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In addition to the above, the Federal Power Act would be amended to include the following:

16 USC 797(e)

"Provided further, That no license affecting the comprehensive plan of any river basin commission developed pursuant to the Water Resources Planning Act shall be issued until the plans of the dam or other structures affecting such comprehensive plans have been approved by the Secretary

of Natural Resources." Agencies and Functions Not Transferred

A recent research report prepared by the Committee on Natural Resources of the Federal Council for Science and Technology,' summarizes the Federal Government's responsibilities for natural resources under the following headings:

-resources management -construction of public works -establishment of resources policy through legislation -establishment of resources policy through administrative regulations -dissemination of a vast range of information to assist agriculture and

other resource industries -many kinds of research and development Next to expenditures for national defense and for the costs of past wars, the FCST found that activities concerned with natural resources are the largest category in the Federal budget. Although the study conducted by FCST was concerned primarily with Federal research and development activities, its focus on budgetary and manpower aspects resulted in a detailed analysis of overall Federal effort in the natural resources field.

Research and development activities are carried out by eight Departments (Agriculture; Commerce ; Defense ; Health, Education and Welfare; Transportation; Housing and Urban Development; Interior and State). An even larger number of independent commissions and councils are also involved including the Atomic Energy Commission; Federal Aviation Agency; Federal Power Commission; National Science Foundation; Tennessee Valley Authority; Marine Resources and Engineering Development Council; Office of Science and Technology; Water Resources Council; Council of Economic Advisers; Bureau of Budget; Smithsonian Institution; National Academy of Sciences; Appalachian Regional Commission and Delaware River Basin Commission.

Departments and commissions, or segments thereof, identified by the FCST as having research and development functions, which have apparently been excluded from transfer under S. 886, are outlined below.” Energy Resources (p. 34, FCST report)

Department of Defense
Atomic Energy Commission
National Aeronautics and Space Administration
Department of Commerce
National Science Foundation

Tennessee Valley Authority
Biological Resources (p. 51, ibid)

Department of Agriculture (ARS, CSESS, SCS)
Atomic Eenergy Commission
Department of Defense
Department of Health, Education and Welfare (BSS, NIH)
National Science Foundation

Smithsonian Institution
Mineral Resources (p. 76, ibid)

Department of Defense
Department of Agriculture
Atomic Energy Commission
Department of Commerce (BS)
National Science Foundation
Department of Transportation

Tennessee Valley Authority 1 Research and Development on Natural Resources, Office of Science and Technology, Executive Office of the President, May 1963. (A separate task force report on water resources was issued on March 25, 1963, as a Senate Interior Committee print entitled "Federal Water Resources Research Activities").

Slightly modified to account for reorganization of federal activities since 1963,

Air Resources (p. 87, ibid)

Department of Agriculture
Department of Commerce (BS, ES)
Department of Defense (AF, A, N)
Department of Health, Education and Welfare
Atomic Energy Commission
Federal Aviation Agency

National Science Foundation
Water Resources (p. 182, Senate Committee Print)

Department of Agriculture (CSESS, ERS, SCS)
Department of Commerce
Department of Defense
Department of Health, Education and Welfare
Atomic Energy Commission
National Science Foundation

Tennessee Valley Authority Federal resource activities extend beyond our national boundaries. Much of our foreign assistance to developing countries, for example, involves support of both research and action in the resources field. Our Food for Peace program is directed to overcoming world hunger. A task increasingly assumed by the Federal Government is the study and development of marine fisheries and other oceanic resources. Because these functions are international in character, the State Department is necessarily involved in negotiation of resource-oriented treaties.

S. 886 makes no specific reference to these aspects of resource policy and administration.

FEDERAL SPENDING FOR NATURAL RESOURCES

Senator RIBICOFF. Federal expenditures in the field of natural resources totaled $3.2 billion in fiscal 1966, and are estimated at $3.5 billion for fiscal 1968.

We will also include at this point the analysis of natural resource spending from the 1968 budget.

(The excerpt from “The Budget for Fiscal Year 1968” follows:)

EXHIBIT 3

NATURAL RESOURCES

The needs of a growing population and an expanding economy demand careful development and prudent use of our natural resources. The budget recommendations for 1968 are aimed at meeting these demands. They provide for selected increases in those programs most important for preserving our natural heritage and promoting the Nation's economic growth. Payments to the public for the conservation and development of natural resources are estimated at $3.5 billion in fiscal year 1968, an increase of $288 million over 1967.

Land and water resources.--About two-thirds of the estimated outlays for natural resources in 1968 will be for land and water resources programs. Most of these expenditures will be for continuing construction of water resource projects started in previous years and for operating and maintaining completed projects. Many of these projects are multiple-purpose projects, providing electric power, water supply, water quality, fish and wildlife, and recreation benefits as well as serving flood control, navigation, or irrigation purposes.

Because water problems are becoming increasingly critical in various parts of the country, legislation is proposed to establish a National Water Commission. The Commission, working closely with the Water Resources Council, will assess the problems and outline actions to achieve the most efficient use of our water resources.

NATURAL RESOURCES [Fiscal years. In millions)

Program or agency

Payments to the public Recom

mended

new obli1966 1967 1968 gational actual estimate estimate authority

for 1968

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Administrative budget funds:
Land and water resources:

Corps of Engineers.
Department of the Interior:

Bureau of Reclamation.
Power marketing agencies:

Present programs

Proposed legislation for revolving funds.
Federal Water Pollution Control Administration.
Office of Saline Water:

Present programs.

Proposed legislation for desalting plant.
Office of Water Resources Research.
Bureau of Indian Affairs:

Present programs.

Proposed program improvements
Bureau of Land Management and other.
Tennessee Valley Authority.
Soil Conservation Service-watershed projects.
International Boundary and Water Commission.
Federal Power Commission and other...

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Subtotal, land and water resources. Forest resources:

Forest Service

Bureau of Land Management.. Recreational resources:

Bureau of Outdoor Recreation..

National Park Service and other..
Fish and wildlife resources.
Mineral resources:

Bureau of Land Management..

Bureau of Mines and other.
General resource surveys and administration.

Subtotal, administrative budget.
Trust funds (mainly Indian tribal funds)..
Intragovernmental transactions and other adjustments (deduct).

Total...---

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1 Compares with new obligational_authority for 1966 and 1967 as follows: Administrative budget funds: 1966, $3,356,000,000; 1967, $4,526,000,000. Trust funds: 1966. $146,000,000; 1967, $176,000,000.

Water and related power developments.The budget provides for continued investment in the development of the Nation's water and power resources. In order to provide for future needs, new water resources projects are to be started in 1968 and advance planning is to begin for projects to be started in later years. However, in an effort to help prevent inflationary pressures in the economy, ongoing Federal construction projects have been slowed down in the current fiscal year. A small number of new starts is being recommended for 1968.

The budget for 1968 includes $7 million in new obligational authority for the Corps of Engineers to start construction of nine water resources projects costing an estimated $150 million in total. Advance planning will be started on 24 projects. In addition, $3 million is included to begin land acquisition for the Tocks Island Dam and Reservoir project in New Jersey, Pennsylvania, and New York. The budget also provides for programs which improve our basic knowledge about flood hazards and enhance the effectiveness of our flood control efforts.

New obligational authority of $8 million is included for the Bureau of Reclamation to start two projects and to provide loans to finance two new small reclamation projects. Studies and investigations by the Bureau will include special emphasis on weather modification research. A thorough review is being made of alternative solutions to the water problems faced by the States in the Colorado River Basin. When this review is completed, recommendations will be made to the Congress.

Legislation previously proposed will again be recommended to allow the Bonneville, Southeastern, and Southwestern Power Administrations to use revenues from the sale of power to finance capital outlays and operating costs. Enactment of this legislation would place these power marketing agencies on a basis consistent with other business enterprise activities of the Federal Government while retaining continued control through the appropriation process. Revenues from the sale of such power are currently deposited in miscellaneous receipts of the Treasury.

The Tennessee Valley Authority's activities in 1968 are estimated to result in net expenditures of $111 million. Upon approval of a license by the Atomic Energy Commission, the TVA will carry forward construction of the Brown's Ferry Nuclear Plant, estimated to cost $247 million. Commercial operation of the first unit of the plant is scheduled for October 1970. During 1968, TVA will work with organized groups in 16 tributary watershed areas, many in the Appalachian portion of the Valley, to help in the development of an improved industrial and agricultural economy.

Water quality and research.-The Federal Water Pollution Control Administration was transferred from the Department of Health, Education, and Welfare to the Department of the Interior in May 1966. Within Interior, the water pollution control programs are being reoriented toward attacking the problems of pollution in entire river basins. During fiscal year 1968, much of the agency's effort will be devoted to reviewing and approving standards developed by the States under the Water Quality Act of 1965. The budget includes grants of $203 million in 1968 to assist municipalities in construction of waste treatment plants. Additional funds are recommended for research and demonstration activities authorized by the Clean Water Restoration Act of 1966.

Legislation will be proposed to permit the Department of the Interior to participate with the Atomic Energy Commission and the Metropolitan Water District of Southern California in the construction of a large prototype desalting plant.

Public domain and Indian lands.--The Bureau of Land Management manages 457 million acres of public domain land containing valuable mineral, forest, range, watershed, recreation, and fish and wildlife resources. In 1968, the Bureau expects to spend $70 million on the development and use of the resources of these lands. Total receipts from the management of all public lands are estimated to be $626 million in 1968, including $430 million from mineral leases (primarily oil and gas) on the Outer Continental Shelf, which the Department of the Interior also administers.

Programs to aid American Indians in 1968 will provide for improved schools, irrigation facilities and roads on Indian reservations, and for expansion of industrial activities and housing facilities. New obligational authority of $118 million is recommended for 1968, including $31 million for construction of 15 new schools for Indian children. An additional $30 million is proposed to further improve programs for the Indians.

Forest resources.-National forest lands will provide outdoor recreational activities for an estimated 199 million visitors in 1968. In addition, the Forest Service expects to harvest 12.7 billion board feet of timber in that year, about one-fourth of the timber consumed by American industry.

To improve the efficient management of the Nation's timber resources, the Forest Service has recently completed a special analysis which provides useful information for helping to decide which timber investments would be most economical and beneficial. This analysis has calculated possible rates of return from Federal investments in reforestation and timber stand improvement on national forest lands. These calculations show that if Forest Service expenditures for this program are maintained at the 1968 budget level of $18 million for the next 13 years, and are allocated to the highest return opportunities, such investments on 4.5 million acres could yield an estimated annual rate of return of at least 6%. The table below summarizes the results of that study. Similar analyses for alternative programs will provide a basis for comparing expenditures for reforestation and timber stand improvement with other Federal programs which enhance timber supply.

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Recreational resources. In fiscal year 1968, the Bureau of Outdoor Recreation expects to complete the first Nationwide Outdoor Recreation Plan, which will provide a general guide for all outdoor recreational programs in the country.

Receipts of $110 million are estimated to become available to the Land and Water Conservation Fund in fiscal year 1968, and an advance appropriation of $32 million is recommended to augment the Fund. Together, these funds will enable Federal agencies and States to expand their recreation programs to provide additional outdoor recreation opportunities. Grants of $65 million will be made from the Fund to the States for this purpose and $74 million will be available for acquisition of recreation lands by the National Park Service, Forest Service, and the Bureau of Sport Fisheries and Wildlife.

Because of rising land prices, the budget proposes that all of the $32 million advance appropriation to the Land and Water Conservation Fund be used by Federal agencies to accelerate land acquisition.

The 89th Congress enacted legislation to authorize a number of national seashores and other recreation areas. Additional areas are needed, however, in order to meet the growing recreational requirements of our people. Proposals are under study and recommendations will be made at a later date for the development of the North Cascades area in the State of Washington. Proposals are also under study to make the Potomac Valley a model of scenic and recreation values for the Nation.

There is also an urgent need to identify and preserve free-flowing stretches of our great scenic rivers—before economic growth and industrial development mar their natural beauty. Legislation is recommended to establish a National Scenic Rivers System, to authorize a Redwoods National Park in northern California, and to provide for a nationwide system of trails.

Fish and wildlife resources.--Expenditures for the Bureau of Sport Fisheries and Wildlife in 1968 are estimated at $90 million. The Bureau will operate 90 fish hatcheries and 312 wildlife refuges, including 6 new refuges and waterfowl production areas.

The Bureau of Commercial Fisheries will continue to assist the fishing industry through resource conservation, improved production technology, exploratory fishing, marketing assistance, and programs to modernize the American fishing fleet. A significant advance will be made toward the solution of protein-deficient diets throughout the world with the construction in 1968 of a pilot plant for manufacturing fish protein concentrate.

Mineral resources.The Bureau of Mines will continue research to expand mineral production and utilization, with increased attention to problems of air pollution and oil shale research. A new research program directed toward major improvements in tunneling technology will be initiated. If successful, this effort will be of major benefit to mining, urban transportation, water supply, and other public services.

Congressional approval will be sought, within the authority of the Helium Act Amendments of 1960, for the Secretary of the Interior to enter into long-term contracts in 1968 for the purchase of an additional 24 billion cubic feet of helium. This unique resource would otherwise be wasted as a component of natural gas being marketed as fuel.

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