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<br />- <br /> <br />other two alternatives. The Modified Low Fluctuating Flow could substantially improve the <br />aquatic food base and benefit native and non-native fish. The potential exists for a minor increase <br />in the native fish population. <br /> <br />Although the Moderate Fluctuating, Modified Low Fluctuating, and Seasonally Adjusted Steady <br />Flow Alternatives provide similar benefits to most downstream resources, the Modified Low <br />Fluctuating Flow Alternative was selected as the preferred alternative because it would provide <br />the most benefits with respect to the original selection criteria, given existing information. This <br />alternative would create conditions that promote the protection and improvement of downstream <br />resources while maintaining some flexibility in hydropower production. Although there would be <br />a significant loss of hydropower benefits due to the selection of the preferred alternative (between <br />$15.1 and 544.2 million annually) a recently completed non-use value study conducted under the <br />Glen Canyon Environmental Studies indicates that the American people are wi1\ing to pay much <br />more than this loss to maintain a healthy ecosystem in the Grand Canyon. The results of this non- <br />use value study are summarized in Attachment 3 of the ROD. <br /> <br />The results ofa General Accounting Office (GAO) audit mandated by the Grand Canyon <br />Protection Act are in Attachment 4 of the ROD. This audit generally concludes that Reclamation <br />used appropriate methodologies and the best available information in determining the potential <br />impact of various dam flow alternatives on important resources. However, GAO identified some <br />shortcomings in the application of certain methodologies and data, particularly with respect to the <br />hydropower analysis. Reclamation's assumptions do not explicitly include the mitigating effect of <br />higher electricity prices on electricity demand (price elasticity). GAO also determined that <br />Reclamation's assumptions about natural gas prices were relatively high and that two <br />computational errors were made during the third phase of the power analysis. According to <br />GAO, these limitations suggest that the estimated economic impacts for power are subject to <br />uncertainty. GAO also found limitations with some of the data used for impact analysis. Certain <br />data was incomplete or outdated, particularly data used in assessing the economic impact of <br />alternative flows on recreational activities. Nevertheless, the National Research Council peer <br />reviewed both the Glen Canyon Environmental Studies and the EIS, and generally found the <br />analysis to be adequate. The GAO audit concluded that these shortcomings and limitations are not <br />significant and would not likely alter the findings with respect to the preferred alternative and <br />usefulness of the document in the decision-making process. The audit also determined that most <br />of the key parties (83 percent of respondents) support Reclamation's preferred alternative for dam <br />operations, although some concerns remain. <br />