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Mid-Atlantic RC&D Conference Regulatory Contributions: A New Source of Funding for Conservation Projects Michael Ca

Mid-Atlantic RC&D Conference Regulatory Contributions: A New Source of Funding for Conservation Projects Michael Catania. Conservation Resources Inc. A Unique New Organization. CRI’s Unique Services. Non-profit organization founded in 2003.

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Mid-Atlantic RC&D Conference Regulatory Contributions: A New Source of Funding for Conservation Projects Michael Ca

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  1. Mid-Atlantic RC&D Conference Regulatory Contributions: A New Source of Funding for Conservation Projects Michael Catania

  2. Conservation Resources Inc. A Unique NewOrganization

  3. CRI’s Unique Services • Non-profit organization founded in 2003. • A clearinghouse to match non-profit and local government sponsors of land acquisition, restoration and stewardship projects with philanthropic and regulatory contributors seeking to support projects. • CRI is one of the new “conservation intermediary” organizations which have been created in several states.

  4. CRI’s Unique Services • Matches prospective donors/sellers of land and conservation easements with an appropriate public or private agency or conservation buyer • Establishes and advises public/private partnerships to complete complex land transactions • Serves as consultant to OSI’s New Jersey Conservation Loan Program and several family foundations • Matches both philanthropic and regulatory contributors with appropriate conservation projects • Re-grants from public agencies, private foundations, corporations, and individuals • Plays leadership role on conservation finance policy

  5. Conservation Resources Inc. Regulatory Contributions

  6. Regulatory Contributions • An Alternate Mechanism for • Penalty Settlements • Dispute Resolution • Satisfying Permit Conditions and Mitigation Requirements • Supplemental Environmental Projects, and; • Civil Settlements of Criminal Investigations • Natural Resource Damage Settlements

  7. Regulatory Contributions • Regulatory Basis for Contributions: • NJ Spill Compensation and Control Act • Superfund (CECLA/SARA) • Many other Federal and State Pollution Control and Land Use Laws (enforcement violations and permit conditions) • Local Ordinances

  8. Regulatory Contributions • Potential Regulatory Agency Partners: • EPA Regional Offices • U.S. Attorney’s Office • State DEPs • State Attorneys General • U.S. Army Corps of Engineers • State DOTs • Regional Authorities • Local Governments

  9. Regulatory Contributions • Before CRI • No efficient mechanismexisted to identify and screen potential projects which could be funded by regulatory contributions, or to match appropriate projects with particular regulatory contributions CRI Now Provides: • Unique web-based catalog of screened projects, coupled with customized project searches, is designed to bridge this gap and provide both responsible parties and regulatory agencies with options for exemplary projects which can be funded by regulatory contributions

  10. Regulatory Contributions Regulatory Agency Grant Agreement Conservation Intermediary Regulatory Contribution Agreement Project Sponsor Featured Project Responsible Party

  11. Regulatory Contributions • HERE’S HOW IT WORKS: • ANY PARTY CONSIDERING A REGULATORY CONTRIBUTION CAN SELECT A PROJECT FEATURED IN OUR GEOGRAPHIC FUNDS (NOTE: THESE PARTIES ARE NOT OUR CLIENTS) • CRI CAN ALSO CONDUCT A CUSTOM SEARCH TO IDENTIFY A SHORT LIST OF POTENTIAL PROJECTS • CRI CAN IDENTIFY PROJECTS IN A SPECIFIC WATERSHED MANAGEMENT AREA OR COUNTY OR TO MEET OTHER SPECIFIC REGULATORY NEEDS

  12. Regulatory Contributions • HERE’S HOW IT WORKS (continued): • CRI CAN HELP FACILITATE AGENCY REVIEW AND APPROVAL OF THE PROPOSED PROJECT • CRI HAS DEVELOPED A REGULATORY CONTRIBUTION AGREEMENT WHICH IS EXECUTED WITH THE REGULATORY CONTRIBUTOR • THE REGULATORY CONTRIBUTION AGREEMENT IS THEN INCORPORATED AS AN ATTACHMENT TO THE SETTLEMENT DOCUMENT WITH THE APPROPRIATE REGULATORY AGENCY

  13. Regulatory Contributions

  14. Regulatory Contributions • SERVICESPROVIDED BY CRI UNDER A REGULATORY CONTRIBUTION AGREEMENT: • CRI EXECUTES A GRANT AGREEMENT WITH THE PROJECT SPONSOR, WHICH INCLUDES A PROJECT SCHEDULE AND PAYMENT SCHEDULE • CRI THEN OVERSEES PROJECT IMPLEMENTATION AND SERVES AS A FIDUCIARY TO DISBURSE FUNDS AS APPROPRIATE • CRI ALSO PROVIDES TECHNICAL ASSISTANCE TO INSURE TIMELY COMPLETION OF THE PROJECT • CRI REQUIRES AUDITS OF FUNDS DISBURSED, AND PROVIDES PERIODIC REPORTS ON PROJECT COMPLETION

  15. Regulatory Contributions • ALSOPROVIDED BY CRI UNDER A REGULATORY CONTRIBUTION AGREEMENT: • IN THE EVENT THAT THE FUNDED PROJECT IS NOT FEASIBLE FOR ANY REASON, CRI WILL ASSUME RESPONSIBILITY FOR IDENTIFYING A SUBSTITUTE PROJECT ACCEPTABLE TO THE RELEVANT REGULATORY AGENCY, AND FOR OVERSEEING THE IMPLEMENTATION OF THAT SUBSTITUTE PROJECT

  16. Current Issues with Regulatory Contributions Quantifying the Damages/ImpactsIdentifying a Project Acceptable to Regulatory Agency Negotiating and Finalizing an Agreement Implementing the Project Avoiding Returning to Square One

  17. Quantifying the Damages • How Are Damages/Impacts Quantified: • Habitat equivalency analysis • Acreage replacement • Penalty matrix calculations • Loss of public use of natural resources • Negotiations

  18. Identifying an Acceptable Project • Whose projects are eligible? • What is the nexus between damage and project? • Groundwater recharge in same watershed or region • Public access to offset loss of use • Wildlife habitat preservation/enhancement for a particular species or ecosystem • Is it necessary to identify a project equal to the exact size and value of the damages?

  19. Conservation Resources Inc. Natural Resource Damage Settlements

  20. DEP Identifies and Assert a Natural Resource Damage (NRD) Claim Against a Responsible Party (RP) Litigation Filed in State Court Claim Pursued Administratively RP and DEP Enter Settlement Discussions Court Rules on RP Liability and Damages DEP Settles with RP RP Selects and DEP Approves a Specific Project DEP Collects Damages and Deposits $ in Hazardous Site Mitigation Trust Fund and/or Accepts RP Donation of Land Court-ordered penalty may be paid to non-profit DEP Settlement Approves RP Contribution to that Project Damage $ Available to Fund State or Non-Profit Projects*

  21. 120 Existing NRD Claims

  22. CRI as Aggregator Geographic Funds – a web-based catalog ofland acquisition and restoration projects

  23. Over 110 Featured Projects(some featured in on-line catalog) Customized searches also available

  24. Finding a Nexus Between an NRD Claim and an Acceptable Project

  25. Conservation Resources Inc. Case Studies

  26. Tabernacle Drum Settlement Friendship Creek Preserve NRD settlement provided $150,000 toward purchase of 250 acres

  27. Tabernacle Drum Settlement/ Friendship Creek Preserve Purchase Price: $300,000 Acreage: 250 +/- Natural Resource Value: Groundwater recharge, located in the Pinelands approximately 5 miles from where Natural Resource Damage occurred at the Tabernacle Drum Dump Disposition of property: Will be owned by Rancocas Conservancy, a nonprofit land trust, with a conservation easement held by NJDEP Funding sources: $150,000 Funding from NRD Settlement, $150,000 from NJDEP Green Acres grant to Rancocas Conservancy.

  28. Hatco Settlement/ Raritan Riverfront Park NRD settlement provided $593,000 toward restoration and public access

  29. Hatco Settlement/ Raritan Riverwalk Project Cost: $1,000,000 Acreage: n/a Natural Resource Value: Provides public access to the Raritan River / ecological restoration component Disposition of property: Project will be owned by Edison Township Funding sources: $593,000 funding from NRD settlement, $407,000 from Middlesex County

  30. South Jersey Industries Settlement/ Codario Farm NRD Settlement will provide $100,000 to preservation

  31. South Jersey Industries Settlement/ Codario Farm Pending Settlement/Codario Farm Project Cost: $720,000 Acreage: 120 Natural Resource Value: Groundwater recharge, wildlife habitat restoration Disposition of property: Unexpected Wildlife Refuge owns the property with a conservation easement held by NJDEP Funding sources: $100,000 from a NRD settlement, $290,o00 from sale of Pinelands Development Credits, remainder from Green Acres program and private fundraising

  32. Resolution of criminal settlement provided $1,000,000 for benthic restoration

  33. Chevron/ Benthic Habitat Restoration Project Pending Settlement/Codario Farm Project Cost: $1,000,000 Natural Resource Value: Restoration of the Great Oyster Beds in the Raritan Bay Funding sources: $1,000,000 from Civil Settlement of Criminal Investigation Resulting from Oil Spill in Arthur Kill

  34. Conservation Resources Inc. For More Information

  35. Conservation Resources Inc. VISIT OUR WEBSITE AT: • WWW.CONSERVATIONRESOURCESINC.ORG • CALL MICHAEL CATANIA OR JON WAGAR AT: (908) 879-7942 • CONTACT US BY E-MAIL AT: Michael@ConservationResourcesInc.org Jon@ConservationResourcesInc.org

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