Relating to fee programs for permittee participation in lieu of required compensatory mitigation of stream and wetland impacts and making appropriations

The United States army corps of engineers may require that a permittee under the federal Water Pollution Control Act section 404 permitting program provide mitigation of impacts to the streams and wetlands that arise from the permitted project. Federal rules authorize states to establish fee programs in lieu of requiring on-site mitigation. This bill authorizes the department of natural resources to establish in-lieu fee programs to provide for the payment of a fee by a permit holder in lieu of performing mitigation. The bill allows the department to enter into agreements with entities for the administration of all or part of an in-lieu fee program. Any in-lieu fee program must be approved by the army corps of engineers. Fees collected from an in-lieu fee program shall be deposited into a compensatory mitigation fund created in the state treasury. The moneys in the fund are appropriated to the department for the restoration, establishment, enhancement, and preservation of aquatic resources within the state to offset impacts to aquatic resources by entities permitted under section 404 of the federal Water Pollution Control Act. The departments shall adopt rules to carry out the purpose of the bill.