What is a Mitigation Fund?
We work with public agencies, project developers, public utilities, school districts, transportation agencies, land trusts, biologists and land use attorneys to establish mitigation funds.
Mitigation Funds offset the adverse environmental impacts of development by funding permanent land and species conservation.
With more than $57 million held in 110 mitigation funds, our long history of strong investment performance and our relationships with the nonprofit community make us an ideal mitigation fund partner.
Benefits of Mitigation Funds
We act as a third-party manager of endowment and non-endowment funds for mitigation purposes, including on-site mitigation, off-site mitigation, mitigation banks and in-lieu fee programs.
Key benefits of establishing mitigation funds at SDF include:
- Accessing our experienced team to help answer questions, troubleshoot issues or provide financial forecasts at any point in your process.
- Reducing financial risk. Many habitat managers prefer to have funds managed by outside specialists rather than having to manage the investment themselves.
- Meeting or exceeding legal standards and best practices while leveraging our investment expertise to achieve returns that fund long-term management and account for inflation. Government and joint powers agencies have restrictions on investment options that make it difficult to maximize diversification and returns.
- Operating in accordance with all Uniform Management of Institutional Funds Act (UMIFA) and Uniform Prudent Management of Institutional Funds Act (UPMIFA) standards.
How to Get Started
When the entitlement process has started and it has been found that species and/or habitat mitigation is necessary, permitting agencies will help determine what mitigation is needed and may provide ideas for how the mitigation obligation can be satisfied. There are three options:
1. Mitigation Banking
Purchase credits to fund an already existing restored/protected habitat or species.
2. On-Site or Off-Site Mitigation
Set aside or purchase mitigation property and establish endowment and/or non-endowment funds that will help a habitat manager care for the property in perpetuity.
3. In-Lieu Fee Programs
Pay fees to a third party to restore, establish, enhance and/or preserve loss to affected species or habitat.
After the mitigation type is determined, work with our team of experts to prepare a Fund Agreement for approval and to make contributions. All interested parties review and provide input on the Fund Agreement prior to signature.
Frequently Asked Questions
Open a Fund Today
Set up a charitable fund that matches your philanthropic goals and personal interests.
Mitigation Fund Fees
Fees from mitigation funds at SDF fund our nonprofit operations and are re-invested into communities through grantmaking, programs and initiatives that support urgent regional needs.
Connect with our Giving Team
Our experienced staff understands the technical complexities of mitigation funds and helps simplify the process. We are your personal support team here to help you manage your fund(s) confidently.
Contact us at (619) 814-1332, email us or submit a Contact Form.