To hear civic leaders tell it, the expense of cleaning up
polluted storm water in Los Angeles County will greatly exceed
the cost of waging war on Iraq. The price tag will be bigger
than the gross national product of all but 16 of the world's
largest countries. At $283.9 billion, it would be the
equivalent of assessing every man, woman and child in America
about $1,000.
The mostly inland cities that make these claims are battling
in court to block enforcement of storm water provisions of the
Clean Water Act that require them to prevent a toxic stew of
oil, pesticides, dog droppings and human sewage from washing
into the ocean and onto beaches every time it rains.
On Tuesday, they released a study by USC economists and
engineers that claims the region would need to build between
65 and 130 water treatment plants, resulting in economic
losses of up to $170 billion and up to 214,000 jobs.
"It's a staggering waste of our taxpayer dollars,"
Downey Councilman Keith McCarthy said at a news conference at
USC to release the $102,000 study commissioned by about 20
cities. "It will be the people in our towns who will
suffer lost jobs, cutbacks on public safety and other
[municipal] programs."
State and federal officials who attended the news conference
characterized the study figures as "absurdly
inflated" and "propaganda."
"It's ludicrous," said Fran Diamond, chairwoman of
the Los Angeles Regional Water Quality Control Board, a state
agency. The real cost of meeting clean-water rules, she said,
is about $50 million a year based on cities' own reported
expenditures.
"They sound like Chicken Little," said Catherine
Kuhlman, acting regional director of the federal Environmental
Protection Agency's water division. "But the sky is not
falling."
Those two agencies, which enforce clean-water rules to clean
up pollution in Santa Monica Bay and Los Angeles Harbor, said
the USC study was fundamentally flawed because it was based on
a faulty premise.
They say the study errs by focusing on the cost of building
enough treatment plants throughout the Los Angeles Basin to
collect the billions of gallons of runoff that currently wash
into storm drains and make it clean enough to drink by running
every drop through a reverse-osmosis system.
Yet the rules do not require runoff to be made clean enough to
drink, and regulators do not believe treatment plants of any
kind will be needed.
So, they argue, the study should have measured the costs of
other, less expensive approaches to satisfying the Clean Water
Act provisions, such as improved street sweeping, cracking
down on industries that spill pollutants into storm drains and
educating the public on the misuse of pesticides.
The study, running various scenarios, concluded that between
65 and 480 treatment plants would have to be built to comply
with all the new rules being imposed on cities to clean up the
trash, bacteria and heavy metals swept to the sea during
rainstorms.
As it stands, the region has no plants designed to treat storm
water. It does have nine wastewater plants that handle
billions of gallons of raw sewage — but those plants do not
use the expensive reverse-osmosis systems that are necessary
to convert storm water into drinking water.
H. David Nahai, past chairman of the regional water quality
control board, said there is nothing in the clean-water rules
that requires a single treatment plant to be built, much less
65 of them.
"What we have here is propaganda," Nahai said,
raising an objection during the news conference. "The
authors of this study are either unwitting pawns or willing
accomplices."
At least one of the principal authors of the report, public
policy and economics professor Peter Gordon, seemed to relish
how the study had gotten under the skin of regulators.
"After all these years," Gordon said, "I'm
pleased to understand that regulation is inexpensive and
benign."
James E. Moore, a USC professor of engineering, defended the
study and its basic premise that the cities would have to
build at least 65 treatment plants to strip runoff of
bacteria, heavy metals and other pollutants.
"The need for advanced [water] treatment is a credible
outcome," Moore said, although he acknowledged there may
be cheaper ways.
The study calculates it would cost $283.9 billion to buy land
and build the treatment plants. By financing such an enormous
building project with bonds, the study concludes that the tax
burden on the region would cost 27,000 to 214,000 full-time
jobs per year and result in a net economic loss of $23 billion
to $170 billion.
As a point of comparison, President Bush's economic advisor
recently estimated that a war against Iraq would cost the
nation $100 billion to $200 billion.
The storm-runoff study was commissioned by the Coalition for
Practical Regulation, which represents more than a third of
the 84 cities in Los Angeles County now required to meet
clean-water rules.
All but one of the cities that paid for the study are inland
with economies that do not depend on coastal tourism.
Craig Perkins, Santa Monica's director of environmental and
public works, said his seaside city has not found it difficult
to comply with the Clean Water Act provisions, which were
designed to protect public health and marine life. He was
surprised at the high costs estimated in the USC study.
"They must have hired the ex-Enron accountants to come up
with that figure," Perkins said.
Neither Los Angeles County nor the city of Los Angeles is a
member of the coalition that paid for the study. But both have
joined the smaller cities in suing over ever-tightening rules.
"All of the money that could be spent on addressing the
problem of storm-water pollution is being spent on
lawyers," said Los Angeles Councilman Jack Weiss, who
voted last week against suing to nullify the rules.
In an unrelated development, the U.S. 9th Circuit Court of
Appeals on Tuesday ruled that the EPA must do a better job
tailoring storm-water cleanup rules for smaller cities outside
the Los Angeles urban basin, such as Santa Barbara and Morro
Bay, and make sure the public has a bigger say in what steps
are taken.
Times researcher Maloy Moore contributed to this report.