DISCUSSION PAPER page 1 January 27, 2006

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1 DISCUSSION PAPER page 1 January 27, 2006 A wonderful opportunity has come to Wild Ones by way of Leslie Taylor, long-time FVAC Wild Ones member. The opportunity is for Wild Ones to take ownership of 12-½ acres of land including a residence. Currently this property is owned by Terry Gant (G & H of Neenah, LLC) who is a conservation buyer (a person who is willing to secure a property until a non-profit or local government can raise the funds to take it over). Terry is holding it during the interim until Wild Ones receives funding through two Wisconsin grant programs. The property is made up of woodlands, marsh and lake shore, vacant lot and grassy yard. The building is a very nice, modern two-story home with walk-out basement on Butte des Morts Beach Road in the Town of Menasha, and is part of the "West Shore Preserves" which make up an anticipated restoration area from Mud Creek south to Arrowhead Park in Neenah. It is very accessible from Hwy 41 at the Prospect Street exit (County Rd BB) and approximately 12 miles south of Donna s home office. This relatively new home, owner-built, is suitable for use as office space, community room and laboratory. It also has a solarium and above the 2.5 car garage, a loft area. The house was part of the original northerly parcels transferred to Northeast Wisconsin Land Trust (NEWLT) in 2004 through use of NRDA (Natural Resource Damage Assessment) funds used for restoration projects related to the PCB cleanup in the Fox River. NEWLT could not take ownership of the parcel with the house because it could only be included in the grant purchase if it would be used for environmental education purposes that support habitat restoration. NEWLT s mission statement does not allow them to own buildings. As a result, Terry Gant continues to own the house, and subsequently has purchased the adjacent lot, and wishes to transfer all to an organization that could use it as a center for environmental science (citizen monitoring, environmental education, office and meeting space for environmental and conservation groups, field station for small groups of students, demonstration site for natural landscaping, native plant gardening, rain gardens, etc). Although Wild Ones would have the privilege of using this facility as its headquarters, have space for its Wild Store and Wild Library, and be able to provide naturally landscaped demonstration areas for its members and the community at large, it would also be responsible for implementing the West Shore Preserves Phase II special focus which would be citizen involvement with environmental quality in our communities. See Exhibit 1 for a preliminary environmental description of the marsh area. This focus would especially relate to the restoration of the Fox River and its habitats in an urban environment. It would also be a place for groups to conduct studies, learn to use water monitoring equipment, and stay overnight occasionally - a place that would become an incubator for collaborations between many citizens, schools and organizations. A special interest would be to promote the concept of sustainability in our communities with the goal to provide a central place to support all the people and organizations whose missions and activities relate to that in some way. The list of potential community participants in this project is long and includes UW-Oshkosh, UW-Fox Valley, Lawrence, FVTC, K-12 schools, scouts, Wild Ones members/chapters, Greenways, NEWLT, Audubon, nature centers, various other conservation organizations, etc. It is important, however, that we plan the use of this facility so it would complement and not compete with the existing nature centers in the Valley.

2 DISCUSSION PAPER page 2 Located in the Town of Menasha, officials will be open to granting property tax exemption since they have already committed to the concept of the West Shore Preserves and partnering with other nonprofits to make it happen. Terry has already transferred two other properties to the Town of Menasha and one to the City of Neenah, as well as the original property he transferred to NEWLT. Additional properties will be made available for transfer to NCO s or municipalities in the future as they come on the market. All these properties are designated to be known as the West Shore Preserves. Leslie has signed on to help Terry Gant and Wild Ones complete this transaction by authoring the grants and other documentation required to see this through. Leslie will continue to work with the Center to author more grants and coordinate the efforts as outlined above for its future use. She understands that her compensation for these efforts will come from the successful awarding of the grants. BUDGET INFO: The simplified budget that has been proposed for this purchase is for Property Acquisition, Restoration & Development. Expenses 12 ½ acre prairie and wetland restoration site $600,000 Center facility on ½ acre lot 300,000 Center improvements (Boardwalk through marsh, ADA 100,000 Compliance, habitat restoration costs, etc.) Total $1,000,000 Source of Funds DNR Stewardship grant $ 450,000 Natural Resource Damage Assessment (NRDA) funds for restoration of Fox River ecosystem 450,000 Matching private donations 100,000 Total $1,000,000 TIMETABLE: Schedule of Events: 1. Letter of intent stating that Wild Ones intends to purchase the property for the purposes of habitat protection and restoration, and for educational purposes from Terry (G & H of Neenah, LLC), contingent on Wild Ones receiving the necessary expected funding through two major grant sources (WI DNR Stewardship grant for habitat protection, and Natural Resources Damage Assessment funds for restoration of the Fox River) and private donations. Status: 1. Bret prepared this letter and forwarded it to Terry.

3 DISCUSSION PAPER page 3 2. Apply for $15,000 Planning Grant from the Community Foundation for the Fox Valley Region. 3. Wild Ones must apply for NCO (Not-for- Profit Certified Organization) through WDNR. Wild Ones must be certified as an NCO in order to apply for and receive Stewardship Program Funds through the WDNR. One of the requirements of the certification is that we have as one of our primary missions, acquisition of land for conservation purposes (as evidenced in Articles of incorporation and by-laws). 2. CFFVR accepted our letter of intent last quarter for a start-up grant for the Center, but we did not award us a planning grant. We have since learned of a couple of political maneuvers which surround the awarding of these grants and are anxious to reapply next quarter. We feel we will be in a much improved position for success. 3. Donna applied for NCO status. Our Articles of Incorporation are acceptable (1), but our Bylaws have to be changed to specifically reflect our ability and desire to own property. This will require the Board s ratification. We have gotten the preliminary approval on our application for certification to receive stewardship funds from the WDNR by providing the wording to be used to changen ou Bylaws. We will need to provide a copy of the amended bylaws before we are certified, however. The change to the mission statement will read, as authored by Bret: Wild Ones: Native Plants, Natural Landscapes promotes environmentally sound landscaping practices to preserve biodiversity through the preservation, restoration and establishment of native plant communities. As part of its largest efforts, Wild Ones may acquire by gift, purchase or otherwise, real or personal property of any kind whatsoever, including partial real property interests for the purpose of preserving, restoring, developing and promoting biodiversity. Wild Ones is a not-for-profit environmental education and advocacy organization. 4. Wild Ones option to purchase the property from G & H of Neenah LLC in hand in order to complete the grant applications 4. Atty Rich Carlson here in the Fox Valley area has agreed to provide this document for us gratis. Bret will review.

4 DISCUSSION PAPER page 4 5. Update the Wild Ones Bylaws and execute Resolution Requesting a Stewardship Grant. 6. The next step is to obtain a stewardship appraisal on the property. Complete Wisconsin Environmental Hazards form. 7. Submit Stewardship Grant and NRDA Grant applications for the purpose of preserving and restoring this property. 8. Submit updated Wild Ones Bylaws and executed Resolution Requesting a Stewardship Grant. 9. Upon receipt of grants, execute deeds and conservation easements. 5. We had hoped the language in the By- Laws which appears in Article V -- Officers, Section 4 President and Section 5 Vice-President and also Article VIII -- Contracts, Checks, Deposits and Funds Section 1 Contracts and Section 4 Gifts would be adequate, but alas they are not. Consequently we must update the Wild Ones mission statement to reflect our desire to own land and real estate. 6. The cost to Wild Ones will be some $3,500, but it will be reimbursed from the overall grant funds to be received for the project. Dave Gagnow will be doing the appraisal. The Environmental Hazards form will be completed by Leslie. We will not know if EPA assessments are required until after the WDNR has reviewed the grant applications. These assessments were not required for the adjoining piece already purchased by NEWLT. 7. Leslie has submitted grants. Conditions of the grants can be found at hip/nco/ncoterms.html. The entire guideline for NCO s can be found at s/guide1.pdf. 8. Approve change to Bylaws and execute resolution at Q0106 meeting. 9. Either Rich or Bret will prepare. Title insurance will be obtained through Absolute Title. These funds can be reimbursed from the grant proceeds as well. Closing is scheduled for May 1, 2006.

5 DISCUSSION PAPER page Develop partnerships and relationships with users of this site to fulfill special focus of citizen involvement with environmental quality in our Fox Valley communities. 11. Center improvements: Boardwalk through marsh, ADA compliance, habitat restoration costs, demo gardens, etc 10. Leslie has already begun this process, but will continue to do so until such time as it is no longer possible. Wild Ones will remain the ultimate responsible entity, however. These partnerships and relationships will be able to be used as models with other communities. 11. These will be accomplished as funding is obtained. We anticipate much of the labor to be accomplished by volunteers. (1) This gives us the perfect opportunity to also do some housekeeping within our own business operation. Wild Ones original Articles of Incorporation read: "The corporation is organized exclusively for charitable, educational and scientific purposes within the meaning of Section 501(c)(3) of the Internal Revenue Code: (1) to encourage the awareness and the appreciation of the beauty and rarity of wildflowers and the need for their protection, (2) to share the knowledge concerning the raising of native plants with other members as well as authorities in the field, (3) to encourage natural yards; to engage in activities relating to the aforementioned purposes, and to invest in, receive, hold, use and dispose of all property, real or personal as may be necessary or desirable to carry into effect the aforementioned purposes." Since the WDNR clearly requires that our mission statement include the desire to own land, and since our Articles of Incorporation clearly indicate it was our intent from the beginning of our corporation to do so, we should commit to finally getting around to broadening our mission statement to include this requirement along with others goals. As you may recall that was our original intent when we rewrote the mission statement awhile back. Unfortunately, the mission statement committee didn't regroup to expand the statement further after it came up with the nutshell version and the board didn't continue to pursue the completion of the goal (for which I take some responsibility since I let it slip off future agendas). Perhaps now would be the time to either reconvene the mission statement committee or establish a new one to complete this goal. Excerpt from Q0202 board meeting minutes: "...before a full blown mission statement we may want to think more in terms of a short tag line or statement that describes who we are and what we do. Some think this is the same thing." OUT-OF-POCKET EXPENSES: Purchase costs appraisal and title insurance. The appraisal cost will have to be paid for by Wild Ones up-front. The title insurance will need to be paid upon closing. Both of these costs should be reimbursed by the grant funds. If, however, the grants do not come through and we cannot find other funding elsewhere, these costs may be Wild Ones to bear. The option to purchase is reversible. Day-to-Day maintenance costs utilities, misc repairs, etc. Because this is a new home (11 years old), there should be no big-ticket maintenance at the on-set. We would anticipate other routine maintenance costs being covered through the rental of office, lab and community space, as well as

6 DISCUSSION PAPER page 6 funding from special projects such as clean water monitoring. This will be a real estate tax exempt property so the largest cost item for real estate will not be a factor. We will need to be prepared to cover utilities, routine maintenance and staff. Property insurance will need to be provided along with our current liability insurance. Estimated costs are less than $1,000. This is a cost which can also be offset by the rental of the property. The home has approximately 4500 sq ft for habitable space, excluding the garage. There is potential for 7 offices, 2 community rooms, laboratory and storage area, library, and solarium/greenhouse. The loft area which would be a great space to locate the library/wild store is substantial and could easily be broken into rooms if we found that to be a more appropriate use. The 2.5 car garage could be finished off and broken into office space as well. To see an exact description of the property go to the MLS sheet at Although I have not updated my information, a couple of years ago when we were in need of storage space, I did a survey of available reasonable rental properties in the Fox Valley reasonable enough for not-for-profit organizations to rent. There were none. I did find two facilities one in Appleton and one in Oshkosh that did cater to not-for-profits, but they had long waiting lists. The one in Oshkosh provided a central clerical person to handle the office needs of the various organizations renting the space. I anticipate that this is also how we would rent the space in this facility. My company Accent on Natural Landscaping would handle the management of the property for Wild Ones and provide the staff for the central clerical person. Updating costs I have spoken with the Town of Menasha official responsible for building and zoning. He assures me that we will be able to convert the home into office space to meet Wisconsin building code without much difficulty. Because it is a newer home, it already meets many of the code requirements. Upon our taking ownership of this property, he will arrange for the building inspector to go over these details with us. We already know that we will have to incorporate handicap accessibility functions and we anticipate obtaining grants to cover these costs. We will need to increase the electrical service to meet code but it is a given if we re going to accommodate the many users we anticipate. We will also need to finish the bathroom facilities in the lower level at some point which will then give us 4.5 bathrooms more than enough to meet occupancy criteria. In order to use the loft area above the garage for the Wild Ones library, we will need to finish that area and construct a better stairs. I anticipate that much of this work and many of the materials will be donated by local companies and organizations habitat-for-humanity style. Costs not covered in this manner, will need to be recouped from rental proceeds. ADDITIONAL INFORMATION: Will all partners be renting space in this facility? Not all partners would be renting office space in the house. Many partners will simply be providing support and using the facility for their volunteer groups. As mentioned above, the house has space for a nice lab and a couple community rooms besides the proposed office space. These facilities will be made available to these groups and we expect to be compensated either through their funding or through grants to accommodate their needs. For example, as mentioned above, clean water monitoring is funded by outside sources. Community or meeting rooms would be rented on a per use basis. Office space, of course, would be rented at a monthly rate.

7 DISCUSSION PAPER page 7 What can we expect for day-to-day expenses? Terry has been renting the house since he s owned it, first to the sellers at $500/ mo and they took care of all cost for utilities. Once they left the premises, Terry rented it to 3 WDNR subcontractors working with the PCM clean-up at $650.00/mo with a month to month agreement. (They did not have use of the whole house, however.) Terry took care of the utility costs, etc which were as follows: Time Warner Cable $50.09 per mo Sewer $45.00 per yr ( Pay about $11 per every 3 mo) WE Gas $94.95 per mo ($1, total for 2005) WE Elec $50.22 per mo ($ total for 2005) Insurance Business Policy $ per yr Softener Salt $20.00 per yr Gas for lawn mowing/snowplowing $25.00 per yr (Terry did the lawn himself.) Currently Terry has a renter on week to week at $200/week at $200/month and Terry is taking care of utilities. What effect will the PCB clean-up have on this property? The DNR is well aware of the contamination issues and there is nothing to be fearful of with regards to assuming a partnership relationship with them as far as testing, monitoring, cleaning up on property acquired with their own and NRDA funds. What if we find this project is more than we can financially handle? Should we decide that we can't handle the commitments to the project in the future, it will need to be turned over to another qualifying WDNR certified not-for-profit organization or to the WDNR. The person to receive the property would need to go through an approval process similar to the process we are now going through. Wild Ones would likely need to cover closing costs if this should occur. Who is Leslie Taylor? Leslie Taylor completed grant-funded projects and land protection projects for Northeast Wisconsin Land Trust from She has been a Wild Ones member (Fox Valley Area Chapter) for 10 years. For the past two years she has been pursuing her interest in forming partnerships between local nonprofit conservation organizations to achieve more protection and restoration of nature, and more community support, than one organization can achieve by itself. Leslie is the owner of LT Associates, 1411 E Apple Creek Rd, Appleton, WI She can be reached by phone at (920) and (920) (cell) or via at leslietaylor@new.rr.com In conclusion, this is as an excellent opportunity to provide the credibility and the permanence to the Wild Ones organization that will give us the impetus to become a viable national force. February 3, 2006/dvb C:\MyFiles\WP Docs\WO's\Meetings\Quarterly Meetings\QAgendas\Q2006\DISCUSSION PAPERWildOnesHQ.wpd