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2 referred to as the reclamation law: Provided, however, That the said Secretary shall so fix annual installments as to provide for complete repayment to the United States of the total construction, operation, and maintenance charges within twenty years from and after the completion of said canals and appurtenant structures. Sec. 2. That the Secretary of the Interior is empowered to receive applications for the right to use for the generation of electrical power portions of the water discharged from said reservoir and available for the generation of electrical power at said dam, and, after full hearing of all concerned, to allocate to such applicants such portions of such power privileges as in his judgment may be consistent with an equitable distribution thereof among the various interested States and among the various interested communities in each State. Subject to such distribution the said Secretary shall give preference to applications made by political subdivisions, provided the plans for the same are deemed by said Secretary equally well adapted, or shall within a reasonable time to be fixed by the said Secretary be, made equally well adapted, to utilize such power privileges in the public interest; and as between other applicants he may give preference to the applicant the plans of which he finds and determines are best adapted to utilize such power privileges in the public interest, if he be satisfied as to the ability of the applicant to carry out such plans: Provided, however, That no application of a political subdivision for an allocation of power privileges, shall be denied or another application in conflict therewith be granted on the ground that the bond issue of such political subdivision, necessary to enable, the applicant to. utilize the allocation of power privileges applied for, has not been authorized or marketed, until after a reasonable opportunity has been given to such applicant to have such bond issue authorized and marketed. Sec. 3. That the said Secretary is authorized to make leases of the power privileges so allocated, limited to fifty years, on such terms and under such general regulations as he may prescribe, and to fix what he may find to be a reasonable compensation therefor: Provided, That the compensation to be paid by each allottee shall include the payment to the United States of one-half: of the total rentals prescribed by the said Secretary for the allotment, in five equal annual installments, of which the first one shall be paid within one year after such allotment and upon execution of the lease therefor, and one each year thereafter for four successive years. Upon or after the expiration of any such lease, or renewal thereof, the United States may take over the property of the lessee which is dependent for its usefulness upon the continuation of' the lease, and if it shall do so shall pay to the lessee its net investment in the property taken, not exceeding the fair value thereof at the time it is so taken, with reasonable severance damages to property of the lessee not taken. Such net investment or fair value and damages, if not agreed upon, shall be fixed by a proceeding in equity in the district court of the United States in the district in which such property, or some part thereof, is situated. If the United States does not exercise its right to take over such property, the Secretary of the Interior may renew the said lease for not more than fifty years, or, in his discretion, may make a lease under the terms hereof to a new lessee, upon the condition that such new lessee shall pay to the former lessee such net investment and damages determined as aforesaid. If such property is not taken over by the United States, or such new lessee, or such lease renewed, the said Secretary shall extend such lease from year to year until such property is so taken over or such lease renewed. Compensation for leases, renewals, extensions, and, new leases shall be fixed with a view to the United States receiving such payments and revenue therefrom as with the payments and revenue from rights disposed of under section 4 hereof, will cover all expenses of operating and maintaining the said dam and incidental works, and in addition thereto reimburse the United States for the entire cost of such dam and incidental works, including the acquisition of necessary lands and rights of way for said reservoir and incidental works, together with interest at the rate of 4 per centum per annum, within a period of not to exceed 50 years from completion thereof. Sec. 4. That any such political subdivision, instead of entering into a lease, may, as the consideration for such power privileges as may be allocated to it as above provided, pay to the United States in annual installments, during such period not exceeding 25 years as may be agreed upon, a total sum which shall bear the same proportion to the cost of constructing such dam and incidental works and acquiring lands and rights of way for said reservoir

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