Page 42

Zeutschel OS7000, 400 dpi, 8 bit, 8,955,176 bytesDuring the past summer about 6,500 acres of land were irrigated in the Gila Valley. This could be done, under economical management, with 13,00 acre-feet of water, though more than that was used this year. This leaves a supply of 177,000 acre-feet available for the reclamation of public lands, which would be sufficient to reclaim 58,000 acres. This land it is believed could be readily sold to settlers in tracts of 40 acres or less at $10 per acre with water right, and an annual water rental of $1.50, reserving to the Government the right to increase the rental at such time and in such amount as will be necessary to maintain the works, and secure to it an annual income equal to 4 per cent of its actual investment. Inasmuch as the present irrigators have paid the United States for their lands have an equity in the water right, as shown in a previous portion of this report, it is deemed fair to make no charge for water right to those lands actually irrigated in 1896, but to subject them to the same annual rental as the rest. It should be expressly stipulated that all lands holding water rights should pay the full annual rental every year regardless of whether the lands are cultivated or not, and this payment should be secured by the lands themselves. This would prevent purchase by speculators and others not bona fide cultivators. As soon as the lands were all disposed of, the financial statement would be something like this: Cost of works $2,244,000 Interest two years, at 4 per cent 179,520 Total 2,423,520 Received for lands 580,000 Remaining invested 1,843,520 Annual water rentals 96,750 Annual cost of maintenance 15,000 Net annual income 81,750 This is more than 4 per cent. Allowing 4 per cent, or $73,741, as the legitimate return for the investment, we have remaining a margin of $8,009 to cover failures of collection, to provide for extraordinary repairs, and as a sinking fund to provide facilities for ridding the reservoir of silt when necessary. It is not likely that any further financial provision than this for the maintenance of the reservoir would ever be required. But in case it should, an additional rental of 50 cents per acre on the land irrigated would yield an additional revenue of $32,250 per year, which would be abundant for all possible requirements, and would not be a hardship to the irrigators, as it would not be needed for may years, and the farms would be highly cultivated and improved. Considerable additional revenue might some day be obtained from the sale of water for town use, for which purpose it is more valuable, and by the development of power along the canal for mills, electric lights, etc. These facts make it highly improbable that an increased water rental would ever be necessary, but the reservation of this provision would be a wise safeguard against unforeseen expenses. It is thus seen to be possible to furnish an abundant supply of water to the Pima Reservation without any actual cost to the Government by simply utilizing in a wise manner the natural resources of the country, and at the same time bring to a high state of cultivation a large tract of the public domain now barren