Abstract
ABSTRACT Financing and repayment provisions of western water projects effect transfers of income among federal taxpayers, electric power users, local water users, and property owners. We use the Bonneville Unit of the Central Utah Project as a case study in the distribution of municipal and industrial water costs. We examine the distribution of costs among taxpayers and water users in different political/geographical jurisdictions, and how this distribution is affected by water law, cost allocation procedures, and the choice of revenue source for local repayment of reimbursable costs. In light of the magnitude of distributional effects of present water policy, we conclude that lack of open debate on water issues is unfortunate. We conclude with speculation on the relationship of western water policy to the motivation of western water leaders who are instrumental in its formulation
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