Q. Can the wetland mitigation bank be located on a non-USDA agricultural producer’s land?
A. Yes, a wetland mitigation bank can typically be established on previously altered land that was a wetland and is not currently farmed or actively producing USDA commodity crops, provided it meets the ecological and hydrological criteria required for restoration. However, the intended purpose of an NRCS-backed agricultural mitigation bank is to generate credits specifically to help agricultural producers maintain compliance under the Food Security Act’s Swampbuster provisions.
Q. Can non-USDA producers purchase credits from an approved bank?
A. No, purchasing credits from a wetland mitigation bank provides a legal mechanism for agricultural producers to maintain their eligibility for USDA program benefits if they convert agricultural wetlands. A producer may offset the loss of wetland acres and functions resulting from conversion activity by restoring, enhancing, or creating wetland functions and values on a different site. Through a mitigation bank, producers can purchase offsetting wetland credits generated from previously drained (prior to 1985) wetlands that have been restored and approved for wetland mitigation.
Q. Can degraded tidal wetlands be included in the bank for restoration and enhancement?
A. No, there is a “Kind for Kind” requirement. Awardees must ensure the following wetland types receive priority for mitigation under the NRCS WMBP (note that the wetland designation labels are used by NRCS for implementing the wetland conservation provisions of the Food Security Act of 1985):
- Farmed Wetland (FW)
- Farmed Wetland Pasture (FWP)
- Wetland (W) less than five acres in size that is predominantly bordered by land that has been cropped 8 of the past 10 years when the wetland is designated as degraded according to a functional assessment tool approved by NRCS.
- Converted Wetland (CW) that, prior to conversion, qualified under one of the types above, as determined by NRCS staff.
Q. Are other states eligible to apply besides the priority states listed in the NOFO?
A. Yes, all states are eligible to apply.
Q. The notice of funding opportunity states that “An applicant organization may not submit more than one application for different projects or proposing different approaches.” If they work in several states, can they submit one proposal for each state?
A. Yes, applicants can submit one proposal for each state.
Q. Can you explain the annual funding amounts for this program?
A. The 2018 farm bill annually appropriated $5 million each year through 2023. Additionally, NRCS was appropriated $2 million for 2024 and another $2 million for this year. The current year’s funding availability of $3 million is due to unexpended prior year funding still available.
Q. Can you expand more on the small temporary seasonal wetland you mentioned?
A. An example would be a cropped field with hydric soils that has been tile drained to allow for crops to be grown.
Q. Can webinar participants get a copy of the WMBP webinar presentation?
A. Yes, the webinar recording will be added to the WMBP website once available.
Q. What is the cost-share match amount?
A. The minimum match is 20%.
Q. What are the ranking factors for the applications and the weight of each factor in the scoring process?
A. The ranking factors and the weight of each factor are included in the announcement of funding opportunity to include:
Geographic Scope and Project Goals – 30 points
The proposal identifies clear, measurable, and achievable goals and deliverables, including the planned number of wetland acres to be restored, enhanced, or created for inclusion in the wetland bank with an estimate of the number of bank credits to be made available through the bank.
Priority will be given to banks based in locations with significant numbers of individual wetlands, wetland acres, and conservation compliance requests. According to NRCS data, these locations are Georgia, Illinois, Indiana, Iowa, Michigan, Minnesota, Nebraska, Ohio, Pennsylvania, South Dakota, and Wisconsin.
Project Management – 30 points
The applicant has a proven track record of establishing and operating wetland mitigation banks, including experience in selling bank credits to agricultural producers.
The applicant describes a sound marketing plan for marketing the wetland bank to USDA program participants.
Bank Development and Operation – 40 points
The proposal has a specific plan for locating and securing potential wetland mitigation bank sites. Proposals that have already secured a mitigation site will receive priority consideration.
The proposal describes a reasonable approach to ensure that the land to be restored, enhanced, or created is appropriate for wetland mitigation.
The proposal includes a plan for accelerated development of one or more mitigation bank sites to make available mitigation credits within 24 months of project initiation.
If applicable, the application describes how NRCS conservation practice standards will be followed for wetland restoration activities.
The bank description illustrates a high potential for successful establishment and operation of a mitigation bank for agricultural producers seeking to comply with Farm Bill wetlands compliance provisions.