A Cost-Benefit Analysis of Land Diversity at the Mead

1. A Cost-Benefit Analysis of Land Diversity at the Mead Preliminary Research from a Problem-Based Environmental Economics Service Learning Project

2. Outline • Eco 342: Environmental Economics Service Learning Project (SLP) • History of George W. Mead Wildlife Area • Cost-Benefit Analysis (CBA) • Problem • Costs • Survey of Benefits • Preliminary Results Wisconsin Economic Association: December 4, 2010

3. SLP Fall 2009: 11th Hour • Began conversations mid-October • Tom Meier (Property Manager) and Pam Resech(Educational Coordinator) at the Mead helped design the service learning project. • Provide an economic assessment of land diversity at the Mead • Volunteered labor as a class • Class voted on project October 28th Wisconsin Economic Association: December 4, 2010

4. SLP Fall 2009: Design • Project Timeline and Deadlines • Project Outline (Nov 3rd HW) • Define the question and alternative • Consider data collection • List benefits and Cost considerations • Literature review on benefit topic (Nov 17th HW) • Cost measure questions (Dec 1st) • Survey questionnaire (Dec 7th) • Combine Intro and research design (Dec 14th) Wisconsin Economic Association: December 4, 2010

5. SLP Fall 2009: Volunteer • November 6th: Brushed trails and dikes • December 4th: Cleared Buckthorn • Land diversity relies heavily on labor. Wisconsin Economic Association: December 4, 2010

6. History of the Mead • 1850s-1910s: Logging “pinery“ and farm dredging • 1933: Consolidated Water Power and Paper Company purchase • April 10, 1959: Stanton Mead gifts 20,000 acres to the state for use as a wildlife refuge. Wisconsin Economic Association: December 4, 2010

7. History of the Mead Wisconsin Economic Association: December 4, 2010

8. WI DNR: State Managed Lands • Land Types • State Parks • State Forests • State Trails • State Natural Areas • County Parks and Forests • Wildlife Areas Source http://dnrmaps.wi.gov/DNRManagedLands/ Wisconsin Economic Association: December 4, 2010

9. WI DNR: Wildlife Areas • Section 23.09 (2) (d) 3., State Stats., provides legislative authority and direction for the acquisition and management of state wildlife areas. The primary purpose of state wildlife areas as stated in this statute is to provide "areas in which any citizen may hunt, trap or fish". Section 23.11 (1), Stats., provides for the general care, protection and supervision of state lands. Section 23.30, Stats., deals with the provisions of the outdoor recreation program. • The management and uses of state wildlife areas are further defined in NR 1.51. WI Admin Code. While hunting and trapping are the primary public uses for wildlife areas; other uses, such as walking, nature study, berry picking, and other low-impact recreational activities are also allowed. Other compatible open-space uses may be allowed under the property’s Master Plan when they do not detract from the primary purpose of the property; however, they may be limited in time and location to avoid interference with wildlife production or survival and public hunting and trapping. Wisconsin Economic Association: December 4, 2010

10. CBA:Land Diversity Overview • Should Mead land diversity be maintained? • Approximately 33,000 Acres • 1/3 Forests • 1/3 Grasslands/Crops • 1/3 Wetlands/Water • Sunk Costs of $2 Million to create ponds, dykes, repair natural watershed, trails, and water control systems. Wisconsin Economic Association: December 4, 2010

11. CBA: Costs • Annual costs to retard tree growth • Equipment: $35,000 • Burning: $3,000 • Spraying: $20,000 • Mowing: $1,500 • Dozing & Mulching: $1,750 • Hand Brushing: $1,000 • Annual costs to maintain wetlands • Dike and equipment repair $15,000 • Total $77,250 Wisconsin Economic Association: December 4, 2010

12. CBA: Benefits • Benefits of Land Diversity Use Values (7 categories) • Hunting • Birding • Wildlife Watching • Hiking & Biking • Trapping • Education Opportunities Non-Use Values (2 categories) • Future Generations • Existence Value Wisconsin Economic Association: December 4, 2010

13. CBA: Survey Design Contingent valuation survey questions directed at • Donation • Toward WA with diverse lands • Toward WA entirely forested • $5 fee increase • To fund diverse lands • Binary preference • Land diversity or entirely forested • Number of visits (30 minutes) • To WA with diverse lands • To WA entirely forested Preliminary results • Preliminary results Wisconsin Economic Association: December 4, 2010

14. CBA: Survey Results How much would you donate? (all 9 categories) Wisconsin Economic Association: December 4, 2010

15. CBA: Survey Results How much would you donate? (7 use categories) Wisconsin Economic Association: December 4, 2010

16. CBA: Survey Results How much would you donate? (2 non-use categories) Wisconsin Economic Association: December 4, 2010

17. CBA: Survey Results Would you support a temporary $5 fee increase? Wisconsin Economic Association: December 4, 2010

18. CBA: Survey Results Would you support a temporary $5 fee increase? Wisconsin Economic Association: December 4, 2010

19. CBA: Other Costs and Benefits • Costs/Benefits Issues not explicitly measured or in survey • Timber Rotations • Timber & Crop Prices • Game Warden Monitoring • Maintenance of Invasive Species • Grants and Funding Sources • State endangered species • Share cropping of 500 acres/year Wisconsin Economic Association: December 4, 2010

20. CBA: Survey • Survey is young • Additional respondents next semester • Need to reach a larger audience • Appropriate population for the question • Sensitivity analysis of questionnaire • Donation(50%) • $5 (0% to 95%) • Questions? Wisconsin Economic Association: December 4, 2010