Common use of Credit Transactions Clause in Contracts

Credit Transactions. The standard unit of measure used in in-lieu fee mitigation programs and mitigation banking to quantify an impact is a ‘debit’; restoration, enhancement and preservation at a compensatory mitigation project is measured in ‘credits’. Generally, the determination of debits at a permit site and credits at a compensatory mitigation project in Montana are governed by existing Corps procedures specific to compensatory mitigation in the State of Montana. The Corps has established specific and separate procedures for the determination of debits and credits for wetlands and for streams. Determination of debits and credits for the purpose of providing compensatory mitigation under this Instrument will be conducted using the following specific procedures and provided in Exhibit C: 1. Wetland Mitigation: Wetland Compensatory Mitigation Ratios, 2005 2. Stream Mitigation: Montana Stream Mitigation Procedure, 2010. Unless otherwise specified in a specific compensatory mitigation project plan and until updated procedures are published by the Corps, mitigation credits will be determined and counted using the previously listed procedures. While mitigation ratios are generally accounted for in establishing credits achieved, the Corps may, at their discretion and according to the relevant terms of the federal rule, require credit to debit mitigation ratios greater than one to one where necessary to account for the method of compensatory mitigation (e.g., restoration or preservation), the timing of mitigation relative to permitted actions, or other differences between impacts at the permit site and benefits or lift at the compensatory mitigation project.