North Umpqua Hydroelectric Project Federal Mitigation Funds

The North Umpqua Hydroelectric Project USDA Settlement Agreement Section 19.3 requires PacifiCorps to deposit funds into an escrow account called the Federal Mitigation Fund. The funds are designated for use on federal lands within the North Umpqua watershed or the purpose of offsetting adverse impacts to aquatic, terrestrial, and other natural resources caused by the hydroelectric project roject and not otherwise mitigated for the settlement agreement.

The Forest Service has the sole, administrative discretion on allocating these funds within the guidelines provided in the settlement agreement, with the Forest Supervisor retaining the final decision authority. The Umpqua National Forest began to expend the mitigation funds in 2007 and completed its Strategic Mitigation Fund Plan in 2022.

Working Together with our Partners

The hydropower mitigation funds provide a unique opportunity to complete projects with partners outside of independent of federal appropriations. Several project selection criterion encourage working with partners who can assist in locating additional grants and leveraging funds to increase amount of work that can be accomplished. This is a great way for local conservation groups to become involved with mitigation fund projects and help improve habitat and restoration in the North Umpqua watershed. Learn more about our established partners.

While the Forest actively seeks out partners from other goverment and non-governmental agencies who can contribute their resources and expertise to mitigation projects, there are no authorized processes to transfer mitigation funds to non-governmental organizations. Therefore, any proposed projects must have a Forest Service or Bureau of Land Management employee as an advocate.

To learn more about getting involved with hyropower mitigation fund projects, contact Forest Hydropower Program Manager Pam Sichting at (541) 957-3342 or at pamela.sichting@usda.gov.

More Information about the Settlement Agreement

The Settlement Agreement outlines the purpose for the mitigation funds in two locations: Settlement Agreement Section 19.3 and the Explanatory Statement for Settlement Agreement Section 5.16.

Section 19.3 of the Settlement Agreement states:

  • “PacifiCorp shall establish a Mitigation Fund…to be administered by the USDA-FS for the purpose of offsetting adverse impacts to aquatic, terrestrial, and other natural resources caused by the Project and not otherwise mitigated for in Sections 4 through 18 of this Agreement. The Fund will be used to mitigate or compensate for Project impacts to wetlands and still water amphibian habitat, riparian and aquatic species connectivity, vegetation management, terrestrial species connectivity, and soil loss and soil productivity resulting in erosion.”

The Explanatory Statement for Section 5.16 states discusses all types of mitigation funds that PacifiCorp must provide, including funds owed to the State of Oregon, and in part states:

  • “To offset Project impacts on fish and wildlife that are not otherwise mitigated by the PM&Es of the Settlement Agreement, four mitigation funds will be established that may be used to implement tributary enhancement, monitoring and predation control, riparian restoration, and other measures in the North Umpqua basin, and to provide for early implementation of PM&E measures....”
  • “Mitigation Fund: This fund, administered by the USDA-FS, will be used to implement mitigation and enhancement measures on National Forest System lands and BLM-administered lands within the North Umpqua basin. The projects may include stream or riparian restoration, road decommissioning, or other measures to benefit aquatic and terrestrial species and habitats.”

Examples of Completed Projects