Climate Change Adaptation Plan:

U.S. Department of the Treasury

Prepared by:

U.S. Department of the Treasury

Departmental Offices

Office of Environment, Health, and Safety

June 2014
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Executive Summary

Climate change is one of the most significant events to face our nation. Its impacts are 

difficult to predict, vary greatly from region to region, and will influence civilization for 

the foreseeable future. As the science increasingly confirms the existence of 

anthropomorphic climate change, it is apparent that action must be taken to prepare for 

the effects of a warming planet.

The U.S. Department of the Treasury recognizes that climate change will be one of the 

major challenges of the 21st century and assumes aspects of its operations and mission 

will be impacted by changes in climate, sea level rise, increased energetic weather events, 

and energy availability. Taking a comprehensive approach which incorporates new 

knowledge, risk assessment, and changing conditions, Treasury is and will continue to 

work to adapt facility operations and programs to accomplish our mission.

Our goal is to develop practical, nationally consistent, legally justifiable, and cost 

effective measures, both structural and nonstructural, to reduce our vulnerability, while 

increasing our resilience to climate change. We are engaged in a collaborative approach,

partnering with other federal agencies. This collaboration takes advantage of our different 

perspectives and expertise so that our progress reflects the best available and actionable 

science. We are developing and implementing plans, policies, and infrastructure 

adaptation in parallel, rather than sequentially, so that adaptation begins soonest for 

projects that are most vulnerable. We will refine our adaptation based on any new 

knowledge that is gained. 

This report also provides details on current adaptation planning and implementation 

progress. We believe that the scope, collaboration, and the resources applied to climate 

change adaptation planning demonstrate the importance Treasury has placed on this 

critical challenge to the sustainability of our mission, operation, and our responsibility to 

the nation.
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TABLE OF CONTENTS

Contents

EXECUTIVE SUMMARY.................................................................................................................... 2

1 TREASURY CLIMATE CHANGE ADAPTATION PLAN ................................................ 3

1.1 POLICY STATEMENT FOR CLIMATE CHANGE ADAPTATION ............................................... 3

1.2 INTRODUCTION ...................................................................................................................... 7

1.3 CHALLENGES ........................................................................................................................ 9

2 VULNERABILITY ASSESSMENT .................................................................................... 11

2.1 TREASURY MISSION AND FUNCTIONS ............................................................................... 11

2.2 CLIMATE CHANGE IMPACTS TO TREASURY’S MISSION.................................................... 12

2.2.1 DRIVERS ........................................................................................................................... 12

2.2.2 IMPACTS ........................................................................................................................... 12

2.3 MANAGING IMPACTS TO STRATEGIC MISSIONS AND GOALS........................................... 13

2.4 AGENCIES WITH SIMILAR CLIMATE CHANGE IMPACTS AND MANAGEMENT CHALLENGES

14

2.5 TREASURY COLLABORATION AND COORDINATION .......................................................... 15

3 TREASURY CLIMATE CHANGE ADAPTATION PLANNING AND 

IMPLEMENTATION................................................................................................................... 16

3.1 TREASURY ACCOMPLISHMENTS TO DATE......................................................................... 16

3.2 INTEGRATING ADAPTATION AND MITIGATION ................................................................... 17

3.3 CONSIDERATIONS FOR IMPROVING CLIMATE ADAPTATION AND RESILIENCE ................ 18

3.4 RISK-INFORMED DECISION-MAKING FOR CLIMATE CHANGE .......................................... 19

3.4.1 RISKS TO MISSION, OPERATIONS, AND PROGRAMS ..................................................... 19

4 SUMMARY............................................................................................................................ 23

1 Treasury Climate Change Adaptation Plan

1.1 Policy Statement for Climate Change Adaptation

I. Background:
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The Department of the Treasury (Treasury) is the executive agency responsible for

promoting economic growth, creating job opportunities and ensuring the financial

security of the United States. Treasury is responsible for a wide range of activities,

including advising the President on economic issues, encouraging sustainable

economic growth, and fostering improved governance in financial institutions.

Treasury's operation of coin and currency production, disbursement of payments to the

public, revenue collection, and borrowing activities are all critical to the nation's 

financial strength and stability.

The effects of climate change on Treasury's operations and facilities are difficult to

forecast. Climate change-related events are becoming more common and their

effects could significantly impact Treasury's ability to fulfill its mission.

Therefore, climate change adaptation is a necessary complement to mitigation;

both are required to build resilience to climate change.

II. Purpose:

a) Adaptation planning will allow Treasury to minimize the negative impacts of

climate change that are already occurring and increase resilience to these impacts.

b) Through adaptation planning, Treasury will identify how climate change is likely

to impact its ability to achieve its mission, operate its facilities, and meet its policy

and program objectives in the future. Through adaptation planning Treasury will

develop, prioritize, implement, and evaluate actions to moderate climate change

risks and exploit any new opportunities that climate change may bring.

c) Management decisions made in response to climate change impacts must be

informed by science and require that scientists work with those managers who are

confronting climate change impacts and evaluating options to respond to them. By

integrating climate change adaptation strategies into its programs and operations,

Treasury helps ensure it invests taxpayer resources wisely and that Treasury

services and operations remain effective in current and future climate conditions.

d) Through climate adaptation planning, Treasury is contributing to the federal

government's leadership role in sustainability and pursuing the vision of a resilient,

healthy, and prosperous Nation in the face of a changing climate.

e) The goal of this policy is to help Treasury execute its mission and operations

securely, effectively, and efficiently even as climate changes occur.

Ill. Vision:

a) This policy directs Treasury Bureaus to integrate climate change adaptation

planning and actions into their programs, policies, and operations.

b) Treasury Departmental Offices shall undertake climate change adaptation planning,

in consultation with its Treasury Bureaus, and implement the results of that planning

using the best available science and information. Treasury shall consider potential

climate change impacts when undertaking long-term planning, setting priorities for
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scientific research and investigations, and making decisions affecting Treasury

resources, programs, policies, and operations.

c) Treasury shall update its climate adaptation plan on a regular basis. The plan

shall include each of Treasury's bureaus, as appropriate, and incorporate the findings

and directives of this policy. The plan shall identify how climate change may impact

Treasury's ability to achieve its mission, programs, policies, and operations. The plan

shall identify and prioritize actions and establish a mechanism to evaluate progress

and continue to improve Treasury's capacity to adapt to current and future changes

in the climate effectively.

d) Each Treasury bureau shall, in a manner consistent and compatible with its mission:

i. analyze how climate change may impact the bureau's ability to achieve

its mission, policy, program, and operation objectives by reviewing existing

programs, operations, policies, and authorities to: (1) identify potential impacts

of climate change on the component's areas of responsibility; (2) prioritize and

implement response actions; and (3) continuously assess and improve capacity

to adapt to current and future changes in the climate.

ii. identify to the Treasury Office of Performance Budgeting through the

annual budget process areas where budget adjustments are necessary to

carry out the actions identified under this policy.

iii. identify for its Chief Counsel and, as appropriate, the Treasury Office

of the General Counsel areas where legal analysis is needed to carry out

actions identified under this policy.

iv. coordinate actions with the Treasury Climate Change Adaptation

Work Group established in Section Ill below.

e) Treasury shall fully implement the principles and guidance outlined in Executive Order

13514, Federal Leadership in Environmental, Energy, and Economic Performance, and

Executive Order 13653, Preparing the United States for the Impacts of Climate Change,

to include any related implementing instructions, and other applicable authorities.

f) Treasury shall apply the guiding principles and planning framework for climate

change adaptation found in the Progress Report of the Interagency Climate Change

Adaptation Task Force: Recommended Actions in Support of a National Climate

Change Adaptation Strategy.

g) Treasury shall coordinate with other agencies and interagency efforts, including

the Interagency Climate Change Adaptation Task Force, on climate change

adaptation issues that cut across agency jurisdictions, including areas where national

adaptation plans are being or have been developed, and shall identify a process for

sharing climate change adaptation planning information throughout the agency and

with the public.

IV. Agency Coordination and Implementation
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a. The Senior Sustainability Officer is responsible for ensuring the implementation of all

aspects of this policy. This policy does not alter or affect any existing duty or authority of

individual components or offices.

b. Through this policy, the Senior Sustainability Officer establishes the Treasury

Climate Change Adaptation Work Group to oversee and coordinate agency-wide 

climate change adaptation planning and implementation. The Departmental Offices'

Environmental Program Manager chairs the Work Group, which will include

representation from each bureau, as appropriate.

c. This policy is effective immediately and will remain in effect until it is amended,

superseded, or revoked.

Nani Coloretti, Assistant Secretary for Management
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1.2 Introduction

The Treasury Department is the executive agency responsible for promoting economic 

prosperity and ensuring the financial security of the United States, and is organized into 

the Departmental Offices, eight operating bureaus, and three independent inspectors 

general. The Departmental Offices are primarily responsible for economic and financial 

policy formulation, while the bureaus are chiefly the operating units of the organization.

Departmental Offices

The Departmental Offices (DO) are the headquarters component of the Department of the 

Treasury. DO is comprised of 8 separate policy management units. These are:

Domestic Finance promotes economic growth and stability by developing and executing 

policies and guidance in the areas of financial institutions, federal debt finance, financial 

regulation, capital markets, financial management, fiscal policy, and cash management. 

Domestic Finance also includes the Federal Insurance Office, created by the Dodd-Frank 

Wall Street Reform and Consumer Protection Act, and the Office of Financial Stability, 

which is responsible for overseeing the Troubled Asset Relief Program (TARP). The 

office supports the work of the Financial Stability Oversight Council (FSOC), with a 

dedicated policy office that functions as a secretariat for the FSOC, and the Office of 

Financial Research.

International Affairs protects and supports U.S. economic prosperity by strengthening the 

external environment for U.S. growth, preventing and mitigating global financial 

instability, and managing key global challenges. In addition, International Affairs 

manages the U.S. position in the Groups of Seven (G-7) and Twenty (G-20), the 

Multilateral Development Banks, the International Monetary Fund (IMF), the strategic & 

economic dialogue with China, and numerous other international and bilateral fora.

Terrorism and Financial Intelligence (TFI) marshals the Department's intelligence and 

enforcement functions with the dual aim of safeguarding the financial system against 

illicit use and combating intransigent regimes, terrorist facilitators, money launderers, 

drug kingpins, and other national security threats.

Economic Policy reports on current and prospective economic developments and plays a 

critical role in the determination of appropriate economic policies. The office is 

responsible for the review and analysis of domestic economic issues as well as changes 

and trends in the financial and housing markets. Economic Policy also plays an important 

role in the development of the President's Budget each year.

Tax Policy develops and implements tax policy and programs; reviews regulation, 

guidance, and rulings to administer the Internal Revenue Code; negotiates tax treaties; 

and provides economic and legal analysis for domestic and international tax policy 

decisions. Tax Policy also provides revenue estimates for the President's Budget.
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Treasurer of the United States has oversight over the US. Mint and the Bureau of 

Engraving and Printing, and is a key liaison with the Board of Governors of the Federal 

Reserve System.

Community Development Financial Institutions (CDFI) Fund expands the capacity of 

community development financial institutions and community development entities to 

provide credit, capital, tax credit allocations, and financial services to underserved 

domestic populations and communities.

Management/CFO is responsible for managing the Department's financial resources and 

oversees Treasury-wide programs, including human capital, information technology, and 

acquisition management. The Assistant Secretary for Management also serves as the 

Director of the Office of Small and Disadvantaged Business Utilization (OSDBU).

Other Offices

Other support programs include Executive Direction, which is largely comprised of the 

Offices of General Counsel, Legislative Affairs, and Public Affairs.

Inspectors General

There are three independent offices of inspectors general: the Treasury Inspector General, 

the Treasury Inspector General for Tax Administration (TIGTA), and the Special 

Inspector General for the Troubled Asset Relief Program (SIGTARP).They provide 

independent audits, investigations, and oversight of the Department of the Treasury and 

its programs.

Bureaus

Treasury's bureaus employ 98 percent of the Department's workforce and are responsible 

for carrying out specific operations assigned to the Department.

The Internal Revenue Service (IRS) is the largest of the Department's bureaus and 

determines, assesses, and collects tax revenue for the federal government while assisting 

taxpayers in complying with their obligations.

The Office of the Comptroller of the Currency (OCC) charters, regulates, and supervises 

national banks and federal savings institutions to ensure compliance with consumer laws 

and regulations and a safe, sound, and competitive banking system that supports citizens, 

communities, and the economy.

The Bureau of the Fiscal Service (Fiscal Services) was formed from the consolidation of 

the Financial Management Service and the Bureau of the Public Debt. Its mission is to 

promote the financial integrity and operational efficiency of the U.S. government through 

exceptional accounting, financing, collections, payments, and shared services.
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The United States Mint (Mint) manufactures and distributes circulating coins, precious 

metal and collectible coins, and national medals. The United States Mint also maintains 

physical custody and protection of most of the nation's gold and silver reserves.

The Bureau of Engraving and Printing (BEP) designs and manufactures high-quality 

currency notes and other financial documents that deter counterfeiting and meet customer 

requirements for quality, quantity, performance, and accessibility.

The Financial Crimes Enforcement Network (FinCEN) safeguards the financial system 

from the abuses of financial crime, including terrorist financing, money laundering, and 

other illicit activity by administering the Bank Secrecy Act (BSA) and maintaining the 

BSA data system.

The Alcohol and Tobacco Tax and Trade Bureau (TTB) collects Federal excise taxes on 

alcohol, tobacco, firearms, and ammunition and assures compliance with tobacco 

permitting and alcohol permitting, labeling, and marketing requirements to protect 

consumers.

This report presents information required by Executive Orders 13514, Federal 

Leadership in Environmental, Energy, and Economic Performance, and Executive Order 

13653, Preparing the United States for the Impacts of Climate Change. In addition to the 

Treasury Adaptation Policy Statement, we also present a plan to assess vulnerability to 

climate change, while contributing to adaptation planning, implementation, and 

resilience.

1.3 Challenges

Treasury considers global changes in climate resulting in localized impact a significant 

issue. Such challenges include demographic shifts and land use, world population, aging 

infrastructure, persistent conflict, declining biodiversity, globalization, and changing 

social values and economic conditions (USACE 2011). Alone, these changes can have 

significant impacts; however they can also combine in unpredictable ways, resulting in

potentially surprising and/or abrupt changes that threaten public health and safety.

Resource shortages have the potential to affect Treasury’s ability to carry out its mission

as well. Although climate science has improved greatly in the last decade, applying the 

information in a meaningful way at the regional/local level remains a challenge. Specific 

affect is not yet possible and additive crises remain difficult to plan for.

Treasury also recognizes that collaboration, both nationally and internationally, is the 

most effective way to develop practical, consistent, and cost‐effective measures to reduce 

potential vulnerabilities resulting from global changes (Stockton and White 2011). We 

will continue to work closely with other agencies having aligned mission areas to take 
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advantage of any synergies. Our Climate Change Adaptation Plan is a living document 

and will be updated as initiatives and developments warrant such. 
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2 Vulnerability Assessment

2.1 Treasury Mission and Functions

Treasury’s mission is to maintain a strong economy and create economic and job 

opportunities by promoting conditions that enable economic growth and stability at home 

and abroad, strengthen national security by combating threats and protecting the integrity 

of the financial system, and manage the U.S. Government’s finances and resources. This

highlights its role as the steward of U.S. economic and financial systems, and as an 

influential participant in the world economy.

Focused on promoting economic prosperity and ensuring the financial security of the 

United States, the Department is responsible for a wide range of activities, including 

advising the President on economic issues, encouraging sustainable economic growth, 

and helping ensure a stable financial system. Treasury operates and administers systems 

that are critical to the nation’s financial infrastructure, such as disbursing payments to the 

American public, collecting taxes, producing coins and currency, and issuing debt 

necessary to run the federal government. The Department’s basic functions include:

 Managing federal finances.

 Collecting taxes, duties, and monies paid to and due to the United States.

 Pay the bills of the United States.

 Producing currency and coinage.

 Managing government accounts and the public debt.

 Supervising national banks and thrift institutions.

 Formulating financial, economic, trade, and tax policies.

 Enforcing federal finance and tax laws.

 Investigating and prosecuting tax evaders, counterfeiters and forgers.

 Contributing to national security by combating illicit financial networks and 

protecting the integrity of the U.S. and global financial system. 

Treasury works with other federal agencies, foreign governments, public stakeholders, 

and international financial institutions to encourage global economic growth, raise 

standards of living, protect the financial system from abuse, and to the extent possible, 

anticipate and mitigate the consequences of economic and financial crises. While these 

strategic goals are primarily related to finance and maintaining a strong economy, the

stability of the Department’s facilities and related infrastructure are vitally important.

In order for Treasury to achieve its mission, protection of its facilities from the adverse 

effects of climate change must be a priority. The Department of the Treasury’s Strategic 

Plan states that unanticipated challenges or sudden crises can place significant demands 

on the Department. Climate Change is one external factor that could have a significant 

impact on Treasury’s ability to achieve its strategic goals. 
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2.2 Climate Change Impacts to Treasury’s Mission

We believe that by understanding the drivers and impacts associated with climate and 

other global changes, and their influence on our strategic mission and goals, Treasury 

will increase its resilience and remain operational. Next we consider major climate 

change impacts that may significantly reduce our ability to meet our mission

requirements. Such vulnerability assessment is classically referred to as risk analysis, 

and which we employee here.

2.2.1 Drivers

The primary drivers of climate change impacts that could affect Treasury’s mission are 

changing temperature and precipitation regimes, increasing global sea level, and 

associated physical processes (Brekke et al. 2009). Changing temperatures affect the 

form of precipitation, evapotranspiration, and sea-surface temperatures. Altered 

evapotranspiration from vegetation and land surfaces can impact the amount of water 

reaching streams, lakes, and reservoirs. Changes in sea-surface temperatures can alter 

ocean and atmospheric circulation and affect the intensity and frequency of coastal 

storms.

Precipitation changes are expected to differ across the country, with some areas receiving 

more and others receiving less. There may also be changes in seasonal patterns and 

extremes of precipitation. Depending on location, precipitation changes could lead to 

more climate variability and more frequent occurrence of extreme events such as 

droughts and floods. 

2.2.2 Impacts

Potential impacts include changing water availability, demand, and quality; weather 

pattern changes and an increase in severe weather events; ecosystem or species 

transitions or alterations; coastal and estuarine conditions; and energy production and 

demand. Appendix F in the Federal Agency Climate Change Adaptation Planning, 

Support Document, dated March 4, 2011, provides a comprehensive list of climate 

change impacts.

For the purpose of this plan, we have outlined potential climate change impacts 

associated with the drivers discussed above that could influence the key areas of energy 

disruption, currency production, environment, population migration, and potential 

employee impacts. These impacts are shown in Table 1, along with the key areas they 

are expected to impact.
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Table 1. Potential Climate Change Impacts to key Treasury Functions.

Climate Change Impact

Affected 

Aspect*

Increasing

average air

temperature

Change in form of precipitation (snow vs. rain) E, M

Changes in ecosystem structure and function E

Changes in invasive species or pest distribution E, M

Changes in geographic range and incidence of vector-borne, 

waterborne, and zoonotic diseases M, I

Reduced efficiency and generating capacity of power plants P, C

Changes in energy demand P, C, E

Altered ocean circulation → changing tide & surge regimes E, M

Increased extreme events → heat waves, cold waves, ice

storms, blizzards, dust storms E, M, I

Changing persistence of large--‐scale atmospheric features E

Changing 

precipitation: 

increasing 

variability,

altered 

seasonality, and 

changing

intensity or

frequency of

extremes (flood

and drought)

Changing or more variable municipal & industrial water supplies C, M, I

Changing water conditions for ecosystems E

Changing frequency of coastal and riverine flooding E, M, I

Changes in stormwater runoff E

Changes in drought frequency and intensity E, M, I

Changing levels of pollutants in runoff E

Changes in snowmelt onset and volume E

Sea Level and 

coastal storm 

changes and 

associated tides, 

waves, and surges

Increased storm waves, surges, tides E, I

Changes in estuarine structure and processes E

Altered saline intrusion into coastal aquifers E, M

Inundation of low--‐lying land E, M, I

Changes in wind regimes E

Changes in ecosystem structure and species distributions,

including invasive species and pests

E, M, I

*

P=Potential Power Disruption, C =Currency Production, E=Environment, M =Population Migration

I =Potential Employee Impacts

Additional information regarding areas of potential climate change and their effects are 

described in Appendix A. 

2.3 Managing Impacts to Strategic Missions and Goals

Our expectation that understanding climate change related drivers and their impacts on 

our mission is clearly aligned with the concept of adaptation, which is “Adjustment in 
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natural or human systems to a new or changing environment that exploits beneficial 

opportunities or moderates negative effects.” (CEQ 2010).

Treasury is taking a collaborative approach. This has required a new attitude of

partnering between agencies that recognizes the value of our different perspectives and 

expertise so that guidance reflects the best available, and actionable, science. We are 

developing and implementing plans, policies, and infrastructure adaptation in parallel, 

rather than sequentially, so that adaptation begins sooner in areas that are most 

vulnerable. The Department is taking a phased approach that allows us to identify 

uncertainties, so that we begin adaptation in areas where uncertainties are relatively 

small. Thus, risk of adverse consequences is lower. Treasury seeks to describe the future 

in ways that are compatible with our need for economic analyses, and that encompass all 

of the processes affecting our projects and facilities, including socio‐economic and 

environmental. Finally, our adaptation planning and implementation must be credible, 

relying on logical, rational, and legally justifiable methods, processes, and policies. 

2.4 Agencies with Similar Climate Change Impacts and 

Management Challenges

Treasury administrative and policy offices will encounter issues similar to other federal 

agencies including: USDA-Rural Development; Housing and Urban Development 

(HUD); Small Business Administration (SBA) and others. Since these agencies operate 

primarily from office buildings, they would face climate change challenges associated 

with those types of structures. These could include: the need to monitor and track 

employee health impacted by climate change (especially disease, heat induced illness, 

and water shortages); population migration caused by floods, drought, and extreme heat 

and potential infrastructure impacts (utilities, transportation).

Within Treasury, the Mint and BEP have comparable missions and face similar climate 

change impacts, and management challenges. Their mission is to supply the United States 

with sufficient coinage and currency for commerce. Challenges in the supply chain 

(energy, raw materials, and water supplies) as a result of climate change could impede 

this mission in the future.

The IRS collects Federal Insurance Contributions Act (FICA) taxes from workers for the 

Social Security Administration. These are insurance premiums that protect workers and 

covered family members in times of need. Both agencies track employee earnings and 

mailing addresses which could be made more difficult if people are forced to frequently 

move due to extreme weather events. 
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2.5 Treasury Collaboration and Coordination

Treasury has identified areas of shared activities where possible collaboration could 

occur in the future. Treasury is currently assessing the number of mission critical and 

mission dependent sites/facilities that are leased from or through GSA. Treasury intends 

to partner directly with GSA to address the vulnerabilities of these sites and facilities to 

incremental climate change and variability.

Current Treasury collaborations are ongoing within the IRS and include: 

 The Center for Disease Control and Prevention (CDC) has contingency plans in 

place to distribute vaccinations through IRS offices during a pandemic. 

 The IRS provides free tax assistance at Federal Emergency Management Agency 

(FEMA) Disaster Recovery Centers. 

 The Small Business Administration provides financial assistance to businesses 

located in declared disaster areas which parallels IRS special tax law provisions to 

assist with business financial recovery after natural disasters.

 IRS is participating in CEQ’s workgroup to coordinate a federal response to 

drought conditions in California (the workgroup is led by GSA and EPA Regional 

Administrators). This group will work with local and state authorities to 

coordinate an effective federal response.

 IRS is cooperating with a GSA Federal Triangle Flood Mitigation Study to 

determine vulnerabilities and mitigation strategies for future flood events in the 

DC Federal Triangle area as was experienced in 2006. The GSA study will 

identify means by which each building can be hardened to prevent flood waters 

from inundating the building while limiting the impact to the historic fabric. 

 For the IRS Main Headquarters building at 1111 Constitution Avenue, NW, GSA 

successfully tested a moat gate installed inside the existing moat at Constitution 

Avenue and 12th Street. 

 IRS participates in the Treasury Climate Change Adaptation Workgroup whose 

members work to address climate change adaptation and resilience planning 

throughout Treasury. 

 IRS has attended interagency workshops on Building a Climate Resilient National 

Capital Region. These workshops have included representatives from federal 

agencies, local government, and non-profits.

 Recently, IRS participated in a GSA-led workshop focusing on potential risks to 

infrastructure and telecom systems in the event of extreme heat events and sea 

level rise in DC. 

BEP participates in Treasury and EPA workgroups on climate change assessment and 

adaptation to gather information to better understand potential impacts of climate change 

on BEP facilities and operations. They then share this information with other 

organizations where possible and when requested. Some examples include:

 Participating in a NOAA workshop on climate change impacts on federal 

facilities in Washington, D.C. 
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 Reviewing climate change information developed by the Metropolitan 

Washington Council of Governments. 

Information from future assessments of staff, operations, and facility vulnerability to 

climate change will be shared with other local agencies and entities to promote consistent 

planning and a joint response when possible. Treasury will remain diligent in efforts to 

leverage opportunities that support and encourage climate resilient investments by 

providing incentives through guidance, and grants where possible.

3 Treasury Climate Change Adaptation Planning and 

Implementation

3.1 Treasury Accomplishments to Date

Treasury has taken steps to help manage the effects of climate change in certain areas. 

Some previous and ongoing efforts include:

 Emergency electricity generators and back up batteries to power key facilities in 

the event of power outages.

 Refinement of incident command and continuity of operations plans.

 Increased use of telework and flexible workspace.

 Vulnerability assessments are ongoing.

Because IRS represents such a large proportion of the total Treasury workforce, they 

have several actions already underway to support climate change adaptation

 Use of temporary Tax Assistance Centers in disaster areas (IRS).

 Postponing tax filings in areas that are declared natural disasters.

 Special tax law provisions to help taxpayers and businesses recover financially 

from the impact of natural disasters.

 IRS Real Estate and Facilities Management (REFM) has conducted a preliminary 

assessment of vulnerable facilities (see 3.4.1). Moving forward, REFM plans to 

work with other relevant IRS stakeholders to address risks at these facilities, as 

appropriate; these stakeholders may include Physical Security & Emergency 

Preparedness, Employee Support Services, the Human Capital Office and/or 

additional groups. 

 IRS telework efforts and the Treasury climate change adaptation workgroup are 

ongoing. Headquarters REFM has the lead on recently initiated communications 

and response strategies. Additional interagency efforts were recently initiated with 

field offices and other business divisions possibly being engaged for support.

 Specifically for the Fresno campus, IRS is participating in a multi-agency federal 

workgroup to assess responses to drought conditions in California. 
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 The 2012 National Agreement between the IRS and the National Treasury 

Employees Union (NTEU) greatly expanded the list of positions in IRS meeting 

eligibility requirements for frequent telework. The IRS Human Capital office has 

expanded telework eligibility to more occupations within the agency. Workstation 

sharing will facilitate expanded use of telework and less reliance on physical 

agency offices, which will promote continuity of operations in response to climate 

change events. 

 Workstation sharing will also serve to promote space reduction efforts at IRS, 

further reducing the reliance on office space by allowing for the closure of smaller 

offices that could also be vulnerable. These efforts have three primary goals: 

1) Enhance IRS emergency response capability and employee awareness.

2) Promote continuity of operations and reduce dependency on office 

space.

3) Mitigate potential damage due to climate change events.

Other bureaus have recently completed or have on-going actions that will add to their 

overall resilience to climate change:

 Based on BEP’s assessment, there may be an increased risk of flooding

associated with sea level rise and storm surge. District of Columbia flood 

insurance risk maps indicate the facility is within an area that would be 

impacted by a category 4 storm surge. BEP reviewed the potential impact 

of sea level rise using the Climate Central sea level rise analysis maps for 

Washington, DC, which suggested that a sea level rise of 10 feet or greater 

would be required to impact the facility. BEP plans to hire a contractor to 

conduct a more detailed analysis of this risk during FY15. The results of 

this study will help the BEP determine what actions should be taken to 

mitigate any risks.

 The Mint and BEP are implementing energy and water efficiency projects 

to reduce their use of these critical resources thus decreasing their 

exposure to the risks associated with insufficient energy and water 

supplies. 

 The Mint maintains a contingency stock of finished coins and materials to 

ensure a sufficient supply to meet the needs of the American people in the 

event of a production disruption.

 Waterproofing the areas around indoor pad-mounted electrical 

transformers has recently been completed by Departmental Offices in the 

Main Treasury building. Future plans include moving data center servers 

off-site. Employees who are “telework-ready” will be encouraged to 

telework during a significant event.

3.2 Integrating Adaptation and Mitigation

Carbon dioxide emissions are a primary focus of Treasury’s mitigation strategies. These 

include improving energy efficiency and using energy sources that produce less or even 
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zero carbon dioxide. Choices made about emissions reductions now and over the next 

few decades will have far reaching consequences for climate-change impacts. The global 

climate change threats facing Treasury facilities and programs are complex. Efforts to 

adapt to the effects of climate change must be evaluated with many factors in mind, 

including GHG emissions reductions, resource conservation measures, budget 

restrictions, and competing priorities.

3.3 Considerations for Improving Climate Adaptation and 

Resilience

Treasury continues to identify efforts to incorporated climate adaptation and resilience 

into procurement, acquisition, real property/leasing decisions. Primary responsibility for 

planning and implementing these activities fall on the individual bureaus. Examples 

include:

 IRS data centers are typically equipped with access to Uninterruptible Power 

Supply (UPS) systems; the UPS provides short-term emergency power to allow 

time for employees to shut down critical equipment in the event of a power 

failure. To the extent possible, critical equipment is often connected to redundant 

power supplies, so that if one piece of equipment fails, it can be supplied from 

another. However, even with these safeguards, data center equipment would be 

susceptible to facility-wide events affecting all equipment.

 Any future BEP acquisitions or leases are expected to utilize GSA processes and 

will include evaluation of the location of critical systems within the facility to 

minimize flood risk. The infrastructure for BEP’s existing facilities is believed to 

have sufficient design capacity to withstand projected near to medium-term 

changes in heating and cooling load associated with climate change. BEP 

upgraded the back-up power system to its DC Facility in 2011.

 Climate change effects are not expected to impact BEP’s ability to procure critical 

materials such as currency inks or paper for the production of currency; however, 

climate change may lead to increased droughts and higher costs for water. BEP’s 

production process uses a substantial amount of water to clean inks from presses 

as they operate. BEP is currently installing a recycling plant at the DC Facility 

that will reduce water use for this process by 90-95%. An additional recycling 

plant is expected to be installed at BEP’s Western Currency Facility (WCF) after 

FY2016.

 All future BFS facilities that are constructed will be equipped with generator 

power and a secondary source of power if cost effective or available.

 Back-up generators are in place for Main Treasury and Annex with a contract in 

place to supply diesel fuel in the event of long-term use. The Main Treasury

generators can operate 8 hours on a full fuel load at maximum power. The

generators only supply key areas of Main Treasury, not the entire building. 

Annex generators (2@1000 kW each) power the entire building. All generators 

operate on diesel fuel and a contract is in place to supply fuel in the event of longterm use.
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At this time, Treasury has not detected any barriers to investments. However, we will 

continue to improve processes that will ensure such barriers will be identified as part of 

future actions that include adaptation planning. In addition, Treasury has not identified 

policies or funding programs that increase the vulnerability of built systems, economic 

sectors, or communities to climate change related risks.

3.4 Risk-Informed Decision-Making For Climate Change

Treasury is exploring ways to incorporate climate change uncertainties into decision 

making. One method is a single risk management framework currently being developed 

by the US Army Corps of Engineers (Krewe, 2008). It enables the development of 

broadly applicable and transparent processes that take into consideration climate change. 

The framework is systematic, scalable, simple and flexible and can be applied at the 

project level. It is intended to be applied across the entire project life-cycle, since climate 

change uncertainty may require making sequential decisions over time and updating 

design and plans to incorporate new and changing information.

The risk assessment approach includes consequence and likelihood assessment. The 

framework can employ qualitative and/or quantitative techniques for risk analysis and 

outlines how to choose an approach. It also describes formulation of risk management 

alternatives under changing conditions, an important consideration for climate change 

adaptation. The framework emphasizes the need for stakeholder involvement throughout 

the decision process. The risk management framework will be a foundation for 

developing strategies to incorporate climate change into the decision making processes at 

Treasury.

3.4.1 Risks to Mission, Operations, and Programs

Potential risks to Treasury’s mission, operations, and programs could be wide-ranging 

based on the degree of climate change induced impacts that occur. One potential impact 

that is seen as a significant risk is the anticipated stress on the electricity grid from air 

conditioning systems during extreme heat events. Interruptions to the power supply 

caused by brownouts and blackouts have the potential to cause severe disruptions to all 

Treasury activities. Other potentially damaging impacts include:

 Supply chain interruptions.

 Fuel supplies for long term generator use may not be sustainable.

 Employee health may be affected by temperature extremes and vector-borne and 

water –borne diseases.

 Water supplies may become unreliable. 

 Telecommunications failure.

 Water infiltration/flooding causing failure of below grade electrical systems.

 Damage to transportation infrastructure.
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IRS leases all of its facilities through GSA and has delegated operations and maintenance 

authority at 10 facilities. In assessing the risk of climate change on mission and 

operations, IRS has focused primarily on the main campuses and data centers, both 

because of their risk factors and because of the size and significance of their operations. 

The potentially vulnerable sites identified are:

 Brookhaven, NY campus 

 Fresno, CA campus 

 Martinsburg, WV Computing Center 

 Memphis, TN Computing Center

 Washington, DC Headquarters 

These sites were chosen based on the following criteria:

 Susceptibility to climate change-related incidents:

o Proximity to coasts.

o Recent exposure to extreme weather.

o Susceptibility to storms, severe weather, and negative effects of weather 

events (flood, drought, power loss).

 Risk of impact from climate change-related incidents:

o Reliance on public transportation systems.

o Number of employees affected.

o Extent of systems impacted (IRS, Treasury, TIGTA).

o Mission critical and/or Headquarters operations.

o Cost of failure (tax interface, employee systems, sensitivity of data).

Additionally, as climate change increases the risk of severe weather events across the 

country, IRS anticipates an increase in the rate of office damage, impacts to building 

operations, and temporary closures, both in the large campuses and smaller posts of duty 

(PODs). This could include droughts, severe storms, hurricanes, floods, and extreme heat 

events. 

 Droughts: Impact on facility maintenance, including landscaping at leased 

facilities where IRS has operations and maintenance authority.

 Severe storms, hurricanes, and floods: Potential for building damage, closure, and 

power loss resulting from flooding or wind. Also the potential for storms to 

impact roads/public transportation systems, impacting employees’ ability to get to 

work.

 Extreme heat: Most facilities can operate at 100 degrees outside temperature, 

assuming continuity of power and air conditioning. Unknown if this could 

continue over several weeks. Telecomm equipment endurance above 90 degrees 

inside the building is questionable.
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In the long-term, IRS anticipates a greater potential for more sustained damage to 

facilities due to increases in frequency of the events described above, as well as the 

potential for sea-level rise to impact some facilities. IRS Real Estate & Facilities 

Management staff is also building an internal contact network including employees from 

other business divisions, and is considering internal communications strategies. 

The Bureau of Engraving and Printing maintains its manufacturing/production facilities 

in Washington, DC and Fort Worth, Texas, with a warehouse in Landover, MD. Risks 

and possible mitigation to climate change effects include:

 BEP has assessed the risk of climate change to its facilities using a qualitative risk 

assessment tool provided by the Department of the Treasury that looks at both 

near term and longer term vulnerabilities from climate change. 

 BEP personnel participate on the Department of the Treasury Climate Change 

Adaptation Working Group and EPA’s Federal Adaptation Community of 

Practice, as well as information sharing events that focus on climate change 

impacts and adaptation. These provide BEP with information to help ensure that 

regional and local vulnerabilities that have the potential to affect the Bureau’s 

mission are identified, and to build capacity among Bureau personnel through 

education and awareness training.

The Bureau of Fiscal Services’ DC (Liberty Center) and Hyattsville facilities will 

experience impacts to operations and programs similar to all agencies operating in the 

DC area. The Hyattsville and Liberty Center facilities are equipped with backup 

generators and secondary sources of power. Staffing issues could be problematic if 

transportation infrastructure has been affected. Telework-ready employees could 

telework on a short-term basis.

Anticipated risks from climate change related impacts and mitigation activities at other 

Fiscal facilities are listed below:

 Parkersburg - The threat of high water could create issues with transportation of 

staff due to numerous rivers and streams in the surrounding areas. The Third 

Street data center is on a back-up generator and uninterruptible power supply 

(UPS). The main building has two independent power feeds. The Avery Street 

building has no backup power. Telework-ready employees could telework on a 

short-term basis.

 Birmingham - New construction is underway that will provide a stand-alone 

facility that will have UPS and generator coverage. Telework-ready employees 

could telework on a short-term basis. Concrete construction provides some 

protection against hurricanes, tropical storms, and tornadoes.

 Austin - The facility has a generator in place. Telework-ready employees could 

telework on a short-term basis.

 Kansas City - The facility is used primarily to print and mail checks. The power 

supply is backed up by a generator and UPS. Concrete construction provides 

protection against F3-4 tornadoes. There is discussion taking place to increase 
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protection and harden facility by adding an exterior concrete shell and roof. 

Telework-ready employees could telework short-term.

 Philadelphia - has low risk of severe storms or disruption. The facility is 

collocated and has a generator. Telework-ready employees could telework on a 

short-term basis.

Identified risks at Departmental Offices include:

 Possible failure of data center servers in a high temperature situation.

 Possible telecommunication failure due to high temperatures.

 Exposure of at or below grade electrical infrastructure to flooding or water 

infiltration.

 Interruption of water used for cooling tower make up purposes (largest user of 

water)- this is sourced from the municipal water system.

 Events that affect employee transportation.

o Subway inaccessible due to flooding or buckled rails.

o Rail travel not possible due to buckled rails or power outages.

o Homes damaged by flooding or storms.

o Increased cases of vector or water-borne illness.

The Bureau of Engraving and Printing maintains its manufacturing/production facilities 

in Washington, DC and Fort Worth, Texas with a warehouse in Landover, MD. Risks 

and possible mitigation to climate change effects include:

 BEP has assessed the risk of climate change to its facilities using a qualitative risk 

assessment tool provided by the Department of the Treasury that looks at both 

near term and longer term vulnerabilities from climate change. 

 BEP personnel participate on the Department of the Treasury Climate Change 

Adaptation Working Group and EPA’s Federal Adaptation Community of 

Practice, as well as information sharing events that focus on climate change 

impacts and adaptation. These provides BEP with information to helps ensure 

that regional and local vulnerabilities that have the potential to affect the Bureau’s 

mission are identified, and to build capacity among Bureau personnel through 

education and awareness training.
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4 Summary

Treasury’s Climate Change Adaptation Plan details our progress thus far in 

understanding our risk, identifying near term mitigation plans, establishing partnerships 

to increase our understanding and knowledge, and begin to create a process by which we 

can prioritize risk. 

Climate change adaptation planning is in its early stages. As more experience and 

information is gained by collaborating and sharing information with other agencies, we 

expect to gain additional clarity on how Treasury will respond to the threats from climate

change. Using best available science, strategically to prioritize actions and execute on 

initiatives, we will continue to work toward ensuring the continuation of our mission.
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References

Brekke, L., J.E. Kiang, J.R. Olsen, D.R. Pulwarty, D. Raff, D.P. Turnipseed, R.S. 

Webb, and K.D. White (2009) “Climate change and water resources management: 

A federal perspective”. USGS Circular 1331. Available at 

http://pubs.usgs.gov/circ/1331/.

Council on Environmental Quality (2010) “Progress Report of the Interagency Climate

Change Adaptation Task Force: Recommended Actions in Support of a National

Climate Change Adaptation Strategy: October 5, 2010”. White House Council on

Environmental Quality: Washington, DC. Available at 

http://www.whitehouse.gov/sites/default/files/microsites/ceq/Interagency--‐Climate-

-‐Change--‐Adaptation--‐Progress--‐Report.pdf

Krewe, Brew, (2008) U.S. Army Corps of Engineers, “Risk Management 

Framework”, Version 2.0.

U.S. Army Corps of Engineers (2011) “U.S. Army Corps of Engineers (USACE) 

Climate Change Adaptation Plan and Report 2011”.

Stockton, S.L., and K.D. White (2011) “US Army Corps of Engineers Collaborative 

approach to 21st Century Challenges posed by global changes.” IN Climate Change: 

Global Change and Local Adaptation. Springer.
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Appendix A- Areas of Potential Climate Change and 

their Effects

(adapted from Global Climate Change Impacts, 2009 Report, U.S. Global Change 

Research Program)

Air

Global average surface air temperature has increased substantially since 1970. The 

estimated change in the average temperature of Earth’s surface is based on measurements 

from thousands of weather stations, ships, and buoys around the world, as well as from 

satellites. These measurements are independently compiled, analyzed, and processed by 

different research groups. There are a number of important steps in the data processing. 

These include identifying and adjusting for the effects of changes in the instruments used 

to measure temperature, the measurement times and locations, the local environment 

around the measuring site, and such factors as satellite orbital drift. For instance, the 

growth of cities can cause localized “urban heat island” effects.

Water

The impacts of climate change include too little water in some places, too much water in 

other places, and degraded water quality. Some locations are expected to be subject to all 

of these conditions during different times of the year. Water cycle changes are expected 

to continue and to adversely affect energy production and use, human health, 

transportation, agriculture, and ecosystems.

Changes in water quality

Increased air temperatures lead to higher water temperatures, which have already been 

detected in many streams, especially during low-flow periods. In lakes and reservoirs, 

higher water temperatures lead to longer periods of summer stratification (when surface 

and bottom waters do not mix).

Dissolved oxygen is reduced in lakes, reservoirs, and rivers at higher temperatures. 

Oxygen is an essential resource for many living things, and its availability is reduced at

higher temperatures both because the amount that can be dissolved in water is lower and 

because respiration rates of living things are higher. Low oxygen stresses aquatic animals 

such as coldwater fish and the insects and crustaceans on which they feed. Lower oxygen 

levels also decrease the self-purification capabilities of rivers.

The negative effects of water pollution, including sediments, nitrogen from agriculture, 

disease pathogens, pesticides, herbicides, salt, and thermal pollution, will be amplified by 

observed and projected increases in precipitation intensity and longer periods when 

streamflows are low. The U.S. Environmental Protection Agency expects the number of 

waterways considered “impaired” by water pollution to increase. Heavy downpours lead 

to increased sediment in runoff and outbreaks of waterborne diseases. Increases in 

pollution carried to lakes, estuaries, and the coastal ocean, especially when coupled with 

increased temperature, can result in blooms of harmful algae and bacteria. However, 
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pollution has the potential of being diluted in regions that experience increased 

streamflow.

Precipitation patterns are changing

Precipitation is not distributed evenly over the globe. Its average distribution is governed 

primarily by atmospheric circulation patterns, the availability of moisture, and surface 

terrain effects. The first two of these factors are influenced by temperature. 

Observations show that such shifts are occurring. Changes have been observed in the 

amount, intensity, frequency, and type of precipitation. Pronounced increases in 

precipitation over the past 100 years have been observed in eastern North America, 

southern South America, and northern Europe. Decreases have been seen in the 

Mediterranean, most of Africa, and southern Asia. Changes in the geographical 

distribution of droughts and flooding have been complex. In some regions, there have 

been increases in the occurrences of both droughts and floods. As the world warms, 

northern regions and mountainous areas are experiencing more precipitation falling as 

rain rather than snow. Widespread increases in heavy precipitation events have occurred, 

even in places where total rain amounts have decreased. These changes are associated 

with the fact that warmer air holds more water vapor evaporating from the world’s oceans 

and land surface.

Salt-water intrusion

Sea-level rise is expected to increase saltwater intrusion into coastal freshwater aquifers, 

making some unusable without desalination. Increased evaporation or reduced recharge 

into coastal aquifers exacerbates saltwater intrusion. Shallow groundwater aquifers that 

exchange water with streams are likely to be the most sensitive part of the groundwater 

system to climate change. Small reductions in groundwater levels can lead to large 

reductions in streamflow and increases in groundwater levels can increase streamflow. 

Changing water demands

Water demands are expected to change with increased temperatures. Evaporation is 

projected to increase over most of the United States as temperatures rise. Higher 

temperatures and longer dry periods are expected to lead to increased water demand for 

irrigation. Higher temperatures are projected to increase cooling water withdrawals by 

electrical generating stations. In addition, greater cooling requirements in summer will 

increase electricity use, which in turn will require more cooling water for power plants. 

Industrial and municipal demands are expected to increase slightly.

Water and energy are tightly interconnected; water systems use large amounts of energy, 

and energy systems use large amounts of water. Both are expected to be under increasing 

pressure in the future and both will be affected by a changing climate. In the energy 

sector, water is used directly for hydropower, and cooling water is critical for nearly all 

other forms of electrical power generation. Withdrawals of freshwater used to cool power 

plants that use heat to generate electricity are very large, nearly equaling the water 

withdrawn for irrigation. Water consumption by power plants is about 20 percent of all 

non-agricultural uses, or half that of all domestic use.
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Sea Level Rise

More than 8 million people live in areas at risk of coastal flooding. Along the U.S. 

Atlantic Coast alone, almost 60 percent of the land that is within a meter of sea level is 

planned for further development, with inadequate information on the potential rates and 

amount of sea level rise. 

Global sea level rise has been a persistent trend for decades. It is expected to continue 

beyond the end of this century, which will cause significant impacts in the United States. 

Scientists have very high confidence (greater than 90% chance) that global mean sea 

level will rise at least 8 inches (0.2 meter) and no more than 6.6 feet (2.0 meters) by 

2100. Many of the nation's assets related to military readiness, energy, commerce, and 

ecosystems that support resource-dependent economies are already located at or near the 

ocean, thus exposing them to risks associated with sea level rise. 

Floods

Major flood types include flash, urban, riverine, and coastal flooding: 

Flash floods occur in small and steep watersheds and waterways and can be caused by 

short-duration intense precipitation, dam or levee failure, or collapse of debris and ice 

jams. Snow cover and frozen ground conditions can exacerbate flash flooding during 

winter and early spring by increasing the fraction of precipitation that runs off. Flash 

floods develop within minutes or hours of the causative event, and can result in severe 

damage and loss of life due to high water velocity, heavy debris load, and limited 

warning. Most flood-related deaths in the U.S. are associated with flash floods. 

Urban flooding can be caused by short-duration very heavy precipitation. Urbanization 

creates large areas of impervious surfaces (such as roads, pavement, parking lots, and 

buildings) and increases immediate runoff. Stormwater drainage removes excess surface 

water as quickly as possible, but heavy downpours can exceed the capacity of drains and 

cause urban flooding. 

Flash floods and urban flooding are directly linked to heavy precipitation and are 

expected to increase as a result of projected increases in heavy precipitation events. In 

mountainous watersheds, such in-creases may be partially offset in winter and spring due 

to projected snowpack reduction. 

Riverine flooding occurs when surface water drains from a watershed into a stream or a 

river exceeds channel capacity, overflows the banks, and inundates adjacent low lying 

areas. Riverine flooding is commonly associated with large watersheds and rivers, while 

flash and urban flooding occurs in smaller natural or urban watersheds. Because heavy 

precipitation is often localized, riverine flooding typically results from multiple heavy 

precipitation events over periods of several days, weeks, or even months. In large basins, 

existing soil moisture conditions and evapotranspiration rates also influence the onset and 

severity of flooding, as runoff increases with wetter soil and/or lower evapotranspiration 

conditions. Snow cover and frozen ground conditions can also exacerbate riverine 

flooding during winter and spring by increasing runoff associated with rain-on-snow 

events and by snowmelt, although these effects may diminish in the long term as snow 
28 | P a g e

accumulation decreases due to warming. Since riverine flooding depends on precipitation 

as well as many other factors, projections about changes in frequency or intensity are 

more uncertain than with flash and urban flooding.

Coastal flooding is predominantly caused by storm surges that accompany hurricanes and 

other storms. Low storm pressure creates strong winds that create and push large sea 

water domes, often many miles across, toward the shore. The approaching domes can 

raise the water surface above normal tide levels (storm surge) by more than 25 feet, 

depending on various storm and shoreline factors. Inundation, battering waves, and 

floating debris associated with storm surge can cause deaths, widespread infrastructure 

damage (to buildings, roads, bridges, marinas, piers, boardwalks, and sea walls), and 

severe beach erosion. Storm-related rainfall can also cause inland flooding (flash, urban, 

or riverine) if, after landfall, the storm moves slowly or stalls over an area. Inland 

flooding can occur close to the shore or hundreds of miles away and is responsible for 

more than half of the deaths associated with tropical storms. Climate change affects 

coastal flooding through sea level rise and storm surge, increases in heavy rainfall during 

hurricanes and other storms, and related increases in flooding in coastal rivers. 

Heavy rains can lead to flooding, which can cause health impacts including direct injuries 

as well as increased incidence of waterborne diseases due to pathogens such as 

Cryptosporidium and Giardia. Downpours can trigger sewage overflows, contaminating 

drinking water and endangering beachgoers. The consequences will be particularly severe 

in the roughly 770 U.S. cities and towns, including New York, Chicago, Washington DC, 

Milwaukee, and Philadelphia, that have “combined sewer systems;” an older design that 

carries storm water and sewage in the same pipes. During heavy rains, these systems 

often cannot handle the volume, and raw sewage spills into lakes or waterways, including 

drinking-water supplies and places where people swim.

Energy

Warming will be accompanied by decreases in demand for heating energy and increases 

in demand for cooling energy. The latter will result in significant increases in electricity 

use and higher peak demand in most regions.

Many of the effects of climate change on energy production and use in the United States 

are not well studied. Some of the effects of climate change, however, have clear 

implications for energy production and use. For instance, rising temperatures are 

expected to increase energy requirements for cooling and reduce energy requirements for 

heating. Changes in precipitation have the potential to affect prospects for hydropower, 

positively or negatively. Concerns about climate change impacts will almost certainly 

alter perceptions and valuations of energy technology alternatives. These effects are very 

likely to be relevant for energy policies, decisions, and institutions in the United States, 

affecting courses of action and appropriate strategies for risk management.

Studies project that temperature increases due to global warming are very likely to 

increase peak demand for electricity in most regions of the country. An increase in peak 

demand can lead to a disproportionate increase in energy infrastructure investment.
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Since nearly all of the cooling of buildings is provided by electricity use, whereas the vast 

majority of the heating of buildings is provided by natural gas and fuel oil, the projected 

Energy Supply and Use changes imply increased demands for electricity. This is 

especially the case where climate change would result in significant increases in the heat 

index in summer, and where relatively little space cooling has been needed in the past, 

but demands are likely to increase in the future.

The increase in electricity demand is likely to be accelerated by population movements in 

the South and Southwest, which are regions of especially high per capita electricity use, 

due to demands for cooling in commercial buildings and households. Because nearly half 

of the nation’s electricity is currently generated from coal, these factors have the potential 

to increase total national carbon dioxide emissions in the absence of improved energy 

efficiency, development of non-carbon energy sources, and/or carbon capture and 

storage.

Energy production is likely to be constrained by rising temperatures, limited water 

supplies, and a reduction in the number of power generation plants in many regions. In 

some regions, reductions in water supply due to decreases in precipitation and/or water 

from melting snowpack are likely to be significant, increasing the competition for water 

among various sectors including energy production.

The production of energy from fossil fuels (coal, oil, and natural gas) is inextricably 

linked to the availability of adequate and sustainable supplies of water. While providing 

the United States with the majority of its annual energy needs, fossil fuels also place a 

high demand on the nation’s water resources in terms of both quantity and quality 

impacts. Generation of electricity in thermal power plants (coal, nuclear, gas, or oil) is 

water intensive. Power plants rank only slightly behind irrigation in terms of freshwater 

withdrawals in the United States.

There is a high likelihood that water shortages will limit power plant electricity 

production in many regions. Future water constraints on electricity production in thermal 

power plants are projected for Arizona, Utah, Texas, Louisiana, Georgia, Alabama, 

Florida, California, Oregon, and Washington state by 2025. Additional parts of the 

United States could face similar constraints as a result of drought, growing populations, 

and increasing demand for water for various uses, at least seasonally. Situations where 

the development of new power plants is being slowed down or halted due to inadequate 

cooling water, and regulatory constraints1are becoming more frequent throughout the 

nation.

 

1 U.S. Senate Committee on Energy & Natural Resources, White Paper, February 11, 2014, Page 12, “The 

Challenge” Click here for report.
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Ecosystems

One consequence of a longer, warmer growing season and less extreme cold in winter is 

that opportunities are created for many insect pests and disease pathogens to flourish. 

Accumulating evidence links the spread of disease pathogens to a warming climate. 

Diseases that affect wildlife and the living things that carry these diseases have been 

expanding their geographic ranges as climate heats up. Depending on their specific 

adaptations to current climate, many parasites, and the insects, spiders, and scorpions that 

carry and transmit diseases, die or fail to develop below threshold temperatures. 

Therefore, as temperatures rise, more of these disease-carrying creatures survive. For 

some species, rates of reproduction, population growth, and aggression, tend to increase 

with higher temperatures, up to a limit. Some parasites’ development rates and infectivity 

periods also increase with temperature.

Human Population

Increases in the risk of illness and death related to extreme heat and heat waves are very 

likely. Some reduction in the risk of death related to extreme cold is expected. 

Temperatures are rising and the probability of severe heat waves is increasing. Analyses 

suggest that currently rare extreme heat waves will become much more common in the 

future. At the same time, the aging U.S. population is potentially becoming more 

vulnerable to hot weather and heat waves. The percentage of the U.S. population over age 

65 is currently 12 percent and is projected to be 21 percent by 2050 (over 86 million 

people). Diabetics are also at greater risk of heat-related death, and the prevalence of 

obesity and diabetes is increasing. Heat-related illnesses range from heat exhaustion to 

kidney stones.

Pathogens

Some diseases transmitted by food, water, and insects are likely to increase. A number of 

important disease-causing agents (pathogens) commonly transmitted by food, water, or 

animals are susceptible to changes in replication, survival, persistence, habitat range, and 

transmission as a result of changing climatic conditions such as increasing temperature, 

precipitation, and extreme weather events.

• Cases of food poisoning due to Salmonella and other bacteria peak within one to six 

weeks of the highest reported ambient temperatures.

• Cases of waterborne Cryptosporidium and Giardia increase following heavy 

downpours. These parasites can be transmitted in drinking water and through recreational 

water use.

• Climate change affects the life cycle and distribution of the mosquitoes, ticks, and 

rodents that carry West Nile virus, equine encephalitis, Lyme disease, and hantavirus. 

However, moderating factors such as housing quality, land use patterns, pest control 

programs, and a robust public health infrastructure are likely to prevent the large-scale 

spread of these diseases in the United States.

• As temperatures rise, tick populations that carry Rocky Mountain spotted fever are 

projected to shift from south to north.
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• Heavy rain and flooding can contaminate certain food crops with feces from nearby 

livestock or wild animals, increasing the likelihood of food-borne disease associated with 

fresh produce.

• The introduction of disease-causing agents from other regions of the world is an 

additional threat. 

While the United States has programs that help protect against some of these problems, 

climate change will present new challenges.

Society

Climate change will affect different segments of society differently because of their 

varying exposures and adaptive capacities. The impacts of climate change also do not 

affect society in isolation. Rather, impacts can be exacerbated when climate change 

occurs in combination with the effects of an aging and growing population, pollution, 

poverty, and natural environmental fluctuations. Unequal adaptive capacity in the world 

as a whole also will pose challenges to the United States. Poorer countries are projected 

to be disproportionately affected by the impacts of climate change and the United States 

is strongly connected to the world beyond its borders through markets, trade, 

investments, shared resources, migrating species, health, travel and tourism, 

environmental refugees (those fleeing deteriorating environmental conditions), and 

security.

Population shifts and development choices are making more Americans vulnerable to the 

expected impacts of climate change. Climate is one of the key factors in Americans’ 

choices of where to live. As the U.S. population grows, ages, and becomes further 

concentrated in cities and coastal areas, society is faced with additional challenges. 

Climate change is likely to exacerbate these challenges as changes in temperature, 

precipitation, sea levels, and extreme weather events increasingly affect homes, 

communities, water supplies, land resources, transportation, urban infrastructure, and 

regional characteristics that people have come to value and depend on.