Thanks to the Canal Society of Indiana for this information.

Extracts From  The Internal Improvements Act of 1836  

  (Approved January 27, 1836)

  Sec. 1 Be it enacted by the General Assembly of the State of Indiana, That six persons shall be appointed by the Governor by and with the advice and consent of the Senate, who, together with the present Canal Commissioners, shall constitute a Board of Internal Improvements...

  Sec. 4.

 The Said Board of Internal Improvement is hereby authorized and directed to adopt such measures as may be necessary to commence, construct and complete, within a reasonable time, the following public works, viz: 1st. The Whitewater Canal, commencing on the west branch of the Whitewater river, at the crossing of the National Road, thence passing down the valley of the same to the Ohio river, and Lawrenceburg, and extending up the said west branch of the Whitewater above the National Road as far as may be practicable; also a connexion between the said White Water Canal and the Central Canal, by a canal , if practicable, if not by a Rail Road, to commence at some point near the National Road, thence to be continued to some suitable point on said Central Canal in Madison or Delaware counties, as the same may be found most practicable and best calculated to promore the interests of the State; and for the construction of said works the sum of one million four hundred thousand dollars is hereby appropriated.