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Show fPgerGreejcElection Set for Tuesday. Sept. 21 American Fork Will Vote On Deer Creek Subscription Contract Tuesday, Sept. 21st A. F. Metropolitan Board Submits Proposition of Taking 500 Acre Feet of Water In Deer Creek Project American Fork citizens will have an opportunity to determine on Tuesday, September 21st, whether or not the people of this city shall secure a water right in the Deer Creek project. The election was ordered in an ordinance passed by the Metropolitan Water District of American Fork board of directors consisting of Lott Robinson, Stephen T. Shelley and Wm. H. Preston, in a special meetin? held Thursday. Deer Creek Only Source Available The ordinance which was passed recites that the directors have determined de-termined that it is necessary and desirable de-sirable for the district to obtain an additional water supply and that the only source available for such supply is from the Deer Creek Project, and that in order to obtain that supply it will be necessary for the district to subscribe for shares of stock in the Provo River Water Users' Association which in turn buys the Deer Creek Project from the United States government. Five hundred shares of stock in the Provo Pro-vo River Water Users' Association, which represent 500 acre feet of water in the Deer Creek Project, js the amount which the directors are asking the electors and taxpayers of American Fork to approve. Judged of Election Named Leonard S. Harrington, Thomas A. Greenwood and Grace Coates are named as the election judges to preside at the election. American Fork City shall comprise one election elec-tion precinct and the polling place named is the American Fork City Hall. The polls are to be open from 7 o'clock A. M. to 7 o'clock P. M. The ordinance further provides that all qualified electors who have paid a property tax during the preceding pre-ceding year are eligible to vote at this election. Total Indebtedness Assumed The ordinance further provides that the total principal indebtedness indebted-ness which will be incurred for the purchase of 500 shares of stock is $38,000, and that in addition thereto there-to there is a contingent or possible liability of $13,300 which will only be invoked in the event other stockholders stock-holders in the corporation fail toT pay their assessments. Definite Proposition Submitted The definite question which will be placed on the ballot is "Shall the Metropolitan Water District of American Fork enter Into a contract con-tract with the Provo River Water Users' Association for the purchase of 500 shares o f stock in said Association and incur a principal indebtedness therefor in the sum of $38,000 and a contingent liability of $13,300?" The ballot shall also bear the the words, "Yes" and "No" accompanied accom-panied by voting squares set opposite oppo-site these words so that any qualified quali-fied elector may record his vote for or against the proposition. The voter will indicate his vote for or against the proposition by placing a cros3 in the square opposite the word "Yes" or "No." The ordinance is printed elsewhere in this edition of The Lehi Sun. Other Election Carried Overwhelmingly One election in connection with the metropolitan district has already al-ready been held here. That election elec-tion was held last February 6th for the purpose of determining whether or not a metropolitan district should be formed. The election was carried car-ried by a vote of almost 5 to 1. Provo Election Tomorrow Provo City holds a similar election elec-tion today at which It is expected expect-ed that the project will win by a wide majority. Other cities and towns of the county are preparing election ordinances which will be passed some time this week. The action of the directors if approved by the voters will go a long way to provide this city with a water supply to take care of present pres-ent needs and future growth. In years such as 1934 the additional 500 acre feet of water will be an insurance in-surance against burnt lawns, withering wither-ing gardens and trees dropping their leaves out of season. It would mean that our worries for culinary supply would be over. Generous Repayment Terms Particularly Is the subscription contract for Deer Creek water de-(Continued de-(Continued On Page Four) (Continued From Page One) DEER CREEK ELECTION SET FOR TUESDAY, SEPT. 21st sirable in its terms providing for repayment. It gives the water users 40 years to repay the cost of the project without interest. The payments pay-ments will be made in 40 equal annual an-nual installments, which means that only two and one-half per cent of the cost will have to be paid each year. What Money Without Interest Means As one water association official stated recently, It means, to put it in other language, that the United States actually builds the project free for the water users, giving them the full amount expended In its construction, and merely asks the water users to pay 2'A on the money invested for a period of 40 years, at the end of which time the project will be given to the water users without any further cost. Explained Another Way Or to put it still another way, if the American Fork water users would purchase now $38,000 In government gov-ernment bonds bearing 2ya Interest Inter-est and put these bonds In a safety deposit box, we could go each year to the box and clip the 2'if '. Interest Inter-est coupons, make the annual payments pay-ments to the government for the Deer Creek project from this Interest Inter-est and the end of 40 years our part would be paid for and we would still have their $38,000 in bonds. Each Share Represents Acre Foot The Provo Rivrr Water Users' Association As-sociation In which the district will subscribe for stock is issuing 100.000 shares of stock, each share representing repre-senting one acre fcot of water. The annual yield cf the project as planned by the Unitrtl Stale; is 100,000 acre feel, of water. The reservoir res-ervoir lias a capacity of 150.000 acre feet, which gives it a 50.00(1 acre foot carry over capacity so that water may be carried over from wet years and used in dry years. Allhouch the water users contract con-tract with the United stales incurs in-curs a 111 ixlmuin liability of $7,000.-000 $7,000.-000 for 100.000 aero feet, of water, the water users are only required, how ever, to pay the actual cost of the project which is estimated at $70.00 per acre foot if the small project without the Duchesne tunnel is built and $68.00 per acre foot if the large project including the Duchesne tunnel is built. The price stated in the contract is the maximum. The water users will only have to pay what the project actually costs no matter how much it is under the maximum. What American Fork Will Pay The subscription of 500 acre feet, if finally consumated, will be figured fig-ured at the maximum of $76.00 per acre foot, or a total of $38,000, or less, if the project costs less. The I United States has agreed to a limited lim-ited joint liability of 35Cc of the principal liability, which is 357c of the $38,000, or $13,300. This, it is explained, can only be invoked in the event other stockholders in the Provo River Water Users' Association Associa-tion fail in their payments. If they should fail, each of the remaining stockholders will pay a proportionate proportion-ate amount of the default and In that event will receive their proportionate pro-portionate share of the water right of the defaulting subscriber, so nothing will actually be lost, but for every dollar expended there will come back an additional interest in the Deer Creek water rights. Work May Begin Soon Provo River Water Users' Association Asso-ciation officials state that if the elections ha the various metropol-! ltan districts are carried for the project, proj-ect, bids for the construction will likely be advertised in November and construction work actually begun be-gun early this coming winter. It is pointed out that nearly 3.000 men will be required to do the work and th.it work will la-.-t for more than I three years. Under the contracts with the United States no money has to be paid back until the project is finished fin-ished and one year thereafter, the United Slates taking one year (a j operate (lie project it.seif for the j purp se of testing it out before It 1 Is delivered to the water Users. |