pierce county's in-lieu fee wetland mitigation program

PIERCE COUNTY’S IN-LIEU FEE WETLAND MITIGATION PROGRAM

Ann Boeholt, Project ManagerPierce County Public Works & Utilities, Surface Water Management

September 18, 2015 Nisqually River Council

• History and Development of the PCILF Program

• Mechanics of the PCILF Program

• Case Study--Use of the PCILF Program

• Nisqually Watershed Sites and Next Steps

Learning Objectives

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 2

Review of Programmatic Mitigation

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 3

1. Avoid2. Minimize3. Rectify the impacts by repairing, etc. 4. Reduce or eliminate impacts over time5. Compensate for impacts by replacement6. Monitor and take necessary corrective

measures

Mitigation Sequence

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 4

One of three compensatory mitigation mechanisms • Wetland Mitigation Banking• In-Lieu Fee Mitigation Programs• Permittee-Responsible mitigation (concurrent

or advanced)

In-Lieu Fee Mitigation

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 5

Sideboards in 2008 Rule (33 CFR 332): Sponsor must be government or non-profit

natural resources agency. Strong oversight by COE. Must implement sites within 3 years of

collecting fees. Compensation Planning Framework

required.

In-Lieu Fee Mitigation

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 6

• 2007-2008 first PCILF Pre-Capitalized site constructed (with strong oversight by COE).

• 2010 Puget Sound Partnership effort to develop regional ILF program.

• 2011 County agreed to take over sponsorship; issued Prospectus.

PCILF History 2007-2011

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 7

• 2012-2013: Regular meetings with the IRT.

• 2013: Constructed 2nd Pre-Capitalization site.

• 2014: County Council approved ordinances to authorize Executive to sign PCILF Instrument and to amend County Code.

• 2015: Minor Code Corrections and PCILF Instrument Signed. First PCILF sale (in Chambers/Clover Creek Basin).

PCILF History 2012-2015

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 8

• Submitting Wetland Reports to officially recognize our two existing pre-capitalized sites as PCILF mitigation receiving sites.

• Determining restoration needs for South Creek Headwaters site.

• Program expansion into WRIAs 10 and 15.

• Site Selection for WRIAs 11 and 12.

PCILF Current Status

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 9

• Tracking Inquiries and Credit Sales.

• Managing Fee and Credit Ledgers.

• Monitoring and Maintenance of Pre-capitalized sites.

• Annual Report of Program.

• Developing Desk Manual to guide internal program management.

PCILF Current Status

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 10

• Limited to Freshwater Wetlands. • Limited to two initial Service Areas.• Use Watershed Approach to Site Selection.• Use WDOE’s Calculating Credits and Debits for

Compensatory Mitigation as credit valuation method.

• Pre-capitalized two sites.• Requesting 120 Advance Credits in WRIA 12 and 30

Advance Credits in WRIA 11.

PCILF Program-General Mechanics

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 11

Limited Initial Service Area

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 12

Service area: Geographic area in which the ILF program is authorized to provide mitigation

Pre-Capitalization

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 13

Pre-Capitalization: Types of Credits

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 14

120

166

2014 INTIAL WRIA 12 CREDIT BALANCES

AFTER YEAR 2015 CREDIT SALE

100

166

20

AFTER 2016 CREDIT RELEASE

120

83

63

20

120

83

13

70

AFTER YEAR 2016 CREDIT SALE

Advanced Credits

Pre-Capitalized Unreleased Credits

Advanced Unfulfilled Credits

Pre-Capitalized Released Credits

Sold and Fulfilled Credits

• Based on Full Cost Accounting.• Costs of credits are currently:

$40,000 (per unit) in WRIA 12 .o ~$ 27.55 per sq. ft. ($1.2 million per acre) of impact

$30,000 (per unit) in WRIA 11.o ~$20.66 per sq. ft. ($890 K per acre) of impact.

• Credits may be purchased in increments as small as 1/100th of a unit.

• Prices reviewed annually.

Cost to use the PCILF Program

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 15

How Many Credits Are Needed?

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 16

1 Acre 1 Credit≠

How Many Credits Are Needed?

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 17

1 Acre 1 Credit>

• Best Available Science.

• Estimates functions and values lost when a wetland is altered.

• Estimates gain in functions and values that result from the mitigation.

The Credit/Debit Tool

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 18

• Classification• Quality• Area of wetland disturbed• Timing of mitigation

How Many Credits Are Needed?

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 19

(13.5) 30 (189) Credits per Acre of Impact

Case Study

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 20

• $30K to construct mitigation site;

• $30K to monitor and maintain mitigation site for 10 years.

• $10K for consultant to identify a mitigation site;

• $10K for consultant to develop a mitigation plan;

• $10K for consultant to develop construction plans;

• $50K for ROW acquisition (perhaps condemnation);

Estimate for onsite mitigation: $140K

$140K Estimate for onsite mitigationVersus

$24K to purchase 0.6 units

Case Study

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 21

• Sale of 0.6 credits ($26,000) to Pierce County Transportation.

• Three other sales pending.• Dozen additional inquiries.• King County ILF Program: 16 sales; $16 million

in 3.5 years.• Larchmont and South Midland Wetland

Reserves.

Successes

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 22

2002 2007 2015

South Midland Wetland Reserve

Larchmont Wetland Reserve

2005 2015

South Creek Headwaters Wetland Reserve

Nisqually Basin Sites

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 26

May, 2009

South Creek Headwaters Wetland Reserve

Pierce County’s In-Lieu Fee Mitigation Program9/18/2015 Slide 27

May 2009 April 2015

QUESTIONS?Ann Boeholt(253)798-4694 or aboehol@co.pierce.wa.us

September 18, 2015 Pierce County’s In-Lieu Fee Mitigation Program

The Tangled BankContemplate a tangled bank

Clothed with many kinds of plantInsects and birds flitting about

Worms crawling through the damp …

From: Darwin’s Tangled Bank in verseBy Michael Eisen

Published: December 3, 2012