Contracts To Provide Space in Federal Reservoirs for Future Water Supplies Should Be More Flexible
Highlights
As part of its ongoing effort to contribute to a better understanding of, and timely consideration of, ways to solve the key water problems facing the Nation, GAO reviewed Federal contracting procedures for municipal water supply storage at Federal reservoirs and the need to include cost estimates for transporting such water to the user's treatment facilities. The Water Supply Act of 1958 authorizes the expenditure of funds by the Army Corps of Engineers and the Department of the Interior's Water and Power Resources Service to include space in reservoirs for future municipal and industrial water supplies. These agencies must obtain reasonable assurance that the water supplies will be needed and that users will repay the Federal costs within the life of the project.