Letters
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Section 2: Individual Mitigation Bank Sites

A. The Plan identifies sites which the Program may use to create individual mitigation banks (Exhibit 1). As part of the annual report (see section 4 below), the Program shall recommend additions to, and deletions from, the approved sites contained in the Plan. The Program shall request the advice of the TAC on such changes, and then seek approval of the changes from ACE. No proposed change shall be effective until approved by ACE.

B. The Program shall select annually those approved sites on which the Program shall conduct mitigation activities the following year. Before commencing any mitigation work at a site, the Program shall submit to ACE a conceptual plan for the mitigation work. The Program may seek input from the TAC before submitting the conceptual plan to ACE. Following ACE's approval of the conceptual plan, the Program may commence the mitigation work at a site.

C. The Parties recognize that once the actual mitigation work begins at a site, it may become necessary to vary somewhat from the conceptual plan approved by ACE for the site. The Program may vary from the approved conceptual plans without prior authorization from ACE. The Program may, however, seek advice from ACE individually, or from the TAC, about the changes.

D. Following completion of mitigation work at a site, the Program shall request ACE to certify the number of mitigation credits created as a result of the work at the mitigation bank site.

1. ACE's determination as to the number of credits created by the mitigation work shall be based on the guidelines, criteria, performance standards, and functional assessment procedures contained in West Eugene Wetlands Mitigation Manual (the "Mitigation Manual"), a copy of which is attached as Exhibit 2 to this Agreement. The factors for determining the number of mitigation credits contained in the Mitigation Manual may be changed at any time upon agreement between ACE, Eugene (others??).

2. If Eugene disagrees with the number of credits which ACE has indicated it will certify, then Eugene can appeal to (process??).

E. The Program shall conduct periodic monitoring activities on all mitigation sites for which ACE has certified mitigation credits. The purpose of the monitoring is to determine the performance of the mitigation bank site and the wetlands functions and values being provided. The frequency of monitoring activities shall be determined in accordance with the best management practices adopted by the Mitigation Manual. Such practices may be changed through agreement between ACE and Eugene.

F. The Program shall perform any necessary maintenance of wetlands plants and hydrological functions on all mitigation bank sites for which ACE has certified credits. Maintenance activities shall seek to maintain and enhance the wetlands functions and values of mitigation bank sites, consistent with the standards and criteria of the Plan, and with then-existing best management practices adopted by the Mitigation Manual.

G. In the event that a mitigation bank site fails to provide expected wetlands functions and values, the Program shall determine the cause of the failure and undertake remedial actions necessary to correct the failure. The Program shall include within its annual report required by section 4 a description of any such failures and the steps the Program intends to take to correct the failures. Because estimates for Concurrent Mitigation Credits and Post Mitigation Credits incorporate amounts for the risk of failure, no mitigation credit adjustments will be made for failure of mitigation bank sites.

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