Chapter NR 350

Chapter NR 350

WETLAND COMPENSATORY MITIGATION

NR 350.001   Purpose; authority.

NR 350.002   Applicability.

NR 350.003   Definitions.

NR 350.004   Mitigation alternatives.

NR 350.005   Amount of compensatory mitigation required.

NR 350.006   Site crediting.

NR 350.007   Prospectus and compensation site plan requirements.

NR 350.008   Process for establishing a mitigation bank.

NR 350.009   Mitigation bank operation.

NR 350.010   Department in-lieu fee program operation.

NR 350.011   Permittee-responsible mitigation.

NR 350.012   Enforcement.

Ch. NR 350 Note Note: Chapter NR 350 as it existed on February 28, 2022, was repealed and a new ch. NR 350 was created, Register February 2022 No. 794, effective March 1, 2022.

NR 350.001 NR 350.001 Purpose; authority.

NR 350.001(1) (1) The purpose of this chapter is to establish standards for mitigation decisions related to regulated wetland impacts and to establish standards and procedures for the planning, implementation, maintenance, and monitoring of wetland compensatory mitigation in Wisconsin, including private mitigation banks, in-lieu fee programs and their projects, and permittee-responsible mitigation projects. This chapter also establishes procedures and standards for the department’s in-lieu fee subprogram.

NR 350.001(2) (2) This chapter is adopted pursuant to s. 281.36, Stats.

NR 350.001 Note Note: Additional information can be found in Guidelines for Wetland Compensatory Mitigation in Wisconsin Version 1.

NR 350.001 History History: CR 21-026: cr. Register February 2022 No. 794, eff. 3-1-22; correction in (title) made under s. 13.92 (4) (b) 2., Stats., Register February 2022 No. 794.

NR 350.002 NR 350.002 Applicability.

NR 350.002(1) (1) This chapter applies to all the following:

NR 350.002(1)(a) (a) Permitted and exempt wetland impacts requiring mitigation under s. 281.36, Stats.

NR 350.002(1)(b) (b) Wetland compensatory mitigation projects, including private mitigation bank, in-lieu fee program, and permittee-responsible projects, that are considered by the department as part of a review process conducted in accordance with chs. NR 103, 131, and 132.

NR 350.002(2) (2) This chapter does not apply to any of the following:

NR 350.002(2)(a) (a) Wetland compensatory mitigation conducted by the department of transportation as part of the liaison process pursuant to s. 30.2022, Stats.

NR 350.002(2)(b) (b) Compensatory mitigation conducted as a requirement of a federal permit issued prior to February 1, 2002.

NR 350.002(2)(c) (c) Compensatory mitigation for ferrous mining or bulk sampling activities in accordance with s. 295.60 (8), Stats.

NR 350.002 History History: CR 21-026: cr. Register February 2022 No. 794, eff. 3-1-22.

NR 350.003 NR 350.003 Definitions. In this chapter:

NR 350.003(1) (1) “As-built report” means a document summarizing the completed construction activities on a mitigation bank site, including any changes to the construction plan that occurred.

NR 350.003(2) (2) “Bank service area” or “service area” means the geographic area corresponding to a HUC 6 watershed within which impacts to a wetland from a discharge can be mitigated at a specific mitigation bank or an in-lieu fee program as determined in an agreement between the department and the U.S. army corps of engineers and referenced in a mitigation bank or in-lieu fee program instrument.

NR 350.003 Note Note: The terms “bank service area” and “service area” refer to the same watersheds as described in an agreement between the department and the United States army corps of engineers that adopts guidelines for wetland compensatory mitigation in Wisconsin. There are 12 service areas that correspond to HUC 6 watersheds, except for the Wisconsin River HUC 6, which is split into “Upper Wisconsin” and “Lower Wisconsin,” and portions of several HUC 6 watersheds adjacent to Lake Superior are combined and referred to as “Lake Superior.”

NR 350.003(3) (3) “Basin” means the Lake Superior, Lake Michigan, or Mississippi River basin.

NR 350.003(4) (4) “Compensation” or “compensatory mitigation” means the restoration, enhancement, creation, or preservation of wetlands expressly for the purpose of compensating for unavoidable adverse impacts that remain after all appropriate and practicable avoidance and minimization has been achieved.

NR 350.003(5) (5) “Compensation search area” means the geographic areas within which impacts to a wetland from a discharge can be mitigated at a specific mitigation bank, including, in order, the HUC 8 watershed, the service area, and basin as the search is conducted.

NR 350.003(6) (6) “Compensation site plan” means a comprehensive document prepared by an applicant or mitigation sponsor that provides a description of baseline conditions, restoration activities and design, and desired outcomes of a proposed wetland mitigation project, is approved by the department as part of a mitigation bank instrument, permittee-responsible mitigation project, or non-department in-lieu fee program instrument modification, and is synonymous with the mitigation plan described in the Federal Mitigation Rule (33 CFR 332.4(c)).

NR 350.003(7) (7) “Corrective action” means an action taken by a mitigation sponsor to correct deficiencies in a wetland mitigation project as early as possible after the problem is noticed.

NR 350.003(8) (8) “Creation” means the manipulation of the physical, chemical, or biological characteristics present to develop an aquatic resource that did not previously exist at an upland site that results in a gain in wetland resource area and functions.

NR 350.003(9) (9) “Credit” means a unit of measure representing the attainment of wetland function earned over a finite area at a mitigation bank or ILF project.

NR 350.003(10) (10) “Credit ratio” means a multiplier used to determine the amount of wetland function over a finite area that requires mitigation due to wetland impacts as a result of an exempt or permitted project and used to determine the amount of wetland function over a finite area that is gained by mitigation activities on a mitigation project.

NR 350.003(11) (11) “Debit” means a unit of credit that is withdrawn from a mitigation project upon approval of a credit sale or upon approval of credits used by mitigation sponsors to fulfill mitigation requirements on their own exempt or permitted projects.

NR 350.003(12) (12) “Degraded wetland” means a wetland subjected to deleterious activities, such as drainage, grazing, cultivation, increased stormwater input, or partial filling, to the extent that natural wetland characteristics are severely compromised and wetland function is substantially reduced.

NR 350.003(13) (13) “Department” means the Wisconsin department of natural resources.

NR 350.003(14) (14) “Direct impacts” means adverse impacts to wetlands that occur immediately as the result of a permitted or exempt activity and that result in the loss of wetland function and area.

NR 350.003(15) (15) “Enhancement” means the manipulation of physical, chemical, or biological characteristics of an existing wetland resource to heighten, intensify, or improve a specific wetland function that results in the gain of that targeted wetland function but may also lead to a decline in other wetland function and does not result in a gain in wetland resource area.

NR 350.003(16) (16) “Exempt project proponent” means an entity or individual that discharges dredged or fill material into wetlands but is exempt from permit requirements pursuant to s. 281.36 (4), (4m), and (4n), Stats.

NR 350.003(17) (17) “Functional values” or “wetland function” means one or more of the following ecological or cultural services that wetlands provide, including storm and flood water storage and retention; hydrologic functions; filtration or storage of sediments, nutrients, or toxic substances; shoreline protection against erosion; habitat for aquatic organisms; habitat for resident and transient wildlife species; and recreational, cultural, educational, scientific, and natural scenic values.

NR 350.003(18) (18) “HUC 6” means a watershed delineated by the U.S. geological survey using a nationwide system based on surface hydrologic features at the 6-digit basin scale (the hydrologic unit code 6).

NR 350.003(19) (19) “HUC 8” means a watershed delineated by the U.S. geological survey using a nationwide system based on surface hydrologic features at the 8-digit sub-basin scale (the hydrologic unit code 8).

NR 350.003(20) (20) “In-lieu fee program” means a mitigation subprogram established by the department under s. 281.36 (3r) (e), Stats., or sponsored by a government or nonprofit entity that sells advanced or released mitigation credits to permittees or exempt project proponents to satisfy their mitigation requirements and uses funds from the sale of credits for restoration, enhancement, creation, or preservation of wetlands.

NR 350.003(21) (21) “Interagency review team” means the group of federal, tribal, state, and/or local regulatory agencies that facilitate the establishment of wetland mitigation banks and in-lieu fee programs through review and oversight of project development and operation.

NR 350.003 Note Note: As described in 33 CFR 332.8 (b), the U.S. army corps of engineers is the interagency review team Chair and other federal, tribal, state, and/or local regulatory agencies may participate with authority from the U.S. army corps of engineers, and as appropriate to review specific mitigation sites. The U.S. army corps of engineers seeks to include all public agencies with a substantive interest in the establishment of a mitigation bank or in-lieu fee program on the interagency review team. The department may participate on the interagency review team for mitigation banks and any non-department in-lieu fee programs at the discretion of the U.S. army corps of engineers. Members of the interagency review team review prospectuses, compensation site plans, mitigation bank instruments, construction as-built reports, monitoring reports, credit release requests, mitigation bank instrument modification requests, and other documents as needed and provide comments to the U.S. army corps of engineers. The U.S. army corps of engineers will give full consideration of any timely comments from other members but retains final authority for instrument approval for a mitigation bank or in-lieu fee program that is used to satisfy compensatory mitigation for federal wetland permits.

NR 350.003(22) (22) “Mitigation” means the restoration, enhancement, creation, or preservation of wetlands to compensate for adverse impacts to other wetlands.

NR 350.003(23) (23) “Mitigation bank” means a system of accounting for wetland loss and compensation that includes one or more sites where wetlands are restored, enhanced, created, or preserved to provide credits to be subsequently applied or purchased in order to compensate for adverse impacts to other wetlands.

NR 350.003(24) (24) “Mitigation bank instrument” means a legal document governing the establishment and operation of a mitigation bank, which includes the compensation site plan, financial and mitigation credit provisions, site ownership and legal protection, and long-term management plans.

NR 350.003(25) (25) “Mitigation project” or “mitigation site” means a wetland restoration, enhancement, creation, or preservation site that is developed with the intention of selling credits to permittees or exempt applicants in need of mitigation or a site developed by a permittee or exempt applicant to fulfill their mitigation requirements.

NR 350.003(26) (26) “Mitigation sponsor” or “sponsor” means any public or private individual or entity responsible for establishing and operating a mitigation bank, in-lieu fee program, or permittee-responsible mitigation project.

NR 350.003(27) (27) “Monitoring plan” means a narrative describing the data collection, analysis, and reporting requirements for documenting the change in wetland function on mitigation sites in a compensation site plan approved by the department.

NR 350.003(28) (28) “Nonfederal wetland” means a wetland that is not subject to federal jurisdiction under 33 USC 1344.

NR 350.003(29) (29) “On-site” means a mitigation project located within one-half mile of the impacted wetland.

NR 350.003(30) (30) “Performance standards” are observable or measurable physical, including hydrological, chemical, and/or biological attributes that are used to determine if a compensatory mitigation project meets its objectives.

NR 350.003(31) (31) “Permittee” means an applicant for a wetland general or individual permit under s. 281.36, Stats.

NR 350.003(32) (32) “Permittee-responsible mitigation project” means a mitigation project developed by a permittee or exempt project proponent, or their authorized agent or contractor, to complete required mitigation and for which the permittee or exempt project proponent retains full legal responsibility.

NR 350.003(33) (33) “Preservation” means removing a threat to, or preventing the decline of, ecologically significant or rare or high-quality wetlands through long-term site protection that alone does not result in a gain of wetland resource area or functions.

NR 350.003(34) (34) “Prospectus” means a preliminary wetland mitigation project design prepared by a mitigation sponsor and including descriptions of existing site conditions, site ownership and management, mitigation goals and objectives, and ecological suitability of the project.

NR 350.003(35) (35) “Re-establishment” means the manipulation of the physical, chemical, or biological characteristics of a site with the goal of returning ecological functions to a former wetland resource that results in a gain in wetland resource area and function.

NR 350.003(36) (36) “Rehabilitation” means the manipulation of the physical, chemical, or biological characteristics of a site with the goal of repairing ecological functions to a degraded existing wetland resource that results in a gain in wetland resource functions but does not result in a gain in wetland resource area.