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

2. Economist Role: Water Resources Fully integrated participant in all state watershed planning and operations activities Fully integrated participant in all state watershed planning and operations activities Principal member of the interdisciplinary team for all watershed projects Principal member of the interdisciplinary team for all watershed projects Responsible for quality and defensibility of all watershed project economic data, evaluation and analysis 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 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…. 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) 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: 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 Full participant in project related public participation activities Keeps current on water resource issues and policies and economic procedures Keeps current on water resource issues and policies and economic procedures In several states, also responsible for all social science aspects of watershed planning. 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 Assists with Plan of Work development Develops economic present and future condition Develops economic present and future condition Assists in determining project period of analysis Assists in determining project period of analysis Quantifies economic problems and opportunities Quantifies economic problems and opportunities Assists with formulation of alternatives Assists with formulation of alternatives

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

8. Economist Role: Watershed Surveys and Planning Evaluates socio-economic considerations Evaluates socio-economic considerations Develops economic sections of watershed documents Develops economic sections of watershed documents Assists in the development of the Watershed Surveys and Planning database 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 in development of conservation practice average costs Assists with economic aspects of all supplemental and revised plans Assists with economic aspects of all supplemental and revised plans Assists with develop and maintenance of Future Obligations and Watersheds Benefits databases Assists with develop and maintenance of Future Obligations and Watersheds Benefits databases

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

12. Watershed Program: Authorized Projects by State PL-566

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

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

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

16. 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

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

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

19. Natural Resources Conservation Service

20. Dams Constructed by Year

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

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

23. Rehab Projects To Date No. Dams 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 !!!

24. Rehab Future Funding FY 2002 Farm Bill (millions) FY 2002 Farm Bill (millions) CCC Discretionary CCC Discretionary Funding Authority Total Funding Authority Total 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 07 65 85 150 Total 275 325 600 Total 275 325 600

25. Rehab Authorized Funding

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

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

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

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

30. Rehab: Other Activities Web pages Web pages Watershed Operations & Rehabilitation Watershed Operations & Rehabilitation (under Programs tab on NRCS webpage) (under Programs tab on NRCS webpage) Rehab Program Leaders Documents Rehab Program Leaders Documents Rehabilitation of Aging Dams Rehabilitation of Aging Dams (CD Training) (CD Training) 2000 CDs distributed 2000 CDs distributed

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

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

33. 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 DSRs should be interdisciplinary, including an Economist

34. Discussion/Questions? Bruce A. Julian National Policy CoordinatorWater Resources 202.720.3042bruce.julian@usda.gov