Jordan Lake Municipal and Industrial Water Supply

bc: George Pickett
E. L. Rankin, Jr.

DAN K. MOORE
GOVERNOR
STATE OF NORTH CAROLINA
GOVERNOR'S OFFICE
RALEIGH

November 2, 1966

Colonel Beverly C. Snow, Jr.
District Engineer
U. S. Army Engineer District, Wilmington
Post Office Box 1890
Wilmington, North Carolina

Dear Colonel Snow

The New Hope Dam and Reservoir includes as a project purpose storage
of water for municipal and industrial water supply. The Water Supply Act of
1958 requires that States or local interests shall agree. before the start of
construction, to pay the costs of constructing these water supply features on
certain specified terms.

Some counties and municipalities have foreseen in general terms the
coming need for additional water, and have expressed a desire to secure a
portion of storage to be made available in federal projects for that purpose.
However, there are not available adequate forecasts of growth in any river
basin to permit precise determinations of the quantities of storage which will
be needed by each county and municipality, or when it will be needed.

Therefore, I hereby agree that the State of North Carolina shall pay that
portion of the cost of constructing water supply storage in the New Hope Dam
and Reservoir, now estimated at $370,000, plus interest on any unpaid balance
in accordance with the terms of the Water Supply Act of 1958; and operation and
maintenance costs of this feature, now estimated at $8,000 annually over the life
of the project but not to exceed fifty years. It is my intention to transfer or assign
this obligation, upon their request, to counties or muticipalities, as is permitted
by the regulations implementing the Water Supply Act of 1958, as and when their
specific requirements are known. It is also my intention to stipulate that counties
or municipalities shall repay to the State of North Carolina, as and when their
specific requirements are known, those pottiest* of the cost which are expended
on their behalf.

Sincerely,

Dan Moore