Laserfiche WebLink
<br /> <br /> <br />given level of non-monetary output, no other plan costs less, and no other plan yields <br />more output for less money. <br /> <br />Subsequently, through incremental cost analysis, a variety of imp lemen table alternatives <br />and various-sized alternatives are to be evaluated to arrive at a "best" level of output <br />within the limits of both the sponsor's and the Corps' capabilities. The subset of cost <br />effective plans are examined sequentially (by increasing scale and increment of output) to <br />ascertain which plans are most efficient in the production of environmental benefits. <br />Those most efficient plans are to be called "Best Buys". They provide the greatest <br />increase in output for the least increases in cost. They have the lowest incremental costs <br />per unit of output. In most analyses, there will be a series of Best Buy plans, in which the <br />relationship between the quantity of outputs and the unit cost is evident. As the scale of <br />Best Buy plans increases (in terms of output produced), average costs per unit of output <br />and incremental costs per unit of output will increase as well. Usually, the incremental <br />analysis by itself will not point to the selection of any single plan. The results of the <br />incremental analysis must be synthesized with other decision-making criteria (for <br />example, significance of outputs, acceptability, completeness, effectiveness, risk and <br />uncertainty, reasonableness of costs) to help the planning team select and recommend a <br />particular plan. <br /> <br />The Corps' Institute for Water Resources (IWR) has developed procedures and software <br />to assist in conducting CE/ICA. An IWR software package will be used to assist in <br />perfOlming CE/ICA: the Windows-based IWR-PLANDecision Support Software. This <br />IWR-PLAN software package is available from the IWR web site at <br /><http://www.wrsc.usace.army.mil/iwr> . <br /> <br />CE/ICA Procedures To Be Followed <br /> <br />(1) An estimate of the cost of each ecosystem restoration measure and an estimate of the <br />environmental output it will produce will be developed. All costs will be calculated in <br />terms of present worth using the appropriate discount rate and annualized (see Appendix <br />D ofER 1105-2-100 on Economic and Social Considerations for more detailed <br />information). Ecosystem restoration outputs are not discounted, but will be computed on <br />an average annual basis, taking into consideration that the outputs achieved can vary over <br />time. For example, if one of the outputs is a mature oak forest, the full benefits may not <br />be realized for 30 years. <br /> <br />(2) After estimating the costs and outputs of each solution, all possible combinations of <br />ecosystem restoration measures will be formulated. Each possible combination may be <br />considered an alternative plan. By definition, scales within a measure are mutually <br />exclusive; they represent the application or implementation of different amounts of a <br />given measure. Formulating all possible combinations requires choosing one scale from <br />each of the measures to combine in turn with one scale from each of the other measures, <br />until all possible permutations have been combined. The "No action" possibility for each <br /> <br />8 <br />