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CHAPrER IV EAST RIVER UNIT CJ """I CD -t The new residential developments that would be furnished municipal and domestic water would infringe on agricultural and wildlife areas. Most of the development, however, would take place with or without the East River Unit. Without the unit some other source of water would be used. Estimated Costs Construction costs of the East River Unit are estimated at $2,712,000 on the basis of January 1973 prices. These costs do not include costs of facilities that would have to be provided by the water users for diver- sion, distribution, and treatment of the water. The estimated costs are shown below. Cement Creek Dam and Reservoir Recreational facilities Permanent operating facilities Investigations Total $2,500,000 72,000 39,000 101,000 2,712,000 The operation, maintenance, and replacement costs for the unit are estimated at $18,500 on the basis of 1970-72 prices, inCluding $11,500 for reclamation and joint use facilities and $7,000 for recreational fa- cili ties. Benefit-cost Analysis Benefits Municipal and Domestic Water Benefits from municipal and domestic water use are estimated at an average of $193,400 annually. The benefits were measured by the average annual cost of obtaining water supplies comparable to the project sup- plies from the most likely single-purpose alternative means of develop- ment. The most likely alternative was considered to be a 2,000-acre-foot reservoir at the Cement Creek site constructed by non-Federal interests. Construction costs were based on January 1973 prices. The costs, along with interest during construction, were amortized on the basis of public finanCing over a 25-year period with interest at 6t percent. Annual op- eration, maintenance, and replacement costs were estimated at 1970-72 prices. Estimated costs are shown in the following tabulation. 29