NUTRIENT CREDITS
Virginia’s nutrient trading program was initiated in 2005 with the implementation of the Chesapeake Bay Watershed Nutrient Credit Exchange Program. This program was created to combat the discharge of excess nutrients and improve the water quality flowing to the Chesapeake Bay by establishing a robust program whereby individuals and businesses can offset their nutrient impacts on local and regional waterways by purchasing nutrient credits. Under the guidance of Virginia’s Department of Environmental Quality (DEQ), a nutrient bank generates phosphorus and nitrogen reduction credits through a variety of practices including land-use conversion, stream restoration, and urban stormwater best management practices.
Ostrya Conservations has developed several land conversion nutrient banks with service regions which cover most of central Virginia, including the entire James River Basin west of Richmond and the vast majority of the Roanoke River Basin. Developers, engineers, local governments, and individual homeowners with question on the generation and use of nutrient credits or those wishing to purchase nutrient credits are encouraged to contact James Eaton of Ostrya Conservation (james.eaton@ostryaconservation.com).
The general process for purchasing nutrient credits is as follows:
Purchaser reaches out to Ostrya Conservation (usually via email) requesting a quote/bid and provides the following information: desired amount of phosphorus or nitrogen credits, exact location of project impacts (including street address or county and tax map parcel) or eight digit HUC (hydrologic unit code) where the project impacts will take place;
Ostrya Conservation will respond (usually within 48 hours) with a quote price;
Upon acceptance of the price, a Letter of Availability will be supplied, if requested;
Purchaser receives approval for use of quoted amount of nutrient credits from Virginia Stormwater Management Program (VSMP) Authority;
An Agreement for the Purchase and Sale of Nonpoint Nutrient Offset Credits between the Purchaser and Ostrya Conservation is then put in place;
Upon receiving the signed Agreement and payment, Ostrya Conservation will finalize the purchase and sale (usually within 48 hours) by providing the purchaser with a completed Bill of Sale, Affidavit of Sale, DEQ Water Quality Enhancement Fee Form, and updated ledger. Finally, the Water Quality Enhancement Form and Fee, the Affidavit of Sale and an updated ledger will be submitted to DEQ.
