The Klamath Hydroelectric Settlement Agreement (KHSA) and the Klamath Basin Restoration Agreement (KBRA) call for the potential removal of four dams on the river and the restoration of fisheries and assurances of water deliveries for agricultural diverters.

Gallo’s study, which was commissioned by California Trout and PROSPER, includes inputs to the economy from construction activities – such as dam removal and hatchery construction – and restoration, monitoring and reintroduction activities, which are prescribed in the KBRA.

According to the report, Gallo used an economic input-output model, IMPLAN, to determine “the total impact on county and regional income and employment.” The estimated average business revenue for Siskiyou County over an 11-year period is $20,676,604, Gallo shows, based on local-level activities estimated to inject money into the county’s economy. Included in the estimate is an average increase in jobs over that same period of 298 full-and part-time jobs.

One of the largest benefactors, according to Gallo’s assessment, would be agriculture, due to the prescribed water delivery assurances in the KBRA. He did explain that further analysis would be necessary to fully assess the potential gain for agriculture, however.

Gallo also states that he believes the coastal counties would receive the most benefit from an increase in fish numbers, due to the use of their ports by commercial fishermen.

Gallo explains in the report that he believes the economic benefit estimate is conservative because it is based on the assumption that dam removal will cost approximately $60 million, noting that the KHSA calls for approximately $450 million for dam removal and some restoration activity.

Other assumptions listed in the report include an assumed doubling of the Chinook salmon population due to restoration activities and dam removal, as well as the assumption that outside contractors will be utilized for the dam removal itself.

Gallo also notes that the potential risks and costs associated with dam removal and KBRA activities were not assessed in the study.