Optimum Infrastructure Optimum Infrastructure ExpenditureExpenditure

Model Model (OIE)(OIE)andand

Watershed-Reservoir Wellness Watershed-Reservoir Wellness IndexIndex

(WRWI)(WRWI)Version 1Version 1

Purpose of Today’s Purpose of Today’s MeetingMeeting

Presentation of Tool + Our Presentation of Tool + Our QuestionsQuestions

Identify Your QuestionsIdentify Your Questions Discuss Your QuestionsDiscuss Your Questions Set Upcoming OIE Interactive Set Upcoming OIE Interactive

Session MeetingSession Meeting

Our QuestionsOur Questions

Can the tool help watershed Can the tool help watershed management policy makers arrive at management policy makers arrive at more informed decisions?more informed decisions?

How could we improve the tool? How could we improve the tool?

BackgroundBackground

F2F basic componentsF2F basic components1.1. Payments for tree plantingPayments for tree planting

2.2. Financial Process to connect urban Financial Process to connect urban water consumers with rural water consumers with rural landowners that provides water landowners that provides water supply related environmental supply related environmental servicesservices

#1 informs #2#1 informs #2 Today’s meeting about #2Today’s meeting about #2

ProcessProcess F2F timeline 2010-2012F2F timeline 2010-2012 Tool is a crude prototypeTool is a crude prototype Today is first public presentation of Today is first public presentation of

functionalityfunctionality Next Steps: Next Steps:

Refine functionalitiesRefine functionalities ““Hands On” testing Hands On” testing Refine functionalitiesRefine functionalities Deliver ProductsDeliver Products

Version 1 OIE/WRWI Version 1 OIE/WRWI F2F ReportF2F Report Remaining PaymentsRemaining Payments

PurposePurpose: : To determine optimum mix To determine optimum mix

of green and grey of green and grey infrastructure expendituresinfrastructure expenditures

(OIE)(OIE)

to to

maximize maximize watershed & reservoir watershed & reservoir

wellnesswellness(WRWI)(WRWI)

OptimumOptimum(adj.) – (adj.) – most favorable or most favorable or

desirabledesirable

InfrastructureInfrastructure(noun) -(noun) -

fundamental facilities and systfundamental facilities and systems ems 

serving a country, city, or area, serving a country, city, or area,

such as such as transportation and communicatransportation and communica

tion tion systems, systems,

power plants, and schoolspower plants, and schools(Dictionary.com)(Dictionary.com)

Grey InfrastructureGrey Infrastructure

DredgingDredging Nutrient/Algae ManagementNutrient/Algae Management OtherOther

Green InfrastructureGreen Infrastructure

AfforestationAfforestation Conservation EasementsConservation Easements OtherOther

OIEOIE

Combines financial and Combines financial and environmental informationenvironmental information Financial – infrastructure expendituresFinancial – infrastructure expenditures Environmental – infrastructure unit Environmental – infrastructure unit

environmental “lift” (pollution environmental “lift” (pollution reduction)reduction)

Metric: Cost per Unit PollutantMetric: Cost per Unit Pollutant

Both Grey and Green Both Grey and Green Infrastructure Provide Infrastructure Provide

Environmental LiftEnvironmental Lift

Financial InformationFinancial Information

Utility Base Rate Expenditures for Utility Base Rate Expenditures for Grey-Green InfrastructureGrey-Green Infrastructure

Grey Infrastructure CostsGrey Infrastructure Costs Green Infrastructure CostsGreen Infrastructure Costs

Environmental Environmental InformationInformation

Land cover Land cover Environmental lift calculatorEnvironmental lift calculator Pollution budgetPollution budget Reservoir water quantity and quality Reservoir water quantity and quality

datadata

WRWIWRWI

Based on human wellness modelBased on human wellness model Fitness + Health = WellnessFitness + Health = Wellness Wellness means: Wellness means:

Fitness – land coverFitness – land cover Health – pollution loadingHealth – pollution loading

WRWI EquationWRWI Equation

WRWI = 50 (Reservoir Health) + 50 WRWI = 50 (Reservoir Health) + 50 (Watershed Fitness)(Watershed Fitness) Reservoir Health = % of original Reservoir Health = % of original

storage volumestorage volume Watershed Fitness = Forest cover + Watershed Fitness = Forest cover +

Impervious CoverImpervious Cover

Use of Use of OIE + WRWI OIE + WRWI

allows sensitivity testing allows sensitivity testing to to

achieve optimal wellness achieve optimal wellness for least costfor least cost

Generic ExampleGeneric Example

Uses data from many watersheds Uses data from many watersheds including SFRRWincluding SFRRW

Input information is plausibleInput information is plausible Components crudeComponents crude

Easement valuationEasement valuation Model timeframeModel timeframe Reservoir capacity/discountingReservoir capacity/discounting