Your. is enclosed Year in Review: Honoring Nature s Value. Celebrate the best of 2011 solutions and successes for people and the planet

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The Nature Conservancy 14 Maine Street, Suite 401 Brunswick, Maine 04011-2030 Nonprofit Org. U.S. Postage PA ID eureka, mo permit no.101 Dig deeper at nature.org/mainenews Your n ews lette r is enclosed Dig deeper and stay connected online: nature.org/mainenews facebook.com/me.natureconservancy 2011 Year in Review: Honoring Nature s Value in this issue» Honoring Nature s Value Celebrate the best of 2011 solutions and successes for people and the planet The Nature Conservancy in Maine nature.org/maine 2

2011 roundup director s letter N o rth e r n F o r e sts Completed research on habitat conditions for Canada lynx and American marten and a comprehensive assessment of sustainable forestry programs in the St. John River Forest Celebrating 2011 Successes My, have you been busy! With your support, The Nature Conservancy was able to make a real difference for nature this year throughout Maine and around the world. Thank you! Supported reclamation of Big Reed Pond, including removal of smelt and reintroduction of arctic char Restored wetlands at No. 5 Mountain/ Moose River Preserve Presque Isle Installed dozens of long-term forest health- and ecological-monitoring plots Honoring Nature s Value It is with mixed emotions that I write to you about 2011. I am so proud of the accomplishments that are celebrated in the following pages, and how together the Conservancy and our supporters have made significant strides in conserving the natural treasures that define our region and sustain life on Earth. Thank you for making this all possible. S o uth e r n and C oastal Maine As federal, state and local leaders around the country make tough decisions to balance budgets, conservation is being disproportionately cut. Those cuts represent a huge challenge to the Conservancy s vision for a healthy, balanced New England, and call into question whether our society values nature s crucial role in human well-being and prosperity. So here I call out to you, our closest supporters, who do recognize and honor nature s value. Let s come together around the lands and waters that support our communities and charge our spirits. Now is the time for us to reaffirm our commitment through action. Thank you for your support. Thank you for speaking up. Thank you for sharing this mission. *Supported removal of Montsweag Dam in Wiscasset Moosehead Lake Supported Downeast Coastal Conservancy with protection of 204-acre Grain Point in Milbridge* State P o licy Worked with legislators to maintain vernal pool protections *Supported Harpswell Heritage Trust in preserving 87 acres of shoreland in Basin and Curtis Coves *Supported Brunswick-Topsham Regional Land Trust in protecting 237 acres along Maquoit Bay *Supported the Royal River Conservation Trust in protecting 103 acres within the Bradbury to Pineland corridor *Supported the Town of Falmouth in protecting 62 acres of forests, wetlands and river frontage Bangor *Supported the City of Biddeford in adding 54 acres to Clifford Park *Supported Kennebunkport Conservation Trust in adding 27 acres to the Steele Forest Conservation Area *Supported York Land Trust in conserving 50 acres around Bell Marsh near Mt. A Created and enhanced trails at Berry Woods, Saco Heath and Tatnic Hills Preserves Supported passage of a stream barrier removal bill to improve aquatic connectivity Supported development of a state deer herd management plan Augusta *Supported Maine DIF&W in restoring 53 acres in Scarborough Marsh ontinued in-depth research of ecosystem C health within the Penobscot River ecosystem Supported the Town of Sullivan with restoration planning for Flanders Stream* Restored several coastal streams through culvert replacement at Basin Preserve and downeast at Spring River Preserve enobscot River Restoration Trust purchased P three dams and associated hydroelectric facilities as part of restoration plan Supported Downeast Lakes Land Trust with Wabassus land acquisition *Supported Kennebec Estuary Land Trust in preserving 35 acres along Whiskeag Creek in Bath and 30 acres of wetlands around Morse Pond in Georgetown Applied prescribed fire to hundreds of acres of habitat and sponsored fire trainings for federal, state and NGO partners 2 fa ll 20 11 Baxter State Park Preserved 68 acres of shoreland in Bowdoinham A million times, thank you. Michael Tetreault State Director The Nature Conservancy in Maine * Supported Sebasticook Regional Land Trust in preserving 178 acres in Kanokolus Bog *Supported Maine DIF&W in adding 122 acres to the Alonzo Garcelon Wildlife Management Area However, the context for our work has changed dramatically. I just returned from a trip to Washington, D.C., with a group of colleagues from Maine s environmental movement. While there, we visited the White House for a discussion with numerous federal natural resource agencies. Sitting at that table, I woke up to the urgent situation that conservation is now facing. P en o b s c ot Ri v e r Wate r s h ed and D o wneast G u lf o f Maine Supported eelgrass restoration and conservation planning in Frenchman Bay urchased new groundfish permit to expand P scope of permit bank program Leased nearly 20,000 pounds of groundfish quota to fishermen participating in our sustainable fisheries program Portland * Administered grant from Maine DEP s Maine Natural Resources Conservation Program Cover: Rod Vogel and Moose. J.DARAK. Opposite: Michael Tetreault S.Fitzpatrick/TNC. Above: Maine. D.Coker. Back cover: Will Brune and the nature of Berry Woods. D.BATES ontinued collaborative research into more C sustainable fishing methods with GMRI and fishermen, and groundfish census research around Penobscot Bay Supported completion of research the nutrient exchange between Maine s freshwater and saltwater ecosystems The Nature Conservancy in Maine nature.org/maine 3

restoring Our Oceans Common Ground in the Gulf Fishermen and scientists use new nets to help Gulf of Maine groundfish The Economic s and Ecology of Permit Banks Today, New England s once-legendary groundfish fishery is at a crossroads. After nearly two decades of efforts to curb overfishing and rebuild depleted fish populations, the region has charted a new catch share management system. In this model, fishermen come together in harvesting cooperatives and manage a portion of the region s Total Allowable Catch. Permit banks can help Gulf of Maine fishermen survive and even thrive during this transition to catch share management. Fishing communities and others can acquire permits and make the associated quota of fish available to local fishermen at reasonable rates, boosting their annual catch. The Nature Conservancy is also using its permit bank to promote new fishing methods. Fishermen who lease quota from the Conservancy s permits get a discount if they use sustainable net configurations. Our goal: Restore the Gulf through partnerships with coastal communities. on the web Download a complete white paper on permit banking and New England fisheries at nature.org/mainenews. Vincent Balzano, gulf of maine fisherman 1. a n n ua l f i s h i n g r e v e n u e s Though struggling, the groundfish fishery is a vital part of New England s economy. A sustainably managed fishery promises even greater revenue potential. Projected groundfish revenues when populations rebuild $300,000,000 Groundfish revenues 2001 $98,637,000 Groundfish revenues 2009 $57,676,000 $85,460,000 by Kate Frazer Vincent Balzano, a third generation fisherman, is getting The Northstar ready for a day at sea. In the wheelhouse, a prayer card and snapshots of his two boys are tacked at the helm. Depending on the season, Balzano fishes out of Portland, Maine for monkfish, shrimp, whiting and menhaden, but this morning he s seeking his mainstay Atlantic cod. The Nature Conservancy and Balzano both hold groundfish permits in the Port Clyde sector, which includes fishermen from across Maine. The Conservancy entered the fishery in 2009, purchasing a federal groundfish permit with the Island Institute. The goal? Help depleted fish stocks rebound by working with fishermen to find and test new, more selective gear. Putting Research into Practice Two years of data collected with fishermen and the Gulf of Maine Research Institute show that nets with larger-sized mesh allow smaller, younger fish to escape. There s less discard and less time sorting on deck. The fish caught are of higher quality and get better prices at the dock, says Geoff Smith, the Conservancy s marine director in Maine. The Conservancy is now encouraging more fishermen to use these new net designs. I ve been using the 7-inch diamond-mesh cod end, says Balzano, lifting a bright turquoise net with openings roughly the length of his palm. It does what I want for the fish I m fishing for large and medium Gulf of Maine cod that bring a good price. As fishermen transition to a new catchshare management system, Balzano is committed to harvesting in the most economically and biologically efficient way possible. Transitioning to a new system is like learning a new language, but to keep fishing, it s important to keep getting better, he says. What s Next for the Nets? To help with the endeavor, the Conservancy recently purchased a second fishing permit in Maine and now has over a half of a million pounds of total quota available to support its collaboration with local fishermen. Next up: exploring permit purchases in Massachusetts and collaborating with Bay State fishermen. In an industry often beleaguered by tension, Balzano attributes this project s success to the open and constructive communication he has with Smith and others at the Conservancy. We don t always agree, but we found common ground around a strategy we both believe in. What matters most is that we have the same goal: to have as many fish in the ocean as we possibly can. Above: Gulf of Maine fisherman Vincent Balzano with his boat and improved nets. S.FITZPATRICK. 20 40 60 80 100 20 40 60 80 200 20 40 60 80 300 Dollars in Millions 2. G r o u n d f i s h L a n d i n g s ( i n p o u n d s ) Unfortunately, groundfish landings have been on the decline in New England. 103,418,000 63,477,000 350 2001 2009 3. act i v e g r o u n d f i s h b oat s i n m a i n e The number of boats in the fleet has been declining as well. 1990 70 2008 4. t h e t r a n s i t i o n to s e cto r s The most recent regulatory response to these declines has been the transition to sectors, which is now under way. 1,300 19 834 95% Total New England groundfish permits for fishing year 2009 Number of community sectors approved for fishing year 2011 Permits enrolled in groundfish sectors for fishing year 2011 Total allowable catch allocated to sectors for fishing year 2011 4 fall 2011 Infographics. S.FITZPATRICK/tnc. The Nature Conservancy in Maine nature.org/maine 5

conserving critical l ands A Living Laboratory Cracking the code on sustainable forestry on the web See Bill and visit the St. John on Discovery Channel s American Loggers at nature.org/mainenews. The Trail Leads to Berry Woods A new natural playground opens in Georgetown A dozen years ago, your support helped The Nature Conservancy buy 185,000 acres of working forest along the Upper St. John River in Maine from a large paper company and do the last thing that local residents expected of a conservation group: start harvesting trees. Why? The Conservancy is focused on finding solutions to the world s toughest environmental challenges. By using the property as a lab for sustainable forestry, we can find what works for people and nature, and promote those methods to other landowners. Now, Northern Maine Program Manager Bill Patterson is looking back at what we ve learned from this experiment in melding forestry and conservation objectives at a scale never before attempted. Bill Patterson program manager, northern maine Region Q&A with Bill Patterson Above: Bill visiting the St. John River Forest to review sustainable forestry operations. m.edgecomb/tnc. Can loggers and conservationists really work together? Can sustainable forestry be economically viable? Why does it matter to a conservation group? Can forestry be compatible with ecological management? There was apprehension on the part of the forest industry, but we ve come to know the community and learned a lot. Mainers care about the forests where they live and work. They want their kids to have access to the land to paddle, camp, hunt and fish. They want timber available for local mills. We ve shown that conservation and people can coexist and even support the community s needs. We ve balanced conservation and forest management to average an almost 3 percent annual return on investment from timber lower than some for-profit harvests but within the range of historical returns, given our conservative forestry. When other landowners see us making conservation pay, we have an opportunity to share our practices. Revenue is then reinvested in the land and community. We re hiring local people, paying taxes and funding research. Absolutely. We ve set aside nearly a third of the forest as ecological reserves where nature can run its course with no harvesting, and our streamside no-cut zones are extra-large to protect water quality and provide an additional network of old forest habitat across the land. And our harvests are designed to consider the entire ecosystem. Cutting creates young forest for animals like the snowshoe hare and Canada lynx, while lighter harvests create large areas of mature forest that benefit species like the American marten. With the sweeping loop of his line, Will Brune delicately places the fly exactly where he wants it. And Brune, the Conservancy s director of land protection, is exactly where he wants to be: in the heart of the Conservancy s Berry Woods Preserve in Georgetown. Though Berry Woods was first protected in 2001, few people were able to enjoy this natural wonder near the Kennebec River. Now, thanks to an expansion in 2009 and a blitz of trail-building this summer, you can visit Berry Woods and enjoy all sorts of activities. Berry Woods has added to a wonderful mosaic of conservation, where people can hike, fish, hunt and more, Brune says. And winter is a great time to discover the area by ski or snowshoe. We re very lucky to have such a contiguous block of protected coastal lands with this much to offer. will brune The new trail leads through oak-pine forest from the shores of the Kennebec to Robinhood Cove. Visitors can see an old mica mine, Wilson Pond, an old cellar hole and a natural blowdown. The 377-acre preserve connects with another 2,000 acres of conserved lands including Reid State Park and Maine Audubon s Josephine Newman Sanctuary, an area stretching all the way across the Georgetown Peninsula. It s great to see the support of our members hard at work in this amazing place, says Brune. Above, top to bottom: Robinhood Cove; Will Brune fishing at Berry Woods. c.d.bates. plan your visit Download a trail map and get visitor info at nature.org/mainenews. 6 fall 2011 The Nature Conservancy in Maine nature.org/maine 7

securing fresh water Top 5 from the Field Cool science for the sake of lasting conservation Josh Royte had an amazing and amazingly busy year. As conservation planner for The Nature Conservancy in Maine, Josh uses innovative ecological science to steer future conservation strategies. We asked him to list Maine s top freshwater science accomplishments from 2011: 1 Some 62 American shad have been tagged and tracked in their spawning runs up and down the Penobscot. These fish have also been filmed with a special sonar camera as they approach the Veazie Dam fish ladder. Our findings: There are many more shad in the river than we knew about, but only one of the hundreds out there could figure out how to get into or up the fish ladder to reach upstream spawning grounds. Be a part of history on the Penobscot River. 2 We had four summer interns out on the Penobscot enjoying the education of a lifetime, tagging and then tracking fish with radio-telemetry, electrofishing to record composition of the fish community, helping move salmon upstream from the Veazie Dam lift and trap and documenting the successful spawning of alewives in Fields Pond for the first time in nearly 200 years. 3 We conducted inventories of road-stream crossings in the East Branch Penobscot, Kennebec and Sebasticook River watersheds to assess their potential for fish passage and restoration. This will help us prioritize the best places for stream restoration projects and will make Maine a stronger candidate for federal restoration funds. Josh Royte conservation planner, maine 4 With help from the Penobscot Indian Nation and more than a dozen state, federal and NGO partners, we created a fine-scale ecological map of the Penobscot River. We have now identified river segments that hold the most and highest-quality habitat for salmon, brook trout, freshwater mussels, aquatic insects and stream-side natural communities, and mapped the surrounding shore lands that support healthy river function. The Nature Conservancy in Maine s board of trustees invites you to join a globally significant restoration effort: the healing of Maine s mighty Penobscot River. 5 We supported research on the nutrient exchange from freshwater to saltwater ecosystems and vice versa. By tracking the exchange of nutrients between these environments and up through the food chain, we re able to show the very intimate connections between our restoration work and the Gulf of Maine. It also helps highlight the huge influence on stream ecosystems of migrating fish, who live most of their lives in the ocean before heading upstream to spawn (and, in the case of our native sea lamprey, to also die). The board has issued a challenge gift for the Penobscot River Restoration Project. If the project receives $5 million in new donations or pledges by December 31, 2011, the Conservancy will contribute an additional $5 million. The $10 million total will allow the on-theground work of restoration removing dams and building fish passage to keep moving forward. Imagine migration access restored for sea-run fish, plus continued energy generation capacity in the watershed. With your generous support, Maine can show the world how innovation can meet the needs of both people and nature. Above: Three generations of a Penobscot Indian Nation family paddle on the river the tribe has worked to restore. B.Besaw At left: Josh Royte. Joe Fulmer; Penobscot research. B.Besaw To be a part of the challenge, contact David Daniel, senior associate director of philanthropy, at ddaniel@tnc.org or 207 373-5259. 8 fall 2011

people and nature THE NATURE CONSERVANCY THANKS OUR 2011 CORPORATE CONSERVATION COUNCIL OF MAINE: Katahdin ($10,000+) Clean Harbors Inc. First Wind Energy, LLC Harraseeket Inn L.L. Bean Inc. NextEra Energy Maine, LLC Oak Point Associates Pierce Atwood Poland Spring Water Verrill Dana, LLP Webber Oil Company^ Wright Express Bigelow ($5,000+) Bangor Daily News Casella Waste Systems Inc. Cell Signaling Technology Inc.* Down East Magazine Gleason Media Services* Lewiston Auburn Magazine* McCabe, Duval & Associates Nomad Pictures Reed & Reed Inc. Sun Media Group^ U.S. Trust, Bank of America Private Wealth Management Wonder Dog Films ^ Increased Membership Level * New Members Kineo ($2,500+) Bangor Hydro Electric Company^ Carrabassett Coffee Cascon Inc. Catama Productions Cold Mountain Builders Inc. Dead River Company Dearborn Precision Tubular Products Inc. Deering Lumber Inc. Harvest Hill Press IRC Industrial Roofing Co.* James W. Sewall Company Maine Huts & Trails* Mainebiz Platz Associates* Prentiss & Carlisle* Shawnee Peak Ski Area Spiller s^ Waste Management Inc. WCLZ 98.9 FM* Cadillac ($1,000+) Albert Frick Associates Androscoggin Bank* Auburn Manufacturing Inc.* Bangor Savings Bank Bank of Maine* Baribeau Agency Inc. Bath Savings Institution/ Bath Savings Trust Company Bernstein Shur The Birches Resort The Bread Shack, LLC* Casco Bay Energy Co., LLC Maine s natural resources support Maine s economy from tourism to farming, from forestry to fishing while providing the quality of life that defines our state and attracts quality employees. The Nature Conservancy salutes the above businesses for recognizing that vital link and supporting conservation of the lands and waters that make Maine work. Together, we re making a difference. Your business can help Maine s future by joining today. Call us at (207) 729-5181 or visit nature.org/maine. CANUSA Corporation Cherryfield Foods Inc. Chilton Furniture Cianbro Correct Property Management* CPRC Group, LLC Diversified Communications Downeast LNG Inc. Doyle Enterprises Inc. Drummond Woodsum Evergreen MGA* Fat Andy s Inc.* Frontier Cafe, Cinema & Gallery Fotografix Studio Gateway Mastering Studios Inc. Gilman Electrical Supply Gorham Savings Bank Gregory W. Boulos, Partner; CBRE/The Boulos Company Hancock Land Hancock Lumber Howard Sylvester Builder Jim Godbout Plumbing & Heating Inc.* KeyBank N.A. Lee Auto Malls Linekin Bay Energy Co. Lynx System Developers Inc. Machias Savings Bank* Mangum & Associates, LLC Maritimes & Northeast Pipeline, LLC; Spectra Energy Moody s Collision Centers In Maine, the environment is the economy. Mt. Abram Nancy Marshall Communications Ocean Properties* People s United Bank Portland Financial Planning Group Portland Oral & Maxillofacial Surgery Center PretiFlaherty Ram Trust Services* Rupununi Inc. Havana Saco Bound Saco River Canoe & Kayak Schnitzer Steel Industries Sebasco Harbor Resort Sharyn Peavey Photography* Stantec Consulting Services Stonewall Kitchen Sugarloaf, USA* Terrence J. DeWan & Associates Tower Publishing Co. VOX Global* Waterfront Maine Wild Oats Bakery & Café The Wishcamper Companies Inc. Woodard & Curran Woodex Bearing Company Inc. Wright-Pierce Yale Cordage Photo b.besaw Mai n e Legacy Published by The Nature Conservancy, 14 Maine Street, Suite 401, Brunswick, Maine 04011, (207) 729-5181. TR USTE ES Barbara Trafton, Auburn, Chair C.D. Armstrong, Scarborough, Vice-chair Marion Kane, Falmouth, Vice-chair Donald McNeil, Bedford, Nova Scotia; Treasurer Joyce Coleman, Addison P. James Dowe Jr. Portland Ted Frois, Westport Island Tony Grassi, Camden Malcolm L. Hunter Jr., Amherst George Jacobson, Orono Angus King Jr., Brunswick Nancy McBrady, Cumberland Roger Milliken Jr., Cumberland Bo Norris Cape Elizabeth Don Oakes, Falmouth John Rosenblum, St. George Jean Scudder, Readfield Jane Sheehan, Scarborough John Sowles, North Yarmouth Ben Willauer, Freeport Joe Wishcamper, Freeport Charter Honorary Trustee Edward T. Richardson Jr., South Portland Newsletter design Donated by McCabe, Duval + Associates printing information Printed on 80% recycled (including 30% PCW), process chlorine free paper, creating the following benefits: 11 trees preserved for the future 515 lbs. solid waste not generated 38.72 gallons waterborne waste not created 7,783,535 BTUs energy not consumed Rolling Up Our Sleeves You know The Nature Conservancy acquires land to protect it, but what happens after the purchase? Through your support, our stewardship team spends each day caring for, studying and creating access to a growing network of natural wonder and adventure. Conservation is a bit like marriage, says Nancy Sferra, director of science and stewardship. After the thrill of the wedding, you enter a lifetime of commitment. But in conservation, that commitment extends even further. Each year, I have the pleasure of collaborating with amazing staff and volunteers, bringing to life the Conservancy s loyalty to the places we protect, she continues. The hours are long, we get wet, dirty and eaten by bugs, but we are glad to be part of something important. Clockwise from top left: LEAF interns Daniel Jameson and Alejandro Meran celebrate completion of a culvert survey; seasonal staffer Erik Walling; Alejandro; Nancy Sferra monitoring forest health at Appleton Bog; staff and LEAF interns prepare to blaze trails at Berry Woods preserve; Daniel at work; seasonal staffer Nicole Rhodes at Berry Woods; seasonal staffer Michael Robinson performs eco-monitoring at Appleton Bog. Above: D. Bates, J. Riehl, R. Rodriguez 2011 MRCE MEFall11_2 10 fall 2011 The Nature Conservancy in Maine nature.org/maine 11