THESAVANNAHRIVERCLEANWATERFUND(“FUND”)
ANEXECUTIVESUMMARY
Befittingitshistoryasoneoftheoriginalcolonialtraderoutes,theSavannahRiversupportsawidevarietyofhumanand
naturalvalues,andservesasacriticalwaterresourcetothestatesofGeorgiaandSouthCarolinaalike.
TheWatershedanditsBeneficiaries.ThelastdamatNewSavannahBluff,justdownstreamoftheCity
ofAugusta,giveswaytoafree-flowingriver,emptying200mileslaterintotheAtlanticOcean.Just
upstreamofNewSavannahBluff,theClarksHill/J.StromThurmondhydropowerfacilitycontrolsthe
lowerriver’sflow.The2.8millionacrewatershedpresentlyprovidesdrinkingwatertoover550,000
people.Manymoredependontheriverasanoutletforwastewaterdischarge.Numerousbusinesses
andmajorindustriesrelyonitswaterforbothintakeanddischargeuse.
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TheFund’sBeginning.In2009,theSouthLowcountry(SOLO)TaskForceofstateandfederal
governmentagencies,non-profits,landowners,andbusinessandprivateinterestsagreedtotheexplicit
connectionbetweenthelandresourcesoftheSavannahBasinandtheirimpactonrawwatersupplies.
Knowingforestcoverisstillsufficienttoassurerawwaterqualityanddevelopmentpressureshavenot
yetrisentothepointthatlandprotectionatascalesufficienttoprotectwaterqualityiscostprohibitive,theyagreedtomaketheprotectionoftherivercorridorandwatershedatoppriority.To
start,theTaskForceformedaspecialSteeringCommitteeconsistingofkeyTaskForcemembersand
addedtoitrepresentativesfromwaterutilities,stateregulatoryagenciesandothers.TheSteering
Committee’sworkhasledtotheformationofanewwaterprotectionfundwhichisnowcalledthe
SavannahRiverCleanWaterFund(“Fund”).InAugustof2014,ArticlesofIncorporationwerefiledto
legallyformtheorganization.TheFund’sgeneralpurposesaretopromote,forthebenefitofwater
quality:
1. LandConservationandManagement.Landconservationandlandprotectionthroughland
acquisition,conservationeasements,deedrestrictions,responsiblelandstewardshipandland
managementpractices;and
2. ScienceandResearch.Educationandscientificresearchrelatedtowaterquality
TheRiver’sCapacitytoServeTheBeneficiaries’Needs.Inlightofcurrentdemandsfordrinkingwater
andtheopinionsharedbyprofessionalsthattheriverisalready“atcapacity”intermsofdischarge,river
watertosupportfuturegrowthofcommunityorindustrywillbedependentonmaintainingor
improvingcurrentwaterqualitystandards.Thosewaterqualitystandardsdependinlargepartonthe
healthandqualityofthelandsurroundingtheriver.
TheSavannahRiverisatacriticaljuncture.Forestcoverwithinthewatershedisstillsufficientto
assurerawwaterquality,butdevelopmentpressuresarebuilding.From2000–2006,thepopulationof
theAugusta-AikenMetropolitanStatisticalAreaincreasedby4.72%;Savannahgrewby9.22%.
SubstantialexpansionisplannedfortheHardeeville,SCarea,prospectivelycreatingoneofthelargest
incorporatedareasinSouthCarolina.Shouldconditionswithinthewatersheddeteriorate,waterquality
andquantitywillsuffer.
NaturalLandSupportsWaterQuality.TheNaturalLandGoalsforTheWatershed.Todaythe2.8
Millionacrewatershedislargelyrural,with78%forestcover.Thewatershedisagreatexampleofgreen
infrastructure–anetworkofnaturalfeaturesthatprovidecriticalproductsandservices,includingflood
flowretention,nutrientandsedimenttrapping,excellentrecreationalopportunities,cleanair,fishand
wildlife,recreationalopportunities,propertyvalues,andnaturalproductsthroughcommercialfishing,
timbering,farming,andotherresource-basedactivities.
Extensivewatershedscienceandpracticalexperiencedemonstratesthatlanduseleadsdirectly
towaterquality.Forgoodorbad.Thecleansingeffectofnaturallandiswellestablishedinscience,with
theamountofnaturallandnecessarytopromotewaterqualityvaryingbylocale.Inthiswatershed,
keeping60%ofthewatershedinsomeformofnaturallandisthegoal,basedonestablishedscience.A
2.8Millionacrewatershedata60%naturallandcovergoalyields1.67Millionacres.Atpresent,about
500,000acresaresecured,leaving1.17Millionacresremaining.
Recognizingitwillbedifficultorimpossibletobuylandorpayforeasementsfor1.17Million
acres,thatnotallnaturalandrurallandareasarecreatedequalintheircontributiontorawwater
quality,andthatprioritiescanbemadegeographicallyexplicit,theFundsawaclearneedforthe
prioritizationoflandinvestmenttransactions.UsingatoolcalledtheWatershedManagementPriority
Index(WMPI),theFunddetailedlandcover,soilandelevationdatatoidentifytheareasmostcriticalto
waterqualitymaintenance.Therivercorridorsemergedashighpriorityareas,anintuitivelyobvious
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conclusion,butotherareasweregradedaswell;theresultswereintegratedwithinlegaltract
boundaries,providingamechanismtorankindividualtractsontheirrelevancetorawwaterquality.As
aresultofthisprioritization,itwasdeterminedthatabout210.000ofthetotal1.17Millionacresare
mostcriticalintermsoftheircontributiontowaterquality,withthebalanceofabout960,000acres
rankedimportantbutnotmostcritical.
TheFundhasconcludedhighprioritylandsshouldbepermanentlyprotected,withconservation
easementsasthemostcosteffectivetool,whileimportantbutlesscriticallandscanhelpwaterquality
byadoptionanduseofappropriatelandmanagementpractices.ThoseobjectivescomprisetheFund’s
LandConservationandManagementmissionelement.Inthewatershed’srecentyears,conservation
easementbargainpurchaseshaveapproximated$250peracre.At$250peracreanda210,000acre
highprioritygoal,thatcomestoafinancialneedof$52Million.Assuminglesscriticallandsadopt
acceptablelandmanagementpractices,atacostsharecontributionofaround$15peracre,thatis$15
Million.Withatotalneedof$67Millionandassumingindividuallandownertransactionsovermultiple
decades,theFundwillneedtoraiseonaverage$2MillionperyearforLandConservationand
Management.
LandConservationandManagement:MeetingTheFinancialNeeds.Toraise$2Millionperyearfor
LandConservationandManagementoveranextendedperiodisaconsiderablechallenge.Themost
logicalinvestorsshouldbethosewhonowbenefitorwillbenefitdirectlyfromtheresultsofthe
investment,specifically,thepresentandfuturewaterusersanddischargerstotheriver.Knowingthe
burdenofmaintenanceofwaterqualityintherivershouldnot(orfinanciallycannot)beborne
exclusivelybythosegroups,theFundhasassumedafairallocationofthe$2Millionannualneedtoone-
half($1Million)fromtheusers/beneficiaries,withthebalancefromothersourcessuchasstateand
federalfunding,localgreeninitiatives,privateandpublicfoundationinvestment,NGO’sandotherthird
partysources.
Toprocurecommitmentsforthe$1Millionannualinvestmentfromwaterusers/beneficiaries,
theFundhaspartneredwithaselectgroupofmajorwaterutilitiestoensurethatsustainablefunding
stream.Butthatisonlyonehalfoftheneed.Becauselandtrustsandotherapplicants(“Qualified
Applicants”)willseek,solicitandprocureLandConservationandManagementopportunitieswith
privatelandownersonanindividualbasis,andfollowingthoseagreementswillmakeapplicationstothe
majorwaterutilitiesfortheirshareofthefundingneedsonacasebycasebasis,knowingareliableand
sustainablesourceofmatchfundingwillbecriticaltosuccess.Theproverbialcartbeforethehorse.To
theextentthosematchsourcescanbeidentifiedinadvance,andusedbyQualifiedApplicantswith
comfortintheknowledgetheycandeliveronpromisestolandowners,LandConservationand
Managementwillenjoygreatsuccess.
ScienceandResearch.TheFundrecognizestheneedfortheoreticalandappliedsciencetocontinually
clarifytherelationshipoflandusetowaterquality,andidentifytheconditionsunderwhichwater
qualityisimproved,maintained,ordegraded.Itisenvisionedfuturescienceeffortswilldemonstratethe
effectofFundactivities,andguidetheevolutionoftheFundtowardsanorganizationthatmaximizes
returnsoninvestmenttowardwaterqualityprotectionandrestoration.TheFundwillalsobenefitfrom
aregularpracticeofscientificreview.
Inrecognitionoftheabove,theFund’sBoardofDirectorswillworktodevelopasciencebased
program,andwillworktoprocureappropriatethirdpartyfunding,toengageinternalandexternal
partnerstobuildconsensusonascienceagendathatidentifiesthemostimmediatescienceneedsinthe
Savannahbasin;toprovidenon-financialsupporttoscienceeffortsrelevanttoitsmission;toprovide
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directfinancialsupporttorelevantscienceeffortsarisingfromdirectivesandassociatedfundingfrom
investor(s);and,toconductareviewofwatershedscienceevery5yearstostayabreastofbestpractices
inuser-supportedwatershedconservationandmanagement.
TheOrganization,OperationsandtheChallengeGrant.AsofApril1,2016,theFundhassecured
commitmentsfromfiveofthemajorwaterutilitiesinthebasin,hiredanexecutivedirector,constituted
aboardofdirectors,andreceivedtheirnon-profit,taxexemptstatus.ItisanticipatedtheFund’s
operatingandoverheadneedswillapproximate$200,000peryear.KnoblochFamilyFundhas
committed$100,000/yearforthreeyearsforoperatingexpenses,iftwoconditionsaremet:
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Thewaterutilitiescontribute$1,000,000annuallyforLandConservationandManagement;
Amatchof$100,000foroperatingexpensesisraisedfromtheprivatesector,whichhasbeen
completed.
AcknowledgingtheFundBenefactorsToDate.TheSteeringCommitteehasperformedadmirablyto
date,whileincurringcostsofabout$116,000,principallytoengagefacilitationandfinancialconsultants,
forscienceresearch,andformarketingexpenses.WithmanythankstoTheNatureConservancyfor
theirtirelesscontributionsoftime,talentandmapping(andtotheirsupportersaswell),theSteering
Committeehasprocuredthirdpartyfundingtodateforstartupexpenses.
Conclusion.ThequalityoflifeintheSavannahRiverdependsonareliablesupplyofclean,abundant,
andaffordablewater.ImplementingtheFund’smissionwillnotonlysupportwaterquality,butwillalso
helpensureandpreserverurallifestyles,maintainandcreatefamily-supportingjobsprovidedby
forestryandagriculture,andbenefitwildlifehabitat.Thisprojectisaground-breaking,nationalmodel
forhowtwostatesandmultipleutilitiescanworkcooperativelytoprotectwaterresources.
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