In checking the Web today for a report by UC Berkeley, I stumbled upon this February 2009 report at the California Farm Bureau Federation site:
Updated UC report shows water cuts will cause severe harm
I know, it's a bit late and now obvious, but we need to lay out that the "Water Crisis" is in no way a surprise to any State or Federal official. So, here's more from last Fall:
Study Underscores Impact of Court Imposed Water Pumping Restrictions
California Economy and Water Supply Reliability Hit Hard
BERKELEY, Calif., Dec. 12 /PRNewswire/ -- A new study released today underscores the severity of the statewide economic and water supply implications of ongoing water pumping restrictions imposed by federal courts in California to protect the Delta smelt. According to the study, statewide economic impacts can exceed $1 billion per year during drought years such as those currently facing the state and may well exceed $3 billion should the state enter a prolonged dry period. Additionally, the report documents the severe water supply implications of the Court's orders. Even during average and wet periods the Court imposed restrictions exacerbate ongoing drought conditions by limiting the ability of water managers to replenish water storage facilities and groundwater reserves. The net result is a significant additional blow to the state economy and a greatly reduced ability to respond to severe drought and other emergencies.
"The study documents immediate and very severe economic impacts to an already reeling state economy and highlights the longer-term water supply implications resulting from a reduced ability to replenish our reservoirs, groundwater storage facilities and other critical reserves, said Terry Erlewine, General Manager of the State Water Contractors. The sad reality is the courts have taken over operational control of the state's water supply system. Clearly, the state's residents, farms and businesses will be paying a steep price for years to come."
Commissioned by Bay Area, San Joaquin Valley and Southern California water users, the timely report was designed to provide a better understanding of the economic and water supply impacts of an Interim Order, designed to protect the Delta smelt, imposed by Judge Oliver Wanger of the United States District Court for the Eastern District of California last December 14, 2007. The study also provides important insight on the economic and water supply reliability impacts of additional restrictions being sought for fishery and ecosystem protection. The crucial assessment comes just as a court-ordered revised Biological Opinion outlining the impacts of the state's water pumping operations on the endangered smelt is due to be submitted. The study's estimates are very conservative since only the Delta smelt restrictions were considered, and modeling assumptions tended to underestimate supply impacts. Other equally problematic restrictions could soon be in place for salmon, longfin smelt and other native Delta fish. As a result, total economic and water supply implications would likely be even more severe in the future.
"The export restrictions imposed in a effort to conserve the Delta smelt clearly add significant new risks to California's water supply system, said Dr. David Sunding, author of the study and a professor of agricultural and resource economics at UC Berkeley. The water pumping restrictions not only worsen the current drought, they also ensure that water rationing, fallowed farm land and economic dislocation will be the norm. The study highlights the unsustainable nature of the state's current water system. Rather than a series of court-imposed restrictions aimed at individual species, California would benefit from a more comprehensive fix for the delta."
Specific water supply and economic impacts include, but are not limited to the following:
* Pumping restrictions, such as those resulting from the Wanger Interim Order, significantly reduce the reliability of water deliveries from both the State Water Project (SWP) and Central Valley Project (CVP).
* For both the SWP and CVP, supply reductions are greatest in years with near average water supplies greatly impacting water storage and groundwater replenishment efforts.
-SWP impacts average 414 thousand acre-feet (TAF)/yr or roughly the amount of water needed to serve over 3 million residents.
-Impacts would be as high as 700 TAF/yr in "above average" years.
-CVP impacts average 170 TAF/yr but exceed 263 TAF/yr in "above average" years.
* Statewide economic impacts average over $500 million annually with most of that impact in the San Joaquin Valley and Southern California . Economic impacts will be much greater in drought conditions.
* Annual economic losses could soar in excess of $3 billion should the state enter a prolonged dry period, such as the one experienced from 1987-1992.
"The economic and water supply impacts of court imposed water supply restrictions are very sobering," said Michael Boccadoro, spokesperson for the Coalition for a Sustainable Delta. "The study underscores the need to make sure we get the science correct before more restrictions are imposed. Environmental activists are playing a very dangerous game with the state's economy and the livelihoods of the state's residents as they seek additional restrictions."
Environmental and sportfishing groups last week filed suit to force the complete and total shutdown of delta water pumping operations.
The study was prepared by Berkeley Economic Consulting, under the direction of Dr. David Sunding, a well known and respected University of California professor of Agricultural and Resource Economics at Berkeley.
Questions about the study can be directed to Dr. Sunding directly at 415-299-2653. All other inquiries should be directed to Mr. Boccadoro at the numbers listed below.
For more information or a copy of the full report , visit http://www.sustainabledelta.com/
The Coalition for a Sustainable Delta is an ad hoc group of water users who depend on conveyance through the delta for a large portion of their water supplies. The Coalition is dedicated to protecting the delta and is committed to promoting a strategy to ensure its sustainability.
915 L Street, #C-438 - Sacramento, CA 95814
Contact: Michael Boccadoro
916/ 441-4383 or 916/ 600-4383
SOURCE Coalition for a Sustainable Delta
Thanks to PR Newswire for this article.
Showing posts with label economics. Show all posts
Showing posts with label economics. Show all posts
Friday, September 11, 2009
Thursday, August 6, 2009
The Fallacy of TARP
or "Why top-loaded Stimulus plans won't ever work."
True stimulus will always be based upon restarting the true "economic engine": Free Enterprise. In the past, when insolvency loomed over a business, bankruptcy was the legal structure used to remedy the insolvency, and whenever possible, insure an equitable an outcome for all those invested.
If TARP had truly been meant to be a "stimulus" package, it would have assured that each citizen would be enabled to moderate and survive the burdens placed upon them by economic contraction. Instead, it has proven itself to be exactly the opposite:
A "Bailout."
That's what TARP and the more honestly admitted earlier bailouts of the Bush administration(s) were. Go take a look at the Wiki on bailout. You'll be shocked how true these words ring when the Politicians have decided that some entities are "Too Big To Fail!"
The treasonous part of this act is that, rather than deciding that America and it's Citizens were too big to fail, the Politicians decided that THEY were "Too Big To Fail." They felt that, since they were elected by the People, they were elected to Rule the People.
Their way of ruling the People? To preach how we must be "Renewable & Sustainable" while they themselves are profligate and wasteful, to shovel inflated dollars to those they truly consider their Constituents, those who fawn after them and fund their campaigns and send them on junkets and ... The list of "special interest" politically based handouts is virtually endless.
Instead of standing up honestly, and insisting upon the true transparency that bankruptcy would have produced, they have simply built another story on the financial "house of cards" that has been, and now continues to be produced by Wall Street and Washington. However, you must remember first that, if these Politicians and Economic Despots had the slightest shred of honesty, they would be speaking out against what they have wrought, and open their books.
Instead we get Federal Reserve Chairman Bernanke's insistence that the Fed won't open it's books to daylight.
Instead of bankruptcy and transparency, we repeatedly fall prey to the lies and obfuscations of financial and political confidence men (and yes, woman too) who campaign with nothing more in mind than the perpetuation of their own power, the power they've "worked so hard to earn." We see this locally, statewide & nationally.
A. Schwartzenegger, J. Brown, M.Villines and nearly innumerable names in California alone scream of the backslapping, glad-handing and promises that are handed out as though balloons at a birthday party.
ACORN, NEA, AARP ... These are only a very few of the "special interests" that do exactly what you cannot do: They spend every waking moment working on getting the most of the People's money for those they shill for, and insuring the continuance of the "favors" they "earn."
So, what can you do? Have integrity, stand up honestly and speak your mind. Don't retreat, don't just "take my word for it." Hold their feet to the fire.
And most importantly, DON'T EVER FORGET.
True stimulus will always be based upon restarting the true "economic engine": Free Enterprise. In the past, when insolvency loomed over a business, bankruptcy was the legal structure used to remedy the insolvency, and whenever possible, insure an equitable an outcome for all those invested.
If TARP had truly been meant to be a "stimulus" package, it would have assured that each citizen would be enabled to moderate and survive the burdens placed upon them by economic contraction. Instead, it has proven itself to be exactly the opposite:
A "Bailout."
That's what TARP and the more honestly admitted earlier bailouts of the Bush administration(s) were. Go take a look at the Wiki on bailout. You'll be shocked how true these words ring when the Politicians have decided that some entities are "Too Big To Fail!"
The treasonous part of this act is that, rather than deciding that America and it's Citizens were too big to fail, the Politicians decided that THEY were "Too Big To Fail." They felt that, since they were elected by the People, they were elected to Rule the People.
Their way of ruling the People? To preach how we must be "Renewable & Sustainable" while they themselves are profligate and wasteful, to shovel inflated dollars to those they truly consider their Constituents, those who fawn after them and fund their campaigns and send them on junkets and ... The list of "special interest" politically based handouts is virtually endless.
Instead of standing up honestly, and insisting upon the true transparency that bankruptcy would have produced, they have simply built another story on the financial "house of cards" that has been, and now continues to be produced by Wall Street and Washington. However, you must remember first that, if these Politicians and Economic Despots had the slightest shred of honesty, they would be speaking out against what they have wrought, and open their books.
Instead we get Federal Reserve Chairman Bernanke's insistence that the Fed won't open it's books to daylight.
Instead of bankruptcy and transparency, we repeatedly fall prey to the lies and obfuscations of financial and political confidence men (and yes, woman too) who campaign with nothing more in mind than the perpetuation of their own power, the power they've "worked so hard to earn." We see this locally, statewide & nationally.
A. Schwartzenegger, J. Brown, M.Villines and nearly innumerable names in California alone scream of the backslapping, glad-handing and promises that are handed out as though balloons at a birthday party.
ACORN, NEA, AARP ... These are only a very few of the "special interests" that do exactly what you cannot do: They spend every waking moment working on getting the most of the People's money for those they shill for, and insuring the continuance of the "favors" they "earn."
So, what can you do? Have integrity, stand up honestly and speak your mind. Don't retreat, don't just "take my word for it." Hold their feet to the fire.
And most importantly, DON'T EVER FORGET.
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