Arkansas Code
Subchapter 5 - Water Development Projects Generally
§ 15-22-506. Cooperation with state or federal agencies — Project costs

(a) The Arkansas Natural Resources Commission is authorized to engage in any water development project or any phase thereof in cooperation with any political subdivision or agency of the State of Arkansas, provided it is included in and made a part of the Arkansas Water Plan.
(b) Whenever any water development project of any federal agency is included in the plan, the commission shall so advise the appropriate federal agency and shall obtain from that federal agency an estimate of the entire amounts of nonfederal costs involved in the water development project.
(c)
(1) Whenever it shall make a determination, based upon such estimates and its own study that the local nonfederal costs of the water development project may be amortized over the life of the water development project, the commission may give the appropriate federal agency constructing the water development project reasonable assurance, in writing, that the demands for the use of the water development project will be made within a period of time which will permit the paying out of the costs within the life of the water development project.
(2) Nothing in subdivision (c)(1) of this section shall be construed as to commit the state government either to pay or guarantee the payment of such costs, and a statement to that effect shall be contained in any such writing.
(3) Subdivision (c)(2) of this section shall not be so construed as to inhibit the right of the commission to pay any such costs as related to anticipated future demand or need whenever it shall have been provided with funds for that purpose.

(d) Whenever funds are appropriated for that purpose and to the extent that they are available, the commission may use such funds for the following water development project costs:
(1) Planning and engineering costs;
(2) Costs of acquisition of necessary lands, rights-of-way, and easements;
(3) Costs of necessary relocation of roads, highways, bridges, railroads, pipelines, power transmission lines, and other such properties;
(4) Construction costs;
(5) Project operation, maintenance, and replacement costs; and
(6) Payment of interest on the unpaid balance of any of the itemized costs in this subsection.