Agenda - 08-30-2011 - 1b - Laserfiche WebLink

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Regional Nutrient Management Rules 1 $ August 2011 F. Falls Lake Stage II Implications The nutrient reductions required from agriculture under the Falls Rules are historic in scope, massive and larger than- any that have occurred in any watershed in North Carolina. These reductions are being mandated shortly after similar, smaller reductions were reached under the previous Neuse Rules_ As a result of applied research, some soil scientists in the state have- stated that it will not be possible to -meet the reductions required by the Fafls Rules. Agriculture in Orange County is likely to be greatly impacted by the Falls Rules. The requirements for larger buffers will reduce the amount~of productive land available. Producers that rent land for- pasture -or cropland may be unwilling to make the investments needed to comply with these rules on land-that they do not own. Much of the agricultural land in Orange County in the Falls watershed is currently owned by older or absentee landowners; individuals who-may be unable or unwilling t~ invest in the-BMP_s needed to meet the goals of the Rules. Cost-share funds from State and Federal agencies: have historically been available to assist farmers with the installation of BMPs such as those needed to meet the goals of the Falls Rules. Unfortunately, these funding sources have been greatly reduced over- the past few years, and the outlook for an increase in funding does not appear to be positive. Even if sufficient-cost share funds become available to assist farmers with the. improvements that are needed to meet the reduction goals, landowners will remain responsible for approximately 25 percent of the-cost of each BMP implemented through these programs. This is likely to represent an additional financial burden on an agricultural community that is already financially stressed. The end result of the Falls Rules could be the loss of productive agricultural lands and operations, and ultimately the transfer of these lands to non-agricultural purposes, including development. VI. Nutrient Offsets and Trading According to the DWQ Web site: Rules provide for the use of nutrient offset payments in the Neuse and Tar-Pamlico basins along with the Falls and Jordan watersheds as an option to meet nutrient reduction requirements for new development and redevelopment. While rules vary by watershed, they allow developers not meeting the nutrient requirements on their site to have the option of offsetting nutrient loading through payment to a third-party mitigation provider such as the Ecosystem Enhancement Program (EEP) or a compensatory mitigation bank to "buy down" their nutrient loads to where they meet targets for nutrient export. When developers choose the nutrient offset option, payments are used to transfer the responsibility for offsetting increases in nutrient load from the