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In authorizIng the Northeastern Water Supply Study In ]965 (Publlc Law 89-298) , Congress recognized that a.ssUT- ing adequate supplJes of water for the -great metropolitan centers of the United States has become a problem of such magnitude that the welfare and pros- perity of thIs COWltry require the Federal Government to assist in solution of water supply problems. The Clean Water Restoration Act of 1966 (Public Law 89-753)' provides as- sistance for developing comprehensive wafer quality control and abatement plans for river basins. The Department of Transportation Act of 1966 (Public Law 89-670) provides standards for evaluating navigation projects and prOVides for the Secretary of Transportation to be a member of the Water Resources Councll. The WUd and Scenic Rivers Act of 1968 (Public Law 90-542) provides that in ,planning for the use and development of water and related land resources oon- Blderation shall be given to potential wild, scenic, and recreational river areas in river basin and project .plan rePorts, and comparisons are to be made with development alternatives which would be precluded by preserving these areas. The National Flood Insurance Act of 1968 (tiUe XIII, Publlc Law 90-4(8) pro- vides that Ste.tes, to remain ellgible for flood lnaurence, must adopt acceptable a.JT8,Ilgements far land use regul,atlon in flood-prone a.rea.s. This provision. to- gether with Executive Order 11296, August 10; 1968, places Incree.sed empha- sis OIl land use regulations and admin- istrative policies as meens of reducing 1I00d damages, P]annIng pollcles must Include adequate provis:lon tor these new enactments and dtrectives In an inte- grated progmm of .flood-plain man- agement. The Estuary protection Act of 1968 (Public Law 90-454) outlines a poliCY of reasonable ba.1e.nee between the conser- vation of the natural resources and nat- uraJ beauty of the Nation's estuartne areas and the need to develop such areas to furtlher the growth and development of the Nation, ' The National Environmental PolicY Act ar 1989 (Public Law 91-190) author- Izes and dJrects Federal agencles in the decision-making process to give appro- priate consideration to environmental amenities and values. along with eco- nomic and technicaJ consideration. The results of this analysis are to be included in proposals for F'ederaJ. action. The Environmental Quality Improve- ment Act ar 1970 (title II of Publlc Law 91-224) further emphasizes congres- sional interest in improving the environ- ment and the major responsibility that State and local governments have for implementing this pol1cy. The Flood Ct>ntro] Am of 1970 (Public Law 91-611) Inc]udes the following state- ment: "It Is the intent of Congress that the objectives of enhancing regional eco- nomic development, the quality of the rots.! environment, inclUding Its protec- tion and Improvement, the well-being of the people of the United States, and the NOTICES national economic development a.re the objectives to be Included In fedenol]Y 11- nanced water resource projects, and In the ewJuatJon ar bene1llB and costs at- tributable thereto, giving due Considera- tion to the 1l105t feasible alterna:tlve means of accomplishing these objec~ tives." - c. RELATIONSHIPS OF PROGRAM MEASURES TO OBJECTIVES Formulating courses of action that ef- fectivelY contribute to the attainment of the multiobjectlves is Uhe paramolUlt task of _ter and land resources plan- n.1ng. These actions are only -the means by which multiobjecUves ce.n be attained. - For instance, providing flood control or preserving a scenic river is mea.ningfU1 only'to the extent that such actions con- tribute to specillc needs that can be re- lated to the multtobJectJves, Thus. plans a.re to be evaJuated in terms of their ben- eficial or adverse effects on the multi- obJ ectlves, These standards relate primarily to the planning of water, and land resource programs that contribute to 'specifled components of the mUltiobjectlves. It Is recognized that other programs may also contribute to these objectives. In some instances, water and land prograIDli are the only means or are the most el!ective means to aohieve the objectives. In the usual case, however, it is -likely that a combination of water and land program and other programs will be the most effective means to achieve the desired objectives. In the formulation of plans. therefore, these standards provide for the consideration of the full Tange of alter- natives r_elevant to the needs for water and lan'd resources. . A given plan formulated for one or - several components of the multiobjec- tives may affect components of other ob- jectives in s. beneflcial or adverse man- ner. This joint effect relationship is a common occurrence in plan formulation. Its presence necessitates that the full range of effects of plans be shown in tenns of specifted components of objec- tives rega.rdless of the size of the effect or the component for which an alterna- tive plan has been formulated. D. OB.JECTIVES 1. National Economic development. The national economic development ob- - jecttve is enhanced by increasing the value of the nation's output of goods and services and improving national eco- nomic efficiency. National economic development re- flects increases in the Nation's productive output, an output which 18 pa.rtI.y re- flected in Q national product and income accmmting framework designed to meas- ure the continuing flows of goods and services into direct consumption or investment. In addition, national economic de- velopment Is affected by beneflcial and adverse externalities stenuning from normal economic production and con- sumption. Imperfect market conditions. and changes In productivity of resource inputs due to investment. National eco- 24151 nomic development is broader than that the availability of publiC goods which me not acconnted for in the national product and Income accounting frame-- work. Thus, tihe concept ot national eco- nomic development is broader tha nthat of national income and is used to meas- ure the impact of governmental invest- ment on the total national output. The gross national product and national in- come acconnts do not gl ve a complete accounting of the value of the output or final goods and services resulting from governmental 1nvestments because only government expenditures are included. This is especially troe in those situations where governmental investment ls__re- quired to overcome Imperfections in the private market. Therefore, national eco- nomic development as defined In these standards is only partially reflected in the gross national product and national Income accOuntJ.ng r,ramework. A similar situation prevails where a private investment results In the prodUC- tion of final public goods or externalities that are not exchanged In the market. Components of the national economic development objective Include: (a) The value to users of Increased outputs of goods and services resulting from a plan. Developments of water and land resources result In Increased pro- duation of goods and services which can be measured In terms of their value to the user. Increases in ciup yields, ex- panding recreational use, and peaking capacity for power systems are examples of direct increases in the Nation's output which result from water and rela.ted land resources developments. Moreover, such developments otten result in a cha.nge in the productivity of natural resources and the productivity of labor and capital used with these resources. Increased earnings from changes 1Ii land use. re- duced disruption of economic activity due to droughts, floods - and fluctuating water supplies, and removal of con- straints on production through ificreased water supplies are examples of dtrecrt increases 1n productivity from water and land development that contrtbute to na- tional output. (b) The value of output resulting from external economies. In addition to the value of goods and services derived by users of outputs of a plan, there may be ~xtemal gains to other individuals or groups. 2. Environmental quality. The envi- ronmentalobJective is enhanced by the management. conservation, preserva- tloJ;1, creation, restoration, or improve- ment of the quality of certain natural and cultural resources and ecological systems in the area nnder study and elsewhere in the Nation. ThIs objective reflects society's concern and emphasIs for the natural environment and its malntena.nce and enhancement as a source of present enjoyment and a her- itage for fUtuTe generations. Explicit recognition should be given to the desirability of diverting a portion of the Nation's 'resources from produc- tion of more conventional market-- oriented gOOds and services in order to I r f; ~ \ " Ii ~ f No. 240-Pt. II-2 FEDERAL REGISTER, VOL. 36, NO. 245_TUESDAY, DECEMBER 21, 1971