Appraisal Report Central Arizona Project

Document: "Appraisal Report Central Arizona Project-Chapter V", January 1962, page 64project cost allocation is shown in table 11. Repayment required--As shown on table 12, the costs of the Central Arizona Project are allocated to irrigation, commercial power, municipal and industrial water service, flood control, fish and wildlife purposes, and recreation. The costs allocated to irrigation, municipal and industrial water service, and commercial power, are considered reimbursable and to be repaid. Repayment of water service facility costs has been computed in this study on the basis of average annual deliveries which reflect the conversion of some present agricultural supplies to municipal and industrial uses. In view of the existing ground-water overdraft conditions, full use of import supplies is assumed at the start of project water operations. These average annual deliveries, over a 50-year period, are 814,000 acre-feet and 256,000 acre-feet for irrigation and municipal and undustrial uses, respectively. The sale of all commercial power produced is also assumed to begin upon completion of all the power facilities, since the demand for power in the market area will exceed the available supply at that time. The investments allocated to the remaining functions are considered to be national responsibilities and are, therefore, nonreimbursable. Also returnable through revenues are interest charges on the investments allocated to the commercial power and municipal and industrial water service functions. Charges for interest during construction on the investments allocated to commercial power and municipal and industrial water use for the Central Arizona Proect must also be repaid. Summary of cost allocation and possible repayment--Table 12 shows the estimated revenues, by years, which could result from the operation of the Central Arizona Project as described in this report. The table also shows 64Epson Perfection 4870 Photo, 400 dpi, 8 bit, 1,218,980 byte