Hassayampa Landscape Restoration Environmental Assessment

Size: px

Start display at page:

Download "Hassayampa Landscape Restoration Environmental Assessment"

Victoria Greene
5 years ago
Views:

1 Hassayampa Landscape Restoration Environmental Assessment Economics Report Prepared by: Ben De Blois Forestry Implementation Supervisory Program Manager Prescott National Forest for: Bradshaw Ranger District Prescott National Forest 11/29/17

2 In accordance with Federal civil rights law and U.S. Department of Agriculture (USDA) civil rights regulations and policies, the USDA, its Agencies, offices, and employees, and institutions participating in or administering USDA programs are prohibited from discriminating based on race, color, national origin, religion, sex, gender identity (including gender expression), sexual orientation, disability, age, marital status, family/parental status, income derived from a public assistance program, political beliefs, or reprisal or retaliation for prior civil rights activity, in any program or activity conducted or funded by USDA (not all bases apply to all programs). Remedies and complaint filing deadlines vary by program or incident. Persons with disabilities who require alternative means of communication for program information (e.g., Braille, large print, audiotape, American Sign Language, etc.) should contact the responsible Agency or USDA s TARGET Center at (202) (voice and TTY) or contact USDA through the Federal Relay Service at (800) Additionally, program information may be made available in languages other than English. To file a program discrimination complaint, complete the USDA Program Discrimination Complaint Form, AD-3027, found online at and at any USDA office or write a letter addressed to USDA and provide in the letter all of the information requested in the form. To request a copy of the complaint form, call (866) Submit your completed form or letter to USDA by: (1) mail: U.S. Department of Agriculture, Office of the Assistant Secretary for Civil Rights, 1400 Independence Avenue, SW, Washington, D.C ; (2) fax: (202) ; or (3) program.intake@usda.gov. USDA is an equal opportunity provider, employer and lender.

3 Table of Contents Introduction... 1 Relevant Laws, Regulations, and Policy... 1 Regulatory Framework... 1 Topics and Issues Addressed in This Analysis... 2 Purpose and Need... 2 Resource Indicators and Measures... 2 Methodology... 2 Implementation Costs... 2 Net Timber Value... 3 Existing Condition... 4 Environmental Consequences... 4 Alternative 1 No Action... 4 Alternative 2 Proposed Action... 5 Summary... 7 References Cited... 8 Tables Table 1. Economic indicators... 2 Table 2. Alternative 1 effects on economic resources... 5 Table 3. Potential costs associated with Alternative Table 4. Alternative 2 effects on economic resources... 7 Table 5. Summary comparison of each alternative and their effects on economic resources... 7 i

4 Introduction The Hassayampa Landscape Restoration Project is located in southern Yavapai County. This report outlines some of the major findings from the economic analysis The study area includes all of Yavapai County and communities located within or adjacent to the project including Prescott, Prescott Valley, Humboldt-Dewey, Mayer, Spring Valley, Black Canyon City, Crown King, Walker, and Cleator. While consumptive natural resource industries have declined, tourism has become a major economic driver in locations, such as Crown King. Over the past 25 years, the overall population in the study area has grown substantially indicating that the area offers ideal natural and economic amenities. The temporal boundaries for the economic analysis extend approximately 10-years, which corresponds to the proposed project implementation period. The measureable economic consequences of the proposed action are expected to occur during this period. This analysis will address the cost of implementing the Hassayampa Landscape Restoration Project. This will include the following costs: surveying and marking cultural sites, marking and cruising timber, temporary road construction and rehabilitation, road maintenance, preparing contracts, project administration, harvesting trees, hand thinning, and prescribed burning. It does not include the cost of preparing the Environmental Assessment or associated documents, such as the biological assessment, for the project. Relevant Laws, Regulations, and Policy Regulatory Framework Multiple statutes, regulations, and executive orders identify the general requirement for the application of economic and social evaluation in support of Forest Service planning and decision making. These include, but are not limited to, the Multiple-Use Sustained Yield Act of 1960 (74 Stat. 215: 16 USC ) and National Environmental Policy Act of 1969 (83 Stat. 852; 42 USC 4321, , ). The Multiple-Use Sustained Yield Act of 1960 (74 Stat. 215: 16 USC ) requires that economic impacts are considered when establishing management plans or decision that may affect the management of renewable forest and rangeland resources. This report meets the requirements of this law by addressing the economic impacts of the Hassayampa Landscape Restoration project on the local economy. National Environmental Policy Act (NEPA) of 1969 (83 Stat. 852; 42 USC 4321, , ) requires that economic and social impacts of Federal actions be considered through environmental analysis. This specialist report includes analysis on social and economic issues identified during the scoping process to meet the terms of the NEPA and regulations. National Forest Management Act (NFMA) of 1976 (16 U.S.C. 1600) and regulations require that the economic impacts of decisions or plans affecting the management of renewable resources are analyzed and that economic stability of communities whose economies are dependent on materials from national forest lands are considered. This analysis meets the requirements of the NFMA by specifically considering the economic impacts of the implementation of the Hassayampa Landscape Restoration project and its impacts on local communities and minority populations. 1

5 Executive Order issued in 1994 orders federal agencies to identify and address any adverse human health and environmental effects of agency programs that disproportionately impact minority and low-income populations. Land and Resource Management Plan The Prescott National Forest Land and Resource Management Plan (Forest Plan) provides desired conditions for vegetation at the landscape scale. Forest Plan desired conditions related to economic resources include DC-Veg-1 and DC-Veg-2 and essentially state the importance of ecosystem diversity and the role that forest products play in sustaining the full range of ecosystem diversity. Topics and Issues Addressed in This Analysis Purpose and Need The overall purpose of the Hassayampa Landscape Restoration project is to restore fire to its natural role in the ecosystem, to meet desired conditions of potential natural vegetation types across the Forest, and to protect life and property from catastrophic wildfires. Economic measures are simply metrics, and not goals in and of themselves. While there are no specific economic goals for the project, it is important to evaluate and consider the effects of the project on the economic activity and efficiency related to the project area. Resource Indicators and Measures This analysis used two categories to measure the economic resources associated with this project. Table 1. Economic indicators Category Economic Efficiency Indicator(s) Employment and labor income Public expenditures, avoided costs, lost activity days, tourists spending, and ecosystem services Methodology Implementation Costs Implementation of the Hassayampa Landscape Restoration Project would require several types of fuel reduction treatment methods and other actions that are related to their implementation. Costs to undertake these activities have been estimated using a variety of methods. The fuel reduction treatment methods analyzed include mechanical thinning, hand thinning, mastication, fuelbreaks, and pile burning as described in the Environmental Assessment. These costs are only estimates. Actual implementations cost, especially for logging systems not commonly used in northern Arizona, may vary substantially. The activities that have been analyzed for and the methodology that was used to estimate their costs are described below. Cultural Resource Survey Cost Cultural resource surveys and the marking of cultural resource sites would need to be completed for the project area. These costs were provided by a Prescott National Forest archaeologist and were largely based on costs from previous projects. The current status of past cultural resource surveys is unknown, so the economic analysis assumed that all potential treatment acres would need to be surveyed at various 2

6 intensities. The estimated survey costs do not include the costs associated with developing a survey strategy or preparing any required reports for the State Historic Preservation Office (section 106 reports). Contract and Sale Preparation Cost Sale preparation costs are all costs associated with locating thinning units, timber marking, and timber cruising. These costs were provided by the Prescott National Forest timber management staff and were based on past projects as well as predicted costs. Contract and Sale Administration Cost This is the cost to supervise the thinning work done by a contractor and to administer the contracts, according to Forest Service policy. These costs were estimated by the Prescott National Forest timber staff and were largely based on past administration costs. Temporary Road Construction and Rehabilitation Cost This is the estimated cost for a contractor to construct new temporary roads and rehabilitate the road prism after use. It was estimated using the costs provided in the inter-regional cost guide. Temporary Road Rehabilitation Cost Only This is the estimated cost for a contractor to rehabilitate temporary roads that are located on roads that are already decommissioned, previous temporary roads that are already rehabilitated, or existing non-system roads. It was estimated using the costs provided in the inter-regional cost guide. Prescribed Burning Cost This is the cost to carry out prescribed burning, including pile burning. It was estimated by the Prescott National Forest West Zone Fire Management Officer and the West Zone Fuels Assistant Fire Management Officer. The cost estimates were based on project costs as well as predicted costs for each type of treatment. Net Timber Value Net timber value is the value of the timber to be harvested as it stands on the stump; it is also referred to as stumpage value. This is the monetary amount that a contractor would be willing to pay the government for the timber or the amount that the contractor would need to be paid in order to harvest and haul the timber from the site. Due to the nature of this restoration project and the desire to remove slash, some of the financial figures from the neighboring Four Forest Restoration Project were applied to this project. In 2012, the Forest Service awarded the Four Forest Restoration Initiative (4-FRI) contract and this contract specifies a product value for each geographic working circle within the 4-FRI contract area. The value of timber in the greater northern Arizona working circle that the Hassayampa Landscape Restoration Project is located within, is a positive $3.50/green ton for logs greater than 5 inches on the small end (i.e., the contractor pays the government for the timber). The material that is smaller than this, including limbs and tops, has a negative value of $3.50/green ton (i.e., the government pays the contractor $3.50/green ton to remove this material from the site). This Environmental Assessment assumes that these product values indicate the current market value for timber cut using traditional ground-based harvesting. However, due to the steep terrain on much of the Hassayampa Project, a steep slope cut-to-length system would be needed to thin areas where conventional ground-based equipment cannot operate. These systems would have a higher logging cost than 3

7 conventional ground-based logging. Conventional ground-based logging has the lowest logging cost per ton of any logging system. In order to account for the cost of this higher priced system and the potential effect it may have on net timber value, logging cost was calculated for all systems and net timber value was adjusted to reflect the increased cost of these more expensive logging systems. To simply the analysis, the log costs were converted to a per acre average cost of $325 for the areas that have slopes greater than 40 percent. It is estimated that of the standing stem volume in the project area, 75 percent is sawlog size with a value to the government of $3.50/ton, and 25 percent is smaller than this with a value to the government of $3.50/ton. This yields a composite value for $1.75/ton of stem material logged. It is also estimated that there is approximately 5 tons/acre of branches that would be brought in from the thinning units when stems are logged. This material can be burned at the landing or utilized. If it is utilized, it would cost the government $3.50/ton to have it removed. Existing Condition Current economic activity within the project area is largely related to tourism and recreation. With the exception of limited fuelwood gathering, activity associated with forest product removal is very low. However, there is a lot more activity occurring within the adjacent Bradshaw Vegetation Management Project area. Public and private funds are being used to fund forest restoration projects ranging from mechanical thinning to prescribed burns. It is through such restoration efforts that major steps have been taken to reduce the risks and effects associated with an uncharacteristic wildfire. Environmental Consequences Alternative 1 No Action Direct Effects and Indirect Effects Little to no new economic activity would result from this alternative. Economic Efficiency Direct project expenditures would be low, but the occurrence of an uncharacteristic fire may require high public expenditures, lost activity days, decreased tourism spending, and a negative effect on current ecosystem services. Implementation Costs Cultural Resource Cost: No Cultural Resource surveys would be done under this alternative and no cost incurred. Contract and Sale Preparation Cost: No sale preparation would be done under this alternative and no cost incurred. Contract and Sale Administration Cost: No sale administration done would be under this alternative and no administrative cost incurred. Temporary Road Construction and Rehabilitation Cost: No temporary roads would be built under this alternative and no costs incurred for rehabilitation. 4

8 Fuels Reduction Treatments: No fuel reduction treatments, including hand thinning, mechanical thinning, mastication, or fuelbreak construction, would be done under this alternative and no cost incurred. Prescribed Burning Cost: No prescribed burning would be done under this alternative and no cost incurred. Net Timber Value No logging would be done under this alternative and no cost incurred or timber value generated. Summary of Alternative 1 While the No Action Alternative does not necessarily imply that an uncharacteristic wildfire will occur, one must consider the potential avoided costs of such an event. The 2010 Schulz Fire provided additional information about the true costs of uncharacteristic wildfires. A conservative estimate of the costs associated with the overall impacts of the Schulz Fire have been pegged at anywhere between $133 million to $147 million (Ecological Restoration Institute 2013). Recent wildfires, such as the Lane 2 Fire in the Crown King area, have negatively impacted the tourism industry lasting years beyond the actual fire event. Table 2. Alternative 1 effects on economic resources Resource Element Indicator/Measure Alternative 1 Economic Efficiency Employment and labor income Public expenditures, avoided costs, lost activity days, tourists spending, and ecosystem services No new jobs would be created or sustained under this alternative Direct project expenditures would be low, but the occurrence of an uncharacteristic fire may require high public expenditures, lost activity days, decreased tourism spending, and a negative effect on current ecosystem services. Alternative 2 Proposed Action Direct Effects and Indirect Effects Jobs would be created and/or sustained under this alternative. Such jobs include contractors and processing facilities for products removed. Additional personal use fuelwood opportunities may also occur. Economic Efficiency While public expenditures would be high with this alternative, the potential avoided costs far outweigh public expenditures. Some activity days might be lost during specific project implementation, but tourism spending is likely to be unaffected. Ecosystem services would be maintained or improved. Implementation Costs The costs outlined in Table 3 are what it would cost to implement the entire project. The Prescott National Forest does not intend to implement every single project, as described in the Environmental Assessment. The broad landscape scale analysis would give land mangers increased flexibility to take advantage of partnership opportunities as well as to create a diverse set of options for restoration treatments. 5

9 Table 3. Potential costs associated with Alternative 2 Cost Cultural Resource Survey and Site Marking Cost Cultural resource surveys on 234,276 acres $35/ac $8,199,660 Marking of cultural resource sites 234,276 $5/ac $1,171,380 Total Cultural Resource Survey and Site Marking Cost $9,371,040 Mechanical Thinning Cost 30,808 acres of contract and sale $120/acre $3,696,960 30,808 acres of timber contract and sale $50/acre $1,540,400 30,808 acres of machine pile $25/ac $770,200 7,063 acres of steep slope $325/ac $2,295,475 Total mechanical thinning cost $8,303,035 Temporary Road Construction and Rehabilitation Cost 21 miles of temporary road construction/utilization and $5,000/mile $105,000 Hand Thinning Cost 4,798 $1,000/ac $4,317,000 4,798 acres of thinning contract $10/ac $43,170 4,798 acres of pile $2,000/ac $8,634,000 Total hand thinning cost $14,441,980 Mastication 44,590 $600/ac $26,754,000 44,590 acres of mastication contract $5/ac $222,950 Total mastication cost $26,976,950 Fuelbreaks 1,049 acres of hand $1,000/ac $1,049,000 9,616 acres of mechanical $600/ac $5,769,600 10,665 acres of fuelbreak contracts to $10/ac $106,650 10,665 acres of pile $2,000/ac $21,330,000 Total fuelbreak cost $28,255,250 Prescribed Burning Cost 234,276 acres at $200/acre $46,855,200 Grand Total $134,308,455 Net Timber Value Assuming that the average volume removed would be approximately 35/tons per acre at a composite value rate of $1.75/ton, the estimated timber value generated would be $1,886,990.Summary of Alternative 2 The total potential treatment costs associated with implementing all of the treatments proposed in The total potential treatment costs associated with implementing all of the treatments proposed in alternative 2 amount to $134,308,455. While the Prescott National Forest does not intend to implement every treatment listed in the analysis, the broad, landscape-scale analysis would give land mangers increased flexibility to take advantage of partnership opportunities as well as to create a diverse set of options for restoration 6

10 treatments. The difference in the value of the potential volume removed and the costs associated with the implementing restoration projects clearly demonstrates that other funds must be sought to implement the vast majority of the proposed activity. Currently, the Prescott National Forest receives funding from many different sources ranging from appropriated funds to partnership funds. Such an approach would need to be followed or expanded to provide opportunities to implement the treatments outlined in the Hassayampa analysis. Table 4. Alternative 2 effects on economic resources Resource Element Indicator/Measure Alternative 2 Economic Efficiency Employment and labor income Public expenditures, avoided costs, lost activity days, tourists spending, and ecosystem services Jobs would be created and/or sustained under this alternative. Such jobs include contractors and processing facilities for products removed. Additional fuelwood opportunities may also occur. While public expenditures would be high with this alternative, the potential avoided costs far outweigh public expenditures. Some activity days might be lost during specific project implementation, but tourism spending is likely to be unaffected. Ecosystem services would be maintained or improved. Cumulative Effects After considering the projects listed in Appendix B, there would be very little overlap in time and space under this alternative. From an economy of scale perspective, some cost savings may occur by combining individual projects from the Hassayampa and Bradshaw Vegetation Management Projects. This may reduce preparation costs as well as treatment costs, which would increase economic efficiency and create a positive cumulative effect. Summary Table 5. Summary comparison of each alternative and their effects on economic resources Resource Element Indicator/Measure Alternative 1 No Action Economic Efficiency Employment and labor income Public expenditures, avoided costs, lost activity days, tourists spending, and ecosystem services No new jobs would be created or sustained under this alternative. Direct project expenditures would be low, but the occurrence of an uncharacteristic fire may require high public expenditures, lost activity days, decreased tourism spending, and a negative effect on current ecosystem services. Alternative 2 Proposed Action Jobs would be created and/or sustained under this alternative. Such jobs include contractors and processing facilities for products removed. Additional fuelwood opportunities may also occur. While public expenditures would be high with this alternative, the potential avoided costs far outweigh public expenditures. Some activity days might be lost during specific project implementation, but tourism spending is likely to be unaffected. Ecosystem services would be maintained or improved. 7

11 References Cited Ecological Restoration Institute- Issues in Forest Restoration A Full Cost Accounting of the 2010 Schultz Fire. 8

Tower Fire Salvage. Economics Report. Prepared by: Doug Nishek Forester. for: Priest Lake Ranger District Idaho Panhandle National Forests

Tower Fire Salvage. Economics Report. Prepared by: Doug Nishek Forester. for: Priest Lake Ranger District Idaho Panhandle National Forests Tower Fire Salvage Economics Report Prepared by: Doug Nishek Forester for: Priest Lake Ranger District Idaho Panhandle National Forests April 2016 In accordance with Federal civil rights law and U.S. Department