(a) All property, real, personal, mixed, tangible and intangible, and all funds, appropriations, accounts, books, records, rights, franchises, contracts, obligations and privileges of whatever kind and description, appertaining to and making up the Hydroelectric System shall be conveyed and are hereby conveyed to and vested in the Authority, and on and after the effective date of such conveyance the said properties shall be integrated with the electric properties now owned by the Authority and shall thereafter be operated as an integral part thereof, subject to the rates, regulations and laws applicable to the Authority. The registrars of property shall, upon certification of the Authority approved by the Secretary of Transportation and Public Works, register in the name of the Authority, fee free, the properties conveyed by §§ 232—237 of this title.
(b) No provision of §§ 232—237 of this title shall in any wise affect the right of the lands served by the Isabela Irrigation Service to receive water for irrigation purposes and to enjoy the benefits thereof in the same measure and to the same extent as they did prior to the approval of such sections, and such works of the Hydroelectric System hereby conveyed to the Authority as are jointly used for the storage and conveyance of water for irrigation purposes and for the generation of electric power shall remain affected with their obligation toward the said lands; Provided, however, That after such conveyance has taken place the Authority shall, once the provisions hereof are complied with, have the utilization and application of such waters for all such purposes as may be necessary for the exercising by the Authority of its powers under §§ 191—217 of this title; Provided further, however, That should any of the dams of the Isabela Irrigation Service conveyed by §§ 232—237 of this title become impaired in its functioning or become so damaged as to require reconstruction, it shall be the responsibility of the Commonwealth of Puerto Rico to provide the means for raising the necessary funds for defraying the reconstruction costs; and Provided, also, That the Commonwealth of Puerto Rico shall release the Authority from and shall assume full liability for any damages caused to person or property by the total or partial failure of any such dam, or for extraordinary damages caused by the overflowing of any such dam.
History —June 20, 1955, No. 84, p. 326, § 2, eff. July 1, 1955.