16 Usc 806

§ 805

TITLE 16—CONSERVATION

(b) That in case such structures for navigation
purposes are not made a part of the original construction at the expense of the licensee, then
whenever the United States shall desire to complete such navigation facilities the licensee
shall convey to the United States, free of cost,
such of its land and its rights-of-way and such
right of passage through its dams or other structures, and permit such control of pools as may
be required to complete such navigation facilities.
(c) That such licensee shall furnish free of cost
to the United States power for the operation of
such navigation facilities, whether constructed
by the licensee or by the United States.
(June 10, 1920, ch. 285, pt. I, § 11, 41 Stat. 1070; renumbered pt. I, Aug. 26, 1935, ch. 687, title II,
§ 212, 49 Stat. 847; July 26, 1947, ch. 343, title II,
§ 205(a), 61 Stat. 501.)
CHANGE OF NAME
Department of War designated Department of the
Army and title of Secretary of War changed to Secretary of the Army by section 205(a) of act July 26, 1947,
ch. 343, title II, 61 Stat. 501. Section 205(a) of act July
26, 1947, was repealed by section 53 of act Aug. 10, 1956,
ch. 1041, 70A Stat. 641. Section 1 of act Aug. 10, 1956, enacted ‘‘Title 10, Armed Forces’’ which in sections 3010
to 3013 continued military Department of the Army
under administrative supervision of Secretary of the
Army.

§ 805. Participation by Government in costs of
locks, etc.
Whenever application is filed for a project
hereunder involving navigable waters of the
United States, and the commission shall find
upon investigation that the needs of navigation
require the construction of a lock or locks or
other navigation structures, and that such
structures cannot, consistent with a reasonable
investment cost to the applicant, be provided in
the manner specified in subsection (a) of section
804 of this title, the commission may grant the
application with the provision to be expressed in
the license that the licensee will install the necessary navigation structures if the Government
fails to make provision therefor within a time to
be fixed in the license and cause a report upon
such project to be prepared, with estimates of
cost of the power development and of the navigation structures, and shall submit such report
to Congress with such recommendations as it
deems appropriate concerning the participation
of the United States in the cost of construction
of such navigation structures.
(June 10, 1920, ch. 285, pt. I, § 12, 41 Stat. 1070; renumbered pt. I, Aug. 26, 1935, ch. 687, title II,
§ 212, 49 Stat. 847.)
§ 806. Time limit for construction of project
works; extension of time; termination or revocation of licenses for delay
The licensee shall commence the construction
of the project works within the time fixed in the
license, which shall not be more than two years
from the date thereof, shall thereafter in good
faith and with due diligence prosecute such construction, and shall within the time fixed in the
license complete and put into operation such
part of the ultimate development as the com-

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mission shall deem necessary to supply the reasonable needs of the then available market, and
shall from time to time thereafter construct
such portion of the balance of such development
as the commission may direct, so as to supply
adequately the reasonable market demands
until such development shall have been completed. The periods for the commencement of
construction may be extended once but not
longer than two additional years and the period
for the completion of construction carried on in
good faith and with reasonable diligence may be
extended by the commission when not incompatible with the public interests. In case the licensee shall not commence actual construction
of the project works, or of any specified part
thereof, within the time prescribed in the license or as extended by the commission, then,
after due notice given, the license shall, as to
such project works or part thereof, be terminated upon written order of the commission. In
case the construction of the project works, or of
any specified part thereof, has been begun but
not completed within the time prescribed in the
license, or as extended by the commission, then
the Attorney General, upon the request of the
commission, shall institute proceedings in equity in the district court of the United States
for the district in which any part of the project
is situated for the revocation of said license, the
sale of the works constructed, and such other
equitable relief as the case may demand, as provided for in section 820 of this title.
(June 10, 1920, ch. 285, pt. I, § 13, 41 Stat. 1071; renumbered pt. I, Aug. 26, 1935, ch. 687, title II,
§ 212, 49 Stat. 847.)
REFERENCES IN TEXT
Proceedings in equity, referred to in text, were abolished by the adoption of rule 2 of the Federal Rules of
Civil Procedure, set out in the Appendix to Title 28, Judiciary and Judicial Procedure, which provided that
‘‘there shall be one form of action to be known as ‘civil
action’ ’’.

§ 807. Right of Government to take over project
works
(a) Compensation; condemnation by Federal or
State Government
Upon not less than two years’ notice in writing from the commission the United States shall
have the right upon or after the expiration of
any license to take over and thereafter to maintain and operate any project or projects as defined in section 796 of this title, and covered in
whole or in part by the license, or the right to
take over upon mutual agreement with the licensee all property owned and held by the licensee then valuable and serviceable in the development, transmission, or distribution of
power and which is then dependent for its usefulness upon the continuance of the license, together with any lock or locks or other aids to
navigation constructed at the expense of the licensee, upon the condition that before taking
possession it shall pay the net investment of the
licensee in the project or projects taken, not to
exceed the fair value of the property taken, plus
such reasonable damages, if any, to property of
the licensee valuable, serviceable, and dependent as above set forth but not taken, as may be