retary shall delegate to that agency the responsibility, under his supervision and direction, for keeping this basin account, and any reports as to the status of the account or as to the effect of projects proposed under recommendation No. 5 on the account shall be made to the Secretary by that agency. 5. That the Secretary, with respect to any project hereafter proposed for construction in the Columbia River Basin under the Federal reclamation laws, shall present a. report to the President and the Congress with his findings as to: Engineering feasibility; the estimated costs of construction; the probable allocations of costs, in accordance with the provisions of these recommendations, to the various purposes to be served; the probable sources of repayment; the probable effect on the basin account, having regard for the last preceding report submitted under recommendation No. 8 and all other projects required to be accounted for through the account which were authorized subsequent to that last report, and probable effect on the general levels of power rates then in operation under the provisions of recommendation No. 7; and the benefits to be realized from the construction of the project that are considered to justify its construction, if irrigation costs are to be assigned to be returned from power revenues or if estimated power revenues at the power rates then in effect under recommendation No. 7 will not return, in addition to power operation and maintenance costs, in 50 years with interest at the rate then in operation the construction and replacement costs to be allocated to power. A report hereunder shall be presented only if the Secretary determines that the construction and operation of the proposed project under the provisions of these recommendations, considering the situation at the time of authorization of the project, probably will not. (1) require any increases in the general levels of power rates then in operation under the provisions of recommendation No. 7, and (2) result in the total of nonpower costs therefore charged or thereafter required to be charged to the basin account under recommendation No. 4 exceeding the total of interest on power costs theretofore applied and thereafter to be applied to the return of nonpower costs under the recommendation. Any project reported on hereunder shall be undertaken only when authorized by an act of Congress, and when authorized shall be subject to the provisions of provisos (2) and (3) of recommendation No. 2. 6. That, with respect to any project heretofore developed by or now in the process of development by the Bureau of Reclamation in the Columbia River Basin other than those described in (1), (2), or (3) of recommendation No. 4, the Secretary of the Interior be authorized to recommend to the Congress that a portion of the construction costs be assigned to be returned from powerrevenues and be accounted for as provided in recommendation No. 4, the amount recommended so to be assigned, however, to be limited to reimbursable construction costs which are in excess of the amount determined by the Secretary to be what the project's water users should reasonably be expected to repay in the maximum repayment period described in recommendation No. 2 above. 7. That, with respect to power and energy to be disposed of under the provisions of recommendation No. 3, in order to encourage the widest possible use thereof and to prevent its monopolization by limited groups, the Secretary be authorized and directed : (1) To give preference and priority to public bodies and cooperatives, and to this end, embody in each contract with private purchasers engaged in the business of selling electric energy to the general public, provisions that. he may cancel such contract upon reasonable notice in writing, if, in his judgment, any part of the electric energy purchased under such contract is likely to be needed to satisfy the requirements of public bodies and cooperatives; and to proceed in accordance with the other marketing policies and principles set forth in the existing laws relating to the disposition of power at Bonneville Dam : Provided, That disposal of power and energy available from any project authorized and constructed under the Federal reclamation laws shall be only on such terms as in the judgment of the Secretary will not impair the efficiency of that project for irrigation purposes ; and (2) To establish power rates for consumers at the lowest possible levels consistent with the policies and principles above referred to and with sound business principles, but in no event to be less than sufficient to return within a. reasonable period, in addition to the annual operation and maintenance costs chargeable to power : (a) The total construction costs, including replacements, charged to the basin account which are properly allocated to power, together with interest on the unamortized balance at an annual rate to be determined by the Secretary, having regard, among other things, for the cost of money to the United States and for interest rates employed by Federal agencies in the amortization of investments of like character, the rate in no event to be less than 2 percent; and (b) The total costs charged to the basin account winch are assigned to be returned from power revenues, though allocated to other purposes; taking into account the application of interest on the power investment to the return of nonpower costs. 8. That, in determining power rates under the basin account as indicated above, there shall be considered from time to time actual costs incurred and revenues realized and estimates by the Secretary as to costs yet to
