CHAPTER SIX

FINANCING

INTRODUCTION

A vital and unique aspect of WEWSAS is its proposal for a financing program designed to pay for the protection, restoration and maintenance of the wetland system in the Amazon Creek basin. The financing program is a cornerstone for the wetland program, simply because the Plan's goals cannot be fully realized without sufficient funding. The total cost for the proposed wetland acquisition, mitigation, restoration, enhancement and maintenance is estimated to be $16.4 million over ten years (1993 - 2003). The WEWSAS Technical Report explores a variety of funding sources and organizational structures, and concludes that a few of these approaches are most promising. The Plan's financing effort relies primarily upon (1) securing state and federal funds, (2) instituting a local, city-wide stormwater utility fee, (3) sale of "credits" in the regional wetland mitigation bank, and (4) private contributions through or to nonprofit organizations or foundations. Other financing mechanisms given strong consideration include a local bond measure and designating a portion of the stormwater systems development charge to finance flood control, water quality and stormwater management portions of the wetland program.

Acquisition for Protection, Mitigation, Restoration and Enhancement

The outright purchase of wetlands by the public has been demonstrated to be the most effective method to insure resource protection. The Plan proposes a priority schedule for the acquisition of all wetlands designated for protection. As proposed, a total of 1,019 wetland acres within the study area will be acquired over a six year period. The City of Eugene is seeking federal funds to assist in acquiring land and easements in the study area.

The Plan proposes to provide choice and flexibility in the methods used to meet mitigation obligations, including participation in a regional mitigation bank and through conventional individual permit efforts. Because the mitigation bank method provides greater potential for success and meets other City objectives, such as flood control and water quality enhancement, financial incentives are proposed to encourage participation in the bank system. While other options are possible, the Plan recommends the bank be publicly owned and managed by a private nonprofit or public organization. The Plan proposes a priority acquisition schedule for lands within the bank area and for areas located outside of the bank where mitigation credit is given for corridor linkages.

A variety of funding sources may be used to accomplish acquisition, such as federal and state programs, bond measure, private donations and systems development charges. A bond measure may be instrumental if matching funds are required to secure federal land acquisition program dollars.

Construction for Mitigation, Restoration and Enhancement

In addition to land acquisition, costs will be incurred for the enhancement, restoration and construction of these lands. In conjunction with the priority schedule for acquisition, construction will occur accordingly. Total construction cost is estimated to be $ 11.9 million. Possible funding sources for these costs include mitigation requirements for obtaining a wetland impact permit, federal and state demonstration projects, private donations, system development charges, public grants and stormwater user fees.

Operating, Maintaining, and Monitoring

WEWSAS proposes a comprehensive program to monitor and maintain the areas proposed for protection, mitigation, enhancement and restoration. The City Public Works Department is proposed to have lead responsibility for these functions. The level of service will graduate as the amount of area comes into the program. It is estimated that at full service level, the annual cost will be $250,000. Financing the annual budget is proposed to be provided through a stormwater user fee which will be charged to all households and businesses within the city limits.

GOALS, POLICIES, RECOMMENDED ACTIONS

GOALS

6.1 Establish a stable funding program for achieving long-term and short-term goals for wetland protection, mitigation, maintenance, flood control, water quality restoration, and educational programs.

POLICIES

General

6.1 Protect and restore wetlands in advance of development needs and reduce long-term costs and delays by designating an agency responsible for land acquisition.

6.2 Set wetland funding priorities in accordance with this Plan.

6.3 To maximize use of public funds, coordinate the planning and budgeting needs of various departments with the financial needs of WEWSAS so that opportunities to combine resources and achieve similar objectives are realized.

6.4 Minimize total costs to the community for wetlands protection, flood control, and water quality purification.

6.5 Use a variety of funding sources to finance the land acquisition, construction, maintenance and monitoring programs.

6.6 The City shall work with nonprofit organizations and interested educational institutions to develop coordinated research programs related to the west Eugene wetlands. Efforts at securing funds for priority research projects shall be part of a cooperative effort.

6.7 Outside the regional wetland mitigation bank program, private owners shall pay the full cost of land acquisition, wetlands construction, and required wetlands monitoring and improvement.

Acquisition

6.8 The City shall seek federal and state funds for land acquisition.

6.9 The City's land acquisition program shall be coordinated with one or more nonprofit organizations to provide financial advantages and incentives for property owners willing to participate in this program.

Construction

6.10 The City shall seek federal and state funds and establish a stormwater user fee for constructing public works projects, wetlands demonstration projects, and other improvements outlined in this Plan.

6.11 When the City assumes permitting responsibility for the regional wetland system, a fee should be charged to public and private participants in the wetland bank. That fee would be used to contribute to the land acquisition and construction program.

6.12 The City should use a portion of its stormwater systems development charge to finance construction of stormwater projects which are part of the west Eugene wetlands system.

6.13 The City Public Works Department shall have responsibility for managing the design and construction function of the Comprehensive Monitoring and Maintenance Program (CMMP).

Operations

6.14 The City Public Works Department should have responsibility for managing flood control, water quality, wetland operations and maintenance functions.

6.15 Establish a stormwater user fee to fund the flood control, water quality and wetlands operations and maintenance functions.

6.16 In conjunction with its community education program, the City should coordinate volunteer efforts, to help in reducing operating costs.

RECOMMENDED ACTIONS

6.1 The City and Lane County should coordinate use of possible funding options that provide benefit for the region-wide mitigation program.

6.2 The City and Lane County should consider dedication of city and county owned lands in the study area region for the protection, restoration, and mitigation program.

6.3 The City should investigate formation of a land trust or trust fund to promote private contributions in the wetlands funding program or should combine its local funding efforts with established nonprofit organization's programs (e.g. The Nature Conservancy), with particular attention to Willow Creek and the Amazon Creek basin.

6.4 To facilitate compliance with wetland mitigation requirements and federal water quality standards, the City should encourage local businesses to participate in creating a matching fund for demonstration projects and funding acquisition and construction.

6.5 The City should seek private foundation support for implementing the model aspects of its wetlands program.

6.6 The City should consider conducting a public opinion survey regarding public support for a combined 'joint parks, natural resources, and wetlands" bond measure. If the results are positive, the City should consider a revenue bond (backed by a stormwater user fee) to fund the local share of acquisition and construction projects.

6.7 The City should use local improvement districts for assessing public improvements outside the mitigation bank where owners directly benefit from a public works project in this Plan.

6.8 The City should consider creating an annual natural resources/wetlands stamp to raise funds. A children's art contest, a poster contest, and other means could be issued to generate interest in the city's natural resources program and could generate revenues.

WEWSAS CAPITAL IMPROVEMENT PROGRAM

This section describes a programmed approach to implementing WEWSAS, including acquisition of wetlands for protection, acquisition for mitigation and other public projects, such as bikeways, observation points and channel improvements.

The following tables list the proposed projects for land acquisition, wetland mitigation and restoration, and public facility projects. Table 2, West Eugene Wetlands Study Area Land Acquisition Priorities and Costs, indicates acquisition projects in three priority phases over a 10 to 20 year period. Within the West Eugene Wetlands Study Area a total of 1,300 acres are proposed to be acquired. These areas are presented on Map 5, Land Acquisition Priorities. In addition, other areas in the Western Amazon Drainage Basin may be acquired as described on page 39 of this Plan.

Table 3, Wetland Mitigation Projects, indicates wetland enhancement, restoration, and creation projects (many of which will qualify for mitigation credits in the regional wetlands mitigation bank). The Plan recommends a variety of wetland types and habitats be enhanced, restored, and created such as shallow ponds, marshes, wet prairie grasslands, riparian areas, and forested wetlands. Cost estimates for these projects include design, engineering, construction, and original planting costs. Areas for mitigation or restoration are presented on Map 3, Wetlands Recommendations.

The final table in this chapter, Table 4, Public Facility Projects, lists public facility projects proposed for the study area. Types of projects in this category include public observation points, channel improvements, flood detention impoundments, and water quality improvements. Projects are to be planned and designed in concert with natural resource goals to minimize negative environmental impacts. Projects in this table are presented by project number on Map 6, Public Facility Projects.

Projects for Future Study

These projects are suggested in the Plan or are recommended for further study. They are not included in the West Eugene Wetlands Plan's cost estimates.

Upper Amazon Water Features. The Plan suggests improvements be made at these locations to provide additional flood capacity storage in the Upper Amazon Basin:

Amazon Park
Amazon Drive
Lane County Fairgrounds
Westmoreland Park/Patterson School Vicinity
Concrete-lined Channel

Interpretive Center. The Plan suggests, through an EPA grant, a feasibility study for this facility be conducted. There are no cost estimates available for such a center.

Bike Paths. These paths are outlined in TransPlan, the Eugene Bicycle Master Plan, and the U.S. Army Corps of Engineers Fern Ridge Lake Master Plan:

Amazon Bicycle Path - Seneca to Fir Butte Road

Fern Ridge Bicycle Path - Fir Butte Road to Orchard Point

A-3 Bicycle Path - Seneca to A Channel

Emerald Canal. This project is being promoted by the Emerald Waterways Citizen Committee. The Plan suggests that this separate project be monitored for its relationship to west Eugene wetlands.

Ridgeline Trail. This project is included in several existing City of Eugene plans: The South Hills Study, Parks and Recreation Master Plan, and the Willow Creek Special Area Study.