F. Mitigation Banks
1. The secretary shall provide, without
charging a fee, potential mitigation bank sponsors an opportunity to present a
preliminary proposal and to receive informal input from the department prior to
formally initiating the review process described in the remainder of this
Subsection.
2. The secretary shall
consider proposals by federal and state agencies, boards, commissions,
departments, political subdivisions, corporate bodies, local governing bodies,
and private persons or entities to establish wetland mitigation banks. In all
cases when a proposed mitigation bank would have impacts on coastal waters, the
secretary shall ensure that the department's rules and regulations are
incorporated into the review process and agreement document prior to the
department becoming a signatory agency.
3. All formal proposals for establishing
mitigation banks shall be considered as follows:
a. applications for mitigation bank formal
review must be submitted in writing and contain the following:
i. the mitigation bank initial evaluation fee
identified in Paragraph 3 of this Subsection;
ii. if the mitigation bank must be permitted,
the applicant must state that all necessary permits have been
obtained;
iii. a scope of work that
does the following:
(a). identifies the
coastal resources or habitat restoration activity that the applicant is
proposing (e.g., marsh creation, shoreline protection, planting,
etc.);
(b). describes the proposed
construction activities; and
(c).
provides information on how the proposed restoration activity will establish
and/or sustain coastal plant communities;
iv. a detailed explanation providing the
reasons the proposed site requires coastal resources re-establishment or
habitat restoration (i.e., What is the coastal resource or habitat problem or
opportunity and why is the proposed measure needed? For example: the shoreline
is retreating, the site is a prior converted coastal resource with restoration
opportunity, the existing habitat is degraded, etc.);
v. on-site habitat loss rates. The average
land loss rate (acres-per-year) and the shoreline erosion rate (linear feet per
year) shall be provided;
vi.
geographic location. The exact limits/location (latitude and longitude) of the
proposed coastal resources or habitat restoration site, center coordinate (GCS
NAD 83), plan view plats with the exact coordinates for all boundary corners,
and a legal description of the property including section, township, range, and
parish where the restoration is to occur;
vii. a list of landowner(s) and addresses for
the proposed coastal resources or habitat restoration site; and
viii. the extent of the proposed work: total
acreage benefited by the proposed work;
ix. a detailed description of the existing
site condition. A description of the soils, drainage patterns/hydrology, and a
list all manmade structures occurring on the site shall be provided. Based on
the conditions of the site, the secretary may request additional site
information;
x. list the proposed
habitat type(s): as forested wetland, fresh marsh, intermediate marsh, brackish
marsh, saline marsh, fresh swamp, submerged aquatic vegetation and/or
bottomland hardwoods;
xi. a
long-term protection and maintenance plan (Marsh creation/restoration sites
shall be maintained for 20 years, forested wetland sites shall be maintained
for 50 years.). A plan for establishing coastal resource vegetation in the
event the initial planting fails; a plan for invasive and exotic species
management; and a plan for all maintenance and/or management activities
(include all timber stand improvement activities);
xii. a planting plan shall include:
(a). planting density of trees per
acre;
(b). seedlings size and type
of container;
(c). number of marsh
grass transplants planted;
(d).
size of marsh grass transplants and type of container;
(e). number of total acres to be planted;
and
(f). expected survival rate
after two growing seasons;
xiii. submittal information:
(a). the party responsible for the submittal
and the name of the applicant or landowner;
(b). the domiciliary address;
(c). the name of the agent or contact if
different from applicant; and
(d).
the mailing address of the agent if different.
4. In determining the
acceptability and appropriateness of establishing a mitigation bank, the
secretary shall consider the following factors:
a. the entirety of the potential mitigation
bank sponsor's history of compliance with governmental programs, including, but
not limited to, federal, state, county/parish and local laws, rules and/or
regulations;
b. the time period the
mitigation bank sponsor can operate and maintain the mitigation bank through
the life of the bank (i.e., 20 years for marsh mitigation banks or 50 years for
forested wetland mitigation banks) as outlined in the mitigation banking
instrument;
c. the mitigation
bank's potential to create, restore, protect, enhance, and/or under certain
circumstances, preserve coastal resources;
d. the mitigation bank's potential effect
(positive or negative) on coastal resource values such as fish and wildlife
habitat (particularly rare habitat or habitat for rare fauna), floodwater
storage, water quality improvement, storm surge protection, etc.;
e. the mitigation bank's potential effect
(positive or negative) on lands and coastal resources values adjacent to or in
the vicinity of the bank;
f.
whether the proposed project is included on, consistent with, or in conflict
with any state and/or federal project list, general plan, or other effort
designed to create, restore, protect, enhance, or preserve coastal resources,
including, but not limited to, the
Louisiana Comprehensive Master Plan
for a Sustainable Coast and any future such plan as well as any
iteration or revision of such plan.
5. The secretary will process applications
for mitigation banks according to
§723 and consistent with operating
procedures and federal regulations on consistency at 15 CFR 930 . All necessary
federal, state, and local authorizations required to construct the mitigation
bank must be obtained by the bank sponsor. In addition to the fees identified
at §723.
C.3.a i-ii, nonrefundable fees shall be
charged for the initial evaluation, habitat evaluation, establishment, and
periodic review of mitigation banks according to the following table.
Proposed Mitigation Bank Acreage
|
Informal Review
|
Initial Evaluation Fee
|
Habitat Evaluation Fee
|
Establishment Fee
|
Periodic Review Fee
|
0 - 100
|
$0
|
$ 75
|
$ 350
|
$ 75
|
$ 50
|
101 - 500
|
$0
|
$150
|
$ 700
|
$150
|
$100
|
501 - 1,000
|
$0
|
$225
|
$1,050
|
$225
|
$200
|
1,001 - 5,000
|
$0
|
$300
|
$1,400
|
$300
|
$300
|
5,000
|
$0
|
$375
|
$1,750
|
$375
|
$400
|
a. Within
90 days of the secretary's acceptance of the request as complete, the secretary
shall render a preliminary determination as to whether the project would be
acceptable as a mitigation bank and:
i. if
the project is preliminarily determined to be acceptable as a mitigation bank,
the secretary shall inform the potential sponsor of such determination in
writing; or
ii. if a project is
preliminarily determined to be unacceptable as a mitigation bank, the secretary
shall advise the potential bank sponsor, in writing, of the reasons for such a
determination and, if applicable, the secretary may suggest modifications which
could render the project preliminarily acceptable as a mitigation bank; and
iii once the project is
preliminarily determined to be acceptable as a mitigation bank, the secretary
shall require the potential bank sponsor, within 30 days of written notice, to
remit the mitigation bank habitat evaluation fee.
6. Within 90 days of receipt of
the mitigation bank habitat evaluation fee, the secretary, in collaboration
with the members of the interagency review team (IRT), shall determine the
quantity, by habitat type, of mitigation habitat credits potentially available
for donation, sale, trade, or use from the proposed mitigation bank as follows.
a. The secretary shall invite the members of
the IRT and the potential mitigation bank sponsor to participate in the
determination of potential mitigation habitat credits. The secretary shall
consider the comments of the members of the IRT and the potential mitigation
bank sponsor made during each field investigation or other meeting held to
determine the type and quantity of potentially available mitigation habitat
credits.
b. The total quantity of
potential mitigation habitat credits, by habitat type, attributable to the
proposed mitigation bank shall be evaluated by applying the methodology
described in
§724. C The sponsor shall
ensure that data gathering techniques of sufficient quality and intensity are
used to allow replication of habitat response assessments throughout the
mitigation bank life.
c. Mitigation
habitat credits which are donated, sold, traded, or otherwise used for
compensatory mitigation shall be referred to as debited credits.
d. The secretary shall render a final
determination as to whether the project proposal would be acceptable as a
mitigation bank. If the project is determined to be acceptable as a mitigation
bank, the secretary and the mitigation bank sponsor shall be a signing party to
the mitigation banking instrument which fulfills the requirements of
§724. F.7 The mitigation
banking instrument shall serve as the formal document which designates a
project as a mitigation bank. The Department of the Army (DA), each state
advisory agency, and each federal advisory agency may indicate its approval of
the mitigation bank by signing the mitigation banking instrument.
e. If a permit modification is necessary and
is requested by the permittee in accordance with
§723 D, the secretary shall process the
request for modification in accordance with
§723 D
7. The formal mitigation banking instrument
shall, at a minimum, include the following:
a. a statement of need for bank
establishment;
b. a statement
describing the goals and objectives of the mitigation bank and timing for
performing the specified mitigation;
c. present ownership of the lands upon which
the mitigation bank will be located, to include but not limited to:
i. the legal name of the property owner and
nature and verification of the arrangement between the landowner and sponsor;
and
ii. a statement describing any
right not held by the bank sponsor the exercise of which would interfere with
the sponsors operation of the bank;
d. total acreage of bank, physical
boundaries, a legal description of the property where the bank is to be
located, including section, township, range, and parish and a description of
baseline conditions, including descriptions and acreage of existing coastal
resource types on the property, land uses (prior, existing and projected),
topography, description and map of soil types, and description of hydrologic
conditions (including location of existing and proposed levees, water control
structures, pumps, drainage ditches, and other drainage features);
e. a description of the mitigation plan, that
includes but is not limited to:
i types and
acreage of coastal resources to be created, restored, protected, enhanced,
and/or preserved; and
ii a detailed
description of all work that will be conducted to implement the mitigation plan
and thereby produce the mitigation habitat credits, pertinent maps, drawings,
aerial photography, planting specifications, and all proposed construction
features such as plugs, water control structures, dikes, and land
leveling;
f. a long-term
maintenance and bank management plan that specifies the period of operation and
maintenance of the mitigation bank (i.e. 20 years for marsh habitat and 50
years for forested habitat);
g.
identification of the habitat assessment methodology utilized to establish the
quantity of mitigation to be credited and the performance standards and success
criteria to be used to determine credit availability and the need for remedial
action;
h. a monitoring plan and
reporting protocol;
i. a narrative
statement describing contingency and remedial action plans and responsibilities
including but not limited to revegetation and invasive and exotic species
control;
j. the financial assurance
established by the sponsor to guarantee the implementation and long-term
management, maintenance, and monitoring of the mitigation bank, which may
include a letter of credit, surety bond, escrow account or other mechanism if
found to be acceptable by the secretary;
k. a calculation of mitigation habitat
credits or mitigation/management potential based on the projected net increase
in habitat value of the coastal resource area;
l. the geographic service area for the
mitigation bank;
m. a narrative
explanation of the credit reporting protocol and accounting procedures to be
used by the sponsor for the mitigation bank;
n. the provisions for protecting the
mitigation bank, including the details of the conservation servitude or other
appropriate protection instrument;
o. a statement that to be effective all
modifications, including transfer of ownership, to the mitigation banking
instrument must be in writing and executed by all parties to the mitigation
banking instrument; and
p. a
statement that addresses provisions for force majeure damages.
8. Mechanisms for Ensuring
Remediation, Operation, and Maintenance of Mitigation Bank Features
a. Mitigation habitat credits shall be made
available to the mitigation bank sponsor incrementally over the life of the
bank based on periodic review of provisions specified in the mitigation banking
instrument, provided that:
i. the mitigation
bank sponsor has established and recorded a conservation servitude pursuant to
§724. F.8.b or other
appropriate legal instrument for the conservation and/or protection of the
property included in the mitigation bank;
ii. the mitigation bank sponsor provides
financial assurance that will insure the availability of funds, for the life of
the bank, for remediation (as may be needed for expected and unexpected
events), operation, and/or maintenance of the mitigation bank;
iii. the mitigation bank sponsor shall
provide for long-term maintenance and operation as specified in the mitigation
banking instrument. Should the sponsor fail to remediate, operate, or maintain
the mitigation bank in accordance with the mitigation banking instrument,
corrective actions shall take place as specified in the mitigation banking
instrument;
iv. the mitigation
banking instrument has been executed by the parties thereto; and
v. the regulatory permit(s) required to
perform the mitigative work has/have been issued.
b. If a conservation servitude is utilized
for conservation and protection of the property included in the mitigation
bank, it shall be established in accordance with
R.S.
9:1271 et seq., and shall:
i. cover all the property located within the
mitigation bank;
ii. if timber
harvesting will occur, contain specific language regarding the extent of
allowable timber harvesting;
iii.
contain specific language regarding the extent of other allowable
activities;
iv. prohibit all other
activities which may reduce the ecological value of the site;
v. specify the term to be 20 years or more
for marsh habitats and 50 years or more for forested habitats as outlined in
the mitigation banking instrument;
vi. designate the holder of the
servitude;
vii. convey a third
party right of enforcement to any interested mitigation banking instrument
signatory or other party as may be mutually agreed to by the secretary and the
mitigation bank sponsor; and
viii.
be recorded in the official conveyance records of the clerk of court for the
parish in which the property is located.
c. The financial assurance established by the
mitigation bank sponsor shall be acceptable to the secretary and shall:
i. ensure payment of the designated amount
for remediation, operation, or maintenance of the mitigation measures for a
period equal to the life of the mitigation bank; and
ii. ensure that such payments would be made
to a party designated in the mitigation banking instrument in the event that
the mitigation bank sponsor fails to perform the remediation, operation, or
maintenance specified in the mitigation banking instrument.
9. Periodic Review
a. When the secretary determines that a
periodic review of the mitigation bank habitat value is warranted, which review
shall, in any event, occur at least every five years, the sponsor will be
notified in writing and an invoice for payment of the periodic review fee will
be issued to the bank sponsor.
i. Payment of
the fee will be made to the department within 60 calendar days of being
requested to do so by the secretary.
ii. Failure to make payment within 60 days
may result in suspension or termination of the authority to issue
credits.
iii. The state, members of
the IRT, and the mitigation bank sponsor may be invited to participate in each
mitigation bank success criteria review; the secretary shall give due
consideration to the comments of the members of the IRT and the mitigation bank
sponsor made during, or received in writing within 20 days of, each field
investigation or other meeting related to these reviews.
iv. The purpose of periodic reviews is to:
(a). evaluate actual bank performance based
upon the criteria set forth in the mitigation banking instrument;
(b). develop, where possible, suggestions
that the bank sponsor may implement to improve and/or enhance habitat function
and bank performance; and
(c).
determine if any remediation or adjustments to the prescribed operation or
maintenance will be required to avoid a reduction in habitat value
credit.
b. If
any periodic review or field investigation of the bank indicates that the
mitigation measures are not functioning as projected, habitat credit issuance
and the sale of credits shall be suspended pending the recalculation of
projected credits and/or it is demonstrated that the mitigation measures are
functioning as predicted.
c.
Credits shall be made available to the mitigation bank sponsor in accordance
with the credit release schedule contained in the mitigation banking
instrument.
10. Use of
Mitigation Banks for Meeting Compensatory Mitigation Obligations
a. The mitigation bank shall not be
considered operational until the following have been met:
i. the mitigation bank sponsor has submitted
to the department the mitigation bank establishment fee (§724. F 5);
ii. the mitigation banking instrument has
been executed by the parties thereto and all required regulatory permits have
been acquired;
iii. the bank
sponsor has satisfied the requirements that it has in place, a satisfactory
mechanism for ensuring remediation, operation, and maintenance of mitigation
bank features as provided for above in this Section; and
iv. the compensatory mitigation measures
described in an executed mitigation banking instrument have been fully
implemented; or at least the initial phase of the mitigation measures have been
implemented if the executed mitigation banking instrument calls for phased
implementation.
b. A
permit applicant may acquire, subject to prior approval by the secretary,
mitigation habitat credits from the sponsor of an approved mitigation bank to
meet compensatory mitigation requirements; the applicant is required to provide
written evidence from the bank sponsor to the secretary that such acquisition
has taken place; the applicant's responsibility for this component of the
compensatory mitigation requirement ceases upon receipt of such evidence by the
secretary; mitigation habitat credits may be acquired as compensatory
mitigation for activities which are not subject to this Chapter, provided that
the secretary is advised of any such transactions; acquired credits shall be
debited from available credits.
c.
The bank sponsor shall maintain an account of total, available, and debited
credits for each approved mitigation bank as set forth in the mitigation
banking instrument, and provide an accounting within 30 days of request by the
secretary and as specified in the mitigation banking instrument.
11. Any donation, sale, trade,
use, or other transfer of mitigation habitat credits, for any purpose other
than satisfying compensatory mitigation obligations must receive prior written
approval by the secretary, and must be deducted from the amount of available
credits.
12. These regulations (as
amended) will only be effective after their effective date and any applications
for mitigation banks pending as of the effective date of these regulations (as
amended) will be governed by the regulations in effect at the time of its
filing.