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'::'''.':!''.-.:., 11" ....., M C\l CHAPTER I II BASIS FOR ANALYSES -' during construction were amortized on the basis of non-Federal financing over a 25-year period at 7 percent. It was assumed that power would be available at public utility rates of l.l cents a kilowatt-hour and $1.50 a kilowatt-month. Recreation and Fish and Wildlife Benefits Benefits for recreation were based on visitor days for specific reservoir surface areas as estimated by members of the MOP recreation subteam. A value of $1.90 for each viSitor day was used. The fish and wildlife sub team has no~ yet estimated any fishery benefits except those from stream access easements which would be provided in some plans. These benefits were based on anticipated fisherman days of use. No bene- fits have yet been estimated for preservation of historic features. Other Project Effects Estimated negative benefits include the loss of productivity on in- undated farm land and the loss of grazing on land that would be acquired for project use. The loss of benefits was calculated only for forest or other public land since the cost of acquiring private land was considered equal to the benefits lost. Total negative benefits from the project were estimated at $21,000 a year for each plan. -I Benefit-cost analyses in this report do not include externalities from changes in the salt load of the Colorado River system. As ex- plained earlier in this chapter, it is estimated that there would be a net reduction in salt load with each alternative plan, but the amount of the reduction has not been estimated. Negative externalities from the salt concentrating effects of project stream depletions have been excluded from the comparisons since it is considered that the right to divert and deplete streamflows in the Upper Colorado River Basin pro- vided by the Colorado River Basin Compact of 1922 are accompanied by a corresponding right to concentrate the salt load of the stream without penalty" Annual equivalent costs Annual equivalent costs considered for comparison with the benefits include the annual value of the adjusted project investment amortized over a 100-year period, annual operation, maintenance, and replacement costs, and an assigned cost of regulatory facilities of the Colorado River Storage Project. The adjusted project investment includes construc- tion costs and interest during construction but excludes costs of past investigations and of histvrical preservation. An interest rate of 6 1/8 percent was used in computing interest during construction and in amortization. A share of the cost of regulatory facilities of the Colo- rado River Storage' Project is included in the annual equivalent costs since such regulation is a prerequisite to further development in the 27