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Design of US Habitat Banking Systems to Support the Conservation ...

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CONCL<strong>US</strong>IONSnificant environmental impacts <strong>of</strong> <strong>the</strong>ir actions and<strong>to</strong> avoid or mitigate <strong>the</strong>m. In 2005, a provision wasadopted requiring mitigation for projects that resultin <strong>the</strong> “conversion <strong>of</strong> oak woodlands that will havea significant effect on <strong>the</strong> environment.” The newprogram allows for several mitigation alternatives,including preserving existing oak woodlands througheasements, planting an equivalent number <strong>of</strong> trees, orcontributing funds <strong>to</strong> an Oak Woodlands <strong>Conservation</strong>Fund that is administered by <strong>the</strong> California Fish andGame Commission. The funds may be used for a variety<strong>of</strong> purposes, including <strong>the</strong> purchase <strong>of</strong> conservationeasements, land improvement grants and cost-shareincentive payments, public education and outreach bylocal government entities, and for assistance <strong>to</strong> localgovernments <strong>to</strong> encourage <strong>the</strong> incorporation <strong>of</strong> oakconservation elements in<strong>to</strong> local general plans.Establishment <strong>of</strong> new banks under existing provisionscould support <strong>the</strong> conservation objectives <strong>of</strong> <strong>the</strong> statewildlife action plans in a variety <strong>of</strong> ways. A state mightallow certain conservation banks <strong>to</strong> be establishedonly in areas designated as priority conservation areasin <strong>the</strong> state’s wildlife action plan. Alternatively, a statemight allow <strong>the</strong> siting <strong>of</strong> conservation banks anywhere,but reward those sited in priority conservation areasthrough <strong>the</strong> use <strong>of</strong> a crediting methodology that givesextra credit for banks sited in such areas. That samecrediting methodology could also discourage developmentin conservation priority areas by requiringdevelopments <strong>the</strong>re <strong>to</strong> be <strong>of</strong>fset with more creditsthan would be required <strong>of</strong> a comparable developmentelsewhere.Recommendations for Creating New <strong>Habitat</strong><strong>Banking</strong> <strong>Systems</strong>New regula<strong>to</strong>ry requirements would be necessary <strong>to</strong>support habitat banking systems that are not currentlycaptured by existing federal or state regula<strong>to</strong>ry programs.As with new banking programs, new bankingsystems should also rely upon <strong>the</strong> set <strong>of</strong> effective bankingpractices outlined in Appendix I.Adopt laws or regulations <strong>to</strong> require compensationfor currently unaddressed impacts <strong>to</strong> <strong>the</strong> environmentImpacts <strong>to</strong> <strong>the</strong> environment from land developmentand land use practices are widespread and frequent.Only a small fraction <strong>of</strong> those impacts, however,require compensa<strong>to</strong>ry activities <strong>to</strong> <strong>of</strong>fset permitteddamage. Federal and state wetland, endangered species,environmental assessment, and natural resourcedamage laws are <strong>the</strong> most common type <strong>of</strong> provisionsrequiring compensation for permitted impacts.By adopting new federal and state provisions thatrequire compensation for impacts <strong>to</strong> habitat types orspecies, public agencies can more effectively seek <strong>of</strong>fsetsfor impacts that currently go unaddressed. Severalnew compensa<strong>to</strong>ry programs have been developedin recent years, largely due <strong>to</strong> <strong>the</strong> public’s increasedunderstanding <strong>of</strong> <strong>the</strong> negative cumulative effects <strong>of</strong>incremental environmental damage.There are still o<strong>the</strong>r possibilities for states <strong>to</strong>develop new banking initiatives <strong>to</strong> meet plan goals.In Wyoming, for example, <strong>the</strong>re is concern about <strong>the</strong>fragmentation <strong>of</strong> sage grouse habitat by an explosion<strong>of</strong> energy development and o<strong>the</strong>r threats. The grouseis identified as a “species <strong>of</strong> conservation need” inWyoming’s plan, but <strong>the</strong> plan itself identifies no newmeasures <strong>to</strong> conserve it. Concerned that <strong>the</strong> grousemight be headed <strong>to</strong>ward federal listing, Wyoming’sGovernor asked a special advisory team <strong>to</strong> recommendactions <strong>to</strong> avert that outcome. Among <strong>the</strong> team’s recommendationswas that <strong>the</strong> state develop and enforce“conservation thresholds” for <strong>the</strong> grouse. These conservationthresholds would apparently take <strong>the</strong> form <strong>of</strong>population or habitat acreage targets high enough <strong>to</strong>permit continued recreational hunting while ensuringthat <strong>the</strong> species remain <strong>of</strong>f <strong>the</strong> endangered specieslist. Exactly how such thresholds would be enforcedhas not yet been clarified, but banking could be a usefulpart <strong>of</strong> any such mechanism. That is, those whosecured some quantity <strong>of</strong> habitat could sell credits<strong>to</strong> energy companies, whose actions detrimentallyaffected habitat, thus creating a clear incentive <strong>to</strong> conservehabitat and a flexible mechanism <strong>to</strong> accomplishmitigation. Through measures such as this, states maydiscover that <strong>the</strong>ir plans can give rise <strong>to</strong> creative newconservation strategies incorporating lessons learnedfrom <strong>the</strong> habitat banking experience.64 Environmental Law Institute

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