Subchapter I. Delaware River Basin Compact

TITLE 7

Conservation

PART VII

Natural Resources

CHAPTER 65. DELAWARE RIVER BASIN COMPACT

Subchapter I. Delaware River Basin Compact

DELAWARE RIVER BASIN COMPACT

SHORT TITLE, DEFINITIONS, PURPOSE AND LIMITATIONS

ORGANIZATION AND AREA

POWERS AND DUTIES OF THE COMMISSION

WATER SUPPLY

POLLUTION CONTROL

FLOOD PROTECTION

WATERSHED MANAGEMENT

RECREATION

HYDROELECTRIC POWER

REGULATION OF WITHDRAWALS AND DIVERSIONS

INTERGOVERNMENTAL RELATIONS

CAPITAL FINANCING

PLAN, PROGRAM AND BUDGETS

GENERAL PROVISIONS

Conservation

Natural Resources

§ 6501. Delaware River Basin Compact.

The Delaware River Basin Compact is entered into and enacted into law; subject to the execution by the Governor as provided
in the Compact and in accordance with its terms. The Compact is as follows:

DELAWARE RIVER BASIN COMPACT

WHEREAS, the signatory parties recognize the water and related sources of the Delaware basin as regional assets vested with
local, state and national interests, for which they have a joint responsibility; and

WHEREAS, the conservation, utilization, development, management and control of the water and related resources of the Delaware
River Basin under a comprehensive multi-purpose plan will bring the greatest benefits and produce the most efficient service
in the public welfare; and

WHEREAS, such a comprehensive plan administered by a basin-wide agency will provide effective flood damage reduction; conservation
and development of ground and surface water supply for municipal, industrial and agricultural uses; development of recreational
facilities in relation to reservoirs, lakes and streams; propagation of fish and game; promotion of related forestry, soil
conservation and watershed projects; protection and aid to fisheries dependent upon water resources, development of hydroelectric
power potentialities; improved navigation; control of the movement of salt water; abatement and control of stream pollution;
and regulation of stream flows toward the attainment of these goals; and

WHEREAS, decisions of the United States Supreme Court relating to the waters of the basin have confirmed the interstate regional
character of the water resources of the Delaware River Basin, and the United States Corps of Engineers has in a prior report
on the Delaware River Basin (House Document 179, 73d Cong. 2nd Sess.) officially recognized the need for an interstate agency
and the economies that can result from unified development and control of the water resources of the basin; and

WHEREAS, the water resources of the basin are presently subject to the duplicating, overlapping and uncoordinated administration
of some 43 state agencies, 14 interstate agencies and 19 federal agencies which exercise a multiplicity of powers and duties
resulting in a splintering of authority and responsibilities; and

WHEREAS, the joint advisory body known as the Interstate Commission on the Delaware River Basin (INCODEL), created by the
respective commissions or committee on Interstate Cooperation of the States of Delaware, New Jersey, New York and Pennsylvania,
has on the basis of its extensive investigations, surveys and studies concluded that regional development of the Delaware
River Basin is feasible, advisable and urgently needed; and has recommended that an interstate compact with federal participation
be consummated to this end; and

WHEREAS, the Congress of the United States and the executive branch of the government have recognized the national interest
in the Delaware River Basin by authorizing and directing the Corps of Engineers, U.S. Department of the Army, to make a comprehensive
survey and report on the water and related resources of the Delaware River Basin, enlisting the technical aid and planning
participation of many federal, state and municipal agencies dealing with the waters of the basin, and in particular the federal
departments of Agriculture, Commerce, Health, Education and Welfare, Interior, and Federal Power Commission; and

WHEREAS, some 22,000,000 people of the United States at present live and work in the region of the Delaware River Basin and
its environs, and the government, employment, industry and economic development of the entire region and the health, safety
and general welfare of its population are and will continue to be vitally affected by the use, conservation, management and
control of the water and related resources of the Delaware River Basin; and

WHEREAS, demands upon the waters and related resources of the basin are expected to mount rapidly because of the anticipated
increase in the population of the region projected to reach 30,000,000 by 1980 and 40,000,000 by 2010, and because of the
anticipated increase in industrial growth projected to double by 1980; and

WHEREAS, water resources planning and development is technical, complex and expensive, and has often required fifteen to twenty
years from the conception to the completion of a large dam and reservoir; and

WHEREAS, the public interest requires that facilities must be ready and operative when needed, to avoid the catastrophe of
unexpected floods or prolonged drought, and for other purposes; and

WHEREAS, the Delaware River Basin Advisory Committee, a temporary body constituted by the governors of the four basin states
and the mayors of the cities of New York and Philadelphia, has prepared a draft of an interstate-federal compact for the creation
of a basin agency, and the signatory parties desire to effectuate the purposes thereof; now therefore

The states of Delaware, New Jersey and New York and the Commonwealth of Pennsylvania, and the United States of America hereby
solemnly covenant and agree with each other, upon the enactment of concurrent legislation by the Congress of the United States
and by the respective state legislatures, having the same effect as this Part to the following Compact:

ARTICLE 1

SHORT TITLE, DEFINITIONS, PURPOSE AND LIMITATIONS

Section 1.1 SHORT TITLE. This act shall be known and may be cited as the Delaware River Basin Compact.

1.2 DEFINITIONS. For the purposes of this compact, and of any supplemental or concurring legislation enacted pursuant thereto,
except as may be otherwise required by the context:

(a) "Basin" shall mean the area of drainage into the Delaware River and its tributaries, including Delaware Bay;

(b) "Commission" shall mean the Delaware River Basin Commission created and constituted by this compact;

(d) "Cost" shall mean direct and indirect expenditures, commitment, and net induced adverse effects, whether or not compensated
for, used or incurred in connection with the establishment, acquisition, construction, maintenance and operation of a project;

(e) "Facility" shall mean any real or personal property, within or without the basin, and improvements thereof or thereon,
and any and all rights of way, water, water rights, plants, structures, machinery and equipment, acquired, constructed, operated
or maintained for the beneficial use of water resources or related land uses including, without limiting the generality of
the foregoing, any and all things and appurtenances necessary, useful or convenient for the control, collection, storage,
withdrawal, diversion, release, treatment, transmission, sale or exchange of water; or for navigation thereon, or the development
and use of hydroelectric energy and power, and public recreational facilities; or the propagation of fish and wildlife; or
to conserve and protect the water resources of the basin or any existing or future water supply source, or to facilitate any
other uses of any of them;

(f) "Federal government" shall mean the government of the United States of America, and any appropriate branch, department,
bureau or division thereof, as the case may be;

(g) "Project" shall mean any work, service or activity which is separately planned, financed, or identified by the commission,
or any separate facility undertaken or to be undertaken within a specified area, for the conservation, utilization, control,
development or management of water resources which can be established and utilized independently or as an addition to an existing
facility, and can be considered as a separate entity for purposes of evaluation;

(h) "Signatory party" shall mean a state or commonwealth party to this compact, and the federal government;

(i) "Water resources" shall include water and related natural resources, in, on, under, or above the ground, including related
uses of land, which are subject to beneficial use, ownership or control.

1.3 PURPOSE AND FINDINGS. The legislative bodies of the respective signatory parties hereby find and declare:

(a) The water resources of the basin are affected with a local, state, regional and national interest and their planning,
conservation, utilization, development, management and control, under appropriate arrangements for intergovernmental cooperation,
are public purposes of the respective signatory parties.

(b) The water resources of the basin are subject to the sovereign right and responsibility of the signatory parties, and it
is the purpose of this compact to provide for a joint exercise of such powers and sovereignty in the common interests of the
people of the region.

(c) The water resources of the basin are functionally inter-related, and the uses of these resources are interdependent. A
single administrative agency is therefore essential for effective and economical direction, supervision and coordination of
efforts and programs of federal, state and local governments and of private enterprise.

(d) The water resources of the Delaware River Basin, if properly planned and utilized, are ample to meet all presently projected
demands, including existing and added diversions in future years; and ever increasing economies and efficiencies in the use
and reuse of water resources can be brought about by comprehensive planning, programming and management.

(e) In general, the purposes of this compact are to promote interstate comity; to remove causes of present and future controversy;
to make secure and protect present developments within the states; to encourage and provide for the planning, conservation,
utilization, development, management and control of the water resources of the basin; to provide for cooperative planning
and action by the signatory parties with respect to such water resources; and to apply the principle of equal and uniform
treatment to all water users who are similarly situated and to all users of related facilities, without regard to established
political boundaries.

1.4 POWERS OF CONGRESS: WITHDRAWAL. Nothing in this compact shall be construed to relinquish the functions, powers or duties
of the Congress of the United States with respect to the control of any navigable waters within the basin, nor shall any provision
hereof be construed in derogation of any of the constitutional powers of the Congress to regulate commerce among the states
and with foreign nations. The power and right of the Congress to withdraw the federal government as a party to this compact
or to revise or modify the terms, conditions and provisions under which it may remain a party by amendment, repeal or modification
of any federal statute applicable thereto is recognized by the signatory parties.

1.5 EXISTING AGENCIES: CONSTRUCTION. It is the purpose of the signatory parties to preserve and utilize the functions, powers
and duties of existing offices and agencies of government to the extent not inconsistent with this compact, and the commission
is authorized and directed to utilize and employ such offices and agencies for the purpose of this compact to the fullest
extent it finds feasible and advantageous.

1.6 DURATION OF COMPACT.

(a) The duration of this compact shall be for an initial period of 100 years from its effective date, and it shall be continued
for additional periods of 100 years if not later than 20 years nor sooner than 25 years prior to the termination of the initial
period or any succeeding period none of the signatory states, by authority of an act of its legislature, notifies the commission
of intention to terminate the compact at the end of the then current 100 years period.

(b) In the event that this compact should be terminated by operation of paragraph (a) above, the commission shall be dissolved,
its assets and liabilities transferred, and its corporate affairs wound up, in such manner as may be provided by act of the
Congress.

ARTICLE 2

ORGANIZATION AND AREA

Section 2.1 COMMISSION CREATED. The Delaware River Basin Commission is hereby created as a body politic and corporate, with
succession for the duration of this compact, as an agency and instrumentality of the governments of the respective signatory
parties.

2.2 COMMISSION MEMBERSHIP. The Commission shall consist of the governors of the signatory states, ex-officio, and one commissioner
to be appointed by the President of the United States to serve during the term of office of the President.

2.3 ALTERNATES. Each member of the commission shall appoint an alternate to act in his place and stead, with authority to
attend all meetings of the commission and with power to vote in the absence of the member. Unless otherwise provided by law
of the signatory party for which he is appointed, each alternate shall serve during the term of the member appointing him,
subject to removal at the pleasure of the member. In the event of a vacancy in the office of alternate, it shall be filled
in the same manner as an original appointment for the unexpired term only.

2.4 COMPENSATION. Members of the commission and alternates shall serve without compensation but may be reimbursed for necessary
expenses incurred in and incident to the performance of their duties.

2.5 VOTING POWER. Each member shall be entitled to one vote on all matters which may come before the commission. No action
of the commission shall be taken at any meeting unless a majority of the membership shall vote in favor thereof.

2.6 ORGANIZATION AND PROCEDURE. The commission shall provide for its own organization and procedure, and shall adopt rules
and regulations governing its meetings and transactions. It shall organize annually by the election of a chairman and vice-chairman
from among its members. It shall provide by its rules for the appointment by each member in his discretion of an advisor to
serve without compensation, who may attend all meetings of the commission and its committees.

2.7 JURISDICTION OF THE COMMISSION. The commission shall have, exercise and discharge its functions, powers and duties within
the limits of the basin, except that it may in its discretion act outside the basin whenever such action may be necessary
or convenient to effectuate its powers or duties within the basin, or to sell or dispose of water, hydroelectric power or
other water resources within or without the basin. The commission shall exercise such power outside the basin only upon the
consent of the state in which it proposes to act.

ARTICLE 3

POWERS AND DUTIES OF THE COMMISSION

Section 3.1 PURPOSE AND POLICY. The commission shall develop and effectuate plans, policies and projects relating to the water
resources of the basin. It shall adopt and promote uniform and coordinated policies for water conservation, control, use and
management in the basin. It shall encourage the planning, development and financing of water resources projects according
to such plans and policies.

3.2 COMPREHENSIVE PLAN, PROGRAM AND BUDGETS. The commission shall, in accordance with Article 13 of this compact, formulate
and adopt:

(a) A comprehensive plan, after consultation with water users and interested public bodies; for the immediate and long range
development and uses of the water resources of the basin;

(b) A water resources program, based upon the comprehensive plan, which shall include a systematic presentation of the quantity
and quality of water resources needs of the area to be served for such reasonably foreseeable period as the commission may
determine, balanced by existing and proposed projects required to satisfy such needs, including all public and private projects
affecting the basin, together with a separate statement of the projects proposed to be undertaken by the commission during
such period; and

(c) An annual current expense budget, and an annual capital budget consistent with the water resources program covering the
commission's projects and facilities for the budget period.

3.3 ALLOCATIONS, DIVERSIONS AND RELEASES. The commission shall have the power from time to time as need appears, in accordance
with the doctrine of equitable apportionment, to allocate the waters of the basin to and among the states signatory to this
compact and to and among their respective political subdivisions, and to impose conditions, obligations and release requirements
related thereto, subject to the following limitations:

(a) The commission, without the unanimous consent of the parties to the United States Supreme Court decree in New Jersey v.
New York, 74 S. Ct. 842, 347 U.S. 995, 98 L. Ed. 2d 1127 (1954), shall not impair, diminish or otherwise adversely affect
the diversions, compensating releases, rights, conditions, obligations, and provisions for the administration thereof as provided
in said decree; provided, however, that after consultation with the river master under said decree the commission may find
and declare a state of emergency resulting from a drought or catastrophe and it may thereupon by unanimous consent of its
members authorize and direct an increase or decrease in any allocation or diversion permitted or releases required by the
decree, in such manner and for such limited time as may be necessary to meet such an emergency condition.

(b) No allocation of waters hereafter made pursuant to this section shall constitute a prior appropriation of the waters of
the basin or confer any superiority of right in respect to the use of those waters, nor shall any such action be deemed to
constitute an apportionment of the waters of the basin among the parties hereto; provided that this paragraph shall not be
deemed to limit or restrict the power of the commission to enter into covenants with respect to water supply, with a duration
not exceeding the life of this compact, as it may deem necessary for the benefit or development of the water resources of
the basin.

(c) Any proper party deeming itself aggrieved by action of the commission with respect to an out-of-basin diversion or compensating
releases in connection therewith, notwithstanding the powers delegated to the commission by this compact may invoke the original
jurisdiction of the United States Supreme Court within one year after such action for an adjudication and determination thereof
de novo. Any other action of the commission pursuant to this section shall be subject to judicial review in any court of competent
jurisdiction.

3.4 SUPREME COURT DECREE: WAIVERS. Each of the signatory states and their respective political subdivisions, in consideration
of like action by the others, and in recognition of reciprocal benefits, hereby waives and relinquishes for the duration of
this compact any right, privilege or power it may have to apply for any modification of the terms of the decree of the United
States Supreme Court in New Jersey v. New York, 74 S. Ct. 842, 347 U.S. 995, 98 L. Ed. 2d 1127 (1954) which would increase
or decrease the diversions authorized or increase or decrease the releases required thereunder, except that a proceeding to
modify such decree to increase diversions or compensating releases in connection with such increased diversions may be prosecuted
by a proper party to effectuate rights, powers, duties and obligations under Section 3.3 of this compact, and except as may
be required to effectuate the provisions of paragraph 111B3 and VB of said decree.

3.5 SUPREME COURT DECREE: SPECIFIC LIMITATIONS ON COMMISSION. Except as specifically provided in Sections 3.3 and 3.4 of this
article, nothing in this compact shall be construed in any way to impair, diminish or otherwise adversely affect the rights,
powers, privileges, conditions and obligations contained in the decree of the United States Supreme Court in New Jersey v.
New York, 74 S. Ct. 842, 347 U.S. 995, 98 L. Ed. 2d 1127 (1954). To this end, and without limitation thereto, the commission
shall not:

(a) Acquire, construct or operate any project or facility or make any order or take any action which would impede or interfere
with the rights, powers, privileges, conditions or obligations contained on said decree;

(b) Impose or collect any fee, charge or assessment with respect to diversions of waters of the basin permitted by said decree;

(c) Exercise any jurisdiction, except upon consent of all the parties to said decree, over the planning, design, construction,
operation or control of any projects, structures or facilities constructed or used in connection with withdrawals, diversions
and releases of waters of the basin authorized by said decree or of the withdrawals, diversions or releases to be made thereunder;
or

(d) Serve as river master under said decree, except upon consent of all the parties thereto.

3.6 GENERAL POWERS: The commission may:

(a) Plan, design, acquire, construct, reconstruct, complete, own, improve, extend, develop, operate and maintain any and all
projects, facilities, properties, activities and services, determined by the commission to be necessary, convenient or useful
for the purposes of this compact;

(b) Establish standards of planning, design and operation of all projects and facilities in the basin which affect its water
resources, including without limitation thereto water and waste treatment plants, stream and lake recreational facilities,
trunk mains for water distribution, local flood protection works, small watershed management programs, and ground water recharging
operations;

(c) Conduct and sponsor research on water resources, their planning, use, conservation, management, development, control and
protection, and the capacity, adaptability and best utility of each facility thereof, and collect, compile, correlate, analyze,
report and interpret data on water resources and uses in the basin, including without limitation thereto the relation of water
to other resources, industrial water technology, ground water movement, relation between water price and water demand, and
general hydrological conditions;

(d) Compile and coordinate systematic stream stage and ground water level forecasting data, and publicize such information
when and as needed for water uses, flood warning, quality maintenance or other purposes;

(e) Conduct such special ground water investigation, tests, and operations and compile such data relating thereto as may be
required to formulate and administer the comprehensive plan;

(f) Prepare, publish and disseminate information and reports with respect to the water problems of the basin and for the presentation
of the needs, resources and policies of the basin to executive and legislative branches of the signatory parties;

(g) Negotiate for such loans, grants, services or other aids as may be lawfully available from public or private sources to
finance or assist in effectuating any of the purposes of this compact; and to receive and accept such aid upon such terms
and conditions, and subject to such provisions for repayment as may be required by federal or state law or as the commission
may deem necessary or desirable;

(h) Exercise such other and different powers as may be delegated to it by this compact or otherwise pursuant to law, and have
and exercise all powers necessary or convenient to carry out its express powers or which may be reasonably implied therefrom.

3.7 RATES AND CHARGES. The commission may from time to time after public notice and hearing fix, alter and revise rates, rentals,
charges and tolls and classifications thereof, for the use of facilities which it may own or operate and for products and
services rendered thereby, without regulation or control by any department, office or agency of any signatory party.

3.8 REFERRAL AND REVIEW. No project having a substantial effect on the water resources of the basin shall hereafter be undertaken
by any person, corporation or governmental authority unless it shall have been first submitted to and approved by the commission,
subject to the provisions of Sections 3.3 and 3.5. The Commission shall approve a project whenever it finds and determines
that such project would not substantially impair or conflict with the comprehensive plan and may modify and approve as modified,
or may disapprove any such project whenever it finds and determines that the project would substantially impair or conflict
with such plan. The Commission shall provide by regulation for the procedure of submission, review and consideration of projects,
and for its determinations pursuant to this section. Any determination of the Commission hereunder shall be subject to judicial
review in any court of competent jurisdiction.

3.9 COORDINATION AND COOPERATION. The Commission shall promote and aid the coordination of the activities and programs of
federal, state, municipal and private agencies concerned with water resources administration in the basin. To this end, but
without limitation thereto, the Commission may:

(a) Advise, consult, contract, financially assist, or otherwise, cooperate with any and all such agencies;

(b) Employ any other agency or instrumentality of any of the signatory parties or of any political subdivision thereof, in
the design, construction, operation and maintenance of structures, and the installation and management of river control systems,
or for any other purpose;

(c) Develop and adopt plans and specifications for particular water resources projects and facilities which so far as consistent
with the comprehensive plan incorporate any separate plans of other public and private organizations operating in the basin,
and permit the decentralized administration thereof;

(d) Qualify as a sponsoring agency under any federal legislation heretofore or hereafter enacted to provide financial or other
assistance for the planning, conservation, utilization, development, management or control of water resources.

3.10 ADVISORY COMMITTEES. The Commission may constitute and empower advisory committees, which may be comprised of representatives
of the public and of federal, state, county and municipal governments, water resources agencies, water-using industries, water-interest
groups, labor and agriculture.

ARTICLE 4

WATER SUPPLY

Section 4.1 GENERALLY. The Commission shall have power to develop, implement and effectuate plans and projects for the use
of the waters of the basin for domestic, municipal, agricultural and industrial water supply. To this end, without limitation
thereto, it may provide for, construct, acquire, operate and maintain dams, reservoirs and other facilities for utilization
of surface and ground water resources, and all related structures, appurtenances and equipment on the river and its tributaries
and at such off-river sites as it may find appropriate, and may regulate and control the use thereof.

4.2 STORAGE AND RELEASE OF WATERS.

(a) The Commission shall have power to acquire, operate and control projects and facilities for the storage and release of
waters, for the regulation of flows and supplies of surface and ground waters of the basin, for the protection of public health,
stream quality control, economic development, improvement of fisheries, recreation, dilution and abatement of pollution, the
prevention of undue salinity and other purposes.

(b) No signatory party shall permit any augmentation of flow to be diminished by the diversion of any water of the basin during
any period in which waters are being released from storage under the direction of the Commission for the purpose of augmenting
such flow, except in cases where such diversion is duly authorized by this compact, or by the Commission pursuant thereto,
or by the judgment, order or decree of a court of competent jurisdiction.

4.3 ASSESSABLE IMPROVEMENTS. The Commission may undertake to provide stream regulation in the main stream or any tributary
in the basin and may assess on an annual basis or otherwise the cost thereof upon water users or any classification of them
specially benefited thereby to a measurable extent, provided that no such assessment shall exceed the actual benefit to any
water user. Any such assessment shall follow the procedure prescribed by law for local improvement assessments and shall be
subject to judicial review in any court of competent jurisdiction.

4.4 COORDINATION. Prior to entering upon the execution of any project authorized by this article, the Commission shall review
and consider all existing rights, plans and programs of the signatory parties, their political subdivisions, private parties,
and water users which are pertinent to such project, and shall hold a public hearing on each proposed project.

4.5 ADDITIONAL POWERS. In connection with any project authorized by this article, the Commission shall have power to provide
storage, treatment, pumping and transmission facilities, but nothing herein shall be construed to authorize the Commission
to engage in the business of distributing water.

ARTICLE 5

POLLUTION CONTROL

Section 5.1 GENERAL POWERS. The Commission may undertake investigations and survey, and acquire, construct, operate and maintain
projects and facilities to control potential pollution and abate or dilute existing pollution of the water resources of the
basin. It may invoke as complainant the power and jurisdiction of water pollution abatement agencies of the signatory parties.

5.2 POLICY AND STANDARDS. The Commission may assume jurisdiction to control future pollution and abate existing pollution
in the waters of the basin, whenever it determines after investigation and public hearing upon due notice that the effectuation
of the comprehensive plan so requires. The standard of such control shall be that pollution by sewage or industrial or other
waste originating within a signatory state shall not injuriously affect waters of the basin as contemplated by the comprehensive
plan. The Commission after such public hearing, may classify the waters of the basin and establish standards of treatment
of sewage, industrial or other waste, according to such classes including allowance for the variable factors of surface and
ground waters, such as size of the stream, flow, movement, location, character, self-purifications, and usage of the waters
affected. After such investigation, notice and hearing the commission may adopt and from time to time amend and repeal rules,
regulations and standards to control such future pollution and abate existing pollution, and to require such treatment of
sewage, industrial or other waste within a time reasonable for the construction of the necessary works as may be required
to protect the public health or to preserve the waters of the basin for uses in accordance with the comprehensive plan.

5.3 COOPERATIVE LEGISLATION AND ADMINISTRATION. Each of the signatory parties covenants and agrees to prohibit and control
pollution of the waters of the basin according to the requirements of this compact and to cooperate faithfully in the control
of future pollution in and abatement of existing pollution from the rivers, streams, and waters in the basin which flow through,
under, into or border upon any of such signatory states, and in order to effect such object, agrees to enact any necessary
legislation to enable each such party to place and maintain the waters of said basin in a satisfactory condition, available
for safe and satisfactory use as public and industrial water supplies after reasonable treatment, suitable for recreational
usage, capable of maintaining fish and other aquatic life, free from unsightly or malodorous nuisances due to floating solids
or sludge deposits and adaptable to such other uses as may be provided by the comprehensive plan.

5.4 ENFORCEMENT. The Commission may, after investigation and hearing, issue an order or orders upon any person or public or
private corporation or other entity, to cease the discharge of sewage, industrial or other waste into waters of the basin
which it determines to be in violation of such rules and regulations as it shall have adopted for the prevention and abatement
of pollution. Any such order or orders may prescribe the date, including a reasonable time for the construction of any necessary
works, on or before which such discharge shall be wholly or partially discontinued, modified or treated, or otherwise conformed
to the requirements of such rules and regulations. Such order shall be reviewable in any court of competent jurisdiction.
The courts of the signatory parties shall have jurisdiction to enforce against any person, public or private corporation,
or other entity, any and all provisions of this Article or of any such order. The Commission may bring an action in its own
name in any such court of competent jurisdiction to compel compliance with any provision of this Article, or any rule or regulation
issued pursuant thereto or of any such order, according to the practice and procedure of the court.

5.5 FURTHER JURISDICTION. Nothing in this compact shall be construed to repeal, modify or qualify the authority of any signatory
party to enact any legislation or enforce any additional conditions and restrictions to lessen or prevent the pollution of
waters within its jurisdiction.

ARTICLE 6

FLOOD PROTECTION

Section 6.1 GENERAL POWERS. The Commission may plan, design, construct and operate and maintain projects and facilities, as
it may deem necessary or desirable for flood damage reduction. It shall have power to operate such facilities and to store
and release waters on the Delaware River and its tributaries and elsewhere within the basin, in such manner, at such times,
and under such regulations as the Commission may deem appropriate to meet flood conditions as they may arise.

6.2 FLOOD PLAIN ZONING.

(a) The Commission shall have power to adopt, amend and repeal recommended standards, in the manner provided by this section,
relating to the nature and extent of the uses of land in areas subject to flooding by waters of the Delaware River and its
tributaries. Such standards shall not be deemed to impair or restrict the power of the signatory parties or their political
subdivisions to adopt zoning and other land use regulations not inconsistent therewith.

(b) The Commission may study and determine the nature and extent of the flood plains of the Delaware River and its tributaries.
Upon the basis of such studies, it may establish encroachment lines and delineate the areas subject to flood, including a
classification of land with reference to relative risk of flood and the establishment of standards for flood plain use which
will safeguard the public health, safety and property. Prior to the adoption of any standards delineating such area or defining
such use, the commission shall hold public hearings, in the manner provided by Article 14, with respect to the substance of
such standards. At or before such public hearings the proposed standards shall be available, and all interested persons shall
be given an opportunity to be heard thereon at the hearing. Upon the adoption and promulgation of such standards, the commission
may enter into agreements to provide technical and financial aid to any municipal corporation for the administration and enforcement
of any local land use ordinances or regulations giving effect to such standards.

6.3 FLOOD LANDS ACQUISITION. The Commission shall have power to acquire the fee or any lesser interest in lands and improvements
thereon within the area of a flood plain for the purpose of restricting the use of such property so as to minimize the flood
hazard, converting property to uses appropriate to flood plain conditions, or preventing unwarranted constrictions that reduce
the ability of the river channel to carry flood water. Any such action shall be in accord with the standards adopted and promulgated
pursuant to Section 6.2.

6.4 FLOOD AND STREAM STAGE WARNINGS AND POSTING. The Commission may cause lands particularly subject to flood to be posted
with flood hazard warnings, and may from time to time cause flood advisory notices to be published and circulated as conditions
may warrant.

ARTICLE 7

WATERSHED MANAGEMENT

Section 7.1 WATERSHEDS GENERALLY. The Commission shall promote sound practices of watershed management in the basin, including
projects and facilities to retard run-off and waterflow and prevent soil erosion.

7.2 SOIL CONSERVATION AND FORESTRY. The Commission may acquire, sponsor or operate facilities and projects to encourage soil
conservation, prevent and control erosion, and to promote land reclamation and sound forestry practices.

7.3 FISH AND WILDLIFE. The Commission may acquire, sponsor or operate projects and facilities for the maintenance and improvement
of fish and wildlife habitats related to the water resources of the basin.

7.4 COOPERATIVE PLANNING AND OPERATION.

(a) The Commission shall cooperate with the appropriate agencies of the signatory parties and with other public and private
agencies in the planning and effectuation of a coordinated program of facilities and projects authorized by this article.

(b) The Commission shall not operate any such project or facility unless it has first found and determined that no other suitable
unit or agency of government is available to operate the same upon reasonable conditions, in accordance with the intent and
purpose expressed in Section 1.5 of this compact.

ARTICLE 8

RECREATION

Section 8.1 DEVELOPMENT. The Commission shall provide for the development of water related public sports and recreational
facilities. The Commission on its own account or in cooperation with a signatory party, political subdivision or any agency
thereof, may provide for the construction, maintenance and administration of such facilities, subject to the provisions of
Section 8.2 hereof.

8.2 COOPERATIVE PLANNING AND OPERATION.

8.3 OPERATION AND MAINTENANCE. The Commission, within limits prescribed by this article, shall:

(a) Encourage activities of other public agencies having water related recreational interests and assist in the coordination
thereof;

(b) Recommend standards for the development and administration of water related recreational facilities;

(c) Provide for the administration, operation and maintenance of recreational facilities owned or controlled by the Commission
and for the letting and supervision of private concessions in accordance with this article.

8.4 CONCESSIONS. The Commission shall after notice and public hearing provide by regulation for the award of contracts for
private concessions in connection with recreational facilities, including any renewal or extension thereof, upon sealed competitive
bids after public advertisement therefor.

ARTICLE 9

HYDROELECTRIC POWER

Section 9.1 DEVELOPMENT. The waters of the Delaware River and its tributaries may be impounded and used by or under authority
of the Commission for the generation of hydroelectric power and hydroelectric energy, in accordance with the comprehensive
plan.

9.2 POWER GENERATION. The Commission may develop and operate, or authorize to be developed and operated, dams and related
facilities and appurtenances for the purpose of generating hydroelectric power and hydroelectric energy.

9.3 TRANSMISSION. The Commission may provide facilities for the transmission of hydroelectric power and hydroelectric energy
produced by it where such facilities are not otherwise available upon reasonable terms, for the purpose of wholesale marketing
of power and nothing herein shall be construed to authorize the Commission to engage in the business of direct sale to consumers.

9.4 DEVELOPMENT CONTRACTS. The Commission may after public notice and hearing enter into contracts on reasonable terms, consideration
and duration under which public utilities or public agencies may develop hydroelectric power and hydroelectric energy through
the use of dams, related facilities and appurtenances.

9.5 RATES AND CHARGES. Rates and charges fixed by the Commission for power which is produced by its facilities shall be reasonable,
nondiscriminatory, and just.

ARTICLE 10

REGULATION OF WITHDRAWALS AND DIVERSIONS

Section 10.1 POWER OF REGULATION. The Commission may regulate and control withdrawals and diversions from surface waters and
ground waters of the basin, as provided by this article. The Commission may enter into agreements with the signatory parties
relating to the exercise of such power of regulation or control and may delegate to any of them such powers of the Commission
as it may deem necessary or desirable.

10.2 DETERMINATION OF PROTECTED AREAS. The Commission may from time to time after public hearing upon due notice determine
and delineate such areas within the basin wherein the demand upon supply made by water users have developed or threatened
to develop to such a degree as to create a water shortage or to impair or conflict with the requirements or effectuation of
the comprehensive plan, and only such areas may be designated as "protected areas." The Commission, whenever it determines
that such shortage no longer exists, shall terminate the protected status of such area and shall give public notice of such
termination.

10.3 WITHDRAWAL PERMITS. In any protected areas so determined and delineated, no person, firm, corporation or other entity
shall divert or withdraw water for domestic, municipal, agricultural or industrial uses in excess of such quantities as the
Commission may prescribe by general regulation, except (i) pursuant to a permit granted under this article, or (ii) pursuant
to a permit or approval heretofore granted under the laws of any of the signatory states.

10.4 EMERGENCY. In the event of a drought or other condition which may cause an actual and immediate shortage of available
water supply within the basin, or within any part thereof, the Commission may, after public hearing, determine and delineate
the area of such shortage and declare a water supply emergency therein. For the duration of such emergency as determined by
the Commission no person, firm, corporation or other public or private entity shall divert or withdraw water for any purpose,
in excess of such quantities as the Commission may prescribe by general regulation or authorize by special permit granted
hereunder.

10.5 STANDARDS. Permits shall be granted, modified or denied as the case may be so as to avoid such depletion of the natural
stream flows and ground waters in the protected area or in an emergency area as will adversely affect the comprehensive plan
or the just and equitable interests and rights of other lawful users of the same source, giving due regard to the need to
balance and reconcile alternative and conflicting uses in the event of an actual or threatened shortage of water of the quality
required.

10.6 JUDICIAL REVIEW. The determinations and delineations of the Commission pursuant to Section 10.2 and the granting, modification
or denial of permits pursuant to Section 10.3 through 10.5 shall be subject to judicial review in any court of competent jurisdiction.

10.7 MAINTENANCE OF RECORDS. Each state shall provide for the maintenance and preservation of such records of authorized diversions
and withdrawals, and annual volume thereof as the Commission shall prescribe. Such records and supplementary reports shall
be furnished to the Commission at its request.

10.8 EXISTING STATE SYSTEMS. Whenever the Commission finds it necessary or desirable to exercise the powers conferred by this
article any diversion or withdrawal permits authorized or issued under the laws of any of the signatory states shall be superseded
to the extent of any conflict with the control and regulation exercised by the Commission.

ARTICLE 11

INTERGOVERNMENTAL RELATIONS

Section 11.1 FEDERAL AGENCIES AND PROJECTS. For the purposes of avoiding conflicts of jurisdiction and of giving full effect
to the Commission as a regional agency of the signatory parties, the following rules shall govern federal projects affecting
the water resources of the basin, subject in each case to the provisions of Section 1.4 of this compact:

(a) The planning of all projects related to powers delegated to the Commission by this compact shall be undertaken in consultation
with the Commission;

(b) No expenditure or commitment shall be made for or on account of the construction, acquisition or operation of any project
or facility nor shall it be deemed authorized, unless it shall have first been included by the Commission in the comprehensive
plan;

(c) Each federal agency otherwise authorized by law to plan, design, construct, operate or maintain any project or facility
in or for the basin shall continue to have, exercise and discharge such authority except as specifically provided by this
section.

11.2 STATE AND LOCAL AGENCIES AND PROJECTS. For the purpose of avoiding conflicts of jurisdiction and giving full effect to
the Commission as a regional agency of the signatory parties, the following rules shall govern projects of the signatory states,
their political subdivisions and public corporations affecting water resources of the basin:

(a) The planning of all projects relating to powers delegated to the Commission by this compact shall be undertaken in consultation
with the Commission;

(b) No expenditure or commitment shall be made for or on account of the construction, acquisition or operation of any project
or facility unless it shall have first been included by the Commission in the comprehensive plan;

(c) Each state and local agency otherwise authorized by law to plan, design, construct, operate or maintain any project or
facility in or for the basin shall continue to have, exercise and discharge such authority, except as specifically provided
by this section.

11.3 RESERVED TAXING POWERS OF STATES. Each of the signatory parties reserves the right to levy, assess and collect fees,
charges and taxes on or measured by the withdrawal or diversion of waters of the basin for use within the jurisdictions of
the respective signatory parties.

11.4 PROJECT COSTS AND EVALUATION STANDARDS. The Commission shall establish uniform standards and procedures for the evaluation,
determination of benefits, and cost allocations of projects affecting the basin, and for the determination of project priorities,
pursuant to the requirements of the comprehensive plan and its water resources program. The Commission shall develop equitable
cost sharing and reimbursement formulas for the signatory parties including:

(a) Uniform and consistent procedures for the allocation of project costs among purposes included in multiple-purpose programs;

(b) Contracts and arrangements for sharing financial responsibility among and with signatory parties, public bodies, groups
and private enterprise, and for the supervision of their performance;

(c) Establishment and supervision of a system of accounts for reimbursable purposes and directing the payments and charges
to be made from such accounts;

(d) Determining the basis and apportioning amounts (i) of reimbursable revenues to be paid signatory parties or their political
subdivisions, and (ii) of payments in lieu of taxes to any of them.

11.5 COOPERATIVE SERVICES. The Commission shall furnish technical services, advice and consultation to authorized agencies
of the signatory parties with respect to the water resources of the basin, and each of the signatory parties pledges itself
to provide technical and administrative services to the Commission upon request, within the limits of available appropriations
and to cooperate generally with the Commission for the purposes of this compact, and the cost of such services may be reimbursable
whenever the parties deem appropriate.

ARTICLE 12

CAPITAL FINANCING

Section 12.1 BORROWING POWER. The Commission may borrow money for any of the purposes of this compact, and may issue its negotiable
bonds and other evidences of indebtedness in respect thereto. All such bonds and evidences of indebtedness shall be payable
solely out of the properties and revenues of the Commission without recourse to taxation. The bonds and other obligations
of the Commission, except as may be otherwise provided in the indenture under which they were issued, shall be direct and
general obligations of the Commission and the full faith and credit of the Commission are hereby pledged for the prompt payment
of the debt service thereon and for the fulfillment of all other undertakings of the Commission assumed by it to or for the
benefit of the holders thereof.

12.2 FUNDS AND EXPENSES. The purpose of this compact shall include without limitation thereto all costs of any project or
facility or any part thereof, including interest during a period of construction and a reasonable time thereafter and any
incidental expenses (legal, engineering, fiscal, financial consultant and other expenses) connected with issuing and disposing
of the bonds; all amounts required for the creation of an operating fund, construction fund, reserve fund, sinking fund, or
other special funds; all other expenses connected with the planning, design, acquisition, construction, completion, improvement
or reconstruction of any facility or any part thereof; and reimbursement of advances by the Commission or by others for such
purposes and for working capital.

12.3 CREDIT EXCLUDED: OFFICERS, STATE AND MUNICIPAL. The Commission shall have no power to pledge the credit of any signatory
party, or of any county or municipality, or to impose any obligation for payment of the bonds upon any signatory party or
any county or municipality. Neither the commissioners nor any person executing the bonds shall be liable personally on the
bonds of the Commission or be subject to any personal liability or accountability by reason of the issuance thereof.

12.4 FUNDING AND REFUNDING. Whenever the Commission deems it expedient, it may fund and refund its bonds and other obligations
whether or not such bonds and obligations have matured. It may provide for the issuance, sale or exchange of refunding bonds
for the purpose of redeeming or retiring any bonds (including the payment of any premium, duplicate interest or cash adjustment
required in connection therewith) issued by the Commission or issued by any other issuing body, the proceeds of the sale of
which have been applied to any facility acquired by the Commission or which are payable out of the revenues of any facility
acquired by the Commission. Bonds may be issued partly to refund bonds and other obligations then outstanding, and partly
for any other purpose of the Commission. All provisions of this compact applicable to the issuance of bonds are applicable
to refunding bonds and to the issuance, sale or exchange thereof.

12.5 BONDS, AUTHORIZATION GENERALLY. Bonds and other indebtedness of the Commission shall be authorized by resolution of the
Commission. The validity of the authorization and issuance of any bonds by the Commission shall not be dependent upon nor
affected in any way by: (i) the disposition of bond proceeds by the Commission or by contract, commitment or action taken
with respect to such proceeds; or (ii) the failure to complete any part of the project for which bonds are authorized to be
issued. The Commission may issue bonds in one or more series and may provide for one or more consolidated bond issues, in
such principal amounts and with such terms and provisions as the Commission may deem necessary. The bonds may be secured by
a pledge of all or any part of the property, revenues and franchises under its control. Bonds may be issued by the Commission
in such amount, with such maturities and in such denominations and form or forms, whether coupon or registered, as to both
principal and interest, as may be determined by the Commission. The Commission may provide for redemption of bonds prior to
maturity on such notice and at such time or times and with such redemption provisions, including premiums, as the Commission
may determine.

12.6 BONDS: RESOLUTIONS AND INDENTURES GENERALLY. The Commission may determine and enter into indentures providing for the
principal amount, date or dates, maturities, interest rate, denominations, form, registration, transfer, interchange and other
provisions of the bonds and coupons and the terms and conditions upon which the same shall be executed, issued, secured, sold,
paid, redeemed, funded and refunded. The resolution of the Commission authorizing any bond or any indenture so authorized
under which the bonds are issued may include all such covenants and other provisions other than any restriction on the regulatory
powers vested in the Commission by this compact as the Commission may deem necessary or desirable for the issue, payment,
security, protection or marketing of the bonds, including without limitation covenants and other provisions as to the rates
or amounts of fees, rents and other charges to be charged or made for use of the facilities; the use, pledge, custody, securing,
application and disposition of such revenues, of the proceeds of the bonds, and of any other moneys of the Commission; the
operation, maintenance, repair and reconstruction of the facilities and the amounts which may be expended therefor; the sale,
lease or other disposition of the facilities; the insuring of the facilities and of the revenues derived therefrom; the construction
or other acquisition of other facilities; the issuance of additional bonds or other indebtedness; the rights of the bondholders
and of any trustee for the bondholders upon default by the Commission or otherwise; and the modification of the provisions
of the indenture and of the bonds. Reference on the face of the bonds to such resolution or indenture by its date of adoption
or the apparent date on the face thereof is sufficient to incorporate all of the provisions thereof and of this compact into
the body of the bonds and their appurtenant coupons. Each taker and subsequent holder of the bonds or coupons, whether the
coupons are attached to or detached from the bonds, has recourse to all of the provisions of the indenture and of this compact
and is bound thereby.

12.7 MAXIMUM MATURITY. No bond by its terms shall mature in more than fifty years from its own date and in the event any authorized
issue is divided into two or more series or divisions, the maximum maturity date hereby authorized shall be calculated from
the date on the face of each bond separately, irrespective of the fact that different dates may be prescribed for the bonds
of each separate series or division of any authorized issue.

12.8 TAX EXEMPTION. All bonds issued by the Commission under the provisions of this compact and the interest thereof shall
at all times be free and exempt from all taxation by or under authority of any of the signatory parties; except for transfer,
inheritance and estate taxes.

12.9 INTEREST. Bonds shall bear interest at a rate determined by the Commission, payable annually or semi-annually.

12.10 PLACE OF PAYMENT. The Commission may provide for the payment of the principal and interest of bonds at any place or
places within or without the signatory states, and in any specified lawful coin or currency of the United States of America.

12.11 EXECUTION. The Commission may provide for the execution and authentication of bonds by the manual, lithographed or printed
fascimile signature of officers of the Commission, and by additional authentication by a trustee or fiscal agent appointed
by the Commission. If any of the officers whose signatures or counter signatures appear upon the bonds or coupons cease to
be officers before the delivery of the bonds or coupons, their signatures or counter signatures are nevertheless valid and
of the same force and effect as if the officers had remained in office until the delivery of the bonds and coupons.

12.12 HOLDING OWN BONDS. The Commission shall have power out of any funds available therefor to purchase its bonds and may
hold, cancel or resell such bonds.

12.13 SALE. The Commission may fix terms and conditions for the sale or other disposition of any authorized issue of bonds.
The Commission may sell bonds at less than their par or face value but no issue of bonds may be sold at an aggregate price
below the par or face value thereof if such sale would result in a net interest cost to the Commission calculated upon the
entire issue so sold of more than six percent per annum payable semi-annually, according to standard tables of bonds values.
All bonds issued and sold for cash pursuant to this act shall be sold on sealed proposals to the highest bidder. Prior to
such sale, the Commission shall advertise for bids by publication of a notice of sale not less than ten days prior to the
date of sale, at least once in a newspaper of general circulation printed and published in New York City carrying municipal
bond notices and devoted primarily to financial news. The Commission may reject any and all bids submitted and may thereafter
sell the bonds so advertised for sale at private sale to any financially responsible bidder under such terms and conditions
as it deems most advantageous to the public interest, but the bonds shall not be sold at a net interest cost calculated upon
the entire issue so advertised, greater than the lowest bid which was rejected. In the event the Commission desires to issue
its bonds in exchange for an existing facility or portion thereof, or in exchange for bonds secured by the revenue of an existing
facility, it may exchange such bonds for the existing facility or portion thereof or for the bonds so secured, plus an additional
amount of cash, without advertising such bonds for sale.

12.14 NEGOTIABILITY. All bonds issued under the provisions of this compact are negotiable instruments, except when registered
in the name of a registered owner.

12.15 LEGAL INVESTMENTS. Bonds of the Commission shall be legal investments for savings banks, fiduciaries and public funds
in each of the signatory states.

12.16 VALIDATION PROCEEDINGS. Prior to the issuance of any bonds, the Commission may institute a special proceeding to determine
the legality of proceedings to issue the bonds and their validity under the laws of any of the signatory parties. Such proceeding
shall be instituted and prosecuted in rem and the judgment rendered therein shall be conclusive against all persons whomsoever
and against each of the signatory parties.

12.17 RECORDING. No indenture need be recorded or filed in any public office, other than the office of the Commission. The
pledge of revenues provided in any indenture shall take effect forthwith as provided therein and irrespective of the date
of receipt of such revenues by the Commission or the indenture trustee. Such pledge shall be effective as provided in the
indenture without physical delivery of the revenues to the Commission or to the indenture trustee.

12.18 PLEDGED REVENUES. Bond redemption and interest payments shall, to the extent provided in the resolution or indenture,
constitute a first, direct and exclusive charge and lien on all such rates, rents, tolls, fees and charges and other revenues
and interest thereon received from the use and operation of the facility, and on any sinking or other funds created therefrom.
All such rates, rents, tolls, fees, charges and other revenues, together with interest thereon, shall constitute a trust fund
for the security and payment of such bonds and except as and to the extent provided in the indenture with respect to the payment
therefrom of ex