Cost Effectiveness and Incremental Cost Analyses Workshop:
IWR-Planning Suite Student Exercises October 2006
Bussey Lake is a 213-acre backwater located on the Upper
Mississippi River, lower Pool 10, near Guttenberg, Iowa (see map below).
The project was selected for habitat restoration under the Upper Mississippi
River System Environmental Management Program. Sedimentation had made
the lake considerably shallower over a period of years and an important
recreational fishery was threatened by the shallow water depths, low levels
of dissolved oxygen, and an over-abundance of aquatic vegetation. Bluegill
and largemouth bass were both considered as indicator species; bluegill
was selected. Corps managers developed four management measures to improve
the habitat for bluegill: aeration, substrate improvement, 5 scales of
aquatic plant harvesting (varying amounts of area harvested), and 7 scales
of dredging (varying amounts of material removed). Average annual equivalent
costs were calculated for each management measure and scale using a 50-year
project life. Costs included initial and operation and maintenance costs.
Average annual habitat units for bluegill were calculated for each management
measure and scale to estimate the habitat improvement over the without
project condition for the 50-year project life (Source: Bussey Lake: Demonstration
Study of Incremental Analysis in Environmental Planning, IWR Report 93-R-16).
Select from the following exercises: