The district, upon recommendation by the Board of Water and Natural Resources and approval of the Governor, may enter into contracts with the United States for the marketing of water service from federal projects. No such contract entered into by the state may prejudice state interests and rights to water resources within the boundaries of the state pursuant to state and federal statutes. Such contracts shall be for the express purpose of compensating the United States for the storage facilities provided by federal water projects. Before the implementation the contracts shall be recommended to the Legislature for inclusion in the state water resources management system pursuant to chapter 46A-1 .
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