WSP00945

• File Number: 8442.400
• Description: Missouri Basin - Pick Sloan Project - Reports
• State: CO
• Basin: South Platte
• Water Division: 1
• Date: 2/28/1985
• Author: DoI, BoR
• Title: Lake Andes - Wagner Unit Planning Report / draft Enviromental Statement
• Water Supply Pro - Doc Type: Report/Study

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A permit under Section 404 of the Clean Water Act will be obtained for the

main pumping plant, canals, siphons across Choteau Creek, modifications of

existing drainages, and fish rearing pond. A Section 10 permit will be

obtained for the main pumping plant intake structure in the Missouri River

and overhead transmission line over St. Francis Bay.

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The main social concern is canal routing, especially severing existing

farms which would not receive water from the project. Other social

concerns are construction impacts on the local communities and high

unemployment and well-being of the Yankton Sioux Tribe. The current state

of the agricultural economy is of much higher concern in recent years

because of depressed farm prices.

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The total investment costs (for purposes of economic analysis) of the

Preferred Plan for Lake Andes-Wagner Unit would be $140,439,000 (October

1984 prices). At 8-3/8 percent in~erest over a 100-year period, the annual

equivalent inves~ment would be $11,766,000. With annual operation, main-

tenance, and replacement (OM&R) co~ts of $1,085,000, and $543,000 for

opportunity cost of energy, the total annual economic cost of the project

would be $13,394,000.

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Benefits for irrigation were based on the alternative benefit evaluation

procedures allowed in the Principles and Guidelines (P&G). Annual irriga-

tion benefits are estimated at $13,095,000, fish and wildlife benefits at

$41,000 and unemployed resources benefits at $436,000 for total annual

benefits of $13,572,000.

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Net annual benefits would be $178,000 yielding an economic rate of return

of 8.5 percent and a benefit/cost ratio of 1.01 using alternative benefit

evaluation procedures (benefit/cost ratio = .59 using standard P&G

procedures).

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The repayment capability of the irrigators was estimated from budgets for

typical farms. The estimated annual payment capacity would be $133.40 per

acre, or about $6,003,000 for the whole project. Taking out $1,075,000 for

annual irrigation OM&R, $4,928,000 would be left for repayment of the

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