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GOVERNANCE AND FINANCIAL OPTIONS REPORT
BRANDYWINE-CHRISTINA HEALTHY WATER FUND
Prepared by: University of Delaware Water Resources Center Newark, Del. 19716 Written by: Gerald J. Kauffman Contributions from: Andrew Homsey Jordan Martin Martha Narvaez
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TableofContents PageListofTables 1ListofFigures 2ListofAttachments 2Background 3StudyObjectives 4Benefit‐CostAnalysis 4OwnershipandInstitutionalCriteria 6WaterFundOwnershipOptions 6NonProfitCorporation(LLC) 6NonProfitWatershedOrganization 7WaterUtilityOwnership 8PublicCorporation 8WaterFundBoard 9FinancingOptions 9Attachments 13
ListofTables
Table Page1. EconomicvalueofagriculturaloperationsinChesterCounty,Pennsylvania 3 2. BenefitsofimprovedwaterqualityintheBrandywineChristinawatershed 43.WatertreatmentsavingsduetoreducedsedimentintheBrandywineChristina 54. AnnualcoststoreducenitrogenandsedimentintheBrandywineChristina 55. Benefits/costsofimprovedwaterqualityintheBrandywineChristinawatershed 56.Waterfundownershipoptions 67.Nonprofitcorporation(LLC)considerations 78. Nonprofitwatershedorganizationconsiderations 89.Waterutilityownershipconsiderations 810.Publiccorporationconsiderations 911.Waterfundboardmembers 912.Waterutilityservicesbyprovider 1013.100%ofneed‐costallocationscenario‐Brandywine‐Christinawatershed 1014.10%ofneed‐costallocationscenario‐Brandywine‐Christinawatershed 1115.CostallocationscenariosforBrandywine‐ChristinaHealthyWatershedFund 1116.Costallocations($/1000gal)Brandywine‐Christinawatershed 1117.Costallocations($percustomer)Brandywine‐Christinawatershed 12
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ListofFigures
Figure Page1.Investmentinwatershedservices 3
ListofAttachmentsAttachment Page1.BrandywineChristinaWatershedMapping 132.StreamTurbidityData 143.ImpairedStreamsMap 154.TMDLMaps 165.SRATMaps 176.USDAConservationPayments 187.TMDLCosttoTargetMaps 198.WhiteClayCreekMaps 219.CosttoTreatWater 2210.CostofImplementedAgriculturalBMPs 2311.CoststoAchieveWaterQualityGoals 2712.SummaryofReductionUnitCosts 2813.TotalAnnualCosts 3014.SummaryofTargetCostReductions 3215.NewarkandWilmingtonFY17Budgets 3416. Term Sheet - Brandywine Christina Healthy Water Fund 36 17. UMD EFC Recommendations for the BCHWF 40 18.InvestmentsintheDelawareRiverWatershed 4219.SummaryofWaterFundCaseStudies 4620.ChesterCountyConservationDistrict 4721.RioGrandeWaterFund 5322.SchuylkillRiverRestorationFund 5723.AnOunceofPrevention—ProtectingNaturalSystems 7924.TruckeeMeadowsWaterFund 8025.PinchotFoundationWaterRatePayingRegulatoryStructures 8826.UpperNeuseCleanWaterInitiativeConservationPlan 8927.DelawarePublicServiceCommissionDraftLegislation 91 28.AlliancesforGreenInfrastructure 95
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GovernanceandFinancialOptionsReportBrandywineChristinaHealthyWatershedFund
DraftSeptember2017BackgroundTheNatureConservancyofDelaware(TNC)andUniversityofDelawareWaterResourcesCenter(UD)aresupportedbytheWilliamPennFoundation(WPF)toexplorethefeasibilityofdevelopingaBrandywineChristinaHealthyWatershedFund(BCHWF).TheobjectiveofthewaterfundistoinvestinrestorationoftheBrandywineChristinawatershedclustertomeetthefishable,swimmable,andpotablewaterqualitygoalsoftheFederalCleanWaterActandSafeDrinkingWaterActby2027.Thestreamsinthewatershed(Brandywine,RedClay,WhiteClay,andChristinacreeks)areimpairedduetohighloadsofnitrogen,sediment,andpathogens(bacteria,cryptosporidium).WaterpurveyorsinthewatershedinDelawareandPennsylvaniaareconcernedaboutthedifficultyandcostsoftreatinghighlevelsofsedimentandnitrogeninthesourcewaterstreamswithassociatedconcernsabouthealthrisksduetopathogenoutbreaks.Thepremiseofthewaterfundisthatthedownstreambeneficiariesinvestupstreaminwatershedservicestoreducepollutantloads(Figure1).TheupstreamwatershedinPennsylvaniahassignificanteconomicvalueintheagriculturesector(Table1).
Figure1.Investmentinwatershedservices
Table1.EconomicvalueofagriculturaloperationsinChesterCounty,Pennsylvania.
(ChesterCountyAgriculturalDevelopmentCouncil,USDANationalAgriculturalStatisticsService.
Industry EconomicValue Rank
Dairyfarming $73million 6thinPennsylvania
Horsefarming $5.2million 22ndinUnitedStates
Nursery,greenhouse,floriculture $79million 1stinUnitedStates
Rowcrops $8.7million 7thinPennsylvania
Mushroomfarming $412million 1stinUnitedStates
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StudyObjectivesTheobjectivesofthisfinancialanalysisoftheBrandywineChristinaHealthyWaterFundareto: Identifybenefits/costsofwatershedrestorationbasedtechnicalanalysisand
modeling. Analyzewaterfundoptionsbasedongovernance,organizational,andownership
issues. Conductimpactanalysisonend‐userwaterrates/chargesbywaterfundcontributors.Benefit‐CostAnalysisThebenefitsofimprovedwaterqualityduetorestorationoftheBrandywineChristinawatershedtomeetfishable,swimmable,andpotablegoalsrangefromalowboundof$5.9milliontoahighboundof$20.2millionannuallyinthewatersupply,forest,agriculture,navigation,andnonusewillingnesstopayfromcleanwatersectors(Table2).
Table2.BenefitsofimprovedwaterqualityintheBrandywineChristinawatershed
WaterpurveyorsinDelawareandPennsylvaniastandtosave$2.5million/yearinwatertreatmentcoststhroughreducedsedimentloadsfromaBrandywineChristinawatershedrestorationprogram(Table3)
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Table3.WatertreatmentsavingsduetoreducedsedimentintheBrandywineChristina
AtechnicalanalysisbasedontheUSGSHSPF,SPARROW,EPASWAT,MAPSHEDS,andSRATmodelsindicatethecoststoreducenitrogenandsedimentloadsintheBrandywineChristinawatershedrangefrom$4.4to$5.5millionperyearoverthenext10to15years(Table4).
Table4.AnnualcoststoreducenitrogenandsedimentintheBrandywineChristina
1.Capitalcostfinanced@3%interestrateand10‐15yearterm.2.GrossannualP+Ipayment.3Includeslandconservationcosts.
Theannualbenefits($5.9‐$20.2million)ofwatershedrestorationexceedthecosts($4.4‐$5.5million),thereforenetbenefits(B‐C)rangefrom$1.5‐$14.7million/year(Table5.).Table5.Benefits/costsofimprovedwaterqualityintheBrandywineChristinawatershed
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OwnershipandInstitutionalCriteriaThefeasibilityofwaterfundsisbasedonownershipandinstitutionalcriteriasuchas: Implementationofwatershedrestorationprojects
o Guaranteeofdependabledeliveryofprojects&serviceso Efficiencyandeconomicsinimplementingwatershedrestorationprojects
Allocationofcostsamongusers/beneficiarieso Equityofapportionmentofcosts&relatedserviceso Beneficiaries(waterpurveyors)thatmakefinancialobligation,obtaincapacity
rights Financingofimprovements
o Abilitytoobtaintax‐exemptfinancingo Abilitytoobtainguarantees(takeorpay)fromcustomerso Supportfromstates,county,andlocalgovernments
WaterFundOwnershipOptionsTNCandUDevaluatedthefeasibilityofthefollowingwaterfundoptionsbasedoninstitutional,governance,andeconomiccriteria(Table6): NonProfitCorporation(LLC) NonProfitWatershedOrganization(s) WaterUtilityOwnership(Consortium) PublicCorporation
Table6.WaterfundownershipoptionsWaterFundOption Institutional BoardGovernance Economics($/yr)
NonProfitCorporation(LLC)
Independentnonprofitentitywithnewstaff/offices
Watershedclustermembers/waterpurveyors
Administrativeneed:$250,000
NonProfitWatershedOrganization(s)
Hostedbyexistingnonprofitorganization
Watershedclustermembers/waterpurveyors
Annualadministrativeneed:$25,000
WaterUtilityOwnership(Consortium)
Hostedbyexistingwaterpurveyor
Boardofconsortiumofwaterpurveyors
Annualadministrativeneed:$25,000
PublicCorporationHostedbyexistingfirmsuchasbankortrust
Boardcomposedofwatershedclustermembers
Annualadministrativeneed:$100,000
NonProfitCorporation(LLC)ThewaterfundwouldberunbyanautonomousnonprofitcorporationwithnewofficesandstaffataYear1administrativecostof$250,000.TheLLCoptionwasrecommendedbylegalcounselasitprovidesalegallyenforceableframeworktoadheretoinvestmentprotocols(Table7).TheindependentnonprofitLLCwouldseektoavoidconflictsofinterestwithexistingnonprofitswiththepotentialtobeacceptabletotheimplementingpartnersbecauseitisnotcontrolledbyanothernonprofit.Bycontractualagreement,theLLCcanbestaffedbynewpersonnelandhostedwithinanexistingnonprofit.TheLLC
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modelmayrequirenewlegislationorcharteragreements,creationofnewadministrativestructures,andoperationalcapabilitymayneedtoberampedup(hirenewstaffandleasenewoffices.
Table7.Nonprofitcorporation(LLC)considerations
NonProfitWatershedOrganizationThewaterfundwouldbehostedbytheadministrativeandbudgetstaffofanexistingnonprofitwatershedorganizationsuchastheBrandywineRedClayAllianceorPartnershipfortheDelawareEstuary.TheBRCAhasofferedtohostthewaterfundasanincubatorinthefirstfewyearsofoperation.ThePDEoperatesthesuccessfulSchuylkillActionNetworkintheadjacentwatershedtothenorththatawards$500,000inannualfunding.Nonprofitwatershedorganizationshavealongtermfamiliaritywiththewatershed,haveearnedtrustyetindependencefromcustomers(waterproviders),andmaintainexistinginhousebudgetandfinancingcapabilityasanincubatoroflongtermwaterfundsolution(Table8).
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Table8.Nonprofitwatershedorganizationconsiderations
WaterUtilityOwnershipThewaterfundwouldbehostedbytheadministrativeandbudgetstaffofoneoftheparticipatingwaterproviderseitherinsoleownershiporincollaborationwithotherwaterprovidersinthewatershedcluster(Table9).TheCityofWilmingtonhasservedinthiscapacityinthepastaspartofthewatersupplyforNewCastleCountywatersupplycommittee.Withexperiencedinhousebudgetstaff,thewaterprovidercouldquicklyinitiateanddevelopthewaterfundandreadilyprocessrevenueandexpendituretransactions.AprivateutilitywouldnotbetaxexemptandwaterutilitywithattentiontotheboundariesofitsserviceareaasrequiredbytheDelawarePublicServiceCommissionorPennsylvaniaBoardofPublicUtilitiesmaynotnecessarilyberegionalorindependentinitsperspective
Table9.Waterutilityownershipconsiderations
PublicCorporationThewaterfundwouldbemanagedbyapubliccorporationthatwouldbewillingtoincurresponsibilitieswithownershipandfinancing(Table10).
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Table10.Publiccorporationconsiderations
WaterFundBoardThewaterfundboardwouldbecomposedofoperatingmembersfromtheBrandywineChristinaWatershedClusterandwaterprovidersthatcontributetothewaterfund(Table11).
Table11.WaterfundboardmembersOperatingMembers WaterProviders
WilliamPennFoundationNatureConservancyofDelawareUDWaterResourcesCenterBrandywineConservancyBrandywineRedClayAllianceStroudWaterResearchCenterNaturalLandsTrust
CityofWilmingtonCityofNewarkSUEZWaterDEAQUAPAPAAmericanWaterDowningtownMUA
FinancingOptionsFinanceofthewaterfundwouldbeconductedinitiallybythebeneficiaries(waterproviders)inaccordancewiththefollowingcriteria: Apportioncontributionsbasedonwaterallocationsandwithdrawals(mgd)byeach
waterutilityineachwatershed. Estimateservicecostswhicharelikelytobeincurredtofinanceeachofthealternative
assetconfigurationunderconsideration Performsensitivityanalysisbasedoninterestratesandcapitalcosts CommentonalternativemodesoffinancingwhereappropriateWaterproviderswithdrawandtreat55MGDfromtheBrandywine,RedClay,WhiteClay,andChristinacreeksfordeliverytoover200,000customersor600,000peoplefromtheBrandywineChristinawatershed(Table12).
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Table12.Waterutilityservicesbyprovider
At100%ofneed($5.5million),thecostallocationanalysisindicatesthatwaterrateswouldneedtobeaccessedat$0.146/1000galintheBrandywinewatershedto$0.388/1000galintheRedClay/WhiteClaywatershedor$8.77to$23.29/customer/yearbasedon60,000gallonspercustomerperyear.(Table13).At10%ofneed($550,000),waterratesneededwouldbe$0.015/1000galto$0.039/1000galor$0.88to$2.30/customer/year(Table14).Tables15,16,and17summarizethewaterratecostallocationsneededtofinancethewaterfund.
Table13.100%ofneed‐costallocationscenario‐Brandywine‐Christinawatershed
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Table14.10%ofneed‐costallocationscenario‐Brandywine‐Christinawatershed
Table15.CostallocationscenariosfortheBrandywine‐ChristinaHealthyWatershedFund
Table16.Costallocations($/1000gal)Brandywine‐Christinawatershed
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Table17.Costallocations($percustomer)Brandywine‐Christinawatershed
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Attachment1.BrandywineChristinaWatershedMapping
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Attachment2.StreamTurbidityData
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Attachment3.ImpairedStreamsMap
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Attachment4.TMDLMaps
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Attachment5.SRATMaps
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Attachment6.USDAConservationPayments
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Attachment7.TMDLCosttoTargetMaps
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Attachment8.WhiteClayCreekMaps
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Attachment9.CosttoTreatWater
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Attachment10.CostofImplementedAgriculturalBMPs
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Attachment11.CoststoAchieveWaterQualityGoals
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Attachment12.SummaryofReductionUnitCosts
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Attachment13.TotalAnnualCosts
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Attachment14.SummaryofTargetCostReductions
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Attachment15.NewarkandWilmingtonFY17Budgets
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Attachment 16. Term Sheet - Brandywine Christina Healthy Water Fund
The following is a summary of certain proposed terms to be included in a limited company agreement (the "Agreement") for a newly formed Delaware limited liability companythat will create a water fund for the Brandywine-Christina watershed. This term sheet is fordiscussion purposes only and the actual terms will be set forth in a definitive Agreement. Nothingcontained in this term sheet is intended to create any obligation on the part of any person or entity or influence the interpretation of the terms of the Agreement. [A1] Company: Entity Type A newly formed Delaware limited liability company ("Company").
Purpose: The Company will be formed for the purpose of, and the n a t u r e of the business to be conducted and promoted by the Company will be, maintaining and improving the health of the Brandywine-Christina watershed for the benefit of people who rely on it and plants and animals who live in the watershed and engaging in such other lawful acts or activities as may be determined by the board of managers of the Company (the "Board") to be necessary, advisable, convenient or incidental thereto.
Management The Company will be managed by the Board in the manner
described below.
Term: The term of the Company will be perpetual and the C o m p a n y will not dissolve without [the consent 66 2/3% of the members of the Company.]
Investors:
Initial Investors Initial investors (i) will be admitted as members of the Company,
(ii) will receive a limited liability company interest in the Company, and (iii) will make an initial capital contribution to the Company.
The Nature Conservancy of Delaware ("TNC of Delaware") will be admitted as a member of the Company at the time of the formation of the Company but will not receive a limited
interest in, or make a capital contribution to, the Company. Additional Investors Additional investors may be admitted as members of the Company,
receive a limited liability company interest in the Company and/or make a capital contribution to the Company upon the approval of [the Board.
Additional Contributions Additional capital contributions to the Company by existing
members of the Company may be made upon the consent of the
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Board and the member desiring to make an additional capital contribution to the Company. No member will be required to make any capital contribution to the Company without its consent.
Percentage Interests Each member of the Company will own a percentage of the limited
liability company interests (the "Percentage Interests") in the Company equal to a fraction, the numerator of which is the aggregate capital contributions made by such member to the Company and the denominator of which is the total capital contributions made by all members to the Company.
[Taxation The Company will elect to be taxed as a partnership for federal income tax purposes.]
Profits and Losses The Company's profits and losses will be allocated to the members
of the Company in accordance with their Percentage Interests. [A4 Distributions Distributions may be made to the members of the Company in
accordance with their Percentage Interests at the times and in the amounts determined by the Board. [It is not expected that any distributions will be made to the members of the Company.]
Assignments The limited liability company interests in the Company will not be
assignable by a member of the Company without approval of [the Board.]
Resignation A member of the Company may resign from the Company. A
member that resigns from the Company would not be entitled to any payment or distribution from the Company and its limited liability company interest in the Company would be automatically cancelled.
Management:
Board Composition Each member of the Company will have the right to appoint one
individual as a manager to the Board (and to remove and replace such individual as a manager). [A5] [The Board will have the authority to appoint (and remove and replace) one or more additional individuals as managers.]
Board Decision-Making the Board will decide upon investments for the Company in
accordance with a science-based prioritization protocol (the
"Protocol"). The decision of a majority of the managers on the Board made in accordance with the Protocol (as determined by
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the manager appointed by TNC of Delaware) will constitute the decision of the Board.
Enforcement of Protocol [The consent of the manager appointed to the Board by TNC of
Delaware will be required to give effect to any decision that is not made in accordance with the [Protocol]]. TNC of Delaware will have the authority to enforce adherence to the Protocol in court. [TNC DE will have the right to remove any manager for
Cause1.]
Compensation of Managers Unless otherwise approved by the Board, the Company will not pay
any compensation to any manager for serving the Company as a manager or reimburse any manager for his or her expenses incurred in attending meetings of the Board.
Appointment of Officers the Board may appoint one or more individuals as officers of the
Company.
Indemnification Each manager will be entitled to indemnification (and advancement
of expenses) from the Company for any loss incurred by such manager by reason of any act or omission performed or omitted by such manager by reason of the Agreement, except that no such manager will be entitled to be indemnified in respect of any loss incurred by reason of its intentional misconduct or fraud with respect to such acts or omissions.
Exculpation No manager will be liable to the Company or any other person or
entity bound by the Agreement for any loss incurred by reason of any act or omission of such manager, except that a manager shall be liable for any loss incurred by reason of such manager's intentional misconduct or fraud.
Miscellaneous:
Governing Law, The Agreement will be governed by Delaware law.
Jurisdiction Each party to the Agreement will agree to resolve any disputes [in arbitration]/[in the courts of the State of Delaware].
Fiduciary Duties Fiduciary duties of the members and managers of the Company
under Delaware law to the Company, the members and any other person or entity that is a party to, or otherwise bound by, the
Prioritization Protocol [Further explanation of the Protocol to be added.]
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Agreement will be eliminated to the fullest extent permitted by law.
Limited Liability Except as otherwise required by the Delaware Limited Liability
Company Act, the debts, obligations and liabilities of the Company, whether arising in contract, tort or otherwise, will be solely the debts, obligations and liabilities of the Company, and no member, manager or officer will be obligated personally for any such debt, obligation or liability of the Company solely by reason of being a member, manager or officer of the Company.
Amendments Amendments to the Agreement will require the written approval of each member of the Company.
Third Party Beneficiaries No person/entity will be a third party beneficiary of the Agreement.
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Attachment 17. UMD EFC Recommendations for the BCHWF
INTRODUCTION TheWilliamPennFoundationaskedtheEnvironmentalFinanceCenter(EFC)attheUniversityofMarylandtoproviderecommendationsonthedesignandimplementationoftheBrandywine‐ChristinaHealthyWaterFund(BCHWForthe“Fund”).
1. EnvironmentalObjectivesTheEFCbelievesawaterfundconceptcouldworkintheBrandywine‐ChristinaWatershed.But,the“how”hasnotbeenadequatelyaddressedandwasthesubjectofdiscussionamongtheInnovativeFinancingPanel.TheEFCstronglyrecommendsthattheBCHWF,indevelopingitsbusinessplan,describesthetypesofbusinessorinvestmentactivitiesthatitanticipateswillgeneratewaterqualityoutcomesthatwillmotivateinvestorstocapitalizetheFundandthatwillcomplementorcatalyzeneworscaled‐uprestorationactivity.ThesepointsspeaktohowtheFundwilldelivergreatervalueoroutcomesthanwhatisalreadyhappening.TheFundshouldarticulatethetypesofinvestmentorenterpriseactivitiesthatwillenablepotential“downstream”funders,suchasDEwaterpurveyors,toinvestinBCHWFrestorationworkinPennsylvaniaportionsofthewatershed.Discussionoftheseactivitiesneedstogobeyondageneralstrategyoftargetingagriculturalpropertiestodiscussthescaleandapproachesforagriculturalrestoration,alongwiththestructureandprocessesforhowcapitalisdeployed.2. MarketStageThefoundationshouldscaleitsinvestmentintheFundbasedonthelevelofcommitmentBCHWFsecuresfromfundersandimplementationpartners.TheFundshouldprovidearoadmaptofullimplementation.Indiscussingthisgrowth,thebusinessplanshouldinclude:(1)anestimateoftheanticipatedtimeandcoststhatscalefromdeliveringtwotothreesmallpilotstofullimplementation;(2)howdifferentlevelsofcapitalimpactthescaleofFundactivity;and,(3)clearmilestonesandperformancemetricstotriggerprogressivepaymentsfromtheFoundationastheFundgrows.3. Barrier(s)TheBCHWFshouldidentifybarriers,discusshowWilliamPenn’spreviousinvestmentshavehelpedestablishthegroundworkforovercomingthosebarriers,andidentifyhowadditionalfundingwillbeusedtoaddressanyremainingbarrierstoimplementation.TheEFCrecommendslinkingthisdiscussionofbarriersandchallengestothebusinessplan’sfinancialforecasts.Thisconnectionwillincreasetransparencyandhelpsrelatehowovercomingbarriersimpactcriticalassumptionsin:(1)theFund’sscaleandbreadthofactivities;and(2)capitalrequirements(egg,growthpathwithrestorationimplementation,anticipatedcontributionsfrompurveyorsorothersources,abilitytoleveragethefoundation’sinvestment).
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4. RoleofCapitalAstheprojectdevelopsitsgovernancestructureandbusinessplan,itshouldconsiderthedifferenttypesofcapitalthatcouldsupportitsoperationalization.ThebusinessplanwillbemorerobustifitcansetouthowmuchcapitalisneededtooperationalizetheFund,theanticipatedsourcesofthiscapitalandtheirdistinctroles.Atminimum,thebusinessplanshouldaddresstheroleofWilliamPennFoundationfundingandpurveyorcontributions,articulatinghowmuchisneededfromthesesources,howthefundingwillbeusedandhowthecapitalizationimpactstheFund’sfinancialsustainability.ItshouldalsoexplorehowinvestmentfrompurveyorsorotherstakeholderscouldbeleveragedthroughtheFund’sgovernanceandlegalstructure(egg,boardcomposition,not‐for‐profitstatus,etc.).5. Applicabilityprovideamodelforhowone‐timeortime‐limitedinjectionsofcapitalbyafoundationcancatalyzeself‐sustainingwatershedrestorationandprotectionactivities.6. Self‐SustainingWiththeexpectationthattheBCHWFisamechanismthatleveragesphilanthropiccapitalwithprivatecapital,thebusinessplanneedstoshowhowtheFundwillbecomefinanciallyself‐sustaining.Thebusinessplanshouldhavethefollowingcomponents:(1)clearidentificationofthesourcesandamountofrequiredstart‐upcapital;(2)projectedrevenuestreamassociatedwiththetypesandscaleofrestorationactivityundertakenbytheFund;(3)staffingneeds;and(4)projectedcostsforstaffing,operationsandoverhead.Importantly,thebusinessplanshouldalsoincludean“exitstrategy”forthefoundation.TheexitstrategydefinesthetimingandconditionsunderwhichtheFundhassatisfactorilyansweredtheproofofconceptquestion(i.e.,thattheFundconceptcanorcannotworkintheBrandywine‐ChristinaBasin).Thebusinessplanshouldalsoincludeperformancemetricsagainstwhichitsprogresstowardsfinancialsustainabilitycanbeevaluated(bythefoundationandotherinvestors).CONCLUSION TheWilliamPennFoundationinvestedsubstantialresourcesintheFund’sconceptualdevelopment.ItneedstodetermineiftheFund: hasastrongenoughbusinessmodeltobecomefinanciallyself‐sustaining; shouldbetreatedasalearninglaboratorythatcreatesknowledgetosupporttheimplementationofwaterfundsinotherwatersheds;or isnotlikelytosucceedinthewatershed.TheEFCrecommendsthattheFund’sbusinessplanbethebasisforthefoundation’sdecision.Awell‐developedbusinessplanshould: clearlyexplainhowtheFundwillbemanagedthroughitsthreecoreprocessesofcapitalization,deploymentandadministration;and, demonstratehowtheFundwillmeetitsgoalofacceleratingwatershedhealthbyincentivizingandlayeringinvestmentsfrommultiplebeneficiaries.Tohelpguidetheelementsofthebusinessplan,theEFCappliedadiagnosticframeworkwithfivespecificrecommendationsfortheBCHWFteamasitdevelopsitsbusinessplan.Theyare:1. articulatethetypesofinvestmentorenterpriseactivitiesthatwillenablepotential“downstream”funders,suchasDEwaterpurveyors,toinvestinBCHWFrestorationworkinPennsylvaniaportionsofthewatershed;2. includeapilotstageinthebusinessplanthatprovides“proofofconcept”totriggerfundingsothattheFundcanadvancetothenextmarketstage(i.e.,fullimplementation);3. incorporatediscussionofbarriersthatimpacttheFund’sfinancialforecastsandgrowth;
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Attachment18.InvestmentsintheDelawareRiverWatershed
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Attachment19.SummaryofWaterFundCaseStudies
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Attachment20.ChesterCountyConservationDistrict
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Attachment21.RioGrandeWaterFundComprehensivePlanforWildfireandWaterSourceProtectionSeptember2014,UpdatedNovember2014
Vision,GoalsandObjectivesTheRioGrandeWaterFundisestablishedtoachievethevisionofhealthyforestsandwatershedsthatprovideareliablesupplyofhigh‐qualityRioGrandewaterandotherbenefitsforNewMexico.Thegoalofthewaterfundistoprotectstorage,deliveryandqualityofRioGrandewaterthroughlandscape‐scaleforestrestorationtreatmentsintributaryforestedwatersheds,includingtheheadwatersoftheSanJuanChamaProject.Theobjectivesofthewaterfundareto: Restorewatershedfunctionsbyimprovingthehealthofstreamsandriparianareas, Mitigatethedownstreameffectsoffloodinganddebrisflowsafterwildfires, Reduceforestfuelsinareasidentifiedashighriskforwildfireanddebrisflow, Supportforestproductsindustries’useofwoodby‐productsfromforestfuelreduction, Maintainthereducedwildfirehazardintreatedareas,and Securesustainablefinancingfromwaterusers,government,investorsanddonors Facilitatepaymentstoupstreamlandmanagers.TheNatureConservancyconvenedanadvisoryboardinApril2013toguidetheformationoftheRioGrandeWaterFund.Initially,23organizationsandagenciesparticipatedandoverthecourseofayeartheboardgrewtomorethan45NewMexicoentities.Eachadvisoryboardmemberrepresentsauniqueconstituencyorstakeholderwhocaresaboutwatersecurityandwantstohelpimplementlarge‐scaleforestandwatershedrestoration(AppendixA).Theadvisoryboardhastwoimportantroles:
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Involvelocal,state,federal,andtribalgovernmentandwatermanagers,thebusinesssector,foresters,conservationorganizationsandotherstakeholdersinthecreationofawaterfundthatconnectstheRioGrande,RioChamaandtributariestosurroundingforestedwatersheds. Providedirectionforthecreationofawaterfundincludingguidanceaboutstudiesneeded,creationofacomprehensivewatersecurityplanthatwillcomplementandinformotherplans,anddeterminationofthewaterfundstructure,governanceandfundraising.Theadvisoryboardrepresentsdiverseinterests,withmanymeetingforthefirsttimeatthecomprehensiveplanningprocess.
FundingPlanAcoordinated,leveraged,multi‐partnereffortisneededtoscale‐uprestorationten‐fold.TheexistingactionsofthemanyagenciesandorganizationsintheRioGrandeWaterFundprovideaperfectfoundationforcoordinatedactioninapublic‐privatepartnership.Separately,theworkofthekeyagenciesandorganizationshasbeenunabletoachievetheeconomyofscaleneededtorestorelargeareastoprotectwatersources.ThisComprehensivePlanproposesanintegratedsolutionthatleveragesexistingprogramsandinvestmentstoachievealargeroutcome.TheRioGrandeWaterFundwillcollectprivateinvestmentsfromindividuals,businesses,corporationsandfoundations.Thefundingwillbeavailableforthinning,controlledburns,streamrestoration,post‐firewatershedrestoration,planning,educationandoutreach,andactivitiesthatcontributetothemonitoringprogram(seeAppendixD).TheNatureConservancywilladministerprivatedonationstotheRioGrandeWaterFund,drawinguponthetrackrecordandlessonslearnedfrom12existingwaterfundsinLatinAmerica.[I]Anexecutivecommitteeofdiversestakeholdersandinvestorswilldeterminewhichprojectsinthefocalareasreceivefunding.Writtenagreements,suchasMemorandumofUnderstanding(MOU),maybeneededtoorganizethepublic‐privatepartnershipandtospecifythenecessarycommitmentsandfiscalagencytocoordinateandleveragefundingresources(Figure11).Keyelementsinclude: CoordinationwiththeForestService,NaturalResourceConservationService,BureauofLandManagementandotherfederallandmanagementagenciessothatappropriationsforhazardousfuelsreduction(roughly$6millionofFY13dollarsspentintheRioGrandeWaterFundarea)aretargetedatthehigh‐priorityfocalareas. Waterfundforwildfireandwatersourceprotectionwithrevenuefromvoluntarycontributionsbywaterusers,businesses,investorsanddonors.Theseprivatefundswillbecriticaltomatchandleveragegovernmentexpendituresonforestandwatershedrestorationinthefocalareas.(seeAppendixDforlistofeligibleactivities) Long‐termstatefundingplanforforestandwatershedrestorationtorestorethefocalareas(aswellasotherhigh‐prioritytreatmentareasinNewMexico)asdefinedbytheNewMexicoLegislatureinSenateMemorial95andHouseMemorial80. Voluntarycontributionsofrevenuefromlocalgovernments—cities,counties,tribes,municipalwaterutilities,irrigationdistricts,soilandwaterconservationdistricts,landgrantsandacquisassociations—toeithertheRioGrandeWaterFundorthelong‐termstatefundingvehicledescribedabove. Investmentinenterprisedevelopment,workforcecapacitybuildingandbusinessincentivestousewoodandbiomass,andtore‐establishasignificantwoodindustryandrestorationeconomyintheRioGrandeWaterFundarea.OutreachandEducationalPlan
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AworkinggroupofeducationprofessionalsdevelopedthevisionforoutreachandeducationaspartoftheRioGrandeWaterFund.TheworkinggroupincludeseducatorsfromAlbuquerqueBernalilloCountyWaterUtilityAuthority,AlbuquerquePublicSchools,BosqueEcosystemManagementProgram,NewMexicoMuseumofNaturalHistoryandScience,NewMexicoStateLandOffice,RioRanchoPublicSchools,RiverSource,SandiaMountainNaturalHistoryCenter,SantaFeWatershedAssociationandVallesCalderaNationalPreserve.Theworkinggroupvisionistoeducateandengagethecommunityofwateruserssothattheybecomeactiveincreatingasecurewaterfuture.Theworkinggroupgoalistopromoteandsupporteducationalprogramsthatengagepeopleinprotectingstorage,deliveryandqualityofRioGrandewaterwithafocusonforesthealth,riverecologyandasustainablewatersupply.MarketingandCommunicationsTheNatureConservancywillcreateandimplementacomprehensivemarketingandcommunicationsplanfortheRioGrandeWaterFundthatwillresultinincreasedvisibilityoftheproject.Theplanwillinitiallyextendovera12‐monthperiodwiththeaimofincreasingfundraisingpotentialandbuildingsupportfortheRioGrandeWaterFundwithmultipleaudiences.Thegoalistotellthewaterfundstoryby: Raisingawarenessamongwaterusersaboutwheretheirwatercomesfrom;and SharingtheexperiencesofthemanyNewMexicanswhowillbenefitfromthecreationofthefund. Tacticsandstrategiesinclude:creatingtalkingpointsandamessageblueprintadvocatingforthewaterfund;highlightingthewaterfundinprintpublicationsthataredisseminatedthroughoutthestate;creatingdigitalassetsincludingwebfeatures,onlineslideshows,socialmediapostingsandvideo;pitchingthewaterfundstorytolocal,regionalandnationalmediaoutlets;andprovidingopportunitiesforadvisoryboardmembersandpartnerstousethesematerialsintheircommunicationsandmarketingefforts.TheRioGrandeWaterFundwebsitewillprovidea“clearinghouse”foreducationoutreach.MonitoringPlanforRioGrandeWaterFundJobsandEconomicDevelopmentToassesstheprogressindevelopingNewMexico’sforestindustryandjobcreation,theRioGrandeWaterFundproposesthefollowingindicatorsbereportedonanannualbasis:numberoffulltime,parttimeandseasonaljobscreated;numberofbusinessescreatedthatoperateinNewMexico,includingthosereceivingwoodsupplyfromawaterfundproject;amountofwoodproductusedbylocalcommunitiesandbusinesses;valueofleveragedstateandlocalresourcescommittedtoforest/watershedrestoration;andvalueofprivateandpublicinvestmentinforestindustryinfrastructure.PeriodicsamplingandpollingcanhelpindicateeffectsonNewMexico’seconomy.ExistingData:Unemploymentdatabycounty,asreportedmonthlybytheU.S.BureauofLaborStatistics,maynotadequatelyreflecttheimpactoftheRioGrandeWaterFundonNewMexico’sforestindustry.RioGrandeWaterFundFinancingSustainablefundingisnecessarytoensurethewaterfundmeetsitsgoalsandobjectiveswithinthetimeframeagreeduponbystakeholders.Whilesomeoftheworkmaybepaidforthroughgrantsanddonations,muchoflong‐termworkcouldbepaidforwithreoccurringfundingfromthestatelegislature,stateandfederalagencies,anddownstreamwateruserssuchasmunicipalities/waterutilities,agriculturaldistrictsandindustry.Themetricsforevaluatingfundingwillconsidertwotimescales:1)short‐termfunding(0‐20years)tofinancetreatmentofhigh‐priorityforested
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watersheds;and2)long‐termfunding(beyond20years)tofinancemaintenanceoftreatedareas.Forbothtimescales,themeasureiswhethersufficientfundingissecuredtoacceleraterestoration.TheRioGrandeWaterFundwillcontinuouslytrackandprovidequarterlyreportsonfundsraisedaswellasthenumberofparticipatingmunicipalities,waterutilities,watercustomersandwaterfunddonors.ExistingData:Federalandstateagenciescanprovidedataonavailablefundstobeusedforforestandwatershedtreatments.Municipalwaterutilitiescanalsoprovidedataonfundsusedforrestoration.OutreachandEducationForyoutheducation,themeasuresofprogresswillinclude:numberandpercentageofstudentsreachedinschoolprograms;numberandpercentageofschoolswithinwatershedareaparticipatinginprograms;numberandpercentageofyouthparticipatinginsummerandafterschoolprograms;anddemonstratedunderstandingofcoreforesthealthconcepts.Metricsforadultoutreachandeducationprogramswillinclude:dollarsfromindividualdonationstotheRioGrandeWaterFund;numberofpeoplereachedthroughmarketingandoutreach;numberofeventssponsoredandthenumberofattendees;numberofparentsandteachersinvolvedinstudenteducationprograms;anddigitalmediameasures,suchaswebsitevisitsandFacebooklikes/shares.ExistingData:Schoolsystemsandenvironmentaleducationprovidersarealreadycollectingandcompilingdataabouttheprogramstheycurrentlyoffertoyouthandadults.Aspartofitsmonitoringplan,TheRioGrandeWaterFundwillassesschangesinwildfirebehaviorrelativetountreatedareas.TheRioGrandeWaterFundwillincludeamonitoringprogramtotracktheenvironmentalandeconomiceffectsofrestorationactivities,ensurethatinvestmentsareachievingtheiranticipatedimpacts,andenablecorrectionstomanagementstrategies.EconomicConsequencesandBenefitstoNewMexicoThecostofthinningoneacreofdenseforestis$700inmostpartsoftheRioGrandeWaterFundarea.Multiply$700by30,000acresofponderosapineandmixedconiferforeststreatedinthewaterfundareaeveryyear,andthetotalpricetagcouldreach$420millionover20years.Toputthislargeinvestmentinthe“naturalinfrastructure”offorestedwatershedsintocontext,Albuquerquerecentlyinvested$450millioninawatertreatmentplant.Thevalueofinvestinginforestrestorationcanbeillustratedbythefullcostofasinglewildfire,suchasthe2011LasConcha’sfirewhichhadapricetagestimatedat$246million,or$1,000to$2,150peracre—morethanhalfthecostfor20yearsofincreasedforestrestorationandsubstantiallymoreperacre.Additionally,arecentstudyestimatedthefour‐yearcost(2009‐2012)ofwildfiresinNewMexicoat$1.5billion,wellabovethe$420millioninvestmentproposedbythisplan.Toacceleratethepaceofthiswildfireandwatersourceprotectionproject,$21millionayearwillbeneededfromallsources—theRioGrandewaterfund,governmentrevenueandothersources.Currently,aboutone‐thirdofthisamount,or$6millionannually,isbeinginvestedinfederalhazardousfuelsreductioninthefocalareas.Clearly,itismorecost‐effectivetoinvestin“prevention”thantopayto“react”todamagingwildfires.Overtime,thecostofpreventionwilldeclineasalargerforestindustryisestablished.Atransitionperiodwillbeneeded,andtheRioGrandeWaterFundcanfilltheneedasdescribedinthisComprehensivePlan.
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Attachment22.SchuylkillRiverRestorationFund
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SCHUYLKILLRIVERRESTORATIONFUND
GrantGuidelinesfor2016Round
GoalsandPurposesofWatershedRestorationgrantsWatershedRestorationgrantsareavailabletonon‐profitorganizations,county&municipalgovernments,andotherrelatedgovernmentagenciestoundertakeimplementationprojectsthatwillimprovethequalityandquantityofwaterintheSchuylkillRiveranditstributaries.ThegoaloftheSchuylkillRiverRestorationProgramistofundprojectsintheSchuylkillRiverBasinthatareconsistentwithrestorationandwatermanagementgoalsfortheSchuylkillRiver.FundingPrioritiesImplementationProjects:GeneralFundingArea–FundingwillbegiventoprojectsthatmitigatewaterqualityandquantityproblemsintheSchuylkillRiverwatershedresultingfromacidminedrainage,agriculturalrunoff,andstormwaterissues.FocusArea1:PerkiomenCreek‐Atleast10%ofavailableExelonfundsmaybetargetedtowardimplementationprojectswithinthePerkiomenwatershed.EligibleprojectsinthePerkiomenCreekWatershedmayincludestormwatermanagement,agriculturalrunoffmitigation,andpathogenremediation.FocusArea2:PhiladelphiaWaterSupply‐AportionoftheavailablefundswillbeusedforprojectsthatareabletodemonstrateprotectionofthePhiladelphiadrinkingwatersupply. Eligibleprojectswilladdressstormwatermanagement,agriculturerunoffmitigationandpathogenremediationwithinthedrainageof,orinareasofsignificantinfluenceonthePhiladelphiadrinkingwaterintakesintheSchuylkillRiverandtheSchuylkillwatershedinPhiladelphia.LandTransactionAssistanceProjects:Targetedtoassistlandtrustsandconservationorganizationswiththetransactioncostsassociatedwiththepreservationoftargetedlandswithinprioritywatersheds.Aseparatesetofguidelineshasbeenestablishedforthisprogram.PleasecontacttheSchuylkillRiverHeritageAreaformoreinformationorvisithttp://schuylkillriver.org/Grant_Information.aspxforfullprogramguidelines.
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EvaluationProcessProjectswillbeevaluatedinatwo‐stepprocessthatincludes(1)aLetterofIntentfollowedby(2)aninvitationtosubmitafullapplicationiftheLetterofIntentisrecommendedbytheAdvisoryCommittee.(LetterofIntentisnotrequiredforLandTransactionprojects)
I. GENERALAPPLICATION
APPLICANTINFORMATIONOrganizationAddressCity State ZipPhone Fax WebMunicipality CountyContactNameTitleEmailPROJECTINFORMATION
ProjectType GeneralFundingArea AMD Agriculture StormwaterFocusArea1:PerkiomenCreek Stormwater Agriculture PathogenRemediationFocusArea2:PhiladelphiaWaterSupply Stormwater Agriculture PathogenRemediationLandTransactionAssistance(checkallthatapply) ConservationEasement FeeOwnership Donation PurchaseProjectTitle
ProjectLocation
ProjectDescriptionShortdescriptionoftheprojectapproximately50words
BUDGETINFORMATIONGrantRequest $RequiredMatch $a. CashMatch $b. In‐Kindcontributions $TotalProjectCost $
MATCHSOURCES
Source Amount CommittedorPending $ $ $ $
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□IgivepermissiontotheSchuylkillRiverGreenwayAssociationandtheSchuylkillRiverRestorationFundAdvisoryCommitteetoforwardthisapplicationtootherfundersforreviewandpotentialsupport.
APPLICATIONNARRATIVEPleaseaddressallofthefollowingitemsintheorderinwhichtheyarepresented.Thisnarrativeislimitedtoatotaloffivepages. Anyapplicationwithanarrativelongerthanfivepageswillnotbeeligiblefor funding.1. Objectives–Whatarethespecificgoalsandobjectivesoftheprojectandhowwilltheybecompleted?2. Background–Describethebackgroundoftheproject.Whyisthisprojectneeded?Howwasitidentified?Whatwastheoriginalcauseorcircumstancethatdevelopedtheneedforthisproject?3. Criteria–Pleaseaddresstheprioritycriterialistedintheprogramguidelines,specificallyhowthisprojectwillimprovethequalityandquantityofthewaterwithinthewatershed.4. Experience–Describeyourorganizationsexperienceincompletingsimilarprojects.5. Timeline–Pleaseprovideaprojecttimelineshowingmajortasks,sequencetobeperformed,andstartandenddates.6. Deliverables–Pleaselisttheestimateddeliverablesforthisproject.(e.g.–numberofnativetreesplanted,numberofstreammilesrestored,totallinearfeetofstreambankfencinginstalled,squarefeetofriparianbufferrestored,etc.).II. ATTACHMENTS1. Technical–Pleaseincludethefollowing,ifavailable,astheyrelatetoyourproject:
(a) Projectlocationmap
SIGNATURES
Name Titl Signatur Dat
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(b) SiteplanorphotographPleasenote:Donotincludedesigndrawings,sketches,multipleprojectphotographsandotherdetailedtechnicalinformation.Youwillbeabletopresentandcommunicatetheseitemsduringyourprojectpresentation.2. Budget–Pleaseattachaprojectbudgetshowingtheestimatedexpensesfortheentireproject. (accountingforbothrequestedgrantfundsandmatchingfunds)CriteriaEvaluationfactorsinclude:• Theproject’sabilitytoimprovethequalityandquantityofwaterintheSchuylkillRiver;• Theprojectexhibitshighstandardsofplanninganddesign,includingimplementationofBestManagementPractices;• Therelationshiptopreviouswatershedrestorationeffortswithinaparticulararea;• Theprojectisconsistentwithlocal,state,federal,orotherplans;• Theprojectispositionedforimplementationwithlittleornoadditionalplanning;• Theprojectissingle‐phasedorinthefinalphaseofimplementation.Projectsthatwillrequiremultiplephasestohavedemonstrableaffectsonwaterqualityorquantitywillnotbeconsideredunlessthesubmittedphasewillresultinmeasurableimprovements;• Theprojectwillrequireminimalmonitoringfollowingcompletiontodemonstratepositiveenvironmentaleffects;• Theprojectwilleffectivelyleveragetheresourcesoftwoormorepartners,includingasponsoringpartnerwithsufficientcapacitytomanagetheprojectfollowingcompletionorwillutilizevolunteers;• Howtheprojectwillimpactlowincomeorminoritypopulations?AwardAmounts• Grantapplicantsmayrequestbetween$20,000and$100,000.• ApplicantsworkinginthePerkiomenCreekWatershedmayrequestbetween$5,000and$100,000.MatchRequirements• Allprojectsrequireaminimumof25%match.• Cashandinkindservicesareeligiblematchsources.However,projectsshowinghighlevelsofcashmatchwillbegivenpriorityintherankingandgrantawardprocess.• Matchingfundsderivedfromprivate,non‐governmentalsourcesareencouraged,butnotrequired.GrantPeriodAllprojectsmustbecompletedbyDecember31,2018.EligibleExpensesGrantfundsmaybeusedforthefollowingpurposes: Implementation:Includeslabor,materials,signage,sitepreparation,permitfees,andanyother
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“hardcosts.” Projectmanagement:Upto10%ofthegrantawardmaybeutilizedfordirectcostsAssociated
withprojectmanagementbytheapplicantorsubcontractor.Eligibleprojectmanagementexpensesinclude:subcontractor/consultantfees,salaryfororganizationalstaffresponsibleforprojectimplementation,travel,meetingexpensesandotherdirectcosts.
Ifaprojecthasremainingdesignissuesthatneedtobecompletedpriortoimplementation,the
reviewcommitteewillconsiderthisasaneligibleexpenseonacasebycasebasis.However,theapplicantmustdemonstratethattheproject'simplementationphasewillstillbecompletedduringthethreeyeargrantperiod.
GrantfundsmayNOTbeusedforthefollowingpurposes: Landacquisition(implementationgrantfundscannotbeusedforlandacquisition) Projectsthatarebeingundertakentosatisfylocal,state,orfederalregulatoryrequirements.ContractorSelection:Allcontractorsworkingonprojectsfundedbyagrantthroughthisprogrammustbeselectedbyacompetitiveprocess.Applicantswhodesiretousespecificcontractorsnotselectedcompetitively,mayrequestapprovaltodosofromtheSchuylkillRiverHeritageArea.TheSchuylkillRiverHeritageAreareservestherighttoreviewandapproveallselectedcontractors.LetterofIntentProcessOrganizationsmustsubmitanelectroniccopyoftheLetterofIntenttotfenchel@schuylkillriver.orgbythestateddeadline.TheLetterofIntentshallbeNOLONGERthantwo(2)pages,shouldbeoncompanyletterheadandmustincludethefollowing:• ProjectNameandlocation• ProjectDirectorandcontactinformation• Briefsummaryoftheproject• Objectivesofprojectandhowitmeetstheprogramguidelinesandcriteria• Estimatedgrantrequestandmatchingfundsources**OrganizationsshouldincludeathirdpageintheLetterofIntentshowingaprojectsitemapandphotograph,ifappropriate.ElectroniccopyoftheLetterofIntentmustbesubmittednolaterthan4:00p.m.onFebruary17,2016.FullApplicationProcessInvitedorganizationsshouldsubmitone(1)originalhardcopyaswellasanelectroniccopyoftheirfullapplication.Thisapplicationwillinclude:□ ACoverLetter□ PartI–GeneralApplication.□ PartII‐Projectnarrative.Maximumoffive(5)pages□ PartIII–Attachments.
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CopiesshouldNOTbestapledbutboundbypaperclipand/orbutterflyclip.ApplicantsshouldalsosubmitanelectroniccopyoftheirfullapplicationnolaterthantheapplicationdateofApril15,2016at4:00p.m.ApplicationnarrativeslongerthanfivepagesWILLNOTbeconsideredforfunding.ApplicantswhoareinvitedtosubmitafullapplicationwillalsobeexpectedtopresenttheirproposedprojecttotheAdvisoryCommittee.ThesepresentationswillbeheldinearlyMayattheofficesoftheSchuylkillRiverHeritageAreainPottstown,Pennsylvania.ArepresentativeoftheSchuylkillRiverHeritageAreawillcontactyoutosetupthepresentationtime.
APRIL15,2016DEADLINEFull Applications are due to the Schuylkill River Heritage Area, Attn: Grants ProgramCoordinator,140CollegeDrive,Pottstown,PA19464by4:00p.m.onApril15,2016.Electroniccopiessenttotfenchel@schuylkillriver.orgSchuylkillRiverHeritageArea•140CollegeDrive•Pottstown,PA19464•484‐945‐0200Fax484‐945‐0204•[email protected]
SchuylkillActionNetworkStrategicPlan
2016‐2020AppendixA:BackgroundontheSAN’sOrganizationalDevelopmentAppendixB:2016WorkplansSANDrinkingWaterProtectionHistory
FollowingthepassageoftheCleanWaterActandtheSafeDrinkingWaterActintheearly1970s1,westartedtothinkverydifferentlyaboutourriversandstreamsandhowtheyimpactourdailylives.TheSchuylkillRiver,whichwasonceseenasaplacetodisposewaste,isnowavitalresourceforourqualityoflife.AsthelargestsingletributaryandsourceoffreshwatertotheDelawareRiver,theSchuylkillRiverisalsoanimportantcomponentoftheDelawareEstuary.Theriverprovidesopportunitiesforrecreation,helpstomeetourenergyneeds,andisamajorsourceoffreshwatertotheDelawareEstuary,amajoreconomicdriverfortheregion.However,oneofitsmostimportantbenefitsissomethingweallrelyoneveryday,drinkingwater.Morethan2millionpeoplegettheirdrinkingwaterfromtheriverandstreamsintheSchuylkillwatershed,makingprotectingitaveryimportantgoalforwatersuppliers.Overadecadeago,thePhiladelphiaWaterDepartment(PWD)embarkedonaveryambitiousefforttoidentifyandprioritizeallofthepotentialpollutionthreatstotheSchuylkillRiver,whichprovidesabouthalfofthecity’sdrinkingwater.Thisprocessledtothecreationofaprotectionplanfortheriver,layingoutaroadmapforaddressingthesethreats.Oneoftheprimarygoalsofthisplanwastocreateamechanismforregionalcoordinationacrossgeographic,regulatory,andjurisdictionalboundaries.TheSchuylkillActionNetwork(SAN)wascreatedshortlythereaftertohelpaccomplishthisgoal.TheSANtakesawatershed‐wideapproachtoprotectingdrinkingwatersourcesbypartneringwith
2016 Schuylkill River Restoration Fund Grant Timeline
January 6: February 17: March 9: April 15:
Application materials available online at www.schuylkillriver.org Letters of Intent due to SRHA by 4:00 p.m.
Invitation to submit Full Application notice sent
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upstreamcommunities,otherregionalwatersuppliers,businesses,governments,andwatershedprotectiongroups.StrategicPlanBackgroundSinceitsinception,theSANhasregularlyproducedaStrategicPlantohelpguidethenetwork’sfuturegrowthanddirection.TheSAN2016‐2020StrategicPlan(the“Plan”)wasdevelopedthroughaneffortoftheSANPlanningCommitteetoserveasaguideforthenextfiveyears.ThePlanwasinformedbytheSAN’soriginalgoalsandpurposes,pastprioritiesandlong‐termagendaitems,aswellasthecurrentandongoingworkofitsvariousworkgroups,committees,andpartners.TheSANfacilitatedavarietyofprocessesforgatheringnewinputfrompartnersandwatershedstakeholdersduringthestrategicplanningupdateprocess.Earlyin2015,thePlanningCommitteeandExecutiveSteeringCommittee(ESC)initiatedtheplanningprocessbyidentifyingkeythemesforthenewplan.Duringthesummerof2015,thePlanningCommitteeheldregionalstrategicplanninglisteningsessionsinReadingandPhiladelphiaandengagedmembersonlinethroughawebinarmeeting.Severalonlinesurveysdevelopedforwatersuppliers,recreationalusers,andthegeneralpublicweredistributedthroughoutthewatershedtogarneradditionalinput.Intotal,over300SANpartnersandstakeholdersprovidedresponses.AllsolicitedfeedbackwasorganizedbytheSANPlanningCommitteeandincorporatedintonewstrategiesandobjectiveswhicharereflectedinthePlanbelow.ThePlanisatoolcraftedtoguideandcoordinatetheSAN’sworkoverthenextfiveyearsandtocommunicatetheSAN’sintentionstothesurroundingcommunityofpartners,potentialpartners,andfunders.Planningisafluidprocessandthisplanwasdesignedtoberegularlyrevisited–andrevised–asneededaspartoftheworkplanningprocess.ThePlanissupportedandfurtherdetailedbytheyearlyworkplansforeachSANworkgroup/committee.TheSANisavoluntarypartnershipdedicatedtomeetingitsmissionandvisionfortheSchuylkillRiver.Thedeadlines,actions,andcommitmentsofthisPlanaresubjecttotheavailabilityofsufficientresourcesandfundingtocarrythemout.TheSANleadershipwillperiodicallyreviewtheprogressofthePlan,makeadjustmentsasneededtoreflectthelatestpriorities,needsandavailableresources,andcontinuetoworktowardthevisionandmissionoftheSANatanefficientandfeasiblepace.OverviewofSANStrategicGoalsStrategicGoal Workgroup/Committee
Responsible
ToadvancedrinkingwaterandwatershedprotectionfortheSchuylkillRiveranditstributariesbyfacilitatingcommunicationanddecisionmakingonaregional,state,andfederallevel.Workcollaborativelytoensuretheavailabilityofresources,expertise,andcommitmentstosupportthework.
ExecutiveSteeringCommittee
Focuseffortsonimprovingwatershedmanagement,especiallyactivitiesthatwillenhancethequalityandflowofSchuylkillwatersfortheprotectionofpublichealthandaquaticresources.CreateandmaintainaneffectivenetworkthatmaximizestheresourcesofitsmembershiptoprotectandrestoretheSchuylkillwatershed.
PlanningCommittee
Maximizereductionand/ortreatmentofabandonedminedrainagedischarges.
AbandonedMineDrainage(AMD)Workgroup
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Maximizereductionand/orpreventionofagriculturalimpactstowaterquality.AgriculturalWorkgroup
Improvepublicsupportforwatershedprotectionactions. Education&OutreachWorkgroup
Engagerecreationalusersofthewatershedinactivitiesthatleadtoincreasedawarenessandadvancementofwatershedprotectionandrestorationstrategies.
RecreationWorkgroup
Facilitateandstrengthencommunicationandcoordinationamongregulatoryagencies,downstreamwaterusers,andbasinstakeholdersregardingpointsourcecomplianceprogramsanddrinkingwaterprotectionstrategies.
Pathogens/ComplianceWorkgroup
Maximizereductionand/orpreventionofstormwaterrunoffpollution. StormwaterWorkgroup
PromoteasustainablelandscapeintheSchuylkillRiverwatershedthroughstrategicconservationandefficientlandresourceusetoprotecttheintegrityofwatersuppliesforfuturegenerations.
WatershedLandProtectionCollaborativeWorkgroup
VisionTheSchuylkillwatershedisahealthyecosystemandafoundationforathrivingnetworkofcommunitiesinsoutheasternandcentralPennsylvania.ItisthelargestsourceoffreshwatertotheDelawareRiverandanimportantnaturalresourceoftheDelawareEstuary.Residentsrecognizethemselvesascitizensofthewatershedandtheyvalueitsuniqueculturalandnaturalresources.Reflectingthiscommonvalue,residents,businesses,non‐profitorganizations,andgovernmentsactivelyworktoaddresscurrentandpastthreatstodrinkingwatersourcesandwatershedhealthwhileworkingtoprotectthesenaturalresourcesfromnewstress.MembersoftheSchuylkillActionNetworkshareinformation,expertise,andtechnologytohelpeachotherachievethissharedvisionofcleanwaterandahealthyenvironmentfortheSchuylkillRiveranditstributaries.Managementpractices,restorationefforts,andprotectivemeasuresareimplementedusingasustainablesourceoffundingtoimproveandprotectthewaterresourcesandwaterqualityoftheSchuylkillRiverwatershed.MissionThemissionoftheSchuylkillActionNetworkistoimprovewaterresourcesintheSchuylkillRiverwatershedbyworkinginpartnershipwithlocalwatershedorganizationsandlandconservationorganizations,businesses,academics,watersuppliers,recreationalcommunities,localgovernments,andregional,state,andfederalagenciestotranscendregulatoryandjurisdictionalboundariesinthestrategicimplementationofprotectionmeasures.TheSANseekstoachievethismissionthroughenhancedcommunicationandcollaborationand,morespecifically,byworkingcooperativelywithinterestedpartiesto:● SupportexistingeffortsandimplementactionstorestoreandprotectwaterqualityintheSchuylkillRiverwatershed;● Promotethelong‐termcoordinatedstewardshipandrestorationofthewatershedandeducateothersregardingtheirrolesinprotectingthewatershedandwatersupplies;● Transfertheexperienceandlessonslearnedtoothercommunities;and● Enhanceintergovernmentalcommunicationandcoordinationbyworkingtogetherontheidentificationandresolutionofenvironmentalissueswithsharedregulatoryresponsibility.SANObjectivesToimprovethequalityofdrinkingwaterasindicatedby:
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● Reductioninannualpollutantloadingstosourcewaterduetodrinkingwaterprotectionefforts.● ParticipationofSchuylkillRiverwatersuppliersinSANworkgroupsandeventsdirectlysupportingutility’sSourceWaterProtectionPlansandSourceWaterProtectionPlangoals.Toimprovewatershedhealthasindicatedby:● Increasedeffortstoachievehealthyandresilientaquaticecosystems.● Promotingtherestorationofimpairedstreammilesandcontinuingtofurtheradvancetheprotectionofstreammilesthroughthenetwork’smanycollaborativeeffortsandwatershedstrategies.Toimprovepublicvalueasindicatedby:● SignificantimprovementinpublicperceptionoftheSchuylkillRiverasavitalregionalnaturalresourcethatshouldbeprotected.● Areturntotheriverbythepublicforthepurposesofrecreation,sport,andenjoyment.KeyStrengthsoftheSAN
OverviewDuringthestrategicplanningprocess,SANmemberswereaskedtodescribetheservicesprovidedbytheSANthattheyvaluemost.Theseservicesshouldbemaintainedand/orimprovedbytheSANinordertoachieveasharedvisionforacleanandhealthySchuylkillwatershed.Thefollowingthemesrepresentthisfeedbackandareincorporatedthroughoutthegoals,strategies,andobjectivesoftheSANleadershipandworkgroups.
ResourceTheSANprovidesvaluableresourcesandinformationrelatedtotheSchuylkillwatershed.ThishasbeenaprimaryobjectiveoftheSANsinceitsinception,andachievedbyutilizingtheSANwebsiteasaclearinghouseofinformationonSchuylkill‐relatedtopics,documents,reports,guides,photos,andmore.MaintainingthisbenefitoftheSANisimportantforthewatershedcommunityandisembeddedasakeyelementofthestrategiesforthenext5years.TheSANshouldalsocontinuetolookforadditionalopportunitiestoserveasaresourceforitspartnersthatwilladdvaluetothesharedworkthroughoutthewatershed.TheSAN’skeystrengthsasaresourceincludebeing: Aleadingsourceforinformationonwatershedrelatedissuesormaterials; Supportive,andpossessingahighlevelofwatershedknowledgeandexpertise; Aresourceforassistingpartnersinobtainingfundingnecessarytocompletetheirpriorityprojects.Forexample:partnerssubmitmanymulti‐organizationalgrantapplications,focusonsub‐awardprojectscoordinatedbythePartnershipfortheDelawareEstuary,andprovidelettersofsupportforSANpriorityprojects.
NetworkingandCollaboration
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OneoftheprimarygoalsoftheSANistoserveasaplatformforindividuals,organizations,agencies,utilities,schools,businesses,andotherstocometogethertoshareresources,information,andstrategiesthatimprovethehealthofthewatershed.TheSAN’skeystrengthsinnetworking/collaborationinclude: Effectivecollaborationwithpartners; Welcomingandengagingmembers; Strategicallyplanningeventsandmeetings; Bringingtogetheravarietyofstakeholdergroups.Forexample:environmentalnonprofits,waterutilities,andgovernments; Havinggeographicaldiversityamongitspartners; ContinuouslydevelopingtheSANandincludingnewmembers/partners; Providingprofessionalconnectionandnetworking.
Issue‐focusedActionTheSANislargelystructuredaroundissue‐drivenworkgroups,taskedwithaddressingthemostpressingproblemsinthewatershed.ThisapproachisvaluedbySANpartnersinthatitrepresentsaprioritizedapproachandleadstohighqualityprojects.Inthestrategicplan,strategieshavebeendevelopedtoensurethatissue‐drivenworkcontinuesandisexpandedwhenpossible.TheSAN’skeystrengthsinmaintainingissue‐focusedactioninclude: TheSAN’sfocusonmanydifferentaspectsofwater,whilemaintainingacentralemphasisonwatershedhealthandcleanandsafedrinkingwater; Linkingtogetherdrinkingwater,wastewater,recreation,societalissues,andeconomics; Definingclearobjectives; Takingprovenapproachestosolvingproblems; Identifyingtoolstoprotectandrestorethewatershed.
WatershedImprovementsTheSANhaspositivelyimpactedtheenvironmentalconditionsofthewatershed,aswellascommunitiesinthewatershed,despitelimitedmoney,resources,andstaff.ThisisespeciallyhighlightedintheAgriculturalandAbandonedMineDrainageworkgroupswherewaterqualityimprovementsareverynoticeable.Throughoutthisstrategicplan,theSANwillfocusonachievingwatershedimprovementresults.TheSAN’skeystrengthsinachievingwatershedimprovementsinclude: Fosteringpositiveenvironmentalchange; Positivelyimpactingcommunitiesinthewatershed; Clearlycommunicatingwhatprogresslooksliketoitsmembers; Achievinggoalsdespitelimitedmoney,resources,andstaff; Identifyingtoolstoprotectandrestorethewatershed.
EducationandOutreachTheSANworkstointegrateeducationinmanyofitswatershedrestorationandprotectiongoals.InadditiontomaintaininganEducationandOutreachWorkgroup,theSANstrivestoimplementactionsthatincreasetheunderstandingofandaffinityfortheSchuylkillWatershedacrossallofitswork.EducationandoutreachisalsoakeyfocusinmanyoftheSAN’spartners’missions.When
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possible,educationandoutreachshouldbefurtherembeddedthroughoutSANinitiativesandprojectswiththegoalofincreasingpublicawarenessandcareforthewatershed.TheSAN’skeystrengthsineducationandoutreachinclude: Makingtheconnectionbetweenupstreamanddownstreamwaters; Includingstrong,clearmessagesaboutcleanwaterinoutreachmaterials; CreatingandmanagingtheSchuylkillActionStudentsprogram.
DataandMonitoring2InordertoadvancetherestorationandprotectioneffortsoftheSAN,itisimportanttodocumenttheextentandimpactofactivities.Thisislargelyaccomplishedthroughwaterqualitymonitoringefforts.DatacollectionandmonitoringisakeyelementofmanySANworkgroupstrategies.TheSANwillworktoacquireresources formonitoringandtoconnectlocalmonitoringactivitieswith largerregionalmonitoringanddatacollectionandmodelingefforts.AprimarygoaloftheSANwillbetoprovideamechanism for sharing data among partners to assist in identifyingpriority areas for programimplementation,reducingcontamination,andprotectingpublichealth.TheSAN’skeycollaborativemonitoringanddatacollectioneffortsinclude: AbandonedminedrainagemonitoringeffortscompletedbytheSchuylkillHeadwatersAssociation,SchuylkillConservationDistrict,UnitedStatesGeologicalSurvey,andtheArmyCorpsofEngineers. AgriculturemonitoringeffortsbytheDelawareRiverWatershedInitiative(DRWI). ConservationmonitoringeffortsbytheDRWIAdditionalmonitoringstrategiesoftheSANinclude: Provideguidanceandsupporttoworkgroupsfordeterminingandmeasuringworkgroupobjectives. ProvideguidanceandsupporttotheSANpartnersforintegratingwatershedmonitoringinformationintotheSANwebsiteandotheroutreachtools. Supportthemaintenanceofkeymonitoringstations,suchastheUSGSgaugestationatNorristownandotherUSGSgaugestationslocatedupstreamofdrinkingwaterintakes. CoordinatewatershedmonitoringandanalysisneedswithcurrentornewinitiativesthroughtheDelawareRiverWatershedInitiativeandwiththeAcademyofNaturalSciences. Supportwatersuppliersintheireffortstobettercoordinateandsharewaterqualitydataandinformation. EncouragetheinvolvementofcollegesanduniversitiesinhelpingthemeetadditionalmonitoringneedsintheSchuylkillRiverwatershed. IdentifyopportunitiesandprovidesupportforconnectingdataandmonitoringactivitiesoftheDelawareValleyEarlyWarningSystemwithSANwatershedoutreachandplanningefforts.
WaterSuppliersSincetheinceptionoftheSAN,theSANhasbeenactivelyinvolvedinwatersuppliers’sourcewaterprotectionplanningandimplementationefforts.TheSANshouldcontinueto: MaintainandupdatethewatersupplierslistontheSANwebsite. Sharerelevantinformationwiththewatersupplierslistserv. Participateinwatersuppliersourcewaterprotectionmeetings.
AppendixA:
BackgroundonSANOrganizationalDevelopment
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CreationofSANTheSchuylkillActionNetwork(SAN)isacollaborativenetworkofover100partnersworkingtogethertoimprovewaterresourcesintheSchuylkillRiverwatershed.TheSANseekstoachievethisvisionbyworkinginpartnershipwithlocalwatershedandlandconservationorganizations,businesses,academics,watersuppliers,recreationalcommunities,localgovernments,andregional,state,andfederalagencies.Inresponsetosourcewaterassessmenteffortsin2003,thePhiladelphiaWaterDepartment(PWD)soughthelpfromtheEnvironmentalProtectionAgency(EPA)RegionIIItodevelopanetworkofstakeholdersthatwouldincludevariousagenciesandorganizationsworkingtoprotectSchuylkillwatershedresources.TheEPAledthecreationoftheSchuylkillActionNetworktoaddressmajorthreatstodrinkingwaterintheSchuylkillwatershed,includingpollutantsfromagriculture,abandonedmines,stormwater,andsewage.TheSANwasstructuredasaseriesofintegratedworkgroupsorcommitteestoaddresstheidentifiedthreatstotheSchuylkillRiver.Theoriginalworkgroupsinclude:AbandonedMineDrainage,Agriculture,Stormwater,andPathogens/ComplianceWorkgroups.Eachworkgroupwasdesignedtomeetregularly,undertheleadershipofavolunteerchairperson,todiscusswatershedissuesandplanandimplementprojectsofstrategicimportancerelatedtothesetopics.TheseworkgroupsweredesignedtorepresentthecoreoftheSANandthevehiclebywhichmostoftheSAN’sworkisaccomplished.Workgroupmembershipandmeetingswerecreatedtobeopenandaccessibletoanyone.Inadditiontotheworkgroups,theSANincludedanExecutiveSteeringCommittee(ESC),PlanningCommittee,Education/OutreachCommittee,andDataTeamtoguideandsupporttheactivitiesoftheworkgroups.TheESCmetsemi‐annuallytoprovidehigh‐levelguidanceandbuy‐infromthemajorpublicagencies,whilethePlanningCommitteemetmonthlytoprovidemorehands‐onstrategicdirectiontotheSANandhelpinsuregoodinternalcommunication.TheEducation/OutreachCommitteeandDataTeamprovidedsupportservices,benefittingallSANworkgroupsandmembers.Figure1depictstheoriginalorganizationofSANworkgroupsandtheirresponsibilitiesasof2004.
EvolutionofSANOvertime,theorganizationoftheSANhasevolvedinseveralcriticalways.In2004,asubcommitteeoftheStormwaterworkgroupwasconvenedtoaddresstherecommendationsoftheSchuylkillRiverWatershedConservationPlan.ThiswasacriticalfirststepfortheSAN,takingapreventativeapproachtodrinkingwaterthreats.TheSchuylkillRiverConservationPlanledtoasuccessfulPennsylvaniaDepartmentofEnvironmentalProtectionGrowingGreenergranttoprioritizelandforpreservationbasedondrinkingwaterprotection.Alsoin2004,thePWDandthePartnershipfortheDelawareEstuary(PDE)submittedasuccessfulTargetedWatershedGrantproposaltotheEPAtofundaseriesofprojectsintheSchuylkillwatershed.Thisfunding($1.15millionoffederalfunds,leveraginganadditional$1.49millioninmatchfromvarioussources)hasbeencriticalinallowingtheSANtotakeactionontheground.ItisalsoanexampleoftheSANatitsbest:adiversityoforganizationsandagenciesleveragingtheirindividualstrengths/skillstobringnewresourcestothewatershedandtacklewidespreadandcomplexproblemsinatargeted,strategicway.Underthisgrant,localorganizationsactedasprojectmanagersandreceivedandmanagedprojectfundsforimplementationofprojects.Projectsincludedabandonedminedrainageremediation,stormwatermanagementimprovements,
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agriculturalimprovements,andeducationalpilotsandcasestudies.ThisgrantprovidedfundingfortheSANtoimplementasetofselectedprojectsfrom2004to2008,duringwhichtimetheSANleadershipcultivatednewfinancialresourcestocontinueandexpandonthismodelofimplementation.InAugust2005,thePlanningCommitteebegantheprocessofstrategicplanningbytakingacriticallookatSAN’sorganizationalstructureandhowitcouldbeimprovedtoenableandencouragemorestakeholderleadershipwithintheSAN.Aspartofthiseffort,severalimportantdecisionsweremade,including:● Thedecisiontoaddanon‐governmentalpositionattheESClevelformorebalancedrepresentation.Basedonthisdecision,thePDEjoinedtheSANESCinthebeginningofAugust2006.● ThedecisiontomaintainafederalleadfortheESCinordertoprovidecredibilitytothecollaborativeapproachandinfluenceforstakeholderinvolvement.
● ThedecisiontoexpandPlanningCommitteemembershiptoincluderepresentativesfromeachofSAN’sworkgroupstoprovideamechanismforadditionalstakeholderinvolvementandbettercommunicationacrossgroups.
● ThedecisiontofocusontheSchuylkillRiverCongressastheprimaryoutreacheventfortheSANeachspring,andholdtheSANAnnualWorkshopeachfall.Inspring2006,theSANengagedtheInstituteforConservationLeadership(ICL)toleadastakeholderinputprocesstoinformthestrategicgrowthanddirectionofSAN.ThefollowingcriticaldecisionsweremadebytheSANleadershipinAugust2006inresponsetotheICL’srecommendations:● ThedecisiontoelevatetheWatershedLandCollaborative(WLC)tofullworkgroupstatusinanefforttomaketheconnectionbetweenlandandwatermanagementmoreexplicit.Asaresult,theWLC was reinvigorated andmet quarterly,which re‐engaged land conservation interests in thewatershed.● Thedecisiontodevotetime/efforttoandgetprofessionalhelpforimprovingSANcommunications,includingexploringnewresourcesandideasforimprovingSAN’sinternalcommunication,creatingawebsite,andexploringthefeasibilityofamajorpublicoutreachcampaign.Asaresult,oneoftheSAN’stopprioritiesfororganizationalimprovementwastohireacommunicationsconsultanttoprovideassistanceonthesecriticalcommunicationissuesin2007.
● Thedecisiontodevotetime/efforttosortandidentifyspecificpolicyissuesthattheSANcouldplayaroleinaddressingonanissue‐specificbasis.Asaresult,thePlanningCommitteeevaluatedthevastnumberofpolicysuggestionsmadebystakeholderstoidentifydiscreteactionsfortheSANanditsleadingagenciestoundertakeforimprovement
● ThedecisiontotargetmunicipalitiesasakeyaudienceintheworkofboththeStormwaterWorkgroupandtheWatershedLandProtectionCollaborative.Alsoin2006,theSANcontractedwiththeEnvironmentalFinanceCenter(EFC)toexplorethefeasibilityforbuildingasustainablefinancing/fundingmechanismforSchuylkillWatershedprotectionactivities.Basedoninterviewsandresearch,theEFC’sreportoutlinedthescale,sources,andinstitutionsforfinancing/fundingandstepstofillthefinancing/fundinggapforeachofthe
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SAN’spriorityareas/workgroups.TheEFCalsomadeaseriesofrecommendationstotheSANleadership,includingdevelopingaunifiedrestoration/protectionplan,expandingcommunityengagementwithoutreach/educationandbyworkingwithrelevantstakeholdergroups,focusingonprevention,andconveninganImplementationTaskForcetohelpcreateafunding institution.In2004,theSANlaunchedawebpage.In2007,SANcreateditswebsite:www.SchuylkillWaters.org.ThiswebsiteservesasaclearinghouseforinformationontheSchuylkillWatershed,SANprojects,andprovidesapublicoutreachcomponentofthenetwork.Thewebsitealsofeaturesaninternalcomponent,designedtofacilitateinteractionamongstSANpartners,allowingforprojectsreportstobecreatedandshared,newsitemstobeshared,emailbetweenworkgroupsandSANmembers,andthehostingofworkgroupdocuments.Since2007,thewebsitewasupgradedtoaddaninteractivecalendarandwasintegratedwithsocialnetworkingtoolsandsites.In2009,theSAN,throughthePDE,broughtonafulltimecoordinatortooverseetheday‐to‐dayoperationoftheSAN,facilitatecollaborationamongstmembers,andadvanceworkgroupgoalsbysecuringfundingandresourcesforpriorityprojects.In2011,theSANupdateditstrategicplanforanother5years(2011‐2016).ThisplanrenewedcommitmentsoftheSANworkgroups,integratednewinitiativesandworkgroupsstrategiesintotheprocess,andsetoutanambitiousagendatostrengthenSAN’spresenceinthewatershed.In2013,theSANcelebratedit10‐yearanniversary,whichwascommencedwithaseriesofeventsthroughouttheyear,includingacelebrationthatrecognizedthemanymilestonesthattheSANwasabletoachieve,commitmentsofSANpartners,andarenewalofthestakeholdersthatcontributedtomakingSANwhatitistoday.TheSANalsoreleaseda10‐yearprogressreportthathighlightedalloftheworkgroupaccomplishmentssincetheSAN’sinception.In2014,theSANsecuredafellowtoassistthecoordinator,whichhassincebeenturnedintoafulltimeSANspecialistposition.Today,SANnowhastwo‐full‐timestaffmemberstooverseethenetworkandassistworkgroupwithadvancinganaggressiveagendaforacleanandhealthySchuylkillWatershed.
SANTodaySince2003,theSANhasgrowntoapproximately150organizations(over500people)includinglocalwatershedorganizationsandlandconservationorganizations,businesses,academics,watersuppliers,recreationalcommunities,localgovernments,andregional,state,andfederalagencies.TheSANusesuniqueskillsandexperienceofeachofitspartnerstoimplementon‐the‐groundprojectsthatimprovewaterqualityoftheSchuylkillRiveranditstributaries.Today,theSANiscomposedofanExecutiveSteeringCommittee,aPlanningCommittee,sixworkgroups(AbandonedMineDrainage,Agriculture,Education&Outreach,Pathogens/Compliance,Stormwater,andWatershedLandCollaborative)andisdevelopingaseventh,Recreationworkgroup.Figure3depictstheSAN’sorganizationalstructureasitisin2016.Overthepastseveralyears,theSANhasstrivedtoencouragegreaterstakeholderparticipationandleadership.Becauseoftheseefforts,therearemanyopportunitiesforstakeholderstobeinvolvedintheSANtoday.Allworkgroupmeetings,times,andlocationsarepostedontheSANwebsiteandareopenforanyonetoattend.Withthecompletionofitsmostrecentstrategicplan,anevenmoreaggressiveandinclusiveagendahasbeenestablishedtoguideSANthrough2020.Manynew
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partnershavebecomepartoftheSANandtogether,thiscollaborativenetworkwillcontinuetoleadeffortstorestoreandprotecttheSchuylkillWatershed.Figure1:SANOrganizationalChart2004
Figure2:SANOrganizationalChart2007
SchuylkillActionNetworkFinancingStrategyAWhitePaperReportPreparedbytheEnvironmentalFinanceCenterUniversityofMaryland
January2007IntroductionThisreportwasproducedbytheEnvironmentalFinanceCenter(EFC),whichislocatedattheNationalCenterforSmartGrowthResearchandEducationattheUniversityofMaryland,CollegePark.EFC’sworkonthisprojectwaspartiallysupportedbyacontractfromthePartnershipfortheDelawareEstuaryonbehalfoftheSchuylkillActionNetwork(theNetwork).ThepurposeofthisreportistooutlinethefundingandfinancingchallengesrelatedtorestoringandprotectingwaterresourcesintheSchuylkillwatershed,andtoproviderecommendationstotheNetworkforsupportingkeyfinancingneedsthroughouttheregion.OuranalysisfocusedontheNetwork’sfour“areasofconcern”–abandonedminedrainage,agriculture,wastewater,andstormwater–highlightedintheRecommendationsfortheNetworkTheEnvironmentalFinanceCenterrecommendsthattheNetworkfocusonthreecoreissues:implementingwaterqualityprograms,supportlandconservationefforts,andsupportingfarmingeconomyinitiatives.Therefore,werecommendthefollowingnextsteps:Conductan“audit”offederalandstatewaterqualityandtechnicalassistancefundingprograms.Therearedozensofstateandfederaltechnicalassistanceandfundingprogramsavailabletofarmers.ThoughnotallofthemarerelevanttofarmersintheSchuylkillwatershed,itisverylikelythatallavailableresourcesarenotbeingleveraged.ParticipatingNetworkpartnersshouldsponsorandsupportadetailedanalysisoftheseprograms.Whereresourcegaps
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exist,partnershipsshouldbedevelopedtoincreaseimplementationcapacity.AneffectivecasestudyforthisapproachistheChesapeakeBayFoundation’sworkonassistingfarmersandNRCSofficesinprovidingtechnicalassistance.FocusNetworkresourcesondevelopingandsupportingfinancinglandconservationprograms.ItisourrecommendationthattheNetworkfocusitsresources,specificallythoseintheagriculturalworkgroup,onsupportingeffortstoprotectresourcelandsandcriticalopenspacethroughoutthewatershed.Oneofthe“truths”associatedwithenvironmentalfinanceisthatitischeapertoprotectthanitistorestore,andpreventingtheimpactsofrapiddevelopmentandstormwaterrunoffonwaterresourcesiscriticallyimportanttothesuccessoftheregion’sfinancingandimplementationefforts.Protectingagriculturallandsandtheregion’sagriculturaleconomyisthemosteffectivewaytomanagepopulationgrowthandtoencouragenewdevelopmentinappropriateareas.Leveragecommunitypartnerstodevelopmarket‐basedfarmingprograms.InNovemberof2005,theAmericanFarmlandTrust(AFT)producedareportfortheBerksCountyCommunityFoundationcalledtheChallengesandOpportunitiesforAgriculturalViabilityinBerksandSchuylkillCounties.ThepurposeofthestudywastoanalyzetheagriculturalindustryinBerksandSchuylkillCountiesandtodeterminewhatactionscouldbetakentosustaintheindustryforthe
next25years.40Inadditiontoprovidingarobustanalysisofthestatusofagricultureinthewatershed,itprovidesathoroughlistofnextstepsandrecommendationsforthecommunitiestotaketosustaintheagriculturalindustry.ItisourrecommendationthattheNetworkusetheserecommendationsgeneratedbyAFTasthebasisforitsstrategicgoals.Thereportoutlinesavarietyofmarket‐basedtools,taxincentives,economicdevelopmentprograms,andtechnicalassistanceprogramsthat,iffullyimplemented,wouldreducethecostassociatedwithprotectingwaterresources.StormwaterManagementRecommendationsfortheNetworkUptothispoint,thefocusoftheNetworkhasbeentouseexistinggrantfundstoimplementinnovativestormwaterbestmanagementpracticesandcontroltechnologies.Thesetypesofdemonstrationprojectsareoftenthemosteffectivewayfororganizationsandcommunitiestoeducatecitizensandcommunityleadersonthetypesofinnovativeoptionsavailableforprotectingandrestoringlocalwatershedsandwaterresources.However,astheNetworkmovesforward,itshouldconsideritsabilitytosustaintheseprograms,aswellasitsabilitytoinfluencethefinancingprocessincommunitiesacrossthewatershed.Ultimately,successfullymanagingstormwaterwillrequiresignificantchangesinthestate’sregulatoryandgovernancestructure,andtheNetworkshouldfocusitsenergiesonfacilitatingthosechanges.Focusonnewdevelopmentandlandprotection.Themostsignificantthreattothewaterresourcesthroughoutthewatershedisnewdevelopment,specificallydevelopmentinthewrongplacesdoneinthewrongway.TheNetworkshouldfocusonworkingaggressivelytoprotectagricultureandopenspaceintheupperpartofthewatershed.Preventingstormwaterproblemsinthewatershedismuchlessexpensivethanfixingthem.Forthesamereason,theNetworkshouldalsocontinueitseffortstoimplementlow‐impactdevelopmentstandardsincommunitiesacrossthewatershed.Therehavebeenmanycommunityeffortsthroughouttheregionworkingwithlocalgovernmentstoimplementlowimpactdevelopmentandstormwaterstandards.TheNetworkshouldconcentrateoncontinuingtheseefforts.Workwithcommunitiestodevelopstrategicapproachestofinancingandimplementation.Whatisneededatthelocallevelisabusinessplanapproachtofinancingandimplementingstormwaterandwetweathermanagementprograms.Somecommoncharacteristicsareevident
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amongsuccessfulstormwaterutilityprograms.Themostsuccessfulprogramshavereliedheavilyonabusinessplanmodel,whichguidesboththeprogramevolutionandfundingdecisions.Thestrategyforaccomplishingtheprogramisdefined,thetypeandmagnitudeofcostsareprojected,resourcerequirementsaredetermined,timingissuesareresolved,andthentheanalysisofspecific
fundingmechanismstakeplace.52TheNetworkhasanopportunitytoworkwithstateleaders,NGO’s,academicinstitutions,andotherstakeholderintereststodeveloptechnicalassistanceprogramsthatfocusonimplementingthisbusinessplanapproachincommunitiesacrossthewatershed.Continuetofocusonpubliceducationandoutreach.ArealstrengthoftheNetworkhasbeenitsfocusoneducationandoutreach.Thisiscriticalinthefinancingprocessbecauseitprovidesawayforlocalandstateofficialstocommunicatetotheircitizensandconstituentsthevalueoftheirinvestment,andthereturntotheircommunity.Inmostcommunities,“needs”arethekeydriverofstormwaterprogramandfundingstrategies.Authority,capability,andaclearvisionofthemissionareessential,butintheabsenceofcompellingneedslocalgovernmentleadersapplytheirattention
andresourceselsewhere.53And,itisoftenthecitizensofthecommunitythatidentifyanddefinetheseneeds.TheNetworkshouldfocusitscommunityoutreachandeducationresourcesonthisissue.Asmentionedthroughoutthisreport,oneofourprimarygoalswastoproviderecommendationstotheNetworkonhowitcanstrengthenandleverageitsroleinthefinancingandimplementationprocess.Oneofthemosteffectivewaystoaccomplishthiswouldbetoworkinpartnershipwithstateandcommunityofficialstodevelopstrategiceducationandoutreachprogramsacrosstheregion.RecommendationsforMovingForwardDevelopunifiedrestorationgoals.OneofthestrengthsoftheNetworkisitsabilitytotapintothemanystudies,planningefforts,andconservationandprotectionstrategiesbeingdevelopedincommunitiesacrossthewatershed.Inadditiontothesourcewaterassessment,therehavebeenwatershedprotectionplansdeveloped,TMDLstudiesimplemented,Act167andMS4permitsdeveloped(andultimatelyenforced),aswellasahostofotherplanningandimplementationeffortsfocusedonprotectingwaterresourcesthroughoutthewatershed.TheopportunitytoleveragealloftheseeffortsisacriticalbenefitfortheNetworkanditsparticipatingorganizations.However,theredoesnotappeartobeacodified,unifiedrestorationandprotectionplaninplace.Theassessmentidentifiedthethreatstodrinkingwaterresources,butitdoesnotclearlyestablishpollutionreductiongoals,strategiesforreachingthesegoals,orstrategiesforimplementation.TheNetworkhasauniqueopportunitytoformalizeandcodifyawaterresourcesrestorationplanandstrategy.Large‐scaleecosystemrestorationeffortsaresuccessfulwhenthereisaunifyingtheme,implementationplan,andtemplateforsuccess.Thedecisionbywatershedleaderstocombinedrinkingwaterprotectioneffortswithwaterqualityprotectioneffortswasbasedonanimplicitunderstandingthattheunifyingthemewastheneedtoprotectandmanagewaterresources.ThegoalofeachorganizationorinstitutionparticipatingintheNetworkmaybedifferent.Thereareconstituentsandstakeholderstargetingmyriadissuesincludingwaterquality,stormwatermanagement,wastewatermanagement,abandonedminedrainage,drinkingwaterprotection,habitat,andopenspaceprotectiontonameafew.Thepowerofthistypeofapproachisthatbyfacilitatingtheimplementationofabroadnumberofobjectivesandprogramsthroughanequallybroadnetworkofpartnerorganizations,institutions,andcommunities,thelargercollectivegoalcanbemoreeffectivelyandefficientlyrealizedandmaintained.Thechallengeisinharnessingandleveragingthenecessaryleadershipandinstitutionalstructuresnecessaryforsustainedimplementation.
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Thisisaveryimportantnextstepinthefinancingeffort.Withcostestimatesforrestoringandprotectingwaterresourcesinthehundredsofmillions,ifnotbillionsofdollars,itiscriticalthatlocalandstateleadersclearlydefinethescaleoftheproblem,associatedcosts,andthestrategyforachievingprogramgoals.Successfullyprotectingthewatershedwillrequiretheuseofpublicrevenue,andleveragingthenecessarytaxesandfeeswillrequireaclearunderstandingofhowtheresourceswillbeinvestedandhowtheywillallowcommunitiestoreachtargetedgoalsandstrategies.Thefinancingprocesswillrequireamosaicofresourcesandtools,buttheoverallgoalmustbeclearlydefined.Therefore,ourrecommendationisthattheNetworkleadthisplanningeffort.Conductathoroughcostanalysis.Successfullyfinancinganythingisverydifficult,ifnotimpossible,withoutaclearunderstandingoftheassociatedcosts.Wehaveidentifiedtherelativescaleofthecostsassociatedwitheachofthefourareasofconcern,butadetailedcoststudywasbeyondthecapacityofthisproject.Acostanalysisorstudyiscritical,however,becauseitwillnotonlyidentifythecostsassociatedwithspecificbestmanagementpracticesandrestorationstrategies,butitwillalsohelptoidentifytheneedforvariousfinancinginstruments,aswellastheroleandresponsibilityofvariouslevelsofgovernment,andthemostappropriaterevenuegeneratingtools.AdoptagreenInfrastructureapproach.Atitscore,thedevelopmentandimplementationoftheSchuylkillActionNetworkwasthelogicalnextstepintheregion’swatershedprotectionefforts.Resourceexpertshavebeeninsistingforyearsthatcommunitiesmustembraceamorecomprehensiveapproachtowatershedprotection,therebyincorporatingcriticalissuessuchasdrinkingwaterqualityandquantitythroughtheprotectionofsourcewaterresources,wetweathermanagement,andwaterqualityprograms.Fromanefficiencypointofview,thistypeofcomprehensiveapproachmakessensebecauseitoffersastructureforaddressingmultiplecommunityprioritiestherebyreducingimplementationcosts,andincreasingthereturnonthecommunity’sinvestment.However,waterresourceprotectionisinmanywaysjustthefirststep.Thenextstepisforcommunitiestoincorporateenvironmentalprograms,initiatives,andgoalsintoaunifyinggreenornaturalinfrastructureplan.Byadoptingagreeninfrastructureapproach,theNetworkwouldprovidecommunityleaderswithaveryeffectivetoolforcoordinatingnaturalresourceprotectionefforts,therebyincreasingreturnoninvestment.Inshort,agreeninfrastructureapproachwouldprovidetheNetworkleadershipwithaveryeffectiveimplementationandorganizationalstrategy.Agreeninfrastructureframeworkcanhelpcoordinateandincorporateabroaderarrayofcommunityprioritiesandprograms.Forexample,amajorthreattowaterresourcesintheSchuylkillRiverwatershedisdirectlyrelatedtoagriculturalbestmanagementpractices.However,anequallythreateningsituationrelatestothelossoffarmlandwithintheregion.Implementingaggressivewaterqualitybestmanagementpracticescanbeindirectconflictwithtryingtoreducepressureonfarmerstherebykeepinglandinagriculturalproduction.Iffarmlandislostanddeveloped,communitiesfaceevengreaterwaterqualitythreats.Withagreeninfrastructureapproach,theroleofworkinglandsisincorporatedintoregionaldecision‐makingefforts.Greeninfrastructureplanningcanarticulatetheroleofworkinglandsintheregionallandscape.Asaresult,localleaderscandevelopmoreeffectivelandmanagementtoolsthatworktoprotectcriticalresourcelands,therebyaccomplishingmultiplecommunityobjectives.Theactualon‐the‐groundactivitiesmaynotbeanydifferent,butitreducesinherentconflictsandprovidesaframeworkformoreeffectiveutilizationoflimitedfiscalresources.Thereareotherpotentialbarriersfacingtherestorationeffortthatcouldberesolvedwithabroadergreeninfrastructureapproach.OneofthestrengthsoftheNetworkeffortisthatithighlightstheconnectivityofawatershed.Whathappensupstreamhasrealdownstreamimpact.
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Therefore,everyonehasaroletoplayintheoutcome.Thisisespeciallytruewhenconsideringdrinkingwaterprotection.Thosecommunitiesthatrelyonclearrawwaterfordrinkingwaterneedsareveryconcerned,orshouldbeconcerned,aboutwhathappensupstream.However,whenconsideringdrinkingwater,upstreamendsattheintakepipe.IntheSchuylkillRiverwatershed,thereisverylittleincentive,inrespectstodrinkingwaterprotection,forleaderswithinthecityofPhiladelphiatofundaggressivestormwaterandwaterqualityprograms.Ifthebenefitsoftheseactionsareentirelydownstreamofwaterintakes,therewillbelittleincentivetospendlimitedfiscalresourcesonthoseactivities.Thisnotonlyimpactsdownstreamwaterqualityissues;italsoimpactsothercommunitypriorities.Forexample,manystormwaterbestmanagementpracticeshavepositiveimpactsontheamountoftrashincitystreetsandwaterways,urbanheatislandeffects,andlocalqualityoflifeissues.Ifprogramsfocusexclusivelyonwatershedsandsourcewaterprotection,theopportunitytoleverageavarietyofcommunityprioritiescouldbelost.Agreeninfrastructureapproachcreateslinkagesamongenvironmentalandnaturalresourceprotectionprioritiesandbetweenruralandurbancommunities.Ithasalsobeenshowntoreducethecostsassociatedwithmajorstormwaterandcombinedseweroverflowmanagementefforts.TheLowImpactDevelopmentCenter,onbehalfoftheNaturalResourceDefenseCouncil,recentlyproducedareportcalledRooftopstoRivers,whichhighlightedthefiscalbenefitsofurbangreen
infrastructureprograms.54ImplementingthetypesofprogramshighlightedinthisreportwillprobablynothaveadirectimpactondrinkingwaterresourcesintheSchuylkillwatershed,buttheywillimpactwaterresources,thequalityofhabitatareas,energyneeds,andthedevelopmentoflivablecommunities.Bytakingabroadergreeninfrastructureapproach,theNetworkcanleveragesignificantresourcesandaccomplishmultiplecommunitypriorities.Theresultisincreasedefficiency,andagreaterreturnoninvestment.Expandcommunityparticipationandengagement.Effectivefinancingstrategiesincorporatemultiplefinancingsources,instruments,andinstitutionsinawaythatallowsforsustainable,long‐termimplementation.Thereisno“silverbullet”solutionforimplementation.Itwillrequiretheparticipationandcommitmentofeachcitizeninthebasinandeffectivecoordinationamongcommunities,institutions,andstakeholdersthroughouttheregion.Inmanyways,thisisthegreatestassetoftheNetwork.Itprovidesastructureforparticipationmissingfromotherlarge‐scalecommunityrestorationefforts.Successfulimplementationrequirestheparticipationoftheentirecommunityandtheintegrationofmultipleinstitutions,organizations,andplanningefforts.Perhapsnoissueismorepoliticallychargedthanthatofmoneyandtheinvestmentofscarcefiscalresources.Therefore,financingstrategiesrequireacommunity‐basedapproach,incorporatingallrelevantstakeholdergroupsintotheprocess.AstrengthoftheSchuylkillActionNetworkisthatitbringstogethermultiplestakeholdergroupsinanintegrated,cohesiveway.Thisisanextremelyimportantfirststepinprotectingandrestoringwaterresourcesbecauseitfocusedontheroleofcommunityintheprocess.Conveneastate‐levelimplementationtaskforce.Protectingandrestoringwaterresourcesis,orshouldbe,acommunitypriority,andsuccesswilleventuallyrequirethecommitmentofelectedofficialsandlocalleadershipatthehighestlevels.TheNetworkhasdoneaveryeffectivejobofengagingcitizenactivistgroups,environmentalorganizations,andstateandfederalregulatoryandagencypartners.However,itisnotcleartheNetworkhasbeensuccessfulengagingandleveragingtheparticipationofelectedofficials,bothatthestateandlocallevel.Bottom‐upcitizen‐basedeffortsaremostsuccessfulwhenthereisaconcertedefforttoengageleadershipfromtheverybeginningoftheprocess.ItiscriticalthattheNetworkcontinuetoengagestateandlocalelectedofficialsandworktohavetheirendorsementoftheprocess.Fromafinancingperspective,successwillrequiretheseveryleaderstomakeanumberofcriticaldifficultdecisionsrelatedtorevenue
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andfinancing.Iftheseleadershavenotbeenengagedthroughouttheprocess,thereislesschancethatthenecessaryresourceswillbededicated.Focusonstormwatermanagementandlandusepolicy.Asthesourcewaterassessmentindicates,thegreatestthreattowaterresourcesthroughouttheregionisinadequatestormwaterandwetweathermanagementprograms.Duetorapidpopulationgrowthandlandconversion,stormwaterisbecomingexponentiallymoredifficultandexpensivetomanage.CompoundingDevelopaSchuylkillRiverWatershedTrust.TherearethreekeyareasoffinancingcapacitythatmustbeaddressedfortheNetwork’sgoals,andthecommunity’sgoals,toberealized.Theremustbesufficient,dedicatedrevenuesources;theremustbetheappropriateinstitutionstoinvestthoseresources;andtheremustbeaconcertedefforttoinvestthoseresourcesinawaythatwillreducecosts,improveefficiency,andultimatelymaximizethecommunity’sreturnoninvestment.Addressingthesefinancingprioritiesandcapacityissueswillcontinuetobetheresponsibilityoftheexistinglocal,state,federal,andprivatefinancinginstitutions.However,therearesignificantfinancinggapsthatmustbeaddressed.TheEnvironmentalFinanceCenterrecommendsthattheNetworkleadanefforttodevelopaSchuylkillRiverWatershedTrust(theTrust).ThepurposeoftheTrustwouldbetofinancegreeninfrastructureandwaterresourceprotectionandrestorationprojectsacrossthewatershed.Essentially,theroleoftheTrustwouldbetofinancetheimplementationoftheNetwork’sgoals,strategies,andrecommendedbestmanagementpractices.ThefollowingsectionprovidesafewbriefideasandrecommendationsaddressinghowtheTrustmightbecapitalizedandgoverned,aswellasapotentialframeworkfordecision‐makinganddevelopinginvestmentpriorities.CapitalizingtheTrust.OurrecommendationisthattheTrustbecapitalizedbyattachingafeetoeverywaterextractorandeverywaterdischargerinthewatershed.ThismeansthatnotonlywillindustrydischargersandextractorspayintotheTrust,butalsoeveryresidentialdrinkingwaterandwastewaterratepayerintheregion.Protectingnaturalresources,especiallywaterresources,issomethingthatbenefitsandimpactseverycitizeninthewatershed,whetherupstreamordownstream.Everybodymustpayinordertosolvetheproblem.Ifeverycitizen(includingcorporatecitizens)inthebasinparticipates,theTrustwouldbecapitalizedwithtensofmillionsofdollarsperyear.TheroleoftheTrust.TheTrust’srolewouldbetoinvestinthemostefficient,costeffectivestrategiesforprotectingtheregion’swaterresourcesandgreeninfrastructure.TheTrustshouldhaveeitherthecapacitytosecuretherevenuetofundinnovativecapitalinfrastructureprojects,oritshouldbedevelopedtoworkinpartnershipwithotherfinancinginstitutionssuchasPennVestandlocalwaterandwastewaterauthorities.Thegoalshouldnotbetoreplacelocalandstatefinancinginstitutions,buttoexpandthecapacityofcommunitiestofundandfinancecriticalprogramandprojects.Potentialgovernancestructure.Thereareanumberofdifferentapproachesandframeworksfor
developinganinstitutionliketheTrust.55However,thereareafewcriticalissuesthatmustbeaddressedwhenconsideringhowtheorganizationwouldbegoverned.First,theinstitutionshouldbecharteredorsanctionedbythestate.Theendorsementandleadershipofstateofficialsatthehighestlevelswillbecritical.Withoutit,theTrustwouldnothavethecapacitytoeffectivelyfulfillafinancingroleintheregion.AgoodexampleofthistypeofrelationshipistheChesapeakeBayTrust
inMaryland.56ThoughtheTrustwouldbechargedwithfinancingwaterresourceprograms,itwouldnotnecessarilyneedtobeauthorizedtoserveasafinancingauthority.TheTrustcouldfunctionmuchlikeMaryland’sChesapeakeRestorationFundprogram,wherefeesarecollectedby
existingauthoritiesandfinancinginstitutions.57
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TheadvantagesofdevelopingtheSchuylkillWatershedTrust.Ultimately,thepurposeofaregionalfinancingentityliketheproposedTrustistoimprovethecapacityoflocalandstatefinancingeffortsbyfillingcriticalfinancinginstitutionalgaps.OneofthemostsignificantofthesegapsinPennsylvaniaresultsfromthemunicipalgovernancestructure.IntheSchuylkillwatershedalonetherearedozensofincorporatedmunicipalities,eachwiththeirownpriorities,levelsofcapacity,andlawsandregulations.Asaresult,restorationandprotectioneffortsareoftenscatteredanduncoordinated.Inaddition,thereareextraordinarylossesofefficiencywhenfinancingcannotbeimplementedonaregionalorunifiedbasis.TheSchuylkillWatershedTrustwouldhavethecapacitytocoordinatemunicipalandstatefinancingeffortsandapplyfiscalresourceswheretheyarecriticallyneeded,regardlessofgeopoliticalboundaries.Otheradvantagesinclude:1. Thefundswouldfocusonthemostintractable,difficultfinancingissuessuchaslandprotection,
AMD,andwildcatsewersystems.Ineffect,theTrustwouldfillacriticalinstitutionalgapwithinthewatershed;and,
2. ThefundsgeneratedandinvestedbytheTrustwouldresultinpotentiallysignificantcostsavingstocommunitiesthroughoutthewatershedasaresultofreducingtheneedforsignificantinfrastructureupgrades.
Potentialbarriersandchallenges.EstablishingtheTrustwouldrequireasignificantamountofcoordinationandovercomingsignificantimplementationbarriers.Forexample,politicalresistancewouldmostlikelybesignificant,especiallyfromthedrinkingwaterandwastewatersystems.Itisverydifficulttoimposeandimplementsignificantfee‐basedprogramsforanypurpose,waterresourceprotectionbeingnoexception.ThefactthattheTrustwouldbecapitalizedthroughmultiplewatersystemswouldrequireevenmorepoliticalactionandenergy.Implementingaprogramlikethiswithinmultipleinstitutionswillbedifficult,andmayactuallyrequirestatelegislationandparticipation.Finally,theTrustwouldneedtobeestablishedasanindependentinstitution.However,itmaybenecessarytofinancebestmanagementpracticesatpublicinstitutions.Thiswillalmostcertainlypresentanumberoflegalissuesandbarriersthatwillneedtobeaddressed.Tohelpmeetthesechallenges,itisourrecommendationthattheNetworkleadeffortstodevelopastrategyforimplementingtheTrust.Thefirststepwouldbetoconveneataskforce,asrecommendedabove,andhavethetaskforcebeginitsworkbyconductingafeasibilitystudyforimplementingtheTrustconcept.Again,thetaskforceshouldbeendorsedandsupportedbyalllevelsofgovernment,anditshouldfocusonoutliningtheappropriatestructure,decision‐makingcriteria,legalbarriers,andorganizationalmission.
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Attachment23.AnOunceofPrevention—ProtectingNaturalSystemsClean water is vital to all life, but especially important to human life and well‐being. Healthywatershedsprovidecleanwater,cleanerair,richsoils,minimizationandmitigationofflooding,andprovide opportunities for recreation, food and jobs. The best solution for preventing pollutionimpairmentsinhealthywatershedsistoprotectthemfromdegradation,whichoftenresultsfrom
poorlandusedecisionsandalackofconservation.16
Maintainingthehealthofourwaterscanhelpminimizecostsassociatedwithflooding.Forests,whetheruplandoralongsidestreams,reducetherateatwhichstormwaterrunsoffthelandandallowsrainwatertoslowlyinfiltrate,providingsubstantialgroundwaterrechargeopportunitywhile
reducingerosiononthelandscapeaswellaswithinstreamchannels.4Protectinghealthywatershedsalsohelpstopromoterecreationandtourism.AstudycompletedbytheOutdoorIndustryFoundationin2003foundthatoutdoorrecreationgenerated$88billioninstateandfederaltaxrevenue,providedapproximately6.5millionjobs,andcontributed$730billionannually
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Attachment24.TruckeeMeadowsWaterFund
TMWABenefitThisprojectsatisfiestheTRFGrantPrioritiesIIthroughVI–WatershedImprovements,LocalStormwaterImprovement,Re‐VegetationProjects,RehabilitationofLocalTributaryCreeksandStewardshipandEnvironmentalAwareness.Theprojectmeetsmultipleobjectives.Specifically,itwillimplementawaterinfiltrationsystemtofilterthewaterbeforeitentersbackintothecreekchannel;removenoxiousweedsalongthecreekbankandre‐vegetatetheareawithnativeanddroughttolerantplantstohelpwithsoilstabilizationanderosion;ispartofamulti‐phasedrestorationprojecttore‐channelizeTroutCreekneartheUnionPacificRailroad;andincludesaninterpretivekioskattheTroutCreekPocketParktoeducateyouthandadultsabouttherestorationeffortsforTroutCreek.Project:JohnsonCanyonWestsideRestoration–ConstructionImplementationOrganization:TruckeeRiverWatershedCouncil(TRWC)AmountRequested:$67,000AmountRecommended:$67,000OrganizationalMatch:$79,000(Cash) $6,000(In‐Kind)ProjectDescription:
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Thewatershedassessmentdescribesthegeomorphicandhydrologicprocessesinthewatershedandhowhumanactionshaveinterruptedthesefunctions.Fromthatscientificandtechnicalbasis,theassessmentidentifiedareasoferosionandimpactedfunctionwithinthewatershed.Preliminaryrestorationactionsandprojectconceptswerederivedfromtheassessment,includingbenefitsandgains,impactstothedrainagenetwork,sedimentproduction,relativecost,andprojectsequencing.Theroadnetworkisthesinglelargesterosiontriggerforsedimentyieldandhydrologicmodification.Withinthewesternportionofthewatershed,theassessmentidentifiesoveradozenhighprioritysites.ThesesitesarelocatedonpropertyownedbytheTruckeeDonnerLandTrust(TDLT)andUSForestService(USFS).TRWCispartneringwiththeseorganizationstocompletetherestoration.TMWABenefit:ThisprojectsupportsTRFsGrantPrioritiesIIandVIII–WatershedImprovementsandLeverageStakeholderAssetsandParticipation.ThisprojectwillreducesedimentationbyeliminatingerosionsourcesinJohnsonCanyonandTRWCwillpartnerwiththeTruckeeDonnerLandTrustandUSForestServicetocompletetherestoration.TRUCKEERIVERFUNDGRANTPRIORITIESBasedupontheaforementioneddiscussion,TMWArecommendsthattheAdvisorsgivepreferencetowell‐preparedandthoughtoutgrantrequestsforprojectsandprogramsthatmitigatesubstantialthreatstowaterqualityandthewatershed,particularlythosethreatsupstreamornearbytreatmentandhydroelectricplantintakes:AquaticInvasiveSpecies(AIS):Projects/ProgramsthatsupportthepreventionorcontrolofaquaticinvasivespeciesinthemainstreamTruckeeRiver,LakeTahoe,othertributariesandwaterbodiesintheTruckeeRiversystem.WatershedImprovements:Projectsthatreduceerosionorsediment,suspendedsolids,orTDSdischargestotheRiver.Projectsorprogramsthatarelocatedwithin303d(impairedwaters)sectionsoftheRivershouldbeconsidered,bothinCaliforniaandNevada.Innovativetechniquesshouldbeencouraged.
TRUCKEEMEADOWSWATERAUTHORITY(TMWA)RESOLUTIONNO.240ARESOLUTIONAPPROVINGPROJECTSFORFUNDINGUNDERTHETRUCKEERIVERFUNDWHEREAS,theTruckeeMeadowsWaterAuthorityandtheCommunityFoundationofWesternNevada(the"CommunityFoundation"),aNevadanon‐profitcorporation,haveenteredintoanagreementcreatingTheTruckeeRiverFund(the“Fund”)tofosterprojectsthatprotectandenhancewaterqualityorwaterresourcesoftheTruckeeRiver,oritswatershed;WHEREAS,pursuanttotheFundAgreement,anAdvisoryCommitteehassolicitedproposalsfromprospectivebeneficiariesoftheFund;WHEREAS,theAdvisoryCommitteehasrecommendedprojectsforfunding,aslistedonExhibitA;WHEREAS,theAdvisoryCommitteehastheresponsibilityofsecuringpreliminaryapprovalforprojectsfromtheTMWABoard,whichmaydisapproveprojectsforanyreason,ormayapproveprojectsbyresolution,subjecttoCommunityFoundationBoardapproval;I.WHEREAS,theCommunityFoundationhasadvisedtheAdvisoryCommitteethattheprojects’applicantsareeligiblebeneficiariesoftheFund;
II.WHEREAS,theBoardhasreviewedtherecommendationoftheAdvisoryCommitteeandhasfoundthattheprojectsaslistedonExhibitAareconsistentwiththepurposesoftheFundandmeritsfunding;
III.NOWTHEREFORE,BEITRESOLVEDBoardofDirectorsoftheTruckeeMeadowsWaterAuthority:
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IV.TheprojectssetforthonExhibitAareapprovedforfundingundertheTruckeeRiverFundintheamountsetforthinsuchExhibit,subjecttofinalauthorizationbytheCommunityFoundationBoard,andsubjecttotheprovisionsoftheFundAgreement,includingwithoutlimitationtherequirementssetforthinArticleVC.
TRUCKEEMEADOWSWATERAUTHORITY‐TRUCKEERIVERFUNDAGREEMENTThisTruckeeMeadowsWaterAuthorityTruckeeRiverFundAgreement(the"Agreement")isenteredintobetweenTruckeeMeadowsWaterAuthority,ajointpowersauthorityunderthelawsoftheStateofNevada(the"TMWA"),andtheCommunityFoundationofWesternNevada(the"CommunityFoundation"),aNevadanon‐profitcorporation.
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CREATIONOFFUNDTheDonorandtheCommunityFoundationherebycreateTheTruckeeRiverFund(the"Fund").TheFundisestablishedasacomponentpartoftheCommunityFoundationunderSection1.170A‐9(e)(11)oftheTreasuryRegulations.TMWAandtheCommunityFoundationagreethatnothinginthisAgreementistoaffectthestatusoftheCommunityFoundationasanorganization(a}thatisdescribedinSection501{c)(3)oftheInternalRevenueCodeof1986,asamended(the"Code")and(b)thatisnotaprivatefoundationwithinthemeaningofSection509(a)oftheCode.ThisAgreementistobeinterpretedinamannerconsistentwiththeprecedingprovisionsandinconformancewritetherequirementsoftheCodeandTreasuryRegulationsfor"componentparts"or"componentfunds"ofa"communitytrust,"asthosetermsaredefinedorusedinSections1.170A‐9(e)(10)and1.170A‐9(e)(11)oftheTreasuryRegulations.IIFUNDASSETSA. DescriptionofFundAssets.TMWAhastransferredorwilltransfer.totheFundaninitialcontributionofThreeHundredFortyThousandDollars($340,000.00)incash.InadditiontothepropertyinitiallytransferredtotheFund,theCommunityFoundationmayacceptadditionalpropertytransferredtotheFundbyTMWAorbywayofgift,grant,contribution,bequest,ordevisefromanypersonorentity.However,theCommunityFoundationmaynotreceiveoracceptanypropertythatisrequiredtobeadministeredinamannerthattheBoardofDirectorsoftheCommunityFoundation(the"FoundationBoard")determines,intheFoundationBoard'sdiscretion,(1) exemptfromfederalincometaxationunderSection501(c)(3)oftheCode,and(2)classifiedasorganizationsdescribedinSection509(a)(1),Section509(a)(2},orSection509(a)(3)oftheCode.A. GovernmentalEntities.TheCharitableBeneficiariesalsoincludestatesoftheUnitedStatesofAmerica,anyoftheirpoliticalsubdivisions,theUnitedStatesofAmerica,andtheDistrictofColumbia,butonlyifdistributionstosuchgovernmentalentitiesaremadeexclusivelyforpublicpurposes.B. VariancePower.TheFundisprotectedfromobsolescenceinwill(1)jeopardizethefederaltaxexemptstatusoftheCommunityFoundationunderSection501(c)(3)oftheCode,or(2)resultintheCommunityFoundationbeingclassifiedasa"privatefoundation"underSection509(a)oftheCode.AlloftheassetsoftheFundaretobeheld,managed,invested,andreinvested,andalloftheincomeandprincipaloftheFundistobecollectedanddisbursed,exclusivelyforthecharitableusesandpurposesdescribedhereinincompliancewiththeCommunityFoundation'sArticlesofIncorporationandBylaws,whichareincorporatedhereinbyreferenceandconclusivelyassentedtoandadoptedaspartofthegoverninginstrumentsoftheFund.C. ContingencyforTransfers.AiltransferstotheFundbyTMWAoranyotherdonorarecontingentupontheCommunityFoundationbeingclassifiedonthedateofthetransferasanorganization(1)thatisdescribedinSection501(c)(3)oftheCodeand(2)thatisnota"privatefoundation"asdefinedinSection509(a)oftheCode.UnlessthecontingencyiswaivedbyTMWAorotherdonor,theCommunityFoundationmustreturnthepropertytransferredtoitwithinthirty(30)daysafterthetransfer.·mPURPOSESOFFUNDTheFundiscreatedandmustbeoperatedexclusivelyforoneormoreoftheexemptpurposesspecifiedinSection501(c)(3)oftheCodeandthecasesandregulationsthereunder.TheprimarypurposeoftheFundistodistributethenetincomeandprincipaloftheFundforsuchexemptpurposesasrecommendedbytheAdvisoryCommittee(asdefinedbelow),consentedtobytheBoardofDirectorsofTMWA(the‘TMWABoard"),andapprovedbytheFoundationBoardsubject
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toArticleIV,totheorganizationsandgovernmentalentitiesdescribedinparagraphsAandBbelowthatareundertakinglawfulprojectsconsistentwiththepurposesandusesoftheFund.Specifically,theFundshallbeusedexclusivelyforprojectsthatprotectandenhancewaterqualityorwaterresourcesoftheTruckeeRiver,oritswatershed.ForpurposesofthisAgreement,theorganizationsandgovernmentalentitiesdescribedinparagraphsAnandBbelowarereferredtocollectivelyasthe"CharitableBeneficiaries"andindividuallyasthe"CharitableBeneficiary."ADMINISTRATIONA GeneralPowersandDutiesofAdministration.TheFundistobeadministeredasacomponentpartoftheCommunityFoundationandissubjecttoallofitsgoverninginstruments,including,butnotnecessarilylimitedto,theArticlesofincorporationandBylaws,andthepoliciesandproceduresestablishedbytheFoundationBoardfromtimetotime.TheCommunityFoundationistoberesponsibleforthepreparationandfilingofallincometaxreturnsandotherlegalandfinancialreportsfortheFundthatarerequiredbytheinternalRevenueService,theStateofNevada,andanyothergovernmentalagencies.B. AdvisoryCommittee.TheFundistobeadministeredbyanadvisorycommittee("AdvisoryCommittee)"comprisedofatotalofnine(9)members,consistingofthree(3)membersselectedbyeachoftheCityofReno,theCityofSparksandWashoeCounty.NoneofthemembersoftheAdvisoryCommitteemaybeelectedofficials.ThemembersoftheAdvisoryCommitteeshallserveatthepleasureoftheirrespectivelocalgovernments.TheAdvisoryCommitteeshallhavetheauthoritytoexpendupto$25,000fromtheFund,cumulativeeachfiscalyear,foradministrativepurposes.Forallotherexpenditures,theAdvisoryCommitteeshallberequiredtoadheretotheProjectFundingProtocolssetforthinsubpartCofthisArticleIV.TheAdvisoryCommitteeshallmakerecommendationstotheTMWABoardandtheFoundationBoardregarding{1)distributionsofincomeandprincipalfromtheFundtopotentialCharitableBeneficiaries,(2)theinvestmentsoftheFund,and(3)anyotheraspectsoftheadministrationoftheFundandtheCommunityFoundationconsideredappropriatebytheAdvisoryCommittee.AlldistributionsofincomeandprincipalfromtheFundmustbeexclusivelyfortheexemptpurposesdescribedinArticleIllabove,andtheFundmustbeorganizedandoperatedexclusivelyfortheexemptpurposesdescribedtherein.TherecommendationsoftheAdvisoryCommitteetotheTMWABoard,andtheFoundationBoard,aresolely .recommendations,andtherecommendationsmaybeacceptedorrejected,inwholeorinpart,bytheTMWABoardandtheFoundationBoardintheirsoleandabsolutediscretion.C. ProjectFundingProtocols.TheAdvisoryCommitteeshalladheretothefollowingproceduresandrequirementsinmakingitsrecommendationsforprojectfundingtotheTMWABoardandtheFoundationBoard:accordancewiththeprovisionsspecifiedintheArticlesofIncorporationandBylawsoftheCommunityFoundation.ShouldtheprimarypurposesforwhichtheFundiscreated?becomeobsoleteorincapableoffulfillment,thentheFoundationBoardshallconsultwiththeTMWABoardconcerningdistributionoftheremainingassetsoftheFundtoCharitableBeneficiariesforusesandpurposesthatareassimilaraspossibletotheprimarypurposessetforthinthisAgreement.prospectiveCharitableBeneficiariesoftheFund.2. TheAdvisoryCommitteeshallidentifyandselectpotentialprojectsforfunding.3. TheAdvisoryCommitteeshallberesponsibleforensuringthattherecommendationssubmittedtotheTMWABoardandtheFoundationBoardareincompliancewiththeexclusivepurposesoftheFundandtheCommunityFoundation’spolicies.4. TheAdvisoryCommitteeshallhavetheresponsibilityofsecuringpreliminaryapprovalfromtheTMWABoard,whichmaydisapproveprojectsforanyreason,ormayapproveprojectsby
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resolution,subjecttoFoundationBoardapproval.Thereafter,theAdvisoryCommitteeshallhavetheresponsibilityofseeingfinal ·approvalfromtheFoundationBoard,whichmaydisapproveaprojectorprospectiveCharitableBeneficiaryif,inthe‐Foundation Board'sopinion,suchprojectorprospectiveCharitableBeneficiarymayjeopardizethestatusoftheCommunityFoundationasataxexemptentity,orwhichmayresultinitsclassificationasa"privatefoundation.”.D. AdministrativeFees.TheFundistopayquarterlyadministrativefeestotheCommunityFoundationfortheadministration,distribution,andinvestmentmanagementoftheFund.ThequarterlyadministrativefeefortheFundistobeestablishedbytheFoundationwiththeconsentoftheTMWABoard.Theadministrativefeeforeachcalendarquarteristobepaidinthefirstmonthofthene>.‐tcalendarquarterbyautomaticdeductionfromtheassetsoftheFund.TheFoundationBoardmayinitsdiscretionperiodicallyreviewandrevisetheamountofadministrativefeesTobechargedtotheFundtoensurethattheadministrativefeesareatalltimesreasonableandproper.However,theadministrativefeeschargedtotheFundmustnotbegreaterthantheamountoffeeschargedtoothercomponentfundsoftheCommunityFoundationthatareofcomparablesize.TheCommunityFoundationmustnotifyTMWAandtheAdvisoryCommitteeofTheAdvisoryCommitteeshallacceptproposalsforprojectsfromAccountings.TheCommunityFoundationmustrenderaccountingsfortheFundtoTMWAandthemembersoftheAdvisoryCommitteeatleastannually.UnlessanypersontowhomanaccountingisrequiredtoberendereddeliversawrittenobjectiontotheFoundationBoardwithinso.1y(60)daysafterreceiptoftheaccounting,theaccountingistobefinalandconclusivewithrespecttoalltransactionsdisclosedintheaccounting.Aftersettlementoftheaccountingbytheagreementofthepartiesobjectingtoit,orbyexpirationofthesixty(60)dayperiod,theCommunityFoundationwillnolongerbeliablewithrespecttoalltransactionsdisclosedintheaccounting,exceptforanyintentionalwrongdoingorfraudcommittedbyanyoftheemployees,agents,representatives,orboardmembersoftheCommunityFoundation.VDISTRIBUTIONSOFINCOMEANDPRINCIPALA. MinimumAnnualDistributions.DuringeachtaxableyearoftheCommunityFoundation,andsubjecttotheprovisionsofarticle!IIabove,theCommunityyFoundation,subjecttotheproceduressetforthherein,mustdistributefromtheFundtoorforthebenefitofone(1)ormoreCharitableBeneficiariesasdeterminedabovetheminimumamountrequiredbythegoverninginstrumentsoftheCommunityFoundationandbytheCodeandTreasuryRegulationstomaintaintheCommunityFoundationasanorganization(1)thatisdescribedinSection501(c)(3)oftheCodeand(2)thatisnota"privatefoundation"withinthemeaningofSection509(a)oftheCode.TheminimumdistributionsrequiredtobemadeduringeachtaxableyearpursuanttothisparagraphAarehereafterreferredtoasthe"MinimumAnnualDistributions."8. DiscretionaryAnnualDistributions.DuringeachtaxableyearoftheFund,theCommunityFoundation,subjecttotheproceduressetforthherein,mayalsomakedistributionsfromnetincomeandprincipaloftheFundinexcessoftheMinimumAnnualDistributionstoorforthebenefitofone(1)ormoreCharitableBeneficiariesasdeterminedinaccordancewithArticleIVabove.However,theaggregateamountofdistributionsmadebytheCommunityFoundationpursuanttoparagraphsAandBofthisarticleVduringanytaxableyearoftheCommunityFoundationmaynotexceedthegreaterof(a)theMinimumAnnualDistributionsor(b)thesumoftheamountsdescribedinsubparagraphs8.1,B.2,andB.3below.1. Tenpercent(10%)oftheaggregatefairmarketvalueoftheFund,determinedasofthefirstdayofthetaxableyear;2. TheaggregatefairmarketvalueofcontributionsmadetotheFundduringthetaxableyear;plus3. ThenetincomegeneratedbytheFuNDforthetaxableyear.
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ForpurposesofdeterminingthefairmarketvalueoftheprincipalandcontributionstotheFundpursuanttothisparagraph8,theFoundationBoardmayutilizeanycommonlyacceptedvaluationmethod,solongassuchmethodisconsistentlyapplied.AnynetincomenotdistributedpursuanttoparagraphsAandBofthisArticleVistobeaccumulatedandaddedtoprincipal.C. FundDistributionRequirements.TomaintaineligibilitytoreceivedistributionsfromtheFund,eachCharitableBeneficiarymustcomplyatalltimeswiththefollowingrequirements:1. CharitableBeneficiariesmustbeexemptfromfederalincometaxationunderSection501(c)(3)oftheCode;CharitableBeneficiariesshalluseal!Funddistributionsprojectsthatareappropriateandlegalpublicexpenditures;CharitableBeneficiariesmustprovidefinancialdetailsand/orreportsoftheirorganizationsuponrequest;CharitableBeneficiariesmustnotuseanyFunddistributionsforpoliticalcontributionsorpoliticaladvocacy;5. CharitableBeneficiariesmusteitherimplementtheprojects,activities,and/orprogramsforwhichtheyreceivedFunddistributionswithin45daysoftheendofthefiscalyearinwhichsuchdistributionsarereceived,ormustreturnallsuchdistributionstotheCommunityFoundationforthwith;6. CharitableBeneficiariesmustprovideCommunityFoundationareport!Detailingthecompletionoftheirprojects,activities,and/orprograms;and7. CharitableBeneficiariesmustsignanagreementregardintheircompliancewiththequalificationshereof.D. DispositionofFunduponTermination.UpontheterminationoftheFundpursuanttoparagraphAorBofArticleVIbelow,theFundasthenconstituted(includingbothprincipalandanyaccruedandundistributedincome)mustbedistributedinaccordanceworthParagraphCofArticleIV.TERMA. FixedTerm.ExceptasprovidedinparagraphB.below,theFundistocontinueuntil2009.B. EarlTerminationofFund.IfatanytimeduringthetermoftheFund,theFundcontainsassetswithanaggregatefairmarketvalueoflessthanTenThousandDollars{$10.000.00),andtheTMWABoarddeterminesthatcontinuedadministrationoftheFundwouldbeimpracticableorthatthecostsofadministrationwouldoutweightheanticipatedbenefitsofcontinuedadministration,thentheTMV'JABoard.mayterminatetheFundanddistributetheCommunityFoundationtheremainingassetsoftheFundprovisionsaretobegovernedbyandconstruedinaccordancewiththelawsoftheStateofNevadaasineffectfromtimetotime,andtheFundistobeadministeredinandunderthelawsoftheStateofNevada.Datedthis dayof ,2004.ChoiceofLaw.ThevalidityofthisAgreementandtheconstructionofitsGenderandNumber.AsusedinthisAgreement,themasculine,feminine,orneutergender,andthesingularorpluralnumber,aretoeachbeconsideredtoincludetheotherswheneverthecontextsoindicates.accordancewithArticleIVabove.vuMISCELLANEOUSA. CompliancewithCodeandTreasuryRegulations.TheFundmustcomplywithandistoberestrictedbytheprovisionsoftheCodeandTreasuryRegulationsthatareapplicabletoit.TheAgreementmaybeamendedfromtimetotimetocomplywiththeapplicableprovisionsoftheCodeandTreasuryRegulations.B. Amendments.ThisAgreementmaybeamendedbyaninstrumentinwritingexecutedbyamajorityofallpersonsthenservingontheAdvisoryCommitteeandbyamajorityoftheTMWA
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Board,andbyanauthorizedrepresentativeoftheCommunityFoundation.However,theAgreementmaynotbeamendedtoauthorizetheaffairsoftheFundtobeconductedinanymannerorforanypurposescontrarytotheprovisionsofSection501(c)(3)oftheCodeandtheTreasuryRegulationsthereunder.C. BindingEffect.ThisAgreementistobebindinguponandistoinuretothebenefitanddetrimentofthepartiesheretoandtheirrespectiveheirs,personalrepresentatives,successors,andassigns.
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Attachment25.PinchotFoundationWaterRatePayingRegulatoryStructuresTherearefourgovernor‐appointedcommissionsthatregulaterateadjustmentsandallowableexpendituresforrevenueraisedfromratepayersintheDelawareBasin:ThePublicUtilityCommission(PUC)inPennsylvania,theBoardofPublicUtilities(BPU)inNewJersey,thePublicServicesCommission(PSC)inDelaware,andtheNewYorkPublicServiceCommission(PSC)housedwithintheNYDepartmentofPublicService(Table5).
Regulatory Authority Governance Regulated Entities (statewide)
New Jersey Board of Public Utilities (BPU)
5 Commissioners (Chairperson, Mr. Richard Mroz), supported by professional staff. Rate requests handled by the Bureau of Rates within the Division of Water.
45 investor owned utilities
Pennsylvania Public Utility Commission (PUC)
4 Commissioners (Chairperson, Ms. Gladys Brown). PUC has Exec. Director. Rates issues recommendations made by Bureau of Technical Utility Services.
23 municipal and 61 private water utilities
New York Public Service Commission (PSC)
4 Commissioners (Chairperson, Ms. Audrey Zibelman) appointed by Governor.
277 private water companies
Delaware Public Service Commission (PSC)
5 Commissioners (Chairperson, Mr. Dallas Winslow) appointed by the Governor and supported by professional staff.
11 regulated entities
Ratechanges:ManydrinkingwaterutilitiesaroundtheUnitedStateshaveincreasedrateschargedtotheircustomersinordertocoverprotectionorrestorationeffortsintheirsourcewatersheds.Theeasewithwhichrateswereincreasedhasvarieddependingonthepoliticalandgovernancesituationineachcase.RateincreasesorfeeslikelycannotbetheonlysourceoffinancingforawaterfundintheDRB,butasdescribedabove,shouldbeseriouslyconsideredandsupported.Ratesorfeespaidbyutilitiesortheircustomersareamongthemostreliablelong‐termmethodsforfinancingwatershedprotectionandrestorationeffortsandimposeverylowcostsperuser,individualratepayer,orhousehold.Morediscussiononbasin‐wideratesorfeesisfoundunderRecommendation2;herethefocusisonissuesrelatedtochangingratesforasingleutilityorsmallgroupofutilities.
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Attachment26.UpperNeuseCleanWaterInitiativeConservationPlanPOTENTIALSOURCESOFLOCALFUNDINGInNorthCarolina,countiesandmunicipalitieshavethepowertolevytaxesthatareauthor‐sizedbytheNorthCarolinaConstitutionorstatute.Theexpenditureoffundsraisedthroughlocaltaxesisgenerallyrestrictedtopurposesenumeratedbystatute.Amongtherevenuesourcesauthorizedarebonds,propertytaxes,andlocalsalestaxes.Generalobligationbondsandpropertytaxesaretheprincipallocalrevenuesourcespermittedforlandconservationpurposes.Bondingenableslocalcommunitiestocrew‐atededicatedsourcesoffundsforlandcenser‐ovationandtoreceivematchinggrantsfromstateandfederalprograms.Whileitmayseemdifficulttogainvoterapprovalinthecurrenteconomy,locallandconservationballotmesa‐ruescontinuetoreceivestrongpublicsupport.Todate,severalwatershedcommunities—Durham,DurhamCounty,OrangeCounty,Raleigh,WakeForestandWakeCounty—havesuccessfullygarneredvoterapprovalforbondsthatincludefundingforlandconserve‐ton.InNorthCarolina,26of30(87%)landconservationmeasuresplacedontheballotsince1996wereapproved,generatingmorethan$600million,includingroughly$400millionforparksandlandconservationinthesecommunities.24Thejurisdictionsthatpassedreferendarepresentroughly25%ofthestatepopulationandthestate’slargestmetro‐politeareas.NorthCarolinacountiesandmunicipalitiescouldbeenabledbythestatetoutilizededicatedrevenuestreamsforlandconservationfromsourcesotherthangeneralobligationbonds.Thepropertytaxisthelargestrevenuesourceformanylocaljurisdictions,andtheseproceedsmaybeexpendedforparksandopenspace.Propertytaxescouldgenerateasteadysourceoffundingforlandconservationiftheycanbededicatedformultipleyears.CommunitiesintheUNRBcouldseekstatelegislationthatwouldenablethemtoadoptdedicatedopenspacetaxesandfeesatthelocallevel.Asanotheroptiontoincreasethefundsavailableforlandconservation,thesixwaterutilitiesintheUNRBcouldconsiderincorporatingdedicatedfeesforlandacquisitionasasupplementtotheirratestructure,asSaltLakeCity,Utahhasdone.Sinceitsfundwasestablishedin1991,SaltLakeCityhaspurchased400acresoflandtoprotectitsdrinkingwatersources.Raleighhasalreadysetaprecedentforwatershedprotectioninthebasin,astheRaleighCityCouncildedicated$500,000fromits2005‐2006and$500,000fromits2006‐2007water/sewerutilityrevenue(separatefromRaleigh’sgeneralfund)toexpandprotectionintheFallsLakewatershed.TheprojectincludesdevelopmentofthisConservationPlanandthemodelthatinformsit;out‐reachtolandowners,localgovernmentofficials,andthegeneralpublic;andlandprotectionthroughdonationorpurchase.POTENTIALSOURCESOFSTATEANDFEDERALFUNDINGLocalsupportersoflandconservationcouldadvocateforcontinuedstatewidefundingforlandconservation.NorthCarolinaalreadyundertakesandfundslandconservationthroughanumberofstateagenciesandpro‐grams.Fourseparateconservationtrustfundshavebeenestablishedsince1986:TheCleanWaterManagementTrustFund,NaturalHer‐imageTrustFund,ParksandRecreationTrustFund,andtheFarmlandPreservationTrustFund.Theseprogramsrepresentthebulkofstatefundingforlandandwaterprotection,aswellasparks.25In2000,theNorthCarolinaGeneralAssemblyvotedoverwhelminglyinsupportofGovernorHunt’splantopreserveonemillionacresbyDecember31,2009.TheMillionAcreInitiativewouldincreasetheper‐centageoflandpreservedinNorthCarolinafrom8.8percentto12percent;however,noadditionalmoneywasattachedtotheplanbeyondexistingfunding.In2005,severalofthestate’sleadingnon‐profitconservationorganizations,alongwithbusiness,government,andprofessionalinter‐sets,launchedtheLandforTomorrowinitial‐tie.ThecoalitionaimstosecuresupportfromthepublicandtheNorthCarolinaGeneralAssemblyfora
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LandandWaterConservationBondtoprotectland,water,andhistoricplacesthroughoutthestate.LandforTomorrowisseekingacommitmentofstatebondsin2006toincreaseconservationspendingby$200millionperyearforfiveyears.TheLandforTomorrowCoalitionrecommends$167millionperyearinadditionalfundingforthefourexistingconservationtrustfundsand$33mil‐lionperyearforanewprogramtosupportjobcreationandprotectionofhistoricresources,aswellascoordinationandplanningefforts.26
Alocalmatchisoftenrequiredtoleveragethesetypesoffunds.Increasedfundingfortheconservationtrustfundswouldallowthestatetosupportkeylandacquisitionsinthebasinandprovideadditionalmatchingfundstohelplocalcom‐munitiesmeettheirconservationgoals.Localsupportandstateleadershipareneededforthestatebondmeasuretobesuccessful.Atthefederallevel,therearetwodistincttypesoffundingforlandconservation:state‐directedprograms,inwhichstatesreceivegrantsfromthefederalgovernmentbutaregivenbroaddiscretiontoallocatefunds(sub‐jettofederalprogramrules);anddirectfeeder‐alprograms,inwhichthefederalgovernmentmakesgrantstolocalrecipients,usuallylocalgovernments.State‐directedfederalgrantsincludetheCleanWaterStateRevolvingFund,theDrinkingWaterStateRevolvingFund,andtheCleanWaterActSection319NonpointSourceGrantProgram.Directfederalpro‐gramsincludetheFarmandRanchlandPro‐sectionProgramandtheForestLegacyProgram.Additionalfederalfundsmaybeavailablethroughearmarksandgrants.
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Attachment27.DelawarePublicServiceCommissionDraftLegislation
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Attachment28.AlliancesforGreenInfrastructure
3GuidingprinciplesEmphasizethepay‐off,nottheprocess.Forexample,talkaboutcleanwaterandboatingopportunitiesinsteadofthedetailsofalandtransaction.Putpeopleinthepicture.Forexample,featurelocalfolksdoinggoodworkontheground,insteadofframingmessagesintermsoforganizationsandtechnicalgoals.Leadwiththelocal,thenconnecttotheregional.Alwaysstartwithalocalstoryandlocalcharacters,bridgingtothebiggerpictureoncethoseelementsareinplace.WATERWORDSTOUSEANDAVOIDJargonthatconfusesorpolarizes Betteralternatives
Waterquality Healthofourrivers;clean,safewatertodrink/swimin/etc.
Environment Land,airandwater(makeitaslocalaspossible)
Biodiversity,endangeredspecies Fishandwildlife,plantsandanimals(namespecificspecieswherepossible)
Regulations Safeguards.protections
Climatechangeimpacts Extremeweather,drought,floods
Ecosystemservices Cleandrinkingwater,cleanair,floodprotection,etc.
Landuseplanning Planningahead,preventingsprawl
Nonpointsourcepollution,stormwater Pollutedrunoff1
Watershed Landaroundriversandstreams,riversystemorbasin
Nutrients Excessfertilizer,pesticides,andotherchemicals
Impervioussurfaces Pavementandotherhardsurfaces
Permeablesurfaces Soilandplantsthatfilterandabsorbrainwater
Infiltration Rainpercolatingslowlyintotheground
Greeninfrastructure,bioswale,etc. Nature‐basedsolutions,raingardens,livingroofs,etc.
Riparianbuffers Streamsidespaces,stripsoftreesalongriverbanks
AgriculturalBMP’s Farmerscaringfortheirlandandwater
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1Werecognizethatstormwater,asaregulatoryterm,isessentialinlegalfilingsandformalpolicycontexts.Wesuggestavoidingtheterminpublic‐facingmaterials.MESSENGERSAcommunicationstruismholdsthatthemessengerismoreimportantthanthemessage.Wetrustpeoplewerelateto,andpeopleweperceiveasexperts.OurmediascanrevealedapreponderanceofNGOandgovernmentmessengers.Theseexpertshelpestablishthefacts,butthemostcompellingstoriesarepersonal,nottechnical.Werecommendinvestingmoretimeinidentifyingindividualsthathaveapersonalstakeinwaterqualityandconservation:farmersforthoseworkingonagriculture,suburbanmomsforthoseworkingoncleanstreamsinthesuburbs,fishersforthoseworkingatthecoast,etc.