Companies that establish mitigation banks in North Carolina work with EEP by selling compensatory-mitigation credits to the program. EEP purchases credits from banks through two mechanisms: 1) RFP to purchase Mitigation Bank Credits, and 2) waiver of competition. EEP has established a new proposal to increase opportunities to purchase credits from established mitigation banks.
PROPOSAL TO SELL CREDITS TO EEP
EEP has the following two processes in which it can purchase Mitigation Bank Credits:
Waiver of Competition
The waiver of competition may be used when there are relatively small quantities of need to meet its compliance issues, and when it is both ecologically and fiscally beneficial to the state. Under such a system, EEP must justify and secure permission from the NCDENR Purchase and Services Division. This process has been used on an infrequent basis, and where only one bank has credits of need in the appropriate service area.
Request for Purchase of Mitigation Bank Credits
Mitigation banks may participate in a Bank Credit request for proposal. This process is structured for larger credit quantities and based on a low-cost system. Mitigation banks may compete with other Banks who are qualified for the solicitation. After EEP has completed its strategic planning of yearly credit procurement early in the year, it will release a Request for Proposal to purchase available Mitigation Bank Credits throughout the State. Banks can propose released credits and those unreleased credits that will be available through the given contract period. EEP will assess the proposals an purchase those released credits that meet the criteria. EEP can also reserve for purchase other Bank credits for puchase in the future.