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The Economists Role: Water Resource Programs

This article discusses the important responsibilities of an economist in water resource programs, including watershed protection, flood prevention, and planning. The economist plays a crucial role in ensuring compliance with regulations, evaluating economic data, and contributing to project reports and economic analyses.

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The Economists Role: Water Resource Programs

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  1. The Economists Role:Water Resource Programs Watershed Protection & Flood Prevention Watershed Planning Watershed Operations Watershed Rehabilitation Emergency Watershed Protection

  2. Economist Role: Water Resources • Fully integrated participant in all state watershed planning and operations activities • Principal member of the interdisciplinary team for all watershed projects • Responsible for quality and defensibility of all watershed project economic data, evaluation and analysis

  3. Economist Role: Water Resources • Assures compliance with all economic aspects of statutes, Executive Orders and codified rules including applicable state and local regulations. • Assures compliance with US Water Resources Council, Economic and Environmental Principles and Guidelines…. • Assure compliance with Department and NRCS policies regarding economic evaluations (NWSM, GM, etc)

  4. Economist Role: Water Resources • Develops/contributes economic sections of project reports, including tables and graphics: • preliminary investigation reports • floodplain management studies • watershed plans • investigation and analysis reports • environmental assessments • environmental impact statements

  5. Economist Role: Water Resources • Full participant in project related public participation activities • Keeps current on water resource issues and policies and economic procedures • In several states, also responsible for all social science aspects of watershed planning.

  6. Economist Role:Watershed Surveys and Planning • Assists with Plan of Work development • Develops economic present and future condition • Assists in determining project period of analysis • Quantifies economic problems and opportunities • Assists with formulation of alternatives

  7. Economist Role:Watershed Surveys and Planning • Quantifies economic effects of alternatives, including: • Cumulative Effects • National Economic Development account • Regional Economic Development account. • Assists with public participation and interagency coordination

  8. Economist Role:Watershed Surveys and Planning • Evaluates socio-economic considerations • Develops economic sections of watershed documents • Assists in the development of the Watershed Surveys and Planning database

  9. Economist Role:Watershed Operations • Assists in development of conservation practice average costs • Assists with economic aspects of all supplemental and revised plans • Assists with develop and maintenance of Future Obligations and Watersheds Benefits databases

  10. Economist Role:Watershed Operations • Conducts economic evaluations to reaffirm project feasibility • Develops revised economic tables for Completion Reports • Provides economic inputs for remedial work, “additional work,” rehabilitation and decommissioning activity

  11. Watershed Program:Authorized Projects by StatePL-566

  12. Watershed Program:Eligible Purposes • Flood Control • Agricultural Water Management • Water Supply • Water Conservation • Fish and Wildlife Development • Public Recreation • Groundwater Recharge • Animal Waste Management • Watershed Protection

  13. USDA Watershed Program NRCS has assisted communities address natural resource needs in 2000 Watershed Projects since 1948

  14. Watershed Program Monetary Benefits - 2000Nation - $ 2 Billion Millions

  15. Watershed Program Congressional Appropriations 1976 includes transition quarter 1995 deficit reduction (downsizing) 1983 includes $100 million jobs bill 2000 $7.8 million rescission of FA

  16. Watershed Program(PL-566 & PL-534) • The unfunded federal commitment for the Watershed Program is approximately $ 1.4billion dollars (not including Rehab)

  17. Watershed Program Unfunded Federal Commitment by State (PL-566)(States larger than $5 million Shown)

  18. Natural Resources Conservation Service

  19. Dams Constructed by Year

  20. Watershed Rehab:FY 2002 Allocations • $10 million “...priority be given only to those structures which pose the highest risk to life and property” • 80 sponsor applications received & ranked $10.9 million; 17 states 42 projects involved potential for loss of life

  21. Watershed Rehab:FY 2002 Projects • 43 projects funded • $7.9 million ($4.6 mil. TA; $3.3 mil. FA) • 17 states • FY 2002 deliverables: • 30 rehabilitation plans initiated (17 states) • 10 rehabilitation plans completed (7 states) • 11 rehabilitation designs completed (5 states) • 8 rehabilitation projects implemented (4 states) (Tab 3)

  22. Rehab Projects To Date No. Dams OK (Pilot) FY 1998 2 NM, MS, OH, WI (Pilots) FY 2000 15 FY2001 19 FY 2002 43 Total 79 Only 10,853 to go !!!

  23. Rehab Future Funding FY 2002 Farm Bill (millions) CCC Discretionary FundingAuthorityTotal FY 02 $ 0 $ 0 $ 0 FY 03 45 45 90 FY 04 50 55 105 FY 05 55 65 120 FY 06 60 75 135 FY 0765 85 150 Total 275 325 600

  24. Rehab Authorized Funding

  25. Rehab FY 2003 Funding? • House: $45 million mandatory • Senate: $30 million discretionary • Final: ??? Conference Committee ??? CR?? How Long??

  26. Watershed Rehab Planning • Public input • Use NRCS planning process and P & G procedures (to detail appropriate for project) • NEPA process • Cultural resources • Historic preservation • Threatened and endangered species • Tribal consultation compliance

  27. Watershed Rehab Planning • Evaluate alternatives: • No action • Decommissioning (removal) • Rehabilitate to current criteria • NED alternative • Non-structural (optional) • Relocation • Flood proofing • Easements/controls on downstream development

  28. Watershed Rehab Planning • Economists role is critical as a member of an interdisciplinary planning team • Engineers, biologists, planners, and other specialists must provide the economists with the basic data before an economic analysis can be completed

  29. Rehab: Other Activities • Web pages • Watershed Operations & Rehabilitation (under “Programs” tab on NRCS webpage) • Rehab Program Leaders Documents • Rehabilitation of Aging Dams (CD Training) • 2000 CD’s distributed

  30. Watershed Program:Other Activities • O&M Manual Revision • Finalize by November, 2002 • National Watershed Manual Revision • Next draft by first of 2003 • National Watershed Coalition Web Page • www.watershedcoalition.org

  31. EMERGENCY WATERSHED PROTECTION PROGRAM • Economics: integral part of EWP • Planning considerations • Economic Defensibility • Damage Survey Reports

  32. EMERGENCY WATERSHED PROTECTION PROGRAM Damage Survey Report • Summarizes the planning considerations for economic, social, and environmental evaluations • Documents the site assessment and evaluation decisions • One DSR for each EWP treatment site Approach to complete DSR’s should be interdisciplinary, including an Economist

  33. Discussion/Questions? Bruce A. Julian National Policy Coordinator—Water Resources 202.720.3042 bruce.julian@usda.gov

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