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Species Mitigation Account Will Aid Renewable Energy Project Development in the California Desert

Legal Alerts

Developers Still Must Address Other Environmental Issues

MAY 27, 2010

One of the most daunting challenges of developing large-scale solar and wind energy projects in the California desert will be mitigating impacts to sensitive habitats and animals that are protected under state and federal endangered species laws. It is anticipated that each project will be required to implement a number of mitigation measures, including purchasing and preserving large tracks of conservation lands and implementing species relocation efforts. To facilitate and better coordinate these efforts among the dozens of projects that may be permitted, the joint federal and state Renewable Energy Action Team (REAT) on May 19 signed an agreement that helps project proponents satisfy mitigation requirements by depositing funds into an account rather than having to individually undertake wildlife and habitat mitigation for each project. 
 
During the project review and authorization process, REAT agencies will work with a project proponent to determine the appropriate mitigation for each individual project. The project proponent may then deposit funding to cover its respective mitigation responsibilities into a sub-account that will be managed by the National Fish and Wildlife Foundation (NFWF), a nonprofit organization created to protect the nation’s fish, wildlife and habitat. Each sub-account will include a list of specific mitigation actions, the cost, a timeframe for carrying out the actions, and will identify which REAT agency is responsible for requiring and coordinating the mitigation actions. After the money is deposited into the sub-account, NFWF will disburse the funds to pay for the specified mitigation actions. 

The purpose of the REAT account is to more efficiently implement mitigation and maximize the overall conservation benefit derived from mitigation actions. Project proponents will be able to promptly satisfy some or all mitigation requirements leading to timelier contracting and construction, which will increase a project’s chances to be eligible for funding from the American Recovery & Reinvestment Act of 2009. Opting into the REAT account does not, however, reduce mitigation requirements for projects. Further, it only covers mitigation for impacts to fish, wildlife, plants and their habitats. Other mitigation for impacts to viewsheds, noise, air quality and cultural resources may also be required. Detailed mitigation actions determined by REAT agencies for each project must still be included and addressed in the project’s environmental analysis and decision documents required under the National Environmental Policy Act and the California Environmental Quality Act.

For more information about renewable energy in California and to view a copy of the Memorandum of Agreement and FAQs on the REAT account, click here.
 
For more details or questions about how the REAT account may affect your project, please contact your BB&K attorney, Michelle Ouellette, Robert Hargreaves or an attorney in the firm’s Environmental and Natural Resources practice group.
 

Disclaimer: BB&K e-Bulletins are not intended as legal advice. Additional facts or future developments may affect subjects contained herein. Seek the advice of an attorney before acting or relying upon any information in this communiqué.

 

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