1. Ecosystem Services and Other Values Andrew Manale National Center for Environmental Economics October 2011 1 National Center for Environmental Economics

2. Ecosystem Services & Other Values Soil and water quality inextricably linked – Non-point source pollution is major cause – Change land management change loadings to resources Changes in land management changes in ecosystem attributes and services assoc. with attributes – E.G. soil C, N, P, soil moisture, In-and above- ground biology, episodic water retention, runoff and flow 2 National Center for Environmental Economics

3. Ecosystem services and other values 3 National Center for Environmental Economics Forested land converted to cropland

4. Agricultural land under conservation practices National Center for Environmental Economics 4

5. Ecosystem Services and other values What does this mean for C-B cost- benefit analysis? – Examine not just water quality impacts – Also changes in ancillary benefits from management or land use 5 National Center for Environmental Economics

6. Ecosystem Services and other values What are some of these services? – Changes in wildlife or biodiversity soil carbon – Nitrogen retention and fate – Greenhouse gas mitigation – climate adaptation – Flood or drought mitigation Changes in storage volumes Changes in probability of exceeding Recurrence Intervals for effects 6 National Center for Environmental Economics

7. Other values – Reduced chemical fertilizer production and use – Reduced fuel costs associated with tillage – Extension of useful life of “built” structures Dams diversions 7 National Center for Environmental Economics

8. Ecosystem Services and Other Values Terrestrial ecosystem services benefits – May be intermittent or infrequent – High uncertainty regarding quantification Lag effect Non-linear relationships – Often dependent upon landscape position or other system variables E.g. drainage management Flood water management Peak water flow management May require simulation models such as SWAT or APEX to identify and quantify 8 National Center for Environmental Economics

9. Why Measure Ecosystem Services? Consistency with Draft Updated Principles and Guidelines for Water and Land Related Resources Implementation Studies (P&G) – Rules for how Federal agencies evaluate proposed water resource development projects. Water Resources Development Act (WRDA) of 2007 – Draft updated Principles and Requirements (CEQ) Ecosystem services framework and approach – Draft White House decision extend P&G to all federal agencies 9 National Center for Environmental Economics

10. Why? More comprehensive accounting of benefits 10 National Center for Environmental Economics