Analysis of Delta Conveyance Project Challenges Financial Feasibility: Restore the Delta Press Release

Title: Report Challenges Financial Feasibility of Delta Conveyance Project, Raises Concerns Among Stakeholders

A newly published report from Dr. Jeffrey A. Michael, Director of Public Policy Programs at the University of the Pacific, has raised significant doubts about the financial feasibility of the Delta Conveyance Project (DCP) as outlined by the Department of Water Resources’ (DWR) Benefit Cost Analysis (BCA).

The report highlights several key findings, including the inflated benefit-cost ratio of 2.2 claimed by the DWR, which Dr. Michael argues is unreliable due to unjustified optimistic assumptions. The analysis also points out the omission of significant environmental costs, particularly impacts on endangered fish species, which could have substantial social and financial implications.

Dr. Michael’s review emphasizes the need for a holistic approach to project evaluation, one that considers the impacts on all stakeholders over the long term. The report also suggests that farmers are likely to opt-out of the project, shifting the financial burden to urban water agencies like the Metropolitan Water District (MWD).

The findings of the report are expected to fuel further debate among policymakers and stakeholders involved in California’s water management. Restore the Delta’s Executive Director, Barbara Barrigan-Parrilla, and Sierra Club California Chapter Organizing Manager, Molly Culton, have both expressed concerns about the project’s cost estimates and potential impacts on the environment and communities.

The report calls for a reevaluation of the Delta Conveyance Project, urging decision-makers to consider alternatives like investing in regional water solutions. With growing financial constraints and questionable assumptions surrounding the project, the future of the DCP remains uncertain as stakeholders grapple with the implications of Dr. Michael’s findings.