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Letter Agreement <br />April 10, 2008 <br />The Nature Conservancy <br />ATTN: John Herron, Director of Conservation <br />711 Navarro, Suite 410 <br />San Antonio, TX 78205 <br />Dear Mr. Herron <br />I am writing to memorialize the City's agreement with The Nature Conservancy regarding the City of San <br />Marcos' commitment for mitigation of endangered species habitat for the golden-cheeked warbler <br />(Dendroica chrysoparia). By Agreement with the United States Department of the Interior, Fish and <br />Wildlife Service ("FWS"), the City has agreed to a mitigation measure that involves contributing <br />$149,969.31 to a fund for the conservation ofgolden-cheeked warbler. <br />The Nature Conservancy is agreeing to accept the sum of $149,969.31 from the City of San Marcos, Texas <br />for the purpose of protecting approximately 24 acres of quality habitat for the golden-cheeked warbler in <br />Hays County, Texas. The funds may be used for the acquisition of fee simple title or conservation <br />easement to be owned or held by The Nature Conservancy or other entity selected by the Conservancy. <br />As FWS has confnmed with the Conservancy: <br />• these funds may be combined with other funds and/or lands to meet the protection goal so long <br />as there is adequate habitat which is recognized and designated as golden-cheeked warbler <br />habitat by deed or other legal instrument; <br />• the funds may be used as matching funds on a grant provided that, if the funds are used to <br />match U.S. Fish and Wildlife Service grant programs, the decision on whether they can be used <br />as match will be at the discretion of the U.S. Fish and Wildlife Service; <br />• the funds may be used for the acquisition price, closing costs, stewardship endowment, direct <br />and indirect costs associated with the acquisition, and other reasonable costs; <br />• in the event fee simple title is acquired, the land may be transferred to a third party subject to a <br />conservation easement or other appropriate restrictions for the protection of the habitat; <br />• the determination of sufficient habitat for the site shall be within The Nature Conservancy's <br />discretion; however, the Conservancy will coordinate with the U.S Fish and Wildlife Service to <br />demonstrate that the property has either occupied golden-cheeked warbler habitat or is adjacent <br />to habitat and will add to its long term viability; and <br />• the funds cannot be used to count towards mitigation required or recommended under any U. S. <br />Fish and Wildlife Service Habitat Conservation Plan. <br />p. 1 of 2 <br />