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Show Lake Level Management Capital Losses, Operation and Maintenance Expenses Results of this section of the economic study are summarized below. • Data pieced together from various historical sources for capital damages/ expenditures during the 1983- 1987 high water years are reasonably good. The study categorizes these damages/ expenditures by the sector which sustained losses, and whether losses were paid out of state, private, local or federal funds ( including federal emergency funds). These estimates are actual expenditures, not adjusted to 1999 constant dollars. ( These appear in Table 1- 1.) The data show that during the 1983- 1987 high- water years, significant expenditures began at 4205 feet, particularly for private and state funded structures. By lake level 4208 feet, state and federally- financed entities incurred significant expenditures, primarily for transportation- related expenditures. Capital damages and expenditures more than doubled to over $ 200 million as the lake rose from 4208- 4210 feet and climbed to an estimated $ 280 million at the high- water elevation. Those entities suffering the greatest losses were the mineral, railroad, utility, and transportation sectors. • If the lake level rise and fall during the 1982- 1993 time period were to be repeated, the economic study estimates of capital expenditures or losses at various lake levels, even with no pumping, would be less than incurred at same levels during flood years. This is due in part to incomplete information, since surveys were not returned by UDOT, Morton and BRMBR, all of which sustained significant damage during the lake's high- water years. However, even allowing for missing data, several sectors around the lake appear to be better protected except at lake levels above 4208 feet. Some, like local entities, utilities, the SLCIA are adequately protected to 4212 feet. Further, the estimated losses for mineral companies and railroads are approximately the same at or above 4210 feet. However, damage is less for the railroad when compared to the 1983- 1987 period after 4210 feet. In part, this is due to the better protection of the southern railroad causeway. Finally, losses for state WMAs are very similar to the 1983- 1987 period but DWR acknowledges the benefits from periodic flooding of its protected marshes. ( Compare Table 1- 1 and Table 1- 2.) • The minerals industry and railroad incur the largest capital loss or maintenance expenditures and the largest potential reduction in revenues. In particular, IMC Kalium, Magcorp, and the northern railroad causeway experience significant expenditures beginning at 4205 feet. Similarly, the Davis County Causeway requires significant maintenance as the lake rises above 4205 feet. These entities benefit the most from alternative C ( assuming lake level forecast and effectiveness of pumps are accurate in the estimates) which reduces losses by maintaining ( under assumptions used in the study) lake level at 4208 feet. ( See Table 1- 3 and Figure 1 for estimates of capital expenditures under each of the alternatives as lake level rises. See Figure 2 for assumptions about effectiveness of pumps.) 214 |