Legislative Update: Florida Senate Bill 492 & Wetland Mitigation Banking

Lucky L Mitigation Bank

Posted on July 14, 2025

Effective July 1, 2025, Florida has enacted Senate Bill 492 (SB 492), marking a major shift in how the state handles wetland mitigation. By establishing mitigation banking as the primary method for offsetting ecological impacts, the new law aims to streamline permitting, reduce risk, and improve ecological outcomes.

The legislation introduces a more predictable and structured framework for the use of mitigation credits across the state, while tightening the requirements for Permittee-Responsible Mitigation (PRM) and on-site mitigation. SB 492 also includes the implementation of proximity-based multipliers to guide credit use beyond a mitigation bank’s designated service area (MSA) and annual reporting requirements for credit availability.

Read more about the law here. 

A New Era for Mitigation in Florida

SB 492 codifies mitigation banking as the preferred method for addressing environmental impacts, especially to wetlands and other jurisdictional resources. The law sets forth a standardized credit release schedule to bring consistency to mitigation banking:

• 30% of credits are released upon easement recording and establishment of financial assurances

• 30% after completion of initial construction

• 20% following the achievement of interim performance milestones

• 20% upon meeting all final success criteria

Preservation-only banks are treated differently, with 100% of credits released upon easement and financial assurance, reflecting the different nature of those projects. Applicants also have the option to propose an alternative credit release schedule, subject to review and approval by the Florida Department of Environmental Protection (DEP) or the applicable Water Management District (WMD).

In contrast, Permittee-Responsible Mitigation (PRM), where a developer independently designs, implements, and monitors a mitigation project, is now subject to more rigorous documentation, longer monitoring periods, and increased risk and liability. On-site mitigation, a subset of PRM typically conducted at or near the impact site, faces the most scrutiny and is now considered the least preferred approach.

Proximity-Based Multipliers for Out-of-Area Credit Use

SB 492 introduces a formal system of “proximity factor multipliers” to govern how credits may be used when purchased from banks outside their designated Mitigation Service Area (MSA). The MSA is the geographic region defined by ecological and hydrological characteristics rather than political boundaries, where a particular mitigation bank may provide wetland credits for unavoidable wetland impacts.

These multipliers are designed to account for ecological effectiveness and geographic distance:

• 1.0× multiplier: For in-kind credits used within the same watershed or overlapping MSA

• 1.2× multiplier: For in-kind credits used in an adjacent watershed

• +0.25× per additional watershed crossed beyond the adjacent one

• +0.50× additional multiplier for out-of-kind mitigation (e.g., a different wetland type than what was impacted)

This approach incentivizes mitigation close to the impact site and helps ensure that the ecological functions lost are more effectively replaced. Learn more about proximity-based multipliers here. 

Streamlining Credit Availability and Transparency

To help applicants assess credit availability more efficiently, Senate Bill 492 establishes specific timelines for credit verification determinations. Upon receiving a request from an applicant, the Florida Department of Environmental Protection (DEP) or the applicable Water Management District (WMD) must poll all relevant mitigation banks within three business days. The banks then have 15 business days to respond. If a bank does not respond within that timeframe, the agency will presume that credits are unavailable at that bank. Importantly, applicants may rely on the agency’s credit availability determination for up to one year, providing clarity and predictability during the permitting process. Additionally, beginning July 1, 2026, all mitigation banks will be required to submit annual credit availability reports. This information will be compiled and reported to the Florida Legislature each year, increasing transparency and helping planners, regulators, and developers make more informed, data-driven decisions.

Why Mitigation Banking Is Preferred

Mitigation banks offer several key advantages over Permittee Responsible Mitigation (PRM) and on-site efforts. One of the most significant benefits is predictability, as mitigation banks are preapproved and often allow for faster permitting timelines. In terms of ecological effectiveness, banks restore and protect large, contiguous habitats, frequently well in advance of any permitted impacts, which helps ensure functional ecological uplift. Risk is also substantially reduced, as the responsibility for meeting performance standards and ensuring long-term success lies with the bank sponsor rather than the developer or permit applicant. Financially, mitigation banks provide cost certainty through a single, upfront credit purchase, avoiding the unpredictable and often escalating costs associated with designing, constructing, and monitoring PRM sites. Beyond regulatory compliance, mitigation banks contribute to broader conservation goals by enhancing ecosystem resilience, improving water quality, and supporting biodiversity and endangered species at a landscape scale.

Looking Ahead

With SB 492 now in effect, Florida’s environmental permitting landscape has entered a new phase. Permit applicants, consultants, and regulators will need to adjust to the state’s growing emphasis on mitigation banking and the more limited role PRM will play going forward.

By creating consistency in credit release, applying proximity-based ecological standards, and restricting conflicting local ordinances, the law encourages more strategic, science-based environmental planning. As mitigation banking continues to grow, it’s poised to play an even more central role in balancing Florida’s development and conservation goals.

Learn more about wetland mitigation banking at the Florida Department of Environmental Protection (FDEP).

Partnering with Expertise for Successful Mitigation

This major shift in how environmental impacts are mitigated across Florida favors larger, professionally managed mitigation banks over smaller, risk-prone permittee-led projects. As regulatory expectations become more rigorous and ecological outcomes take priority, applicants must take a more strategic and informed approach to mitigation planning. A clear understanding of proximity multipliers, credit availability, and the advantages of mitigation banking will be essential for navigating this evolving landscape.

Revive Ecosystems LLC is uniquely positioned to help permit applicants succeed in this new regulatory environment. As a leading turnkey mitigation provider, Revive Ecosystems, LLC offers access to high-quality credits, expert guidance through complex permitting processes, and a proven track record of ecological success. By partnering with Revive Ecosystems, LLC, developers and permit applicants can accelerate project timelines, reduce long-term liability, and achieve superior conservation outcomes.

Don’t leave your mitigation strategy to chance—work with Revive Ecosystems, LLC to ensure your project meets today’s standards and delivers lasting environmental value.  

Contact Revive Ecosystems, LLC today for wetland mitigation solutions for your project.