Drinking Water Contamination

See 2004 to make adjustments!

 

In January 2004, the North Carolina Department of Toxic Substances Control began investigating groundwater contamination in Duplin County, North Carolina. Over the course of the investigation, the Department discovered that runoff from Seaboard Farms' hog operations contaminated drinking water wells. 80 percent of tested wells in Duplin, Onslow and Pender Counties were contaminated with nitrate above the drinking water standard.

The U.S. Environmental Protection Agency issued an emergency order requiring the counties to advise residents not to drink tap water until safe drinking water could be provided. The emergency order lasted for two weeks. Before the emergency order 5% of the residents suffered from "moderate" episodes of gastrointestinal illness. Each of these residents visited the hospital and fully recovered but lost one week of work. The greatest tragedy was that two residents were hospitalized with severe illnesses and did not recover. County wide businesses suffered a 30% loss of one month of "gross retail sales."

The plaintiff in the case, Duplin, Onslow, and Pender County Government, is suing the defendant, Seaboard Farms, Inc., to recover damages of

  1. lost lives | 2-50 year old men (college graduates); one family has two grown children and the spouse works; the other family has two young children and the spouse is a homemaker
  2. obtaining safe drinking water
  3. health symptoms
  4. passive-use values associated with altruism, and
  5. business interruption losses.

Population and Sales

Benefit Transfer

Passive Use Values

Drinking Water Benefits

Value of Statistical Lives

General


Note: This case is hypothetical and some aspects are counterfactual.