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". dave/apmen! fUndS and (2} Ihe COndlflOnmg of fila! fUnd_ ing On the availabiliry of SignifIcant Slare and lOCal fUnd_ ing. While the latter factor will increase Ihe Cost to NebraSkans of federal Supplemental waler prOJects. the pOSSible Changes in federal financmg DOlicles may not be neceSSanly COnStraining. Howeve" the eKistong federal finanCial feaSibility en/aria have served as a COn- straint. Any required increase in Slate and lOCal finan_ Cing could come either from higher waler-use Charges. higher lOcal and/or Slare taxes, Or sOme Combination Ihe'eol, These Changes may P'ove 10 be fonanCially, and fherefore POlllically, cOnstraining. The,e a'e Iwo economic faCIO'S Wh'Ch pOleMally constrain waler development: (1) the idenllficalron at projects where the investment generales net benetlls al least equal fa what the funds Would have generated elsewhere, and (2' the availabilIty of funds to finance economically effiCient prOjects. With respect 10 economic efficiency, the analysis ot selected projects reVeals that there exists at least some econOmically ef. ficient development alternatives once interest rates decrease to more conVentional levels. In view of the large eXpenditures required. il seems likely Ihat Ihe mOst IimitlOg economic cOnstraint will COnsist of the dlf. ficullies in finanCing econOmically efficient prOjects. The fOllOWing Section of this Summary examines 30 alternative legislative and management actions relaled to Supplemental water SUPply. Although Ihe impacts of these alternalive aClions are not COntained in the Summary, they are stated in the bOdy of the report. AL TERNA TlVE ACTIONS A, CONTINUE PRESENT POLICIES The current State POliCies (laws and COurt deCiSions) On Storage and fransfer of surface Water do not seem to inhibil Ihe development of Supplemental Water systems. The Nebraska Endangered SpeCies Act may be an exCeption. By COntrast. an absence of legal authorily 10 lransfer groundwater fOr agricultural pUr- poses does inhibit Such development The Slate POliCies On Water Conservation and groundwater-reservoir management are not seen as hindrances to Supplemental water developments. The existing level of slare funding which might be available for Such development is very limiled and Would nor promote rapid or large-scale development of Supplemental water ,upplies. Some SOurces also believe that both the most nexpensive and the mOst econOmically feaSible pro- ~cts have already been bUilt. . INTEGRA TEO MANAGEMENT MethOds of management that integrate the use 0' Iter from mOre than one sourCe suggest alternative tions. An allernative was inclUded in this stUdy which lId enhance this methOd of develOPing Supplemen_ -- tal Water SUPPlies In Nebraska. Alternative 1 (formerly AlternatIve #4) AuthOrize Water Suppliers 10 vary surface water and groundwater use fees to aChieve a balanced USe of each. C, CHANGES IN WATER RIGHTS Alternative 2 (formerly AlternatIve #6) Authorize grOundwaler transfer far agricultural pur- POses 10 inClUde Irrigation, reCharge. and Surface and underground storage, Alternative 3 (formerly Alternative #7) DeClare Ihat groundwater may be Used to SUPPle. ment natural flow to meet stream flow needs. Alternative 4 (formerly AlternatIve fiB) Remove the preference for JunIOr natural.flow ap- propriators Over semor storage appropnators dUring irrigation season. Alrernative 5 (formerly A1ternalive H9, Develop mOre specific gUidelines as to what rs necessary 10 elCtend an apPlrcal;on for water for a Supplemental Water project thaI has not been completed. 0, SOURCES OF FUNDING Alternative 6. Alternative 12 (formerly Alternative #10 - Allernative #16) Increase the level of Slale funding for development of SUpplemental water Supplies. The propOsals for SOurces of Such funding range from new taxes and use fees to increased appropnalrons and laxes, to the sale of bonds. Alternative 13 . Alternative 1 B (formerly Alternative R t 7 . AIternalive .22) Increase the capability of local governments, in. Cluding natural reSOurces districts, to raise funds to develop Supplemental water SUpplies. This Could be done Ihrough granting authOrity for new taxes and use fees and new finanCing methOds to inclUde bonds. E, CHANGES IN EXISTING PROGRAMS Alternative 19- Alternative 22 (formerly Alternative #23 - Alternative #26) Change the Natural Resources Development FUOd by establishing new Criteria for economic feasi. bilily, by allowong g'anlS fo, ,evenue-p'Oducing prOjects, and by gIving pnOrity to large-size projeCts and those WIth inregraled managemenl, Alternative 23 (formerly Alternative #27) Place a PriOrily on prOjects funded through the Water Conse"'al'on Fund wh'ch oNser the need fo, sup_ plemental Wafer development. v".