with Federal requirements. Our plans have received the approval of the Chief of Engineers as being in compliance with Federal specifications for the overall Public Works project.

In the last several years, the city has worked diligently to obtain the cooperation and financial support of the State of Florida and Metro Dade County. We have been assured of the following funds: $750,000 from the State of Florida and approximately $400,000 from Metro Dade County. Nearly $1.5 million has been appropriated by our city of Bal Harbour through the special tax. The proportion of Federal funds for this project is approximately 60 percent of sharable costs or about $2.2 million. Because of the urgency of our need, the city will borrow the Federal share of the cost of this project with the hope that we will receive reimbursement upon completion of the work.

H.R. 7432, submitted by our most able friend, Hon. Claude Pepper, authorizing local interests to proceed with the necessary first mile of the work, and allows for future reimbursement of the approved work in accordance with Federal law.

Gentlemen, we sincerely need your help, and we respectfully ask for your approval.

Thank you very much.

Mr. ROBERTS. Thank you very much for a very succinct and the shortest statement I think I have ever had before this committee and I appreciate it.

Mr. PRINTUP. Thank you.

Mr. PEPPER. Mr. Chairman, the able city manager is here. We do not want to impose on you. You have been kind enough to hear us. If you want to ask any question, he has handled all the details of it. He is thoroughly informed, if you wish to ask him any questions.

Mr. ROBERTS. Well, I am glad to have here Mr. Skip Bafalis and I will let him lead off, because he is also working on beach erosion projects.

Mr. BAFALIS. I am sorry I am late, but we have a committee meeting downstairs, and when you called I came on up.

I am delighted to have my colleague from Florida here, and the officials from down in Dade County, and, as you know, from previous statements that have been made by me and the support by you, we are very concerned about overall beach erosion problems. We are hopefully going to be looking at, in addition to this project, to a project that is going to take local, State, and Federal participation throughout he Nation to correct our problems.

I just want to add my support to the statement that was made by the mayor. We hope we can help you people.

Mr. ROBERTS. Mr. Breaux from Louisiana.

Mr. BREAUX. Thank you, Mr. Roberts, and Mr. Pepper, for your fine statement.

Mr. PEPPER. Thank you.

Mr. BREAUX. I represent the coastal area of Louisiana. Unfortunately, we do not have hotels and motels, but just oil wells. We do have the same problem you are experiencing with beach erosion, however.

What type of special tax was levied to raise the necessary type funds?

Mr. MALEY. It is a 2 percent resort tax on hotels, motels, food, and beverages.

Mr. BREAUX. Thank you very much.

Mr. PEPPER They have accumulated money, and they have it available.

Mr. ROBERTS. Mr. Pepper, do you see that the construction of this advance section would have any effect on the prospect of getting the whole project approved and under construction?

Mr. PEPPER. On the contrary, Mr. Chairman. I think this will be the beginning of it, and it will show such a benefit-it is to be 200 feet wide, I believe. Two hundred feet of beach to be built out from the shore, and all the surrounding people are agreeable. There is no objection from them and it will show-give the engineers a chance, probably, to show that their plan actually works. Probably, I think it will accelerate the rest of the plan.

Mr. ROBERTS. You make a very fine statement.

Mr. Breaux.

Mr. BREAUX. One question.

The money that the city will be borrowing, I assume, will be from private financial sources?

Mr. PRINTUP. Yes.

Mr. BREAUX. Now, the interest to be paid on the money will not be reimbursed, just the principle?

Mr. PRINTUP. We must have the money before we can go on the second phase of the project. We have a jetty in formation now of 800 feet, and without that we would be foolish to put another dollar into sand.

Mr. BREAUX. Now, the money you are borrowing—

Mr. PEPPER. Just the principle.

Mr. ROBERTS. Thank you.

Our next witness is Hon. Caldwell Butler from Virginia.
Mr. Butler, we are delighted to have you.

Would you present your additional witnesses and proceed as you

wish.

BUENA VISTA (JAMES RIVER BASIN), VA.

STATEMENT OF HON. M. CALDWELL BUTLER, A REPRESENTATIVE IN CONGRESS FROM THE STATE OF VIRGINIA; ACCOMPANIED BY HON. SHULER A. KIZER, MAYOR OF BUENA VISTA, VA.; AND W. P. RAMSEY, FORMER MAYOR OF BUENA VISTA

Mr. BUTLER. Mr. Chairman, and members of the committee, thank you very much for the opportunity to appear here in support of the Buena Vista flood control project, which is on the Maury River in the Sixth District of Virginia which, by coincidence, I represent.

We have had extensive flood damage in this area in the past, in 1969 close to $14 million worth of damage was done by Hurricane Camille. The project which we ask you to support today will cost approximately $11 million in Federal funds. It has been previously approved. It was in the legislation passed last year which the President did not support.

The project now before you has the support of the administration and the State of Virginia. There is no opposition to it, and we think it is extremely important to our area, to the city of Buena Vista, that this project proceed.

Inasmuch as my statement has been filed with the committee, I will not go into any further detail, except to express to you that there is no opposition to it and to make you aware of the extensive representation of the city of Buena Vista here today.