Laserfiche WebLink
<br />COLORADO WATER CONSERVATION BOARD <br />102 Columbine Building <br />1845 Sherman Street <br />Denver. Colorado 80203 <br /> <br />Selected Abstracts from "Proposed Principles and Standards <br />for Planning Water and Related Land Resources." as Published <br />in the Federal Register. December 21. 1971. <br /> <br />D. THE DISCOUNT RATE (p. 24166) <br /> <br />.. .. . .. .. .. .. .. .. .. <br /> <br />1. The opportunity cost of government investment. Ab- <br />stracting from income distribution considerations. the total value of <br />the Nation's resources is maximized by expanding or contracting any <br />specific activity to a level such that the marginal value of resources <br />in that activity is equal to their marginal value in other feasible <br />uses. Alternatively. the marginal value of resources in any activity <br />is equated with the marginal cost of that activity. where cost repre- <br />sents the highest value foregone use of those resources in alternative <br />activities. This general principle also applies to the Federal Govern- <br />ment. For given total Federal outlays. the net benefit generated by <br />the Federal Government is maximized by expanding or contracting in- <br />dividual Federal activities to a level for which the marginal value of <br />resources is equal to the marginal cost of resources in all activities. <br /> <br />V. PLAN FORMULATION (p. 24168) <br /> <br />The plan formulation process consists of the following major <br /> <br />steps: <br /> <br />1. Specify components of the multi-objectives relevant to <br />the planning setting; <br /> <br />2. Evaluate resource capabilities and expected conditions <br />without any plan; <br /> <br />3. Formulate alternative plans to achieve varying levels <br />of contributions to the specified components of the multi-objectives; <br /> <br />4. Analyze the differences amo~g alternative plans to <br />show tradeoffs among the specified components of the multi-objectives; <br /> <br />5. Review and reconsider, if necessary. the specified compo- <br />nents for the planning setting and formulate additional alternative <br />