Conservation Working for America

CONSERVATION WORKING FOR AMERICA

2015 ANNUAL REPORT For 30 years, The Conservation Fund has followed a simple but enduring principle: that environmental protection and economic vitality are inseparable. In fact, they are mutually reinforcing, and every aspect of our work reflects this balance.

This is why we replace the premise of ‘or’ with the promise of ‘and.’

We can:

• have a healthy environment and a vibrant economy;

• protect nature and create jobs;

• conserve natural resources and use them sustainably; and

• support development and develop responsibly.

Here, we share a few examples from 2015 that prove just that. CONSERVATION Through land and water conservation, we deliver creative solutions to America’s most pressing environmental challenges: habitat loss, climate change, deforestation and unchecked development. The impact of our work—resulting in more than 7.5 million acres protected—balances human demand with nature’s capacity, sustaining a healthy environment for people and FROM OUR CHAIRMAN AND PRESIDENT: wildlife, now and for generations to come. In this year’s annual report, we proudly showcase our 2015 accomplishments and invite you to join us in celebrating 30 years of environmental achievement. Our work spanning three decades has a clear and distinct theme, reflecting our founders’ fundamental belief that conservation can and should advance the economic well-being of people and their communities—as we say it—“making conservation work for America.” Larry Selzer (left) and Mike Leonard (right). The history of our country tells a story of vast lands and waters, extraordinary wildlife and plentiful natural resources. For generations, our nation’s economic resilience has been linked directly to the use of our abundant natural wealth. As our country continues to grow, The Conservation Fund is dedicated to protecting our natural systems while still keeping land working for its people. This report reflects how we are accomplishing just that in communities across the country. You will read about places that shaped our nation, such as the Lewis and Clark and Captain John Smith national historic trails, Canyons of the Ancients “Our work spanning National Monument, dozens of Civil War battlefields, and many more sites that are now protected in perpetuity. You also will see how we are working three decades has to ensure that the infrastructure of Los Angeles, Nashville, Chicago and other major urban centers are being balanced with the protection and addition of a clear and distinct robust green spaces. theme, reflecting We learned early on that engaging people results in the best conservation © David Parsons © Phaedre Holmes solutions. Through our Resourceful Communities, Parks with Purpose and our founders’ Conservation Leadership Network, we continue to bring people and their fundamental belief community institutions together to address social and economic issues with conservation as the focal point. As Charles Jordan, a previous chairman of that conservation our Board, once said, “Conservation is an all-hands-on deck proposition.” PROTECTING A GREAT MIGRATION IN WYOMING RESTORING WILDLIFE HABITAT IN TEXAS can and should We are especially excited about our success in protecting large-scale working Twice a year, between 4,000 and 5,000 mule deer travel more than 150 miles forests through our Working Forest Fund. These forestland projects create through western Wyoming on one of the longest large mammal migrations in Deep in south Texas, the thick advance the sustainable jobs, as does our Natural Capital Investment Fund, through the lower 48 states. The journey is even more extraordinary considering the Tamaulipan thornscrub of Laguna its catalytic grants and loans to entrepreneurs whose businesses have number of obstacles the deer must overcome: highways, fences, rivers, homesite Atascosa National Wildlife Refuge economic well-being positive environmental outcomes. These programs provide jobs with clear development and other bottlenecks. The Conservation Fund purchased a 364-acre shelters the endangered aplomado conservation benefits for the hardworking Americans who depend on natural property to maintain a critical linkage along the Red Desert to Hoback migration falcon and one of the two remaining of people and their resources to sustain their livelihoods. With them, we are using the tools of the route in Sublette County, Wyoming. Without this protection, a private buyer could ocelot populations in the nation. The communities—as marketplace to meet the urgency of today’s conservation challenges to scale have subdivided this key wildlife haven for residential development. native landscape here has changed our solutions for lasting, systemic change. dramatically over the last 30 years due Why It Matters to agricultural and urban development, we say it—“making In short, we are redefining conservation and how it is practiced. Our record but the Fund and our partners are of 30 years of continuous growth is directly tied to our careful financial Researchers have identified the Fremont Lake bottleneck property as the conservation work bringing it back. We recently protected stewardship and lean, entrepreneurial business model. Independent charity most pressing threat to the viability of this internationally significant wildlife 1,780 acres that contain a key wildlife evaluation organizations consistently give us the highest marks in our field for phenomenon. This property, wedged between Fremont Lake to the north and the for America.” corridor and launched an initiative responsible use of funds. town of Pinedale to the south, forces the entire migratory population to negotiate a narrow 400-meter-wide corridor. Residential development of this critical area through our Go Zero® program to We are deeply grateful to you, our ever-growing and loyal community of would severely diminish, if not entirely eliminate, this essential migratory pathway. restore vital habitat by planting 25,000 donors and friends, who recognize and support our unique approach to trees. conservation. As we look to the future, we hope we can engage even more supporters like you who will help us continue to make conservation work for “Every effort must be made to ensure that these Why It Matters America for years to come. Laguna Atascosa is a world-renowned migratory passageways are maintained, while using birding destination, boasting more recorded bird species than any other a voluntary approach that reflects property rights of refuge in the country. Each year, Laguna Atascosa beckons 180,000 landowners. Your effort to acquire the property off visitors seeking opportunities to watch the open market from a willing seller fits the voluntary birds, learn about nature, hike, hunt, fish and enjoy photography. The refuge R. Michael Leonard Lawrence A. Selzer, generates nearly $30 million a year in Chairman President approach that we support.” local economic benefits, meaning that every $1 spent on this refuge levers $37 —Joel Bousman, Chairman, Board of Commissioners, Sublette County, WY for the local economy. © Derek Ostensen © Chris Rector © Andrew Martin © USFWS © Steve Orr

PRIORITIZING OPEN SPACE SAVING A MOUNTAIN JEWEL IN TENNESSEE PIECING TOGETHER A COASTAL SAFEGUARDING ENDANGERED PRESERVING A FAMILY LEGACY IN SAN DIEGO In 2008, the Fund set out to protect Rocky Fork, the largest stretch of ECOSYSTEM IN DELAWARE SPECIES IN MISSOURI IN COLORADO As the fifth-most-populated county in unfragmented forestland in the southern Appalachian Mountains. We then began In a fragile ecosystem, even the Our extensive experience in mitigation In the early 1900s, the Toll family’s land the United States, San Diego County, working with the U.S. Forest Service, Tennessee Department of Environment and slightest disturbance can unravel its projects led us to partner with the in Gilpin and Boulder counties was a key California, continually grapples Conservation and a host of other supporters to acquire Rocky Fork in sections, as health. So when one of the largest city of Hannibal, Missouri, to protect part of the railway and mining bustle. A with how to balance the needs of a funding became available. In 2015, the final 100 acres were protected, thanks to unprotected tracts in the Delaware 185 acres that will become the Sodalis century later, it’s the Toll’s commitment growing population and preserve the the federal Land and Water Conservation Fund, America’s premier conservation Bay coastal zone was under threat, Nature Preserve. The U.S. Fish and to conservation that guarantees them unparalleled natural areas that make program that uses revenue the government receives for offshore oil and gas the Fund quickly moved to protect it. Wildlife Service discovered a surprising a place in Colorado’s history. The Fund the county so attractive. We’ve been leases. With the help of the Mt. Cuba Center, 168,000 Indiana bats hibernating on worked closely with the family to working with local governments, we purchased the 1,250-acre Roberts the property—about one-third of the facilitate a multiyear effort to conserve state and federal agencies and local Why It Matters Farm near Odessa and donated it to entire population of this endangered nearly 4,700 acres of family land. A conservation groups to protect Featuring part of the Appalachian Trail and miles of blue ribbon trout streams, Delaware Wild Lands for permanent species. The Canadian company conservation easement, preventing significant open spaces and wildlife the nearly 10,000-acre Rocky Fork property is a haven for wildlife and outdoor ownership. Enbridge is paying for the property’s development and allowing the family’s habitat within the Elfin Forest area enthusiasts. We worked with leaders from across the community to help them purchase and long-term management continued ownership, was placed on that were under immediate threat recognize that by saving Rocky Fork, they were also paving the path for Unicoi Why It Matters through the Flanagan South Pipeline 3,334 acres with funding from the Land of incompatible high-end residential County to become a top nature-based recreation and tourism destination that Roberts Farm connects to adjacent mitigation fund, which was set up to and Water Conservation Fund, Boulder development. Most recently we would bring in revenue for generations to come. protected lands to form a 10,000-acre offset impacts to endangered species County, and Great Outdoors Colorado. protected the 255-acre Rancho Cielo block of contiguous wildlife habitat for and migratory birds resulting from The U.S. Forest Service acquired 823 property—critical to preserving the bald eagles, ospreys, foxes, muskrat, the construction of Enbridge’s nearby acres, and Denver Water acquired the high-quality coastal sage scrub habitat otters, horseshoe crabs and prized pipeline. remaining 539 acres. for several rare and endangered species, “Today, our citizens look at this public land as an oysters. The tidal wetlands, marshes including the California gnatcatcher. The and forestlands that make up this Why It Matters Why It Matters emerging preserve also provides heavily asset. The workshops hosted by The Conservation coastal zone help improve air and water If Hannibal tried to purchase this A top priority for federal, state and used outdoor recreational opportunities quality for surrounding communities particular property using its own funds, local agencies, this conservation for the adjacent urban community of Fund helped us develop and advance a successful and will offer opportunities for farming, it could have crippled the city’s budget. outcome protects drinking water for Escondido. hunting, trapping, wildlife tours, bird The Fund’s knowledge of designing both Denver and Boulder. The federal sustainable tourism plan for Unicoi County that has walks and educational research. and implementing mitigation solutions lands that surround the private Toll Why It Matters helped the local economy thrive and made us a saved the city millions of dollars, makes property—James Peak Wilderness, Rancho Cielo had been approved for a possible additional economic benefits Indian Peaks Wilderness and the 79-home development that would have popular destination for outdoors lovers.” through nature-based activities on Roosevelt National Forest—are popular fragmented the surrounding protected the new Sodalis Nature Preserve and year-round destinations for outdoor lands and wildlife corridors. We were protects a critical endangered species recreation. On the Toll property, the able to act fast to meet the seller’s time —Greg Lynch, Mayor, Unicoi County, TN habitat. system of world-class Nordic ski trails frame and take the property off the has been kept intact and accessible market while working with a multitude to the public. These activities provide of partners to secure the permanent local jobs and support Colorado’s preservation of the property. Rancho substantial outdoor recreation Cielo marks our sixth project in the economy. Escondido Creek watershed with more than 1,200 acres now permanently protected. © Big Sur Land Trust © Oregon Historical Society WORKING Our fresh thinking and entrepreneurial spirit demonstrates that environmental conservation can advance economic vitality. Our work helps farmers, ranchers, foresters and green entrepreneurs to sustainably use natural resources, create jobs and strengthen their local economies. We continue to innovate—developing new models that redefine how conservation contributes to America’s economic resilience.

© Chad Riley © Justin Bailie EXPANDING YOUTH PROGRAMS IN CALIFORNIA Big Sur Land Trust approached our Land Conservation Loan program with a creative request we just couldn’t refuse. The group needed help refinancing the bank loan for their historic office building in downtown old Monterey, the Gabriel de la Torre Adobe, which dates back to the early 1840s and served as California’s first federal courthouse. The money saved by using our low interest loan advanced programming that centers on creating opportunities to engage underserved CALIFORNIA FORESTS PAYING KEEPING FORESTS WORKING youths in experiencing the outdoors. DIVIDENDS IN OREGON

Why It Matters Gazing out over Buckeye Forest, the The town of Gilchrist, Oregon, was swaths of redwoods that blanket founded in 1938 by the family-owned Young people from communities in © Timothy James © Sara Schewin California’s North Coast look idle, but Gilchrist Timber Co. During most the the Valley—a historically high-density, they are actually soaking up harmful 20th century the family owned nearly low-income area with significant greenhouse gases that contribute to 100,000 acres of timberland—making gang presence—have limited access global warming. California law requires Gilchrist Forest the lifeblood of the to outdoor experiential learning and major energy producers and users surrounding community. Over time little opportunity or desire to enjoy INVESTING IN THE SOUTHEAST’S FIRST GRAVITY PARK STRENGTHENING NATURAL to account for their emissions, and sections of this forest changed hands— open space. Many teens have never RESOURCE BASED ECONOMIES the Fund’s pioneering approach to degrading the integrity of ecosystems Inspired by their son’s love for swerving through rooted and rocky downhill trails camped or spent much time in nature. IN FLORIDA forest management has made us a and impacting the livelihoods of people on his mountain bike, Guy and Jennifer Miller hatched a plan to open a mountain These experiences in the outdoors key producer of forest-based carbon who depend on the forest for jobs. bike park. Using a loan from our Natural Capital Investment Fund, the Millers In contrast to the theme parks and can be life-changing and afford a offsets under California’s cap-and- In 2015, the Fund was instrumental in purchased a 140-acre parcel in Madison County, North Carolina, that features built-up coastlines around the Sunshine young generation both awareness and trade program. In 2015 we sold more establishing the newest state forest more than 1,000 vertical feet of elevation—perfect for the extreme sport of gravity State, the Big Bend region is reminiscent appreciation of the environment. than $2 million in carbon offsets. in 70 years by adding 25,000 acres— mountain biking. The Bailey Mountain Bike Park is slated to offer camping and of more traditional times. Dubbed the We will use the funds to restore the bringing the forest back to a total of lodging options for those seeking an extended stay. “Nature Coast,” this largely undeveloped forest’s ecological health and economic 72,000 acres. The Oregon Department region in the crook of Florida’s “elbow” “Big Sur Land Trust’s productivity. of Forestry will manage the land to Why It Matters includes some of the state’s most provide a range of long-term benefits, Not unlike downhill mountain biking, investing in startups can be risky. But heavily forested areas and its largest summer camps help Why It Matters including wildlife habitat, timber aquatic preserve. The Fund completed our Natural Capital Investment Fund often says yes when traditional lending harvesting and public access for a comprehensive analysis of the Big kids discover a passion Through our Working Forest Fund, we institutions say no. We support locally owned enterprises like Bailey Mountain Bike recreation. Park that use natural resources sustainably. In addition to preserving the natural Bend’s economy, which demonstrated to succeed, while are able to quickly acquire threatened beauty of the landscape, this first year-round gravity park in the southeast will the importance of its natural resources. forestlands with high conservation Why It Matters invigorate the economy by attracting bike enthusiasts from near and far. As a result, we launched the Big Bend exploring, sharing and value. We own, restore and sustainably Seed Grant program to help implement manage these lands over a number Fragmentation threatens forestlands projects that sustainably capitalize on caring for the area’s of years, while raising funds through and the communities that depend “I am so grateful to have played a role in helping the natural resources of the Big Bend carbon offsets, timber harvests on them. The commitment to create to spark new economic opportunities in treasured landscapes. and donations. With permanent the new state forest kept land intact the Millers bring their dream to life, one that has this rural region. conservation safeguards in place, we that otherwise would likely have been We appreciate the then return the forests to public or sold in many smaller parcels, with such positive impact for the larger community. Why It Matters Fund’s willingness to private ownership, keeping them as lost opportunities for multiuse forest working forests while providing long- management that provides jobs and In November, the Big Bend Seed This is entrepreneurial conservation at its best, and term benefits to wildlife species and revenue to support local government Grant program awarded $85,000 to think creatively and help local economies. services. something I am proud to say The Conservation Fund five area projects that support the us expand our outdoor forestry industry’s need for workforce does so well.” development, ensure sustainable and youth programming.” productive fisheries with oyster reef —Erika McGilley, Western North Carolina Business Lender, rehabilitation and spotted sea trout —Jeannette Tuitele-Lewis, Natural Capital Investment Fund harvests, and facilitate nature-based President and CEO, Big Sur Land Trust tourism through a new shellfish trail and wildlife watching opportunities. AMERICA Conservation is essential for America’s resilience, and we are dedicated to protecting our natural resources for prospective generations. From a 1 acre urban park to 1 million acres of wilderness, every acre in America tells the story of our history, our culture and our connection to our land. We enhance this legacy with our partners to help build vibrant communities throughout our country.

PLANTING SEEDS OF CHANGING LIVES—AND PLANNING FOR SMART EMPOWERMENT IN GEORGIA NEIGHBORHOODS—IN RURAL GROWTH IN GREATER CHICAGO In the coastal flatwoods of Georgia, NORTH CAROLINA Building upon our work with Chicago we teamed up with nonprofit McIntosh Green Rural Redevelopment Wilderness to create a network of SEED and community members in Organization (GRRO) aims to more than 2 million acres of protected Long and McIntosh counties to create revitalize the small rural town of lands and waters throughout the the state’s first community forest. Henderson, North Carolina, by four states that surround Chicago, Our Working Forest Fund purchased connecting unemployed individuals we helped The Lake County Forest 1,149 acres near Fort Stewart, and our to construction jobs rehabbing Preserve District complete its 100-year Land Conservation Loan program dilapidated and abandoned homes Vision and Strategic Plan, a road map then provided the critical capital for and turning vacant lots, donated by for future conservation in the county. McIntosh SEED to purchase the land. the city, into micro-market gardens Pivotal to making the plan a reality is Our Resourceful Communities team that feed the community. Our the use of science-based, data-driven and Duke University then partnered Resourceful Communities program conservation to guide the efforts. The with them to develop and implement a provided technical assistance to district selected the Fund to develop a master plan for the property. GRRO through workshops and one- geographic information system-based INCREASING OUTDOOR ACCESS IMPROVING FLOOD MANAGEMENT IN MILWAUKEE on-one consultations and funded Green Infrastructure Strategy that will IN ATLANTA Why It Matters demonstration “micro-market urban steer regional and local open space Nearly 15 years ago, The Fund and the Milwaukee Metropolitan Sewerage District planning in Lake County. ® Some of America’s most valued farms” and Farm Only Grocery Stands. The Atlanta BeltLine is the most pioneered Greenseams , an innovative flood-management program that improves natural resources can be found in comprehensive development effort the region’s resiliency and access to public green space through strategic land Why It Matters rural areas where communities are Why It Matters ever undertaken in that city. Building on conservation. This year, with the help of the Ozaukee Washington Land Trust, struggling with poverty, unemployment, Our Resourceful Communities program Strategic conservation planning our multifaceted, decade-long efforts Greenseams completed its 100th project, the protection of 155 acres of important discrimination, food insecurity and works with grassroots organizations provides a better way forward for to expand and revitalize park space in hydric soils, wetlands, surface drainage and wooded natural areas in the city of health disparities. In southeast Georgia, to improve economically and socially smart development, blending the built Atlanta, we provided a loan to Atlanta Mequon. landownership is directly tied to distressed rural communities while environment with the natural one to BeltLine Inc. to purchase a property economic empowerment, but many do preserving their natural character design more livable cities. Thoughtful that will serve as a critical connection Why It Matters not have the resources, support and and culture. In Henderson, our planning benefits wildlife and people, between its northern and southern In the late 1990s, violent storms caused millions of dollars in damage throughout capacity to acquire, own and sustainably partnership with GRRO is creating but it also makes economic sense— trail corridors. When fully realized, the region. Greenseams is part of a larger effort to ensure that kind of devastation manage land. Community forests job opportunities, training small- using ecosystems for what they the Atlanta BeltLine will transform 22 doesn’t happen again. By protecting and restoring wetlands—nature’s sponges— provide an opportunity to overcome scale farmers to be profitable, and naturally are intended to do is the miles of a former industrial railroad we are permanently preserving natural areas that can hold an estimated 208 these challenges, and McIntosh SEED increasing access to fresh, healthy least costly and most efficient way to corridor into an extensive network of million gallons of water. Nearly 3,000 acres of Greenseams properties are open to Community Forest has been designed to fruits and vegetables for low-income handle urban challenges like flooding, trails and parks that will connect 45 the public—providing residents and visitors with the experience of being in nature, strengthen the local economy, maintain consumers. Converting vacant lots stormwater runoff and polluted air and neighborhoods around downtown creating a sense of community and improving public health and happiness. a healthy environment and empower the to food production is revitalizing the water. Atlanta. next generation of land stewards. area and building community across generations and cultures. As a result, Why It Matters “From reducing the risk of future flooding to the neighborhood is greener, and Atlanta historically has had one of residents are spending more time with the nation’s lowest percentages of offering green space for hiking and watching wildlife, each other outdoors. park space per capita, but the Atlanta BeltLine will increase the city’s green Greenseams harnesses Mother Nature to counter the space by a staggering 40 percent. effects of fast-growing areas near urban centers.” “The acquisition of the property was historic for McIntosh SEED and for the Furthermore, the Atlanta BeltLine will create 78,000 jobs and generate communities we serve. The property will be developed as a community forest —Kevin Shafer, Executive Director, Milwaukee Metropolitan Sewerage District between $10 billion and $20 billion in and used as a model and demonstration site for small landowners and other rural economic development. communities for learning sustainable forestry practices, preserving nature and the environment and promoting outdoor recreation and land retention.”

—John K. Littles, Executive Director, McSEED 2015 FINANCIALS BOARD OF DIRECTORS

CHAIRMAN OF THE Todd J. Carter James A. Joseph CHAIRMAN EMERITUS BOARD California North Carolina Patrick F. Noonan R. Michael Leonard Maryland COMBINED STATEMENT OF ACTIVITIES SOURCES OF FUNDS - 2015 North Carolina Charles R. Cherington Georgina A. Moreno AND CHANGES IN NET ASSETS Massachusetts California DIRECTORS EMERITUS Individual Contributions $14,090,603 VICE CHAIRMAN Gilbert M. Grosvenor For the year ended December 31, 2015, with comparative totals for 2014 John Winthrop, Jr. Luis de la Garza Thruston Morton Virginia Foundation Contributions $30,804,657 Connecticut Texa s North Carolina Corporate Contributions $26,886,449 KiKu H. Hanes SUPPORT AND REVENUE 2015 TOTAL 2014 TOTAL Stephen A. Elbert C. Porter Schutt III Gifts of Land $14,125,532 PRESIDENT AND CEO Montana Lawrence A. Selzer Tennessee Delaware Other Contributions $5,942,236 Individual Contributions 14,090,603 10,445,262 Virginia Charles R. Jordan Conservation Land Transactions $69,814,499 Paul E. Hagen Jay F. Wagley Oregon Foundation Contributions 30,804,657 28,775,818 Federal and State Grants $9,723,802 Kay Kelley Arnold District of Columbia Texa s Contract Income $6,659,750 Arkansas Corporate Contributions 26,886,449 1,767,847 G. Wilson Hughes James M. Whitehurst Mitigation/Carbon/Timber $35,536,432 Alaska North Carolina Gifts of Land 14,125,532 46,094,229 Investment and Other Programs $7,960,034

Other Contributions 5,942,236 965,928 Total $221,543,994

Conservation Land Transactions 69,814,499 86,137,225 4% OFFICERS 6% Federal and State Grants 9,723,802 28,239,234 Collectively, our officers have more than 550 years of conservation experience. 16% 14% Contract Income 6,659,750 7,118,840 R. Michael Leonard Sydney S. Macy Alisa E. Borland Kelly M. Reed Chairman Senior Vice President, Vice President, Vice President, Mitigation/Carbon/Timber 35,536,432 16,154,046 3% Western Regional Director Development Government Relations John Winthrop, Jr. 4% Investment/Other Program Income 7,960,034 30,897,571 12% Vice Chairman Robin Murphy Brian J. Dangler Mikki J. Sager Senior Vice President, Vice President, Director – Vice President, Director – TOTAL SUPPORT AND REVENUE $221,543,994 $256,596,000 Lawrence A. Selzer Marketing and Working Forest Fund Resourceful Communities 6% President and CEO Communications Thomas R. Duffus Beth Ann Burns Richard L. Erdmann Blaine T. Phillips, Jr. Vice President, Assistant Secretary 32% Executive Vice President 3% Senior Vice President, Conservation Acquisitions, EXPENSES 2015 TOTAL 2014 TOTAL Conservation Acquisitions, Midwest Region Elizabeth G. Engle David K. Phillips, Jr. Mid-Atlantic and Northeast Deputy General Counsel Executive Vice President, Total Conservation Programs 178,975,162 205,713,905 Regions Joseph A. Hankins and Assistant Secretary Chief Financial Officer and Vice President, Director – Management and General 2,815,471 2,464,135 USES OF FUNDS - 2015 Treasurer Matthew S. Sexton Freshwater Institute Paul F. Hurt Senior Vice President, Deputy General Counsel Holly Cannon Fundraising 2,138,883 1,604,864 Programs $178,975,162 Conservation Acquisitions, Jena C. Meredith and Assistant Secretary Senior Vice President and Management and General $2,815,471 Southeastern Region Vice President, TOTAL EXPENSES $183,929,516 $209,782,904 General Counsel Margaret A. McCants Fundraising $2,138,883 Business Partnerships Evan H. Smith Secretary Mark W. Elsbree Total $183,929,516 Senior Vice President, Erik J. Meyers Senior Vice President, Scott M. Tison Conservation Ventures Vice President Conservation Acquisitions, Assistant Secretary CHANGE IN NET ASSETS $37,614,478 $46,813,096 2% 1% Western Region William L. Allen, III Jodi R. O’Day Vice President, Director Vice President, Deputy NET ASSETS, BEGINNING OF YEAR $556,696,549 $509,883,453 Kris A. Hoellen – Strategic Conservation General Counsel and Senior Vice President, Programs and Integrated Assistant Secretary NET ASSETS, END OF YEAR $594,311,027 $556,696,549 Sustainable Programs Services

97% © Whitney Flanagan YEARS OF CONSERVATION In 1985, we endeavored to be different; to be an organization that protects land not just for the sake of its environmental value, but also for its value to the economy and the community. For three decades, our entrepreneurial staff has worked with the best partners to find innovative conservation solutions that make economic sense. As we celebrate our 30th anniversary, we look to the future with a continued commitment to finding innovative solutions that make conservation work for America.

Please enjoy the following celebration of accomplishments. We protect 296,000 contiguous acres in New York, Vermont and New We protect 5,500 acres at Wind Cave Hampshire—America’s biggest multistate National Park—a park designated in forest conservation deal. 1903 by President Theodore Roosevelt to honor the Lakota Native American tribe’s Larry Selzer becomes president and sacred site known for its intricate mineral CEO of The Conservation Fund. formations, wind-whipped entrance and historic buffalo jump. © Whitney Flanagan 1985-2015 Our Natural Capital Investment Fund launches to provide financing for rural We protect 140 acres at Minidoka businesses that use natural resources National Historic Site—a place where sustainably. © Adrian F. Van Dellen nearly 9,500 Japanese Americans from Portland, Oregon, Seattle, Washington We reach 5 million and surrounding areas were interned © Stacy Funderburke “We brought a new brand of conservation to America; we were a business-like acres protected. during World War II. conservation group, one based in land conservation that appreciated the need to keep our administrative costs low. Those great financial measurements that We complete our We complete an “Emerald largest conservation We partner with we established at the very beginning are still what we pride ourselves on today.” Necklace” blueprint for project—851,000 acres on Apple on a precedent- green infrastructure that will setting initiative to — Pat Noonan, Founder the North Rim of the Grand protect and restore open Canyon. conserve 36,000 spaces in 62 cities within acres of U.S. working Los Angeles County—rivaling forest as part of a ® Our Go Zero program the scale of areas set aside commitment from Our Land We protect a site along launches to help people and Our Pineywoods for Central Park and Boston Apple to protect Patrick Noonan founds The Our Civil War Conservation Maryland’s Antietam Creek businesses offset climate Mitigation Bank—one Commons. and create more Conservation Fund as the first Battlefield Loan program that witnessed one of change by planting trees. of the nation’s largest at sustainable forest than environmental nonprofit dedicated Campaign launches, the Civil War’s bloodiest 22,000 acres—launches We join the Greening of it uses. to both environmental protection begins, providing battles, marking the end With a team of partners, in East Texas. Detroit and U-Haul to plant and economic development. ultimately key financing of Gen. Robert E. Lee’s we protect 327,000 acres 1,600 trees along the Rouge Celebrating protecting more and technical invasion of the North and of working forestland in We complete a decade- River in Detroit’s Rouge We complete our first project, than 9,700 assistance to moving President Lincoln Maine, connecting more than long effort to protect Park, helping the city improve 30 years of protecting 1,245 acres in acres at 85 local land trusts to issue the preliminary 1 million acres of contiguous 12,586 acres of wetlands its unique urban landscapes innovative Vermont’s Lake Champlain region. battlefields. nation wide. Emancipation Proclamation. wilderness. on the Alaska Peninsula. with green infrastructure. conservation!

1985 1987 1990 1991 1993 1995 1997 1998 1999 2004 2005 2007 2008 2010 2011 2012 2013 2014 2015

Our Revolving Fund Resourceful The Conservation Leadership We acquire Our National We reach We work to set We reach 7.5 million launches. Every dollar Communities Network begins bringing diverse and begin Forum on 7 million aside land for acres protected. invested in the Revolving program constituencies together to achieve sustainably Children and acres what will become Fund goes directly to emerges to common ground. managing the Nature launches two new national We utilize bridge protecting land, over preserve our 24,000-acre to reconnect protected. parks—one in financing from our Loan and over. By continually nation’s rural Garcia River kids with the Maryland and one program to help create reinvesting these dollars, landscapes, Forest, at outdoors. in Delaware. In 2013, Boston Public Market, the Fund saves land grow strong the time the President Barack the first year-round © Amanda O’Donoughue valued at more than $5.9 local economies We protect 210,000 acres of critical largest non- Obama establishes indoor market of its kind. billion over the next three and celebrate habitat in Alaska’s Kodiak National profit owned First State National The market offers fresh decades. communities. Wildlife Refuge, marking working forest Historical Park locally sourced food to 1 million acres saved. in the West, in Delaware and the public in the middle We establish the establishing the Underground of downtown Boston. Freshwater Institute, now © Whitney Flanagan a national Railroad National recognized worldwide model for Monument on We help realize a goal for its leadership in the working forest Maryland’s Eastern 30 years in the making science and technology conservation. Shore, where Harriet by protecting 17,351 of sustainable fish To date, our Tubman lived for 30 acres of Powderhorn aquaculture. Working Forest years and led other Ranch, in Calhoun Fund has African-Americans County along the Texas protected nearly to freedom along coast—demonstrating 450,000 acres the Underground how public and private in 14 states. Railroad. entities can work together to achieve long-term environmental benefits. VOICES OF OVER 7.5 MILLION ACRES CONSERVATION SUCCESS

NH 36,275 “Our relationship with The “Conservation has been a core “Together, Apple and The WA VT Conservation Fund and interest of the Richard King Conservation Fund are 7,609 230,822 ME 402,693 Resourceful Communities has Mellon Foundation since its permanently protecting over MT ND been the keystone of our success. founding. We are pleased to have 36,000 acres of working forest 212,694 3,339 OR MN MA They helped us overcome the had such a strong partnership in the eastern U.S. This is the 96,373 285,630 7,516 social barriers that were hindering with The Conservation Fund beginning of a worldwide effort, ID SD WI NY 133,751 433,399 6,586 112,630 RI us, and put a 25-acre farm that for over 30 years. From one that represents a new WY MI 108 178,864 33,015 had been in an African-American Gettysburg and Antietam to the approach as Apple reassesses PA CT IA 102,248 681 family for over 150 years back into Grand Canyon—and with their its impact on the world’s paper NE 5,465 NV 4,747 OH 1,239,027 IN 64,967 production for the first time in 20 newest initiative, conserving supply chain.” IL DE NJ UT 3,019 23,742 WV 18,732 4,757 117,049 CO years. The owner had fought to the best of the nation’s large 72,011 VA CA 201,590 KS MO 62,309 —Lisa Jackson, 554,007 keep that 25 acres and now it is in forested landscapes—we work 600 10,202 KY Vice President of Environment, 43,097 production and providing healthy together to protect America’s Policy and Social Initiatives, Apple NC MD TN 221,982 160,015 food and sustainability for the magnificent land legacy. We are 289,158 OK AZ DC NM 10,098 SC community.” honored to have been part of 974,658 AR 3 “For 30 years, The Conservation 108,607 163,246 the extraordinary growth of The 1,538 Fund has supported a vision for AL GA MS —Reverend Richard Joyner, Founder and Conservation Fund, and we look 17,813 117,853 Board Chair, Conetoe Family Life Center conservation that complements 8,392 forward to expanding on our the National Park Service’s work TX efforts to date.” 222,244 LA “I love The Conservation Fund’s to protect, preserve and share 207,081 special places across the country AK mission, but I appreciate the way —Scott Izzo, Director, 323,692 FL it does business for two reasons. Richard King Mellon Foundation for the American people. This 119,319 vital partnership has improved First, it keeps administrative PR and expanded many national park 11 costs low. And second, donors “The Conservation Fund’s Natural HI US VI aren’t hounded for more money. Capital Investment Fund (NCIF) sites and the local communities 4,662 43 These things matter because it is unique because it offers both that surround them.” TOTAL ACRES SAVED SINCE 1985 means more of our money goes capital and smart help. The —Jonathan B. Jarvis, toward the mission. Thank you business plans we developed Director, National Park Service for doing it the right way!” together helped me make good, 0-9,999 10,000-99,999 100,000-199,999 200,000+ responsible decisions, and NCIF “Since 2007, The Conservation —Amanda Boyers, Donor since 2009 has structured its loans and Fund’s partnership with U-Haul working line of credit so that I am has expanded our opportunity “The partnership between Dell growing a very healthy business. to improve more human lives and The Conservation Fund Perhaps, best of all, I am now through corporate and customer Since 1985 we have protected: has helped us get closer to our confident enough to use my contributions. Remarkable customers and helped them business experience helping other support from more than 1 million achieve their climate goals.” farmers.” U-Haul customers to date has 28 demonstrated that corporations —David Lear, Executive Director of —Jennifer (Tootie) Jones, Sustainability, Dell Swift Level Farms can successfully engage acres per customers to connect with communities and improve lives.” hour—nearly

—Michelle Sullivan, Manager of 700 per day Corporate Sustainability, U-Haul That's about one Central Park every day. 30 Ways We’ve Made A Difference

BIG THICKET BLACKWATER CANYONS OF CAPTAIN CASCADE- CONNECTING CONSERVATION FOUR-STATE FRESHWATER GO ZERO® AT NATIONAL NATIONAL THE ANCIENTS JOHN SMITH SISKIYOU PINHOTI AND LEADERSHIP FOREST INSTITUTE UPPER OUACHITA PRESERVE WILDLIFE NATIONAL CHESAPEAKE NATIONAL APPALACHIAN NETWORK We used our Working As the seafood NATIONAL The first preserve REFUGE MONUMENT NATIONAL MONUMENT TRAILS, The experts of Forest Fund to industry seeks to WILDLIFE in the National Park At Blackwater We have been at HISTORIC TRAIL Located at the ALABAMA AND our Conservation acquire 30,000 find solutions to REFUGE acres in multiple overfishing and a System, Big Thicket National Wildlife the forefront of We led efforts to crossroads of the GEORGIA Leadership Network Our Go Zero team parcels across New growing consumer National Preserve Refuge in the conserving this create the first Cascade, Klamath and bring together is restoring the The famed York, Vermont, New demand for fish, the in Texas, houses Chesapeake Bay Colorado monument’s entirely water- Siskiyou mountain diverse constituencies drastically altered Appalachian Trail Hampshire and Maine. Freshwater Institute an extraordinary region, we’ve unique archaeological based trail in the ranges at the Oregon- and craft solutions landscape of the runs from Maine to This effort stitches is showing that local, array of flora and protected nearly sites of Ancestral National Trail System, California border, this for protecting Upper Ouachita Georgia, but many together increasingly safe and traceable fauna, making it the 8,000 acres, Puebloan and other commemorating is the first national natural resources, National Wildlife may not know that fragmented seafood systems are “biological crossroads including lands Native American the explorer who monument created while creating Refuge. We have its original design forestlands that possible. Using land- of North America.” that complement cultures. We’ve added first mapped the solely for its biological vibrant, sustainable added 3,900 acres was intended to promote economic based, recirculating Over the years the Harriet Tubman more than 8,000 Chesapeake Bay diversity. We are economies. On to the refuge and extend into northern stability for the aquaculture systems, we’ve protected Underground Railroad acres, including and founded the protecting the largest average we serve restored 3,000 acres Alabama. For two region’s forest, the Institute nearly 33,000 acres National Monument. Jackson’s Castle, first permanent remaining privately 140 communities by planting 1 million decades the Fund tourism and nature- is sustainably here, enhancing our We’re also working to the Skywatcher American settlement held property within each year. Since 1998, native trees that worked to complete based industries, and producing salmon many efforts in the address the refuge’s Site, several critical at Jamestown. We the monument, we’ve distributed $3.2 provide habitat for that vision, eventually provides the time that consumers can Pineywoods region of profound loss of tidal inholdings and more continue to protect approximately 6,570 million in community wildlife and clean our connecting the 339- and opportunity feel good about, east Texas. marshes by planting than 4 miles of Yellow key lands along the rugged, backcountry grants and services. air and water. Across mile Pinhoti Trail in for permanent while minimizing trees and outlining Jacket Creek, a rare trail and promote acres, including a the country, Go Zero Alabama and Georgia conservation environmental impact key strategies for perennial stream. its educational, popular stretch of the supporters have to the southern outcomes. and waste. preservation and recreational and Pacific Crest National terminus of the planted a remarkable restoration. heritage tourism Scenic Trail. Appalachian Trail. 10 million native trees. opportunities.

GREATER GREENSEAMS® I-25 JOCASSEE LAND LESSER PRAIRIE- LEWIS AND LINDSAY STREET MITIGATION NATURAL YELLOWSTONE IN MILWAUKEE CONSERVATION GORGES CONSERVATION CHICKEN HABITAT CLARK NATIONAL PARK SERVICES CAPITAL AREA After back to back CORRIDOR In perhaps the LOANS Southeastern New HISTORICAL PARK Building on our We recognize INVESTMENT The Fund has storms in the 1990s PROJECT most significant Our loan program Mexico is one of the Through our Lewis multifaceted efforts that balancing FUND protected tens of caused millions of Drive along Interstate conservation offers flexible greatest strongholds and Clark National to bring green space infrastructure Our Natural Capital thousands of acres dollars in damage 25 from Denver to transaction in the financing as well as for the lesser prairie- Historic Trail Initiative, to Atlanta, we worked development with Investment Fund within the Greater throughout the Colorado Springs, region, we were sustained and expert chicken, whose we have helped with numerous sound environmental helps entrepreneurs Yellowstone Area Milwaukee region, and you’ll see the instrumental in the technical assistance geographic range conserve more than dedicated partners practices is essential in Central Appalachia of Wyoming, Idaho we launched results of our efforts protection of 32,000 to land trusts and and population 25,000 acres along to transform vacant for America’s and the Southeast and Montana, the pioneering to protect the acres at Jocassee other organizations size have declined the explorers’ famous and blighted lots prosperity. The access the financing concentrating on the Greenseams flood- working ranches of Gorges in the aiming to protect drastically. We’ve route. This includes into the first park for Fund has provided and technical support Upper Green River management program this quintessential northwestern corner key properties in conserved more nearly 2,000 acres the English Avenue critical mitigation they need to build Valley, the Upper to protect and restore western landscape— of South Carolina. their communities. than 51,000 acres of land protected at neighborhood. services for all locally owned Snake River, Caribou- key watershed lands and keep haphazard Named by National We’ve helped over for this quirky bird the Lewis and Clark Lindsay Street Park seven sectors of companies that use Targhee National that act as natural development at bay. Geographic as one 125 partners and local with a spectacular National Historical symbolizes hope major infrastructure natural resources Forest and Bridger- sponges. Greenseams We have protected of “50 of the World’s conservations achieve mating dance that Park in Oregon and for this community development— sustainably and Teton National Forest. has completed 35,000 acres Last Great Places,” their goals and draws birders from Washington. struggling with high wind, solar, oil, gas, create lasting jobs Our work focuses on over 100 projects, spanning 12 miles Jocassee Gorges protect land—more across the country, rates of poverty, transmission, hydro and economic impact. protecting working protecting more along this Colorado had once been part than 110,000 acres protecting nearly unemployment and transportation— Our results include: ranches, public than 3,100 acres of highway, which is an of plans to expand a across 34 states, at a all of the Area of and crime, giving to create plans 12,000 hours of recreation areas, flood-prone land important corridor for hydroelectricity plant. value of nearly $275 Critical Environmental its residents safe that mitigate for technical assistance river corridors and that also doubles as bighorn sheep, elk, million. Concern designated places to play unavoidable effects on provided to over 400 large-scale wildlife open space for public black bears, mountain for the species. and generating delicate landscapes. companies, and 2,700 migration in this iconic enjoyment. lions and pronghorn environmental, jobs that have been landscape. antelope. economic and social created or retained by benefits as well. 146 businesses.

NORTH COAST OKEFENOKEE PELICAN ISLAND PRESERVING RESOURCEFUL ROCKY SAX-ZIM BOG SOUTHWEST STRATEGIC STATE GAME FOREST NATIONAL NATIONAL FARMLAND IN COMMUNITIES MOUNTAIN Through a complex ALASKA SALMON CONSERVATION LANDS 93 CONSERVATION WILDLIFE WILDLIFE ANN ARBOR Resourceful FRONT deal involving a land HABITAT PLANNING The Fund has played INITIATIVE REFUGE REFUGE GREENBELT Communities We launched an exchange and the INITIATIVE In the 1990s, we a critical role in creation of a wetlands The cornerstone of A plan to mine More than a century We helped implement works primarily in unprecedented effort In southwest Alaska, used geographic the development mitigation bank, we our forestry work lies the 6,000-year- ago, this small the Ann Arbor Appalachia and to protect 250,000 salmon drive the information system of the Flight 93 are orchestrating in the redwoods along old Okefenokee mangrove island Greenbelt Initiative, the Southeastern acres along Montana’s region’s ecology, technology to help National Memorial the preservation California’s North Swamp generated on Florida’s east a voter-approved United States to Rocky Mountain Front economy and culture. develop a plan for near Shanksville, of 32,000 acres in Coast, where we’re opposition from coast became the tax levy expected to create opportunities that preserves the In order to safeguard the restoration and Pennsylvania. In northern Minnesota demonstrating a new the environmental first refuge in the generate $80 million that preserve the region’s traditional this fragile legacy, we preservation of addition to protecting that contain one of way to sustainably community, and national wildlife over 30 years for the rural landscape, lift ranching heritage and launched a 10-year, Florida’s then-only land within the the most important manage these famed we stepped in to refuge system, which purchase of land and people out of poverty maintains key wildlife multimillion dollar Wild and Scenic River, memorial’s boundary, birding sites in forests, as a nonprofit find a solution that now encompasses development rights. and celebrate our migration routes. To program to protect the Loxahatchee. This we also helped North America. owner that uses both worked for both 95 million acres In its first decade, partner communities’ date, this initiative has wild salmon and their was adopted into establish State Game Demonstrating our sound environmental sides. Through a of the very best the program has unique cultures. We protected 100,000 habitat, which has county conservation Lands 93, an area knack for finding strategy and land donation and wildlife habitat protected more than have awarded $3.2 acres critical to the to date preserved efforts and propelled immediately north creative conservation economics. We now a conservation across the country. 4,300 acres of active million in grants livelihood of grizzly 104,000 acres and the Fund’s Strategic of the memorial that solutions, this project manage more than easement that To honor the refuge’s farmland and open to community bears and a wide generated immense Conservation Planning protects wildlife does not use any 70,000 acres and prevents future mining 100th birthday, we space in southeast organizations, variety of other support from program. Since then, habitat, provides public funds and even have used our success on the property, we protected more Michigan. supported 1,000 species that depend individuals, businesses we have delivered public open space generates revenue here to develop our protected 16,000 than 256 acres that local green jobs and on the front’s rich and Alaska Native green infrastructure and recreation, for education and the Working Forest Fund, acres of this primitive buffer Pelican Island generated a 12-to-1 ecosystem. corporations. services to 40 states, and preserves the local economy. which sustainably swamp that will from encroaching return on investment and three of the memorial’s natural manages nearly become part of the residential in community country’s largest setting. 450,000 acres of Okefenokee National development and save solutions. metropolitan areas: working forests in 14 Wildlife Refuge. the island’s viewshed Los Angeles, Chicago states. for the public. and Houston.

© Stacy Funderburke © Ivan LaBianca © Steve Orr © Sparky Stensaas © Robert Stevens © Evan Rebar We’re making conservation work for America. Please take this opportunity to learn more about our work in 2015 by viewing our complete annual report online at: 1655 N. Fort Myer Drive, Suite 1300 Arlington, VA 22209 conservationfund.org/annualreport 703-525-6300 | conservationfund.org

FOREST CERTIFICATION HAS FUNDAMENTALLY CHANGED, FOR THE BETTER, THE WAY FORESTS ARE MANAGED ACROSS THE U.S. WE ARE PROUD THAT THIS ANNUAL REPORT IS PRINTED ON PAPER FROM A 19

FOREST WE HAVE PROTECTED—CERTIFIED TO SUSTAINABLE FORESTRY SFI-00359 INITIATIVE (SFI) STANDARDS.