842 Vol. 41, p. 1067 ; U.S.C.,p.696. Preferences in issuing preliminary per mi ts or licenses . Development of wa- ter resources by United States . Vol. 41, p. 1068 ; U.S.C.,p.697. Licenses, conditions of. Adap tabili ty of proj- ect to comprehensive plan. Modi ficati on of proj . ect . Alte ration of ap- proved project works
app rov al req uir ed . Maintenance of proj- ect works . Depreciat ion re- serves . Liab ility of license e for damages. 74rx CONGRESS . SESS. I. CH. 687. AUGUST 26, 1935 . SEC . 205 . Section 7 of the Federal Water Power Act, as amended, is amended to read as follows "SEC. 7. (a) In issuing preliminary permits hereunder or licenses where no preliminary permit has been issued and in issuing licenses to new licensees under section 15 hereof the Commission shall give pre ferenc e to a pplica tions theref or by States and m unicip alitie s, pro vided the plan s for the same are d eemed by the Commission equally well adapted, or shall within a reasonable time to be fixed by the Commission be made equally well adapted, to conserve and utilize in the public interest the water resources of the region ; and as between other applicants, the Commission may give preference to the applicant the plans of which it finds and determines are best adapted to develop, conserve, and utilize in the public interest the water resources of the region, if it be satisfied as to the ability of the applicant to carry out such plans . "(b) Whenever, in the judgment of the Commission, the develop- ment of any water resources for public purposes should be under- taken by the United States itself, the Commission shall not approve any application for any project affecting such development, but shall cause to be made such examinations, surveys, reports, plans, and estimates of the cost of the proposed development as it may find necessary, and shall submit its findings to Congress with such recommendations as it may find appropriate concerning such dev elopm ent ." SEC . 206. Section 10 of the Federal Water Power Act, as amended, is amended to read as follows " SEC. 10. All licenses issued under this Part shall be on the following conditions "(a) That the project adopted, including the maps, plans, and specifications, shall be such as in the judgment of the Commission will be best adapted to a comprehensive plan for improving or developing a waterway or waterways for the use or benefit of interstate or for- ei gn com merce, for t he imp roveme nt and utili zation of wa ter-po wer development, and for other beneficial public uses, including recrea- tional purposes ; and if necessary in order to secure such plan the Commission shall have authority to require the modification of any project and of the plans and specifications of the project works before approval . "(b) That except when emergency shall require for the protection of navigation, life, health, or property, no substantial alteration or addition not in conformity with the approved plans shall be made to any d am or other project works cons tructed hereunder of an installed capacity in excess of one hundred horsepower without the prior approval of the Commission ; and any emergency alteration or addition so made shall thereafter be subject to such modification and change as the Commission may direct . "(c ) That the licensee shall maintain the project works in a condi- tion of repair adequate for the purposes of navigation and for the efficient operation of said works in the development and transmission of power, shall make all necessary renewals and replacements, shall establish and maintain adequate depreciation reserves for such pur- poses, shall so maintain and operate said works as not to impair navigation, and shall conform to such rules and regulations as the Commission may from time to time prescribe for the protection of life, health, and property . Each licensee hereunder shall be liable for all damages occasioned to the property of others by the construc- tion, maintenance, or operation of the project works or of the works appurtenant or accessory thereto, constructed under the license, and in no event shall the United States be liable therefor .
