Financing Successful Watershed Implementation

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Financing Successful Watershed Implementation
Bill Jarocki Environmental Finance Center Boise
State University http//sspa.boisestate.edu/efc
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Building Financial Management CapacityThrough
Research, Training and Assistance
http//sspa.boisestate.edu/efc
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This is what weve learned

• In pure public finance terms, watershed funding
  is one of the most difficult funding challenges.
• This is because cost, organizational,
  intergovernmental and time factors are more
  complex in watershed restoration than in any
  other environmental finance setting.

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If this is so
Recognize that there never has been, nor will
there ever be, enough public funding available to
get the job done. It makes sense to utilize the
existing watershed framework to develop an
implementation strategy that has multiple funding
options. Creating a funding strategy uses the
skills and strengths of stakeholders, in
coordination, to realize implementation of plans
and reach objectives.
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Our tools have been created based on the
Watershed Approach pioneered by the University of
Maryland EFC What is it?

• Examining all sources of the problem
• Visioning potential outcomes
• Prioritizing activities
• Building consensus and cooperation
• Leveraging resources
• Accomplishing goals

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Financing Watershed Protectionwith aCommunity
Quilt
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Community quilt concept of financing

• The Watershed is a Mosaic of public, private and
  nonprofit land ownership and a myriad land uses.
  
• Using a broader collection of terms can broaden
  the sources of funding for your source water
  protection plan.
• Identify stakeholders and land uses within a
  watershed to create a patchwork of funding
  opportunities.

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Creating the Quilt

• Federal, State and Local programs plus
• Financing techniques such as innovative rate
  structures
• Public-private partnerships
• Broad purpose utility operations

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A Holistic approach...

Broad-based sources of funding leads to
broad-based support for your objectives Begin to
think outside the box on issues related to
finance. Create a visionary strategic funding
plan that relies on diverse sources of funding.
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Planning to Implementation Transition
Technical Plan Science Orientation
Implementation Plan Business Orientation

• Mission Mission
• Goals Goals
• Objectives Objectives
• Tasks Tasks

T r a n s i t i o n P o i n t
Reduction
Construction
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Plan2Fund can help answer these questions

• What information does the watershed group need to
  coordinate their efforts, and how will that be
  tracked?
• How much money is needed?
• Should that be decided site by site, per project,
  or on a larger watershed basin effort?
• Plan2Fund has been customized to meet specific
  planning needs.

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• Enter mission, goals, objectives and tasks in
  an interactive database
• Prioritize tasks over multiple years
• Determine financial resources needed to meet
  goals
• Determine who is going to do what, when
• Track progress toward completion

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OPT Objective Prioritization Tool Decision
Rule Prioritization Model
OPT
Available May 2007
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What are the potential sources of money for
implementing a watershed improvement strategy?
Alternative Funding and Partnering Techniques
Local Government Revenue Generating
Programs Private Funding Organizations Public
Funding Programs
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• Directory of Watershed Resources
• How to Navigate the River of Funding Information

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Building a Winning Proposal

• Dennis Canty
• Evergreen Funding Consultants
• Seattle, Washington

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The Building Blocks

• Consistency
• Clarity
• Consequence
• Commitment

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Consistency

• Finding sources that are consistent with your
  project
• Tailoring your project to the source

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Consistency

• In Form
• Responsive to instructions?
• Complete? Professional?
• In Content
• Consistent with the funders mission and goals?
• Compatible with the funders track record on
  funded activities, funding level, recipient type?

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Clarity

• Keep it simple and clear in goals, methods, and
  products
• Avoid jargon and duplication
• As if you are explaining it to your mom,
  son/daughter, neighbor

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Clarity

• Not This
• TMDL, ESA, HCP, 303(d), PRP, etc.

• This
• Spell it out, convert it to lay persons terms

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Clarity

• Not This
• Our goal is to restore water quality in the Blue
  River

• This
• Our goal is to reduce phosphorus in the Blue
  River by 20 by the year 2010

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Clarity

• Not This
• Well measure success by surveying local citizens
  in the Blue River watershed

• This
• Well test our success by conducting a telephone
  survey of 200 watershed citizens

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Consequence

• How important is this project?
• Use superlatives the last, the best, the
  biggest, the most if possible
• Cite tangible impacts acres protected, problems
  solved, millions saved not process

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Consequence

• Not This
• The product is a plan

• This
• The product is a strategy and is backed by a
  commitment to act

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Consequence

• Not This
• The Blue River is pretty darned nice

• This
• The river has the cleanest water, supports the
  biggest trout run, etc.

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Consequence

• Not This
• The project will result in the purchase of 200
  acres of habitat

• This
• The result will be the permanent protection of
  the highest quality riparian habitat in the
  watershed

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Commitment

• What do you bring to the project?
• Cash is cheap
• Staffing, political commitments, new partnerships
  are more difficult and more convincing

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Commitment

• The message we believe in this project, we will
  invest whatever we can in its success, we are
  ready to move forward with results

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The Winning Proposal

• Consistent with needs and aims of the funding
  source
• Clear in intent, methods and products
• Consequential in objectives and likely outcomes
• With a strong local commitment to succeed

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To Be or Not to Be?

• Plan A If funding is received,
• Manage the budget properly
• Secure the team to complete the work
• Provide progress reports or other reports in a
  timely manner
• Complete project
• Plan B If funding is not received,
• Follow up Why not? Can I resubmit?
• When is the next funding cycle?
• Any suggestions for changes?

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Questions
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Contact Information
Bill Jarocki, MPA Director Environmental Finance
Center Boise State University 1910 University
Drive Boise, ID 83706-1936 (208)
426-1567 bjarock_at_boisestate.edu http//sspa.boises
tate.edu/efc