Digitized by the Internet Archive in 2007 with funding from IVIicrosoft Corporation http://www.archive.org/details/controlofuseofstOOdunnrich B^^HCROFT UBRAW The Control of Use of Stream Waters IN THE UNITED STATES A Dissertation BY RUSSELL L. DUNN SAN FRANCISCO, CAL.. FEB. 22, 1910 FROh/ R L DUNN ?I2 METROP, L»S BANK BLD'G SAN FRANCISCO. CAL, The Control of Use of Stream Waters IN THE UNITED STATES A Dissertation BY RUSSELL L. DUNN SAN FRANCISCO, CAL., FEB. 22, 1910 The Control of Use of Stream Waters. Federeil Policy of Water Appropriation and Use. President Taft, in his recent message to Congress relating to the "Conservation of Natural Resources," has for the first time declared a Federal administration policy with reference to the appropriation and use of stream waters concretely definite enough to be intelligently discussed. He says in that message : "With respect to the public land which lies along the streams offering oppor- tunity to convert water power into transmissible electricity, another important phase of the public-land question is presented. There are valuable waterpower sites* through all the public land States. The opinion is held that the transfer of sovereignty from the Federal Government to the territorial governments as they became States included the water power in the rivers, except so far as that owned by riparian proprietors. I do not think it necessary to go into a discus- sion of this somewhat mooted question of law. It seems to me sufficient to say that the man who owns and controls the land along the stream from which the power is to be converted and transmitted owns land which is indispensable to the conversion and use of that power. I cannot conceive how the power in streams flowing through the public lands can be made available at all except by using the land itself as the site for the construction of the plant by which the power is generated and converted and securing a right of way thereover for transmission lines. Under these conditions, if the Government owns the adjacent land— indeed, if the Government is the riparian owner — it may control the use of the waterpower by imposing proper conditions on the disposition of the land necessary in the creation and utilization of the water power." ♦President Taft seems to have in mind "mill seats" as they are known in the States east of the Mississippi river. A dam across the stream raises the level of the water and makes behind it a mill-pond, possibly flooding land of the stream banks. Water is taken from such a mill-pond by a water way called a mill-race imd conducted to a waterwheel, overshot, undershot, breast wheel or low head turbine, as the case may be, and, passing the wheel goes back into its original channel. There is, precisely speaking, no such entity recognized in the practice of the West from which the term comes as a "water power site." There is a dam across the stream to turn the water known as a "dam site." There is a ditch, flume, or canal, or all combined, with pipe lines, constituting a line of water conduit from the diversion dam, which line may be as much as fifty, in some instances a hundred miles, long. The land on which this line of works is emplaced is described as a "ditch right of way." Then there is the power house, in which are situated the water wheels and electric power generators, and to which the water is conducted under pressure, sometimes with a head of more than 2000 feet. Its situs is the "power house site." The water is wasted from it into some natural water channel, which may be entirely outside of the original stream watershed from which the water was taken. The locations of the dam, ditches and power house are deter- mined more by commercial considerations than by natural conditions. Sites are made rather than naturally existent. In the sense in which the President appears lo use the word no water-power sites are "valuable" intrinsically. Following this declaratory statement the President proceeds to make some suggestions as to the nature of the legislation required of Congress to establish a Federal policy which will control the use of water power which the President thinks the Government may control. These suggestions are not material to the discussion of the right of the Government (the Federal Government) to control the use of water power. If the right of such Government control does not exist there is nothing to legislate for. It may be presumed that President Taft in making the declara- tions quoted above had in mind the last annual report of his Secretary of the Interior, Mr. Ballinger. In this report Secretary Ballinger says : "If the Federal Government desires to exercise control or supervision over water power development on the public domain, it can only do so by limitations imposed upon the disposal of power and reservoir sites upon the public lands, the waters of the streams being subject to State jurisdiction in their appropriation and beneficial use." Contradictory Propositions of Federal Policy Declared. In these two quotations the President and his Secretary of the Interior are maintaining affirmatively two propositions of fact which oppose and negative one the other. That is to say if either one be affirmed, then by reason of that affirmation the other must be negatived. One of the propositions is that "the waters of the streams" (which flow over or by public land of the United States) are "subject to State jurisdiction (State sovereignty) in their appropriation and beneficial use." The other proposition is that the Federal Government may control the use of the water power (or any other use of the water) of streams flowing on or by (or adjacent to) public land of the United States by virtue of the fact that the land is public land of the United States, which is the same thing as saying that the waters of the streams which flow over, by, or adjacent to, public land of the United States are subject to Federal Government jurisdiction (Federal sovereignty) in their appropriation and beneficial use. There can be only one sovereign having jurisdiction over the appropriation and beneficial use of the water of streams flowing over, by, or adjacent to, public land of the United States. This is too elementary to require elucidation. The proposition that the Federal Government does not directly assume jurisdiction over the appropriation and beneficial use of the stream waters, but is to take that jurisdiction indirectly by imposing conditions or limitations (contractual covenants) on the disposal of public land necessary (perhaps indispensable) to the development and use of water power from the streams, is a proposition, either, that one, (the Federal Government), may do unto another, (a sovereign State of the United States), indirectly, that which it could not lawfully do directly, or is a proposition that the Federal Government is the sovereign of the public land. As to the latter, it is well adjudicated law that the United States holds the public land not as the sovereign, but as proprietor — as proprietor with the same obligations as any other proprietor, which means subject to the jurisdiction of the State and its laws regulating the terms and conditions of private land proprietorship in the State, except that the State cannot make laws which would nullify as to the public land express covenants of the act of admission of the State. Thus, unless the Federal Government has reserved the power by the terms of express covenants of the Act of Admission of the State, it is subject in imposing conditions or limitations on the disposition of public land which would regulate or control the appropriation and use of stream waters, to the same State law to which the private proprietor is subject in imposing conditions on the disposition of his privately owned land through which he would regulate and control the appropriation and use of stream waters. If this were the contention of the President and Secretary Bal- linger there would be no contention with it. But, obviously it is not their contention, because the frankly avowed reason for the control by the Federal Government is the claim of some persons having political voice and influence with the Federal Government that the municipal laws of the several sovereign States imposing those conditions on the private proprietorship of land which control the appropriation and use of stream waters are improvidently conceived and administered. While admittedly irrelevant to the argument, the fact that these voiceful, influential persons must be foreigners, because of their obvious lack of the American sense of humor, is very interesting as suggesting a possible cause for the lately developed trend of our Federal political institutions and means toward foreign standards. These humor-sense-lacking persons do not seem to have observed that in each of the sovereign States of this Federal Government it is the people of the State who are sovereign, and that the sovereign people have an unquestionable right to conceive and administer to 6 themselves improvident municipal law if that be their passing idea of inalienable right to the pursuit of happiness or anything else. The proposition that the Federal Government may do unto a State indirectly that which it could not lawfully do directly may be disregarded. Neither the President nor Secretary Ballinger would conceive of such a proposition. Contradictory Propositions Not Recognized by President and Secretary. That the President and Secretary Ballinger could consciously affirm two propositions which directly, and indeed obviously, oppose and negative each other is unthinkable. They have just as obviously not recognized the two opposing propositions as such. The reason for this is that as they appear to have understood the premises from which they started, their conclusions follow logically and are under- standable as entirely consistent with each other, but of course some- thing quite different in meaning from the meaning given to them above. The cause of any difference in meaning given to the con- clusions thus has its origin in a difference of understanding of the definition or meaning of the premises. President Taft says in his message : "The opinion is held that the transfer of sovereignty from the Federal Gov- ernment to the Territorial governments as they became States included the water power in the rivers, except so far as that owned by riparian proprietors." "Under these conditions, if the Government (Federal) owns the adjacent land — indeed, if the Government is the riparian owner — it may control the use of the water power. * * * "In the disposition of the domain (public land) already granted, many water- power sites have come under absolute ownership, and * * * In 1907 President Taft, then Secretary of War to President Roosevelt, rendered an opinion on a bill which had been introduced in Congress to provide for and regulate the use of the navigable streams of the United States for the development of water power. In this opinion he says : "If the State has any control over the water power, which it may exercise in conflict with the claimed rights of the riparian owner, * * * " "But with respect to the water power on a navigable stream * * * It is controlled by the riparian ownership * * * " All of these references by the President to "riparian proprietor- ship" suggest that he has in mind an idea that a riparian right of land proprietorship is a sort of natural right proceeding from and attached to the riparian land itself. They suggest-that in some way the riparian proprietor is possessed of a property right in the use of the flow of the stream water which is inherent in the riparian land, or at least created for it before, and thereby made independent of, the sovereignty of the State and of the sovereignty of the Federal Government, and existent now outside of obligations of law imposed by the sovereign. If this idea of natural right of riparian proprietorship be assumed — that it bears with it a control of the use of the flow of the stream water which may be exercised by contract, as the President seems to think it can be, free of obligations to municipal law which are imposed on other species of property by the sovereign State — then there is no contradiction of two propositions affirming severally State sovereignty and Federal sovereignty, because the Federal Gov- ernment would be controlling the use of the water flow of the streams as a riparian land proprietor and not by assertion of sovereign right. Of course if one riparian proprietor has natural power to control the use of the flow of the stream waters by virtue of that proprietorship, so has any other riparian proprietor, a condition which the President recognizes and deplores. Appropriation of the use of the flow of stream waters seems to be understood by President Taft and Secretary Ballinger as an act which begins and ends with a compliance by the intending appropriator with the legal forms of initiating appropriation of the use of the flow of stream waters prescribed by State law. Thus, the recognition of the State jurisdiction with this understanding of the meaning of appropriation is accomplished by the Federal Government by requiring that an intending appropriator of the use of the stream waters which flow over, by, or adjacent to, public land, shall have initiated his appropriation by complying with the statutory forms prescribed by the State law before the Federal Government will recognize him as qualified to contract with it for the use of the stream waters for power development or other purpose, direct or ultimate. The Presi- dent and Secretary Ballinger cannot be understanding that the State jurisdiction extends beyond the prescription of the form of declara- tion of an intention to appropriate the use of the flow of the stream waters, because they say that the Federal Government has the power to exercise control over the actual physical act of appropriation of the waters (their diversion from natural channels of flow), and use of the water, or of converted products of its use such as water power and electric power, by imposing (contractual) conditions on the disposition of the public land necessary to make physical appropriation and actual utilization of the water and its converted products. If this meaning to stream water appropriation be assumed — that it consists solely of an act of declaration of intention to make the appropriation accomplished in the manner prescribed by the State jurisdiction — then there is no contradiction of two propositions afirm- ing severally State sovereignty and Federal sovereignty, because there would be no State jurisdiction over the physical appropriation and subsequent use of the stream waters. Conclusions of President and Secretary Consistent With Their Under- standing of Premises. The conclusions of President Taft and Secretary Ballinger, given the meaning which they evidently intended they should express — that the Federal Government could control the use of stream waters through means of private contract by imposing conditions on the dispo- sition of public land nepessary (more or less) for the appropriation and use of the water flow, without thereby conflicting with a State jurisdiction over the appropriation and use of the stream waters, or establishing or asserting a Federal sovereign jurisdiction over the pubHc land — are consistent with premises which assume meanings to ''riparian proprietorship" and "appropriation of stream waters" which have been explained above as being, probably, the meanings in which these terms were understood by the President and Secretary Ballinger. It is difficult, indeed, to assume otherwise than that they understood these terms in substance as they have been explained above. But— "riparian proprietorship" and "appropriation of stream waters" have neither of them the meanings which the President and Secretary Ballinger seem to have assumed to be correct. Giving to these terms their correct meanings, the conclusions which will follow their us^ in the line of reasoning made by President Taft and Secre- tary Ballinger are the contradictory propositions of two sovereign powers, the State and the Federal Government, having jurisdiction over the same property. Riparian Law. The right of riparian proprietorship, known commonly as riparian right, is defined as the right of a land proprietor whose land margins a natural body of water (a stream, or lake in or through which there is 9 a flow of water) to have pass his land margin the flow of the water undiminished in quantity and unimpaired in quality from the condi- tions which were existent in the beginning of his proprietorship. *It is a rule of the English common law. To fully understand this rule which has come down with the common law from that time immemorial to which the memory of man does not run, it is of assist- ance to recall that, at that remote period, the people of England had no knowledge of precise methods of measurement as applied to the quantity or quality of stream water flow, and made no uses of the flow of stream waters which required such knowledge. They obtained water for domestic use, the only use they seem to have made of water, from natural springs and wells, or, where population was con- gested in towns situated on the banks of streams or lakes, by dipping it from these sources, a bucketful at a time. Such measurements of water flow quantity and quality as the rule presupposed were measurements which the unassisted senses of sight and taste could make. The first judicial declaration of the rule was no doubt made in a case where the riparian proprietor of land on one bank of a stream undertook to divert some of its water over a waterwheel on his land without obtaining the consent of the riparian proprietor of the other bank of the stream. This rule of riparian rights, along with the other rules of the common law, was brought to the American colonies by their English colonists. The climatic and topographical conditions of the land in the American colonies differed very little from the conditions in England, so that the rule served its purpose as well there as in the mother country. As regards uses of water flow, the colonies added nothing to what was already known in England. *j Kent Com., Sec. 439. "Every proprietor of lands on the banks of a river has naturally an equal right to the use of the water which flows in the stream adjacent to his land, as it was wont to run, without diminution or alteration." Gould on Waters, Sec. 204. "The rule of the common law is that every riparian owner has a right to the continued natural flow of the stream, and that this right is not a mere easement or appurtenance, but is inseparably annexed to the soil itself." "Riparian proprietors upon both navigable and innavigable streams are entitled, in the absence of grant, license, or prescription limiting their rights, to have the stream which washes their lands flow as it is wont by nature, without material diminution or alteration." The author is clearly contradicting a declaration of his first statement by a declaration of his second statement. In the first he declares the ^'riparian right" inseparably annexed to the soil, and in the second that it may be separated by grant, license or prescription. A limitation implies a separation of part or whole. The error is in the first declaration. 10 When the colonies separated themselves from England and organized themselves into self-governing sovereign States, they sev- erally enacted as their municipal law the English common law except as to rules- which were inconsistent with their republican political institutions. The law of riparian rights thus became a part of the municipal law of the several original States, and as other States (having reference to States east of the Mississippi River) became organized from contiguous territory by settlers from the original thirteen, it became part of their municipal law. Under this rule property rights vested and were adjudicated without any conditions becoming created in States east of the Mississippi River (until within the last few years) which suggested that their solution required a precise definition of the essential nature of riparian rights. It is quite easy to understand how, in the absence of any question forcing an adjudication based on the essential nature of riparian rights as against an adjudication based on direct applica- tion of the rule as it reads and as precedent had read it, the essential nature of the property right for which the rule was originally created has become as overlooked as if it had no existence. It is quite easy to understand how riparian rights in common acceptance and appar- ently in acceptance by President Taft and Secretary Ballinger, have become considered to be substantially natural rights vested in riparian proprietorship free of obligations to sovereign law. A curious consequence of overlooking the essential nature of riparian rights is illustrated by a case recently adjudicated. A New Jersey city situated on a river brought an action against the water supply corporation supplying it with water asking the Court to enjoin the company from taking the water which it supplied to the inhabi- tants of the city from the headwaters of the river on which the city was situated, the cause of action alleged being that the water company by taking the water from the headwaters so diminished the natural riparian flow of the stream by the city that a nuisance was created through the inability of the reduced flow of the stream to carry away the sev'-erage of the city which was discharged into it. The city was granted the injunction, which is curious. Riparian Right an Easement Created by Sovereign Grant. A riparian right is an easement. It is in its essence a servitude imposed by a sovereign on the owner of one tract of land within its jurisdiction and granted to the proprietor of another tract of land having a natural riparian relation to the first tract. That the servitude 11 imposed on the owner of the first tract is the continuance unaltered of its natural condition, the continuance unaltered of the natural flow of water over its surface, does not alter the fact that it is an easement. The fact that the grant is a grant of continuance of a natural state or condition does not alter the fact that the riparian proprietor becomes possessed of his riparian right, his easement on the land of another owner, by virtue of the jurisdiction of the sovereign over both tracts. That it is immemorial custom for sovereign grants of riparian land to carry with them the grants of the riparian easements without the latter being expressly declared in the instrument of grant does not alter the fact that these easements are granted property rights addi- tional to the land. A State of the United States of America, a sovereign, owner of riparian land as sovereign, cannot be an owner of riparian rights or be a riparian proprietor. A State, a sovereign, is a creator of riparian rights, creating a riparian right or easement and granting it con- currently with a grant of riparian land, or creating a riparian right or easement and granting it concurrently to a proprietor already vested with the fee to the riparian land. Riparian Easement Separable From Riparian Land. The ownership of a riparian easement is separable from the ownership of the riparian land. The owner of riparian land is a riparian proprietor only when owning with it the riparian •asement to his land. For concrete illustration of this separable status of the riparian easement, suppose the case of a riparian proprietor owning a mile square of land, one side of which a mile long margins a stream. Obviously this proprietor may convey from the land side of his tract until he has reduced his land ownership to a strip of land of little more width than a line along the stream margin, yet with this strip of river edge land he retains the ownership of the original riparian easement undiminished. Practically, he has separated what was riparian land from the easement of the riparian right. He could accomplish the same separation by conveying the riparian easement by itself without any of the riparian land. There is nothing novel in the separation by % riparian proprietor of his riparian land from his riparian right or ease- ment. It has been repeatedly done in old England and young Ameri- can States by riparian proprietors granting to other riparian pro- prietors more or less of their riparian easements for the purpose of 12 enabling those other riparian proprietors to divert the stream waters from their riparian relation to accomplish uses from the flow which would be impossible of accomplishment except with the water* diverted. It is this same separation of the riparian easement from the riparian public land which President Taft and Secretary Ballinger have in mind to be accomplished by the Federal Government. It is the basis of the kind of control of water appropriation and water power development and use which they propose for the Federal Government. Riparian Easements Implied Grants. That grants of riparian easements in the several States have never been express grants, that is to say, have never been made directly by words written in instruments of the nature of patents or their equivalent, but have always been grants to be implied from the prior enactment of the English common law rule of riparian rights as part of the municipal law of the State, explains how it has been over- looked that the several States are respectively the creators of riparian rights or riparian easements, and are the sovereign grantors of those rights to all riparian land proprietors in their respective jurisdictions; and explains how it has also been overlooked that the time of creation of any particular riparian right and its grant to a riparian land proprietor cannot be earlier than the time of enactment by the State Legislature of the common law rule of riparian rights. That riparian rights or easements now in the possession of riparian proprietors under the jurisdiction of any of the original thirteen States are identical riparian rights or easements which were in the possession of riparian proprietors under the royal English jurisdiction before the States were, does not vest those riparian rights, so far as the State jurisdiction is concerned, as of a time before the State was. With the admitted States no riparian right was created and passed by grant to the proprietor of riparian land earlier than the date, subsequent to the admission of the State, of enactment by the Legislature of the riparian law, the only exception being of grants of riparian easements to riparian land owners, if there were any such, made by the former sovereigns of ceded territory which passed to the jurisdiction of the State after confirmation and vesting of the riparian grants by virtue of stipulations of the treaty of cession to the United States. 13 The Federal Government is sovereign of the public land so long as it is under the direct governmental jurisdiction of the Federal Gov- ernment through municipal laws enacted by Congress or by territorial Legislatures. The grants of the public land the Federal Government makes while it has sovereign governmental jurisdiction are sovereign grants. But its sovereign grants of riparian land do not bear with them grants of the riparian easements, do not make the grantees riparian proprietors, unless the municipal laws enacted by Congress or by the territorial Legislatures include the common law rule of the riparian law. The Federal Government is proprietor of the public land in a State. Its proprietorship is subject to the obligations of the municipal law of the State just as is any other proprietorship except as to those matters reserved or obtained by grant by means of covenants of the Act of Admission of the State. If the Federal Government cov- enanted in the act of admission for the grant by the State of riparian easements for the riparian public land which it was thereafter to hold under the State jurisdiction as proprietor, the Federal Government would thereby become as to its riparian public lands a riparian proprietor, and its subsequent proprietary grants of riparian public land would bear with them the riparian easements. If the State enacts as a municipal law the riparian law, then the Federal Govern- ment proprietor of the riparian public land, the same as any other proprietor of riparian land, becomes .possessed of the riparian ease- ments as of the time of the enactment,* and its subsequent, but not its prior, proprietary grants of riparian public lands carry with them the riparian easements. Once riparian easements have been created and passed by the implied grant of the State to the riparian land proprietors, they vest in the proprietors and the proprietors cannot be divested of them by any subsequent legislative enactment of municipal law by the State Legislature, as, for example, the repeal of the riparian law. The Federal Government proprietor of the riparian public lands has the same status in this respect as any other riparian land proprietor. * United States v. Rio Grande Irrigation Company, 174, U. S., 690. "As the owner of the lands bordering on water courses within the States, and either con- stituting a part of the original public domain or acquired for special purposes, the Federal Government has all the rights of a riparian proprietor under State laws, and may make all needful rules and regulations for the use of its property." 14 United States a Riparian Proprietor. Applying this correct understanding of the essential nature of riparian proprietorship in interpreting the argument of President Taft and Secretary Ballinger, instead of their conclusion that the Federal Government has a sort of natural riparian proprietorship along with its proprietorship of the riparian public land, or a riparian proprietor- ship established prescriptively and vesting from its own sovereignty prior to that of the State, either way bearing a control of the diversion and utilization of the flow of the water of the riparian stream on other proprietary land than that of the Federal Government, which control can be exercised by contract free of obligations to State jurisdiction — instead of their conclusion, it appears that the Federal Government along with its proprietorship of the riparian public land has, or has not, riparian rights, and is, or is not, a riparian proprietor, according as the State in which the public land is situated, has or has not, granted riparian rights to the proprietors of riparian lands; and that in States where it has riparian rights the Federal Government holds them as proprietor under the State jurisdiction precisely as any other riparian proprietor, subject to the obligations of the municipal law of the State, without any right of control over the riparian water flow, or over its direct or indirect utilization, than the municipal laws of the State permit to any other riparian proprietor in its jurisdiction. In other words, the Federal Government proprietor of riparian public land in a State is no bigger proprietor than any plain ordinary citizen riparian proprietor when it is a question of control of the diversion and use of riparian stream water flow, and the State Constitution and State Legislature boss all the riparian proprietors. Appropriation and Use of Stream Water Flow. Appropriation of stream water flow and its use or its utilization are terms very loosely construed and understood in the States east of the Mississippi River where there has been no definition by statute or adjudication, and actual appropriations have invariably been made by means of the opportunity afiforded by riparian proprietorship. Appropriation for the domestic consumption of cities, where it could not be made directly from streams so considerable that the water flow appropriated would not appreciably to the eye diminish them, has been accomplished by acquiring all of the riparian proprietorships down stream from the situs of the diversion. Neither water-using, mining nor irrigation have existed, and power development from 15 water flow has been accomplished through the riparian proprietorship of the riparian lands which were the situs of the diversion of the water, its power developing use, and the return of the water to the stream bed. Control of stream flow appropriation and use has been effected through adjudication of riparian rights. There are no direct municipal laws of water appropriation and use because there has never been a practical necessity for such laws. Appropriation of Water Flow. Definition. Water Right. Appropriation of stream water flow and use of the flow has a definite, well established meaning in the Pacific Coast and Rocky- Mountain States. An actual physical appropriation of a stream water flow, accomplished by diversion of the water from its natural situs, and a use or uses of the water flow, including uses which consume or waste the water flow, together constitute a legal indivisible private property entity termed a "water right." Use of the appropriated water is of the essence of a water right. Diversion of a water flow from its natural stream bed situs does not by itself constitute a water right. There is no private property or private right in physical diversion of the water flow from its natural situs unless the water flow is used. There must be use of the water flow to create the property right. Appropriation of water flow in the Pacific Coast and Rocky Mountain States implies use of the water flow. Without the use there is no appropriation in law. State Sovereign Owner of Right of Water Appropriation and Use. The State is the sovereign owner of the right to appropriate and use all of the stream waters which are within the jurisdiction of the State. The State by enactment of appropriate municipal law permits the creation of water rights by private persons, that is to say the State permits private persons to use the State's right to appropriate and use the flow of stream waters. Water Right Claims. Water right claims, as they are known in the Pacific Coast and Rocky Mountain States, are not water rights, although they are a species of property right commercially traded and judicially recog- nized. Water right claims are declarations of intention made in a written form prescribed by statute to give public notice of intention to create water rights identical with descriptions stated in the writing. Commonly referred to as water rights, although they are not, water 10 right claims have become commonly regarded as being the same thing as water rights. It is this common misunderstanding, confusing with the legal entity of a completed water right, a mere declaration of inten- tion to create the water right which may never be anything more than an intention — a sort of legal chrysalis stage for the water right through which it commonly passes before having actual existence — hardly a stage or condition precedent because the complete water right may be created by prescriptive use of the water alone — which seems to be the misunderstanding from which President Taft and Secretary Ballinger are reasoning to mistaken conclusions. By relation, the permit of the State to proprietary possession of the water right, when fully created by use of the water, is given legal existence as of the day of the declaration of the intention to make the appropriation and use, — the water right claim then becomes part of, or rather becomes merged in identity with, the water right. That the water right claim, commonly assumed to be the water right, is actually nothing but an uncertainly defined precedent shadow of a possible water right, is very clearly recognized by the municipal w^ater right law of the Pacific Coast and Rocky Mountain States. Those municipal laws providing for declarations of intention to create water rights require the intending appropriator to define in his written declaration: (i) the point on the particular stream from which it is the intention to appropriate the flow of the water; (2) the quantity of water flow proposed to be appropriated ; (3) the kind of, and dimen- sions of, waterworks proposed to effect the diversion ; and, (4) the use or uses proposed to be made of the water, and the place or places of proposed use. Th6 same municipal laws provide that the intending appropriator may, with or without public notice, change every one of these declarations of intention except the particular stream from which the diversion is intended to be made, provided only, that no v/ater right of a subsequent appropriator be impaired by the change of an intention declared by the initial declaratory notice. The water right created may be, and usually is, an altogether different water right from the water right described in the declaration of intention to create a water right. Proprietary Use of Water Flow a "Franchise" or "Permit" From State. The State does not grant anything to the water appropriator (use being of the essence of the appropriation), but merely permits the proprietary use of some of its sovereign or Governmental property, 17 the right of use of the flow of stream waters. The extent of the permit of the State is measured by the use of the water. The essence of the permit being "use of the water," the permit ceases concurrently with the abandonment of the use. The ceasing of the permit of the State does not constitute a reversion of the water right to the State, because there is no State grant of the water right or property on which a reversion can operate. The permit of the State to make proprietary use of some of its Governmental property is a franchise which terminates on a condi- tion concurrent. The water right or appropriation and use of stream water flow, which is the creation of the proprietor, consists of water- works construction which divert the flow of the water from its natural situs and complete the use (irrespective of whether the use is domestic, irrigation or industrial consuming and wasting the water, or the development of power which does not consume or impair the water), and a franchise, the permit of the State to divert and use the stream flow. The termination of the franchise through abandonment of the use directly brings about the dissolution of the water right. The State receives back its Governmental property and the proprietor retains the constructions, his private property. Water Right Entity Parallels Street Railway Entity. The entity of the water right is paralleled by the entity of a street railway, which consists of constructed works for a proprietary public service business of transporting persons within the municipal jurisdiction of a city, together with the municipal permit or franchise to make proprietary use of certain municipal property, the streets. The municipal franchise or permit to make proprietary use of the streets is not by itself the street railway. The track, street cars and motive power — the physical construction is not by itself the street railway. Both elements are indispensable. The entity of the water right (the diversion and use of the water of the stream flow) consists of the constructed waterworks, together with the State franchise or permit, to make proprietary use of the State's property, the right to appropriate and use the stream water flow. The State franchise or permit to make proprietary use of the stream water flow is not by itself the water right or the water appro- priation and use. The waterworks construction is not by itself the water right or the water appropriation and use. Both elements are indispensable. 18 Rights of Emplacement of Waterworks. On the principle of law that that is certain which is capable of being made certain, the intending appropriator of stream water flow has the same legal right to make the emplacement of the water- works construction on its necessary situs, using the necessary land therefor, before he has received th^ franchise or permit of the State to make proprietary use of the stream water flow, as the intending operator of a street railway has to make the emplacement of the street railway works on the necessary land situs after he has received the franchise or permit of the municipality to make proprietary use of the municipal land in the streets. Obviously, one proprietor of land necessary for the emplacement of waterworks construction under the State's permit has no more legal restraining power against that emplacement than has any other proprietor of land. The municipal law of the State provides the same legal restraining power for all land proprietors. The Federal Govern- ment proprietor of the public land in a State has no more legal restrain- ing power against the emplacement of waterworks under the permit of the State on the public land than possessed by other proprietors against the emplacement of waterworks under the permit of the State on their lands. If the municipal law of the State provides, within the limits of the constitutional power of the State, for the invasion of proprietary land and the imposing of servitudes of waterworks emplacement and flow of appropriated water on it, the proprietary public land is not exempt from the operation of the municipal law. The legal procedure of invasion of the proprietary public land and of the imposing of servitude of waterworks emplacement and flow of appropriated water on it may be a different procedure from the legal procedure of invasion of other proprietary land and of the imposing of servitudes of waterworks emplacement and flow of appropriated water on it, but independent of the difference of legal procedure the State jurisdiction effects the invasion. President Taft and Secretary Ballinger would seem to have over- looked the State jurisdiction over proprietary land through which it may impose servitude of waterworks emplacement and flow of appro- priated water on it, just as they seem to have overlooked the same jxirisdiction of the State, which, creating riparian rights, imposed them as servitudes of water flow in its natural situs on other proprietary land. Holding that the Federal Government may control water appro- priation and use by imposing conditions upon the disposition of power 19 and reservoir sites upon the public lands, and contemplating the exercise of that control by means of the covenants of leases to be made by the Federal Government of servitudes of waterworks and power developing and conducting works emplacement and flow of appropriated water and manufactured products, reserving in perpetuity the fee, they must be assuming either that the States have no con- stitutional power to enact municipal law which will provide for the invasion of proprietary land and the imposing on it of servitude for the emplacement of waterworks construction and flow of appropriated water free of any obligations other than the statutary covenants imposed by the municipal law, or they must be assuming that the jurisdiction of the State over the appropriation and use of stream water flow is jurisdiction only over the initiatory act of declaring intention to appropriate and use the water, and that the Federal Gov- ernment has direct control over the actual diversion and use. The first assumption can only be supported on the theory that the Federal Government is sovereign owner of the public land, a theory which, obviously, the President and Secretary Ballinger do not hold. Under- standing appropriation and use of stream water flow as a legal entity of which use is the essence, the alternative assumption becomes impos- sible unless the Federal Government has sovereign jurisdiction over the appropriation and use of stream waters, whereas the President and Secretary Ballinger admit the State jurisdiction as sovereign as they appear to understand it. No Conflict Between Application of Riprarian Law and Law of Water Appropriation and Use. There is a common impression that some way or other the law of riparian rights and the law of water appropriation and use conflict in application. This is clearly not the fact. The two laws deal with altogether different subject matters. The Governmental property right of the State to appropriate and use the flow of the stream waters in its jurisdiction vested in the State with the beginning of its sovereignty. The enactment of municipal laws permitting proprietary use of the State Governmental property right to appropriate and use the flow of the stream watery followed as necessity for them appeared,- early in some States, recent in others, suflferance by the State of the appropriation and use sometimes taking the place of municipal statutes until municipal statutes recognized the sufferance as having estab- lished the permit of the State by prescription. The State's Governmental right of appropriation and use of the 20 flow of stream waters, use being of its essence, cannot be conveyed by the State. The only proprietary estate which can vest is the permit or franchise of the State to make proprietary use of the State Govern- mental property right. The State's property right to appropriate and use the flow of the stream waters cannot lapse, but is continuous. On the other hand, the State is never the owner of riparian rights. Riparian rights have existence only as proprietary estates created by, and granted by the State. Created and granted by the State, the State can neither recall nor diminish its grant. The only effect of the Legislature repealing the riparian law is that with its subsequent grants of riparian land the State does not grant any riparian easement. The State Legislature neglecting to enact municipal laws per- mitting proprietary use of the State's Governmental right to appro- priate and use the flow of the stream waters, and neglecting to enact for the State itself to use its own property, the riparian proprietors, having the opportunity by reason of that neglect, may and do become appropriators of the flow of the stream waters by sufferance of the State, and become recognized by the State as possessed of the State's permit to make proprietary use of its Governmental property by prescription. Riparian proprietors, when they appropriate and use the flow of stream waters, make a proprietary use of inalienable State Govern- mental property — of property which the State became possessed of and holds as sovereign. They do not make use of their own property because they have no property estate in the flow of the stream waters.* Their proprietary riparian rights are nothing but servitudes imposed on land naturally under the stream flow to have that land remain naturally under the flow of the stream w^aters. The easement which is property of the riparian proprietor is this servitude on land naturally * S Kent Com., Sec 439. "No [riparian] proprietor has a right to use the water, * * * unless he has a prior right to divert it, or a title to some ex- clusive enjoyment. He has no property in the water itself, but a simple usufruct while it passes along." Gould on Waters, Sec. , 204. "The [riparian] proprietors have no property in the flowing .water, which is indivisible and not the subject of riparian owner- ship." Gould on Waters, 148; Lyon v. Fishmongers^ Co., L. R. 10, Ch. 679. "Owners merely of the bed of the stream were not riparian proprietors." The ownership of the land under the water of a stream does not figure at all in the riparian right except that it is the land having the riparian servitude imposed on it. The land under the water is capable of separate ownership from the land of the banks. Its proprietorship cannot bear with it a right of diver- sion as against the riparian proprietorships of land on both banks. 21 under water. It is not a proprietary right of use of the water which flows naturally over this land. A riparian proprietor owning the riparian easements, but not owning any of the riparian land, cannot, because he is proprietor of the riparian easement, invade the riparian land of which he is not proprietor to obtain situs for waterworks through which appropria- tion and use of the flow of the water would be accomplished. An owner of riparian land who is not proprietor of the riparian easement, cannot, because he possesses a situs for waterworks, invade the proprietorship of the riparian easement. It is absurd to assume that a legal divorcement of proprietorship of land above water and of a servi- tude on land beneath water rough-locks the sovereignty of the State so that no use may be made of a third property in which there is no proprietary estate whatsoever, but which the State owns as sovereign. Certainly the State may say what shall be the conditions of its franchise permit of proprietary use of its own property and may say what persons may have its franchise or permit, but no proprietor, not even the Federal Government proprietor of the public land, may do what the State only may do. Qualification to Obtain State's "Franchise" or "Permit" to Use Water. Some of the States east of the Mississippi River limit the issue of the franchise or permit of the State to appropriate and use the flow of stream waters to persons who are proprietors of both riparian land and riparian easements. They require a property qualification of a particular quantity just as do some of the same States* for the issue of the franchise to vote at certain elections. The Pacific Coast and Rocky Mountain States do not require any proprietorship qualification for persons as a condition precedent to the issue to them of the State's franchise or permit to appropriate and use the flow of the stream waters, and they evade the rough-lock which would result between an immovable body of proprietorships of land and of riparian easements, and an irresistible force of sovereignty over the use of the stream water flow, by providing through the enactment of appropriate muncipal law, means for the lawful invasion, by the owner of the State's franchise or permit to use the water, of the proprietorship of the riparian easements and of the proprietorship of land.* *St. Helena Water Co. v. Forbes, 62 Cal, 182, "Under the laws of this State, the right of a private individual to enjoy the flow of water in its natural channel, upon or along his land, can be condemned for public use." 22 This is what the so-called ''conflict" between the riparian law and the law of water appropriation and use really is — a passing differ- ence between the old East and the young West of the mode of inves- ture of the accomplishment of the same purpose — the use of the flow of the waters of the streams. But for the regrettable loss long since from the sum of human knowledge of Herr Professor Teufelsdroesch's admirable treatise on the "Philosophy of Clothes," this recent dis- covery of a supposed irreconcilable conflict as nothing but a little difference in the family of States of mode of law dress of an infant industry might have been anticipated. California. — Water Appropriation and Use. The State of California contains a very large body of the public land. The flow of water in its streams is available for a great variety and relatively an enormous quantity of service. Of water power alone the quantity which can be made commercially available is not less than 3,500,000 horsepower. The commercial necessity for the entire variety of service and ultimately for its utmost possible quantity is a fact. It is very easy to be seen that not only will the utmost possible power development service be required from the flow of the water, but after that service has been taken the water itself will be consumed or wasted economically in irrigation, manufacturing industry and the domestic supply of the population of California. While t]ie water supply for the arts, which consume or waste water economically, can be had for the most part, or at least to the extent now consumed and wasted, from the flow of the streams without the invasion in any way of the Federal Government proprietorship of the public land, practically no water power can be had from the flow of the streams except there be more or less invasion of that proprietor- ship. This applies to nearly all of the water power already made available, about 350,000 horsepower, as well as to water power yet to be made available, over 3,000,000 horsepower. The territory which is now the State of California was acquired by the United States from the sovereignty of Mexico by the Treaty of Guadalupe Hidalgo in 1848. By the treaty the proprietary estates of the people in the ceded territory at that time were confirmed by 23 the United States.* These proprietary estates consisted of direct and nnpHed grants from the Mexican sovereignty and permits or franchises to make proprietary use of Governmental property under conditions prescribed by the Mexican municipal laws. Mexico had no municipal law of riparian rights and no such proprietorship as riparian proprietorship existed.** No proprietary estate originating from the Mexican sovereignty and confirmed by the United States included a riparian easement. There was a Mexican municipal law of water appropriation and use, the prmciple of it being identical with the principle of the water appropriation laws of the sovereign States, including California, since created out of the ceded territory. Mexico, the State or sovereign, was governmental owner of the right of appropriation and use of the flow of the stream waters. Proprietary use was made by virtue of the State permit or franchise under conditions prescribed by the municipal law. The conditions were generally identical with the conditions since prescribed in the municipal laws of the States created from the ceded territory, indeed the States copied the Mexican law and adopted it. The United States ratifying the Treaty of Guadalupe Hidalgo, confirmed and con- tinued the franchises and permits of the Mexican sovereignty to make proprietary use of the flow of stream waters as at that time being made, and many of those old appropriations of the flow of stream waters are still in existence in California and in the Territories of Arizona and New Mexico. * Treatv of Guadalupe Hidalgo. Article VIII "Mexicans P^^, ^st^,^lishe^ in territories previously belonging to Mexico, and which remain f^^ /he future with n the HmL of the United States, as defined by the present rea^', shall be 7reeTo cont n e'^ they now reside, or to remove at any time to the Mexican repubHc retaining the property which they possess in the said territories or disposing thereof and removing the proceeds wherever they please without their be ng ubjected, on this account, to any contribut on, tax, or charge whatever. * * * ^In the said territories, property of every kind, now belonging to Mexicans no established there, shall be inviolably respected. The present ^^wners the heirs o these, and all Mexicans who may hereafter acquire said property by contract, shall enfoy, with respect to it. guarantees equally ample as if the same belonged. to citizens of the United States." ** References to the rights of lower (down stream) land proprietors to water appropriation from the streams, which appear in laws relating to water appropriation, appear to have no reference to riparian land owners down stream, but to any land owners who would naturally secure water lower down stream. The typical stream valleys in Mexico are alternating sections of narrow steep canyon and wide flats or benches— valleys formed where the stream flows on light grades with hill rims wide apart. The idea of the law was to provide that one of these valleys should not by taking all the water make the others of no value to the settlers. 24 Origin of Law of Water Appropriation and Use. This municipal law of water appropriation and use which was in effect under the Mexican sovereignty of the ceded territory, now in part the State of California, did not originate with Mexico. It was municipal law in the same territory under the sovereignty of Spain, which immediately preceded that of Mexico. It did not originate, in principle at least, with Spain. The Spanish sovereignty adopted it from the municipal laws of a precedent sovereignty which Spain dis- placed by conquest three centuries earlier. It is, perhaps, the only creative thought that remains in existence today to recall the memory of a vanished people whose institutions of civilization and rules of law were well ordered and well settled before that time immemorial in England from which the common law rule of riparian rights descends to us without a birth certificate. California Admitted to Union. California became a sovereign State by virtue of the Act of Admission on September 9, 1850. In 1849 the people resident in Cali- fornia assembled in a constitutional convention and adopted a State Constitution. The first Legislature was elected, and by the terms of the Constitution, which had meanwhile been ratified by a vote of the electors, convened in January, 1850, and proceeded to enact municipal laws. These municipal laws were the first municipal laws over the people of California regularly in effect since the cession of the territory by Mexico terminated the jurisdiction of its municipal laws. During the period intervening, the period between July, 1848, and January, 1850, what municipal law there was had effect merely through the acquiescence of the people without formal enactment by Govern- mental jurisdiction.* California never was made a Territory, nor did Congress enact any municipal law for the people. The municipal law accepted was adapted from the Mexican laws of the preceding sovereignty, addition to it being made by the immigration from the States of municipal laws of the States. Particularly the Mexican law oi water appropriation and use without its former procedure under the Mexican sovereignty was accepted and employed in making pro- prietary use of the flow of stream waters by the immigrant people from the States as well as by the native Californians. It was found adapted * Lux V. Haggin, 69 Cal. 335. "The purely municipal law of Mexico continued in force within this territory (California) until modified or entirely changed by appropriate author! ly." 25 to the conditions of the gold mining industry, which was then becom- ing the dominant industry of the State. So satisfactory was it that subsequent to the institution of the State it was continued by suffer- ance of the State Legislature as the law of water appropriation and use without being formulated into the statutes until 1872, when it was enacted into the Civil Code. The Federal Government did not diminish the Governmental property which the United States received from Mexico during the period between the date of ratification of the treaty and the date of the Act of Admission of California.* It had on the latter date the identical property to which it had succeeded on the former date. Act of Admission of California a Grant in Presenti of Sovereign Property. The Act of Admission not only conferred sovereignty on Cali- fornia, but it was a grant to the State of some of the California terri- torial portion of the property which the United States had received from Mexico. As to the property granted, the Act of Admission was a grant in presenti, a present grant, the State becoming vested with the property granted to it as of the date of the instrument of conveyance, the *'Act of Admission." The Act is as follows : ACT FOR THE ADMISSION OF THE STATE OF CALIFORNIA INTO THE UNION. Whereas, The people of California have presented a constitution and asked admission into the Union, which constitution was submitted to Congress by the President of the United States, by message dated February thirteenth, eighteen hundred and fifty, and which, on due examination, is found to be republican in its form of government ; Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled. That the State of California shall be one, and is hereby declared to be one, of the United States of America, and admitted into the Union on an equal footing with the original States in all respects whatever. 2. The said State of California is admitted into the Union upon the express condition that the people of said Stat«, through their Legislature or otherwise, shall never interfere with the primary disposal of the public lands within its limits, and shall pass no law and do no act whereby the title of the United States to, and right to dispose of, the same shall be impaired or questioned; and that they shall never lay tax, or assessment of any description whatsoever, upon the public domain of the United States; and in no case shall non-resident proprietors, who are citizens of the United States, be taxed higher than residents ; and that all the navigable waters within the said State shall be common highways and forever free, as well to the inhabitants of said State as to the citizens of the United States, without any tax, impost, or duty therefore; provided, that nothing therein * Shtvely v. Bozvley, 52 U. S., i. "Upon the acquisition of a Territory by the United States, whether by cession from one of the States, or by treaty with a foreign country, or by discovery and settlement, the same title and dominion passed to the United States, for the benefit of the whole people, and in trust for the several States to be ultimately created out of the Territory." 26 contained shall be construed as recognizing or rejecting the propositions tendered by the people of California, as articles of compact in the ordinance adopted by the convention which formed the Constitution of that State. 3. All laws of the United States which are not locally inapplicable shall have the same force and effect within the said State of California as elsewhere within the United States. Approved September 9, 1850. Obviously the United States did not grant to California the public land — that portion of the soil of the United States Governmental land which was above the surface of the navigable waters, exclusive of tracts in the possession of the Federal Government administration of its own jurisdiction — but, reserving to itself the public land, it subjected its continued ownership to the municipal jurisdiction of the sovereign State it had created. From being sovereign owner of the public land in California, the United States became a proprietary- owner under the State jurisdiction or sovereignty, covenanting only that the State should not interfere with its proprietary primary disposal of or tax the land.* While not directly declaring the grant in express words, the United States nevertheless granted to the State of California the soil of the United States Governmental land which was underneath the surface of the natural navigable waters, reserving from its grant the easement of a common free water highway for the vessels of the citizens of all of the States and of its own citizens.** * Woodruff V. North Bloomiield Gravel Mining Co. (i8 Fed. Rep. p. 772). "Upon the cession of California by Mexico, the sovereignty and the proprietorship of all the lands within its borders, in which no private interest had vested passed to the United States. Upon the admission of California into the Union, upon an equal footing with the original States the sovereignty for all internal municipal purposes, and for all purposes except such purposes and with such powers as are expressly conferred upon the National Government by the Constitution of the United States, passed to the State of California. Thereforth, the only interest of the United States in the public lands was that of a proprietor, like that of any other proprietor, except that the State, under the express terms upon which it was admitted, could pass no laws to interfere with their primary disposal, and they were not subject to taxation. In all other respects the United States stood upon the same footing as private owners of land. They could authorize no in- vasion of private property, either to enable their grantees to mine the lands pur- chased by them of the Government, or otherwise." ** Martin v. Waddell, 16 Pet. 410. "When the Revolution took place, the people of each State became themselves sovereign, and in that character held the abso- lute right to all their navigable waters and the soils under them, subject only to the rights since surrendered by the Constitution to the General Government." U. S. 14, How., 571-575- "A State law granting exclusive right to navigable upper waters of a river wholly in the State, separated from tide water by innavi- gable falls, is not repugnant to the Constitution nor any law of the United States." Pollard's Lesse v. Hagan, 3 How., 212. "The navigable waters and the soils under them were not granted to the United States by any of the original States, but were reserved to the States respectively; and the new States have the same rights, sovereignty, and jurisdiction over this subject as the original States." 27 Granting some land to the State of California and reserving to itself the remainder of the land as a proprietary estate, the land which the United States acquired from Mexico was all accounted for. There remained the sovereign property in the right of appropriation and use of the flow of the stream waters which the United States received from Mexico. Did the United States grant this sovereign property cf its own possession to the sovereignty of California, vi^hich it created, or does the United States still own this property? Act of Admission Passed Sovereignty of Right to Appropriate and Use Water of Streams. If the United States did not grant it by its Act of Admission to California, the United States is still sovereign owner of the right of appropriation and use of the flow of the waters of the streams in Cali- fornia. If the United States be still sovereign owner, the power of control, which President Taft and Secretary Ballinger claim for the Federal Government over the appropriation and use of the flow of the waters of streams on, by, or adjacent to the United States pro- prietary public land, is not limited in any way by, or to, proprietorship of the public land, but is a sovereign power of control over any and every appropriation and use of the flow of the water of the streams of California. Every appropriation and use of the stream waters already made in California then must be a proprietary use of sovereign prop- erty of the United States, under and by virtue of the franchise or permit of the Federal Government. Certainly there can be no juris- diction of the State of California over any sovereign property of the United States. Any municipal enactment of the Legislature of Cali- fornia undertaking to provide terms and conditions of the issuance of the franchise or permit of the State to make proprietary use of the flow of the stream waters would be ultra vires, void because the State of California would not be the owner of the property, and there would be no jurisdiction. During the period between the date of ratification of the Treaty of Guadalupe Hidalgo, and the date of admission of California, the Federal Government did not by any act of Congress grant to any proprietor of land any of its absolute title to the right of use of the flow of the water of the streams in California which it acquired from Mexico. The Federal Government during this period did not by any act of Congress substitute any other precedent condition for **use" as the essence of its franchise or permit to make proprietary appropriation 28 and use of the flow of the stream waters. The Federal Government made during this period no qualification of land proprietorship what- ever as a condition of the issuance of the franchise or permit to make proprietary use of the flovv of the stream waters from which the United States proprietary ownership of the public land subsequent to the admission of California could become invested with a proprietary right to a permit or franchise as of a date prior to the admission of Cali- fornia. If a qualification of land proprietorship to the possession of the permit or franchise for appropriation and use of the water of the streams be assumed as inferable from the statutes of the United States relating to the disposal of the public land which were in force prior to the admission of California, the efifect would be to divide the use of the flow of the water of the streams equally as to all of the public land (as it was at the date of admission of California), no more and no less by franchise or permit of the United States to one sub- division of the public land than to another subdivision really equal to it. This assumption of land proprietorship as a qualification to the United States franchise or permit to use the flow of the stream waters, v/ould create a condition equivalent to the condition that would exist were the right of use of the stream waters the proprietary estate of the land owners including the United States as proprietor of the public land. Obviously, the assumption of the qualification of land proprietorship as a condition of the Federal Government franchise or permit to make proprietary use of the flow of the water of the streams in California, from which the United States proprietary ownership of the public land subsequent to admission of California could become invested with a proprietary right to a permit or franchise as of a date prior to the admission of California, leads to inadmissible conclusions. If the United States, by the Act of Admission of California, granted to the State the sovereign property right of appropriation and use of the flow of the water of the streams without alteration from the substance in which it acquired that property right from Mexico, the conveyance must be implied from the particular words of the act, "and admitted into the Union on an equal footing with the original States in all respects whatever." The intention of the words was to imply that California, successor in sovereignty to the United States, should thereby become invested as to sovereign property which the United States then held in the Territory, with all portions of it of the identical nature and description of sovereign property which the original States had reserved to themselves when they ratified the 29 Constitution of the United States. It was necessary and unavoidable that the United States should grant these sovereign properties to the States it admitted from territory which it had acquired and possessed in its sovereignty, in order to create the condition of equality of sovereignty between the States.* The reservation by the United States of a proprietary estate in the public land did not impair the equality of sovereignty between the States inasmuch as the equitable ownership of the sovereign over the proprietary estate was granted. The United States did not reserve in the Act of Admission of California any proprietary estate in the sovereign property right to appropriate and use the flow of the stream waters — or rather it did not reserve any preference right to the franchise or permit of the State to make proprietary use of the State's sovereign property right to appropriate and use the flow of the stream waters. Such a reservation cannot be implied in the absence of express words of reservation because there was no known state of facts or knowledge of future conditions existing from which to imply a reserva- tion of any such proprietary estate or right. If the United States reserved the sovereign property right of appropriation and use of the flow of the water of the streams which it received from Mexico when it admitted California as a sovereign State, the reservation made the States unequal in sovereignty — it admitted California on an unequal footing with the other States despite the declaration of equal footing in the Act of Admission. The mequality would result because the original States did not grant to the United States their sovereign property rights to appropriate and use the flow of the water of their streams. Congress was without power to create any inequality of sovereignty between the States, even had it desired to accomplish it.* * Pollard's Lessee v. Hagan et ai, 3 How. 212. "When the United States accepted the cession of the Territory they took upon themselves the trust to hold the municipal eminent domain for the new States, and to invest them with it to the same extent, in all respects, that it was held by the States ceding the Territories." * * * "We therefore think the United States hold the public lands within the new States by force of the deeds of cession, and the statutes connected with them, and not by any municipal sovereignty which it may be supposed they possess, or have reserved by compact with the new States, for that particular purpose. ^Pollard's Lessee v. Hagan et ai, 3 How., 212. "And if an express stipula- tion had been inserted in the agreement granting the municipal right of sover- eignty and eminent domain to the United State, such stipulation would have been void and inoperative, because the United States have no constitutional capacity to exercise municipal jurisdiction, sovereignty, or eminent domain, within the limits of a State or elsewhere, except in the cases in which it is expressly granted." 30 The discussion here of whether or not the sovereign property- right of appropriation and use of the flow of the stream waters was granted to California by the Act of Admission has not been needed to estabHsh the fact that the United States did thereby grant this sovereign property to California and entirely divest itself of title thereto. The Supreme Court of the United States has said that the original States, when they became sovereign by the Resovlution, became sovereign over the waters within their territorial limits; that the original States did not grant the waters to the United States, but continued to hold them in their sovereign jurisdiction, and that the new States have the same rights, sovereignty, and jurisdiction over their respective waters as have the original States over theirs; and that even if the Act of Admission of a State provided by express stipulation for the exercise by the United States of a municipal right of sovereignty or jurisdiction within the State, the stipulation would be void because the United States have no constitutional capacity to exercise municipal sovereignty within the limits of a State. The discussion has been made so that the dififefentiation and identity of the sovereign property right to appropriate and use the water of the streams, which the United States received by cession from Mexico, may be clearly recognized apart from any other sovereign property which the United States received by the same Act of Cession, and so that it can be clearly seen that, in fact as in law, the United States, without impairing the aggregate of the property or altering its substance, granted it in the precise identity in which it was acquired, a sovereign property, to the sovereign State of Cali- fornia by their Act of Admission. Riparian Rights in California. The first Legislature of California, convened under the State Constitution before the admission of the State, on April 13, 1850, enacted what was known then and since as the Practice Act, adopting by a single sentence the common law of England and making it the municipal law of the State.* The primary idea was to provide without delay a Civil Procedure and rules of decision for the Courts. * Chapter 95. An Act Adopting the Common Law. Passed April 13, 1830. The People of the State of California, represented in Senate and Assembly, do enact as follows : The Common Law of England, so far as it is not repugnant to or inconsistent with the Constitution of the United States, or the Constitution or laws of the State of California, shall be the rule of decision in all the Courts of this State. 31 But, as one of the rules of the common law, the Legislature enacted the so-called law of riparian rights. When the United States admitted California by the Act of Admis- sion, the implied grant by the State of riparian easements vested concurrently, by virtue of the previous enactment of the Common Law by the Legislature, in the United States as proprietor of the riparian public land. This date, the date of the Act of Admission, September 9, 1850, is the date of incidence of riparian proprietorship in the State of California. The Act of the Legislature enacting the Common Law before the State had de jure sovereignty is the instrument by means of which the State of California created and granted riparian easements to the proprietors of riparian lands. In 1893, the Legislature, influenced thereto by the idea of thereby protecting the industry of hydraulic mining from injunction by riparian proprietors, repealed by statute the riparian law. The repeal did not have the effect desired because it could not operate to divest riparian proprietors of the grant of riparian easements by the State which had vested forthwith, being a grant in presenti. The only effect of the repeal has been that grants by the State of its riparian public land have, since the repeal of the riparian law, been made without the additional grant of riparian easements. Riparian Rights of United States in California. The United States proprietor of public land in California is pos- sessed of riparian easements to its proprietorship of riparian public land. The title o^f the United States proprietor of riparian easements is held subject to the same conditions of the municipal law of the State as is the title of any other proprietor of riparian easements. An invasion of the riparian proprietorship of the United States by the holder of a permit or franchise of the State to appropriate and use the flow of the water of the stream bears the same consequences to the United States proprietorship that it does to any other riparian pro- prietorship.* Sufferance of the invasion of a statutory period operates to subrogate the riparian easement to the operation of the State's permit during its term without compensation for the loss or damage, if any, to the riparian proprietor. It is common, under such a condition, to describe the right of water appropriation and use, the water right, as * Kansas v. Colorado, 206 U. S., 46. "Where the Federal Government is not interested as the owner of riparian lands, the only interest it has in the water of a stream is as to its use for purposes of navigation, and it can lay no claim to the use of the water for any other purpose, not even for irrigation." 32 being vested by prescription as against the ripafian right of its pro- prietor. Speaking more precisely, the right of water appropriation, the permit or franchise of the State to make proprietary use of the flow of the water of the stream, has become temporarily dominant over the proprietorship of the riparian easement. When the water appro- priation ceases, when the permit of the State ends its term, the riparian proprietor receives back his riparian easement unimpaired. Proprietary appropriation and use of the flow of the water of many streams has become vested against, or dominant over, the United States riparian proprietorship on those streams through prescription. The sufferance of the prescription by the United States has, how- ever, caused it no loss, since the United States have heretofore made and do now make disposal of parcels of riparian public land at the same unit prices as made for the disposal of public land not riparian. The sufferance of the United States in permitting the statute of limita- tions to run in favor of the holder of the State's permit to appropriate and use the flow of the water of the streams during any period of so-called permanent reservation of public land from disposal can cause the United States no loss or damage because the United States during the period of withdrawal from disposal can make no income earning use of the riparian land which the existence of the riparian proprietor- ship will increase. . The United States riparian proprietor has an equal right to -that of any other riparian proprietor to enjoin, under the provisions of the municipal law of California, the invasion of its riparian easements by the holder of the permit of the State to appropriate and use the flow of water of the streams."^ It is entitled, equally with* any other riparian * Lux V. Haggin, 69 Cal., .?.?^. If the innavigable rivers and their beds be- longed to the State (California) when admitted into the Union, the State could grant or surrender them to the riparian proprietors, of whom the United States was one. This case illustrates the confusion in the mind of a Court when it undertook to deal with the riparian law on the theory that it was a law applying to the appropriation and use of water. In the first place there is no property in flowing water — only property in its use as it passes. The "innavigable rivers" could not have belonged to the State (California) when admitted into the Union. Before Admission, California was simply a name, not a sovereignty, such for instance as Texas was before its Admission. California was not a Territory of the United States before Admission— it was merely territorial land of the United States. Admission obviously did not grant to California the "innavigable river beds," but reserved them to the United States as an unsegregated part of its proprietary public land. The rivers themselves (the waters) were not granted to California by Admission because the flowing water was not capable of being owned as property. 33 proprietor, to prove loss and damage and to have compensation there- for, in the event of invasion of riparian easements by a holder of the State's permit to appropriate and use the flow of the water. Practically the United States never enjoins against invasion of its riparian pro- prietorship simply because it would find itself absolutely unable to prove loss or damage consequent on the invasion. The holder of the permit of the State to appropriate the flow of the water of a stream for a public use, as distinguished from a private use, may, under the municipal law of the State, invade the riparian easements (except those owned by the United States) by an action to condemn them, the payment of the valuation fixed by the Court con- veying the proprietary title to the riparian easements condemned from the defendant riparian proprietor to the holder of the State's permit. No right of action to invade riparian easements owned by the United States is necessary because there is no value of a riparian easement to riparian public land which can be established under the conditions of disposal of the public land which the United States has elected. There were no riparian proprietors in California until the Act of Admission by erecting California into a sovereignty gave it power to create and grant easements to proprietors. It did then, concurrently, create riparian easements and grant them, creating riparian proprietorships, of whom the United States was one along with the owners of riparian land under the former Mexican sovereignty. Further, the ownership of the beds of the rivers, whether navigable or "innavi- gable," is not material to the riparian rights of riparian proprietors. The land of the river bed carries the burden of the servitude or emplacement on it of the water flow of the river no matter who the riparian proprietors may be. The owner of the river bed is obviously benefited when anyone removes the water flow from it, but has no right of removal of the water himself by virtue of the ownership, and only such rights as the municipal statutes give him to resist invasion to remove it. The case was really over a conflict of rights of appropriation, although Lux pleaded his riparian proprietorship as the basis of his right of appropriation. The decision seems to have turned on whether or not "irrigation" was a use of water for which the riparian law was applicable as being a reasonable use of the water by a riparian proprietor. It does not seem to have suggested itself to the Haggin attorneys to ask the Court to define or part the land of which Lux was riparian proprietor from other of his land of which he was merely proprietor. Lux owned an enormous tract of land extending back many miles from the banks of the river. It was all acquired from the public land in subdivisions of 160 acres or less. It would have been interesting to have had the Court make a ruling as to whether the riparian proprietorship was of all the contiguous land which Lux owned, even though some of the 160-acre parcels were twelve miles away from the river front, or only of the 160-acre parcels which touched the river banks. 34 Water Appropriation Law in California. The sovereign property right to appropriate and use the flow of the water of the streams which the State of California received from the United States by the grant of their Act of Admission, the State still holds as sovereign property in the precise identity in which it was received. The State permits proprietary use of its sovereign property on conditions prescribed by provisions of its municipal statutes. "Use of the flow of the water" is made of the essence of the issuance of its franchise or permit to appropriate the flow of the water. United States Proprietor of Water Appropriations in California. The United States in subordination to the jurisdiction of the State has the same right (if or where such right is within its constitutional powers) to possess and enjoy the permit or franchise of the State to m-ake proprietary use of the State's property right to appropriate and use the flow of water of streams as any person duly qualified by the State, but, the proprietary use of the State property by the United States is, in law, subject to the same municipal obligations as pro- prietary use by a person. In fact, this has not been the case. The payment of taxes on an assessment of the value of the franchise or permit of the State to appropriate and use the flow of water of a stream is a municipal obligation of a person possessing the franchise, but the United States holder of the franchise in place of a person, (since the municipal law of California does not recognize the United States in any proprietary capacity except as proprietor ©f the public land), has not been taxed on an assessment of any one of several State franchises to appropriate and use the flow of the water of a stream which it has acquired by mesne conveyances from persons to whom the original franchises issued. United States Land Proprietor in California. The United States has also become by mesne conveyances the proprietor of land in California which is neither public land nor land brought under its sovereignty by cession of the sovereignty of the State.* It has become the proprietor of water works by original con- struction and by purchase from persons who constructed them. It has acquired mortgage interests in proprietary land. All of these kinds of . * Van Brocklen v. Anderson, 117 U. S. 115. 'The United States at the dis- cretion of Congress, may acquire real estate in any State when needed for the use of the Government in the execution of any of its powers." 35 property in the possession of persons are subject to municipal assess- ment and municipal taxes are paid by them. The same properties owned by the United States as proprietor have not been assessed or taxed although they are not exempted from municipal taxation by any covenant of the Act of Admission of California or by virtue of any provision of the Constitution of the United States.* Rights of Way for Water Works Emplacement Acquired for Public Use by Condemnation. The holder of the permit or franchise of California to appropriate the flow of the water of a stream for a public use or service, as dis- tinguished from a private use or service, may, under the municipal law of the State, invade by condemnation any land proprietorship (except the public land) whatever necessary to obtain from it an easement of a necessary situs (right of way) for the emplacement of water works * Assuming that some fiction of the law will be found or invented to sustain in law the continuance of the exemption from municipal taxation by California of these properties owned by the United States as proprietor, it may be assumed that the same legal fiction will be employed to exempt from taxation the fran- chises or permits of the State to appropriate and use the water flow of streams, and to exempt from taxation the water-works of diversion and use, where the use is the development of water power and its electrical transmission, and where a "transfer to the United States of the necessary water rights [State franchises]" has been made by the holder thereof as partial consideration paid to the United States for its permit to make temporary emplacement of more or less water- works construction on public land reserved from disposal for the purpose. [The "transfer to the United States of the necessary water rights" is a suggestion of the Report of Secretary Ballinger to the President.] Disguise the economic result by any description of legal or other fiction that may suggest itself, there can be no avoidance of the fact, namely, that the result of sustaining by legal fiction the exemption from municipal taxation of the pres- ent proprietary estates, (other than the public land) of the United States in Cali- fornia, will be to exempt from municipal taxation by California all of its franchises or permits for proprietary use of its sovereign property right of appro- priation and use of the flow of water of streams, together with the water power and electric power works erected for over 3,000,000 horsepower of water power development which will ultimately be effected in part by emplacement of the works construction on the public land reserved for the purpose of permitting such emplacement. Neither can there be avoidance of the fact, that by ways of commercial indi- rection, and in the disguise of moderate charges or fees assessed on capital in- vestment or income, the United States will be imposing and collecting municipal taxes in the State of California, thereby ousting the sovereignty of California and re-establishing their own as it existed before their Act of Admission. 36 construction. No right of action is necessary for the invasion of the United States proprietorship of the public land to obtain from it an easement of a necessary situs (right of way) for the emplacement of water works construction. First, because there is no material loss of value of the public land from which the easements of right of way are subtracted by invasion owing to the conditions of disposal of the public land which the United States has elected. The disposition price of the parcels of public land from which easements of any kind have been subtracted has never been reduced by the United States. The statutes providing for disposal have uniformly provided that without deduction of price by reason of easements appropriated by invasion, or expressly granted by Congress, the parcels shall be disposed of subject to the servitude of any existing easements. Second, the United States has the proprietary right, just as have other land proprietors, to enjoin an invasion appropriating easements the subtraction of which causes loss or damage to the public land, and to have ascertained and paid to it compensation for the loss or damage. Third, the Supreme Court in an opinion by Justice McLean in 1853 (^) settled the legal principle establishing the right of lawful invasion of the public land and appropriation therefrom of easements of right of way for public use, without action at law or the permit of a ministerial officer of the Federal Government. U. S. Statutes Granting Rights of Way for Water Works Emplace- ment on Public Land. The United States statutes broaden the right of the holder of the State's franchise or permit of appropriation and use of the flow of stream water to enter the public land and appropriate therefrom ease- ments (rights of way) for emplacement of waterworks. ^Section 9 of the Act of Congress of July 26, 1866, provides that the entry on the public land and the appropriation therefrom of easements (rights of^ way) for the emplacement of water works, and for the flow of water through them, may be made without reference to whether or not the use contemplated or made of the flow of the water of the stream was a private use or a public use. The importance of this enactment arises "^(Rcv. Stat. 2339. Sec. 9 of Act of Congress, July 26, 1866.) 'That wherever by priority of possession, rights to the use of water for mining, agricultural, manu- facturing, or other purposes have vested and accrued, and the same are recog- nized and acknowledged by the local customs, laws, and the decisions of courts, the possessors and owners of such vested rights shall be maintained and pro- tected in the same ; and the right of way for the construction of ditches and canals, for the purposes aforesaid, is hereby acknowledged and confirmed." 37 from the fact that without its grant the appropriators of water works easements for private use, unhke appropriators for a pubHc use, were mere trespassers on the public land who could be evicted whenever the Federal Government elected, the trespass not being capable of vesting a right by prescription to any estate in the public land. That Congress intended it as an Act granting a property right in easements which would thereafter be appropriated as well as a con- firmation of appropriation or grant of right to appropriations which were then existing, seems very clear from the *Act of Congress of July 9, 1870, which provided that all public land grants of the United States should be subject to all easements granted by the Act of July 26, 1866. It has been suggested that the Act of July 26, 1866, provided for the granting by the United vStates of rights to appropriate and use the flow of stream water. This, however, was not its purpose. It was intended to define the doubtful status of possession of easements of water works emplacement on the public land. These easements were appropriated for private use in connection with mining almost without exception. The development of hydraulic mining on an enormous scale, and the increasing use of large developments of water power in quartz mining, were requiring the investment of great sums of money in extended water works construction. The use of the appropriated easements was unquestionably private and the entry made on the public land was undoubtedly a trespass. Speculators were acquiring land from the Federal Government which included these easements ?.nd railroad land grants were being made wholesale over them. Titles to the right to appropriate water were secure but titles to the ease- ments on the public land were becoming more and more indeterminate and large investments of capital not only in water works construction, but in mines dependent on the easements, were being jeopardized. The Act of Congress confirming a title by grant to appropriations of easements already made and vesting a grant of the easements as others were from time to time appropriated settled the vital matter of titles to the easements of water works emplacement on the public land. That was the reason for the law. That the Act is unmistakable as an Act providing for the granting of rights of way (easements) appears clearly when the first clause ot *(Rev. Stat. 2340. Act of Congress, July g, 1870.) "All patents granted or pre-emptions or homesteads allowed shall be subject to any vested and accrued water rights, or rights to ditches and reservoirs used in connection with such water rights as may have been acquired under or recognized by the preceding section." 88 the Act is read as the definition or denomination by Congress of the condition precedent from which the grant of rights of way by the United States would be initiated. In declaring a condition precedent to the grant of rights of wa}^ Congress was not creating a legal status for water appropriations within its own jurisdiction, but was recog- nizing the fact of water appropriations outside of its judisdiction. The subsequent Act of July 9, 1870, is consistent with the first Act with this interpretation applied. It was enacted to protect the title of possessors of rights of way under the original Act from attack by grantees of the United States on the ground that the grant of rights of way made by that Act was only of those which were appropriated or possessed when the Act was passed. Since its enactment all land patents of the United States have reserved from the grant of the patent to their possessors all rights of way of water works, ditches, canals, and reservoirs, regardless of whether the use of the water through them was a private use or a public use. The uncertainty of interpretation which is evident in reports of adjudicated cases under the two Acts, and particularly the first, has very likely been due to the unconscious impress on the Courts of the popular misinformation or misunderstanding regarding mining rights and water appropriation rights which has existed in California from the early days of gold mining almost down to the present time.* Both the mining customs which have since become the Mining Law of the United States, and the water appropriation customs which have since become the Water Appropriation Law of California had their source in the mining and water laws of Mexico. Both the mines and the flow of water were government property in Mexico and both were appropriated by private persons in much the same way. There was a form of declaratory notice of intention to make the appropriation required by Mexican law for mines and another for water. The gold- seekers from the States absorbed this much from the native Mexican population of California who became gold-seekers with them and were their first instructors in the practice of gold mining. It soon became customary among the miners to use a single form with which to make both appropriations or claims because the gold mining and use of water went together. It is interesting to find a number of early day miners still in the business following this old custom of claiming water * Howell V. Johnson, 89 Fed. Rep., 556. "This section (Rev. Stat. 2339) recog- nizes the right of the prior appropriator of water upon the public domain, even as against the United States and its grantees, if such appropriation was authorized by the statute of the State where the appropriation was made." 39 rights for mining along with the mining claim in the same written notice of location of mining claim. The early day miners did not draw fine distinctions, and assumed without inquiry, since the Government of Mexico, which formerly owned California, owned both mines and water, that the United States must likewise own both. Such a general acceptance of the assumption and its recognition in customs which were not questioned as being law good enough for the miners, 'could hardly fail of unconsciously affecting the viewpoint of Courts who along with litigants were miners and like them accepted the customs of mining without question.* Congress Changes Condition Precedent for Its Grant of Rights of Way. The Act of Congress of March 3, 1891, was passed with the inten- tion of serving a special purpose. Irrigation of the so-called arid lands in the Rocky Mountain States was beginning to attract com- mercial attention and invite the investment of capital from outside of the States. While there was no question over the vesting of title to rights of way on public land after the completion of the water works construction, the same certainty did not exist as to the title to such rights of way during the period, which might be several years, of complete construction of irrigation water works in which large sums of capital would be risked.** The Act*** with the purpose of assisting *Jennison v. Kirk, g8 U. S., 453. "It will thus be seen that the Federal Stat- utes merely gave a formal sanction to the rules already established. These rules had been built up in reliance on the tacit acquiescence of the United States, the true owner of the lands and waters on which appropriations were made, and these statutes acquiesced therein expressly, *a voluntary recognition of a pre-existing right rather than the establishment of a new one.' " **Bear Lake Irr. Co. v. Garland, 154 U. S., ig. "No title, legal or equitable, is acquired to a right of way across the public lands for ditches and canals until the completion of the work." ***Act of Congress, Mar. 3, 189 1. Sec. 18. "That the right of way through the public lands and reservations of the United States is hereby granted to any canal or ditch company formed for the purpose of irrigation, and duly organized under the laws of any State or Territory, which shall file with the Secretary of the In- terior a copy of its articles of incorporation and due proofs of its organization under the same to the extent of the ground occupied by the water of the reservoir and the canal and its laterals, and fifty feet on each side of the marginal limits thereof; * * * Provided. That no such right of way shall be so located as to interfere with the proper occupation by the Government of any reservation, and the privilege herein granted shall not be construed to interfere with the control of water for irrigration and other purposes under the authority of the respective States and Territories. "Sec. 19. That any canal or ditch company desiring to secure the benefits of this act shall, within twelve months after the location of its canal, if the same be 40 enterprise in irrigation created a new condition precedent for the grant of rights of way by the United States where either private or public irrigation use was made or to be made of the water. The new condition precedent was the filing with, and approval by, the Secretary of the Interior, of certain maps and certificates, on which approval the grant of the rights of way would vest forthwith. To give such grants a legal entity their definition by the field notes of a survey connecting them with the survey of the public land was indispensable, hence the provision in the Act providing for the making and filing of a map of the right of way. The provision for a forfeiture in the event of failure to use the right of way within five years is incomplete since no legal procedure is prescribed for establishing the fact of failure to use the right of way within the time prescribed. Following the rule laid down by the Courts it would seem that instead of ''forfeiture" the act should have provided for a "reversion" of the grant. By way of giving additional assistance to irrigation enterprise the Act prescribed conditions under which the United States would grant rights of way within its Government land reservations (lands which the United States owned as sovereign and over which it had sovereign jurisdiction) as well as on the proprietary public land. Indian reserva- tions in the States and Territories of the Rocky Mountain region were particularly in view in the making of this provision. While the special purpose of the Act was as has been described, its form was general. Advantage was taken of this in California and other States to secure titles to rights of way for water works without first building the works or even securing any water. All that was necessary was to conform to the requirement of the Act by precedently declaring that the use of the water was to be irrigation. The Act of Congress of January 21, 1895, extended the operation of the new condition precedent, (the condition precedent created by upon surveyed lands, and if upon unsurveyed lands within twelve months after the survey thereof, by the United States, file with the register of the land office for the district where such land is located a map of its canal or ditch and res- ervoir; and upon approval thereof by the Secretary of the Interior the same shall be noted upon the plats in said office, and thereafter all such lands shall be disposed of subject to such right of way. * * * 'Sec. 20. That the provisions of this act shall apply to all canals, ditches, or reservoirs heretofore or hereafter constructed, whether constructed by corpora- tionsj individuals or associations of individuals, on the filing of the certificates and maps herein provided for. * * * Provided, That if any section of said canal or ditch shall not be completed within five years after the location of said section the rights herein granted shall be forfeited as to any uncompleted section of said canal, ditch, or reservoir, to the extent that the same is not completed at the date of the forfeiture." 41 the Act of March 3, 1891), to vest the grant of rights of way for water works where the use of water was, or was to be, for private mining, quarrying, or cutting and manufacturing lumber, but provided only for grants of rights of way from the public land, irrigation being the only consideration which the United States would accept for its grant of rights of way within its sovereign land.* The Act of Congress of February 26, 1897, provides that any of the respective States could be granted rights of way for reservoirs for the storage of water for irrigation, under the Act of March 3, 1891, to the same extent as individuals or corporations.** The particular significance of the Act is in the last clause, which, in effect, disclaims for the United States in favor of the States, any claim of right to regulate or control the charges for water by virtue of its proprietary ownership of the land of the reservoirs. It is a repetition of the disclaimer to the same effect in Section 18 of the Act of March 3, 1891, that, the acceptance of a right of way for water works granted by the United States on either its proprietary public land or sovereign land in its Government reservations, should not be construed by the United States as investing them with the right to interfere with the control of the water under the authority (jurisdiction) of the respective States or Territories. The Act of Congress of May 11, 1898, simply amends the Act of January 21, 1895, by extending the operation of the new condition precedent to vest the grant of rights of way for water works where the use of water effected through or by them was domestic purposes, development of water power, public, and other beneficial uses, as well * Act of Congress, Jan. 21, 1805 (28 Stat., 6:^5). "That the Secretary of the Interior be, and hereby is, authorized and empowered, under the general regula- tions to be fixed by him. to permit the use of the right of way through the public land of the United States, not within the limits of any park, forest, military, or Indian reservation, for tramroads, canals or reservoirs and fifty feet on each side of the marginal limits thereof, or fifty feet on each side of the center line of the tramroad, by any citizen or any association of citizens of the United States engaged in the business of mining or quarrying or of cutting lumber and manufacturing lumber. ** Act of Congress, Feb. 26, 1897, (29 Stat., 599). "That all reservoir sites reserved or to be reserved shall be open to use and occupation under the right- of-way act of March 3, 1891. And any State is hereby authorized to improve and occupy such reservoir sites to the same extent as an individual or private corpora- tion, under such rules and regulations as the Secretary of the Interior may pre- scribe : Provided, That the charges for water coming in whole or part from res- ervoir sites used or occupied under the provisions of this act shall always be sub- ject to the control and regulation of the respective States and Territories in which such reservoirs are in whole or part situate." 42 as irrigation, mining, quarrying, and cutting and manufacturing of lumber.* Repeal of U. S. Statutes Granting Rights of Way for Water Works. The Act of Congress of February 15, 1901, repealed the Acts of July 26, 1866, March 3, 1891, January 21, 1895, February 26, 1897, and May II, 1898. The Act of July 9, 1870, was not repealed. Congress may not have intended this effect to its Act but the effect is a fact nevertheless. The repealed Acts were Acts making grants in presenti on one, •later another, condition precedent, of easements of rights of way for the emplacement of water works on the public lands where the grantees' use of the easements was a private use, and one of them, the Act of March 3, 1891, making grants of easements of rights of way on land of the sovereign jurisdiction of the United States where the grantees' use of the easements in accomplishing irrigation might be either a private use or a public use. Act of Congress Providing for Tenancies of Public Lands for Rights of Way. The Act of February 15, 1901, in place of the grants in presenti miade by the Acts repealed, specified the covenants of a permitted tenancy on the public land and on certain of the lands in the sovereign jurisdiction of the United States.** The phrase, "permit the use of - * Act of Congress, May 11, 1898, (30 Stat., 404). Sec. i. "That the Secretary of the Interior be, and hereby is, authorized and empowered, under general regu- la,tions to be fixed by him, to permit the use of right of way upon the public lands of the United States, not within the limits of any park, forest, military or Indian r€;servations, for tramways, canals or reservoirs to the extent of the ground occupied by the water of the Canals and reservoirs and fifty feet on each side of the marginal limits thereof, or fifty feet on each side of the center of the tram- road, to any citizen or association of citizens of the United States for the pur- po^se' of furnishing water for domestic, public, and other beneficial uses. Sec. 2. That rights of way for ditches, canals, or reservoirs heretofore ap- proved under the provisions of Sections 18, 19, 20, and 21, of the Act of March 3, 1891, may be used for purposes of water transportation, for domestic purposes, or fox -the development of power, as subsidiary to the main purpose of irrigation." **^rf of Congress, Feb. 15, igoi. 31 Stat, at Large, p. ygo. "That the Sec- retary of the Interior be, and hereby is, authorized and empowered, under gen- eral regulations to be fixed by him, to permit the use of rights of way through the public lands, forest and other reservations of the United States, and the Yosemite, Sequoia and General Grant national parks, California, for electrical plants, poles, arid lines for the generation and distribution of electrical power, and for telephone and telegraph purposes, and for canals, ditches, pipes and pipe lines, flumes, tun- nels, or other water conduits, and for water plants, dams, and reservoirs used 43 rights of way" in the first clause of the Act, qualified by the proviso of the last clause of the Act, that any permit may be revoked *'and shall not be held to confer any [grant of] easement, or interest in, to, or over any public land, reservation, or park," despite its disguise, describes a relation of landlord and tenant between the United States proprietary owner of the public land, and **any citizen, association, or corporation of the United States" holder of the permit "to use rights of way." The landlord, United States, covenants to deliver the temporary possession of parcels of the public land (or of land under the sovereign jurisdiction) to the tenant, (citizen, association or corporation). The tenant (citizen, association or corporation) covenants to vacate and surrender the demised premises at will of the landlord (revocation of permit or lease by the Secretary of the Interior who the Act makes the real estate agent of the landlord United States). The tenant (citizen, association or corporation) covenants as consideration for the possession of the land temporarily, to emplace thereon waterworks construction adapted to conduct water, (canals, ditches, flumes, tunnels, reservoirs, water [power] plants, dams, pipes, pipe lines, and other water conduits), and to use the water works construction for the conduit of water for some one or more of purposes which are named in the Act as, irrigation, mining, quarrying, manu- facturing or cutting of timber or lumber, domestic, public, or any other beneficial use, the last embracing the use of the water in power development, and may additionally covenant to emplace thereon elec- trical plants, poles and [wire] lines for the generation and distribution of electrical power, and poles and [wire] lines for telephone and telegraph purposes. to promote irrigation or mining or quarrying, or the manufacturing or cutting of timber or lumber, or the supplying of water for domestic, public, or any other beneficial uses to the extent of the ground occupied by such canals, ditches, flumes, tunnels, reservoirs, or other water conduits or water plants, or electrical or other works permitted hereunder, and not to exceed 50 feet on each side of the mar- ginal limits thereof, or not to exceed 50 feet on each side of the center line of such pipe lines, electrical, telegraph, and telephone lines and poles, by any citizen, asso- ciation, or corporation of the United States, where it is intended by such to ex- ercise the use permitted hereunder or any one or more of the purposes herein named: Provided, That such permits shall be allowed within or through any of said parks or any forest, military, Indian, or other reservation only upon the approval of the chief officer of the department under whose supervision such park or reservation falls, and upon a finding by him that the same is not incom- patible with the public interest; * * * And provided further. That any per- mission given by the Secretary of the Interior under the provisions of this Act may be revoked by him or his successor in his discretion, and shall not be held to confer any right, or easement, or interest in, to, or over any public land, res- ervation, or park." There is no covenant in the Act prescribing a money payment of rental for the land, either public land or sovereign land, occupied in tenancy, and there is no suggestion or implication that the authority of the Secretary is anything more than ministerial in any matter con- nected with his executing the leases of the public and other land for the purposes mentioned. The Act, however, does however purport to give the Secretary of the Interior unlimited discretion to terminate a tenancy. So far as the Act relates to the disposition of land within the sovereign jurisdiction of the United States, the disposition of the land of the reservations created for purposes of the Federal Government, in distinction from reservations from present disposal of public land, the Act is the paramount law. The United States by Act of Congress may make the conditions of disposition of land within the jurisdiction of the Federal Government anything Congress pleases. Such land is tiot within the municipal jurisdiction of the State for any purpose. So far as the Act relates to the disposition of the proprietary public land of the United States the Act is not the. paramount law. The Act does not make a primary disposal of the public land, with which the State of California by the covenant of the Act of Admission cannot interfere in any way. The Act does not make any kind of a disposal of the public land. If the tenancy permitted by the Act be assumed to be "primary disposal" the land tenanted would become taxable by the State forthwith — an obviously impossible condition. Therefore, the United States landlord of the public land and the permitted tenant of the public land are both within the municipal jurisdiction of the State of California, and the covenants of any contract of tenancy entered into by or under this Act of Congress, are subject to limitations imposed by the municipal law of California and the interpretations the vState Courts put on them. The United States landlord-proprietor of the public land may, or may not, permit tenancy of the public land for private purposes and uses as it elects. That is its landlord affair entirely. The Act of February 15, 1901, permits tenancy of the public land for certain specified private purposes and uses. The Act also permits tenancy of the public land for certain specified public purposes and uses. But, the Act does not, because it cannot, limit the occupancy of the public land for the certain purposes of public use to an occupancy as a tenant. The Act may possibly widen, within the State jurisdiction of election,, the choice of the kind of occupancy of the public land for the certain public purposes and uses. The State, however, has the paramount 45 right of occupancy for public purposes and uses by virtue of its eminent domain. It is doubtful if the State of California, or any other State (no matter by whom the State jurisdiction may be exercised), for a public purpose or use, can constitutionally elect as against the exercise of its eminent domain the contractual acceptance of a terminable tenancy even if it be politely called a "revokable permit." Obviously, for public purposes and uses any private proprietary water appropriation inclusive of its water works and their situs can be condemned entirely irrespective of part of the situs of the water works being privately possessed by virtue of a contract of tenancy. It would not be the terminable tenancy of a landlord's land which would be condemned by eminent domain, but the estate in the land itself, the fee, or a sufficient easement imposed on the fee, to vest the unlimited right of use of the situs of the water works for the public purpose. Summary of Title and Current Law of Water Appropriation in California. The title and the current law of the flow of the water in the streams on, by, or adjacent to the public land of the United States in California, and in the land in the sovereign jurisdiction of the United States which is in but not of California, may be summarized sub- stantially as follows : The title to the right to appropriate and use the flow of the water of streams on, by, or adjacent to the public land in California is in the State of California, and it is held by the State as its sovereign inalien- able property, the title of the State passing to it from the United States by grant in presenti of their Act of Admission of the State into the Union, the United States having received the title from Mexico by cession of the Treaty of Guadalupe Hidalgo. The title to the right to appropriate and use the flow of the water of streams which flow in the land of the United States sovereign jurisdiction, within but not of California, is in the United States, and it: is held by virtue of the sovereignty as property entirely at the disposal of Congress, the title passing to the United States directly from Mexico as to streams on the land of Military and Indian reserva- tions which did not pass to California by the Act of Admission, and passing to the United States indirectly from California as to streams on the land of other reservations and parks, by its legislative acts of cession. ^ 46 The State of California permits any citizen to make proprietary use, for either public or private purposes and uses, of its sovereign property to appropriate and use the water of streams which flow on, by, or adjacent to the public land in CaHfornia, prescribing by munici- pal statutes the conditions precedent to the issuance of its franchise or permit, and making ''use" of the essence of the franchise. Congress has made no enactment by virtue of which proprietary use may be made of the flow of water of the streams on land in the Federal Government jurisdiction in, but not of, California. The United States is a riparian proprietor of riparian public land in California, having acquired the riparian easements from the State of California, concurrently with their Admission of the State, by its grant in presenti implied from the enactment of the Common Law of England by the first Legislature of California. The holder of the State's franchise or permit to appropriate and use for public purposes and uses, the flow of water of a stream in the California jurisdiction, is entitled to the exercise of the State's eminent domain to appropriate from the public land of the United States necessary riparian easements and easements to provide necessary situs for the emplacement of the water works and other w^orks of his appro- priation and use of the water flow. The holder of the State's franchise or permit to appropriate and use for certain private purposes and uses, the flow of water of a stream in the California jurisdiction, is entitled to a tenancy of the public land to the extent necessary for the emplacement of the appropriate water works through which to effect his appropriation and use, under the provisions of the Act of Congress of February 15, 1901, prescribing covenants (subject to the municipal law as interpreted by the Courts of California), by the holder to quit tenancy at the will of the Secretary of the Interior, and to make stipulated private uses of the tenancy possession, but not prescribing a covenant of payment of any money rental whatever. The holder of the State's franchise or permit to appropriate and use for, either, public purposes and uses, or, certain private purposes and uses, the flow of a stream in the California jurisdiction, is entitled to a tenancy of the sovereign land of the United States, if such tenancy be first found not to be incompatible with public interest, to the extent necessary for the emplacement of the appropriate water works through which appropriation and use would be made, under the provisions of the Act of Congress of February 15, 1901, prescribing contractual covenants (subject to Federal law and Courts), by the holder to quit 47 tenancy at the will of the Secretary of the Interior, and to make the stipulated uses of the tenancy possession, but not prescribing a covenant of payment of any money rental whatever. Acceptance of Incorrect Assumptions as to Title and Current Law of Water Appropriation. As a consequence of more or less general acceptance of a number of incorrect assumptions as to the title and the current law, the State of California, during the past five years, has not been in either com- mercial or governmental possession of the State's property right to the use of the flow of the water of the streams. The error of the generally accepted meanings of riparian rights and rights of appropriation and use of the flow of the water of streams has been explained and corrected. This error had no harmful effect in California until the Federal Government officials, about five years ago, began what they would probably describe as the administration of the Act of Congress of February 15, 1901, with incorrect assump- tions concerning this Act, to which they have been persistently and pestiferously making additions of more error as their administration continued. Concerning this Act of February 15, 1901, Federal Government officials undertaking to apply it in administration have assumed : That this Act provides the only mode by which rights of way could be had on the public lands of the United States in California for the water works emplacement necessary for public purposes and uses of the flow of the water of streams. Whereas, the current law is, that the State of California has the* sovereign power of eminent domain over the public land in California, and the emplacement of water works, intended to effect public pur- poses and uses of the flow of the water of streams, must proceed by eminent domain of the State and not otherwise. II. That the "permit to use rights of way through the public lands" which the Act provides should be issued by the Secretary of the Interior is of the essential legal nature of a Federal license of a privilege on the public land. , 48 Whereas, the fact is, that the "permit" is a landlord's contract with his tenant for the lease of a parcel of public land. III. That the Act did not provide in its express words all the covenants which Congress intended the "permittee" (really tenant) should be obligated to in consideration of the "permission" (really lease) to occupy public land. Whereas, the fact is, that, the Act being a legislative Act of Congress providing the conditions or terms of a disposition of public property, an assumption that there could be any other conditions or terms than those expressly declared in the words of the Act, involves the further assumption that Congress could delegate its legislative function in the Government of the United States by the Act to an executive officer, which would be impossible because unconstitutional. IV. That the Secretary of the Interior, by virtue of the clause, "author- ized and empowered under general regulations to be fixed by him," in the Act, became thereby invested with the power to prescribe the covenants which the "permittee" (tenant) must obligate himself to in consideration of the "permission" (lease) to occupy pubHc land, which is in effect an assumption that Congress could and did delegate the exercise of its function to the Secretary of the Interior. Whereas, the fact is, that no such delegation of its powers by Congress was intended or made by the Act. That the Secretary of the Interior was authorized and empowered without express words in the Act so declaring its intention, to impose a covenant to pay a "rate" fixed by the Secretary for every electrical horsepower developed from the use of the flow of the water, as a consideration to be paid by the "permittee" (tenant) for the permis- sion (lease) to occupy public land. W^hereas, the fact is, that the Secretary of the Interior has no authority of law to fix rates for anything nor power to enforce their payment to the United States or to anybody. 49 VI. That the withdrawal of public land from present disposal accom- panied with the official designation of the withdrawn public land as "Forest Reserve" or "National Forest," re-established the sovereignty and jurisdiction of the United States over the public land of the Forest Reserve or National Forest as it was before the Act of Admission of California, arid concurrently ousted the sovereignty and municipal jurisdiction of California; and, further, by virtue of the Act of February 15, 1901, authorized and empowered the chief officer of the Forestry Department to impose any additional covenants he elects, to perform which th^ permittee (tenant) must obligate himself in con- sideration of the permission to occupy the public land ; or to make any consideration whatever that he elects, the basis of a finding by him that the allowance of the "permit" (tenancy) would be incompatible with public interest, and therefore not allowable. Whereas, the current law is, that irrespective of whether the withdrawal of the public land from present disposal was made directly by Act of Congress, or indirectly by an executive official duly em- powered by Congres^, and irrespective of the new name given the withdrawn public land, or the more or less meritorious purpose of the withdrawal, the sovereignty and municipal jurisdiction of California was not ousted. California became vested with its sovereignty and municipal jurisdiction over the public land by the Act of Admission, and whether the passing or transfer of sovereignty from the United States be described as a cession or as a grant, it was a completely executed passing or transfer as of the date of the Act of Admission. The United States have no constitutional power to impair their Act of cession or grant of sovereignty by an Act of Congress no matter what the purpose of the Act may be.* Suppose a withdrawal of public land from present disposal be lawfully directed by Congress to re- survey it, to re-examine it for any reason, to arrange for a change in the mode of disposal, or for any other reason or purpose Congress may elect or for no reason at all, is it seriously to be contended that the * State of Illinois v. III. Cent. R. Co., U. S. 33 Fed. 721. "A grant in its own nature amounts to an extinguishment of the right of the grantor, and im- plies a contract not to reassert that right. A party is therefore always estopped by his own grant." * Balderson v. Brady et. al., Idaho Supreme Court, Nov., iQog. "It seems to be intimated that the admission bill was in some way amended by the Act of August 18, 1894, and other amendments to the land laws (28 Stat., 372, 394), but we know of no power or authority whereby the Congress can divest the State of its title to lands that have been previously granted and to which title has vested." 50 United States sovereignty thereby re-establishes itself and ousts the California jurisdiction? Is the essence of sovereignty over the public land in the name of "Forest Reserve" or "National Forest" tacked onto it? Is the essence of sovereignty over the public land in the fashion of the Mandarin button of a chief forestry official? The fact is that "Forest Reserve" or "National Forest" is still in California proprietary public land of the United States subject to the municipal jurisdiction of the State. It is silly to assume that Congress divested itself of its legislative function and delegated it to a chief officer of the Forestry Department equally with and independently of the Secretary of the Interior. VIL That the withdrawal of public lands from present disposal by Acts of Congress for the purpose of creating the Yosemite, Sequoia, and General Grant National Parks, completely effected the purpose of Congress and created the National Parks, that is to say, brought the public land withdrawn from disposal from under the sovereign jurisr diction of California and put it under the sovereign jurisdiction of the United States as land dedicated to a Governrtiental purpose of the Federal Government. Whereas, the current law establishes the fact, that, despite the new names and the Federal Government purpose, the public lands of these so-called National Parks are still within the sovereignty and municipal jurisdiction of California precisely as if Congress had made no enactment whatever concerning them or reserving them from disposal.* They will continue to be public lands subject to the sovereignty and municipal jurisdiction of California until such time as the Legislature shall have enacted an Act of cession of sovereignty to the United States. The probable reason why such an Act of cession has not been enacted by the California Legislature is that because of the existence, within and surrounded by the withdrawn public land, * The condition of Yosemite National Park by virtue of the Act of Con- gress undertaking to create it is not the same as Yellowstone National Park or parks and reservations in North and South Dakota, Montana and Washington. The Yellowstone National Park and the parks and reservations in the States named were withdrawn from the public land before the admission of the re- spective States in which they are situated, and the United States in the respective several Acts of Admission reserved sovereignty over the land of them. That is to say, the land included within them never came under the jurisdiction of the State _ sovereignties. The land of Yosemite National Park was under the sover- eign jurisdiction of California as public land (and private land) for forty years before Congress undertook to create the National Park from it. 51 of tracts of land owned by citizens of California, the Legislature has not the constitutional power to make the cession of sovereignty. Yosemite Valley and Yosemite National Park are not the same. Yosemite Valley, which is entirely within the Yosemite National Park, was owned in fee by the State of California. The Legislature, acting within its constitutional power, made a cession of its sovereignty to the United States. The State has never made a similar Act of cession of sovereignty over the Yosemite National Park to the United States. The City of San Francisco now owning land within this park which it has acquired for municipal purposes, and which it cannot dispose of by sale or gift, it is doubtful if the Yosemite National Park can ever be created as Congress intended. VIIL That the Secretary of the Interior and the chief officers of the several Departments having supervision over the land of the Federal jurisdiction in reservations and parks, by virtue of the clauses of the Act directing the Secretary to fix "general regulations," and requiring the chief officers to advise the Secretary of the Interior of their find- ings of fact that any particular application for a "permit" (tenancy) is, or is not, "incompatible with public interest," became respectively invested with legal power to enter into trading contracts and agree- ments on behalf of the United States with applicants for "permits to use rights of way through" (tenancies of) the public land, and (or) of land within the Federal jurisdiction. Whereas, the intent and full legal measure of effect of the law is, that the Secretary of the Interior and the chief officers of the several Departments, became thereby respectively charged with certain spe- cific ministerial duties, and the former with one specific quasi-judicial • power, and with absolutely no other duties or power whatever, as follows : The Secretary of the Interior with the ministerial duties, (i) Of fixing a code of general rules and forms which applicants for "permits" (tenancies) would be required to comply with in order that he (the Secretary) should thereby be fully informed as to the legal qualifica- tion of the applicants, and as to the pertinent facts of what they respectively applied for on the public or other lands : And (2) Of executing pro forma (by instruments of permit or lease) with all legally qualified applicants the contracts of tenancy imposing on the "permittees" (tenants) the two particular covenants (and no other 52 covenants whatever) specified by the Act of Congress as the obHga- tions "permittees" (tenants) should assume. The chief officers of the several Departments with the ministerial duty of advising pro forma the Secretary of the Interior of a single fact of their finding, to wit: that the particular ''permit" (tenancy) applied for is "Approved (or Disapproved) as compatible (or incom- patible) with public interest," which merely means that the "permis- sion" (tenancy) will not (or will) interfere with the proper conduct of the Federal purpose of its sovereignty of the land of the reservation or park. The Secretary of the Interior with the quasi-judicial power of declaring forfeitures of "permits" (tenancies) for actual breach of their covenants, but for no other reason whatever. Consequences to California of Erroneous Assumptions of Federal °'*'"''- Sao Map, Page 69. The cumulated effect on California of these erroneous assumptions of Federal officials has become a thing visible on the map of the State. Within the "National Forest," in its present stage of growth one-third of the State, indicated by the shading on the map, are situated nearly all of the streams of which the water flow is commer- cially available for either public or private purposes and uses. Exclusive of use already made, it may be said that there will ultimately be had in California from the flow of these streams not less than 3,000,000 electric horsepower, the irrigation of more than 2r,500,ooo acres of land, and the domestic water supply of at least 10,000,000 people, all of this not for a day or a year but forever as the word is used in describing the affairs of men. Within the exterior boundaries of these areas of so-called National Forest there are at a rough estimate more than 3,500,000 acres of land in private ownership. There is a present resident population of 75,000 citizens of California. They conduct three-fourths of the gold mining industry in the State, a large part of the copper and other mining, all of the pine lumbering and manufacture, and a notable amount of agriculture and horticulture. The region of the National Forest is altogether not only a land offering unusual opportunities for profit in return for effort, but is a land attractive and* inspiring to the people who come into it simply to see and live, beyond anything our country offers elsewhere. 53 54 Given the free, opportunity of the time in California before there came over it the "taboo"* of the Mandarin button of the Federal Forester, there would ultimately be a continuous resident population of a half million where there are now only a seventh of this number, and to the other people of these United States, this land of the National Forest in California would be as Switzerland and Tyrol are to the other peoples of Europe — their rest-land and their play-land. But — consequent on the cumulated effect of these erroneous assumptions of Federal officials there has been subtracted from present "free opportunity" within the National Forest in California all of the "free opportunity" of the use of the flow of the water of the streams, besides other subtractions of "free opportunity" which will not be referred to in this discussion. Within the National Forest, the eminent domain and jurisdiction of California has not been recognized as carrying with it the right to appropriate easements (rights of way) for the emplacement of the water works necessary for public purposes and uses of the flow of the water of the streams. Holders of the State's franchise or permit to appropriate and use water for public purposes have been placed on the same footing with holders of the State's franchise or permit to appropriate water for private purposes and uses. "Permission" (tenancy) for right of way purposes in the National Forest has been treated as if it was the license of a more or less improper privilege. Applicants, whether qualified with intentions to make public use of the "permission" (tenancy) or to make private use of it, have had their applications arbitrarily held up from action indefinitely, have had them allowed and after allowance arbitrarily revoked (their forfeiture declared), and have had their bona fides arbitrarily questioned and impugned. The actual procedure of con- sideration of applications for "permits" in a number of instances has been suggestive of the procedure accompanying the issue of licenses by municipal police authorities. The Secretary of the Interior has repeatedly required of applicants for "permits" (tenancies), whether qualified with intentions to make public use of the "permission" (tenancy) or to make private use of it, that they should obligate themselves to covenants of his imposition in addition to the covenants prescribed by the Act of Congress, particu- larly to covenants requiring payments of money consideration, either, * "Taboo." Def. n. Prohibition of use of, or approach to, water, under pain of being deprived of it. Originally a religious interdict in the Spice Isles, v. t. To put under taboo. (Written also tabu.) 55 or both, a lump sum as a fee at the time of allowance, or an annual "rate" to be paid per unit on the estimated electric horsepower develop- ment from the use of the flow of the water. A ''rate" imposed by the Secretary of the Interior on electric power used in public service, and collected, and now being collected, $1.50 per electrical horsepower per year, is nicely adjusted to the load-carrying ability of the infant industry — just about equaling the current operation cost of producing the power — and obviously fur- thers the great National purpose of "Conservation of the Natural Resources" in California by compensating in that State the cost of production of electric power from water power with the cost of pro- duction of electric power from petroleum. The chief officer of at least one Federal Department has required of applicants whose applications were referred to his Department, that before his approval as "not incompatible with public interest," the applicants should obligate themselves by covenants of his imposition as well as by covenants imposed by the Secretary of the Interior and covenants which are statutory by the Act of Congress. Particularly have these covenants imposed by chief officers of Departments been covenants compelling money payments by the applicants for alleged damages to the public land, or for alleged uses of the public land, — the chief officer of the Department being the sole judge of the damage and service alleged. So burdened with Federal Bureau red tape procedure — with per- missions refused — with permissions revoked — with enormous unpro- ductive expense charges — with great wastes of time which consume the financial opportunities of new undertakings — with paternal "regu- lations" of every detail of applicants' undertakings — with childish rules for business — with uncertainties as to the temper of Federal officials and with uncertainties of their uncertain law, — has become the appro- priation of the water flow of the streams in the region of the National Forest in California, that appropriation intended for public purposes and uses is practically suspended where appropriators must have right of way easements on the public land of the National Forest, and only appropriations intended for private purposes and uses by large, inde- pendently financed corporations able to buy a clear way through official obstacles and seasoned into indifference to official waste of time, are being undertaken. 56 The President and Secretary Ballinger Influenced by Erroneous Assumptions. The President and Secretary BalHnger seem to be acting under the suggestion of all of the erroneous assumptions which have mis- directed the administration of the Act of Congresses of February 15, 1901, except the particular assumptions that the Secretary of the Interior and chief officers of Departments have been severally dele- gated by that Act the constitutional function of Congress to prescribe the covenants of the "permits" (tenancies) on the public and other lands for rights of way purposes. The President and Secretary Ballinger do not question the economic and Governmental soundness of the policy of imposing the particular covenants and conditions which have already been imposed by the Secretary of the Interior and chief officers of Departments as consideration for "permits" (tenancies) of the public land for right of way purposes. They would, they say, if so empowered by law, impose even more onerous covenants addi- tional."^' They simply affirm that there has been no authority of law for the imposition of any of these covienants or conditions (which included payments of charges or "rates") by Secretaries of the Interior and chief officers of Departments. The President has therefore asked Congress to create the authority of law by enacting the covenants or conditions i^ito the statutes so that executive officials may lawfully impose them on "permitees" (tenants) of the public land for right of way purposes. The public at large, misled by the appeals to senti- ment of the advertising exploitation given to the unlawful acts of officials of former President Roosevelt's administration into believing those acts regular and lawful because they seemed well intended, and not given to making fine distinctions, does not understand why any new enactment by Congress is necessary, and is suspicious through suggestion of the motives of those who propose any legislation. * Annual Report of Secretary of the Interior Ballinger. Dec., 1909. "I would therefore advise that Congress be asked to enact a measure that will authorize the classification of all lands capable of being used for water power development, and to direct their disposal, through this department, under sub- stantially the following conditions : "1. That the title to such lands be reserved in the Federal Government, and only an easement granted for the purpose of developing and transmitting electrical power for private and public use, and for the storage of waters for power, irri- gation, and other uses. "2. That such easement be granted for a limited period, * * * and the option of renewal. * * * " It would seem that Secretary Ballinger means to lease where he writes to grant. There are decisions of Supreme Courts to the effect that by the use of the 57 Real Difference Between "Conservation" Policies Relating to Water Appropriation Under Federal Control. Stripped clear of the acrimonious, motive-impugning discussion, which, expending itself in personalities, has suppressed and concealed the real difference at issue, the real difference at issue between Presi- dent Taft, Secretary Ballinger and their supporters, on one side, and a very large number of the people led and misled by the late chief officer of the Forestry Department, Mr. Pinchot, on the other side, is that the former maintain that a "permittee" (tenant) on the public land is entitled by law to have the covenants or conditions of his "permit" (tenancy) predetermined precisely and fixed in an Act of Congress, while the latter maintain that the administrative officers should not be interfered with by Congress, because they already put the same cov- enants and conditions up to "permittees" (tenants) without the aid of Congress in the matter. It is a difference paralleled by the difference between a Court, which has found the accused guilty as charged, but wants to give him benefit of clergy before the Sheriff hangs him, and a howling mob without the court, which, too, having found the accused guilty as charged, would have the Sheriff do the hanging forthwith without any benefit of Congress. fiiUlcroft LiblteT word grant in an instrument of conveyance of real property (an easement is an estate in real property) the instrument conveys all the estate of the grantee, and other decisions of Supreme Courts that covenants in grants which tend to defeat the instruments as grants are null and void. "3. That entry shall be accompanied by plans and specifications covering the works to be installed, and covering the maximum horsepower capable of develop- ment at such site ; also that a substantial entry fee be paid to show good faith, and that a transfer to the United States of the necessary water rights to permit of the estimated power development to be made." Secretary Ballinger's misapprehension of the elements of a water right shows very plainly here. "4. That the construction period allowed entry-men for the development of at least 25 per cent of such power shall not extend beyond four. years, or such further time as may be granted by the Secretary of the Interior upon a proper showing. "5. That a moderate charge shall be made on the capital invested or upon the gross earnings of the project for the first ten years of operation, adjusted at each subsequent ten-year period, and equitably determined by appraisement. "6. That all rights and easements shall be forfeitable for failure to make development within the limitations imposed, or upon entry into any contract or combination to charge or fix rates beyond a reasonable profit on the investment or combination to limit the supply of electrical current, or failure to operate the plant; and "7. That all books and accounts shall always be subject to the inspection of the department." 58 As for the "accused found guilty as charged," who is not appar- ently consulted over the mode of precedence to his near end by either Court or mob, who or what is he? Not the appropriator of water for public purposes or uses, not the great soulless public service corporations, not the portentious preda- tory "water power trust" — not these undesirable citizens, or any of them, that Court and mob alike have been fooled into thinking in their Sheriff's custody primed for the hanging. They are clear out of it, because the right to appropriate and use the flow of the water of the streams is sovereign property of the State, and the State procures for its sovereign property, by virtue of its eminent domain, the easements for rights of way on the public land for emplacement of waterworks. But the appropriator of water for private purposes and uses is "the accused found guilty as charged" — the gold miner, the lumber- man, the cattleman, the farmer — not the "big fellow" but the "little fellow" — the "ultimate consumer." This is he who President Taft and Secretary Ballinger and Mr. Pinchot and Congress and the people will catch with the great chain net of public opinion and the law which they have been dragging at cross purposes for the honor of landing the catch — this is he, "the ultimate consumer." Was there not a reward offered for the discovery of the "ultimate consumer"? There should be a reward for saving him from being caught now that he is discovered. An Exhibit of Federal Control of Water Appropriation. It has been recently suggested by a United States Senator in a published interview, that although California undoubtedly owned the right to use the water of the streams, it was necessary in the best interest of California for the Federal Government to control the use, as it would require a great many years of Federal education before California would know how to control its own property properly. Per- haps the Senator knows — but, how does he happen to know? Surely not by the control exhibits already made by Secretaries of the In- terior and chief officers of departments. The control undertaken by them over the use of the water of Lake Tahoe and the Truckee River, an interstate lake and river, as both are part in California and part in Nevada, is an exhibit which has been discussed in the newspapers and magazines without inform- ing anyone what it really was. The map herewith, and the sketch cross section profile with it, are intended to illustrate the explanation of this exhibit of Federal control of the use of water. Soo Kap, Page 68. 59 ■ ^^f>t ) '4'^5£BMV 60 The Truckee River naturally discharges Lake Tahoe in Cali- fornia and after 60 miles of flow in California enters Nevada, dis- charging itself a hundred miles inside of Nevada into Pyramid Lake. The United States has no riparian proprietorship whatever along the Truckee River in California, there being no public land touching the river, and has only a minor fraction of the riparian frontage from public land in Nevada. The Federal Government officials thus appear as basing their right of invasion of the two States on a claim of direct control of the water flow by virtue of ownership of it, and not through ownership of land, by the United States. Between Lake Tahoe and the California boundary the Truckee River water falls very uniformly through its course a total of 2000 feet. Part of this fall, altogether about 700 feet, is used by means of five electric power generating stations, the power produced being consumed in public service, a little locally, and the larger part in Nevada at Reno, Virginia City, Carson City and Yerington. None of the river water is consumed in California, all of it flowing by the river into Nevada after passing the water wheels. The United States Reclamation Department has diverted part of the Truckee River water in Nevada and conducting it by a canal has distributed it for irrigation over lands in the sink region (ancient dried up lake bed) of Carson River, for which the Carson River did not by itself provide a sufficient irrigation water supply. About eighteen months ago the U. S. Reclamation Department and the public service corporation operating the power stations seem to have simultaneously discovered, the former that it wanted more water from the Truckee River for its irrigation service, and the lat- ter that it wanted more power from the fall of the water of Truckee River together with a cheaper and more certain opportunity to get it than by building more power stations along the Truckee River. Thereupon, a contract was entered into between the United States by the Secretary of the Interior and several chiefs of Depart- ments (assuming authority under the Act of Feb. 15, 1901), and the public service corporation. The contract is like a diplomatic treaty between high contracting parties in that one can read it without find- ing out from it what any party expects to get — really get — under its covenants. Disregarding the formal words and loosely expressed covenants, and going instead to the heart of the matter, this is what the public service corporation expects to get under it : .61 (i) The right to tunnel through the mountain rim on the Nevada side of Lake Tahoe, by means of which it will be able to use all of the water which would flow from the lake in a single fall of 2000 feet, thereby trebling the quantity of its electric horsepower output and having all the economy of operation of a single power station as against seven or eight along Truckee River. (2) The power of the Federal Government to close the natural outlet of Lake Tahoe into the Truckee River so that the water will have to be discharged through the power company tunnel. And this is what the U. S. Reclamation Department would get: (i) The water of Lake Tahoe discharged from the power sta- tion into Carson River instead of into Truckee River — the same water but not any more water — which the U. S. Reclamation Department would then conduct to the same land which it is now irrigating by means of a new canal from the Carson River instead of the already constructed canal from Truckee River. The preceding is the practical businsss of the contract. Consider the contract now as an instrument of Conservation by Federal control of the use of the water flow of Truckee River, keeping in mind that the chief officers of Federal Departments disregarding the State boundaries in providing for the diversion of the flow of Truckee River through California into Nevada, must assume that they could just as well have provided for the diversion the other way, from Nevada into California, a plan of diversion, by the way, which was proposed by engineers forty years ago to supply San Francisco with water. Referring to the map and cross section profile sketch, it will be noted that diverting Truckee River water from Lake Tahoe by means of a tunnel through the mountain rim on the California side, the same water could be used through three falls, each of 2000 feet, to produce electric power, and the water would then be in a region in California in which the land has a productiveness under irrigation double that of the land in the Carson sink in Nevada — or the water could be used for the jlomestic supply of San Francisco in place of irrigation. If "conservation" of the use of water means anything but a mean- ingless political "war-cry," it means getting all of the use out of the flow of the water that it can be made to give. Obviously in this particular exhibit the Federal control has only provided for getting one-third of the possible electric power and not much more than {^2 half the possible irrigation service. Apprentice work may be the reason for such a result but the '*baby act" plea will not excuse it. Would the State control of the use of the water flow of Truckee River show such a poor "conservation" result? Hardly — but Cali- fornia has never assumed that it could lawfully divert the water of Truckee River from Nevada, nor has Nevada ever assumed that it could lawfully divert the water of Truckee from its natural flow through California directly into Nevada by a tunnel in the Nevada jurisdiction. The Supreme Court of the United States has invariably ruled agaist such doctrine. It is also quite beyond the legal power of a public service corporation, or the legal power of any citizen, by a contract with anybody, to take outside of its jurisdiction, the sovereign property of California in the use of the flow of the Truckee River within its own jurisdiction. The contract after all is only an exhibit of a carelessness of official action by chief officers of Federal Departments which amounts to indifference to the current law of the rights of property. It has not afifected the property rights which it was intended to dispose of any more than if the paper it is engrossed on had been left blank as it came from the paper mill. Another Exhibit of Federal Control of Water Appropriation. • Another notable instance of the ineffectiveness of the Federal control of the use of the water of streams in California to promote economy of cost to the users of the water is exhibited by the contract which the City of San Francisco was compelled to accept from the Secretary of the Interior (Garfield) before he would allow the "per- mit" to the city to appropriate the water of the Tuolumne River and to use land in Hetch Hetchy Valley for a supply reservoir. Hetch Hetchy Valley is in the so-called Yosemite National Park, in fact its existence there was the reason Congress had for with-, drawing the public land for the creation of the Yosemite National Park. Permission was refused San Francisco when it first applied for a "permit," the ground of refusal given by Secretary Hitchcock being that the conversion of the Hetch Hetchy Valley into a city water supply reservoir would destroy the natural feature and scenic beauty which Congress intended to preserve for all the people of the Nation. It is quite true that the destruction of the natural feature and scenic beauty of the valley would disappear with its conversion into a reservoir. Still, although there are other adequate and lower costing water supplies than that of Tuolumne River available, the 63 city is clearly within its rights in electing the Tuolumne River, and a second application was made for a "permit." On this application Secretary of the Interior Garfield allowed a "permit" (tenancy) requiring the ratification by the city of a con- tract which obligates the city as follows: (1) The city is to buy all lands in .the Yosemite National Park then in pri- vate ownership and convey them to the United States. (2) The city is to accept its tenancy under the jurisdiction of the Federal Government in every respect surrendering so far as its tenancy is concerned every legal right under the municipal laws of California. (3) The city is to build a reservoir known as Lake Eleanor Reservoir in another part of the Park before it builds a reservoir in Hetch Hetchy Valley. (4) The city is to build only such dams and other structures as the Secre- tary of the Interior shall first approve, and shall build them to their ultimate magnitude in the first construction regardless of whether or not the city needs their full service or does not need it for many years. (5) The city is to agree to build no other reservoirs in the Tuolumne River watershed except the two specified. (6) The city is not to take any water from the watershed except the water required by the actual consumption of the city from time to time. (7) The city is to sell any surplus water collected by the reservoirs to two irrigation districts whenever the districts ask for it at the actual cost of storage of the water, but if the irrigation districts do not ask for the water the city must waste it. (8) The city may develop electric power from the fall of the water for its municipal uses but may not sell any power to private persons or corporations in the city or outside, except, that in case there is a surplus over municipal uses, the inhabitants of the irrigation districts may ask for the surplus and be entitled to be supplied with it at the cost of producing the surplus, which cost of producing ibe surplus electric power from water power is just nothing at all. If the irriga- tion district inhabitants do not ask for the surplus electric power the city cove- nants to waste it. (9) The city is to waive its constitutional right to litigate differences which may arise over water measurements and charges and over the price of electric power, with the irrigation districts or their inhabitants, and in lieu thereof agrees to accept without recourse the decisions of the Secretary of the Interior as to measurements and charges. (10) The city is to quit and surrender its "permit" (tenancy) whenever the Secretary of the Interior in his discretion revokes the permit. In consideration of the city's covenants which have been briefly stated, the city is to have under its "permit" the following, viz : (1) The privilege of building Hetch Hetchy reservoir after the city was fully using the water supply which Lake Eleanor reservoir provided.* ♦Since the preceding was in type Secretary Ballinger (February 28, 1910) has issued an order requiring San Francisco City officials to show cause why he should not "revoke" this privilege in a futurity event — the right to build Hetch Hetchy reservoir after fully using Lake Eleanor reservoir site. The politely ex- pressed reason for the order is an alleged misrepresentation of facts to Secretary Garfield by official representatives of the city. The connection of alleged cause, first effect, and possible penalty is not very clear. The incident simply adds another exhibit of the inherent ineffectiveness involved in the Federal control of the use of water. 64 Considering that the reason the city had for asking the ''permit" to make a reservoir use of Hetch Hetchy Valley was the relatively low cost of construction, ($1,000,000), to the quantity of water which it would hold, the privilege of building the reservoir after building and using to its limit another reservoir which would cost $2,000,000 and defer the building of the Hetch Hetchy reservoir for at least forty years, seems a ridiculously trifling consideration in return for the city's obligations under the above ten covenants. The first one, the obligation to purchase the privately owned lands within the park, would cost the city more than $500,000, and the cost of pur- chase of private property rights to enable the city to use the Lake Eleanor reservoir site is put at $1,000,000 by their owners. The Act of Congress of February 15, 1901, does not require of a "permittee" the obligation of any covenants of the nature of the above, but what could the city do but accept them? The land was assumed to be in the sovereign Federal jurisdiction as a National Park which would give the United States jurisdiction over the appropria- tion and use of the water flow of the streams as well as over the land. And, anyway, even if the assumption was incorrect, soldiers of the United States Army were in possession, and, as a city official who once visited the Valley without a "permit" said, when it was suggested to him that the military had no right to order him about, "Of course," he said, "I know that. I know that the soldiers have no right to order me around. But, what are you going to do about it when a husky khaki-clad infantryman says to you, 'Keep moving that way,' and lowers his bayonet to 'charge,' by way of punctua- tion, when you happen to look around to see if he's following you very close? What are you going to do about it then? You're not going to stop to argue about the rights of it. You're going to think fast about what that bayonet will do to you if you let it catch up, and then you're going to 'move on' and 'move off,' that's what you're going to do about it." The assumption that the land of the Yosemite National Park was land in the sovereign jurisdiction of the United States and not public land under the municipal jurisdiction of California, has been made a very costly assumption through loss of years of time and con- tingent expense to San Francisco. For this loss to the city the law officers of the city are entirely responsible, it being part of their busi- ness to inquire and ascertain the nature of the titles to property which the city contemplated acquiring. Lost time and lost contin- gent expense are total losses. Nothing can be recovered from them. 65 The loss of $1,000,000 in extra construction cost of the Lake Eleanor reservoir over the Hetch Hetchy reservoir, and the other losses which would be consequent on carrying out the other covenants of the Garfield contract can be avoided. There is nothing but her own indis- position and the indiscretion of her officials which can stop San Francisco from taking Hetch Hetchy Valley for its municipal water supply system without obligation except to the municipal law of California. In Conclusion. In review of the foregoing, it would seem, that with the right to appropriate and use the water in the streams which flow on, by, or adjacent to public land, the sovereign property of California, and with the jurisdiction of the State's eminent domain over the public lands with which to procure easements of rights of way for water works emplacement for public purposes and uses, that the imposition, through erroneous assumptions, of the burdens of a Federal juris- diction over either water use or rights of way easements for water works on the public lands in California should be impossible. But, as Brer Jasper preaches, "De sun do move." Anything is possible in California. Californians are a good deal of a laissez faire sort of people. The situation recalls an incident of the Lincoln Birthday Memorial Address made by President Roosevelt in 1905. His sub- ject was the uplifting of the negro. Someone interrupted, "What will you do if the negro refuses to be helped?" The answer flashed back by the President, 'Tf a man stumbles, help him. If he lies down you can do nothing for him." So if California people lie down — what's the use? PRESS OF pi;Uli;i0 Sc 19an ®rDpn (Eo. 509-515 howard st. San Francisco, Cal. I