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Home My WebLink About20150998 Ver 1_Sutton RAI Response_20160128Burdette, Jennifer a From: Cahoon, Steve <Steve.Cahoon@duke-energy.com> Sent: Thursday, January 28, 2016 11:39 AM To: Burdette, Jennifer a Subject: Sutton RAI Response Attachments: RAI response.pdf Jennifer, Please see attached the response to your request for additional information pertaining to dated January 15, 2016, pertaining to Duke Energy's request for an Individual Isolated and other Non -404- Jurisdictional Waters and Wetlands Permit. A hard copy of the response will follow in the mail. Please contact me if you have any questions. Steve Steve Cahoon Duke Energy EHS — CCP Permitting and Compliance Office - (919) 546-7457 Cell - (919) 632-0129 steve.cahoon@duke-energy.com & DUKE IPENERGY. PROGRESS 28 January 2016 VIA ELECTRONIC MAIL AND U.S. MAIL Ms. Jennifer Burdette 401 /Buffer Coordinator Department of Environmental Quality Division of Water Resources, Water Quality Permitting Section 1617 Mail Service Center Raleigh, NC 27699 Duke Energy Progress, LLC. 410 South Wilmington Street Raleigh, NC 27601 Subject: Response to Request for Additional Information Individual Isolated and Other Non404 Jurisdictional Wetlands and Waters Permit - Proposed Sutton Onsite CCR Landfill (DWR#I5-0998) L.V. Sutton Energy Complex Wilmington, North Carolina Dear Ms. Burdette: Duke Energy Progress, LLC. (Duke Energy) received the Division of Water Resources (Division) letter Request for Additional Information (RAI) dated 15 January 2016. The RAI, provided as Attachment 1 to this letter, is in reference to the Duke Energy request for an Individual Isolated and Other Non404 Jurisdictional Wetlands and Waters Permit for isolated wetlands impacts associated with the construction of the proposed Onsite Coal Combustion Residuals (CCR) Landfill (landfill) located at the L.V. Sutton Energy Complex (Sutton) near Wilmington, New Hanover County, North Carolina. RESPONSE TO RAI Duke Energy has reviewed the RAI and submits the following responses to the items requested by the Division based on the information available. Division Request Item 1: The Division understands that the proposed on-site landfill will be used for disposal of coal combustion residuals that will be excavated from the 1984 Basin, 1971 Basin, and Lay of Land Area at the station in order to close those basins. Closure of the basins Ms. Jennifer Burdette January 28, 2016 Page 2 of 3 will involve removal of some areas of the dikes, which may impact wetlands located adjacent to Sutton Lake. These excavation areas need to be included in the project boundary for the project. Also, provide a description of this phase of the project and an estimate of when it is anticipated to begin. Please note that this permit may need to be modified or a Section 404 and 401 water quality certification may be required depending on the outcome of the jurisdictional determination of these wetlands and any potential impacts to those wetlands. Item 1 Response: Formal Jurisdictional Determinations for the Discharge Canal, Cooling Pond and any potential wetlands or waters adjacent to these features and the CCR Basins is currently in process with the US Army Corps of Engineers and the North Carolina Department of Environmental Quality (NCDEQ). An on-site agency meeting for this purpose has been scheduled for 9 February 2016. Duke Energy understands that additional permitting for these impacts, if the impacts are unavoidable, under Section 404 and 401 Water Quality Certification maybe required based on the outcome of this Jurisdictional Determination. Final Closure Plans for the CCR Basins and LOLA have not been formalized. Areas of the dikes on both sides of the Discharge Canal will need to be removed and re -constructed to comply with the applicable requirements set forth in the Federal CCR Rule [EPA, 2015] and the North Carolina Coal Ash Management Act (CAMA) for closure of the Basins at Sutton. Duke Energy anticipates that sheet piling may need to be installed along the Discharge Canal and Cooling Pond where necessary to facilitate removal of areas of the Basin dikes where CCR was encountered and to prevent discharge of sediment into the Discharge Canal and Cooling Pond during excavation activities. Duke Energy will coordinate with the Corps of Engineers and the Division for permitting associated with these activities once the Jurisdictional Determination has been conducted and proposed Final Basin Closure Plan has been completed for agency review and comment. Excavation activities related to the areas in, and adjacent to, the Basin dikes is not anticipated to commence until the later phases of the CCR removal (2018) with the exception of possible sheet pile installation in the Discharge Canal and Cooling Pond adjacent to the 1971 Basin dike and LOLA as an additional Best Management Practice (BMP) for sediment control. Division Request Item 2: From our scoping and pre -application consultation, the Division understands that an office and parking area will be constructed for the landfill Provide a site plan and location of the facility along with a conceptual stormwater management plan. Item 2 Response: The Construction Plans for the proposed Sutton On-site CCR Landfill does not include an office and parking area associated with the Landfill Project. Duke Energy plans to utilize existing offices and parking areas already constructed at Sutton. Division Request Item 3: For your mitigation plan, you have indicated that you plan to make a payment to either the Town Creek Headwaters Mitigation Bank or the Lower Cape Fear Umbrella Mitigation Bank. Your application included a letter of availability from both banks. Ms. Jennifer Burdette January 28, 2016 Page 3 of 3 Please indicate which mitigation bank that you plan to utilize as the mitigation plan for the project. Item 3 Response: Duke Energy has selected the Lower Cape Fear Umbrella Mitigation Bank to supply the 5.57 wetland mitigation credits necessary for the compensatory impact to isolated wetlands associated with the proposed landfill project. Duke Energy has received and executed a formal Statement of Credit Availability and Reservation from Lower Cape Fear Umbrella Mitigation Bank. A copy of this document is provided as Attachment 2 to this letter. NXIT-9f I" If you have any questions or need clarification regarding the information provided, feel free to contact Steve Cahoon at Steve.Cahoon@duke-energy.com or 919-546-7457. Respectfully submitted, F i Steve Cahoon Duke Energy EHS-CCP Permitting and Compliance Attachments: Attachment 1. Request for Additional information from NC Water Resources Environmental Quality Attachment 2. Statement of Credit Availability and Reservation (Lower Cape Fear Umbrella Mitigation Bank) WaterResources ENVIRONMENTAL QUALITY January 15, 2016 Duke Energy Progress Attn: Mr. Stephen Cahoon 249 Sutton Lake Road Wilmington, NC 28403 Subject: REQUEST FOR ADDITIONAL INFORMATION L. V. Sutton Steam Station — On-site Landfill Dear Mr. Cahoon: PAT MCCRORY GmYr4or DONALD R. VAN DER VAART se -1— S. JAY ZIMMERMAN Dkrcw DWR # 15-0998 New Hanover County On December 22, 2015, the Division of Water Resources (Division) received your application dated December 22, 2015, requesting an Individual Isolated and Other Non -404 Jurisdictional Wetlands and Waters Permit from the Division for the subject project. The Division has determined that your application Is incomplete and cannot be processed. The application is on - hold until all of the following information Is received: 1. The Division understands that the proposed on-site landfill will be used for disposal of coal combustion residuals that will be excavated from the 1984 Basin, 1971 Basin, and Lay of Land Area at the station in order to close those basins. Closure of the basins will involve removal of some areas of the dikes, which may impact wetlands located adjacent to Sutton Lake. These excavation areas need to be included in the project boundary for the project. Also, provide a description of this phase of the project and an estimate of when it is anticipated to begin. Please note that this permit may need to be modified or a Section 404 and 401 water quality certification may be required depending on the outcome of the jurisdictional determination of these wetlands and any potential impacts to those wetlands. 2. From our scoping and pre -application consultation, the Division understands that an office and parking area will be constructed for the landfill. Provide a site plan and location of the facility along with a conceptual stormwater management plan. 3. For your mitigation plan, you have indicated that you plan to make a payment to either the Town Creek Headwaters Mitigation Bank or the Lower Cape Fear Umbrella Mitigation Bank. Your application included a letter of availability from both banks. Please indicate which mitigation bank that you plan to utilize as the mitigation plan for the project. Pursuant to Title ISA NCAC 02H .1304(d), the applicant shall furnish all of the above requested information for the proper consideration of the application. Please respond in writing within 30 calendar days of receipt of this letter by sending three (3) copies of all of the above requested Sure of North Carolina Envuon=nul Quality ; Waxr ftcUMI xs 1617 Mad service Center y kakigk North Caroluu 27699-1617 919 807 6300 Duke Energy Progress DWR# 15-0996 Request for Additional information Page 2of2 information to the 401 & Buffer Permitting Branch, 1617 Mail Service Center, Raleigh, NC 27699-1617. If all of the requested information is not received in writing within 30 calendar days of receipt of this letter, the Division will be unable to approve the application and it will be returned. The return of this project will necessitate reapplication to the Division for approval, including a complete application package and the appropriate fee. Please be aware that you have no authorization under the Isolated Wetlands and Isolated Waters Rules for this activity and any work done within waters of the state may be a violation of North Carolina General Statutes and Administrative Code. Please contact Chad Coburn at 910-796-7379 or chad.coburn@ncdenr.gov or Jennifer Burdette at 919-807-6364 if you have any questions or concerns. Sincerely, 4i�'M Karen Higgins, 5upervif 401 & Buffer Permitting Branch cc: USACE Wilmington Regulatory Field Office DWR WiRO 401 file DWR 401 & Buffer Permitting Unit file Filename: 15099BLVSuttonSteamStationon-siteLandfill IWP IC Hold.docx LOWER CAPE FEAR UMBRELLA MITIGATION BANK c/o Land Management Group, Inc. 3805 Wrightsville Avenue, Suite 15 Wilmington, NC 28403 MITIGATION CREDIT INVOICE DATE: January 18, 2016 TO: Duke Energy Progress (Applicant) 249 Sutton Lake Road Wilmington, NC 28401 CC: Resource Environmental Solutions, LLC Attn. Cara Conder 302 Jefferson Street, Suite 110 Raleigh, NC 27605 CORPS ACTION ID: N/A PROJECT NAME: L.V. Sutton Steam Plant— Onsite Landfill Sutton Energy Complex LCFUMB NO: 2015-016 INVOICE NO: 2015-016 Credit Type Units Fee per Unit Total Stream 0.0 $390.00 $0.00 Riparian Wetland 0.0 $71,201.00 $0.00 Non -Riparian Wetland 5.6 $51,370.00 $287,672.00 Credit Fee $287,672.00 35% Discount' ($100,685.20) Total Balance Due $186,986.80 135% discount if payment received on or before March 31, 2016 Terms: (1) Payment due on or before March 31, 2016 for 35% discount. (2) Credit transfer to be completed upon receipt of payment in full (certified funds requested). (3) All checks should be made Davable to "LCFUMB Escrow Account" and transmitted to Land Management Group (Agent) located at 3805 Wrightsville Avenue, Suite 15. Wilmington, NC 28403 Lower Cape Fear Umbrella Mitigation Bank Mitigation Credit Invoice