Economic Analysis of Potential Land Retirement for the Westlands Water District in the San Joaquin Valley (2001-2002)

CONCUR worked with a team headed by Economic Insights to undertake a financial analysis for Westlands Water District to evaluate the potential impacts of possible land retirement of a significant amount of land in the District. This analysis was prompted by a proposal from the United States government to retire from 150,000 to 200,000 acres of land in Westlands from agricultural production to address the District’s water supply and drainage issues. Concurrent with the retirement of land, it has been proposed that the United States and Westlands would execute a new contract to reduce the District’s Central Valley Project water entitlement from 1.15 million acre-feet to approximately 805,000 acre-feet.

To structure the evaluation of impacts to the many parties in the District, the CONCUR team conducted 35 interviews with interested parties, and co-managed two public workshops. At these sessions the District leaders outlined potential land retirement and water supply program to offer the opportunity to suggest questions to be addressed by the economic study and information sources the team should consult. Meetings were attended by over 100 people, including members of the farming community, local government officials, federal and state agency staff, staff to state legislators, as well as businesses owners and community members. The economic team prepared the final report, completed in the fall of 2002.