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Modernizing the State's Approach to a Critical Resource

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Modernizing the State's Approach to a Critical Resource WATER AND ECONOMIC DEVELOPMENT IN INDIANA: MODERNIZING THE STATE’S APPROACH TO A CRITICAL RESOURCE August 2014 Jack Wittman, Ph.D., Principal Geoscientist INTERA Incorporated WATER AND ECONOMIC DEVELOPMENT IN INDIANA: Modernizing the State’s Approach to a Critical Resource ACKNOWLEDGEMENTS Water Advisory Council This report was produced by INTERA for the Indiana Chamber of Commerce. However, the process of crafting the report and the many decisions about emphasis and structure were made interactively with a diverse set of professionals who met for monthly meetings. This group (listed below) volunteered their time, participated in lengthy discussions and provided perspective on the scientific work to assure that the hydrologic analysis would produce a report that was accessible and on target. They are, in many ways, co-authors of the work. KEVIN BRINEGAR Indiana Chamber of Commerce TOM BRUNS National Association of Water Companies RHONDA COOK Indiana Association of Cities and Towns MIKE DUNN Indiana Corn/Soybean Council VINCE GRIFFIN Indiana Chamber of Commerce JOHN HARDWICK Indiana Section – American Water Works Association ROBERT HOLDEN American Council of Engineering Companies MARK MAASSEL Indiana Energy Association JUSTIN SCHNEIDER Indiana Farm Bureau BARB SIMPSON Indiana Wildlife Federation JOSEPH SUTHERLAND Utilitus Consulting MARK WASHER Steel industry JIM WILLIAMS Indiana Rural Water Association MAX WILLIAMS Indiana Mineral Aggregates Association In addition, throughout the process there were several key state legislators who attended meetings and participated in the discussion and debate. Their perspective was also invaluable to the policy framework that was developed as a part of the project. ED CHARBONNEAU Indiana Senate DOUG ECKERTY Indiana Senate ERIC KOCH Indiana House JIM MERRITT Indiana Senate STEVE STEMLER Indiana House i COMMON ABBREVIATIONS IDEM Indiana Department of Environmental Management IDNR Indiana Department of Natural Resources IURC Indiana Utility Regulatory Commission IGS Indiana Geological Survey IDOT Indiana Department of Transportation IWRRC Indiana Water Resources Research Center (at Purdue) USGS United States Geological Survey USACE United States Army Corps of Engineers MGD million gallons per day ii ii WATER AND ECONOMIC DEVELOPMENT IN INDIANA: Modernizing the State’s Approach to a Critical Resource TABLE OF CONTENTS Executive Summary ........................................................1 Overview of Key Findings ............................................................ 2 Supply ....................................................................................................... 2 Demand ................................................................................................... 2 Planning ................................................................................................... 4 Recommendations ........................................................................ 6 Create Awareness About the Need for Water Supply Planning ................................................................................................... 6 Create Capacity to Coordinate Efforts .......................................... 7 Create a Robust System for Monitoring Water Resources ..... 8 Create a Standardized System for Data Analysis....................... 8 Create Systems to Effectively Manage Water Resource ......... 9 Allow Three Years to Prepare for Implimentation .................... 9 Economic Effect of Water Availability ............................. 11 Background .................................................................. 13 Purpose and Vision ......................................................................14 Goals .............................................................................................15 Introduction ................................................................. 17 Indiana Water Facts .....................................................................19 Past Water Shortages ..................................................................19 The Future of Water ....................................................................20 Regional Water Constraints in the U.S. .................................... .21 Indiana’s Water Governance .......................................... 23 Availability of Water in Indiana ..................................... 29 Measuring Water Availability .................................................... 31 Low Flow................................................................................................31 Flow-Duration Curve .........................................................................33 Hydrograph Separation ...................................................................33 iii TABLE OF CONTENTS TABLE OF CONTENTS, CONTINUED Surface Water Availability ............................................................... 34 Reservoirs .............................................................................................. 36 Groundwater Availability ................................................................ 38 Indiana’s Aquifers ..................................................................41 Summary of Water Availability ................................................. 44 Water Use ..................................................................... 45 Trends in Water Use .....................................................................45 Energy Production ................................................................... 48 Industry ........................................................................................ 48 Agriculture .................................................................................. 49 Public Supply .............................................................................. 50 Summary of Water Use ............................................................... 50 Estimating Future Demand ............................................ 51 Implementing the Approach ......................................................52 Anticipated Increases ..................................................................53 Sustainability .............................................................. 55 Sustainability of Groundwater ...................................................58 Groundwater Demands and Supplies in 2012 and 2050 ......... 60 Review of State Water Supply Planning .......................... 63 Common Themes in State Planning .......................................... 66 Conclusions .................................................................. 69 Key Findings .................................................................................69 Supply ...............................................................................69 North of the Wabash River, Water is Relatively Abundant ........................................................... 69 Central Indiana has Marginal Supplies ......................... 69 South of Indianapolis, Supplies are Only Locally Available .................................................................................. 70 iv WATER AND ECONOMIC DEVELOPMENT IN INDIANA: Modernizing the State’s Approach to a Critical Resource TABLE OF CONTENTS, CONTINUED Demand .............................................................................70 Groundwater Use is Increasing ....................................... 70 Irrigation is Expanding in Northern Indiana .............. 70 Public Supply Growth Drives Demand in Central Indiana ...................................................................... 70 Infrastructure Investment: Strategic, Not Opportunistic ................................................................71 Power and Industrial Use May Locally Increase and Continue to Dominate Other Uses Statewide ............71 Planning ............................................................................72 Conflicts Can Be Avoided .................................................. 72 Watersheds are Natural Planning Areas ...................... 72 Development Can Produce Jobs Near Existing Reservoirs .............................................................. 72 Instream Flow Needs Should Be Understood ........... 72 Conservation Plans are a Necessary Management Tool ....................................... 73 Recommendations ...............................................................73 Create Awareness About the Need for Water Supply Planning .................................................................................................73 Create Capacity to Coordinate Efforts ........................................ 74 Create a Robust System for Monitoring Water Resources ...75 Create a Standardized System for Data Analysis.....................76 Create Systems to Cooperatively Manage Water....................76 Allow Three Years to Prepare for Implementation .................77 Literature and Data Sources Cited .................................. 79 v TABLES & FIGURES Figures Figure 1. Comparison of Indiana’s economy to the national economy by sector ................................12 Figure 2. Indiana population from 1800 to 2013 ..............................................................................................19 Figure 3. Some climate models predict reduced flows in Midwestern streams ...................................20 Figure 4. Illustration of the relationship among the
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