There is currently significant interest and some controversy with regard to restoring the historic tidal salt marsh ecosystem of the lower stretch of the West River, in New Haven, Connecticut. Both the interest and the controversy are related to the main component of the restoration: opening the tide gates that are located where the river crosses Route 1. Such an action could restore the site to a productive and diverse salt marsh, but it could also have negative impacts such as flooding of buildings and properties. In order for a balanced policy decision regarding the restoration project to be implemented, it is vital that the full array of impacts of the restoration, both positive and negative, be considered. A cost-benefit analysis is a useful framework to incorporate and weigh all of these impacts.

Such an analysis is complicated by the fact that many of the environmental benefits of the restoration, such as protecting wildlife, do not have a market price. Failing to include non-market environmental benefits in economic and policy-decision making results in inefficient use of natural resources and degradation of important ecosystems. Preserving these ecosystems requires that a price be estimated for their non-market benefits. Contingent valuation is crucial to this process, as it is currently the only tool to effectively measure non-market and non-use environmental values.

This project conducted a contingent valuation survey to measure the non-market benefits restoring the West River salt marsh. Residents in three New Haven neighborhoods adjacent to the West River (Hill, Edgewood, and Westville) were interviewed to determine their support for opening tidegates, and to obtain their willingness to pay for the restoration project. Strong support for opening the tidegates was found. A significant, positive value for willingness to pay for restoring the West River was obtained from the surveys, with a mean bid of $67.44, and a median bid of $25.00. Payment vehicle did not have e a statistically significant affect on willingness to pay: subjects responded similarly to the prospect of a tax increase or making a private donation. Among New Haven residents within the West River watershed, total non-market value for the restoration of the West River exceeded $940,000. These results show that there is substantial public value for a restored tidal salt marsh; furthermore, the restoration project could potentially accrue significant net benefits.