N.Y. Environmental Conservation Law § 21-0701: Delaware river basin compact

§ 21-0701. Delaware river basin compact.

The Delaware river basin compact as first entered into pursuant to

chapter 148 of the laws of 1961, as renumbered by chapter 801 of the

laws of 1962, and as amended by chapter 262 of the laws of 1970, is

hereby continued as follows:

The Delaware river basin compact is hereby entered into and enacted

into law, subject to the execution by the Governor as provided in said

compact and in accordance with its terms. The compact is as follows:

WHEREAS the signatory parties recognize the water and related

resources of the Delaware basin as regional assets vested with local,

state and national interests, for which they have a joint

responsibility; and

WHEREAS the conservation, utilization, development, management and

control of the water and related resources of the Delaware River Basin

under a comprehensive multi-purpose plan will bring the greatest

benefits and produce the most efficient service in the public welfare;

and

WHEREAS such a comprehensive plan administered by a basin-wide agency

will provide effective flood damage reduction; conservation and

development of ground and surface water supply for municipal, industrial

and agricultural uses; development of recreational facilities in

relation to reservoirs, lakes and streams; propagation of fish and game;

promotion of related forestry, soil conservation and watershed projects;

protection and aid to fisheries dependent upon water resources;

development of hydro-electric power potentialities; improved navigation;

control of the movement of salt water; abatement and control of stream

pollution; and regulation of stream flows toward the attainment of these

goals; and

WHEREAS decisions of the United States Supreme Court relating to the

waters of the basin have confirmed the interstate regional character of

the water resources of the Delaware River Basin, and the United States

Corps of Engineers has in a prior report on the Delaware River Basin

(House Document 179, 73d Cong., 2nd Sess.) officially recognized the

need for an interstate agency and the economies that can result from

unified development and control of the water resources of the basin; and

WHEREAS the water resources of the basin are presently subject to the

duplicating, overlapping and uncoordinated administration of some 43

state agencies, 14 interstate agencies and 19 federal agencies which

exercise a multiplicity of powers and duties resulting in a splintering

of authority and responsibilities; and

WHEREAS the joint advisory body known as the Interstate Commission on

the Delaware River Basin (INCODEL), created by the respective

commissions or committee on Interstate Cooperation of the States of

Delaware, New Jersey, New York and Pennsylvania, has on the basis of its

extensive investigations, surveys and studies concluded that regional

development of the Delaware River Basin is feasible, advisable and

urgently needed; and has recommended that an interstate compact with

federal participation be consummated to this end; and

WHEREAS the Congress of the United States and the executive branch of

the government have recognized the national interest in the Delaware

River Basin by authorizing and directing the Corps of Engineers, U.S.

Department of the Army, to make a comprehensive survey and report on the

water and related resources of the Delaware River Basin, enlisting the

technical aid and planning participation of many federal, state and

municipal agencies dealing with the waters of the basin, and in

particular the federal departments of Agriculture, Commerce, Health,

Education and Welfare, Interior, and Federal Power Commission; and

WHEREAS some 22,000,000 people of the United States at present live

and work in the region of the Delaware River Basin and its environs, and

the government, employment, industry and economic development of the

entire region and the health, safety and general welfare of its

population are and will continue to be vitally affected by the use,

conservation, management and control of the water and related resources

of the Delaware River Basin; and

WHEREAS demands upon the waters and related resources of the basin are

expected to mount rapidly because of the anticipated increase in the

population of the region projected to reach 30,000,000 by 1980 and

40,000,000 by 2010, and because of the anticipated increase in

industrial growth projected to double by 1980; and

WHEREAS water resources planning and development is technical, complex

and expensive, and has often required fifteen to twenty years from the

conception to the completion of a large dam and reservoir; and

WHEREAS the public interest requires that facilities must be ready and

operative when needed, to avoid the catastrophe of unexpected floods or

prolonged drought, and for other purposes; and

WHEREAS the Delaware River Basin Advisory Committee, a temporary body

constituted by the governors of the four basin states and the mayors of

the cities of New York and Philadelphia, has prepared a draft of an

interstate-federal compact for the creation of a basin agency, and the

signatory parties desire to effectuate the purposes thereof;

Now therefore the states of Delaware, New Jersey and New York and the

Commonwealth of Pennsylvania, and the United States of America hereby

solemnly covenant and agree with each other, upon the enactment of

concurrent legislation by the Congress of the United States and by the

respective state legislatures, having the same effect as this Part as

follows:

ARTICLE 1--SHORT TITLE, DEFINITIONS, PURPOSE AND LIMITATIONS

Section 1.1 Short title.

This act shall be known and may be cited as the Delaware River Basin

Compact.

1.2. Definitions.

For the purposes of this compact, and of any supplemental or

concurring legislation enacted pursuant thereto, except as may be

otherwise required by the context:

(a) "Basin" shall mean the area of drainage into the Delaware River

and its tributaries, including Delaware Bay;

(b) "Commission" shall mean the Delaware River Basin Commission

created and constituted by this compact;

(c) "Compact" shall mean the compact as contained title 7 of article

21 of the Environmental Conservation Law.

(d) "Cost" shall mean direct and indirect expenditures, commitment,

and net induced adverse effects, whether or not compensated for, used or

incurred in connection with the establishment, acquisition,

construction, maintenance and operation of a project;

(e) "Facility" shall mean any real or personal property, within or

without the basin, and improvements thereof or thereon, and any and all

rights of way, water, water rights, plants, structures, machinery and

equipment, acquired, constructed, operated or maintained for the

beneficial use of water resources or related land uses including,

without limiting the generality of the foregoing, any and all things and

appurtenances necessary, useful or convenient for the control,

collection, storage, withdrawal, diversion, release, treatment,

transmission, sale or exchange of water; or for navigation thereon, or

the development and use of hydroelectric energy and power, and public

recreational facilities; or the propagation of fish and wildlife; or to

conserve and protect the water resources of the basin or any existing or

future water supply source, or to facilitate any other uses of any of

them;

(f) "Federal government" shall mean the government of the United

States of America, and any appropriate branch, department, bureau or

division thereof, as the case may be;

(g) "Project" shall mean any work, service or activity which is

separately planned, financed, or identified by the commission, or any

separate facility undertaken or to be undertaken within a specified

area, for the conservation, utilization, control, development or

management of water resources which can be established and utilized

independently or as an addition to an existing facility, and can be

considered as a separate entity for purposes of evaluation;

(h) "Signatory party" shall mean a state or commonwealth party to this

compact, and the federal government;

(i) "Water resources" shall include water and related natural

resources in, on, under, or above the ground, including related uses of

land, which are subject to beneficial use, ownership or control.

1.3 Purpose and findings.

The legislative bodies of the respective signatory parties hereby find

and declare:

(a) The water resources of the basin are affected with a local, state,

regional and national interest and their planning, conservation,

utilization, development, management and control, under appropriate

arrangements for intergovernmental cooperation, are public purposes of

the respective signatory parties.

(b) The water resources of the basin are subject to the soverign right

and responsibility of the signatory parties, and it is the purpose of

this compact to provide for a joint exercise of such powers of

sovereignty in the common interests of the people of the region.

(c) The water resources of the basin are functionally interrelated,

and the uses of these resources are interdependent. A single

administrative agency is therefore essential for effective and

economical direction, supervision and coordination of efforts and

programs of federal, state and local governments and of private

enterprise.

(d) The water resources of the Delaware River Basin, if properly

planned and utilized, are ample to meet all presently projected demands,

including existing and added diversions in future years; and ever

increasing economies and efficiencies in the use and reuse of water

resources can be brought about by comprehensive planning, programming

and management.

(e) In general, the purposes of this compact are to promote interstate

comity; to remove causes of present and future controversy; to make

secure and protect present developments within the states; to encourage

and provide for the planning, conservation, utilization, development,

management and control of the water resources of the basin; to provide

for cooperative planning and action by the signatory parties with

respect to such water resources; and to apply the principle of equal and

uniform treatment to all water users who are similarly situated and to

all users of related facilities, without regard to established political

boundaries.

1.4 Powers of Congress; withdrawal.

Nothing in this compact shall be construed to relinquish the

functions, powers or duties of the Congress of the United States with

respect to the control of any navigable waters within the basin, nor

shall any provision hereof be construed in derogation of any of the

constitutional powers of the Congress to regulate commerce among the

states and with foreign nations. The power and right of the Congress to

withdraw the federal government as a party to this compact or to revise

or modify the terms, conditions and provisions under which it may remain

a party by amendment, repeal or modification of any federal statute

applicable thereto is recognized by the signatory parties.

1.5 Existing agencies; construction.

It is the purpose of the signatory parties to preserve and utilize the

functions, powers and duties of existing offices and agencies of

government to the extent not inconsistent with this compact, and the

commission is authorized and directed to utilize and employ such offices

and agencies for the purpose of this compact to the fullest extent it

finds feasible and advantageous.

1.6 Duration of compact.

(a) The duration of this compact shall be for an initial period of 100

years from its effective date, and it shall be continued for additional

periods of 100 years if not later than 20 years nor sooner than 25 years

prior to the termination of the initial period or any succeeding period

none of the signatory states, by authority of an act of its legislature,

notifies the commission of intention to terminate the compact at the end

of the then current 100 year period.

(b) In the event that this compact should be terminated by operation

of paragraph (a) above, the commission shall be dissolved, its assets

and liabilities transferred, and its corporate affairs wound up, in such

manner as may be provided by act of the Congress.

ARTICLE 2--ORGANIZATION AND AREA

Section 2.1 Commission created.

The Delaware River Basin Commission is hereby created as a body

politic and corporate, with succession for the duration of this compact,

as an agency and instrumentality of the governments of the respective

signatory parties.

2.2 Commission membership.

The commission shall consist of the Governors of the signatory states,

ex officio, and one commissioner to be appointed by the President of the

United States to serve during the term of office of the President.

2.3 Alternates.

Each member of the commission shall appoint an alternate to act in his

place and stead, with authority to attend all meetings of the

commission, and with power to vote in the absence of the member. Unless

otherwise provided by law of the signatory party for which he is

appointed, each alternate shall serve during the term of the member

appointing him, subject to removal at the pleasure of the member. In the

event of a vacancy in the office of alternate, it shall be filled in the

same manner as an original appointment for the unexpired term only.

2.4 Compensation.

Members of the commission and alternates shall serve without

compensation but may be reimbursed for necessary expenses incurred in

and incident to the performance of their duties.

2.5 Voting power.

Each member shall be entitled to one vote on all matters which may

come before the commission. No action of the commission shall be taken

at any meeting unless a majority of the membership shall vote in favor

thereof.

2.6 Organization and procedure.

The commission shall provide for its own organization and procedure,

and shall adopt rules and regulations governing its meetings and

transactions. It shall organize annually by the election of a chairman

and vice-chairman from among its members. It shall provide by its rules

for the appointment by each member in his discretion of an advisor to

serve without compensation, who may attend all meetings of the

commission and its committees.

2.7 Jurisdiction of the commission.

The commission shall have, exercise and discharge its functions,

powers and duties within the limits of the basin, except that it may in

its discretion act outside the basin whenever such action may be

necessary or convenient to effectuate its powers or duties within the

basin, or to sell or dispose of water, hydroelectric power or other

water resources within or without the basin. The commission shall

exercise such power outside the basin only upon the consent of the state

in which it proposes to act.

ARTICLE 3--POWERS AND DUTIES OF THE COMMISSION

Section 3.1 Purpose and policy.

The commission shall develop and effectuate plans, policies and

projects relating to the water resources of the basin. It shall adopt

and promote uniform and coordinated policies for water conservation,

control, use and management in the basin. It shall encourage the

planning, development and financing of water resources projects

according to such plans and policies.

3.2 Comprehensive plan, program and budgets.

The commission shall, in accordance with Article 13 of this compact,

formulate and adopt:

(a) A comprehensive plan, after consultation with water users and

interested public bodies, for the immediate and long range development

and uses of the water resources of the basin;

(b) A water resources program, based upon the comprehensive plan,

which shall include a systematic presentation of the quantity and

quality of water resources needs of the area to be served for such

reasonably foreseeable period as the commission may determine, balanced

by existing and proposed projects required to satisfy such needs,

including all public and private projects affecting the basin, together

with a separate statement of the projects proposed to be undertaken by

the commission during such period; and

(c) An annual current expense budget, and an annual capital budget

consistent with the water resources program covering the commission's

projects and facilities for the budget period.

3.3 Allocations, diversions and releases.

The commission shall have the power from time to time as need appears,

in accordance with the doctrine of equitable apportionment, to allocate

the waters of the basin to and among the states signatory to this

compact and to and among their respective political subdivisions, and to

impose conditions, obligations and release requirements related thereto,

subject to the following limitations:

(a) The commission, without the unanimous consent of the parties to

the United States Supreme Court decree in New Jersey v. New York, 347

U.S. 995 (1954), shall not impair, diminish or otherwise adversely

affect the diversions, compensating releases, rights, conditions,

obligations, and provisions for the administration thereof as provided

in said decree; provided, however, that after consultation with the

river master under said decree the commission may find and declare a

state of emergency resulting from a drought or catastrophe and it may

thereupon by unanimous consent of its members authorize and direct an

increase or decrease in any allocation or diversion permitted or

releases required by the decree, in such manner and for such limited

time as may be necessary to meet such an emergency condition.

(b) No allocation of waters hereafter made pursuant to this section

shall constitute a prior appropriation of the waters of the basin or

confer any superiority of right in respect to the use of those waters,

nor shall any such action be deemed to constitute an apportionment of

the waters of the basin among the parties hereto; provided that this

paragraph shall not be deemed to limit or restrict the power of the

commission to enter into covenants with respect to water supply, with a

duration not exceeding the life of this compact, as it may deem

necessary for the benefit or development of the water resources of the

basin.

(c) Any proper party deeming itself aggrieved by action of the

commission with respect to an out-of-basin diversion or compensating

releases in connection therewith, notwithstanding the powers delegated

to the commission by this compact may invoke the original jurisdiction

of the United States Supreme Court within one year after such action for

an adjudication and determination thereof de novo. Any other action of

the commission pursuant to this section shall be subject to judicial

review in any court of competent jurisdiction.

3.4 Supreme court decree; waivers.

Each of the signatory states and their respective political

subdivisions, in consideration of like action by the others, and in

recognition of reciprocal benefits, hereby waives and relinquishes for

the duration of this compact any right, privilege or power it may have

to apply for any modification of the terms of the decree of the United

States Supreme Court in New Jersey v. New York, 347 U.S. 995 (1954)

which would increase or decrease the diversions authorized or increase

or decrease the releases required thereunder, except that a proceeding

to modify such decree to increase diversions or compensating releases in

connection with such increased diversions may be prosecuted by a proper

party to effectuate rights, powers, duties and obligations under Section

3.3 of this compact, and except as may be required to effectuate the

provisions of paragraphs III B 3 and V B of said decree.

3.5 Supreme court decree; specific limitations on commission.

Except as specifically provided in Sections 3.3 and 3.4 of this

article, nothing in this compact shall be construed in any way to

impair, diminish or otherwise adversely affect the rights, powers,

privileges, conditions and obligations contained in the decree of the

United States Supreme Court in New Jersey v. New York, 347 U.S. 995

(1954). To this end, and without limitation thereto, the commission

shall not:

(a) Acquire, construct or operate any project or facility or make any

order or take any action which would impede or interfere with the

rights, powers, privileges, conditions or obligations contained in said

decree;

(b) Impose or collect any fee, charge or assessment with respect to

diversions of waters of the basin permitted by said decree;

(c) Exercise any jurisdiction, except upon consent of all the parties

to said decree, over the planning, design, construction, operation or

control of any projects, structures or facilities constructed or used in

connection with withdrawals, diversions and releases of waters of the

basin authorized by said decree or of the withdrawals, diversions or

releases to be made thereunder; or

(d) Serve as river master under said decree, except upon consent of

all the parties thereto.

3.6 General powers.

The commission may:

(a) Plan, design, acquire, construct, reconstruct, complete, own,

improve, extend, develop, operate and maintain any and all projects,

facilities, properties, activities and services, determined by the

commission to be necessary, convenient or useful for the purposes of

this compact;

(b) Establish standards of planning, design and operation of all

projects and facilities in the basin which affect its water resources,

including without limitation thereto water and waste treatment plants,

stream and lake recreational facilities, trunk mains for water

distribution, local flood protection works, small watershed management

programs, and ground water recharging operations;

(c) Conduct and sponsor research on water resources, their planning,

use, conservation, management, development, control and protection, and

the capacity, adaptability and best utility of each facility thereof,

and collect, compile, correlate, analyze, report and interpret data on

water resources and uses in the basin, including without limitation

thereto the relation of water to other resources, industrial water

technology, ground water movement, relation between water price and

water demand, and general hydrological conditions;

(d) Compile and coordinate systematic stream stage and ground water

level forecasting data, and publicize such information when and as

needed for water uses, flood warning, quality maintenance or other

purposes;

(e) Conduct such special ground water investigations, tests, and

operations and compile such data relating thereto as may be required to

formulate and administer the comprehensive plan;

(f) Prepare, publish and disseminate information and reports with

respect to the water problems of the basin and for the presentation of

the needs, resources and policies of the basin to executive and

legislative branches of the signatory parties;

(g) Negotiate for such loans, grants, services or other aids as may be

lawfully available from public or private sources to finance or assist

in effectuating any of the purposes of this compact; and to receive and

accept such aid upon such terms and conditions, and subject to such

provisions for repayment as may be required by federal or state law or

as the commission may deem necessary or desirable;

(h) Exercise such other and different powers as may be delegated to it

by this compact or otherwise pursuant to law, and have and exercise all

powers necessary or convenient to carry out its express powers or which

may be reasonably implied therefrom.

3.7 Rates and charges.

The commission may from time to time after public notice and hearing

fix, alter and revise rates, rentals, charges and tolls and

classifications thereof, for the use of facilities which it may own or

operate and for products and services rendered thereby, without

regulation or control by any department, office or agency of any

signatory party.

3.8 Referral and review.

No project having a substantial effect on the water resources of the

basin shall hereafter be undertaken by any person, corporation or

governmental authority unless it shall have been first submitted to and

approved by the commission, subject to the provisions of Sections 3.3

and 3.5. The commission shall approve a project whenever it finds and

determines that such project would not substantially impair or conflict

with the comprehensive plan and may modify and approve as modified, or

may disapprove any such project whenever it finds and determines that

the project would substantially impair or conflict with such plan. The

commission shall provide by regulation for the procedure of submission,

review and consideration of projects, and for its determinations

pursuant to this section. Any determination of the commission hereunder

shall be subject to judicial review in any court of competent

jurisdiction.

3.9 Coordination and cooperation.

The commission shall promote and aid the coordination of the

activities and programs of federal, state, municipal and private

agencies concerned with water resources administration in the basin. To

this end, but without limitation thereto, the commission may:

(a) Advise, consult, contract, financially assist, or otherwise

cooperate with any and all such agencies;

(b) Employ any other agency or instrumentality of any of the signatory

parties or of any political subdivision thereof, in the design,

construction, operation and maintenance of structures, and the

installation and management of river control systems, or for any other

purpose;

(c) Develop and adopt plans and specifications for particular water

resources projects and facilities which so far as consistent with the

comprehensive plan incorporate any separate plans of other public and

private organizations operating in the basin, and permit the

decentralized administration thereof;

(d) Qualify as a sponsoring agency under any federal legislation

heretofore or hereafter enacted to provide financial or other assistance

for the planning, conservation, utilization, development, management or

control of water resources.

3.10 Advisory committees.

The commission may constitute and empower advisory committees, which

may be comprised of representatives of the public and of federal, state,

county and municipal governments, water resources agencies, water-using

industries, water-interest groups, labor and agriculture.

ARTICLE 4--WATER SUPPLY

Section 4.1 Generally.

The commission shall have power to develop, implement and effectuate

plans and projects for the use of the waters of the basin for domestic,

municipal, agricultural and industrial water supply. To this end,

without limitation thereto, it may provide for, construct, acquire,

operate and maintain dams, reservoirs and other facilities for

utilization of surface and ground water resources, and all related

structures, appurtenances and equipment on the river and its tributaries

and at such off-river sites as it may find appropriate, and may regulate

and control the use thereof.

4.2 Storage and release of waters.

(a) The commission shall have power to acquire, operate and control

projects and facilities for the storage and release of waters, for the

regulation of flows and supplies of surface and ground waters of the

basin, for the protection of public health, stream quality control,

economic development, improvement of fisheries, recreation, dilution and

abatement of pollution, the prevention of undue salinity and other

purposes.

(b) No signatory party shall permit any augmentation of flow to be

diminished by the diversion of any water of the basin during any period

in which waters are being released from storage under the direction of

the commission for the purpose of augmenting such flow, except in cases

where such diversion is duly authorized by this compact, or by the

commission pursuant thereto, or by the judgment, order or decree of a

court of competent jurisdiction.

4.3 Assessable improvements.

The commission may undertake to provide stream regulation in the main

stream or any tributary in the basin and may assess on an annual basis

or otherwise the cost thereof upon water users or any classification of

them specially benefited thereby to a measurable extent, provided that

no such assessment shall exceed the actual benefit to any water user.

Any such assessment shall follow the procedure prescribed by law for

local improvement assessments and shall be subject to judicial review in

any court of competent jurisdiction.

4.4 Coordination.

Prior to entering upon the execution of any project authorized by this

article, the commission shall review and consider all existing rights,

plans and programs of the signatory parties, their political

subdivisions, private parties, and water users which are pertinent to

such project, and shall hold a public hearing on each proposed project.

4.5 Additional powers.

In connection with any project authorized by this article, the

commission shall have power to provide storage, treatment, pumping and

transmission facilities, but nothing herein shall be construed to

authorize the commission to engage in the business of distributing

water.

ARTICLE 5--POLLUTION CONTROL

Section 5.1 General powers.

The commission may undertake investigations and surveys, and acquire,

construct, operate and maintain projects and facilities to control

potential pollution and abate or dilute existing pollution of the water

resources of the basin. It may invoke as complainant the power and

jurisdiction of water pollution abatement agencies of the signatory

parties.

5.2 Policy and standards.

The commission may assume jurisdiction to control future pollution and

abate existing pollution in the waters of the basin, whenever it

determines after investigation and public hearing upon due notice that

the effectuation of the comprehensive plan so requires. The standard of

such control shall be that pollution by sewage or industrial or other

waste originating within a signatory state shall not injuriously affect

waters of the basin as contemplated by the comprehensive plan. The

commission, after such public hearing may classify the waters of the

basin and establish standards of treatment of sewage, industrial or

other waste, according to such classes including allowance for the

variable factors of surface and ground waters, such as size of the

stream, flow, movement, location, character, self-purification, and

usage of the waters affected. After such investigation, notice and

hearing the commission may adopt and from time to time amend and repeal

rules, regulations and standards to control such future pollution and

abate existing pollution, and to require such treatment of sewage,

industrial or other waste within a time reasonable for the construction

of the necessary works as may be required to protect the public health

or to preserve the waters of the basin for uses in accordance with the

comprehensive plan.

5.3 Cooperative legislation and administration.

Each of the signatory parties covenants and agrees to prohibit and

control pollution of the waters of the basin according to the

requirements of this compact and to cooperate faithfully in the control

of future pollution in and abatement of existing pollution from the

rivers, streams, and waters in the basin which flow through, under, into

or border upon any of such signatory states, and in order to effect such

object, agrees to enact any necessary legislation to enable each such

party to place and maintain the waters of said basin in a satisfactory

condition, available for safe and satisfactory use as public and

industrial water supplies after reasonable treatment, suitable for

recreational usage, capable of maintaining fish and other aquatic life,

free from unsightly or malodorous nuisances due to floating solids or

sludge deposits and adaptable to such other uses as may be provided by

the comprehensive plan.

5.4 Enforcement.

The commission may, after investigation and hearing, issue an order or

orders upon any person or public or private corporation, or other

entity, to cease the discharge of sewage, industrial or other waste into

waters of the basin which it determines to be in violation of such rules

and regulations as it shall have adopted for the prevention and

abatement of pollution. Any such order or orders may prescribe the date,

including a reasonable time for the construction of any necessary works,

on or before which such discharge shall be wholly or partially

discontinued, modified or treated, or otherwise conformed to the

requirements of such rules and regulations. Such order shall be

reviewable in any court of competent jurisdiction. The courts of the

signatory parties shall have jurisdiction to enforce against any person,

public or private corporation, or other entity, any and all provisions

of this Article or of any such order. The commission may bring an action

in its own name in any such court of competent jurisdiction to compel

compliance with any provision of this Article, or any rule or regulation

issued pursuant thereto or of any such order, according to the practice

and procedure of the court.

5.5 Further jurisdiction.

Nothing in this compact shall be construed to repeal, modify or

qualify the authority of any signatory party to enact any legislation or

enforce any additional conditions and restrictions to lessen or prevent

the pollution of waters within its jurisdiction.

ARTICLE 6--FLOOD PROTECTION

Section 6.1 General powers.

The commission may plan, design, construct and operate and maintain

projects and facilities, as it may deem necessary or desirable for flood

damage reduction. It shall have power to operate such facilities and to

store and release waters on the Delaware River and its tributaries and

elsewhere within the basin, in such manner, at such times, and under

such regulations as the commission may deem appropriate to meet flood

conditions as they may arise.

6.2 Flood plain zoning.

(a) The commission shall have power to adopt, amend and repeal

recommended standards, in the manner provided by this section, relating

to the nature and extent of the uses of land in areas subject to

flooding by waters of the Delaware River and its tributaries. Such

standards shall not be deemed to impair or restrict the power of the

signatory parties or their political subdivisions to adopt zoning and

other land use regulations not inconsistent therewith.

(b) The commission may study and determine the nature and extent of

the flood plains of the Delaware River and its tributaries. Upon the

basis of such studies, it may establish encroachment lines and delineate

the areas subject to flood, including a classification of lands with

reference to relative risk of flood and the establishment of standards

for flood plain use which will safeguard the public health, safety and

property. Prior to the adoption of any standards delineating such area

or defining such use, the commission shall hold public hearings, in the

manner provided by Article 14, with respect to the substance of such

standards. At or before such public hearings the proposed standards

shall be available, and all interested persons shall be given an

opportunity to be heard thereon at the hearing. Upon the adoption and

promulgation of such standards, the commission may enter into agreements

to provide technical and financial aid to any municipal corporation for

the administration and enforcement of any local land use ordinances or

regulations giving effect to such standards.

6.3 Flood lands acquisition.

The commission shall have power to acquire the fee or any lesser

interest in lands and improvements thereon within the area of a flood

plain for the purpose of restricting the use of such property so as to

minimize the flood hazard, converting property to uses appropriate to

flood plain conditions, or preventing unwarranted constrictions that

reduce the ability of the river channel to carry flood water. Any such

action shall be in accord with the standards adopted and promulgated

pursuant to Section 6.2.

6.4 Flood and stream stage warnings and posting.

The commission may cause lands particularly subject to flood to be

posted with flood hazard warnings, and may from time to time cause flood

advisory notices to be published and circulated as conditions may

warrant.

ARTICLE 7--WATERSHED MANAGEMENT

Section 7.1 Watersheds generally.

The commission shall promote sound practices of watershed management

in the basin, including projects and facilities to retard runoff and

waterflow and prevent soil erosion.

7.2 Soil conservation and forestry.

The commission may acquire, sponsor or operate facilities and projects

to encourage soil conservation, prevent and control erosion, and to

promote land reclamation and sound forestry practices.

7.3 Fish and wildlife.

The commission may acquire, sponsor or operate projects and facilities

for the maintenance and improvement of fish and wildlife habitats

related to the water resources of the basin.

7.4 Cooperative planning and operation.

(a) The commission shall cooperate with the appropriate agencies of

the signatory parties and with other public and private agencies in the

planning and effectuation of a coordinated program of facilities and

projects authorized by this Article.

(b) The commission shall not operate any such project or facility

unless it has first found and determined that no other suitable unit or

agency of government is available to operate the same upon reasonable

conditions, in accordance with the intent and purpose expressed in

Section 1.5 of this compact.

ARTICLE 8--RECREATION

Section 8.1 Development.

The commission shall provide for the development of water related

public sports and recreational facilities. The commission on its own

account or in cooperation with a signatory party, political subdivision

or any agency thereof, may provide for the construction, maintenance and

administration of such facilities, subject to the provisions of Section

8.2 hereof.

8.2 Cooperative planning and operation.

(a) The commission shall cooperate with the appropriate agencies of

the signatory parties and with other public and private agencies in the

planning and effectuation of a coordinated program of facilities and

projects authorized by this article.

(b) The commission shall not operate any such project or facility

unless it has first found and determined that no other suitable unit or

agency of government is available to operate the same upon reasonable

conditions, in accordance with the intent and purpose expressed in

Section 1.5 of this compact.

8.3 Operation and maintenance.

The commission, within limits prescribed by this article, shall:

(a) Encourage activities of other public agencies having water related

recreational interests and assist in the coordination thereof;

(b) Recommend standards for the development and administration of

water related recreational facilities;

(c) Provide for the administration, operation and maintenance of

recreational facilities owned or controlled by the commission and for

the letting and supervision of private concessions in accordance with

this article.

8.4 Concessions.

The commission shall after notice and public hearing provide by

regulation for the award of contracts for private concessions in

connection with recreational facilities, including any renewal or

extension thereof, upon sealed competitive bids after public

advertisement therefor.

ARTICLE 9--HYDROELECTRIC POWER

Section 9.1 Development.

The waters of the Delaware River and its tributaries may be impounded

and used by or under authority of the commission for the generation of

hydroelectric power and hydroelectric energy, in accordance with the

comprehensive plan.

9.2 Power generation.

The commission may develop and operate, or authorize to be developed

and operated, dams and related facilities and appurtenances for the

purpose of generating hydroelectric power and hydroelectric energy.

9.3 Transmission.

The commission may provide facilities for the transmission of

hydroelectric power and hydroelectric energy produced by it where such

facilities are not otherwise available upon reasonable terms, for the

purpose of wholesale marketing of power and nothing herein shall be

construed to authorize the commission to engage in the business of

direct sale to consumers.

9.4 Development contracts.

The commission may after public notice and hearing enter into

contracts on reasonable terms, consideration and duration under which

public utilities or public agencies may develop hydroelectric power and

hydroelectric energy through the use of dams, related facilities and

appurtenances.

9.5 Rates and charges.

Rates and charges fixed by the commission for power which is produced

by its facilities shall be reasonable, nondiscriminatory, and just.

ARTICLE 10--REGULATION OF WITHDRAWALS AND DIVERSIONS

Section 10.1 Power of regulation.

The commission may regulate and control withdrawals and diversions

from surface waters and ground waters of the basin, as provided by this

article. The commission may enter into agreements with the signatory

parties relating to the exercise of such power of regulation or control

and may delegate to any of them such powers of the commission as it may

deem necessary or desirable.

10.2 Determination of protected areas.

The commission may from time to time after public hearing upon due

notice determine and delineate such areas within the basin wherein the

demands upon supply made by water users have developed or threatened to

develop to such a degree as to create a water shortage or to impair or

conflict with the requirements or effectuation of the comprehensive

plan, and any such areas may be designated as "protected areas." The

commission, whenever it determines that such shortage no longer exists,

shall terminate the protected status of such area and shall give public

notice of such termination.

10.3 Withdrawal permits.

In any protected areas so determined and delineated, no person, firm,

corporation or other entity shall divert or withdraw water for domestic,

municipal, agricultural or industrial uses in excess of such quantities

as the commission may prescribe by general regulation, except (i)

pursuant to a permit granted under this article, or (ii) pursuant to a

permit or approval heretofore granted under the laws of any of the

signatory states.

10.4 Emergency.

In the event of a drought or other condition which may cause an actual

and immediate shortage of available water supply within the basin, or

within any part thereof, the commission may, after public hearing,

determine and delineate the area of such shortage and declare a water

supply emergency therein. For the duration of such emergency as

determined by the commisssion no person, firm, corporation or other

public or private entity shall divert or withdraw water for any purpose,

in excess of such quantities as the commission may prescribe by general

regulation or authorize by special permit granted hereunder.

10.5 Standards.

Permits shall be granted, modified or denied as the case may be so as

to avoid such depletion of the natural stream flows and ground waters in

the protected area or in an emergency area as will adversely affect the

comprehensive plan or the just and equitable interests and rights of

other lawful users of the same source, giving due regard to the need to

balance and reconcile alternative and conflicting uses in the event of

an actual or threatened shortage of water of the quality required.

10.6 Judicial review.

The determinations and delineations of the commission pursuant to

Section 10.2 and the granting, modification or denial of permits

pursuant to Section 10.3 through 10.5 shall be subject to judicial

review in any court of competent jurisdiction.

10.7 Maintenance of records.

Each state shall provide for the maintenance and preservation of such

records of authorized diversions and withdrawals and the annual volume

thereof as the commission shall prescribe. Such records and

supplementary reports shall be furnished to the commission at its

request.

10.8 Existing state systems.

Whenever the commission finds its necessary or desirable to exercise

the powers conferred by this article any diversion or withdrawal permits

authorized or issued under the laws of any of the signatory states shall

be superseded to the extent of any conflict with the control and

regulation exercised by the commission.

ARTICLE 11--INTERGOVERNMENTAL RELATIONS

Section 11.1 Federal agencies and projects.

For the purposes of avoiding conflicts of jurisdiction and of giving

full effect to the commission as a regional agency of the signatory

parties, the following rules shall govern federal projects affecting the

water resources of the basin, subject in each case to the provisions of

Section 1.4 of this compact:

(a) The planning of all projects related to powers delegated to the

commission by this compact shall be undertaken in consultation with the

commission;

(b) No expenditure or commitment shall be made for or on account of

the construction, acquisition or operation of any project or facility

nor shall it be deemed authorized, unless it shall have first been

included by the commission in the comprehensive plan;

(c) Each federal agency otherwise authorized by law to plan, design,

construct, operate or maintain any project or facility in or for the

basin shall continue to have, exercise and discharge such authority

except as specifically provided by this section.

11.2 State and local agencies and projects.

For the purpose of avoiding conflicts of jurisdiction and of giving

full effect to the commission as a regional agency of the signatory

parties, the following rules shall govern projects of the signatory

states, their political subdivisions and public corporations affecting

water resources of the basin:

(a) The planning of all projects related to powers delegated to the

commission by this compact shall be undertaken in consultation with the

commission;

(b) No expenditure or commitment shall be made for or on account of

the construction, acquisition or operation of any project or facility

unless it shall have first been included by the commission in the

comprehensive plan;

(c) Each state and local agency otherwise authorized by law to plan,

design, construct, operate or maintain any project or facility in or for

the basin shall continue to have, exercise and discharge such authority,

except as specifically provided by this section.

11.3 Reserved taxing powers of states.

Each of the signatory parties reserves the right to levy, assess and

collect fees, charges and taxes on or measured by the withdrawal or

diversion of waters of the basin for use within the jurisdictions of the

respective signatory parties.

11.4 Project costs and evaluation standards.

The commission shall establish uniform standards and procedures for

the evaluation, determination of benefits, and cost allocations of

projects affecting the basin, and for the determination of project

priorities, pursuant to the requirements of the comprehensive plan and

its water resources program. The commission shall develop equitable cost

sharing and reimbursement formulas for the signatory parties including:

(a) Uniform and consistent procedures for the allocation of project

costs among purposes included in multiple-purpose programs;

(b) Contracts and arrangements for sharing financial responsibility

among and with signatory parties, public bodies, groups and private

enterprise, and for the supervision of their performance;

(c) Establishment and supervision of a system of accounts for

reimbursable purposes and directing the payments and charges to be made

from such accounts;

(d) Determining the basis and apportioning amounts (i) of reimbursable

revenues to be paid signatory parties or their political subdivisions,

and (ii) of payments in lieu of taxes to any of them.

11.5 Cooperative services.

The commission shall furnish technical services, advice and

consultation to authorize agencies of the signatory parties with respect

to the water resources of the basin, and each of the signatory parties

pledges itself to provide technical and administrative services to the

commission upon request, within the limits of available appropriations

and to cooperate generally with the commission for the purposes of this

compact, and the cost of such services may be reimbursable whenever the

parties deem appropriate.

ARTICLE 12--CAPITAL FINANCING

Section 12.1 Borrowing power.

The commission may borrow money for any of the purposes of this

compact, and may issue its negotiable bonds and other evidences of

indebtedness in respect thereto. All such bonds and evidences of

indebtedness shall be payable solely out of the properties and revenues

of the commission without recourse to taxation. The bonds and other

obligations of the commission, except as may be otherwise provided in

the indenture under which they were issued, shall be direct and general

obligations of the commission and the full faith and credit of the

commission are hereby pledged for the prompt payment of the debt service

thereon and for the fulfillment of all other undertakings of the

commission assumed by it to or for the benefit of the holders thereof.

12.2 Funds and expenses.

The purposes of this compact shall include without limitation thereto

all costs of any project or facility or any part thereof, including

interest during a period of construction and a reasonable time

thereafter and any incidental expenses (legal, engineering, fiscal,

financial consultant and other expenses) connected with issuing and

disposing of the bonds; all amounts required for the creation of an

operating fund, construction fund, reserve fund, sinking fund, or other

special fund; all other expenses connected with the planning, design,

acquisition, construction, completion, improvement or reconstruction of

any facility or any part thereof; and reimbursement of advances by the

commission or by others for such purposes and for working capital.

12.3 Credit excluded; officers, state and municipal.

The commission shall have no power to pledge the credit of any

signatory party, or of any county or municipality, or to impose any

obligation for payment of the bonds upon any signatory party or any

county or municipality. Neither the commissioners nor any person

executing the bonds shall be liable personally on the bonds of the

commission or be subject to any personal liability or accountability by

reason of the issuance thereof.

12.4 Funding and refunding.

Whenever the commission deems it expedient, it may fund and refund its

bonds and other obligations whether or not such bonds and obligations

have matured. It may provide for the issuance, sale or exchange of

refunding bonds for the purpose of redeeming or retiring any bonds

(including the payment of any premium, duplicate interest or cash

adjustment required in connection therewith) issued by the commission or

issued by any other issuing body, the proceeds of the sale of which have

been applied to any facility acquired by the commission or which are

payable out of the revenues of any facility acquired by the commission.

Bonds may be issued partly to refund bonds and other obligations then

outstanding, and partly for any other purpose of the commission. All

provisions of this compact applicable to the issuance of bonds are

applicable to refunding bonds and to the issuance, sale or exchange

thereof.

12.5 Bonds; authorization generally.

Bonds and other indebtedness of the commission shall be authorized by

resolution of the commission. The validity of the authorization and

issuance of any bonds by the commission shall not be dependent upon nor

affected in any way by: (i) the disposition of bond proceeds by the

commission or by contract, commitment or action taken with respect to

such proceeds; or (ii) the failure to complete any part of the project

for which bonds are authorized to be issued. The commission may issue

bonds in one or more series and may provide for one or more consolidated

bond issues, in such principal amounts and with such terms and

provisions as the commission may deem necessary. The bonds may be

secured by a pledge of all or any part of the property, revenues and

franchises under its control. Bonds may be issued by the commission in

such amount, with such maturities and in such denominations and form or

forms, whether coupon or registered, as to both principal and interest,

as may be determined by the commission. The commission may provide for

redemption of bonds prior to maturity on such notice and at such time or

times and with such redemption provisions, including premiums, as the

commission may determine.

12.6 Bonds; resolutions and indentures generally.

The commission may determine and enter into indentures providing for

the principal amount, date or dates, maturities, interest rate,

denominations, form, registration, transfer, interchange and other

provisions of the bonds and coupons and the terms and conditions upon

which the same shall be executed, issued, secured, sold, paid, redeemed,

funded and refunded. The resolution of the commission authorizing any

bond or any indenture so authorized under which the bonds are issued may

include all such covenants and other provisions other than any

restriction on the regulatory powers vested in the commission by this

compact as the commission may deem necessary or desirable for the issue,

payment, security, protection or marketing of the bonds, including

without limitation covenants and other provisions as to the rates or

amounts of fees, rents and other charges to be charged or made for use

of the facilities; the use, pledge, custody, securing, application and

disposition of such revenues, of the proceeds of the bonds, and of any

other moneys of the commission; the operation, maintenance, repair and

reconstruction of the facilities and the amounts which may be expended

therefor; the sale, lease or other disposition of the facilities; the

insuring of the facilities and of the revenues derived therefrom; the

construction or other acquisition of other facilities; the issuance of

additional bonds or other indebtedness; the rights of the bondholders

and of any trustee for the bondholders upon default by the commission or

otherwise; and the modification of the provisions of the indenture and

of the bonds. Reference on the face of the bonds to such resolution or

indenture by its date of adoption or the apparent date on the face

thereof is sufficient to incorporate all of the provisions thereof and

of this compact into the body of the bonds and their appurtenant

coupons. Each taker and subsequent holder of the bonds or coupons,

whether the coupons are attached to or detached from the bonds, has

recourse to all of the provisions of the indenture and of this compact

and is bound thereby.

12.7 Maximum maturity.

No bond by its terms shall mature in more than fifty years from its

own date and in the event any authorized issue is divided into two or

more series or divisions, the maximum maturity date hereby authorized

shall be calculated from the date on the face of each bond separately,

irrespective of the fact that different dates may be prescribed for the

bonds of each separate series or division of any authorized issue.

12.8 Tax exemption.

All bonds issued by the commission under the provisions of this

compact and the interest thereof shall at all times be free and exempt

from all taxation by or under authority of any of the signatory parties,

except for transfer, inheritance and estate taxes.

12.9 Interest.

Bonds shall bear interest at a rate determined by the commission,

payable annually or semi-annually.

12.10 Place of payment.

The commission may provide for the payment of the principal and

interest of bonds at any place or places within or without the signatory

states, and in any specified lawful coin or currency of the United

States of America.

12.11 Execution.

The commission may provide for the execution and authentication of

bonds by the manual, lithographed or printed facsimile signature of

officers of the commission, and by additional authentication by a

trustee or fiscal agent appointed by the commission. If any of the

officers whose signatures or counter signatures appear upon the bonds or

coupons cease to be officers before the delivery of the bonds or

coupons, their signatures or counter signatures are nevertheless valid

and of the same force and effect as if the officers had remained in

office until the delivery of the bonds and coupons.

12.12 Holding own bonds.

The commission shall have power out of any funds available therefor to

purchase its bonds and may hold, cancel or resell such bonds.

12.13 Sale.

The commission may fix terms and conditions for the sale or other

disposition of any authorized issue of bonds. The commission may sell

bonds at less than their par or face value but no issue of bonds may be

sold at an aggregate price below the par or face value thereof if such

sale would result in a net interest cost to the commission calculated

upon the entire issue so sold of more than six percent per annum payable

semi-annually, according to standard tables of bond values. All bonds

issued and sold for cash pursuant to this act shall be sold on sealed

proposals to the highest bidder. Prior to such sale, the commission

shall advertise for bids by publication of a notice of sale not less

than ten days prior to the date of sale, at least once in a newspaper of

general circulation printed and published in New York City carrying

municipal bond notices and devoted primarily to financial news. The

commission may reject any and all bids submitted and may thereafter sell

the bonds so advertised for sale at private sale to any financially

responsible bidder under such terms and conditions as it deems most

advantageous to the public interest, but the bonds shall not be sold at

a net interest cost calculated upon the entire issue so advertised,

greater than the lowest bid which was rejected. In the event the

commission desires to issue its bonds in exchange for an existing

facility or portion thereof, or in exchange for bonds secured by the

revenues of an existing facility, it may exchange such bonds for the

existing facility or portion thereof or for the bonds so secured, plus

an additional amount of cash, without advertising such bonds for sale.

12.14 Negotiability.

All bonds issued under the provisions of this compact are negotiable

instruments, except when registered in the name of a registered owner.

12.15 Legal investments.

Bonds of the commission shall be legal investments for savings banks,

fiduciaries and public funds in each of the signatory states.

12.16 Validation proceedings.

Prior to the issuance of any bonds, the commission may institute a

special proceeding to determine the legality of proceedings to issue the

bonds and their validity under the laws of any of the signatory parties.

Such proceedings shall be instituted and prosecuted in rem and the

judgment rendered therein shall be conclusive against all persons

whomsoever and against each of the signatory parties.

12.17 Recording.

No indenture need be recorded or filed in any public office, other

than the office of the commission. The pledge of revenues provided in

any indenture shall take effect forthwith as provided therein and

irrespective of the date of receipt of such revenues by the commission

or the indenture trustee. Such pledge shall be effective as provided in

the indenture without physical delivery of the revenues to the

commission or to the indenture trustee.

12.18 Pledged revenues.

Bond redemption and interest payments shall, to the extent provided in

the resolution or indenture, constitute a first, direct and exclusive

charge and lien on all such rates, rents, tolls, fees and charges and

other revenues and interest thereon received from the use and operation

of the facility, and on any sinking or other funds created therefrom.

All such rates, rents, tolls, fees, charges and other revenues, together

with interest thereon, shall constitute a trust fund for the security

and payment of such bonds and except as and to the extent provided in

the indenture with respect to the payment therefrom of expenses for

other purposes including administration, operation, maintenance,

improvements or extensions of the facilities or other purposes shall not

be used or pledged for any other purpose so long as such bonds, or any

of them, are outstanding and unpaid.

12.19 Remedies.

The holder of any bond may for the equal benefit and protection of all

holders of bonds similarly situated: (a) by mandamus or other

appropriate proceedings require and compel the performance of any of the

duties imposed upon the commission or assumed by it, its officers,

agents or employees under the provisions of any indenture, in connection

with the acquisition, construction, operation, maintenance, repair,

reconstruction or insurance of the facilities, or in connection with the

collection, deposit, investment, application and disbursement of the

rates, rents, tolls, fees, charges and other revenues derived from the

operation and use of the facilities, or in connection with the deposit,

investment and disbursement of the proceeds received from the sale of

bonds; or (b) by action or suit in a court of competent jurisdiction of

any signatory party require the commission to account as if it were the

trustee of an express trust, or enjoin any acts or things which may be

unlawful or in violation of the rights of the holders of the bonds. The

enumeration of such rights and remedies does not, however, exclude the

exercise or prosecution of any other rights or remedies available to the

holders of bonds.

12.20 Capital financing by signatory parties; guarantees.

(a) The signatory parties will provide such capital funds required for

projects of the commission as may be authorized by their respective

statutes in accordance with a cost sharing plan prepared pursuant to

Article 11 of this compact; but nothing in this section shall be deemed

to impose any mandatory obligation on any of the signatory parties other

than such obligations as may be assumed by a signatory party in

connection with a specific project or facility.

(b) Bonds of the commission, notwithstanding any other provision of

this compact, may be executed and delivered to any duly authorized

agency of any of the signatory parties without public offering and may

be sold and resold with or without the guarantee of such signatory

party, subject to and in accordance with the constitutions of the

respective signatory parties.

(c) The commission may receive and accept, and the signatory parties

may make, loans, grants, appropriations, advances and payments of

reimbursable or non-reimbursable funds or property in any form for the

capital or operating purposes of the commission.

ARTICLE 13--PLAN, PROGRAM AND BUDGETS

Section 13.1 Comprehensive plan.

The commission shall develop and adopt, and may from time to time

review and revise, a comprehensive plan for the immediate and long range

development and use of the water resources of the basin. The plan shall

include all public and private projects and facilities which are

required, in the judgment of the commission, for the optimum planning,

development, conservation, utilization, management and control of the

water resources of the basin to meet present and future needs; provided

that the plan shall include any projects required to conform with any

present or future decree or judgment of any court of competent

jurisdiction. The commission may adopt a comprehensive plan or any

revision thereof in such part or parts as it may deem appropriate,

provided that before the adoption of the plan or any part or revision

thereof the commission shall consult with water users and interested

public bodies and public utilities and shall consider and give due

regard to the findings and recommendations of the various agencies of

the signatory parties and their political subdivisions. The commission

shall conduct public hearings with respect to the comprehensive plan

prior to the adoption of the plan or any part or revision thereof.

13.2 Water resources program.

The commission shall annually adopt a water resources program, based

upon the comprehensive plan, consisting of the projects and facilities

which the commission proposes to be undertaken by the commission and by

other authorized governmental and private agencies, organizations and

persons during the ensuing six years or such other reasonably

foreseeable period as the commission may determine. The water resources

program shall include a systematic presentation of:

1) the quantity and quality of water resources needs for such period;

2) the existing and proposed projects and facilities required to

satisfy such needs, including all public and private projects to be

anticipated;

3) a separate statement of the projects proposed to be undertaken by

the commission during such period.

13.3 Annual current expense and capital budgets.

(a) The commission shall annually adopt a capital budget including all

capital projects it proposes to undertake or continue during the budget

period containing a statement of the estimated cost of each project and

the method of financing thereof.

(b) The commission shall annually adopt a current expense budget for

each fiscal year. Such budget shall include the commission's estimated

expenses for administration, operation, maintenance and repairs,

including a separate statement thereof for each project, together with

its cost allocation. The total of such expenses shall be balanced by the

commission's estimated revenues from all sources, including the cost

allocations undertaken by any of the signatory parties in connection

with any project. Following the adoption of the annual current expense

budget by the commission, the executive director of the commission

shall:

1) certify to the respective signatory parties the amounts due in

accordance with existing cost sharing established for each project; and

2) transmit certified copies of such budget to the principal budget

officer of the respective signatory parties at such time and in such

manner as may be required under their respective budgetary procedures.

The amount required to balance the current expense budget in addition to

the aggregate amount of item (1) above and all other revenues available

to the commission shall be apportioned equitably among the signatory

parties by unanimous vote of the commission, and the amount of such

apportionment to each signatory party shall be certified together with

the budget.

(c) The respective signatory parties covenant and agree to include the

amounts so apportioned for the support of the current expense budget in

their respective budgets next to be adopted, subject to such review and

approval as may be required by their respective budgetary processes.

Such amounts shall be due and payable to the commission in quarterly

installments during its fiscal year, provided that the commission may

draw upon its working capital to finance its current expense budget

pending remittances by the signatory parties.

ARTICLE 14--GENERAL PROVISIONS

Section 14.1 Auxiliary powers of commission; functions of commissioners.

(a) The commission, for the purposes of this compact, may:

1) Adopt and use a corporate seal, enter into contracts, sue and be

sued in all courts of competent jurisdiction;

2) Receive and accept such payments, appropriations, grants, gifts,

loans, advances and other funds, properties and services as may be

transferred or made available to it by any signatory party or by any

other public or private corporation or individual, and enter into

agreements to make reimbursement for all or part thereof;

3) Provide for, acquire and adopt detailed engineering,

administrative, financial and operating plans and specifications to

effectuate, maintain or develop any facility or project;

4) Control and regulate the use of facilities owned or operated by the

commission;

5) Acquire, own, operate, maintain, control, sell and convey real and

personal property and any interest therein by contract, purchase, lease,

license, mortgage or otherwise as it may deem necessary for any project

or facility, including any and all appurtenances thereto necessary,

useful or convenient for such ownership, operation, control, maintenance

or conveyance;

6) Have and exercise all corporate powers essential to the declared

objects and purposes of the commission.

(b) The commissioners, subject to the provisions of this compact,

shall:

1) Serve as the governing body of the commission, and exercise and

discharge its powers and duties except as otherwise provided by or

pursuant to this compact;

2) Determine the character of and the necessity for its obligations

and expenditures and the manner in which they shall be incurred,

allowed, and paid subject to any provisions of law specifically

applicable to agencies or instrumentalities created by compact;

3) Provide for the internal organization and administration of the

commission;

4) Appoint the principal officers of the commission and delegate to

and allocate among them administrative functions, powers and duties;

5) Create and abolish offices, employments and positions as it deems

necessary for the purposes of the commission, and subject to the

provisions of this article, fix and provide for the qualification,

appointment, removal, term, tenure, compensation, pension and retirement

rights of its officers and employees;

6) Let and execute contracts to carry out the powers of the

commission.

14.2 Regulations; enforcement.

The commission may:

(a) Make and enforce reasonable rules and regulations for the

effectuation, application and enforcement of this compact; and it may

adopt and enforce practices and schedules for or in connection with the

use, maintenance and administration of projects and facilities it may

own or operate and any product or service rendered thereby; provided

that any rule or regulation, other than one which deals solely with the

internal management of the commission, shall be adopted only after

public hearing and shall not be effective unless and until filed in

accordance with the law of the respective signatory parties applicable

to administrative rules and regulations generally; and

(b) Designate any officer, agent or employee of the commission to be

an investigator or watchman and such person shall be vested with the

powers of a peace officer of the state in which he is duly assigned to

perform his duties.

14.3 Tax exemption.

The commission, its property, functions, and activities shall be

exempt from taxation by or under the authority of any of the signatory

parties or any political subdivision thereof; provided that in lieu of

property taxes the commission shall, as to specific projects, make

payments to local taxing districts in annual amounts which shall equal

the taxes lawfully assessed upon property for the tax year next prior to

its acquisition by the commission for a period of ten years. The nature

and amount of such payments shall be reviewed by the commission at the

end of ten years, and from time to time thereafter, upon reasonable

notice and opportunity to be heard to the affected taxing district, and

the payments may be thereupon terminated or continued in such reasonable

amount as may be necessary or desirable to take into account hardships

incurred and benefits received by the taxing jurisdiction which are

attributable to the project.

14.4 Meetings; public hearing; records, minutes.

(a) All meetings of the commission shall be open to the public.

(b) The commission shall conduct at least one public hearing prior to

the adoption of the comprehensive plan, water resources program, annual

capital and current expense budgets, the letting of any contract for the

sale or other disposition by the commission of hydroelectric energy or

water resources to any person, corporation or entity, and in all other

cases wherein this compact requires a public hearing. Such hearing shall

be held upon at least ten days public notice given by posting at the

offices of the commission. The commission shall also provide forthwith

for distribution of such notice to the press and by the mailing of a

copy thereof to any person who shall request such notices.

(c) The minutes of the commission shall be a public record open to

inspection at its offices during regular business hours.

14.5 Officers generally.

(a) The officers of the commission shall consist of an executive

director and such additional officers, deputies and assistants as the

commission may determine. The executive director shall be appointed and

may be removed by the affirmative vote of a majority of the full

membership of the commission. All other officers and employees shall be

appointed by the executive director under such rules of procedure as the

commission may determine.

(b) In the appointment and promotion of officers and employees for the

commission, no political, racial, religious or residence test or

qualification shall be permitted or given consideration, but all such

appointments and promotions shall be solely on the basis of merit and

fitness. Any officer or employee of the commission who is found by the

commission to be guilty of a violation of this section shall be removed

from office by the commission.

14.6 Oath of office.

An oath of office in such form as the commission shall prescribe shall

be taken, subscribed and filed with the commission by the executive

director and by each officer appointed by him not later than fifteen

days after the appointment.

14.7 Bond.

Each officer shall give such bond and in such form and amount as the

commission may require for which the commission may pay the premium.

14.8 Prohibited activities.

(a) No commissioner officer or employee shall:

1) be financially interested, either directly or indirectly, in any

contract, sale, purchase, lease or transfer of real or personal property

to which the commission is a party;

2) solicit or accept money or any other thing of value in addition to

the compensation or expenses paid him by the commission for services

performed within the scope of his official duties;

3) offer money or any thing of value for or in consideration of

obtaining an appointment, promotion or privilege in his employment with

the commission.

(b) Any officer or employee who shall willfully violate any of the

provisions of this section shall forfeit his office or employment.

(c) Any contract or agreement knowingly made in controvention of this

section is void.

(d) Officers and employees of the commission shall be subject in

addition to the provisions of this section to such criminal and civil

sanctions for misconduct in office as may be imposed by federal law and

the law of the signatory state in which such misconduct occurs.

14.9 Purchasing.

Contracts for the construction, reconstruction or improvement of any

facility when the expenditure required exceeds ten thousand dollars and

contracts for the purchase of services, supplies, equipment and

materials when the expenditure required exceeds two thousand five

hundred dollars shall be advertised and let upon sealed bids to the

lowest responsible bidder. Notice requesting such bids shall be

published in a manner reasonably likely to attract prospective bidders,

which publication shall be made at least ten days before bids are

received and in at least two newspapers of general circulation in the

basin. The commission may reject any and all bids and readvertise in its

discretion. If after rejecting bids the commission determines and

resolves that in its opinion the supplies, equipment and materials may

be purchased at a lower price in the open market, the commission may

give each responsible bidder an opportunity to negotiate a price and may

proceed to purchase the supplies, equipment and materials in the open

market at a negotiated price which is lower than the lowest rejected bid

of a responsible bidder, without further observance of the provisions

requiring bids or notice. The commission shall adopt rules and

regulations to provide for purchasing from the lowest responsible bidder

when sealed bids, notice and publication are not required by this

section. The commission may suspend and waive the provisions of this

section requiring competitive bids whenever:

1) the purchase is to be made from or the contract to be made with the

federal or any state government or any agency or political subdivision

thereof or pursuant to any open end bulk purchase contract of any of

them;

2) the public exigency requires the immediate delivery of the articles

or performance of the service;

3) only one source of supply is available;

4) the equipment to be purchased is of a technical nature and the

procurement thereof without advertising is necessary in order to assure

standardization of equipment and interchangeability of parts in the

public interest; or

5) services are to be provided of a specialized or professional

nature.

14.10 Insurance.

The commission may self-insure or purchase insurance and pay the

premiums therefor against loss or damage to any of its properties;

against liability for injury to persons or property; and against loss of

revenue from any cause whatsoever. Such insurance coverage shall be in

such form and amount as the commission may determine, subject to the

requirements of any agreement arising out of the issuance of bonds by

the commission.

14.11 Annual independent audit.

(a) As soon as practical after the closing of the fiscal year, an

audit shall be made of the financial accounts of the commission. The

audit shall be made by qualified certified public accountants selected

by the commission, who have no personal interest direct or indirect in

the financial affairs of the commission or any of its officers or

employees. The report of audit shall be prepared in accordance with

accepted accounting practices and shall be filed with the chairman and

such other officers as the commission shall direct. Copies of the report

shall be distributed to each commissioner and shall be made available

for public distribution.

(b) Each signatory party by its duly authorized officers shall be

entitled to examine and audit at any time all of the books, documents,

records, files and accounts and all other papers, things or property of

the commission. The representatives of the signatory parties shall have

access to all books, documents, records, accounts, reports, files and

all other papers, things or property belonging to or in use by the

commission and necessary to facilitate the audit and they shall be

afforded full facilities for verifying transactions with the balances or

securities held by depositaries, fiscal agents and custodians.

(c) The financial transactions of the commission shall be subject to

audit by the general accounting office in accordance with the principles

and procedures applicable to commercial corporate transactions and under

such rules and regulations as may be prescribed by the comptroller

general of the United States. The audit shall be conducted at the place

or places where the accounts of the commission are kept.

(d) Any officer or employee who shall refuse to give all required

assistance and information to the accountants selected by the commission

or to the authorized officers of any signatory party or who shall refuse

to submit to them for examination such books, documents, records, files,

accounts, papers, things or property as may be requested shall forfeit

his office.

14.12 Reports.

The commission shall make and publish an annual report to the

legislative bodies of the signatory parties and to the public reporting

on its programs, operations and finances. It may also prepare, publish

and distribute such other public reports and informational materials as

it may deem necessary or desirable.

14.13 Grants, loans or payments by states or political subdivisions.

(a) Any or all of the signatory parties or any political subdivision

thereof may:

1) Appropriate to the commission such funds as may be necessary to pay

preliminary expenses such as the expenses incurred in the making of

borings, and other studies of subsurface conditions, in the preparation

of contracts for the sale of water and in the preparation of detailed

plans and estimates required for the financing of a project;

2) Advance to the commission, either as grants or loans, such funds as

may be necessary or convenient to finance the operation and management

of or construction by the commission of any facility or project;

3) Make payments to the commission for benefits received or to be

received from the operation of any of the projects or facilities of the

commission.

(b) Any funds which may be loaned to the commission either by a

signatory party or a political subdivision thereof shall be repaid by

the commission through the issuance of bonds or out of other income of

the commission, such repayment to be made within such period and upon

such terms as may be agreed upon between the commission and the

signatory party or political subdivision making the loan.

14.14 Condemnation proceedings.

(a) The commission shall have the power to acquire by condemnation the

fee or any lesser interest in lands, lands lying under water,

development rights in land, riparian rights, water rights, waters and

other real or personal property within the basin for any project or

facility authorized pursuant to this compact. This grant of power of

eminent domain includes but is not limited to the power to condemn for

the purposes of this compact any property already devoted to a public

use, by whomsoever owned or held, other than property of a signatory

party and any property held, constructed, operated or maintained in

connection with a diversion authorized by a United States Supreme Court

decree. Any condemnation of any property or franchises owned or used by

a municipal or privately owned public utility, unless the affected

public utility facility is to be relocated or replaced, shall be subject

to the authority of such state board, commission or other body as may

have regulatory jurisdiction over such public utility.

(b) Such power of condemnation shall be exercised in accordance with

the provisions of any federal law applicable to the commission; provided

that if there is no such applicable federal law, condemnation

proceedings shall be in accordance with the provisions of such general

state condemnation law as may be in force in the signatory state in

which the property is located.

(c) Any award or compensation for the taking of property pursuant to

this article shall be paid by the commission, and none of the signatory

parties nor any other agency, instrumentality or political subdivision

thereof shall be liable for such award or compensation.

14.15 Conveyance of lands and relocation of public facilities.

(a) The respective officers, agencies, departments, commissions or

bodies having jurisdiction and control over real and personal property

owned by the signatory parties are authorized and empowered to transfer

and convey in accordance with the laws of the respective parties to the

commission any such property as may be necessary or convenient to the

effectuation of the authorized purposes of the commission.

(b) Each political subdivision of each of the signatory parties is

authorized and empowered, notwithstanding any contrary provision of law,

to grant and convey to the commission, upon the commission's request,

any real property or any interest therein owned by such political

subdivision including lands lying under water and lands already devoted

to public use which may be necessary or convenient to the effectuation

of the authorized purposes of the commission.

(c) Any highway, public utility or other public facility which will be

dislocated by reason of a project deemed necessary by the commission to

effectuate the authorized purposes of this compact shall be relocated

and the cost thereof shall be paid in accordance with the law of the

state in which the facility is located; provided that the cost of such

relocation payable by the commission shall not in any event exceed the

expenditure required to serve the public convenience and necessity.

14.16 Rights of way.

Permission is hereby granted to the commission to locate, construct

and maintain any aqueducts, lines, pipes, conduits and auxiliary

facilities authorized to be acquired, constructed, owned, operated or

maintained by the commission in, over, under or across any streets and

highways now or hereafter owned, opened or dedicated to or for public

use, subject to such reasonable conditions as the highway department of

the signatory party may require.

14.17 Penal sanction.

Any person, association or corporation who violates or attempts or

conspires to violate any provision of this compact or any rule,

regulation or order of the commission duly made, promulgated or issued

pursuant to the compact in addition to any other remedy, penalty or

consequence provided by law shall be punishable as may be provided by

statute of any of the signatory parties within which the offense is

committed; provided that in the absence of such provision any such

person, association or corporation shall be liable to a penalty of not

less than $50 nor more than $1000 for each such offense to be fixed by

the court which the commission may recover in its own name in any court

of competent jurisdiction, and in a summary proceeding where available

under the practice and procedure of such court. For the purposes of this

section in the event of a continuing offense each day of such violation,

attempt or conspiracy shall constitute a separate offense.

14.18 Tort liability.

The commission shall be responsible for claims arising out of the

negligent acts or omissions of its officers, agents and employees only

to the extent and subject to the procedures prescribed by law generally

with respect to officers, agents and employees of the government of the

United States.

14.19 Effect on riparian rights.

Nothing contained in this compact shall be construed as affecting or

intending to affect or in any way to interfere with the law of the

respective signatory parties relating to riparian rights.

14.20 Amendments and supplements.

Amendments and supplements to this compact to implement the purposes

thereof may be adopted by legislative action of any of the signatory

parties concurred in by all of the others.

14.21 Construction and severability.

The provisions of this act and of agreements thereunder shall be

severable and if any phrase, clause, sentence or provision of this

compact or such agreement is declared to be unconstitutional or the

applicability thereof to any signatory party, agency or person is held

invalid, the constitutionality of the remainder of this compact or such

agreement and the applicability thereof to any other signatory party,

agency, person or circumstance shall not be affected thereby. It is the

legislative intent that the provisions of this compact be reasonably and

liberally construed.

14.22 Effective date; execution.

This compact shall become binding and effective thirty days after the

enactment of concurring legislation by the federal government, the

states of Delaware, New Jersey and New York, and the Commonwealth of

Pennsylvania. The compact shall be signed and sealed in six duplicate

original copies by the respective chief executives of the signatory

parties. One such copy shall be filed with the Secretary of State of

each of the signatory parties or in accordance with the laws of the

state in which the filing is made, and one copy shall be filed and

retained in the archives of the commission upon its organization. The

signatures shall be affixed and attested under the following form:

In Witness Whereof, and in evidence of the adoption and enactment into

law of this compact by the Congress and legislatures, respectively, of

the signatory parties, the President of the United States and the

respective Governors do hereby, in accordance with authority conferred

by law, sign this compact in six duplicate original copies, as attested

by the respective secretaries of state, and have caused the seals of the

United States and of the respective states to be hereunto affixed

this........day of.......