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we don't think it would be comprehensive if it omitted Denver, which is the largest single economic unit in the upper basin.

Senator ANDERSON. Thank you very much.

Thank you, Mr. Sullivan.

Senator WATKINS. Thank you.

Mr. PETRY. Mr. Chairman, I would like to introduce Mr. Armin Barney, president of the Colorado Springs National Bank and chairman of the Colorado Springs Water Resources Committee.

STATEMENT OF ARMIN BARNEY, PRESIDENT, COLORADO SPRINGS NATIONAL BANK, AND CHAIRMAN, COLORADO SPRINGS WATER RESOURCES COMMITTEE, COLORADO SPRINGS, COLO.

Mr. BARNEY. Mr. Chairman and gentlemen, I have a very brief statement.

What has been said here of Denver applies with equal or greater force to the city of Colorado Springs. While Colorado Springs lies 75 miles to the south of Denver, the geography of the country is such that coordination of the efforts of the two cities in the development of the Continental Divide waters available for them is necessary.

As of this moment, Colorado Springs would be in a desperate situation for water were it not for the cooperation she has received from Denver which has rented capacity in Denver's water storage system to Colorado Springs, and has permitted Colorado Springs to add to that storage system, creating that temporary means of meeting an emergency which will tide Colorado Springs over until she can create the permanent adequate water supply system which is now partly under construction.

Colorado Springs has works which contemplate diversion of water from the Blue River at altitudes such that these diversions can never exceed 20,000 acre-feet on an average. The long-time supply must necessarily look to diversions from lower altitudes and a tie-in with the long tunnel which has been discussed here, with exchanges of Platte River water upstream to elevations where Colorado Springs can take advantage of it through further cooperation on the part of the city of Denver.

This sharing of a common natural resource for which the two cities are in a competitive position, could not be developed in this cooperative way were it not that the utmost harmony exists between the people of these two cities and their public officials. This situation is of long standing, and may be expected to continue. There is continuous social intercourse between these two cities, and each has much to give to the development of the other.

We wish to give assurance that whatever is done here toward the immediate development of the Blue River project of Denver will be of great benefit to Colorado Springs and will make it that much easier for our city to make progress in the development of its own water

resources.

Thank you very much.

Senator WATKINS. Thank you, Mr. Barney.

Senator ANDERSON. Could I break in here to ask Mr. Will a question?

The statement Mr. Saunders made and I think we ought to clear this point up before we finish with the Denver people-starts off:

The Upper Colorado River Commission, on January 17, 1954, unanimously adopted a resolution to the effect that the Colorado River storage project bill should be revised to include:

(3) The Denver-Blue River diversion as a participating project ** *

Mr. WILL. Yes, sir. That statement is made

Senator ANDERSON. If it bcomes a participating project, then it is eligible for money from these dams.

Mr. WILL. The statement was inartistic, Senator, and not properly descriptive of the situation of the Denver-Blue River diversion.

It is not properly so called a participating project, because it does not participate in the financial assistance to be derived from the power revenues of the holdover storage reservoir.

Senator ANDERSON. May I ask you whether or not you think that there would not need to be a separate paragraph in the bill dealing with this one subject, rather than amending lines 23, 24, and 25 to include this as a participating project?

Mr. WILL. Under the amendments, Senator, that we recommended. to Senator Millikin as chairman of the subcommittee, I believe you will find that we have suggested that this be taken care of by a separate section.

Senator ANDERSON. I am glad to hear that your judgment checks with what I thought about it.

Senator WATKINS. I take it, Senator, that when we go into executive session, the amendments that have been suggested and some that we may think up ourselves will be duly considered, and we will come out with a bill that we hope will cover the situation.

Senator ANDERSON. I have no other questions, if you decide to put it in a separate section. I was a little worried when I read this language, because if you try to add it as a participating project, you probably are going to run into a lot more difficulty than you would if you had a separate paragraph that permitted the credit of the United States Government to be used during the construction period, with Denver paying it out afterward.

Thank you very much.

Mr. PETRY. Mr. Chairman, we have one more witness, but we wish to thank you for letting us appear at the time that you designated, so the rest of the witnesses can leave to catch their plane back to Denver. Our last witness is Mr. Hudson Moore, a member of the board, who has been very active in civic affairs in Denver, and would like to sum up our case before you at this time.

Senator ANDERSON. Senator Watkins and I may have to leave. A vote is scheduled on the Millikin amendment at about 5 or 10 minutes after 4. So if we get up and leave, you will understand no discourtesy is intended.

Mr. MOORE. I am staying over in Washington tonight, sir. If you would like to have me appear tomorrow morning, I would be more than happy to do so.

Senator WATKINS. You can start, and then if we have to leave, you will understand the reason. We would like to finish with as many witnesses as we can today, because we have a crowded calendar for the next 2 days. The two Wyoming witnesses have been here for some time. They were scheduled earlier, but did not arrive in time. We

understand their testimony is not very long, so following your testimony we will attempt to take the two Wyoming witnesses, and then we will come back to the Colorado witnesses.

You may proceed.

STATEMENT OF HUDSON MOORE, JR., MEMBER, DENVER BOARD OF WATER COMMISSIONERS, DENVER, COLO.

Mr. MOORE. Mr. Chairman, my name is Hudson Moore, Jr. I live at 2201 East Alameda Avenue in Denver, Colo. I am a member of the Denver Board of Water Commissioners.

It is my pleasure and honor to briefly summarize and, in 1 or 2 respects, to supplement the information and statements submitted by the other gentlemen from Denver and its metropolitan area who have appeared before you todav.

May I say, sir, in speaking in favor and support of S. 1555, that this is the first time in my life that I have had the opportunity to appear before a committee of such national importance. For this opportunity I am deeply appreciative.

May I add, if no such opportunity ever again should be afforded to me during my lifetime, both I and my associates are equally convinced, without reservation, that no more important or vital problem will confront our community than this one which we are discussing today, this lack of water.

First, may I review some of the interesting and pertinent information that has been submitted to you concerning the characteristics of Denver and its metropolitan area.

It has been pointed out that Denver is primarily a large distribution center, furnishing goods and services to a wide trade area. Denver today is the hub of the wheel of the entire economic growth of the Rocky Mountain region.

Serving this great trade area of 1,000 miles of radius, Denver has experienced a remarkable growth in population. This population trend has been as follows: 1940, 407,000; 1950, 563,000.

The estimated population for the future years is as follows: 1954, 650,000; 1963, 750,000; 1970, 820,000-if we should have water available.

This increase in population from 1940 to 1954 is 65 percent. The present annual increase in population is from 24,000 to 30,000 people per year. This is an increase every 12 months in population, if you please, equal approximately to that of the entire city of Grand Junction, Colo.

Thirty-seven percent of the entire population of the State of Colorado is now served by the Denver municipal water system.

Secondly, this remarkable growth in population has been accompanied by an equally remarkable growth in business. Since 1939, bank clearings in Denver have increased 5 times. Perhaps a doubling of bank clearings might be attributed to the decrease in the purchasing power of the dollar, but the remaining increase of three times is attributable to the increase in physical volume of busineess being done. Sales of electricity have always been looked upon as a sound measure of economic activity. Since 1939, kilowatt-hour sales have increased in Denver 411⁄2 times. In this year alone in Denver, prime office build

ing space is being increased by 50 percent by the erection of 4 major new office buildings, 3 of which each are larger than any existing public office building in Denver today. One of these major buildings, although not yet completed, has fully rented all of its space. Only 35 percent of its rented space represents space being vacated in other buildings, and all of the remaining space is being filled by either firms and businesses moving to Denver who are not now there, or by an expansion of the other tenants moving into the new buildings.

A recent housing development has been announced in Denver to build 6,000 houses in 1 private housing development, providing homes for an additional 24,000 people not now residing in Denver.

Senator WATKINS. The committee will be in recess until 9:30 a. m., Thursday, July 1, 1954.

(Whereupon, a recess was taken at 4: 15 p. m., and it was later announced that the hearing would reconvene at 9:30 a. m., Thursday, July 1, 1954.)

COLORADO RIVER STORAGE PROJECT

THURSDAY, JULY 1, 1954

UNITED STATES SENATE,

SUBCOMMITTEE OF THE COMMITTEE ON

INTERIOR AND INSULAR AFFAIRS,
Washington, D. C.

The subcommittee met, pursuant to recess, at 9:30 a. m. in room 454, Senate Office Building, Washington, D. C., Senator Arthur V. Watkins, Utah, presiding.

Present: Senators Arthur V. Watkins, Utah; Frank A. Barrett, Wyoming; Clinton P. Anderson, New Mexico; and Price Daniel,

Texas.

Present also: Senator Wallace F. Bennett, Utah.

Present also: Elmer K. Nelson, staff consulting engineer, and N. D. McSherry, assistant clerk.

Senator WATKINS. The committee will be in session.

We will resume with the witness who was interrupted when we adjourned yesterday.

STATEMENT OF HUDSON MOORE, JR., MEMBER, DENVER BOARD
OF WATER COMMISSIONERS, DENVER, COLO.-Resumed

Senator WATKINS. Do you have a prepared statement?
Mr. MOORE. No, sir; I do not have. It is not typed up.

Senator WATKINS. Can you not give it to us the way it is? We are getting behind and some people have plane reservations. We have to catch up if we can.

Mr. MOORE. My name is Hudson Moore, Jr. We had reviewed briefly, yesterday, Mr. Chairman, the remarkable increase in growth of the population of Denver and its equally remarkable increase in economic growth as well. In Denver and its metropolitan area is a great concentration of Federal Government employees and military personnel, and an immense investment in Federal Government plant and facilities.

Approximately 100,000 Federal employees and military personnel live and work in this area.

The present value of the investment in Federal installations and facilities in this area is estimated at approximately $400 million, with a great majority of this investment being located outside of the city limits of Denver, but served with water by the Denver municipal system.

These facilities include the Rocky Mountain atomic plant, Lowery Field of the Air Force, Buckley Field of the Navy, Fitzsimmons Army Hospital, Rocky Mountain Arsenal, the Navy Finance Center, the

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