40 FouKTH Annual Report of the 



built at the estimated cost of two millions of dollars ($2,000,000), 

 the construction cost would be at the rate of twenty-five dollars 

 and ninety-seven cents ($25.97) per h. p., based upon an increase 

 of 77,077 h. p. in the low-water power of the stream. If this 

 cost were apportioned between the developed and undeveloped 

 sites, then four hundred sixty thousand dollars ($460,000) would 

 be due from the ovmers of developed sites and one million five 

 hundred and forty dollars ($1,540,000) from the owners of un- 

 developed sites. If the entire two million dollars ($2,000,000) 

 were assessed against the developed sites alone the charge would 

 be at the rate of one hundred and twelve dollars ($112) per 

 horse power. Such charge, with the cost of maintenance and op- 

 eration, would be prohibitive and manifestly unfair, for the rea- 

 son that the value of the undeveloped water powers would be in- 

 creased by such regulation. It is apparent, therefore, that if 

 the State aims to formulate a workable policy which will result 

 in the general regulation of all our inland streams, some plan must 

 be devised whereby the owners of undeveloped as well as developed 

 powers will be compelled to bear their just and equitable share 

 of the cost of such improvement. Inasmuch as the owners of 

 unused and unsalable power sites would rarely if ever agree vol- 

 untarily to share the cost of such a project, it follows that a 

 workable policy must involve compulsory payment. IlTo provision 

 for voluntary payment will suffice. 



Power of Eminent Domain Involved 



To achieve this result by legislation a valid power of taxation 

 must be invoked, and legislation must likewise carry with it the 

 power of eminent domain, for the reason that every project for 

 the construction of reservoirs involves the acquisition of private 

 property, and in some cases public propert}' as well, l^o practical 

 plan has yet been suggested which does not involve the exercise of 

 these two sovereign powers. 



For the regulation of streams, reservoirs must be constructed 

 and private lands must be acquired as above stated. The cost of 

 construction, maintenance and operation must be paid. ITeither 

 public nor private property can be appropriated ; nor can the 

 power of taxation be considered in this State except for a public 



