The effect of limited options and policy interactions on water storage policy in South Florida

Due to environmental constraints and reactive water management practices, water shortages exist across the Everglades ecosystem. A growing human population and continued wetlands damage and loss decrease the system’s ability to provide water for sustained natural areas and for human uses. ‘The Restudy’ is an $8 billion plan to restore the Everglades while also continuing to provide water storage for urban and agricultural areas. The Restudy proposes a mix of water storage systems to provide for the predicted future growth in water demand. This mix is purported to be the most cost-efficient at providing water supplies, within the constraints of unchanged agricultural and urban land use. However, a sensitivity analysis of the Restudy’s cost equation reveals that the total cost of water storage systems is influenced by real estate, land acquisition and water treatment costs. The interaction of land use and agricultural policies can affect these cost factors, and can change the relative cost-efficiency between storage systems. Real estate and land acquisition costs are affected by several 1996 Farm Bill provisions, which influence the cost of aboveground water storage systems versus Aquifer Storage and Recovery systems. The Governor’s Commission for a Sustainable South Florida recommendations also influence the water storage options available to the Restudy. Due to the Restudy’s initial assumptions and constraints, it may not advocate the most economically and ecologically sound remediation.