70 S T A T. ]
Public Law 520
155
PUBLIC LAW 520-MAY 14, 1956
CHAPTER 268
AN ACT To amend the Act of July 4, 1955, relating to the constrnotion of irrigation distribution systems.
May 14, 1956 [H. R. 8535]
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 3 tiibutio/sysremuT of the Act of July 4, 1955 (69 Stat. 245) is hereby amended to read 43 USC 42ic. as follows: "SEC. 3. The Secretary shall require, as conditions to any such loan, lo^"^^*^**"' "' that the borrower contribute in money or materials, labor, lands, or interests in land, computed at their reasonable value, a portion, not in excess of 10 per centum, of the construction cost of the distribution system (including all costs of acquiring lands and interests in land), that the plans for the system be in accord with sound engineering practices and be such as will achieve the purposes for which the system was authorized, and that the borrower agree to account in full in regard to all disbursements of borrowed funds and to return at once for application toward amortization of the loan all funds which are a d not expended in the construction of the distribution system. Prior to to LU. nS. transfers the consummation of any loan under this Act, the borrower shall also be required to transfer to the Xinited States any lands or interests in land which it then holds and which the Secretary finds are required for the construction, operation, and maintenance of the distribution system and to agree to transfer to the United States any lands or interests in land which it may" thereafter acquire and which the Secretar}' may find are required for this purpose and distribution works constructed, in whole or in part, with moneys lent under this Act for the construction thereof. Title to all such lands, interests in land and distribution works shall remain in the United States until the loan is repaid. Every organization contracting for repayment of a loan under this Act shall operate and maintain its distribution works in conformity with reasonable contractual requirements determined to be appropriate for the protection of the United States. When full repayment has been made to the United States, the Secretary shall relinquish all claims under said contracts and shall retransfer to the borrower title to the works and all lands and interests in land which were transferred by it to the United States. The head of any depart- Right »-of-way« ment or agency of the Government within whose administrative jurisdiction are lands owned by the United States the use of which is reasonably necessary for the construction, operation, and maintenance of distribution works under this Act may grant to a borrower or prospective borrower under this Act revocable permission for the use thereof in like manner as under the Acts of March 3, 1891, secs. 18-21. 26 Stat. 1101, as amended (43 U.S.C. secs. 946-949), January 21, 1895^ 28 Stat. 635, as amended (43 U.S.C. sec. 956), February 15, 1901, 31 Stat. 790, as amended (16 U.S.C. secs. 79, 522, 43 U.S.C. sec. 959), February 1, 1905, 33 Stat. 628 (16 U.S.C. sec. 524), March 1, 1921,41 Stat. 1194 (43 U.S.C. sec. 950), May 9, 1941, 55 Stat. 183 (43 U.S.C. sec. 931a), July 24, 1946, sec. 7, 60 Stat. 643, as amended (43 U.S.C. sec. 931b), May 31, 1947, 61 Stat. 124 (38 U.S.C. sec. H i), February 5, 1948, 62 Stat. 17 (25 U.S.C. secs. 323-328), or September 3, 1954, 68 Stat. 1146 (43 U.S.C. secs. 931c-931d), or any other similar Act which is applicable to the lands involved: Provided, That no Restrictions. such permission shall be granted in the case of lands being administered for national park, national monument, or wildlife purposes. No benefits or privileges under the Federal reclamation laws, including repayment provisions, shall be denied an irrigation distribution system
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