Boulder Dollars

Boulder Dam, as a power-and-flood project, moved a long notch toward reality last week when President Hoover asked Congress to make an initial appropriation of $10,600,000 to commence construction at Black Canyon on the Colorado river.

Fortnight ago officials of the City of Los Angeles, of the Metropolitan Water District and of Southern California Edison Co., signed contracts with the U. S. for 57% of the 650,000 horsepower to be generated. Over 50 years they will pay the U. S. as rental a sum equal to the cost of the dam ($165,000,000) plus 4%. The Government will erect the $21,000,000 power plant at the dam (TIME, Feb. 10). Under the law no work could begin until the U. S. had these power contracts guaranteeing reimbursement of the investment cost.

From Los Angeles, Northcutt Ely, assistant to Secretary of the Interior Ray Lyman Wilbur, flew east, delivered to his chief the all-important power contracts which set the appropriation wheels to turning.

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