Spruce Creek Lodge

The economic opportunity this lodge presents produces several consequences borne by neither the lodge owners nor potential visitors. In brief, the proposed lodge would involve the construction of 30 cabins and additional transportation routes. Denali National Park and Preserve is currently considering four options: 2 different road routes, an air access route, and a no-action alternative. All of the proposed options, minus the no-action alternatives, represent market failures.

The expansion of the lodge from 2 cabins to 30 would have several negative effects on the surrounding environment, independent of the transportation option chosen. Hiking, fishing, goldpanning, dogmushing, cross-country skiing, and snowshoeing by guests will cause most of the environmental disruption due to the lodge. The increased human presence in the area will encroach upon local wildlife, most notably nearby small mammals and fish. Large mammals tend to keep extensive home ranges, making the relatively small lodge less likely to inhibit their lifestyle.

The negative effects of the road construction and its use thereafter include the disruption of riparian wildlife, noise pollution, and displaced vegetation. Road construction crews will remove terrestrial vegetation in the process of expanding existing roads and creating new roads. This represents a one-time externality and will produce no lasting effects. Noise pollution will occur regularly due to passing automobiles but will last only briefly. The road construction will influence the river habitats the most. Each of the road alternatives would cross multiple streams up to 30 times, mainly in the form of fords. This will result in disruption of fish and river vegetation in the immediate area of the crossing because it will be contaminated by metal runoff from the road’s gravel and excess water currents (though insignificant relative to the naturally occuring fluctuations in water flow).

The air access route affects the environment much less than the proposed roads. Intermittent noise pollution and an expansion of the current landing strip are the only environmental consequences associated with it.