20181609 Ver 1_Eden ER-EID - Revised for 20 inch WL (reduced)_20181121

Engineering Report/ Environmental
Information Document

City of Eden, North Carolina

H-SRP-D-17-0015 - Regional Mega Park Waterline Expansion
City of Eden Public Water Supply ID: NC 02-79-010
Revision No. 2

May, 2018

Engineer:
Dewberry Engineers Inc.
Attn: Scott Ehrhardt
551 Piney Forest Road
Danville, VA 24540
434-797-4497
[e-mail]

Applicant:
City of Eden
Attn: Michael Dougherty
P.O. Box 70
Eden, NC 27289-0070
336-612-8039
[e-mail]

Engineering Report / Environmental Information Document | City of Eden | 2
Engineering Report/ Environmental Information Document
City of Eden Waterline Extension to Berry Hill
Industrial Park

Table of Contents
1. EXECUTIVE SUMMARY 4
2. EXISTING FACILITIES AND PROJECT PLANNING 6
2.1 Distribution System Condition 6
2.2 Current Water Demand 7
2.3 Flow Projection 7
2.4 Future Situation Downstream of Project 7
3. PURPOSE AND NEED 8
4. ALTERNATIVES ANALYSIS 8
4.1 Alternatives Description 8
4.2 Present Worth Analysis 11
4.3 Proposed Project Description 11
5. ENVIRONMENTAL INFORMATION DOCUMENT 13
5.1. Topography and Floodplains 13
5.2. Soils 13
5.3. Prime and Unique Farmland 14
5.4. Land Use 15
5.5. Forest Resources 15
5.6. Wetlands and Streams 16
5.7. Water Resources 16
5.8. Shellfish and Fish and Their Habitats (including aquatic T&E species) 17
5.9. Wildlife and Natural Vegetation (including terrestrial T&E species) 18
5.10. Public Lands and Scenic, Recreational, and State Natural Areas 18
5.11. Areas of Archaeological or Historical Value 19
5.12. Air Quality 20
5.13. Noise Levels 21
5.14. Introduction of Toxic Substances 22
5.15. Environmental Justice 22
5.16. Mitigation Measures 22
5.17. References 25
6. FINANCIAL ANALYSIS 26
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7. PUBLIC PARTICIPATION 27
8. APPENDIX 27
8.1 FEMA Floodplain Map 28
8.2 NRCS Soil Maps 31
8.3 Prime Farmland Maps 35
8.4 National Wetland Inventory (NWI) Maps 41
8.5 USFWS Project Review Package - North Carolina 49
8.6 USFWS Project Review Package - Virginia 64
8.7 State Park Maps 86
8.8 SHPO Information - North Carolina 89
8.9 SHPO Information - Virginia 115
8.10 EPA Environmental Justice Report 129
8.11 Project Cost Estimate 133
8.12 Eden FY 2017-2018 Budget 135
8.13 Comment Response Letter (Revision #1) 198

Figures
2.1-1 – City of Eden Overall Water System Map
4.1-1 – Proposed Project Overall Map
4.1-2 – Proposed Project Overall Map – In-City Waterline

Tables
4.1 – Present Worth Analysis
5.16 – Mitigation Measures
5.17 - References

Engineering Report / Environmental Information Document | City of Eden | 4
1. EXECUTIVE SUMMARY

For nearly 10 years, the Danville-Pittsylvania County Regional Industrial Facility Authority (RIFA) has
been working to develop a 3,500 acre regional industrial park along Berry Hill Road located just north of
the North Carolina state line along US 311. This industrial park is the 5th largest on the east coast and
one of the largest in the state of Virginia.

Based on original planning conducted for this park, the most feasible means by which to serve water to
the full development of the park was to construct a large water transmission main from the City of Eden,
NC. To meet projected demands, a 20” waterline extension is required.

The 20” waterline will extend along US 311 from the City limits to the North Carolina/Virginia state line,
where it will then continue along Berry Hill Road to the proposed industrial park in Virginia. This
proposed waterline extension will provide for a peak transmission capability of 7.3 MGD; thus meeting
the forecasted water demands within the park and service areas along the US 311 corridor. At this time,
the existing infrastructure within the City of Eden can support a delivery of 4.3 MGD. Future
reinforcement of water service through the City will be required to deliver the remaining 3 MGD.

Three alternatives are evaluated in this report: no action, a cross-country route outside of the NCDOT
right-of-way, and a route along US 311 to the state line. The no action alternative was immediately
dismissed, as this option does not address the project need to bring water service to the industrial park; the
cross country route was eliminated due to the large amount of easement acquisition, land clearing and
related environmental impacts associated with this option; the route along US 311 was chosen as the most
feasible, environmentally sound and cost effective option. Several easements in localized areas will need
to be obtained where adequate space is not available in the right-of-way. Related environmental and
construction permits will need to be obtained.

The current City of Eden Water Treatment Plant has capacity to treat and distribute 20.6 MGD. Water
demands in the City have fallen considerably with the exodus of industry over the past 20 years. Current
water production is now approximately 5 MGD, thus it has been concluded that adequate treatment
capacity is available to meet forecasted water demands related to this project.

Environmental impacts identified to be associated with this project are temporary and related to the
required crossings of streams, roads and railroads. Some localized tree clearing may be necessary,
however, the majority of the project will be within NCDOT right-of-way and minimal tree clearing is
expected. The pre- and post- conditions of the site are expected to be equal since this is a linear utility
project. Wetlands and streams will be avoided as much as possible, and USACE will fully review and
permit all construction activities within their jurisdiction. Where feasible and cost effective, directional
drilling will be an option for the contractor to minimize impacts to environmentally sensitive areas.
NCDOT will be heavily involved in the project, considering the high percentage of activity within their
jurisdiction. Proper traffic management will be implemented, and noise will be kept to a minimum and
within daylight hours. Refer to Section 5 of this report for a complete evaluation of environmental
concerns with this project.

This project will be primarily funded by the Drinking Water State Revolving Fund (DWSRF). The City
of Eden has been allocated $1.86 million in State Reserve Project Grant, $3 million in 0% interest loan,
and the remainder 1.53% interest loan with a 20 year payback period. Additionally, the City received a
Engineering Report / Environmental Information Document | City of Eden | 5
$2 million grant award from the U.S. Economic Development Administration (EDA). The existing users
of the City of Eden water system will not experience a rate increase; the industrial users at the industrial
park will pay a minimum monthly charge or debt payment in order to pay back the loan for this project.
This debt payment will be shared proportionally among future users at the park.

As required in the Letter of Intent to Fund, the City of Eden is in compliance with G.S. 143-355.4:

§ 143-355.4. Water system efficiency.

(a) Local government water systems and large community water systems shall require separate
meters for new in-ground irrigation systems on lots platted and recorded in the office of the register of
deeds in the county or counties in which the real property is located after July 1, 2009, that are connected
to their systems.

(b) To be eligible for State water infrastructure funds from the Drinking Water State Revolving Fund
or the Drinking Water Reserve or any other grant or loan of funds allocated by the General Assembly
whether the allocation of funds is to a State agency or to a nonprofit organization for the purpose of
extending waterlines or expanding water treatment capacity, a local government or large community
water system must demonstrate that the system:

(1) Has established a water rate structure that is adequate to pay the cost of maintaining,
repairing, and operating the system, including reserves for payment of principal and interest on
indebtedness incurred for maintenance or improvement of the water system during periods of
normal use and periods of reduced water use due to implementation of water conservation
measures. The funding agency shall apply guidelines developed by the State Water Infrastructure
Authority in determining the adequacy of the water rate structure to support operation and
maintenance of the system.

Response: The current water rate structure is adequate to cover maintenance, repairs and
operation. The rate developed for the users in the Berry Hill Industrial Park will cover all of the
above stated expenses associated with the water treatment and transmission to serve the Park.
The City of Eden’s existing rate structure will not need to change due to the revenue that will be
received from new users served by this waterline.

(2) Has implemented a leak detection and repair program.

Response: The City of Eden has an online system that users can report a water leak with City
Personnel. If there is an emergency condition and immediate response is required, the Collection
& Distribution Division provides response and performs leak repairs. The City continues to
monitor accountability of their water system for detection of significant water losses.

(3) Has an approved water supply plan pursuant to G.S. 143-355.

Response: The City has an existing approved water supply plan for the water system that is
updated annually and was last updated April 2017. An updated water supply plan will be
developed for the extension of service to Berry Hill Industrial Park. It is important to note
however that the proposed new demand from the Park will be less than the total loss in demand
Engineering Report / Environmental Information Document | City of Eden | 6
that the City has experienced as a result of industry closures over the past 10 years; this loss in
demand being within the same service area that this project will be rely upon. The City’s water
treatment plant capacity is 20.6 MGD. Given that the current water production is only
approximately 5 MGD, the reserve treatment capacity significantly exceeds the projected demand
from this project.

(4) Meters all water use except for water use that is impractical to meter, including, but not
limited to, use of water for firefighting and to flush waterlines.

Response: Yes.

(5) Does not use a rate structure that gives residential water customers a lower per-unit water
rate as water use increases.

Response: Water customers pay a flat rate.

(6) Has evaluated the extent to which the future water needs of the water system can be met
by reclaimed water.

Response: The transmission of reclaimed water was evaluated. Due to the additional pumping
capacity required, twice the distance in transmission piping, reclaim water only meeting the needs
of a small portion of the park, and with still having to extend another line to meet potable water
demands, the extension of reclaimed water is not feasible nor recommended at this time.

(7) Has implemented a consumer education program that emphasizes the importance of water
conservation and that includes information on measures that residential customers may
implement to reduce water consumption. (2008-143, s. 9; 2010-142, s. 13; 2010-180, s. 16; 2011-
374, s. 3.2; 2013-360, s. 14.21(l).)

Response: The City promotes water conservation through ongoing public outreach efforts.
These include publication of brochures, setting up booths at local festivals and providing
numerous online publications on benefits of conservation on the City’s web site.

The report herein includes an engineering evaluation, a financial analysis, as well as an environmental
assessment. All supplementary and supporting documentation is included in the Appendix.

2. EXISTING FACILITIES AND PROJECT PLANNING

2.1 Distribution System Condition

The existing water system has the capacity to greatly increase their customer base. The City of Eden
Water Treatment Plant (WTP) has the capacity to treat and distribute 20.6 MGD, and the current demand
is only 5 MGD. With the recent loss of the MillerCoors manufacturing facility in the City, water demand
has fallen considerably. It is obvious that the industrial demand in the City of Eden service area was
significantly higher before the textiles, tobacco and furniture manufacturing industries were exported
overseas. Thus, the City of Eden has adequate capacity and ability to serve a projected future peak
demand of 7.3 MGD to the Berry Hill Industrial Park.
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Additionally, there are low pressure zones in the southeastern side of the City as determined via the water
model developed in 2009. Dewberry was previously contracted by the City of Eden to develop the water
model of the City and analyze low pressure and low flow zones in order to assist the City in asset
management planning for the future. The future reinforcement of waterline through the City will address
these identified zones. This water model also includes the demand projections for serving the future
Berry Hill Industrial Park.

2.2 Current Water Demand

Water demands in the City have fallen considerably with the exodus of industry over the past 20 years.
Current water demand for the City and connected service areas is now approximately 5 MGD. There is
currently no water demand occurring at the proposed new Berry Hill Industrial Park since no industry is
currently occupying the park.

2.3 Flow Projection

At full build-out of the industrial park, an anticipated peak daily demand of 7.3 MGD is projected. The
growth rate for the City of Eden has been flat over the past 40 years with a sustained population of
approximately 16,000. Rockingham County in the area around Eden has only experienced pockets of
growth, primarily north and south of the City. Though the job growth from the Berry Hill Park will be
considerable, the population gain within the City and surrounding service areas is still expected to remain
low to moderate. In the absence of additional large water consuming industry locating within the City,
secondary water demands (i.e. residential, commercial, light industry) resulting from the full build-out of
the Berry Hill Industrial Park is expected to increase current water demands by 15-25% above current
demand. Assuming demand of the secondary growth attributed to the Berry Hill Park, and another 1%
annual increase from other general demands, results in an overall 2% annual growth in water demand.
Over 20 years, this additional growth will result in a 50% increase in current demand, or 2.5 MGD.

Totaling both the peak demand expected from Berry Hill and secondary 20 year growth demands results
in a projected total demand as follows;

Description (20 years)
Total Demand
(MGD) @ 20 years
Berry Hill Projected Demand 7.3
Secondary Growth Attributable to Berry Hill (1% annual) 1.25
General Growth throughout remainder of service area (1% annual) 1.25
Resulting Total 20 year projected demand 9.8 MGD
Existing Demand 5.0 MGD
Reserve based on WTP capacity = 20.6 MGD 5.8 MGD

2.4 Future Situation Downstream of Project

Berry Hill Industrial Park is the end user for the proposed water extension. Any demands that occur north
of the endpoint of this proposed waterline extension will be served by two (2) other water systems; the
City of Danville and/or Henry County Public Service Authority. In consideration of additional industrial
water demands, it is believed that if future large water consuming industry locates in the City, they will
likely locate in areas closer to the City where utilities are already available and/or where other industries
Engineering Report / Environmental Information Document | City of Eden | 8
have vacated the City. Thus, additional demands placed on the proposed water line extension will
primarily consist of residential, small commercial and/or smaller low water demanding industry. Thus,
for the purpose of forecasting additional “downstream” peak demands on the proposed waterline, it is
estimated that 25% of the total secondary and general demands noted above in Section 2.3 will be exerted
on this transmission line over the next 20 years. This results in an additional 0.625 MGD that the
waterline in this project will need to be able to deliver; bringing the total minimum peak transmission
capacity to 7.925 MGD.

3. PURPOSE AND NEED

For nearly 10 years the Danville-Pittsylvania County Regional Industrial Facility Authority (RIFA) has
been working to develop a 3,500 acre regional industrial park along Berry Hill Road located just north of
the North Carolina state line along US 311. This industrial park is the 5th largest on the east coast and
one of the largest in the state of Virginia.

Based on original planning performed for this park, the most feasible means by which to serve the entire
industrial park was to construct a large water transmission main from the City of Eden, NC. To meet these
demands, a new 20” waterline extension is needed.

Due to the significant loss of industry over the past 20 years, the need for employment within the City and
surrounding areas is paramount. The replacement of jobs is reliant on the success of new development
such as the Berry Hill Industrial Park. This project will insure a necessary reliable water supply is made
available to this park.

4. ALTERNATIVES ANALYSIS

4.1 Alternatives Description

General

The proposed project will extend water service from the City of Eden to the NC/VA state line along US
311. From this junction, RIFA will extend the service further to the Berry Hill Industrial Park. This
proposed waterline will need to deliver up to 7.3 MGD to Berry Hill Industrial Park, while at the same
time maintaining additional reserve to meet another 2.5 MGD of 20 year projected secondary growth
demand occurring along the affected US 311 corridor. Currently, the existing infrastructure in the City of
Eden can deliver 4.3 MGD to the Park. Future reinforcement of larger diameter waterline will be required
in the City as the demand increases in Berry Hill. The water system must also be able to continue
meeting existing demands, as well as demands that may return through the sale and repurposing of the
former MillerCoors Brewery manufacturing facility. Finally, the water delivered to the Berry Hill Park
must be able to meet a minimum residual pressure of 30 psi at the southern end of the park boundary.

Based on modeling of the above stated conditions, a 20” water main will be required from the City limits
to extend service to the Berry Hill Industrial Park. Due to the desirable hydraulic grade of the Freedom
Water Tank, a booster pump will not be required. Rather, this water will simply flow by gravity.
Modeling of the system from the City’s water plant reveals adequate delivery capacity to the Freedom
Tank service area to meet projected 20 year demands identified in Section 2.3, while at the same time
satisfying a repurposed demand occurring at the former MillerCoors site.
Engineering Report / Environmental Information Document | City of Eden | 9
4.1.1 No Action

No action on this project would result in the inability for large industries to locate in the Berry Hill
Industrial Park. The past 10 years of development of Berry Hill and associated efforts would be deemed
worthless, and the economic benefits would no longer be experienced by the region. The City of Eden is
the only existing water service in the surrounding area that has adequate production capacity at the water
treatment plant and that also has existing water transmission infrastructure that can be cost effectively
extended to the park. This no-action alternative was immediately dismissed.

4.1.2 Cross Country Route Away from Major Roadways

A cross country route was considered which comprises of an extension through the east end of the City
from Freedom Park Tank. Once reaching the east end of the City, the waterline would extend cross
country to the VA/NC state line at US 311. Since this route will generally parallel US 311, it does not
result in a significant savings in length of waterline. It would also occupy a route that would not have any
secondary benefits of being able to meet unmet water demands that will occur along US 311 as the City
grows.

Under this alternative, permitting requirements and potential environmental impacts would be
considerable. A Joint Permit Application process associated with the cross country route would likely
receive a high degree of scrutiny from both DEQ and USACE. The US Fish and Wildlife Service would
also require a survey of easements to be cleared along this route. Easements would have to be acquired
along an estimated 2.8± miles of the waterline. Since many of these easements would subdivide large
parcels and require permanent clearing, acquiring these easements by simple purchase is expected to be
met with a high degree of resistance from property owners. For these above reasons, the cross country
alternative was dismissed from further consideration.

4.1.3 Route along NC 770

This proposed route shown in Figures 4.1-1 follows US 311 to the VA/NC state line where this project
ends and another construction project performed by RIFA will extend it to the industrial park.

To the extent possible, the waterline outside of the City limits will be installed in the existing NCDOT
right-of-way along US 311, which becomes Berry Hill Road after crossing the NC/VA state line. It will
also have the added benefit of being able to meet future service needs resulting from expected future
growth along US 311.

Due to its very direct path to the point of delivery for this alternative, and by utilizing existing NCDOT
right-of-way, it is the most cost effective to construct while at the same time minimizing the potential for
environmental impacts.

Lot 1Lot 2Lot 3Lot 4Lot 5Lot 9Lot 8Lot 12Lot 10Lot 6Lot 7Lot 11EX. 24" WATERLINEEX. 16" WATERLINENC 20" WATERLINE(17,200 LF)FREEDOMPARK TANKNEW CONTROLVALVE AND METERCONTROL VALVEAND METER VAULTVA 20" WATERLINEFROM OAK HILL ROADTO LOT 3 (8,600 LF)(LOW PRESSURE ZONE)PARALLEL 20"WATERLINE(5,300 LF)SHEET NO.TITLEPROJECTDATESCALEPROJ. NO.Dewberry Engineers Inc.551 Piney Forest RoadDanville, VA 24540Phone: [phone]Fax: [phone]Direct RouteAlong SR 770/ US 3113/5/201850093286FIGURE4.1-11"=5000'Waterline Extension to Berry Hill Industrial ParkCity of Eden, NC5,000'0'10,000'SCALE: 1" = 5,000'EX. 16" WATERLINE(HIGH PRESSURE ZONE)EX. 12"WATERLINECITY OF EDENSUPPLYHENRY COUNTYSUPPLYDANVILLESUPPLYVA 20" WATERLINE FROMSTATE LINE TO OAK HILLROAD (9,900 LF)BERRY HILL INDUSTRIAL PARK WATER SUPPLYCITY OF EDEN: 7.3 MGDROUTE 58 (HENRY COUNTY AND DANVILLE): 1 MGDTOTAL: 8.3 MGDLEGENDNEW WATERLINE TOSERVE BERRY HILLINDUSTRIAL PARKEXISTING WATERLINEPROPOSED DESIGNEX. 12" WATERLINES (2)
Engineering Report / Environmental Information Document | City of Eden | 11
4.1.4 Pipe Material Considerations

This project, from start to finish, comprises over 5.5 miles of large diameter waterline. There are two
main field conditions to consider when determining possible pipe material: stream/road/railroad crossings,
and along NCDOT/VDOT right-of-way. Ductile iron will be utilized for most road crossings and railroad
crossings. The contractor shall be given the option of utilizing a direction bore method to install HDPE or
fusible PVC at stream crossings.

As an alternate cost saving measure to either ductile iron or PVC, welded steel pipe will be considered for
the main water transmission line extending from the east end of the City to the VA/NC state line. This
material is becoming increasingly popular across the U.S. where the waterlines primary purpose is for
water transmission. Superior coating systems along with cathodic protection results in service life
comparable to ductile iron. The material per linear foot is more cost effective and the installation is
continuous, as it is welded as the pipe is installed. The drawback to this pipe material is that all fittings
and connections are custom welded, and welded steel pipe is not a material that is currently used in the
City of Eden service area. However, considering there are no connections along US 311, connections can
be made available at stub connections to fire hydrants with bilateral valving for isolation and flow
diversion.

4.2 Present Worth Analysis

NC SR 770 Route
Present Worth Analysis
Year
Annual
Water O&M
P/A (4.875%,
n=20)
Project Capital
Cost Total
1 $ 25,000 $ 311,600 $ 6,916,348 $ 7,227,948
Cross Country Route
Present Worth Analysis
Year
Annual
Water O&M
P/A (4.875%,
n=20)
Project Capital
Cost Total
1 $ 30,000 $ 373,900 $ 7,794,173 $ 8,168,073

The above present worth analyses have been performed for the feasible options. The cross country route
has a higher capital cost, similar length of pipe, and also a higher annual O&M cost due to the additional
easement clearing and length of pipe required to maintain. Though it isn't significant for this large of a
project, the proposed route along US 311 will have an estimated project cost that is approximately $1
million dollars less than the Cross Country Route.

4.3 Proposed Project Description

The most feasible option for this project is to route the majority of the waterline along US 311 within the
existing NCDOT right-of-way. Refer to Figure 4.1-1 for this route. To the extent possible, the waterline
outside of the city limits will be installed in the existing NCDOT right-of-way. Due to the high daily
water demand projected from the park, a 20” waterline is required to reliably meet the daily demand.
This proposed route will cause some conflicts with existing and proposed utilities, as well as some
wetlands, thus requiring additional easements at some locations.
Engineering Report / Environmental Information Document | City of Eden | 12

One section involving constructability concerns is the crossing of Cascade Creek. The only existing
utility on the north side of the highway is underground telephone (UGT); however, the underground gas
(UGG) on the south side of the highway is proposed to be relocated to north side of the road in order to
avoid possible conflict with the existing sanitary force main. The proposed gas line will cross Cascade
Creek just outside the existing concrete wing walls under the bridge, in the same easement that the
waterline was originally proposed to be routed. As a result, the waterline will be designed to allow
adequate horizontal separation from the gas line. Crossing of Cascade Creek will be performed either by
directional bore or open cut, whichever is most economically feasible. Regardless of the construction
method, this crossing will likely require the acquisition of an easement as well as permitting through
NCDOT, USACE, NCDENR and DEQ. In addition to the waterway crossing, there are wetlands on
either side of the proposed crossing. Wetland impacts will be temporary, however, they will require a
permit through USACE. The wetlands have been delineated and surveyed; the US Army Corps of
Engineers will confirm the delineation and proceed with the permit process.

An additional 4 tributary stream and drainage feature crossings will be involved with this waterline route
outside of the city limits. These crossings will be open cut and the waterline will be encased in concrete.
All stream crossings will be permitted through USACE, NCDENR and DEQ. There is one large stream
crossing of Cascade Creek, which may be accomplished by a directional bore; this is the only relatively
large waterway crossing in the project.

The waterline will cross three large diameter (i.e. 30”, 36” and 42”) Williams Gas Transco gas lines and
one 2” Class III fiber optic line. The waterline must maintain a minimum 24” vertical separation either
above or below the gas lines. The gas lines are believed to be 6’ deep; the waterline is designed for the
top of pipe to be 24” below the invert of the gas lines.

Two NCDOT roads will be crossed in the out of city portion of the project: Gant Road and Buffalo Road.
The majority of the waterline will be within the NCDOT owned right-of-way. Therefore, the entire route
will need to be reviewed by NCDOT, a Traffic Management Plan will need to be prepared, and the
contractor will need to obtain a Land Use Permit.

The crossings of the Norfolk Southern railroad will require an extensive traffic management plan and a
critical sequence of construction must be implemented to ensure the crossing is performed in a seamlessly
manner. Directly west of this crossing will also be where the waterline crosses NC 311/770. The
contractor may consider routing the waterline on the west side of NC 311, cross Gant Road, and bore
under the railroad. Regardless of the construction sequence and chosen route, a utility occupancy permit
will need to be acquired for crossing the railroad through AECOM. This process can be extensive and the
insurance fees associated with the permit can be very costly.

Engineering Report / Environmental Information Document | City of Eden | 13
5. ENVIRONMENTAL INFORMATION DOCUMENT
5.1. Topography and Floodplains

5.1.1. Existing Conditions
The overall topography of the project area is relatively flat with gently rolling hills. The
waterline will start in the City of Eden, route along the shoulder of designated roads in a north
eastern direction, and follow along NC US 311 to the state line, which becomes Berry Hill Road
in Virginia, and extends to the Berry Hill Industrial Park. The waterline will have a minimum of
3’ of cover over the crown of the pipe, and this depth will be maintained as closely as possible
along the entire route.

The waterline will encroach on the 100-year floodplain in three locations (refer to FEMA
Floodplain Maps in the Appendix). Two of which are floodways or stream crossings, the other is
a floodplain crossing.

5.1.2. Direct Impacts
Pre- and post- conditions of the project site will be equal and permanent impacts are not expected.
Any waterline that is installed in the 100-year floodplain or in a floodway will either be
constructed of material that will not float, or will be properly anchored in concrete to ensure that
the pipe will remain as installed in the event of high water or flood. Note that regardless of the
route taken to reach the Berry Hill Industrial Park, tributaries to the Dan River will be crossed.
Thus, there is no option to completely avoid floodways and floodplains.

5.1.3. Secondary and Cumulative Impacts
This is a utility project and the pre- and post- conditions of the existing topography and
floodplains will remain unchanged. However, due to the availability of water supply to the Berry
Hill Industrial Park, grading of the individual lots in the park will continue as more industries
choose to locate there. This will affect the topography of the Industrial Park in order for there to
be constructible lots for the industrial facilities. These lots have been designated and are a part of
the Berry Hill Industrial Park Master Plan. With any grading project within the park or along the
proposed waterline project, DEQ will be heavily involved in the permitting process in order to
ensure proper E&S to protect the floodplain areas, to ensure proper drainage of the water from
these sites, and to ensure that the stormwater quality from these sites is to standard and
maintained properly. This may include BMPs for nutrient removal as necessary.
5.2. Soils

5.2.1. Existing Conditions
The soils in the project area comprise of primarily loam material, which is an equal distribution of
silt, clay and sand, optimal for growing conditions and farmland. (Refer to NRCS Soil Maps in
the Appendix) These areas will contain suitable backfill material and additional suitable material
is not expected to be needed to haul onsite. The areas where there are stream crossings, the soil
often experiences flooding and may cause unsuitable backfill materials. All areas in the City and
near the railroad crossings are urban soils and not considered prime farmland.

Engineering Report / Environmental Information Document | City of Eden | 14
5.2.2. Direct Impacts
The soil will be directly impacted due to the excavation of the trench for the 20” waterline. Soil
will be locally stored with appropriate silt fence as needed during construction. Additional fill
material will be hauled to a designated stockpile site for storage.

Due to the large diameter of the pipe, additional fill material will be available from the excavation
activity. Soil composition in this region is generally suitable for utility backfill and can easily be
mitigated in this case with additional material that will be removed from the trench during
installation of the large diameter waterline. Soil is not expected to be contaminated.

Assuming a 4’ trench, 7’ depth on average, the entire waterline, 30,096 LF (5.7 miles), a total of
31,211 cubic yards of soil will be temporarily impacted.

5.2.3. Secondary and Cumulative Impacts
Due to the expected opportunity for new jobs, there may be future development of residential
neighborhoods and individual lots of lands for homes. There is a vast availability of land in both
Pittsylvania County and Rockingham County for future residential development. In order to
maintain the current water quality in the streams, proper erosion and sediment control plans will
need to be implemented by the county of jurisdiction for control of excess soils. This is
something that may need to be revised as the zoning for these areas could change as the Industrial
Park continues to develop and a need for housing increases. However, there is a high
unemployment rate, 4.5% in Pittsylvania and 5.4% in Rockingham, therefore, there are current
citizens that will fill the proposed jobs who already reside in these counties.
5.3. Prime and Unique Farmland

5.3.1. Existing Conditions
Prime farmland exists in the project area. The majority of this project will be within existing
DOT rights-of-way, however, some easements will be required where it is necessary to route the
waterline to avoid existing field conditions such as utilities or wetlands. In this case, small pieces
of land will be impacted that are classified as prime farmland. (Refer to Prime Farmland Maps in
the Appendix)

5.3.2. Direct Impacts
Localized prime farmland areas needed as easements as described above will be impacted in this
project. Otherwise, impacts are as described in the Soils section above.

5.3.3. Secondary and Cumulative Impacts
Due to the expected opportunity for new jobs, there may be future development of residential
neighborhoods and individual lots of lands for homes. There is a vast availability of land in both
Pittsylvania County and Rockingham County for future residential development. To account for
this development, the zoning for these areas could change as the Industrial Park continues to
develop and a need for housing increases. However, there is a high unemployment rate, 4.5% in
Pittsylvania and 5.4% in Rockingham, therefore, there are current citizens that will fill the
proposed jobs who already reside in these counties.

Engineering Report / Environmental Information Document | City of Eden | 15
5.4. Land Use

5.4.1. Existing Conditions
The waterline will route along NCDOT and VDOT roads for the majority of the project, however,
the following zoning classifications fall outside the right-of-way: NC – Residential Agricultural
(RA) and Heavy Industrial (HI); VA – Business General (B-2), Residential Estates (RE) and
Heavy Industrial (M-2).

5.4.2. Direct Impacts
Regardless of the zoning classification, waterlines are needed everywhere. With that said, it is
understood that this is a large diameter waterline and will serve a very large demand at Berry Hill
Industrial Park. The only zoning classification that may need a variance is the Residential
Agricultural in North Carolina. If this is the case, the City of Eden City Council will need to be
approached about allowing a variance for such construction in the designated zoning area, or a
request to change the zoning.

5.4.3. Secondary and Cumulative Impacts
Expected job creation will cause the surrounding rural areas in Rockingham and Pittsylvania
counties to experience moderate levels of secondary development which will have an effect on
the existing undeveloped properties. However, it is believed that much of the demand for jobs
related to the Berry Hill Industrial Park will be met by people that have recently lost their jobs in
other local industries that have shut down. This will reduce the need for extensive growth of new
residential development. Similarly, it is expected that many of the existing commercial
establishments that have shut down or cut back will expand operations to meet much of the
secondary growth need of commercial establishments.

There is a vast availability of land in both Pittsylvania County and Rockingham County for future
residential development. To account for this development, the zoning for these areas could
change as the Industrial Park continues to develop and a need for housing, commercial and light
industry increases.
5.5. Forest Resources

5.5.1. Existing Conditions
Forested areas are not present in the project area.

5.5.2. Direct Impacts
Localized tree clearing as necessary and permitted through US Fish and Wildlife Service for
installation of the waterline will be undertaken. Extensive tree clearing is not anticipated in the
scope of this project. The waterline was purposely routed along the NC and Virginia DOT right-
of-way to minimize such impacts.

5.5.3. Secondary and Cumulative Impacts
The northern long-eared bat (NLEB) is a species of concern in the project area. The guidelines
set forth in the Final 4(d) Rule will be implemented for the project. The US Fish and Wildlife
Service will have the final determination of allowable tree clearing for the project. Though this
species is not expected to be impacted as a part of this project, the future development of the
Engineering Report / Environmental Information Document | City of Eden | 16
industrial park and surrounding residential areas could include significant tree clearing. This
possible reduction in habitat could be a concern for the NLEB; however, with a project of this
size, the USFWS will be involved with all permitting to implement time of year restrictions and
conservation as necessary.
5.6. Wetlands and Streams

5.6.1. Existing Conditions
Wetlands exist along the project route as indicated in the US Fish and Wildlife Service National
Wetlands Inventory Maps (Refer to NWI Maps in Appendix). The wetland types present are in
general vicinity of the stream and creek crossings in the project. Freshwater Forested/Shrub
Wetland is the wetland type that exists along the project route.

Outside the City limits, Cascade creek will be crossed, which is the largest waterway to be
crossed in the project. On the Virginia side of the project, three tributary streams to the Dan
River will be crossed.

5.6.2. Direct Impacts
The stream crossings associated with this project will be no more than 10 ft. in length. The only
exception to this is the crossing of Cascade Creek which will be approximately 40 ft. in length.
The stream crossings will be performed by installing a temporary cofferdam and pump around in
order to dewater the crossing location. The waterline will be installed and the stream will be
restored back to original condition. The contractor will have the option to directionally bore the
crossing of Cascade Creek which will reduce impact to the existing water feature. These impacts
will have minimal or no effect on sub-basins of watersheds downstream.

Wetlands in the project area will be identified in the wetland delineation and impacts will be
permitted through the US Army Corps. Of Engineers. Wetlands will be avoided as much as
possible. Any unavoidable impacts will be temporary and the wetland will be restored to original
hydrologic condition via seeding or planting as required by the USACE.

5.6.3. Secondary and Cumulative Impacts
The drainage features in this area all flow to the Dan River, which is just south of the project area.
Therefore, future growth and associated development to the northwest in both Rockingham and
Pittsylvania counties will likely not impact the tributary drainage areas that flow to the Dan River.
5.7. Water Resources

5.7.1. Existing Conditions
The existing surface water features located in the project area are tributary streams to the Dan
River, and Cascade Creek, which also discharges to the Dan River. Developed groundwater
resources are not present in the project area and will not be impacted as a result of this project.
The City of Eden withdraws water from the Dan River which serves the entire service area.

5.7.2. Direct Impacts
The stream crossings associated with this project will be no more than 10 ft. in width. The only
exception to this is the crossing of Cascade Creek which will be approximately 40 ft. in length.
The stream crossings will be performed by installing a temporary cofferdam and pump around or
Engineering Report / Environmental Information Document | City of Eden | 17
by utilizing side stream diversion in order to dewater the crossing location. The waterline will be
installed and the stream will be restored back to original condition. The contractor will have the
option to directionally bore the crossing of Cascade Creek which will have no impact to the
existing water feature. These impacts will have no impact to sub basins of watersheds
downstream.

The site will be restored to original condition, and stormwater runoff will not be changed. If the
site grade is changed at all, re-establishment of positive drainage away from the waterline to
prevent ponding and erosion of the ground surface will occur.

5.7.3. Secondary and Cumulative Impacts
Impervious surface will not be established as a part of this project and secondary and cumulative
impacts are not expected from the waterline installation. However, the future industrial park will
have more paved roads, buildings, and impervious surfaces. With that said, the stormwater
characteristics could change. BMPs and other DEQ mandated nutrient removal measures may be
required in order to maintain acceptable stormwater characteristics that eventually discharge to
the Dan River. This review with DEQ will occur when the individual projects are in the design
and permitting process prior to construction.
5.8. Shellfish and Fish and Their Habitats (including aquatic T&E species)

5.8.1. Existing Conditions
The following fish species are present in the project area: North Carolina – Roanoke Logperch
and James Spinymussel; Virginia – Roanoke Logperch. The 8-step project evaluation and review
process through the US Fish and Wildlife Service was completed for the project both in North
Carolina and Virginia (Refer to USFWS Review Packages in the Appendix).

5.8.2. Direct Impacts
Streams will be temporarily impacted as discussed in Section 5.6. USFWS will review the
project stream impacts during the permitting process, and a time of year restriction for
construction in the habitable streams is expected to be implemented during the spawning season
of these species. Again, the impacts will be temporary in order to install the waterline 3’ below
the stream bed.

5.8.3. Secondary and Cumulative Impacts
The temporary impacts have the potential to deposit sediment into the existing stream beds.
Knowing this is a concern for the habitat and water quality of the streams, an Erosion and
Sediment Control Plan will be strictly implemented for the entire project, but specifically the
stream crossings. Additionally, since these species are endangered, there will always be a risk of
temporarily disturbing their environment. In order to mitigate this concern to the highest degree,
time of year restrictions will be implemented to support the species in maintaining and rebuilding
their populations. Future development of the Berry Hill Industrial Park could increase risk of
sedimentation into tributary streams to the Dan River that exist in the proposed industrial park
footprint. Appropriate E&S measures will need to be implemented in order to protect these
endangered species if there are indeed habitable streams in the future build out area.

Engineering Report / Environmental Information Document | City of Eden | 18
5.9. Wildlife and Natural Vegetation (including terrestrial T&E species)

5.9.1. Existing Conditions
The following wildlife and vegetative species are present in the project area: North Carolina –
Smooth Coneflower; Virginia – Northern Long-Eared Bat. The 8-step project evaluation and
review process through the US Fish and Wildlife Service was completed for the project both in
North Carolina and Virginia (Refer to USFWS Review Packages in the Appendix).

5.9.2. Direct Impacts
Though the Smooth Coneflower is present in the species search, per the North Carolina Natural
Heritage Data Explorer in Step 3, this species has historical presence – species has not been
identified recently. Therefore, this project is not likely to adversely affect this species.

On the Virginia side of the project, there will be localized tree clearing as necessary to install the
waterline along the VDOT right-of-way. There will not be extensive forested areas that will be
cleared, where the concern for impacting this species is more of a concern. Project is not located
in NLEB Winter Habitat and Roost Trees (photos attached). This project will rely on the
Programmatic Biological Opinion on Final 4(d) rule for the NLEB and Activities Excepted.

Project review packages and self-certification letters were submitted to both the Raleigh Field
Office as well as the Virginia Field Office for review. A confirmation of receipt was sent back
and stated that there would not be a follow-up on the project unless there was a concern with our
determination, and that we would hear back within 30 days. These reviews were submitted on
April 20th, 2017 and there has been no further concern from USFWS.

5.9.3. Secondary and Cumulative Impacts
By installing the waterline to serve the industrial park, water supply will be available to future
industries that will locate at Berry Hill. There will be tree clearing associated with grading the
individual lots for future development. However, since this is a 3,500 acre park, each individual
lot will be considered a separate land development project that will be permitted independently.
USFWS will be involved during the permitting process when this further tree clearing will occur,
and the Service will have to opportunity to implement time of year restrictions as it is necessary
to protect the Northern Long-Eared Bat.
5.10. Public Lands and Scenic, Recreational, and State Natural Areas

5.10.1. Existing Conditions
There are no State Parks in Pittsylvania County, VA, nor in the City of Eden and north to the
State Line. (Refer to Park Maps included in the Appendix) The closest formally designated state
recreational and reserved park in Virginia is Smith Mountain Lake, approximately 65 miles from
the northernmost section of construction; and the closest in North Carolina is the Mayo River
State Park, which is approximately 16 miles from the start of construction along S. Edgewood Rd.
Freedom Park in the City of Eden is located on N. Edgewood Rd., just north of the start of
construction. This is a local park which includes a quarter mile walking trail, picnic areas, ball
fields, a playground and general recreational space. This is located approximately ¾ of a mile
from the start of construction, and is on the other side of one of the main roads through the City,
E. Stadium Dr.
Engineering Report / Environmental Information Document | City of Eden | 19
5.10.2. Direct Impacts
The above identified formally classified parks and local recreation areas will not be directly
impacted by this project. The construction will occur far away from these designated areas and
there will be no permanent impacts. Since this is a utility installation, the pre- and post-
conditions will be unchanged.

5.10.3. Secondary and Cumulative Impacts
The extension of the 20” waterline from the City of Eden to the Berry Hill Industrial Park may
have indirect impacts on Mayo River State Park, but not on Smith Mountain Lake. Though Mayo
River State Park is outside of the five mile radius that is required to be investigated for this report,
there is a possibility that future employees of the industrial park move to this area since it is just
26 miles from the park. With that said, there is a potential for future development around the
State Park, which in turn would result in more use of the amenities at Mayo River. State Parks
have strict guidelines for development and any future construction would be fully reviewed,
permitted and vetted before this could occur.

Freedom Park in the City of Eden may experience minimal noise distractions during construction
since it will occur ¾ of a mile from this recreational area. Additionally, due to the installation of
this waterline and expected employment increase, especially in the City of Eden, population
growth is expected around Freedom Park. However, as stated earlier in the report, there is a high
unemployment rate, housing that is available for growth due to lost industries and decreased
population over the past 20 years, and 15 MGD of available capacity to distribute at the water
treatment plant. Increased population would result in more families in the area, who will utilize
the trails, ball fields and playground at Freedom Park. The City of Eden constructed three top of
the line ball fields in 2005 in order to promote health and exercise in the community. Increased
use of these facilities will benefit the community by bringing families together, providing
opportunity for children and adults to participate in sports, and develop a sense of unity among
the City.
5.11. Areas of Archaeological or Historical Value

5.11.1. Existing Conditions
The SHPO was contacted in both Virginia and North Carolina for this project (Refer to SHPO
Package in the Appendix). The North Carolina State Preservation Office website was searched
for existing historic properties and structures and none were identified in the project area. This
search is included in the Appendix. DHR has been involved with reviewing this project in
Virginia since the commencement of the project planning. The Berry Hill Industrial Park is
located on a former plantation and there are structures that were previously occupied by slaves.
These structures were identified and will remain untouched through the development of the park.
A concurrence letter from the Virginia SHPO is included in the Appendix as well stating that the
project is not expected to impact any historical sites.

5.11.2. Direct Impacts
No identified historic structures in VA will be demolished or disturbed as a result of this
construction project. Photos of identified structures in the project vicinity are included in the
appendix. These structures are abandoned and not utilized for any sort of historical observation
by the public. Therefore, there will not be any noise disturbance to these historic properties.
Engineering Report / Environmental Information Document | City of Eden | 20
Though this project will not directly impact any historic structures in North Carolina, there are
two homes that are up the street from the proposed waterline in the City of Eden. One is along S.
New St., and the other is along Merriman St. These are occupied homes among other homes;
therefore, these homes will not be disturbed by noise any more than the other adjacent homes.
This noise disturbance will be temporary during construction and will only be during daylight
hours.

5.11.3. Secondary and Cumulative Impacts
Past trends for this type of project in the area of interest has shown to not have a negative impact
on historical properties. The jurisdictional SHPO protects such structures from being impacted
by utility projects.

On the Virginia side of this project, the impacts will be associated to the grading of the land for
the Berry Hill Industrial Park, not due to the waterline installation. DHR and the Virginia SHPO,
Roger Kirchen, have been heavily involved in reviewing this project since its inception. Thought
the plantation property will be redeveloped as industrial property, the structures identified to
remain for historical purposes are preserved and will not be impacted through the future
development of this project.

Additionally, EDA required that the Catawba Indian Tribe be contacted for potential impacts. A
letter was received from the tribe that they have no concerns with the project. This is included in
the SHPO package in the Appendix.

As stated previously in this report, this region has high unemployment and excessive housing
available for the future growth expected. Most of the expected job growth will be filled by
current residents in Henry, Pittsylvania and Rockingham counties.
5.12. Air Quality

5.12.1. Existing Conditions
There are no industries in the current area that will be the Berry Hill Industrial Park, resulting in
no existing air quality concerns. The majority of the proposed waterline will be along NC and
VDOT right-of-ways, and vehicle exhaust is the only existing air quality concern. There are no
existing complaints in the project area.

5.12.2. Direct Impacts
Temporary air quality impacts may occur due to the installation of the waterline and grading of
the land at Berry Hill Industrial Park. The contractor will be required to minimize fugitive dust
by implementing mitigation measures including but not limited to utilizing construction entrances
and regular wash-down of construction vehicles.

5.12.3. Secondary and Cumulative Impacts
The installation of the waterline for this project will not have future air quality concerns.
However, the sewer service that will also be installed to serve the park may have local air quality
concerns. To mitigate this concern, proper ventilation will be installed along the gravity sewer
sections, air release valves will be installed at the proper distances to regularly release air from
the forcemain sections, regular maintenance of all sewer infrastructure will be performed, and the
Engineering Report / Environmental Information Document | City of Eden | 21
Trotter’s Creek pump station in the park will include a dialer alarm system that will automatically
alert PCSA of an emergency before any sort of overflow occurs.

The future build out of the Berry Hill Industrial Park may include industries that have emissions
due to their manufacturing processes. However, each industry is required to obtain and Air
Quality Permit through DEQ, which are issued to industries and facilities that emit regulated
pollutants to ensure that these emissions do not harm public health or cause significant
deterioration in areas that presently have clean air. The permit also ensures that facilities make
adequate provisions to control their emissions.
5.13. Noise Levels

5.13.1. Existing Conditions
The grading of Phase I of the Berry Hill Industrial Park is currently under construction. Noise
due to the construction equipment is kept to a controlled level and only during daylight hours.
There is no existing noise concerns in the vicinity of the proposed waterline.

The City of Eden ordinance, Chapter 6 - Health, Sanitation and Nuisances, states the following,
“It shall be unlawful for any person to create or assist in creating, permit, continue or
permit the continuance of any unreasonably loud, disturbing and unnecessary noise in the
city. Noise of such character, intensity and duration as to be detrimental to the life or
health of any individual is prohibited. ('89 Code, § 6-96) Penalty, see § 6-100 et seq.”

Rockingham County has its own Noise Ordinance, however, it states the same language as the
City of Eden’s
(http://www.co.rockingham.nc.us/files/documents/document1263124628022117.pdf).

The Pittsylvania County ordinance, Chapter 41 - Noise Control states the following, “Sound
generated by the construction, repair, maintenance, remodeling, demolition, alteration,
grading or other improvement of real property, streets, sewers or utility lines, provided
such sound is limited between the hours of 7:00 o'clock a.m. and 10:00 o'clock p.m.”

5.13.2. Direct Impacts
Noise levels are expected to increase during the construction of the waterline. However,
construction will only occur within daylight hours as acceptable by the jurisdiction with authority
over the land of construction. Noise will only be heard locally, which will have the greatest
impact in the City of Eden when the waterline is installed along the shoulder of the road in the
downtown neighborhoods. When the waterline is installed along NC US 311 and Berry Hill
Road, there aren’t any residential areas within the general vicinity and noise is not expected to
have a significant effect.

5.13.3. Secondary and Cumulative Impacts
This region has suffered from the exodus of industries, including but not limited to textiles,
furniture and tobacco. This region was economically booming and industry was flourishing.
When these industries left, the noise that they were acclimated to experiencing daily from these
industries was diminished, resulting in scarcity of industry, unemployment, economic recession,
and poverty. The noise increase that is expected from the industries to locate at the Berry Hill
Engineering Report / Environmental Information Document | City of Eden | 22
Industrial Park will be isolated from residential areas, and it is also a level of noise that the
general public has been acclimated to in the past and in support of. The noise, which is a result of
manufacturing and people operating these facilities, is expected to have a favorable reaction from
the surrounding communities. This “noise” is a sign of security, a positive future for their
families, and economic stability for the region.
5.14. Introduction of Toxic Substances

5.14.1. Direct Impacts
The only opportunity for introduction of toxic substances will be as a result of refueling
construction vehicles or oil spills from onsite containers. In order to mitigate the potential of
polluting the stream crossings that are in the project area, fueling of all vehicles will occur
downstream of the stream where possible, an acceptable buffer between the fueling location and
the streams will be maintained, and proper E&S measures will be installed around such activities.
5.15. Environmental Justice

5.15.1. Existing Conditions
Using the EPA Environmental Justice viewer, a buffer of 3 miles beyond the project was
evaluated for environmental justice issues. The report generated from this search an evaluation of
the minority and low income populations in and around the project (Refer to the EPA
Environmental Justice Report in the Appendix). The minority population is 31%, which is the 52
percentile for both the State and EPA region. The low-income population is 52%, which is the 74
percentile for the State and 72 percentile for the EPA region. The low-income percentage is
largely attributed to the decline in the economy and significant job loss due to the exile of
industries from the region in the last 20 years.

5.15.2. Potential Impacts from Project
The Berry Hill Industrial Park will not come to fruition without the installation of this waterline.
No water service results in no industries locating to the region, diminishing the opportunity for
significant job opportunities, and no catalyst for economic boost.

There is a large population in this region that is unemployed or working a low-income job. This
workforce is ready and available for the opportunities that will be provided by the location of
industries to Berry Hill. There are no Environmental Justice issues involved with this project
because it will all have a positive impact on the low-income population, which is at a high
percentile in the region, state and country. Additionally, the reinforced waterline through the City
of Eden will provide increased reliability, redundancy, and improved pressure for existing
residents that will be impacted by the installation of the waterline along their neighborhood roads.
5.16. Mitigation Measures

Mitigation measures have been discussed in the individual sections above in detail; refer to the
specific sections for more information. The following is a summary of mitigation measures that
will be implemented to account for the environmental concerns addressed in this Environmental
Information Document:

Engineering Report / Environmental Information Document | City of Eden | 23
Table 5.16 – Mitigation Measures
Resource Quantified Impact Description
Topography and
Floodplains

N/A - Pre- and Post-
topography will
remain the same.
Construction will
occur out of the
floodplain unless
unavoidable.
1. Pre- and post- conditions of the project site will be
equal and permanent impacts are not expected.
2. Any waterline that is installed in the 100-year
floodplain or in a floodway will either be constructed
of material that will not float, or will be properly
anchored in concrete to ensure that the pipe will
remain as installed in the event of high water or
flood.
Soils and
Farmland
Assuming a 4’
trench, 7’ depth on
average, the entire
waterline, 53,500
LF (10.1 miles), a
total of 55,481
cubic yards of soil
will be temporarily
impacted.
1. Soil will be locally stored with appropriate silt
fence and required E&S measures as required during
construction.
2. Additional fill material will be hauled to a
designated stockpile site for storage.
3. Any designated farmland that is outside of the
NCDOT and VDOT rights-of-way will be obtained
via easement acquisition.
Land Use 10.1 miles of
waterline, 4’ trench =
213,312 SF, or 4.9
acres
1. The only zoning classification that may need a
variance along the proposed project is the Residential
Agricultural in North Carolina.
2. The City of Eden City Council will need to be
approached about allowing a variance for such
construction in the designated zoning area, or a
request to change the zoning classification.
Forest Resources Localized as needed,
not a significant and
currently quantifiable
area
1. Localized tree clearing as necessary and permitted
through US Fish and Wildlife Service for installation
of the waterline will be removed.
2. Tree protection will be installed as necessary.
3. Extensive tree clearing is not anticipated in the
scope of this project. The waterline was purposely
routed along the NC and Virginia DOT right-of-way
to minimize such impacts.
Wetlands and
Streams
Localized where no
other option is
available for stream
crossings and
1. The stream crossings will be performed by installing a
temporary cofferdam and pump around or temporary
sidestream diversion to dewater the crossing location.
2. The waterline will be installed and the stream will be
Engineering Report / Environmental Information Document | City of Eden | 24
avoiding wetlands.
The area of impact
will be identified
during design.
restored back to original condition.
3. The contractor may directionally bore the crossing of
Cascade Creek which will have minimal impact to the
existing water feature.
4. Wetlands in the project area will be identified in the
wetland delineation and impacts will be permitted through
the US Army Corps. Of Engineers.
Wetlands will be avoided as much as possible. Any
unavoidable impacts will be temporary and the wetland
will be restored to original hydrologic condition via
seeding or planting as required by the USACE.
Water Resources 11 small tributary
stream/ drainage
feature crossings, one
large stream: Cascade
Creek
1. The contractor will have the option to directionally
bore the crossing of Cascade Creek which will have no
impact to the existing water feature. These impacts will
have negligible effect to sub basins of watersheds
downstream.
2. The site will be restored to original condition, and
stormwater runoff will not be changed.
3. Re-establishment of positive drainage away from the
waterline to prevent ponding and erosion of the ground
surface will occur.

Endangered
Species (Plants,
Wildlife and Fish)
N/A 1. USFWS will review the project stream impacts during
the permitting process, and a time of year restriction for
construction in the habitable streams is expected to be
implemented during the spawning season of these species.
2. Impacts will be temporary in order to install the
waterline 3’ below the stream bed.
3. Localized tree clearing will occur as necessary to
install the waterline along the VDOT right-of-way. There
will not be extensive forested areas that will be cleared,
where the concern for impacting this species is more of a
concern. Project is not located in NLEB Winter Habitat
and Roost Trees.
Public Lands and
Parks
N/A 1. The identified formally classified parks and local
recreation areas will not be directly impacted by this
project.
2. The construction will occur far away from these
designated areas and there will be no permanent impacts.
Archaeological
and Historic
Resources
N/A 1. No identified historic structures in Virginia will be
demolished or disturbed as a result of this construction
project.
2. Though this project will not directly impact any
Engineering Report / Environmental Information Document | City of Eden | 25
historic structures in North Carolina, there are two homes
that are up the street from the proposed waterline in the
City of Eden. These are occupied homes among other
homes; therefore, these homes will not be disturbed by
noise any more than the other adjacent homes.
Air Quality N/A 1. The contractor will be required to minimize fugitive
dust by implementing mitigation measures including but
not limited to utilizing construction entrances and regular
wash-down of construction vehicles.
Introduction of
Toxic Substances
N/A 1. To mitigate the potential of polluting the stream
crossings that are in the project area, fueling of all
vehicles will occur downstream of the stream where
possible, an acceptable buffer between the fueling
location and the streams will be maintained, and proper
E&S measures will be installed around such activities.

5.17. References

A number of references were used to identify environmental concerns in the project area. Below is a
table identifying the resources used for information needs in this report:

Table 5.17 - References
Section Description Resource
Topography and
Floodplains
FEMA Floodplain Firmette
Maps
http://msc.fema.gov/portal/search
Soils and Farmland NRCS Web Soil Survey
Search
https://websoilsurvey.sc.egov.usda.gov/App/
HomePage.htm
Land Use Zoning Maps - NC;
Rockingham County GIS
http://www.co.rockingham.nc.us/pview.aspx
?id=14986
Land Use Zoning Maps - VA;
Pittsylvania County GIS
https://www.pittsylvaniacountyva.gov/247/R
eal-Estate-GIS
Wetlands and Streams US Fish & Wildlife Service
National Wetland Inventory
Mapper
https://www.fws.gov/wetlands/data/mapper.
html
Endangered Species US Fish & Wildlife Service
Information for Planning and
Construction (IPAC) Report
https://ecos.fws.gov/ipac/
Engineering Report / Environmental Information Document | City of Eden | 26
Endangered Species Raleigh USFWS Field Office
Review Process
https://www.fws.gov/raleigh/PR_1.html
Endangered Species Virginia USFWS Field Office
Review Process
https://www.fws.gov/northeast/virginiafield/
endangered/projectreviews.html
Public Lands and Parks NC State Parks https://www.ncparks.gov/find-a-park
Public Lands and Parks VA State Parks http://www.dcr.virginia.gov/state-
parks/find-a-park
Archaeological or
Historic Resources
NC State Historic
Preservation Office GIS
System
http://gis.ncdcr.gov/hpoweb/
Archaeological or
Historic Resources
VA Department of Historic
Resources
http://dhr.virginia.gov/review/orcFedPrjRev.
html
Air Quality VA DEQ Air Permitting
Information
http://www.deq.virginia.gov/Programs/Air/P
ermittingCompliance/Permitting.aspx
Noise Level City of Eden Ordinance http://www.edennc.us/270/City-Code-of-
Ordinances
Noise Level Rockingham County
Ordinance
http://www.co.rockingham.nc.us/pview.aspx
?id=15079&catid=407
Noise Level Pittsylvania County
Ordinance
https://www.pittsylvaniacountyva.gov/154/C
odes-Ordinances
Environmental Justice EPA EJ Viewer for Minority
and Low Income Evaluation
https://www.epa.gov/ejscreen

6. FINANCIAL ANALYSIS

Dewberry was hired by the City of Eden to generate an updated cost estimate and rate analysis in June
2016 for the water rates that will be charged to the expected future industry in Berry Hill Industrial Park.
The cost estimate is included in the Appendix. Understanding that this large of a project would have a
significant impact on the user rates for the City of Eden, especially since the large diameter waterline is
warranted solely by the demand in the park, the City wishes to pay all debt payment related to this loan by
rates charged to the proposed industrial park users. This proposed rate will be shared by other users in the
park when they locate in the future.

The rate per 1000 gallons usage includes production cost, O&M, and distribution cost. The City of Eden
is currently establishing an agreement with Pittsylvania County Service Authority to guarantee that PCSA
will purchase water from the City once a user large enough to ensure adequate water age in both the
PCSA and Eden systems. Given this, the actual rate will not be established until the total number of
Engineering Report / Environmental Information Document | City of Eden | 27
gallons used is established by the future user(s).

By putting the burden on the industrial users, the City of Eden residents, who are in the 72 percentile for
low income as discussed previously in the report, will not experience the distress of significantly
increased water rates.

The City of Eden’s FY 17-18 budget is included in the Appendix for reference.

7. PUBLIC PARTICIPATION

The DWSRF Division of Water Infrastructure Environmental Assessment Coordinator will review the
ER/EID and determine the level of public participation that is required for this project. It is understood
that the City of Eden may be required to advertise and hold a public meeting. The ER/EID will be made
available to the public to review at a central location and/or on the City website at least two weeks prior to
the scheduled public meeting. The public meeting will be reported and sent to the DWI as directed on
page 30 of Section 2.0 of the guidance document.

8. APPENDIX

Engineering Report / Environmental Information Document | City of Eden | 28
8.1 FEMA Floodplain Map

SHEET NO.TITLE
PROJECT
DATE SCALE
PROJ. NO.Dewberry Engineers Inc.
551 Piney Forest Road
Danville, VA 24540
Phone: [phone]
Fax: [phone]
5-5-2017
50083802
1
City of Eden EID
FEMA Floodplain Map
NC DWSRF Projects:
H-SRP-D-17-0015 and WIF-1927PROJECTSTARTAS NOTED
SHEET NO.TITLE
PROJECT
DATE SCALE
PROJ. NO.Dewberry Engineers Inc.
551 Piney Forest Road
Danville, VA 24540
Phone: [phone]
Fax: [phone]
5-5-2017
50083802
2
City of Eden EID
FEMA Floodplain Map
NC DWSRF Projects:
H-SRP-D-17-0015 and WIF-1927
AS NOTED
SHEET NO.TITLE
PROJECT
DATE SCALE
PROJ. NO.Dewberry Engineers Inc.
551 Piney Forest Road
Danville, VA 24540
Phone: [phone]
Fax: [phone]
5-5-2017
50083802
3
City of Eden EID
FEMA Floodplain Map
NC DWSRF Projects:
H-SRP-D-17-0015 and WIF-1927 PROJECTENDVIRGINIA/NORTHCAROLINA STATE LINEAS NOTED
Engineering Report / Environmental Information Document | City of Eden | 29
8.2 NRCS Soil Maps

Soil Map—Pittsylvania County and the City of Danville, Virginia, and Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 1 of 340417004042400404310040438004044500404520040459004041700404240040431004043800404450040452004045900616900617600618300619000619700620400621100621800622500623200
616900 617600 618300 619000 619700 620400 621100 621800 622500 623200
36° 33' 6'' N 79° 41' 48'' W36° 33' 6'' N79° 37' 13'' W36° 30' 42'' N
79° 41' 48'' W36° 30' 42'' N
79° 37' 13'' WN
Map projection: Web Mercator Corner coordinates: WGS84 Edge tics: UTM Zone 17N WGS84
0 1500 3000 6000 9000
Feet
0 450 900 1800 2700
Meters
Map Scale: 1:31,200 if printed on A landscape (11" x 8.5") sheet.
MAP LEGEND MAP INFORMATION
Area of Interest (AOI)
Area of Interest (AOI)
Soils
Soil Map Unit Polygons
Soil Map Unit Lines
Soil Map Unit Points
Special Point Features
Blowout
Borrow Pit
Clay Spot
Closed Depression
Gravel Pit
Gravelly Spot
Landfill
Lava Flow
Marsh or swamp
Mine or Quarry
Miscellaneous Water
Perennial Water
Rock Outcrop
Saline Spot
Sandy Spot
Severely Eroded Spot
Sinkhole
Slide or Slip
Sodic Spot
Spoil Area
Stony Spot
Very Stony Spot
Wet Spot
Other
Special Line Features
Water Features
Streams and Canals
Transportation
Rails
Interstate Highways
US Routes
Major Roads
Local Roads
Background
Aerial Photography
The soil surveys that comprise your AOI were mapped at
1:24,000.
Please rely on the bar scale on each map sheet for map
measurements.
Source of Map: Natural Resources Conservation Service
Web Soil Survey URL:
Coordinate System: Web Mercator (EPSG:3857)
Maps from the Web Soil Survey are based on the Web Mercator
projection, which preserves direction and shape but distorts
distance and area. A projection that preserves area, such as the
Albers equal-area conic projection, should be used if more
accurate calculations of distance or area are required.
This product is generated from the USDA-NRCS certified data as
of the version date(s) listed below.
Soil Survey Area: Pittsylvania County and the City of Danville,
Virginia
Survey Area Data: Version 10, Oct 4, 2017
Soil Survey Area: Rockingham County, North Carolina
Survey Area Data: Version 18, Oct 3, 2017
Your area of interest (AOI) includes more than one soil survey
area. These survey areas may have been mapped at different
scales, with a different land use in mind, at different times, or at
different levels of detail. This may result in map unit symbols, soil
properties, and interpretations that do not completely agree
across soil survey area boundaries.
Soil map units are labeled (as space allows) for map scales
1:50,000 or larger.
Date(s) aerial images were photographed: Mar 27, 2015—Oct
16, 2017
The orthophoto or other base map on which the soil lines were
compiled and digitized probably differs from the background
imagery displayed on these maps. As a result, some minor
shifting of map unit boundaries may be evident.
Soil Map—Pittsylvania County and the City of Danville, Virginia, and Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 2 of 3
Map Unit Legend
Map Unit Symbol Map Unit Name Acres in AOI Percent of AOI
23B Mayodan fine sandy loam, 2 to
7 percent slopes
0.7 0.3%
23C Mayodan fine sandy loam, 7 to
15 percent slopes
0.4 0.2%
Subtotals for Soil Survey Area 1.1 0.5%
Totals for Area of Interest 230.1 100.0%
Map Unit Symbol Map Unit Name Acres in AOI Percent of AOI
BaB Banister loam, 0 to 4 percent
slopes, rarely flooded
35.4 15.4%
CmB Clover sandy loam, 2 to 8
percent slopes
18.0 7.8%
CmD Clover sandy loam, 8 to 15
percent slopes
15.6 6.8%
CnE2 Clover sandy clay loam, 15 to
25 percent slopes,
moderately eroded
1.3 0.6%
CsA Codorus loam, 0 to 2 percent
slopes, frequently flooded
2.7 1.2%
DaA Dan River loam, 0 to 2 percent
slopes, frequently flooded
10.0 4.3%
LeB Leaksville silt loam, 0 to 4
percent slopes
32.3 14.0%
Pt Pits, clay 15.8 6.9%
SpB Spray loam, 0 to 5 percent
slopes
53.0 23.0%
SuB Spray-Urban land complex, 0
to 5 percent slopes
8.8 3.8%
SvD Stoneville loam, 8 to 15
percent slopes
8.3 3.6%
SvE Stoneville loam, 15 to 25
percent slopes
4.0 1.7%
Ur Urban land 0.4 0.2%
W Water 2.3 1.0%
YaB Yadkin loam, 2 to 8 percent
slopes
21.1 9.2%
Subtotals for Soil Survey Area 229.0 99.5%
Totals for Area of Interest 230.1 100.0%
Soil Map—Pittsylvania County and the City of Danville, Virginia, and Rockingham County,
North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 3 of 3
Engineering Report / Environmental Information Document | City of Eden | 30
8.3 Prime Farmland Maps

Farmland Classification—Pittsylvania County and the City of Danville, Virginia, and Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 1 of 540417004042400404310040438004044500404520040459004041700404240040431004043800404450040452004045900616900617600618300619000619700620400621100621800622500623200
616900 617600 618300 619000 619700 620400 621100 621800 622500 623200
36° 33' 6'' N 79° 41' 48'' W36° 33' 6'' N79° 37' 13'' W36° 30' 42'' N
79° 41' 48'' W36° 30' 42'' N
79° 37' 13'' WN
Map projection: Web Mercator Corner coordinates: WGS84 Edge tics: UTM Zone 17N WGS84
0 1500 3000 6000 9000
Feet
0 450 900 1800 2700
Meters
Map Scale: 1:31,200 if printed on A landscape (11" x 8.5") sheet.
MAP LEGEND
Area of Interest (AOI)
Area of Interest (AOI)
Soils
Soil Rating Polygons
Not prime farmland
All areas are prime
farmland
Prime farmland if drained
Prime farmland if
protected from flooding or
not frequently flooded
during the growing
season
Prime farmland if irrigated
Prime farmland if drained
and either protected from
flooding or not frequently
flooded during the
growing season
Prime farmland if irrigated
and drained
Prime farmland if irrigated
and either protected from
flooding or not frequently
flooded during the
growing season
Prime farmland if
subsoiled, completely
removing the root
inhibiting soil layer
Prime farmland if irrigated
and the product of I (soil
erodibility) x C (climate
factor) does not exceed
60
Prime farmland if irrigated
and reclaimed of excess
salts and sodium
Farmland of statewide
importance
Farmland of local
importance
Farmland of unique
importance
Not rated or not available
Soil Rating Lines
Not prime farmland
All areas are prime
farmland
Prime farmland if drained
Prime farmland if
protected from flooding or
not frequently flooded
during the growing
season
Prime farmland if irrigated
Prime farmland if drained
and either protected from
flooding or not frequently
flooded during the
growing season
Prime farmland if irrigated
and drained
Prime farmland if irrigated
and either protected from
flooding or not frequently
flooded during the
growing season
Prime farmland if
subsoiled, completely
removing the root
inhibiting soil layer
Prime farmland if irrigated
and the product of I (soil
erodibility) x C (climate
factor) does not exceed
60
Prime farmland if irrigated
and reclaimed of excess
salts and sodium
Farmland of statewide
importance
Farmland of local
importance
Farmland of unique
importance
Not rated or not available
Soil Rating Points
Not prime farmland
All areas are prime
farmland
Prime farmland if drained
Prime farmland if
protected from flooding or
not frequently flooded
during the growing
season
Prime farmland if irrigated
Prime farmland if drained
and either protected from
flooding or not frequently
flooded during the
growing season
Prime farmland if
irrigated and drained
Prime farmland if
irrigated and either
protected from flooding
or not frequently flooded
during the growing
season
Prime farmland if
subsoiled, completely
removing the root
inhibiting soil layer
Prime farmland if
irrigated and the product
of I (soil erodibility) x C
(climate factor) does not
exceed 60
Prime farmland if
irrigated and reclaimed
of excess salts and
sodium
Farmland of statewide
importance
Farmland of local
importance
Farmland of unique
importance
Not rated or not
available
Water Features
Farmland Classification—Pittsylvania County and the City of Danville, Virginia, and Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 2 of 5
MAP INFORMATION
Streams and Canals
Transportation
Rails
Interstate Highways
US Routes
Major Roads
Local Roads
Background
Aerial Photography
The soil surveys that comprise your AOI were mapped at
1:24,000.
Please rely on the bar scale on each map sheet for map
measurements.
Source of Map: Natural Resources Conservation Service
Web Soil Survey URL:
Coordinate System: Web Mercator (EPSG:3857)
Maps from the Web Soil Survey are based on the Web Mercator
projection, which preserves direction and shape but distorts
distance and area. A projection that preserves area, such as the
Albers equal-area conic projection, should be used if more
accurate calculations of distance or area are required.
This product is generated from the USDA-NRCS certified data as
of the version date(s) listed below.
Soil Survey Area: Pittsylvania County and the City of Danville,
Virginia
Survey Area Data: Version 10, Oct 4, 2017
Soil Survey Area: Rockingham County, North Carolina
Survey Area Data: Version 18, Oct 3, 2017
Your area of interest (AOI) includes more than one soil survey
area. These survey areas may have been mapped at different
scales, with a different land use in mind, at different times, or at
different levels of detail. This may result in map unit symbols, soil
properties, and interpretations that do not completely agree
across soil survey area boundaries.
Soil map units are labeled (as space allows) for map scales
1:50,000 or larger.
Date(s) aerial images were photographed: Mar 27, 2015—Oct
16, 2017
The orthophoto or other base map on which the soil lines were
compiled and digitized probably differs from the background
imagery displayed on these maps. As a result, some minor
shifting of map unit boundaries may be evident.
Farmland Classification—Pittsylvania County and the City of Danville, Virginia, and Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 3 of 5
Farmland Classification
Map unit symbol Map unit name Rating Acres in AOI Percent of AOI
23B Mayodan fine sandy
loam, 2 to 7 percent
slopes
All areas are prime
farmland
0.7 0.3%
23C Mayodan fine sandy
loam, 7 to 15 percent
slopes
Farmland of statewide
importance
0.4 0.2%
Subtotals for Soil Survey Area 1.1 0.5%
Totals for Area of Interest 230.1 100.0%
Map unit symbol Map unit name Rating Acres in AOI Percent of AOI
BaB Banister loam, 0 to 4
percent slopes, rarely
flooded
All areas are prime
farmland
35.4 15.4%
CmB Clover sandy loam, 2 to
8 percent slopes
All areas are prime
farmland
18.0 7.8%
CmD Clover sandy loam, 8 to
15 percent slopes
Farmland of statewide
importance
15.6 6.8%
CnE2 Clover sandy clay loam,
15 to 25 percent
slopes, moderately
eroded
Not prime farmland 1.3 0.6%
CsA Codorus loam, 0 to 2
percent slopes,
frequently flooded
Prime farmland if
drained and either
protected from
flooding or not
frequently flooded
during the growing
season
2.7 1.2%
DaA Dan River loam, 0 to 2
percent slopes,
frequently flooded
Prime farmland if
protected from
flooding or not
frequently flooded
during the growing
season
10.0 4.3%
LeB Leaksville silt loam, 0 to
4 percent slopes
Not prime farmland 32.3 14.0%
Pt Pits, clay Not prime farmland 15.8 6.9%
SpB Spray loam, 0 to 5
percent slopes
Not prime farmland 53.0 23.0%
SuB Spray-Urban land
complex, 0 to 5
percent slopes
Not prime farmland 8.8 3.8%
SvD Stoneville loam, 8 to 15
percent slopes
Farmland of statewide
importance
8.3 3.6%
Farmland Classification—Pittsylvania County and the City of Danville, Virginia, and
Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 4 of 5
Map unit symbol Map unit name Rating Acres in AOI Percent of AOI
SvE Stoneville loam, 15 to 25
percent slopes
Not prime farmland 4.0 1.7%
Ur Urban land Not prime farmland 0.4 0.2%
W Water Not prime farmland 2.3 1.0%
YaB Yadkin loam, 2 to 8
percent slopes
All areas are prime
farmland
21.1 9.2%
Subtotals for Soil Survey Area 229.0 99.5%
Totals for Area of Interest 230.1 100.0%
Description
Farmland classification identifies map units as prime farmland, farmland of
statewide importance, farmland of local importance, or unique farmland. It
identifies the location and extent of the soils that are best suited to food, feed,
fiber, forage, and oilseed crops. NRCS policy and procedures on prime and
unique farmlands are published in the "Federal Register," Vol. 43, No. 21,
January 31, 1978.
Rating Options
Aggregation Method: No Aggregation Necessary
Tie-break Rule: Lower
Farmland Classification—Pittsylvania County and the City of Danville, Virginia, and
Rockingham County, North Carolina
Natural Resources
Conservation Service
Web Soil Survey
National Cooperative Soil Survey
5/22/2018
Page 5 of 5
Engineering Report / Environmental Information Document | City of Eden | 31
8.4 National Wetland Inventory (NWI) Maps

City of Eden EDA Funding Application Map
Esri, HERE, DeLorme, MapmyIndia, © OpenStreetMap contributors, and the
GIS user community
Estuarine and Marine Deepwater
Estuarine and Marine Wetland
Freshwater Emergent Wetland
Freshwater Forested/Shrub Wetland
Freshwater Pond
Lake
Other
Riverine
November 1, 2016
0 0.75 1.50.375 mi
0 1 20.5 km
1:44,124
This page was produced by the NWI mapper
National Wetlands Inventory (NWI)
This map is for general reference only. The US Fish and Wildlife
Service is not responsible for the accuracy or currentness of the
base data shown on this map. All wetlands related data should
be used in accordance with the layer metadata found on the
Wetlands Mapper web site.
Virginia Wetlands
U.S. Fish and Wildlife Service, National Standards and Support Team,
[e-mail]
Wetlands
Estuarine and Marine Deepwater
Estuarine and Marine Wetland
Freshwater Emergent Wetland
Freshwater Forested/Shrub Wetland
Freshwater Pond
Lake
Other
Riverine
May 8, 2017
0 0.4 0.80.2 mi
0 0.6 1.20.3 km
1:23,552
This page was produced by the NWI mapper
National Wetlands Inventory (NWI)
This map is for general reference only. The US Fish and Wildlife
Service is not responsible for the accuracy or currentness of the
base data shown on this map. All wetlands related data should
be used in accordance with the layer metadata found on the
Wetlands Mapper web site.

COMMONWEALTH of VIRGINIA
DEPARTMENT OF ENVIRONMENTAL QUALITY
Blue Ridge Regional Office
www.deq.virginia.gov
Lynchburg Office Roanoke Office
7705 Timberlake Road 3019 Peters Creek Road
Lynchburg, Virginia 24502 Roanoke, Virginia 24019
[phone] [phone]
Fax [phone] Fax [phone]
Molly Joseph Ward
Secretary of Natural Resources
David K. Paylor
Director

Robert J. Weld
Regional Director
June 20, 2016

Rick Drazenovich
998 South Boston Road, Danville, VA 24541
[e-mail]

RE: 106 Certification for Berry Hill Commerce Center

Dear Mr Drazenovich:

The work authorized by this permit satisfies the terms and conditions contained in the Norfolk District,
Corps of Engineers’ State Program General Permit (12-SPGP-01) and the special conditions attached to
12-SPGP-01. No additional authorization from the Corps is required. Your 12-SPGP-01 authorization is
effective as of the date on this letter and remains effective until May 31, 2017.

This letter shall serve as authorization to proceed with the project as proposed. The permittee shall be
responsible for contacting DEQ to revise the authorization, including provisions for compensatory
mitigation, if the location or amount of the impacts changes.

If you have any questions, please contact me by email at [e-mail] or at the Lynchburg
address above or by phone at [phone].

Sincerely,
Mark F. Bushing
BRRO-L Permit Writer
Sincerely,

Attachments: 12-SPGP-0,

cc: Jeanne Richardson, U.S. Army Corps of Engineers (via email)
Shawn Harden, Dewberry (via email)

Engineering Report / Environmental Information Document | City of Eden | 32
8.5 USFWS Project Review Package - North Carolina

From:Raleigh, FW4
To:Barksdale, Leslie
Subject:Confirmation of Project Receipt Re: City of Eden USFWS Project Review Package
Date:Thursday, April 20, 2017 12:03:15 PM
This message originated from outside your organization
Thank you for submitting your online project package. We will review your package
within 30 days of receipt. If you have submitted an online project review request
letter, expect our response within 30 days. If you have submitted an online project
review certification letter, you will typically not receive a response from us since the
certification letter is our official response. However, if we have additional questions or
we do not concur with your determinations, we will contact you during the review
period.
Raleigh Field Office
P.O. Box 33726
Raleigh, NC 27636-3726

Date:__________________________

Self-Certification Letter

Project Name______________________________

Dear Applicant:

Thank you for using the U.S. Fish and Wildlife Service (Service) Raleigh Ecological
Services online project review process. By printing this letter in conjunction with your
project review package, you are certifying that you have completed the online project
review process for the project named above in accordance with all instructions
provided, using the best available information to reach your conclusions. This letter,
and the enclosed project review package, completes the review of your project in
accordance with the Endangered Species Act of 1973 (16 U.S.C. 1531-1544, 87 Stat.
884), as amended (ESA), and the Bald and Golden Eagle Protection Act (16 U.S.C.
668-668c, 54 Stat. 250), as amended (Eagle Act). This letter also provides
information for your project review under the National Environmental Policy Act of
1969 (P.L. 91-190, 42 U.S.C. 4321-4347, 83 Stat. 852), as amended. A copy of this
letter and the project review package must be submitted to this office for this
certification to be valid. This letter and the project review package will be maintained
in our records.

The species conclusions table in the enclosed project review package summarizes
your ESA and Eagle Act conclusions. Based on your analysis, mark all the
determinations that apply:

“no effect” determinations for proposed/listed species and/or
proposed/designated critical habitat; and/or

“may affect, not likely to adversely affect” determinations for proposed/listed
species and/or proposed/designated critical habitat; and/or

“may affect, likely to adversely affect” determination for the Northern long-
eared bat (Myotis septentrionalis) and relying on the findings of the January 5,
2016, Programmatic Biological Opinion for the Final 4(d) Rule on the
Northern long-eared bat;

“no Eagle Act permit required” determinations for eagles.

Applicant Page 2

We certify that use of the online project review process in strict accordance with the
instructions provided as documented in the enclosed project review package results in
reaching the appropriate determinations. Therefore, we concur with the “no effect” or
“not likely to adversely affect” determinations for proposed and listed species and
proposed and designated critical habitat; the “may affect” determination for Northern
long-eared bat; and/or the “no Eagle Act permit required” determinations for eagles.
Additional coordination with this office is not needed. Candidate species are not
legally protected pursuant to the ESA. However, the Service encourages consideration
of these species by avoiding adverse impacts to them. Please contact this office for
additional coordination if your project action area contains candidate species.
Should project plans change or if additional information on the distribution of
proposed or listed species, proposed or designated critical habitat, or bald eagles
becomes available, this determination may be reconsidered. This certification letter is
valid for 1 year. Information about the online project review process including
instructions, species information, and other information regarding project reviews
within North Carolina is available at our website http://www.fws.gov/raleigh/pp.html.
If you have any questions, you can write to us at [e-mail] or please contact
Leigh Mann of this office at 919-856-4520, ext. 10.

Sincerely,

/s/Pete Benjamin

Pete Benjamin
Field Supervisor
Raleigh Ecological Services

Enclosures - project review package
April 05, 2017
United States Department of the Interior
FISH AND WILDLIFE SERVICE
Raleigh Ecological Services Field Office
Post Office Box 33726
Raleigh, NC 27636-3726
Phone: [phone] Fax: [phone]
In Reply Refer To:
Consultation Code: 04EN2000-2017-SLI-0421
Event Code: 04EN2000-2017-E-01055
Project Name: Waterline to Serve Berry Hill Industrial Park
Subject: List of threatened and endangered species that may occur in your proposed project
location, and/or may be affected by your proposed project
To Whom It May Concern:
The species list generated pursuant to the information you provided identifies threatened,
endangered, proposed and candidate species, as well as proposed and final designated critical
habitat, that may occur within the boundary of your proposed project and/or may be affected by
your proposed project. The species list fulfills the requirements of the U.S. Fish and Wildlife
Service (Service) under section 7(c) of the Endangered Species Act (Act) of 1973, as amended
(16 U.S.C. 1531 ).et seq.
New information based on updated surveys, changes in the abundance and distribution of
species, changed habitat conditions, or other factors could change this list. Please feel free to
contact us if you need more current information or assistance regarding the potential impacts to
federally proposed, listed, and candidate species and federally designated and proposed critical
habitat. Please note that under 50 CFR 402.12(e) of the regulations implementing section 7 of the
Act, the accuracy of this species list should be verified after 90 days. This verification can be
completed formally or informally as desired. The Service recommends that verification be
completed by visiting the ECOS-IPaC website at regular intervals during project planning and
implementation for updates to species lists and information. An updated list may be requested
through the ECOS-IPaC system by completing the same process used to receive the enclosed list.
Section 7 of the Act requires that all federal agencies (or their designated non-federal
representative), in consultation with the Service, insure that any action federally authorized,
funded, or carried out by such agencies is not likely to jeopardize the continued existence of any
federally-listed endangered or threatened species. A biological assessment or evaluation may be
prepared to fulfill that requirement and in determining whether additional consultation with the
Service is necessary. In addition to the federally-protected species list, information on the
04/05/2017 Event Code: 04EN2000-2017-E-01055 2

species' life histories and habitats and information on completing a biological assessment or
evaluation and can be found on our web page at http://www.fws.gov/raleigh. Please check the
web site often for updated information or changes
If your project contains suitable habitat for any of the federally-listed species known to be
present within the county where your project occurs, the proposed action has the potential to
adversely affect those species. As such, we recommend that surveys be conducted to determine
the species' presence or absence within the project area. The use of North Carolina Natural
Heritage program data should not be substituted for actual field surveys.
If you determine that the proposed action may affect (i.e., likely to adversely affect or not likely
to adversely affect) a federally-protected species, you should notify this office with your
determination, the results of your surveys, survey methodologies, and an analysis of the effects
of the action on listed species, including consideration of direct, indirect, and cumulative effects,
before conducting any activities that might affect the species. If you determine that the proposed
action will have no effect (i.e., no beneficial or adverse, direct or indirect effect) on federally
listed species, then you are not required to contact our office for concurrence (unless an
Environmental Impact Statement is prepared). However, you should maintain a complete record
of the assessment, including steps leading to your determination of effect, the qualified personnel
conducting the assessment, habitat conditions, site photographs, and any other related articles.
Please be aware that bald and golden eagles are protected under the Bald and Golden Eagle
Protection Act (16 U.S.C. 668 ), and projects affecting these species may requireet seq.
development of an eagle conservation plan
(http://www.fws.gov/windenergy/eagle_guidance.html). Additionally, wind energy projects
should follow the wind energy guidelines (http://www.fws.gov/windenergy/) for minimizing
impacts to migratory birds and bats.
Guidance for minimizing impacts to migratory birds for projects including communications
towers (e.g., cellular, digital television, radio, and emergency broadcast) can be found at:
http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/towers.htm;
http://www.towerkill.com; and
.http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/comtow.html
Not all Threatened and Endangered Species that occur in North Carolina are subject to section 7
consultation with the U.S Fish and Wildlife Service. Atlantic and shortnose sturgeon, sea
turtles,when in the water, and certain marine mammals are under purview of the National Marine
Fisheries Service. If your project occurs in marine, estuarine, or coastal river systems you should
also contact the National Marine Fisheries Service, http://www.nmfs.noaa.gov/
We appreciate your concern for threatened and endangered species. The Service encourages
Federal agencies to include conservation of threatened and endangered species into their project
planning to further the purposes of the Act. Please include the Consultation Tracking Number in
the header of this letter with any request for consultation or correspondence about your project
that you submit to our office. If you have any questions or comments, please contact John Ellis
of this office at [e-mail].
04/05/2017 Event Code: 04EN2000-2017-E-01055 3

Attachment(s):
Official Species List
04/05/2017 Event Code: 04EN2000-2017-E-01055 1

Official Species List
This list is provided pursuant to Section 7 of the Endangered Species Act, and fulfills the
requirement for Federal agencies to "request of the Secretary of the Interior information whether
any species which is listed or proposed to be listed may be present in the area of a proposed
action".
This species list is provided by:
Raleigh Ecological Services Field Office
Post Office Box 33726
Raleigh, NC 27636-3726
[phone]
04/05/2017 Event Code: 04EN2000-2017-E-01055 2

Project Summary
Consultation Code: 04EN2000-2017-SLI-0421
Event Code: 04EN2000-2017-E-01055
Project Name: Waterline to Serve Berry Hill Industrial Park
Project Type: WATER SUPPLY / DELIVERY
Project Description: 24" waterline will interconnect to the existing 24" waterline along S.
Rickman Street and will interconnect to the existing City water system to
provide redundancy and improve low pressure zones in the City. The
waterline will transition to a 30" at the City limits and continue north
along the NCDOT right-of-way of highway 770 to the state line.
Project Location:
Approximate location of the project can be viewed in Google Maps:
https://www.google.com/maps/place/36.521882797096836N79.6865252413582W
Counties: Rockingham, NC
Endangered Species Act Species
There is a total of 3 threatened, endangered, or candidate species on your species list. Species on
this list should be considered in an effects analysis for your project and could include species
that exist in another geographic area. For example, certain fish may appear on the species list
because a project could affect downstream species. See the "Critical habitats" section below for
those critical habitats that lie wholly or partially within your project area. Please contact the
designated FWS office if you have questions.
04/05/2017 Event Code: 04EN2000-2017-E-01055 3

Fishes
NAME STATUS
Roanoke Logperch (Percina rex)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/1134
Endangered
Clams
NAME STATUS
James Spinymussel (Pleurobema collina)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/2212
Endangered
Flowering Plants
NAME STATUS
Smooth Coneflower (Echinacea laevigata)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/3473
Endangered
Critical habitats
There are no critical habitats within your project area.
Species Conclusions Table
Project Name: Waterline from S. Rickman St. to NC/VA State Line
Date: 4/20/2017
Species / Resource Name Conclusion ESA Section 7 / Eagle Act Determination Notes / Documentation
Roanoke Logperch Species (listed/proposed)
Present
May affect Time of year restrictions for in-stream
construction will be implemented for
spawning season of this species unless
deemed otherwise during the permitting
process.
James Spinymussel Species (listed/proposed)
Present
May affect Time of year restrictions for in-stream
construction will be implemented for
spawning season of this species unless
deemed otherwise during the permitting
process.
Smooth Coneflower Suitable habitat present,
species not present
Not likely to adversely affect Per the North Carolina Natural Heritage
Data Explorer in Step 3, this species has
historical presence – species has not been
identified recently.
Critical Habitat No critical habitat No effect N/A
Bald Eagle Unlikely to disturb
nesting bald eagles
No Eagle Act Permit Required Per the North Carolina Natural Heritage
Data Explorer in Step 3, Bald Eagles are
not present in Rockingham County.

Acknowledgement: I agree that the above information about my proposed project is true. I used all of the provided resources to make an
informed decision about impacts in the immediate and surrounding areas.

_______________________________, Project Engineer______ 4/20/2017_______________
Signature /Title Date
Engineering Report / Environmental Information Document | City of Eden | 33
8.6 USFWS Project Review Package - Virginia

From:Virginia Field Office, FW5
To:Barksdale, Leslie
Subject:Confirmation of Project Receipt Re: Project Review Package - Self-Certification - VA Waterline to Berry Hill
Industrial Park
Date:Thursday, April 20, 2017 12:51:11 PM
This message originated from outside your organization
Thanks for submitting your online project package. We will review your package within 30
days of receipt. If you have submitted an online project review request letter, expect our
response within 30 days. If you have submitted an online project review certification letter,
you will typically not receive a response from us since the certification letter is our official
response. However, if we have additional questions or we do not concur with your
determinations, we will contact you during the review period.
United States Department of the Interior
FISH AND WILDLIFE SERVICE
Virginia Field Office
6669 Short Lane
Gloucester, VA 23061

Date:

Self-Certification Letter

Project Name:

Dear Applicant:

Thank you for using the U.S. Fish and Wildlife Service (Service) Virginia Ecological Services
online project review process. By printing this letter in conjunction with your project review
package, you are certifying that you have completed the online project review process for the
project named above in accordance with all instructions provided, using the best available
information to reach your conclusions. This letter, and the enclosed project review package,
completes the review of your project in accordance with the Endangered Species Act of 1973 (16
U.S.C. . 1531-1544, 87 Stat. 884), as amended (ESA), and the Bald and Golden Eagle
Protection Act (16 U.S.C. 668-668c, 54 Stat. 250), as amended (Eagle Act). This letter also
provides information for your project review under the National Environmental Policy Act of
1969 (P.L. 91-190, 42 U.S.C. 4321-4347, 83 Stat. 852), as amended. A copy of this letter and
the project review package must be submitted to this office for this certification to be valid.
This letter and the project review package will be maintained in our records.

The species conclusions table in the enclosed project review package summarizes your ESA and
Eagle Act conclusions. These conclusions resulted in:
● “no effect” determinations for proposed/listed species and/or proposed/designated critical
habitat; and/or
● “may affect, not likely to adversely affect” determinations for proposed/listed species
and/or proposed/designated critical habitat; and/or
● “may affect, likely to adversely affect” determination for the Northern long-eared bat
(Myotis septentrionalis) and relying on the findings of the January 5, 2016 Programmatic
Biological Opinion for the Final 4(d) Rule on the Northern long-eared bat; and/or
● “no Eagle Act permit required” determinations for eagles.
Applicant Page 2

We certify that use of the online project review process in strict accordance with the instructions
provided as documented in the enclosed project review package results in reaching the
appropriate determinations. Therefore, we concur with the “no effect” or “not likely to adversely
affect” determinations for proposed and listed species and proposed and designated critical
habitat; the “may affect” determination for Northern long-eared bat; and/or the “no Eagle Act
permit required” determinations for eagles. Additional coordination with this office is not
needed.

Candidate species are not legally protected pursuant to the ESA. However, the Service
encourages consideration of these species by avoiding adverse impacts to them. Please contact
this office for additional coordination if your project action area contains candidate species.

Should project plans change or if additional information on the distribution of proposed or listed
species, proposed or designated critical habitat, or bald eagles becomes available, this
determination may be reconsidered. This certification letter is valid for 1 year.

Information about the online project review process including instructions and use, species
information, and other information regarding project reviews within Virginia is available at our
website http://www.fws.gov/northeast/virginiafield/endspecies/project_reviews.html. If you have
any questions, please contact Troy Andersen of this office at [phone].

Sincerely,

Cindy Schulz
Field Supervisor
Virginia Ecological Services

Enclosures - project review package
April 05, 2017
United States Department of the Interior
FISH AND WILDLIFE SERVICE
Virginia Ecological Services Field Office
6669 Short Lane
Gloucester, VA 23061-4410
Phone: [phone] Fax: [phone]
http://www.fws.gov/northeast/virginiafield/
In Reply Refer To:
Consultation Code: 05E2VA00-2017-SLI-2399
Event Code: 05E2VA00-2017-E-04469
Project Name: Berry Hill Industrial Park
Subject: List of threatened and endangered species that may occur in your proposed project
location, and/or may be affected by your proposed project
To Whom It May Concern:
The enclosed species list identifies threatened, endangered, proposed and candidate species, as
well as proposed and final designated critical habitat, that may occur within the boundary of your
proposed project and/or may be affected by your proposed project. The species list fulfills the
requirements of the U.S. Fish and Wildlife Service (Service) under section 7(c) of the
Endangered Species Act (Act) of 1973, as amended (16 U.S.C. 1531 ). Any activityet seq.
proposed on National Wildlife Refuge lands must undergo a 'Compatibility Determination'
conducted by the Refuge. Please contact the individual Refuges to discuss any questions or
concerns.
New information based on updated surveys, changes in the abundance and distribution of
species, changed habitat conditions, or other factors could change this list. Please feel free to
contact us if you need more current information or assistance regarding the potential impacts to
federally proposed, listed, and candidate species and federally designated and proposed critical
habitat. Please note that under 50 CFR 402.12(e) of the regulations implementing section 7 of the
Act, the accuracy of this species list should be verified after 90 days. This verification can be
completed formally or informally as desired. The Service recommends that verification be
completed by visiting the ECOS-IPaC website at regular intervals during project planning and
implementation for updates to species lists and information. An updated list may be requested
through the ECOS-IPaC system by completing the same process used to receive the enclosed list.
The purpose of the Act is to provide a means whereby threatened and endangered species and the
ecosystems upon which they depend may be conserved. Under sections 7(a)(1) and 7(a)(2) of the
Act and its implementing regulations (50 CFR 402 ), Federal agencies are required toet seq.
04/05/2017 Event Code: 05E2VA00-2017-E-04469 2

utilize their authorities to carry out programs for the conservation of threatened and endangered
species and to determine whether projects may affect threatened and endangered species and/or
designated critical habitat.
A Biological Assessment is required for construction projects (or other undertakings having
similar physical impacts) that are major Federal actions significantly affecting the quality of the
human environment as defined in the National Environmental Policy Act (42 U.S.C. 4332(2)
(c)). For projects other than major construction activities, the Service suggests that a biological
evaluation similar to a Biological Assessment be prepared to determine whether the project may
affect listed or proposed species and/or designated or proposed critical habitat. Recommended
contents of a Biological Assessment are described at 50 CFR 402.12.
If a Federal agency determines, based on the Biological Assessment or biological evaluation, that
listed species and/or designated critical habitat may be affected by the proposed project, the
agency is required to consult with the Service pursuant to 50 CFR 402. In addition, the Service
recommends that candidate species, proposed species and proposed critical habitat be addressed
within the consultation. More information on the regulations and procedures for section 7
consultation, including the role of permit or license applicants, can be found in the "Endangered
Species Consultation Handbook" at:
http://www.fws.gov/endangered/esa-library/pdf/TOC-GLOS.PDF
Please be aware that bald and golden eagles are protected under the Bald and Golden Eagle
Protection Act (16 U.S.C. 668 ), and projects affecting these species may requireet seq.
development of an eagle conservation plan
(http://www.fws.gov/windenergy/eagle_guidance.html). Additionally, wind energy projects
should follow the wind energy guidelines (http://www.fws.gov/windenergy/) for minimizing
impacts to migratory birds and bats.
Guidance for minimizing impacts to migratory birds for projects including communications
towers (e.g., cellular, digital television, radio, and emergency broadcast) can be found at:
http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/towers.htm;
http://www.towerkill.com; and
http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/comtow.html.
We appreciate your concern for threatened and endangered species. The Service encourages
Federal agencies to include conservation of threatened and endangered species into their project
planning to further the purposes of the Act. Please include the Consultation Tracking Number in
the header of this letter with any request for consultation or correspondence about your project
that you submit to our office.
Attachment(s):
Official Species List
USFWS National Wildlife Refuges and Fish Hatcheries
04/05/2017 Event Code: 05E2VA00-2017-E-04469 1

Official Species List
This list is provided pursuant to Section 7 of the Endangered Species Act, and fulfills the
requirement for Federal agencies to "request of the Secretary of the Interior information whether
any species which is listed or proposed to be listed may be present in the area of a proposed
action".
This species list is provided by:
Virginia Ecological Services Field Office
6669 Short Lane
Gloucester, VA 23061-4410
[phone]
04/05/2017 Event Code: 05E2VA00-2017-E-04469 2

Project Summary
Consultation Code: 05E2VA00-2017-SLI-2399
Event Code: 05E2VA00-2017-E-04469
Project Name: Berry Hill Industrial Park
Project Type: DEVELOPMENT
Project Description: 3,500 Acre Industrial Park in Pittsylvania County, VA. This park will be
built out in phases as industries find interest in locating to this area.
Project Location:
Approximate location of the project can be viewed in Google Maps:
https://www.google.com/maps/place/36.56645696985223N79.59328090065128W
Counties: Pittsylvania, VA
Endangered Species Act Species
There is a total of 2 threatened, endangered, or candidate species on your species list. Species on
this list should be considered in an effects analysis for your project and could include species
that exist in another geographic area. For example, certain fish may appear on the species list
because a project could affect downstream species. See the "Critical habitats" section below for
those critical habitats that lie wholly or partially within your project area. Please contact the
designated FWS office if you have questions.
04/05/2017 Event Code: 05E2VA00-2017-E-04469 3

Mammals
NAME STATUS
Northern Long-eared Bat (Myotis septentrionalis)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/9045
Threatened
Fishes
NAME STATUS
Roanoke Logperch (Percina rex)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/1134
Endangered
Critical habitats
There are no critical habitats within your project area.
04/05/2017 Event Code: 05E2VA00-2017-E-04469 1

USFWS National Wildlife Refuges And Fish
Hatcheries
Any activity proposed on lands must undergo a 'CompatibilityNational Wildlife Refuge
Determination' conducted by the Refuge. Please contact the individual Refuges to discuss any
questions or concerns.
There are no refuges or fish hatcheries within your project area.
April 05, 2017
United States Department of the Interior
FISH AND WILDLIFE SERVICE
Virginia Ecological Services Field Office
6669 Short Lane
Gloucester, VA 23061-4410
Phone: [phone] Fax: [phone]
http://www.fws.gov/northeast/virginiafield/
In Reply Refer To:
Consultation Code: 05E2VA00-2017-SLI-2397
Event Code: 05E2VA00-2017-E-04465
Project Name: 30" Waterline to Berry Hill Industrial Park - Virginia
Subject: List of threatened and endangered species that may occur in your proposed project
location, and/or may be affected by your proposed project
To Whom It May Concern:
The enclosed species list identifies threatened, endangered, proposed and candidate species, as
well as proposed and final designated critical habitat, that may occur within the boundary of your
proposed project and/or may be affected by your proposed project. The species list fulfills the
requirements of the U.S. Fish and Wildlife Service (Service) under section 7(c) of the
Endangered Species Act (Act) of 1973, as amended (16 U.S.C. 1531 ). Any activityet seq.
proposed on National Wildlife Refuge lands must undergo a 'Compatibility Determination'
conducted by the Refuge. Please contact the individual Refuges to discuss any questions or
concerns.
New information based on updated surveys, changes in the abundance and distribution of
species, changed habitat conditions, or other factors could change this list. Please feel free to
contact us if you need more current information or assistance regarding the potential impacts to
federally proposed, listed, and candidate species and federally designated and proposed critical
habitat. Please note that under 50 CFR 402.12(e) of the regulations implementing section 7 of the
Act, the accuracy of this species list should be verified after 90 days. This verification can be
completed formally or informally as desired. The Service recommends that verification be
completed by visiting the ECOS-IPaC website at regular intervals during project planning and
implementation for updates to species lists and information. An updated list may be requested
through the ECOS-IPaC system by completing the same process used to receive the enclosed list.
The purpose of the Act is to provide a means whereby threatened and endangered species and the
ecosystems upon which they depend may be conserved. Under sections 7(a)(1) and 7(a)(2) of the
Act and its implementing regulations (50 CFR 402 ), Federal agencies are required toet seq.
04/05/2017 Event Code: 05E2VA00-2017-E-04465 2

utilize their authorities to carry out programs for the conservation of threatened and endangered
species and to determine whether projects may affect threatened and endangered species and/or
designated critical habitat.
A Biological Assessment is required for construction projects (or other undertakings having
similar physical impacts) that are major Federal actions significantly affecting the quality of the
human environment as defined in the National Environmental Policy Act (42 U.S.C. 4332(2)
(c)). For projects other than major construction activities, the Service suggests that a biological
evaluation similar to a Biological Assessment be prepared to determine whether the project may
affect listed or proposed species and/or designated or proposed critical habitat. Recommended
contents of a Biological Assessment are described at 50 CFR 402.12.
If a Federal agency determines, based on the Biological Assessment or biological evaluation, that
listed species and/or designated critical habitat may be affected by the proposed project, the
agency is required to consult with the Service pursuant to 50 CFR 402. In addition, the Service
recommends that candidate species, proposed species and proposed critical habitat be addressed
within the consultation. More information on the regulations and procedures for section 7
consultation, including the role of permit or license applicants, can be found in the "Endangered
Species Consultation Handbook" at:
http://www.fws.gov/endangered/esa-library/pdf/TOC-GLOS.PDF
Please be aware that bald and golden eagles are protected under the Bald and Golden Eagle
Protection Act (16 U.S.C. 668 ), and projects affecting these species may requireet seq.
development of an eagle conservation plan
(http://www.fws.gov/windenergy/eagle_guidance.html). Additionally, wind energy projects
should follow the wind energy guidelines (http://www.fws.gov/windenergy/) for minimizing
impacts to migratory birds and bats.
Guidance for minimizing impacts to migratory birds for projects including communications
towers (e.g., cellular, digital television, radio, and emergency broadcast) can be found at:
http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/towers.htm;
http://www.towerkill.com; and
http://www.fws.gov/migratorybirds/CurrentBirdIssues/Hazards/towers/comtow.html.
We appreciate your concern for threatened and endangered species. The Service encourages
Federal agencies to include conservation of threatened and endangered species into their project
planning to further the purposes of the Act. Please include the Consultation Tracking Number in
the header of this letter with any request for consultation or correspondence about your project
that you submit to our office.
Attachment(s):
Official Species List
USFWS National Wildlife Refuges and Fish Hatcheries
04/05/2017 Event Code: 05E2VA00-2017-E-04465 1

Official Species List
This list is provided pursuant to Section 7 of the Endangered Species Act, and fulfills the
requirement for Federal agencies to "request of the Secretary of the Interior information whether
any species which is listed or proposed to be listed may be present in the area of a proposed
action".
This species list is provided by:
Virginia Ecological Services Field Office
6669 Short Lane
Gloucester, VA 23061-4410
[phone]
This project's location is within the jurisdiction of multiple offices. Expect additional species list
documents from the following office:
Raleigh Ecological Services Field Office
Post Office Box 33726
Raleigh, NC 27636-3726
[phone]
04/05/2017 Event Code: 05E2VA00-2017-E-04465 2

Project Summary
Consultation Code: 05E2VA00-2017-SLI-2397
Event Code: 05E2VA00-2017-E-04465
Project Name: 30" Waterline to Berry Hill Industrial Park - Virginia
Project Type: WATER SUPPLY / DELIVERY
Project Description: 30" waterline will continue from North Carolina into Virginia along Berry
Hill Road to the intersection of Oak Hill Road to serve the Berry Hill
Industrial Park.
Project Location:
Approximate location of the project can be viewed in Google Maps:
https://www.google.com/maps/place/36.54787525364836N79.61878730770951W
Counties: Rockingham, NC | Pittsylvania, VA
Endangered Species Act Species
There is a total of 2 threatened, endangered, or candidate species on your species list. Species on
this list should be considered in an effects analysis for your project and could include species
that exist in another geographic area. For example, certain fish may appear on the species list
because a project could affect downstream species. See the "Critical habitats" section below for
those critical habitats that lie wholly or partially within your project area. Please contact the
designated FWS office if you have questions.
04/05/2017 Event Code: 05E2VA00-2017-E-04465 3

Mammals
NAME STATUS
Northern Long-eared Bat (Myotis septentrionalis)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/9045
Threatened
Fishes
NAME STATUS
Roanoke Logperch (Percina rex)
No critical habitat has been designated for this species.
Species profile: https://ecos.fws.gov/ecp/species/1134
Endangered
Critical habitats
There are no critical habitats within your project area.
04/05/2017 Event Code: 05E2VA00-2017-E-04465 1

USFWS National Wildlife Refuges And Fish
Hatcheries
Any activity proposed on lands must undergo a 'CompatibilityNational Wildlife Refuge
Determination' conducted by the Refuge. Please contact the individual Refuges to discuss any
questions or concerns.
There are no refuges or fish hatcheries within your project area.
Species Conclusions Table
Project Name: 30” Waterline from VA/NC Stateline to Oak Hill Road, Berry Hill Industrial Park, Pittsylvania County
Date: 4/20/2017
Species / Resource Name Conclusion ESA Section 7 / Eagle Act Determination Notes / Documentation
Northern Long-Eared Bat potential habitat present and
no current survey conducted
May affect Project is not located in NLEB Winter Habitat
and Roost Trees (photos attached). This
project will rely on the Programmatic Biological
Opinion on Final 4(d) rule for the NLEB and
Activities Excepted.
Roanoke Logperch potential habitat present and
no current survey conducted
May affect Time of year restrictions for in-stream
construction will be implemented for spawning
season of this species unless deemed
otherwise during the permitting process.
Critical Habitat no critical habitat present No effect N/A – Pittsylvania County is not listed as a
critical habitat county
Bald Eagle unlikely to disturb nesting bald
eagles, does not intersect with
an eagle concentration area
No effect, No Eagle Act permit required See attached photos of searched for steps 6A
and 6B

Engineering Report / Environmental Information Document | City of Eden | 34
8.7 State Park Maps

Engineering Report / Environmental Information Document | City of Eden | 35
8.8 SHPO Information - North Carolina

Engineering Report / Environmental Information Document | City of Eden | 36
8.9 SHPO Information - Virginia

Engineering Report / Environmental Information Document | City of Eden | 37
8.10 EPA Environmental Justice Report

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Percentile
EPA Region
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ĞƐƚŝŵĂƚĞĚĐŽŶĐĞŶƚƌĂƚŝŽŶŽĨŽnjŽŶĞŝŶƚŚĞĂŝƌͿ͕ĂŶĚĂůƐŽƐŚŽǁƐǁŚĂƚƉĞƌĐĞŶƚŝůĞĞĂĐŚƌĂǁĚĂƚĂǀĂůƵĞƌĞƉƌĞƐĞŶƚƐ͘dŚĞƐĞƉĞƌĐĞŶƚŝůĞƐƉƌŽǀŝĚĞƉĞƌƐƉĞĐƚŝǀĞŽŶŚŽǁƚŚĞ
ƐĞůĞĐƚĞĚďůŽĐŬŐƌŽƵƉŽƌďƵĨĨĞƌĂƌĞĂĐŽŵƉĂƌĞƐƚŽƚŚĞĞŶƚŝƌĞƐƚĂƚĞ͕WƌĞŐŝŽŶ͕ŽƌŶĂƚŝŽŶ͘&ŽƌĞdžĂŵƉůĞ͕ŝĨĂŐŝǀĞŶůŽĐĂƚŝŽŶŝƐĂƚƚŚĞϵϱƚŚƉĞƌĐĞŶƚŝůĞŶĂƚŝŽŶǁŝĚĞ͕ƚŚŝƐ
ŵĞĂŶƐƚŚĂƚŽŶůLJϱƉĞƌĐĞŶƚŽĨƚŚĞh^ƉŽƉƵůĂƚŝŽŶŚĂƐĂŚŝŐŚĞƌďůŽĐŬŐƌŽƵƉǀĂůƵĞƚŚĂŶƚŚĞĂǀĞƌĂŐĞƉĞƌƐŽŶŝŶƚŚĞůŽĐĂƚŝŽŶďĞŝŶŐĂŶĂůLJnjĞĚ͘dŚĞLJĞĂƌƐĨŽƌǁŚŝĐŚƚŚĞ
ĚĂƚĂĂƌĞĂǀĂŝůĂďůĞ͕ĂŶĚƚŚĞŵĞƚŚŽĚƐƵƐĞĚ͕ǀĂƌLJĂĐƌŽƐƐƚŚĞƐĞŝŶĚŝĐĂƚŽƌƐ͘/ŵƉŽƌƚĂŶƚĐĂǀĞĂƚƐĂŶĚƵŶĐĞƌƚĂŝŶƚŝĞƐĂƉƉůLJƚŽƚŚŝƐƐĐƌĞĞŶŝŶŐͲůĞǀĞůŝŶĨŽƌŵĂƚŝŽŶ͕ƐŽŝƚŝƐ
ĞƐƐĞŶƚŝĂůƚŽƵŶĚĞƌƐƚĂŶĚƚŚĞůŝŵŝƚĂƚŝŽŶƐŽŶĂƉƉƌŽƉƌŝĂƚĞŝŶƚĞƌƉƌĞƚĂƚŝŽŶƐĂŶĚĂƉƉůŝĐĂƚŝŽŶƐŽĨƚŚĞƐĞŝŶĚŝĐĂƚŽƌƐ͘WůĞĂƐĞƐĞĞ:^ZEĚŽĐƵŵĞŶƚĂƚŝŽŶĨŽƌĚŝƐĐƵƐƐŝŽŶŽĨ
ƚŚĞƐĞŝƐƐƵĞƐďĞĨŽƌĞƵƐŝŶŐƌĞƉŽƌƚƐ͘
EJ Index for NATA* Air Toxics Cancer Risk
EJ Index for NATA* ResƉiratorLJ ,anjard Index
EJ Index for Traffic Proximity and Volume
EJ Index for Lead Paint Indicator
EJ Index for SuƉerfund Proximity
EJ Index for RDW Proximity
EJ Index for ,anjardous taste Proximity+
EJSCREEN Report (Version 2016)
63
64
64
63
64
51
83
86
62
80
69
62
62
63
62
61
51
83
84
61
76
71
66
64
66
66
65
56
78
83
62
75
68
3 mile Ring around the Area, NORTH CAROLINA, EPA Region 4
Approximate Population: 22,576
Eden ER/EID EJ Report
May 19, 2017
Input Area (sq. miles): 132.20
2ͬϯ
EJSCREEN Report (Version 2016)
SuƉerfund NW>
,anjardous taste dreatŵent͕ StoraŐe͕ and isƉosal &acilities ;dS&Ϳ
National Wollutant ischarŐe Eliŵination SLJsteŵ ;NWESͿ
^iƚes reƉorƚinŐ ƚo W
3 mile Ring around the Area, NORTH CAROLINA, EPA Region 4
Approximate Population: 22,576
Eden ER/EID EJ Report
May 19, 2017
Input Area (sq. miles): 132.20
0
3
0
EJSCREEN Report (Version 2016)
Value State
Avg.
%ile in
State
EPA
Region
Avg.
%ile in
EPA
Region
USA
Avg.
%ile in
USA
ϯͬϯ
ZDWWƌŽdžŝŵŝƚLJ;ĨĂĐŝůŝƚLJĐŽƵŶƚͬŬŵĚŝƐƚĂŶĐĞͿ
,anjardous tasteWƌŽdžŝŵŝƚLJ+;ĨĂĐŝůŝƚLJĐŽƵŶƚͬŬŵĚŝƐƚĂŶĐĞͿ
tĂƚĞƌŝƐĐŚĂƌŐĞƌWƌŽdžŝŵŝƚLJ;ĨĂĐŝůŝƚLJĐŽƵŶƚͬŬŵĚŝƐƚĂŶĐĞͿ
ĞŵŽŐƌĂƉŚŝĐ/ŶĚĞdž
WŽƉƵůĂƚŝŽŶŽǀĞƌϲϰLJĞĂƌƐŽĨĂŐĞ
DŝŶŽƌŝƚLJWŽƉƵůĂƚŝŽŶ
>Žǁ/ŶĐŽŵĞWŽƉƵůĂƚŝŽŶ
>ŝŶŐƵŝƐƚŝĐĂůůLJ/ƐŽůĂƚĞĚWŽƉƵůĂƚŝŽŶ
WŽƉƵůĂƚŝŽŶtŝƚŚ>ĞƐƐdŚĂŶ,ŝŐŚ^ĐŚŽŽůĚƵĐĂƚŝŽŶ
WŽƉƵůĂƚŝŽŶhŶĚĞƌϱLJĞĂƌƐŽĨĂŐĞ
Demographic Indicators
:^ZEŝƐĂƐĐƌĞĞŶŝŶŐƚŽŽůĨŽƌƉƌĞͲĚĞĐŝƐŝŽŶĂůƵƐĞŽŶůLJ͘/ƚĐĂŶŚĞůƉŝĚĞŶƚŝĨLJĂƌĞĂƐƚŚĂƚŵĂLJǁĂƌƌĂŶƚĂĚĚŝƚŝŽŶĂůĐŽŶƐŝĚĞƌĂƚŝŽŶ͕ĂŶĂůLJƐŝƐ͕ŽƌŽƵƚƌĞĂĐŚ͘/ƚĚŽĞƐŶŽƚ
ƉƌŽǀŝĚĞĂďĂƐŝƐĨŽƌĚĞĐŝƐŝŽŶͲŵĂŬŝŶŐ͕ďƵƚŝƚŵĂLJŚĞůƉŝĚĞŶƚŝĨLJƉŽƚĞŶƚŝĂůĂƌĞĂƐŽĨ:ĐŽŶĐĞƌŶ͘hƐĞƌƐƐŚŽƵůĚŬĞĞƉŝŶŵŝŶĚƚŚĂƚƐĐƌĞĞŶŝŶŐƚŽŽůƐĂƌĞƐƵďũĞĐƚƚŽƐƵďƐƚĂŶƚŝĂů
ƵŶĐĞƌƚĂŝŶƚLJŝŶƚŚĞŝƌĚĞŵŽŐƌĂƉŚŝĐĂŶĚĞŶǀŝƌŽŶŵĞŶƚĂůĚĂƚĂ͕ƉĂƌƚŝĐƵůĂƌůLJǁŚĞŶůŽŽŬŝŶŐĂƚƐŵĂůůŐĞŽŐƌĂƉŚŝĐĂƌĞĂƐ͘/ŵƉŽƌƚĂŶƚĐĂǀĞĂƚƐĂŶĚƵŶĐĞƌƚĂŝŶƚŝĞƐĂƉƉůLJƚŽƚŚŝƐ
ƐĐƌĞĞŶŝŶŐͲůĞǀĞů ŝŶĨŽƌŵĂƚŝŽŶ͕ ƐŽ ŝƚ ŝƐ ĞƐƐĞŶƚŝĂů ƚŽ ƵŶĚĞƌƐƚĂŶĚ ƚŚĞ ůŝŵŝƚĂƚŝŽŶƐ ŽŶ ĂƉƉƌŽƉƌŝĂƚĞ ŝŶƚĞƌƉƌĞƚĂƚŝŽŶƐ ĂŶĚ ĂƉƉůŝĐĂƚŝŽŶƐ ŽĨ ƚŚĞƐĞ ŝŶĚŝĐĂƚŽƌƐ͘ WůĞĂƐĞ ƐĞĞ
:^ZEĚŽĐƵŵĞŶƚĂƚŝŽŶĨŽƌĚŝƐĐƵƐƐŝŽŶŽĨƚŚĞƐĞŝƐƐƵĞƐďĞĨŽƌĞƵƐŝŶŐƌĞƉŽƌƚƐ͘dŚŝƐƐĐƌĞĞŶŝŶŐƚŽŽůĚŽĞƐŶŽƚƉƌŽǀŝĚĞĚĂƚĂŽŶĞǀĞƌLJĞŶǀŝƌŽŶŵĞŶƚĂůŝŵƉĂĐƚĂŶĚ
ĚĞŵŽŐƌĂƉŚŝĐĨĂĐƚŽƌƚŚĂƚŵĂLJďĞƌĞůĞǀĂŶƚƚŽĂƉĂƌƚŝĐƵůĂƌůŽĐĂƚŝŽŶ͘:^ZEŽƵƚƉƵƚƐƐŚŽƵůĚďĞƐƵƉƉůĞŵĞŶƚĞĚǁŝƚŚĂĚĚŝƚŝŽŶĂůŝŶĨŽƌŵĂƚŝŽŶĂŶĚůŽĐĂůŬŶŽǁůĞĚŐĞ
ďĞĨŽƌĞƚĂŬŝŶŐĂŶLJĂĐƚŝŽŶƚŽĂĚĚƌĞƐƐƉŽƚĞŶƚŝĂů:ĐŽŶĐĞƌŶƐ͘
&ŽƌĂĚĚŝƚŝŽŶĂůŝŶĨŽƌŵĂƚŝŽŶ͕ƐĞĞ͗ǁǁǁ͘ĞƉĂ͘ŐŽǀͬĞŶǀŝƌŽŶŵĞŶƚĂůũƵƐƚŝĐĞ
Selected Variables
Environmental Indicators
WĂƌƚŝĐƵůĂƚĞDĂƚƚĞƌ;WD2͘ϱŝŶђŐͬŵϯͿ
KnjŽŶĞ;ƉƉďͿ
Ed*ŝĞƐĞůWD;ђŐͬŵϯͿ
Ed*ĂŶĐĞƌZŝƐŬ;ůŝĨĞƚŝŵĞƌŝƐŬƉĞƌŵŝůůŝŽŶͿ
Ed*ResƉiratorLJ ,anjard /ndex
dƌĂĨĨŝĐWƌŽdžŝŵŝƚLJĂŶĚsŽůƵŵĞ;ĚĂŝůLJƚƌĂĨĨŝĐĐŽƵŶƚͬĚŝƐƚĂŶĐĞƚŽƌŽĂĚͿ
>ĞĂĚWĂŝŶƚ/ŶĚŝĐĂƚŽƌ;йWƌĞͲϭϵϲϬ,ŽƵƐŝŶŐͿ
SuƉerfundWƌŽdžŝŵŝƚLJ;ƐŝƚĞĐŽƵŶƚͬŬŵĚŝƐƚĂŶĐĞͿ
ΎdŚĞEĂƚŝŽŶĂůͲ^ĐĂůĞŝƌdŽdžŝĐƐƐƐĞƐƐŵĞŶƚ;EdͿŝƐWΖƐŽŶŐŽŝŶŐ͕ĐŽŵƉƌĞŚĞŶƐŝǀĞĞǀĂůƵĂƚŝŽŶŽĨĂŝƌƚŽdžŝĐƐŝŶƚŚĞhŶŝƚĞĚ^ƚĂƚĞƐ͘WĚĞǀĞůŽƉĞĚƚŚĞEdƚŽ
ƉƌŝŽƌŝƚŝnjĞĂŝƌƚŽdžŝĐƐ͕ĞŵŝƐƐŝŽŶƐŽƵƌĐĞƐ͕ĂŶĚůŽĐĂƚŝŽŶƐŽĨŝŶƚĞƌĞƐƚĨŽƌĨƵƌƚŚĞƌƐƚƵĚLJ͘/ƚŝƐŝŵƉŽƌƚĂŶƚƚŽƌĞŵĞŵďĞƌƚŚĂƚEdƉƌŽǀŝĚĞƐďƌŽĂĚĞƐƚŝŵĂƚĞƐŽĨŚĞĂůƚŚƌŝƐŬƐ
ŽǀĞƌŐĞŽŐƌĂƉŚŝĐĂƌĞĂƐŽĨƚŚĞĐŽƵŶƚƌLJ͕ŶŽƚĚĞĨŝŶŝƚŝǀĞƌŝƐŬƐƚŽƐƉĞĐŝĨŝĐŝŶĚŝǀŝĚƵĂůƐŽƌůŽĐĂƚŝŽŶƐ͘DŽƌĞŝŶĨŽƌŵĂƚŝŽŶŽŶƚŚĞEdĂŶĂůLJƐŝƐĐĂŶďĞĨŽƵŶĚ
Ăƚ͗httƉs͗ͬͬǁǁǁ͘eƉa͘ŐovͬnationalͲairͲtoxicsͲassessŵent͘
eŵoŐrĂƉŚiĐ Indicators
нdhe hanjardous ǁaste environŵental indicator and the corresƉondinŐ E: index ǁill aƉƉear as Nͬ if there are no hanjardous ǁaste facilities ǁithin ϱϬ Ŭŵ
of a selected location͘
3 mile Ring around the Area, NORTH CAROLINA, EPA Region 4
Approximate Population: 22,576
Eden ER/EID EJ Report
May 19, 2017
Input Area (sq. miles): 132.20
48.2
8.92
0.41
0.6
0.042
0.52
0.031
0.37
48
1.3
40
42%
31%
18%
5%
20%
1%
52%
46.4
9.13
0.636
0.19
0.1
0.26
0.078
0.17
170
1.4
41
37%
35%
39%
3%
15%
6%
14%
38%
37%
39%
3%
15%
6%
15%
36%
37%
35%
5%
14%
6%
14%
42.4
8.9
0.752
0.2
0.085
0.32
0.077
0.16
290
1.7
42
47.4
9.32
0.937
0.31
0.11
0.43
0.13
0.3
590
1.8
40
71
29
38
95
42
88
37
87
53
46
39
63
52
74
56
71
35
74
62
52
72
56
71
36
71
65
53
78
48
75
35
74
72
41
<50th
93
39
83
45
87
49
<50th
<50th
48
37
<50th
87
28
76
28
66
40
<50th
50-60th
Engineering Report / Environmental Information Document | City of Eden | 38
8.11 Project Cost Estimate

Construction Costs
Division Funding 
Requested
Other Secured 
Funding Source(s)Total Cost Amount
Mobilization 150,000.00$         150,000.00$                     
Clearing and Grubbing 20,000.00$            20,000.00$                       
20" Waterline (22,500 LF Along SR 770)4,050,000.00$      4,050,000.00$                  
Fire Hydrant (22)99,000.00$            99,000.00$                       
20" Butterfly Valve (11)170,500.00$         170,500.00$                     
Air Release Valve (15)82,500.00$            82,500.00$                       
Control Valve and Meter 150,000.00$         150,000.00$                     
Stream Crossings (5)178,000.00$         178,000.00$                     
Erosion & Sediment Control 157,500.00$         157,500.00$                     
Driveway Repair (10)45,000.00$            45,000.00$                       
Open Cut Sec. Road Crossing (4)58,000.00$            58,000.00$                       
Directional Bore Road Crossing (2)220,000.00$         220,000.00$                     
Site Restoration 28,125.00$            28,125.00$                       
Connect to Existing System (2)24,000.00$            24,000.00$                       
Railroad Crossing (2)290,000.00$         290,000.00$                     
Subtotal 5,722,625.00$       ‐$                          5,722,625.00$                  
572,300.00$                     
6,295,000.00$                  
Other Cost
Division Funding 
Requested
Other Secured 
Funding Source(s)Total Cost Amount
Easement Acquisition 50,000.00$            50,000.00$                       
Permitting 53,500.00$            53,500.00$                       
Legal 30,000.00$            30,000.00$                       
133,500.00$                     
6,428,500.00$                  
Engineering Costs
Division Funding 
Requested
Other Secured 
Funding Source(s)Total Cost Amount
Engineering Redesign 105,000.00$         105,000.00$                     
Land Surveying Costs 40,000.00$            40,000.00$                       
145,000.00$                      
Administration Costs
Division Funding 
Requested
Other Secured 
Funding Source(s)Total Cost Amount
Planning 47,000.00$            47,000.00$                       
Easement Preparation 25,000.00$            25,000.00$                       
Grant Administration ‐$                                   
Loan Administration 78,000.00$            78,000.00$                       
ER Preparation 15,000.00$            15,000.00$                       
Environmental Documentation Preparation 15,000.00$            15,000.00$                       
Other (Inspection and Construction Admin.)319,360.00$         319,360.00$                     
499,360.00$                      
7,072,900.00$        Total Project Cost
Other Subtotal
NON‐EDA
DWSRF ‐ City of Eden Revised Cost Estimate (2/14/2018)
10% Contingency
Construction Subtotal
Engineering Subtotal
Administration Subtotal
EDA Eligible Subtotal
Engineering Report / Environmental Information Document | City of Eden | 39
8.12 Eden FY 2017-2018 Budget

1

Memorandum

To: Honorable Mayor and City Council

From: Brad Corcoran, City Manager

Date: April 5, 2017

Re: Budget Message for Fiscal Year 2017-2018

On behalf of the City of Eden staff, I am pleased to present to you the fiscal plan for FY 2017-2018 as Eden celebrates its 50th
Anniversary. The budget is in balance and has been prepared in accordance with the guidelines set forth in the Local Government
Budget and Fiscal Control Act (N.C.G.S. Chapter 159, Article III).

A public hearing and adoption of the FY 2017-18 budget will be scheduled at the Council’s regular meeting on May 16, 2017 at 6:00
p.m. A copy of this budget document will be placed on file with the City Clerk and will be available for public inspection during
normal business hours from now until the May 16th public hearing.

Balancing this budget has been a very long and arduous task which has resulted in a document which continues to meet the City’s
basic needs in the critical service areas and addresses some of the various capital improvement needs currently facing the City. The
budget does not, however, provide all of the funds necessary for the capital needs within the City of Eden.

The staff and I look forward to working with each of you to implement this budget and to continue our service to the fine citizens of
Eden.
2

Table of Contents

Acknowledgements Page 57
Administrative & Legal Services – General Fund Page 15-16 & 37
Administrative, Inspection & Legal Services – Water & Sewer Fund Page 16, 30-31 & 37
Administrative Charges – Water/Sewer Fund to General Fund Page 31-32 & 36-37
Aerator Replacement Page 33-34
Alum Storage Tank Replacement Page 33
AMR Meter Replacements Page 32
Annexation-In -Lieu of Agreements Page 24
Audit Synopsis – June 30, 2016 – General Fund Page 13-14
Audit Synopsis – June 30, 2016 – Water & Sewer Fund Page 28
Audit Synopsis – June 30, 2016 – Self-Insurance Fund Page 45
Billing & Collections Division Page 30, 32 & 37
Bromide/Trihalomethane Issue Page 45
Budget/Planning Retreat Priorities from City Council Page 11-12
Budget Summary by Funds for FY 2017-18 Page 9
Building/Plumbing/Mechanical/Electrical/Sign Permits Page 25
Business Registration Fee Page 25
Capital Outlay Requests to be Funded – Large & Small Page 12, 27-28 & 32-36
Capital Outlay Requests to be Funded – General Fund Page 8 & 27-28
Capital Outlay Requests to be Funded – Powell Bill/Street Resurfacing Page 8, 20-22 & 28
Capital Outlay Requests to be Funded – Water & Sewer Fund Page 8 & 32-36
Collection & Distribution Division Page 30-33, 37 & 49
Combined Budgets for FY 2017-18 Page 7-9
Commercial Mowers – Replacement Page 8, 10, 14, 17 & 28
Community Organizations – Support Page 25
Concluding Remarks Page 56-57
Contingency Funds Page 7, 13, 15, 19, 29 & 32
Covenant Branch & Meadow Greens Force Main Project Page 8, 10, 29 & 35
Debt Service Payments – Long & Short Term Page 8 & 53-55
Dixie Youth Baseball State Championship Page 18
3

Drinking Water State Reserve Grant Page 40
Duke Energy – Leachate Treatment Page 42
Duke Energy Water Resources Fund Grant –Matrimony Creek Trail Page 8, 14 & 28
Economic & Tourism Development Department Page 15-16, 22-23, 37 & 50
Eden Citizens Academy Page 25
Eden Youth Council Page 25
Electronic Messaging Board Page 7, 12, 16 & 28
Engineering Department Page 15, 17 & 37
EPA Administrative Order & Capital Project Fund Page 7, 31-32, 36-40, 45, 49 & 53
EPA Administrative Order – Tentative Construction Schedule Page 40
EPA NPDES Phase II Stormwater Regulations Page 26-27
Executive Summary Page 7-8
Facilities & Grounds Division Page 15-17, 37 & 49
Facilities & Grounds Division – Heating/Air System for Shop Page 12
Fiduciary Funds Page 53
Finance & Human Resources Department Page 15-16 & 37
Fire Department Page 15, 17 & 50
Fire Department – Ladder Truck – Replacement Page 11 & 17
Fire Department – Part-Time Day-Time Positions Page 50
Fire Department – Rent Payments by Draper Rural Fire Department Page 27
Fire Department – Turn Out Gear Replacement Page 12, 17 & 28
Five Year Capital Improvement Plans – Summary Page 12
Fleet Maintenance Division Page 15, 18, 37 & 49
Four Passenger ATV Page 30 & 32
Freedom Park Nature & Education Trail Page 8, 10, 12, 14, 19 & 28
Fund Balances Being Used During FY 2017-18 Page 7, 9-10, 14, 29, 39 & 41
Fund Balance Reimbursement to Water & Sewer Fund Page 31
Gasoline Costs Page 13
General Fund Page 9 & 13-28
General Fund Breakdown by Department/Division Page 15
General Fund Capital Outlay Needs Being Funded – FY 2017-18 Page 27-28
General Fund – Fund Balance Information Page 7, 9-10 & 14
Governing Board Page 15 & 37
4

Grants & Principal Forgiveness Loans Page 8-10, 14, 29, & 39-41
Hach DR 3900 Lab Analysis Instrument Page 33-34
Harris Place Pump Station Upgrade Project Page 35-36
Health Coach Page 50
Heating/Air Conditioning Control Boxes Page 8, 10-11, 14, 16-17 & 28
High Unit Cost (HUC) Grant – Covenant Branch/Meadow Greens Page 8, 29 & 35
Hydro-Vacuum Excavator Page 8, 10, 29 & 31-32
Incentives Grant Program – Downtown Building Renovation Projects Page 7, 12 & 25
Incentive/Performance Agreement Payments for Industries Page 19 & 23
Inflow & Infiltration (I & I) Repair/Fix It Program Page 35-36
Information Technology Department Page 15-16 & 37
Installation of Cover over Brick Wall at Water Filtration Plant Page 33
Insurance & Bonds (Workers Compensation & Liability) Page 13
Interest Income Page 55
Inter-fund Transfers – Summary Page 9-10
Legal Debt Margin as of June 30, 2016 Page 53
Loan Proceeds – Breakdown of Projects & Amounts Page 8-10, 14, 17-18, 21, 28-29,
31-32 & 40
Matrimony Creek Nature Trail Page 8, 10, 12, 14, 19 & 28
Mega Park Water Line Extension & Capital Project Fund Page 7-8, 31, 37, 40-41 & 49
Mega Park Water Line Extension – Tentative Construction Schedule Page 41
Motor Vehicle License Fee Page 7
Mud Valves Repair/Replacement Page 33
Municipal Service District Tax Fund Page 9, 11 & 52
Municipal Services Department Page 49
Municipal Vehicle License Fee Page 10, 21 & 28
NC Connect Bond Grant & Loan Page 39
Occupancy Tax Page 25
Parks & Recreation Department Page 15, 18 & 49
Parks & Recreation Department – Mill Avenue Swimming Pool Page 12
Pass Thru Funds Page 9-11

5

Personnel Page 48-52
Christmas Allowance Page 50
Construction Inspector Page 16, 30 & 49
Health/Dental Insurance – Employees & Retirees Page 17 & 45-48
Life/Short-Term Disability/AD&D Insurance Page 50
Main Street Manager Page 7, 16, 22-23 & 49
Number of Full-Time Employees Page 7 & 48-49
Number of Full-Time Employees – Historical Data Page 48 & 51-52
Pay Increase Information Page 7 & 48
Pay & Classification Plan – FY 2017-18 Page 50
Retirement Expense Page 51
School Resource Officers Page 11, 26 & 50
Secondary Employment – Police Officers Page 11
Staff Reductions Page 7, 18 & 49-50
Wellness Program Options Page 47-48
Worker’s Compensation Page 51
Planning & Inspections Department Page 15, 18, 37 & 50
Pneumatic Hammer Boring Tool – Collection & Distribution Division Page 31-33
Police Department Page 15, 17 & 49
Police Department – Vehicle Replacements Page 8, 10-11, 14, 17 & 28
Positively Eden Strategic Plan Page 7, 11-12, 16-17, 19, 22 & 49
Powell Bill/Street Resurfacing Division Page 15, 17 & 20-22
Project SAFE Rockingham County – Police Department Page 11 & 25-26
Rockingham Community Access Transit Services (RCATS) Grant Page 8, 10, 14 & 23
Rockingham Community Foundation Grant – Freedom Park Trail Page 8, 14 & 28
Runabout Travel Fund Page 9, 11 & 53
Sanitary Sewer Overflows (SSOs) – Historical Data Page 38
Self-Insurance Fund Page 9-11 & 45-47
Sewer Construction Budget Page 30-31, 35 & 37
Sewer Find It & Fix It Program – I/I Rehabilitation Page 35-36
Sidewalk Construction – Hidden Valley to Food Lion Shopping Center Page 12
Skat Bus Page 8, 10 & 23
Solid Waste Division Page 15, 18 & 25-26
6

Solid Waste Division Automated Refuse Collection Truck Replacement Page 8, 10, 12, 14, 18 & 28
Solid Waste Division Compactor Unit Replacement Page 8 & 12
Solid Waste Rates Page 7 & 26
Special Appropriation Budget – General Fund Page 15 & 19
Special Appropriation Budget – Water & Sewer Fund Page 30-32
Special Legislative Grant – Covenant Branch/Meadow Greens Page 8, 29 & 35
Special Revenue Funds Page 52
State Revenues – Summary for FY 2017-18 Page 24
Street Division Page 15, 17 & 37
Street Resurfacing Projects Page 8, 11, 14 & 20-22 & 28
Take-or-Pay & Capital Repayments – Hanes Brand International Page 29
Tanyard Branch Project Supplemental Street Paving Page 20 & 35-36
Tax & Service Rates For FY 2017-18 Page 13
Tax Collection Charges Imposed By Rockingham County Page 26
Tax Rate Information, Analysis & Comparison Page 7 & 19-20
Undesignated Fund Balance in General Fund as of June 30, 2016 Page 14
Unfunded Mandates Page 26, 38, 43-45 & 53
Wastewater Treatment Department Page 30-31, 33-34, 37 & 50
Water & Sewer Breakdown by Department/Division Page 30
Water & Sewer Capital Outlay Needs Being Funded – FY 2017-18 Page 32-36
Water & Sewer Capital Outlay Expenditures – Historical Data Page 38 & 44
Water & Sewer Fund Page 9 & 28-38
Water & Sewer Fund – An Enterprise Fund Page 42
Water & Sewer Fund – Fund Balance Information Page 7, 9-10, 29, 31, 39 & 41
Water & Sewer Fund Loans – 2007 & 2008 Page 40 & 54
Water & Sewer Rate Comparisons Page 44
Water & Sewer Rates Information Page 7 & 42-45
Water & Sewer Revenue Loss Page 42
Water & Sewer Usage Information Page 43
Water Construction Budget & Waterline Upgrade Projects Page 30-31, 34 & 37
Water Filtration Department Page 30-31, 33, 37 & 49
Water Resources Division Page 30 & 37

7

Executive Summary

 The combined budgets for fiscal year 2017-18 equal $33,253,800 and are balanced.

 The FY 2017-18 budget does not increase the current tax rate of $0.609 per $100 assessed property valuation.

 The FY 2017-18 budget does not increase the water rates, sewer rates or monthly residential solid waste fee.

 The FY 2017-18 budget does increase the motor vehicle license fee from $5.00 per licensed vehicle to $15.00 per
licensed vehicle. The additional $99,000 generated will pay the debt service on a new $1,100,000 loan for additional
street resurfacing projects that will be completed to address street sections currently rated as poor or very poor. A
total of $1,677,300 is allocated for street resurfacing projects during the upcoming year.

 The FY 2017-18 budget includes a flat $700 pay increase for all full-time employees.

 The City currently has 174 full-time employees. This is a reduction of 8 full-time positions since October, 2015.

 The FY 2017-18 spending plan does not include the allocation of any fund balance from any fund.

 A staggering $52,215,200 in Water and Sewer Infrastructure work for the EPA Administrative Order (AO)
($33,725,600) to eliminate Sanitary Sewer Overflows (SSOs) and the Berry Hill Mega Park Project ($18,489,600) to
extend waterlines to the NC/VA state line will dominate our time and resources over the next five years.

 The budget includes $425,000 for the initial phase of the “Positively Eden” Strategic Plan recommendations. This
includes funding for a new full-time Main Street Manager, an incentives grant program for downtown building
renovation projects, an electronic messaging board for the corner of Stadium Drive and Pierce Street, and a lump sum
allocation of $300,000 for additional recommendations that will be forthcoming.

 The budget includes $1,000,000 in contingency funds (General Fund $500,000 and Water & Sewer Fund $500,000)
for unanticipated expenditures and/or unforeseen declines in revenue.

8

 Funding is included for the following items:

 $4,334,900 for capital outlay items:

General Fund – $1,273,800 Powell Bill/Street Resurfacing Account – $1,677,300
Water & Sewer Fund – $1,383,800

 $2,598,100 for debt service payments:

General Fund – $641,200 Water & Sewer Fund – $1,956,900

 $2,189,900 in loan proceeds for six different items:

Additional Street Resurfacing Projects – $1,100,000 (15 Years)
Replace Police Vehicles – $314,400 (5 Years)
Replace Heating/Air Conditioning Control Boxes – $300,000 (5 Years)
Replace Automated Garbage Collection Truck – $285,000 (5 Years)
Purchase Hydro Vacuum Excavator – $150,000 (5 Years)
Replace Commercial Mowers – $40,500 (5 Years)

 $1,100,000 contribution from the Water & Sewer Fund to the Mega Park Capital Project Fund.

 $614,400 in revenue from grants to help fund various projects/initiatives including:

Rockingham County Aging, Disability & Transit Services (RCATS) Grant – Skat Bus $ 127,800
Duke Energy Water Resources Fund Grant – Matrimony Creek Nature Trail $ 100,000
Rockingham Community Foundation Grant – Freedom Park Nature & Education Trail $ 25,000
High Unit Cost (HUC) Grant – Covenant Branch/Meadow Greens Force Main Project $ 17,000
Special Legislative Grant – Covenant Branch/Meadow Greens Force Main Project $ 344,600
Total $ 614,400

 Please refer to the Budget Message for comprehensive information concerning the FY 2017-18 budget.

9

Budget Message

Overview of Budget Highlights

 The combined budgets for fiscal year 2017-18 equal $33,253,800. This is an increase of $1,857,200 or
approximately 5.92% when compared to the adopted combined budgets for 2016-17 at $31,396,600. The main
reasons for this increase is an increase of $1,055,300 for additional street resurfacing projects and a contribution of
$1,100,000 from the Water & Sewer Fund to the Mega Park Capital Project Fund.

 A further breakdown of the FY 2017-18 spending plan indicates the following:

FY 2017-18
Summary (Funds) Budget

General $16,746,800
Water & Sewer $13,507,200
Self-Insurance $ 2,942,500
Runabout Travel $ 48,000
Municipal Service Tax District $ 9,300

$33,253,800
Less:
Inter-fund Transfers $ 2,574,100
Appropriated Fund Balances $ 0
Grants/Principal Forgiveness Loans $ 614,400
Short/Long Term Loans $ 2,189,900
Pass Thru Funds $ 665,200

$ 6,043,600
TOTAL NEW RECURRING REVENUE $27,210,200

10

 The FY 2017-18 budget includes $2,574,100 in inter-fund transfers (i.e. funds within the budget that are shown as
revenue and expenditures in two different locations). These include the following:

A. $2,574,100 shown within the Self-Insurance Fund and then again under the Group Insurance line
items within various departmental and division budgets within the General Fund and Water &
Sewer Fund.

 The FY 2017-18 spending plan does not include the allocation of any fund balance from any fund.

 The FY 2017-18 budget includes $614,400 in grants/principal forgiveness loans for the following:

Rockingham County Aging, Disability & Transit Services (RCATS) Grant – Skat Bus $ 127,800
Duke Energy Water Resources Fund Grant – Matrimony Creek Nature Trail $ 100,000
Rockingham Community Foundation Grant – Freedom Park Nature & Education Trail $ 25,000
High Unit Cost (HUC) Grant – Covenant Branch/Meadow Greens Force Main Project $ 17,000
Special Legislative Grant – Covenant Branch/Meadow Greens Force Main Project $ 344,600
Total $ 614,400

 The FY 2017-18 budget includes $2,189,900 in short-term and long-term loans for the following:

Additional Street Resurfacing Projects (15 Years) $1,100,000
Replace Automated Garbage Truck (5 Years) $ 285,000
Replace 8 Police Vehicles (5 Years) $ 314,400
Replace 36 Heating/Air Conditioning Control Boxes (5 Years) $ 300,000
Replace Commercial Mowers (5 Years) $ 40,500
Replace Hydro Vacuum Excavator (5 Years) $ 150,000
Total $2,189,900

 The FY 2017-18 budget includes $665,200 in pass thru funds (i.e. non-taxpayer funds within the budget that are
collected by the City from a specific source and then spent by/for that same source). These include the following:

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A. $48,000 within the Runabout Travel Fund. The individuals that participate in the Runabout Travel
Club make payments into the fund to cover the expenses related to their various trips. This fund
does not include the appropriation of any funds from the taxpayers of Eden.

B. $9,300 within the Municipal Service District Tax Fund. The property owners within the Municipal
Service Tax Districts of Leaksville and Draper pay additional taxes that are placed in this fund to
cover specific expenses related to the two downtown areas. A total of $7,300 is projected to be
received from the Leaksville area and $2,000 is projected to be received from the Draper area. This
fund does not include the appropriation of any funds from the taxpayers of Eden.

C. $60,000 within the General Fund for the reimbursement of secondary employment expenses related
to Police Officers providing security services during their regularly scheduled time off.

D. $20,900 within the General Fund for Project SAFE Rockingham County. These are funds from
other jurisdictions here in Rockingham County who are paying their contributions toward the
expenses of this program. Eden has agreed to help administer these pass-thru funds by collecting
the funds and forwarding the funds on to cover costs associated with this project.

E. $158,600 within the General Fund for the reimbursement of costs associated with the three school
resource officer positions by the Rockingham County School System.

F. $368,400 within the Self-Insurance Fund. The members make contributions for covered dependents
and retirees still on the City’s plan make contributions to their premiums as well. This $368,400
does not include the appropriation of any funds from the taxpayers of Eden.

 On February 25, 2017 the City Council met for its annual budget/planning retreat. According to the priorities
established by the Mayor and members of City Council the top fifteen funding priorities for FY 2017-18 include:

A. Additional Street Resurfacing Needs (Includes East Harris Place)
B. First Phase of “Positively Eden” Strategic Plan Initiatives and Recommendations
C. Replacement of Ladder 2 Fire Truck
D. Replacement of 8 Police Vehicles
E. Replacement of 36 Heating & Air Conditioning Control Boxes @ City Hall
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F. Replacement of Compactor Unit @ Solid Waste Transfer Station
G. Incentive Grant Program for Building Upgrades in Downtown Areas (This is also a
recommendation of the “Positively Eden” Strategic Plan)
H. Replacement of Automated Side Arm Garbage Truck
I. Replacement of 12 Sets of Fire Department Turnout Gear
J. Repairs and Improvements to Mill Avenue Swimming Pool
K. Replace Entrance Signs @ City Hall (Includes Electronic Messaging Sign for Corner of
Stadium Drive and Pierce Street) (This is also a recommendation of the “Positively
Eden” Strategic Plan in relation to communications)
L. Installation of a Heating & Air Conditioning System for the Facilities & Grounds Shop
M. Construction of new sidewalk from Hidden Valley to Food Lion Shopping Center
N. Freedom Park Nature & Education Trail Improvements
O. Development of Matrimony Creek Nature Trail

It should be noted that funding to some degree or another for each of these fifteen identified and discussed priorities
has been included in the budget as submitted.

 A copy of the large and small capital outlay requests is included in the capital outlay section of this document. It
outlines the various items requested and whether or not funding for those items has been included in the budget as
submitted.

 The FY 2017-18 budget document includes a Five Year Capital Outlay Program for the General Fund, Water &
Sewer Fund, EPA AO Capital Project Fund and the Mega Park Capital Project Fund in an effort to facilitate
improvements in the City’s long-term budgeting and planning process as well as to improve the flow of
communication concerning those projects and equipment needs that will be facing the City over the next several
years. The $82,753,000 funding needs program ($20,354,300 General Fund, $10,003,500 Water & Sewer Fund,
$33,725,600 EPA AO Capital Project, and $18,489,600 Mega Park Capital Project) has been based on the “physical
needs” of the City as identified by the appropriate department/division head. A detailed justification sheet on each
item contained within the various Capital Outlay Programs is being maintained by the respective department/division
head.

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 The Tax and Service Rates section of the FY 2017-18 budget outlines all of the Tax and Service Rates for the
upcoming year. Any rates recommended as a change have been highlighted in BOLD for your review and
consideration.

 According to estimates received from our insurance carrier at the North Carolina League of Municipalities it appears
our liability insurance premiums will be decreasing by a total of $3,100 or approximately 1.16% from a grand total of
$266,700 that was allocated in the current year to a projected $263,600 for next year.

 Gasoline prices continue to place a significant burden on the city’s budget but have lowered slightly from last year’s
prices. Based on actual usage figures for the past twelve months we have estimated that our costs during FY 2017-18
will equal $384,500 which is a decrease of $14,500 or approximately 3.63% when compared to the projected
expenses for FY 2016-17 which totals $400,000. In FY 2003-04 our actual expenses for gasoline equaled just
$180,441.

 The budget includes $500,000 in the General Fund (an increase of $133,500 compared to FY 2016-17 total of
$366,500) as an unappropriated contingency and $500,000 in the Water and Sewer Fund (same amount as FY 2016-
17) as an unappropriated contingency for unforeseen declines in revenue and/or unanticipated expenditures. This
$1,000,000 will be added to the appropriate fund balances if not utilized during the upcoming fiscal year. It’s not
unrealistic to believe additional funds may be needed during the course of the year for unanticipated expenditures
such as major vehicle/equipment repairs and/or unforeseen declines in revenue such as sales tax reimbursements that
are greatly dependent upon the condition of the economy.

General Fund

The General Fund is the general operating fund of the City. The General Fund accounts for all financial resources except those that
are required to be accounted for in another fund.

 A review of the audited financial statements for the period ending June 30, 2016 reveals the fund balance in the
General Fund decreased from $8,705,548 as of June 30, 2015 to $8,592,146 a decrease of $113,402 or approximately
1.32%. According to the audited financial statements for the City of Eden, the total fund balance within the General
Fund on June 30, 2000, just prior to my arrival as City Manager in February, 2001 was equal to $4,157,472. This
represents an increase of $4,434,674 or 106.66% since that time.
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 The City Council voted back in 1998-99 to keep an unassigned fund balance, equal to at least three months operating
expenses. As such, three months operating expenses would be $3,695,898 according to the audited statements for the
period ending June 30, 2016. The amount unassigned at June 30, 2016 ($5,545,725) is actually $1,849,827 over that
threshold. The unassigned fund balance in the General Fund as of June 30, 2000 was $ 2,541,779. This is a total
increase of $3,003,946 or approximately 118.18% in the past sixteen years.

 As noted previously, the FY 2017-18 General Fund budget does not include the use of any funds in available fund
balance.

 As noted previously, the FY 2017-18 budget includes $252,800 in grants within the General Fund budget for the
following:

Rockingham County Aging, Disability & Transit Services (RCATS) Grant $ 127,800
Duke Energy Water Resources Fund Grant – Matrimony Creek Nature Trail $ 100,000
Rockingham Community Foundation Grant – Freedom Park Nature & Education Trail $ 25,000
Total $ 252,800

 As noted previously, the FY 2017-18 budget includes $2,039,900 in short-term and long-term loans within the
General Fund budget for the following:

Additional Street Resurfacing Projects (15 Years) $1,100,000
Replace Automated Garbage Truck (5 Years) $ 285,000
Replace 8 Police Vehicles (5 Years) $ 314,400
Replace 36 Heating/Air Conditioning Control Boxes (5 Years) $ 300,000
Replace Commercial Mowers (5 Years) $ 40,500
Total $2,039,900

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 The actual breakdown for the various departments/divisions within the General Fund are as follows:

FY 2016-17 FY 2017-18 Year to Year
Department/Division Budget Budget Change

Governing Board $ 101,400 $ 107,400 $ 6,000
Administrative & Legal Services 501,200 288,900 (212,300)
Finance/Human Resources 584,200 628,500 44,300
Economic/Tourism Development 320,300 392,600 72,300
Information Technology 444,100 513,100 69,000
Facilities & Grounds 855,100 1,220,100 365,000
Police 4,491,600 4,899,000 407,400
Fire 1,520,500 1,587,600 67,100
Engineering 270,800 304,000 33,200
Streets 1,790,000 1,718,100 (71,900)
Powell Bill/Street Resurfacing 622,000 1,677,300 1,055,300
Solid Waste 1,970,700 2,183,800 213,100
Planning & Inspections 691,900 531,300 (160,600)
Parks & Recreation 974,900 934,700 (40,200)
Fleet Maintenance 432,800 477,000 44,200
Special Appropriation 566,800 960,100 393,300
Contingency 366,500 500,000 133,500
$16,504,800 $18,923,500 $2,418,700
W/S Related Costs - $ 1,720,700 - $ 2,176,700 - $ 456,000

Total $14,784,100 $16,746,800 $1,962,700

 The $6,000 increase within the Governing Board Department is due to expected increases associated with various
membership dues for the National League of Cities, North Carolina League of Municipalities, Institute of
Government, and Piedmont Triad Regional Council to name a few. The Dues/Subscriptions line item has been
increased by $6,000.

16

 Due to the magnitude of work and time that will be spent on Water and Sewer Projects over the course of the next
several years an Administrative, Inspection and Legal Services Department has been created in the Water and Sewer
Fund. In addition to funding the costs related to the Director of Public Utilities, Water & Sewer Construction
Projects Manager, Construction Inspector and Administrative Assistant III, a portion of the costs associated with the
City Manager, City Attorney, Director of Municipal Services and City Clerk will also be funded from this department
instead of exclusively from the Administrative and Legal Services Department within the General Fund. This is the
main reason for the $212,300 decrease in the Administrative and Legal Services Department within the General
Fund.

 There is a projected increase of $44,300 in spending within the Finance/Human Resources Department for a variety
of various increases including: $3,000 under Professional Services, $2,400 under Finance Credit Card Charges, $600
under Wellness Program, $3,200 under Life/AD&D/Short Term Disability Insurance, $7,100 under Group Insurance,
$2,300 under Contracted Services to name a few.

 The increase of $72,300 in funding within the Economic and Tourism Development Department is due primarily to
two items related to the forthcoming recommendations from the “Positively Eden” Strategic Plan. First, funding for
a new full-time Main Street Manager has been included. Second, $25,000 has been included for the creation of an
incentives grant program for downtown building renovation projects. Both of these items were discussed during the
course of the annual budget/planning retreat on February 25, 2017.

 There is a total increase of $69,000 within the Information Technology Department. This includes an increase of
$41,000 in the Contracted Services line item due to various three-year term service agreements that are to be renewed
during the next year. Meraki Switches and Firewalls, Barracuda Backup Appliance, Barracuda SPAM Firewall,
iBoss Web Filter, and KnowBe4 Security Awareness are all up for renewal. Utilizing three-year terms results in an
average savings of 25%-30% versus funding these service agreements on an annual basis. There is also an increase
of $12,600 in the Data Transmission/WAN line item within this Department due to increased bandwidth needs and
the installation of a fiber optic connection at City Hall.

 The increase of $365,000 in spending within the Facilities & Grounds Division is due primarily to capital outlay
items included in the budget as submitted. First, $300,000 is included for the replacement of 36 heating/air
conditioning control boxes in City Hall that are broken and not working. Second, $30,000 has been included for the
replacement of the three entrance signs at City Hall and includes the installation of a new electronic messaging sign at
the corner of Stadium Drive and Pierce Street. This project ties in to one of the forthcoming recommendations from
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the “Positively Eden” Strategic Plan dealing with enhancing ways to communicate with the public. Finally, $40,500
has been included to replace three of our older 60” commercial mowers that are in need of being replaced. An
installment purchase loan will be taken out during the upcoming year to cover the cost of replacing the heating/air
conditioning control boxes and replacing the three commercial mowers with the combined first payment on the five-
year installment purchase loans taking place in FY 2018-19 at a projected annual cost of $76,700 for five years.

 The $407,400 increase within the Police Department is due primarily to the replacement of 8 police vehicles at a cost
of $314,400. An installment purchase loan will be taken out during the upcoming year to cover the cost of this
purchase with the first payment on the five-year installment purchase loan taking place in FY 2018-19 at a projected
annual cost of $70,800 for five years. It is noteworthy to point out that $74,700 in debt service payments will
actually be retired during the upcoming year when we make the final payment on a previous installment purchase
loan. There is also an increase of $36,800 in the Separation Allowance line item due to more retirees being eligible
for these payments during the upcoming year. There is also an increase in the number of retirees that will be
receiving health/dental insurance coverage during the upcoming year. Overall, the Group Insurance line item which
includes the projected costs for the employees and retirees within the Police Department is increasing by $96,800.

 The increase of $67,100 in spending within the Fire Department is due primarily to the allocation of $30,000 for the
replacement of 12 sets of turn out gear, increases associated with salaries and benefits, and the additional costs
included under the Principal and Interest line items for the new Ladder Truck that the City Council voted to purchase
on February 25, 2017.

 There is an increase in spending of $33,200 within the Engineering Department. First, $11,400 is included for the
replacement of a Trible Handheld GPS Unit with the related software. Second, $3,600 has been included under the
Contracted Services line item for projected NC811 locate fees and finally, there are various increases in other
operational line items.

 The reduction of $71,900 within the Streets Division is due to a reduction of $22,100 in expenditures related to
Capital Outlay items and a combined reduction of $29,900 in the Principal and Interest line items due to retiring
some previous debt during the current fiscal year. There is also a reduction of $30,700 under the Salaries line item
due to personnel changes within this Division that have occurred over the course of the past year and are expected to
occur as we head into FY 2017-18.

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 The $1,055,300 increase within the Powell Bill/Street Resurfacing Division has been previously addressed. These
additional funds will allow us to repair and resurface a significant number of the street sections that are currently
rated as poor and very poor. It will also allow us to make the needed improvements to East Harris Place as discussed
during the annual budget/planning retreat on February 25, 2017. A 15-year loan in the amount of $1,100,000 will be
taken out during the upcoming year to cover some of these additional street resurfacing projects with the first
payment on the 15-year loan taking place in FY 2018-19 at a projected annual cost of $99,900 for fifteen years.

 The $213,100 increase within the Solid Waste Division is due primarily to the replacement of an automated garbage
collection truck at a cost of $285,000. An installment purchase loan will be taken out during the upcoming year to
cover the cost of this purchase with the first payment on the five-year installment purchase loan taking place in FY
2018-19 at a projected annual cost of $64,100 for five years. It is noteworthy to point out that $50,800 in debt service
payments will actually be retired during the upcoming year when we make the final payment on a previous
installment purchase loan.

 The budget for the Planning and Inspections Department includes a decrease in funding equal to $160,600. This is
due primarily to two items. First, a total of $130,000 has been removed from the C/O Improvements line item due to
the completion of the Cook Block Improvements Project. Second, $18,300 in salaries and FICA has been removed
due to the elimination of the Part-Time position when the person in that position retired.

 The $40,200 reduction within the Parks and Recreation Department budget is due primarily to the elimination of the
$100,000 that was included under the C/O Land Improvements line item for the Extension of the Smith River
Greenway. Offsetting a portion of this reduction in spending is an increase of $22,000 under the Dixie Youth
Tournament line item since we will be hosting a State Championship Tournament for Dixie Youth Baseball during
July 2017.

 There is an increase of $44,200 in the Fleet Maintenance Division budget due to an increase of $41,000 in the C/O
Building Improvements line item for the replacement of 3 bay doors (phase II) that have rusted away at the bottom
and are over 25 years old and the construction of an awning/covered area at the shop to get the air compressor,
generator, metal rack and pressure washer out of the weather. This will also assist our employees with head cover in
bad weather when working on items that are too big to be pulled into the shop.

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 The $393,300 increase in spending within the Special Appropriations Department for the General Fund is due
primarily to three items. First, as noted previously, there is a lump sum of $300,000 included for the initial phase of
recommendations that will be forthcoming from the “Positively Eden” Strategic Plan. Second, there is $100,000
included for the development of the Matrimony Creek Nature Trail and $25,000 included for improvements to the
Freedom Park Nature and Education Trail. It should be noted that $125,000 in grant funding has been included
within the General Fund revenues to offset the expenses associated with these two projects. Offsetting some of these
spending increases is a reduction of $46,800 under the Performance/Incentive Agreements line item due to less
funding being required for next year.

 As noted previously, there is an increase of $133,500 in contingency funding within the General Fund as an un-
appropriated contingency for unforeseen declines in revenue and/or unanticipated expenditures. This $500,000 will
be added to the fund balance for the General Fund if it is not utilized during the upcoming fiscal year.

 The FY 2017-18 budget does not increase the current tax rate of $0.609 per $100 assessed property valuation. A
comparison of the existing tax rates currently being charged by surrounding governmental entities is as follows:

Eden $ 0.609 Rockingham County $ 0.696
Madison $ 0.73 Stoneville $ 0.69
Mayodan $ 0.63 Wentworth Not Applicable
Reidsville $ 0.74

 A review of the tax rate for the City of Eden during the past 40+ years reveals the following:

1975 $ 0.69 2000 $ 0.57
1980 $ 0.77 2005 $ 0.57
1985 $ 0.77 2010 $ 0.62
1990 $ 0.66 2015 $ 0.609
1995 $ 0.59 Current $ 0.609

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 The tax revenue projections outlined below are based upon a total property valuation of $ 892,207,497 (an increase of
approximately 7.03% when compared to the previous year total of $833,548,800) at a collection rate of 98.26 percent
or $ 5,339,000.

The $ 5,339,000 is calculated as follows:

Total Property Value: $ 892,207,497

Tax Rate/$ 100 Value: $ 0.609
Total Revenue Estimate: $ 5,433,544

Assumed Collection Rate @ 98.26%: $ 5,339,000

Revenue per One Cent of Tax Rate: $ 92,400

 The city has 620 paved street sections (104.14 paved miles and 1.01 gravel/stone miles) in the city’s street system
that total 1,383,464 square yards of asphalt pavement streets in the city limits that are repaired and resurfaced in the
progression of our Street Resurfacing Program. Based on a 15-year program, we need to resurface 92,231 square
yards of asphalt pavement each year at an estimated cost of $876,195 to maintain the 15-year cycle. The average cost
to repair and resurface a street is $9.50 a square yard based on the actual cost of last years’ street resurfacing
contracts. During the current fiscal year we received $477,304 through the state Powell Bill Program which means,
in order for the city to meet our annual requirements to maintain a 15-year program we would need an additional
$398,891 for the upcoming year just to meet the annual requirements of a 15-year program.

However, we currently have 94 street sections (15.16%) in our street system that are in poor (92) or very poor (2)
condition. These 94 street sections consist of 235,095 square yards of asphalt pavement. The projected cost to repair
and resurface all 94 street sections is $2,233,403. Three of these street sections are scheduled to be resurfaced this
spring at a cost of approximately $110,000. Eight street sections are in poor condition due to recent sewer
construction work associated with the Tanyard Branch project. The estimated cost to resurface these eight street
sections is $192,100. Funding to resurface these eight sections has been included in the proposed budget within the
Sewer Construction budget. This leaves a total of 83 street sections that are in poor or very poor condition that are in
need of immediate attention.

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We previously considered the idea of changing our resurfacing program to a 20-year program but based on the
quality of the material we are receiving today we do not recommend this change. The asphalt today is made with a
significant amount of recycled material. In the last few years, we have noticed moderate cracking in new pavement
within a year of it being laid. In fact, based on the quality of the asphalt we are now receiving, an average life
expectancy of 10-12 years would really be more realistic.

During FY 2007-08 Eden received $583,057 in Powell Bill revenues. Since that point in time the average amount of
Powell Bill revenues received from the State has only equaled $484,749. This is a reduction of nearly $100,000 per
year and this reduced revenue translates into approximately $1.0 million less dollars to maintain and resurface our
streets every 10 years. Clearly, there is a direct correlation between our inability to fully address and fund our street
resurfacing needs and the level of funding being received for this purpose. Without an additional source of funding
we will continue to fall further behind in reference to our street resurfacing needs.

Previously, the General Assembly recognized this dilemma and adopted legislation that allows municipalities
(effective July 1, 2016) to raise funds for street resurfacing projects through a municipal vehicle license fee. General
Statute 20-97 (b1 – 1-3) sets forth the new law that allows Cities and Towns throughout North Carolina to levy an
annual municipal vehicle license fee upon all vehicles in the City or Town of not more than $30.00 per vehicle. For
example: the City of Greensboro increased their vehicle license fee from $10 to $30 per vehicle last year and that
increase generated an additional $3.9 million dollars for the City that is now being used to fund additional street
resurfacing projects on an annual basis.

The NC General Assembly felt the municipal vehicle license fee made sense because it is a fee that is focused on the
actual users of the streets. In this way, like the solid waste fee, the user and not just the property owner’s will bear
the burden of sharing the cost. They believe it is really a much more equitable way to handle the need than to
increase property taxes.

During the February 25, 2017 annual budget/planning retreat the number one priority of the City Council was to
provide funding that would address the additional street resurfacing needs facing the City. In addition, the City
Council expressed their support for raising the municipal vehicle license fee from its current rate of $5.00 per vehicle
to $15.00 per vehicle. This increase is projected to result in an additional $99,000 per year for street resurfacing
needs. The budget as submitted includes this increase and dedicates the additional $99,000 in revenue that is
collected during FY 2017-18 for the upcoming street resurfacing contracts and then for the debt service payments for
a 15-year loan in the amount of $1,100,000 with the first payment being due in FY 2018-19. Once we combine this
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$1,200,000 with the $477,300 that we project to receive in Powell Bill proceeds from the State we will have a total of
$1,677,300 available for use in FY 2017-18 which is an increase of $1,055,300 compared to the $622,000 that was
allocated in the current year.

 Last year the City Council voted to move forward with a Strategic Community Vision process. J. M. Teague
Engineering & Planning, with their partner firms of Chipley Consulting, SYNEVA Economics, LLC and Kostelec
Planning was hired to oversee this process. A volunteer steering committee of diverse representatives from the
community was assembled to assist the consultants and provide guidance throughout this entire process. Although all
of the recommendations from the Positively Eden Strategic Plan have yet to be finalized it is expected that these will
be submitted to the City Council by the citizen steering committee and consultants in the near future. In order to
provide sufficient funding for the implementation of some recommended action items a lump sum amount of
$300,000 has been included in the budget as submitted. Please note that specific recommendations and projects that
would be funded by a portion of this $300,000 will come back before the City Council for formal approval prior to
proceeding with any actual implementation and funding.

 One of the recommendations that are forthcoming from the “Positively Eden” Strategic Plan and the citizen steering
committee is the hiring of a full-time Main Street Manager. In 2002, Eden applied with the NC Department of
Commerce to be a NC Main Street community. One of the requirements for designation and continued designation is
to have staff that dedicates 40-hours per week to managing the program. Due to the growth of additional
responsibilities being handled by the Director of Economic Development and the Coordinator of Tourism and Special
Projects/Events, the hours that are supposed to be dedicated to the downtown areas as a component of the Main Street
program requirements are not being met.

Throughout the course of the Strategic Community Vision process there has been a consistent desire to see the City
spend more of its resources on this area of economic development. The City of Reidsville recently hired an
individual to manage its Main Street program, allowing its Director of Economic Development to focus on industrial
and commercial development, as well as workforce education and other issues. They also have a third full-time staff
member that handles additional responsibilities related to Tourism and Special Projects/Events like we do. In fact,
the vast majority of the 60 cities in the NC Main Street program have a full-time dedicated person to concentrate
purely on downtown revitalization efforts. Each year, the desire for comprehensive initiatives related to Economic
Development is a top priority for each member of City Council. However, a review of the annual budget for the
General Fund indicates the Economic Development Department comprises only 2.17% of the current spending.
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Considering how important jobs are to Eden and Rockingham County citizens, this is a relatively low amount of
spending for something that is considered a top priority by City Council and citizens alike.

It is believed the addition of a Main Street Manager will enable us to more effectively allow each of our commercial
areas to reach its potential. This is especially true considering we have recently had three developers working on
restoring buildings and facilitating new enterprises in the Washington Street area. In addition, we believe the Berry
Hill Regional Mega Park is the best hope for the Draper community to become revitalized since it is the closest
commercial area to the park. The Cook Block has undergone a streetscape project, but there continues to be potential
for more retail activity in this area as well. A dedicated person assigned to working in and with these areas will
enable Eden to facilitate a more effective Main Street program.

 The Special Appropriation budget within the General Fund includes $142,000 for the Rockingham County Access
Transit System (RCATS) to help keep the Skat bus service operational within the City of Eden. Offsetting a
significant portion of this cost is a $127,800 RCATS grant. This means Eden’s contribution for FY 2017-18 will
remain unchanged for the upcoming year at $14,200.

 The Special Appropriations budget within the General Fund includes $205,800 to pay for the City’s obligations in
reference to performance agreements with local industries. This is a decrease of $46,800 or approximately 18.53%
when compared to the $252,600 that was allocated for the current fiscal year. Like most cities and counties in North
Carolina, the City of Eden has undertaken various performance agreements with local industries. N.C.G.S. 158-7.1
sets out the type of activities that cities and counties can engage in as it relates to economic development. Existing
incentive payments based upon specific performance criteria due to be paid during FY 2017-18 include:

Company Amount Due In FY 2017-18

Loparex – 2009 – Phase 2 – Payment 6 of 6 $ 7,308
Gildan – 2014 – Payment 2 of 4 $98,158
SGRTEX Phase 1 – Payment 2 of 4 $75,469
Karastan 2015 – Payment 2 of 8 $22,558
Innofa 2015 – Payment 2 of 4 $ 2,244
Total $205,737

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 There are several statewide revenues that Eden receives from the State of North Carolina. Each of these
are tied directly to and dependent upon economic forces:

A. NC Sales Tax – Articles 39, 40, 42 and 44
B. State Hold Harmless Agreement
C. Solid Waste Disposal Tax Distribution
D. Franchise Fees/State
E. Beer and Wine Tax
F. Utilities Franchise Tax
G. Powell Bill State Street Aid Allocation
The revenue estimates for FY 2017-18 we received from the North Carolina League of Municipalities are based on
preliminary collection figures for the current fiscal year, compared to collections for the same period a year ago, and
other economic indicators of future conditions. The combined statewide revenues for fiscal year 2017-18 are
projected to equal $5,112,200. This is an increase of $306,700 or approximately 6.38% when compared to the
projected revenues for FY 2016-17 at $4,805,500. Compared to the combined actual collections for FY 2015-16
which equaled $4,597,110 the FY 2017-18 projections of $5,112,200 is an increase of $515,090 or approximately
11.20%.
 The importance of securing new annexation-in-lieu agreements during FY 2012-13 with MillerCoors and Duke
Energy was crucial to the stability of our General Fund revenues at that point in time and for the last four years.
However, the future of these payments is very questionable and of great concern. First, now that MillerCoors
Brewing Company has been closed, the company is in the process of appealing their valuation and they are trying to
get it lowered by 50%. Last year’s payment from MillerCoors Brewing Company equaled $489,828. As such, a 50%
reduction would equate to a loss of revenue equal to approximately $244,914. Second, FY 2017-18 will be the final
year on the current Duke Energy agreement that provides $200,000 per year. Unfortunately, there is no guarantee or
indication at this time that Duke Energy will be willing to extend this agreement beyond next year. Finally, the
agreement with Thoroughbred Resources, LLC, (dba A.C. Furniture) that generates approximately $13,000 per year
expires in June 2017. Fortunately, they have indicated a willingness to enter into a new ten-year agreement. Due to
the information outlined above, the budget as submitted includes a reduction in revenue of $253,000 ($703,000 to
$450,000) for FY 2017-18.

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 Due to questions about the legal requirements related to the imposition of a business registration fee and concerns
that the General Assembly may change the law even further we are recommending the elimination of this fee at the
April 18, 2017 meeting of the City Council. As a result, there is a reduction of $12,400 in projected revenue that
would have been collected as a result of this fee.

 The FY 2017-18 budget includes $99,100 in funding to continue supporting a number of community-wide
Organizations, events and initiatives including: Rockingham County Arts Council ($2,000), Eden Library ($2,600),
Eden Chamber of Commerce ($10,000), Eden Rescue Squad ($12,000), Project SAFE Rockingham County ($3,900),
Eden Citizens Academy ($2,000), Eden Youth Council ($4,000), Riverfest ($8,000), Pottery Festival ($1,500), Eden
Historical Museum ($3,600), Eden Preservation Society ($1,000), RCC Project ($12,000), Certified Retirement
Community ($1,500), Façade Improvement Grants ($2,000), Downtown Building Improvements Incentive Grant
($25,000), Eden Downtown Development Corporation ($3,000) and July 4th Celebration ($5,000).

 On March 21, 2005 the Eden City Council voted unanimously to ask Senator Philip E. Berger and former
Representative Nelson Cole to introduce special legislation to the North Carolina General Assembly to increase the
occupancy tax for all hotels and motels within the City of Eden by three percent (3 %) and have that money directed
to the City of Eden for tourism development. The legislation that was ultimately passed included a two percent (2%)
tax. A total of $75,300 in both related revenues within the General Fund as well as related expenditures within the
Economic & Tourism Development Department of the General Fund has been included in the FY 2017-18 budget.
This represents an increase of $5,300 or approximately 7.57% compared to the $70,000 included in the current
budget.

 Based on current trends related to both residential and commercial development there will be a 7.89% increase in
permit fees from FY 2016-17 to FY 2017-18. The budget includes $82,000 in projected revenues (increase of $6,000
from current year) from building permits, plumbing permits, mechanical permits, sign permits and electrical permits.

 The Solid Waste Division budget as submitted equals $2,183,800 and includes all of the costs attributable to our solid
waste operations with the exception of leaf collection costs which are currently expensed out of the Street Division
budget since many of the full-time employees within that division assist the seasonal employees hired within the
Street Division with the leaf collection responsibilities on an annual basis.

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If you refer to the General Fund revenues you will note that it is projected that $1,357,200 will be collected in
residential solid waste fees, $482,200 will be collected in commercial solid waste fees and $16,200 will be collected
in solid waste recycling, compost/mulch, demolition/abatement and materials/scrap fees.

The projected revenues equal $1,855,600 which means approximately 84.97% of our Solid Waste Division expenses
are being offset by various solid waste fees. It has been the Council’s desire for many years now to try and operate
our Solid Waste program as an Enterprise Fund like our Water and Sewer Fund where revenues collected offset
annual expenditures. Due to the previously approved January 1, 2016 water and sewer rate increases that were
necessary it is not recommended that solid waste rates be increased at this time to recover the $328,200 gap between
the projected revenues and the projected expenses. If you factor in the $285,000 that has been included to replace an
automated garbage truck the gap between the projected revenues and the projected expenses would have only been
$43,200.

 The projected revenues within the General Fund include $158,600 that we anticipate receiving from the Rockingham
County School System as a reimbursement for costs associated with the three School Resource Officer positions.
One officer is assigned to Holmes Middle School, one officer is assigned to Morehead High School and the
remaining officer floats between the four elementary schools here in Eden.

 The annual cost for our ad valorem tax collection contract with Rockingham County will be $51,900 during FY 2017-
18. This is an increase of $800 or approximately 1.56% compared to the $51,100 that was allocated in the current
budget. However, this is an increase of $32,688 or approximately 170.14% since the $19,212 we paid just ten years
ago in FY 2007-08.

 Each year staff follows up to evaluate the likelihood of Eden being designated as a community that will be mandated
to come into compliance with the EPA NPDES Phase II Stormwater Regulations. If designated, the costs to comply
with this unfunded mandate would be in excess of $300,000 based on current estimates. Based on staff’s last
conversation with Mr. Mike Randall, NC Division of Water Quality (DWQ), the City of Eden may never be
designated unless it is requested.

Mike Randall stated, “Phase II Rules are not going away, I just don’t think there is a lot of interest in designating
more MS4’s. The Division has over a hundred across the state and resources at DEQ/EPA and the environmental
groups are limited.” He believes staff is focusing on real problems and trying to encourage efforts to develop long
term (30 years or more) watershed restoration plans that address both quality and quantity. He feels flooding is a
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major concern across the state and if they can get local governments to address flooding and reduce the amount of
stormwater runoff, they can address quality as well. Therefore; based on the latest update from the NC Division of
Water Quality, it is not necessary to include any funding in the FY 2017-18 budget for the Phase II designation.

 Revenues in the General Fund continue to include $1,200 under the line item labeled Fire Department Rental –
Draper Rural. As each of you is aware, Draper Rural is currently utilizing space within both Fire Station 200 as well
as Fire Station 300. They collect a special tax within their service district to help offset the costs they incur in
providing fire protection services. In fact, we have just been notified by the Rockingham County Tax Department
that the Draper Rural Fire Department is expected to receive an additional $68,000 in revenue next year (Duke
Energy - $49,000 and MillerCoors - $19,000) due to both companies being removed from the special qualified fire
district.

 The FY 2017-18 budget includes $24,800 (approx. $3,900 from Eden and $20,900 from other participating agencies)
to continue the Project SAFE Rockingham County (PSRC) program. PSRC is an anti-gun violence coalition that
seeks to reduce gang-related and chronic offender violent crime and illegal gun possession. After two years of
operational success with funding from the Governor’s Crime Commission, PSRC is now supported by the six law
enforcement departments in the county. In its five-and-one half years of operation, PSRC has brought about positive
changes to the criminal landscape. The City of Eden has agreed to be the depository for the funds contributed by the
six law enforcement departments for the expenses related to continuing this program.

 The large capital outlay and small capital outlay requests portion of this budget document outlines all of the capital
outlay requests that have been included for funding and are included in the General Fund. A total of $2,951,100 is
included in the FY 2017-18 budget. A listing of the capital outlay items included for funding within the General
Fund is as follows:

Item & Department/Division Included

Replace 20 Work Station Computers – Information Technology $ 15,000
Replace 10 Mobile Data Terminal Police Cruiser Computers – Information Technology $ 10,000
Replace City Hall Phone System – Information Technology $ 12,500
Replace 10kVa Uninterruptable Power Supply in Data Room – Information Technology $ 10,000
Replace 5 Work Station Computers with Laptops – Information Technology $ 9,000

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Replace Entrance Signs @ City Hall – Includes 1 Electronic Message Sign – Facilities $ 30,000
& Grounds
Replace 36 Heating/Air Conditioning Control Boxes @ City Hall – Facilities & Grounds $ 300,000 (1)
Replace 3 – 60 inch Commercial Mowers – Facilities & Grounds $ 40,500 (1)
Replace 8 Patrol Vehicles – Police $ 314,400 (1)
Replace 8 In-Car Video Systems – Police $ 40,000
Replace 12 Sets of Turn Out Gear – Fire $ 30,000
Replace Trimble Geo7X GPS Unit with TerraSync Software - Engineering $ 11,400
Street Resurfacing – Powell Bill Funds – Powell Bill/Street Resurfacing $ 477,300
Street Resurfacing – Municipal Vehicle License Funds – Powell Bill/Street Resurfacing $1,200,000 (2)
Replace Knuckleboom Automated Solid Waste Collection Truck – Solid Waste $ 285,000 (1)
Replace 3 Roll Up Bay Doors @ Fleet Maintenance Shop (Phase II) – Fleet Maintenance $ 14,000
Install Overhead Awning @ Fleet Maintenance Shop – Fleet Maintenance $ 27,000
Freedom Park Nature & Education Nature Trail Improvements – Special Appropriation $ 25,000 (3)
Matrimony Creek Nature Trail – Special Appropriation $ 100,000 (3)
Total $2,951,100

(1) Installment Purchase Agreements – First of Five Annual Payments Will Be Made In FY 2018-19

(2) $1,100,000 15 Year Loan – First of Fifteen Annual Payments Will Be Made In FY 2018-19

(3) Grant Funding Is Anticipated To Cover The Cost Of These Items: Duke Energy Water Resources Fund
Grant for Matrimony Creek Nature Trail in the amount of $100,000 and Rockingham Community
Foundation Grant for the Freedom Park Nature & Education Trail in the amount of $25,000

Water & Sewer Fund – Enterprise Fund

 The fund balance in the Water & Sewer Fund for the period ending June 30, 2016 was $9,338,484. This is an
increase of $3,419,492 or approximately 57.77% when compared to the June 30, 2015 total of $5,918,992. During
the past five years, the lack of sufficient revenue has caused the City to use $1,994,953 or 17.60% of its available
fund balance. According to the audited financial statements for the City of Eden, the total fund balance within the
Water & Sewer Fund on June 30, 2000, just prior to my arrival as City Manager in February, 2001 was equal to
$4,345,594. This represents an increase of $4,992,890 or 114.90% since that time.
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 Without the take-or-pay and capital repayment obligations from Hanes Brand International in both FY 2009-10 and
FY 2010-11 the fund balance in the Water and Sewer Fund would have realized additional reductions of:

Period ending June 30, 2011: $ 1,739,559
Period ending June 30, 2010: $ 480,000

Source: Audited financial statements for the City of Eden for June 30, 2010 and June 30, 2011 as prepared by
the independent auditing firm of Rouse, Rouse, Penn and Rouse, L.L.P.

 The budget for the Water and Sewer Fund does not include the use of any funds in available fund balance.

 As noted previously, the FY 2017-18 budget includes $361,600 in grants within the Water & Sewer Fund budget for
the following:

High Unit Cost (HUC) Grant – Covenant Branch/Meadow Greens Force Main $ 17,000
Special Legislative Grant – Covenant Branch/Meadow Greens Force Main $ 344,600
Total $ 361,600

 As noted previously, the FY 2017-18 budget includes $150,000 for a short-term installment purchase loan within the
Water & Sewer Fund budget for the following:

Replace Hydro Vacuum Excavator (5 Years) $ 150,000
Total $ 150,000

 As noted previously, there is an allocation of $500,000 in Contingency funding (unchanged) within the Water &
Sewer Fund as an un-appropriated contingency for unforeseen declines in revenue and/or unanticipated expenditures.
This $500,000 will be added to the fund balance for the Water & Sewer Fund if it is not utilized during the upcoming
fiscal year.

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 The actual breakdown for the various departments/divisions within the Water & Sewer Fund are as follows:

FY 2016-17 FY 2017-18 Year to Year
Department/Division Budget Budget Change

Administrative, Inspection & Legal Services $ ------------ $ 669,100 $ 669,100
Water Resources $ 381,500 $ 398,800 $ 17,300
Billing & Collections $ 389,400 $ 414,500 $ 25,100
Water Plant $ 1,440,600 $ 1,288,000 $ (152,600)
Collection & Distribution $ 2,142,200 $ 2,237,900 $ 95,700
Wastewater Treatment $ 1,459,700 $ 1,173,800 $ (285,900)
Water Construction $ 378,000 $ 450,000 $ 72,000
Sewer Construction $ 3,373,600 $ 703,700 $ (2,669,900)
Special Appropriation $ 3,613,800 $ 5,671,400 $ 2,057,600
Contingency $ 500,000 $ 500,000 $ ------------
$13,678,800 $13,507,200 $ (171,600)

 A new Department entitled Administrative, Inspection and Legal Services has been created within the Water & Sewer
Fund with an initial allocation of $669,100. As noted previously, due to the magnitude of work and time that will be
spent on the combined $52,215,200 EPA AO Sewer Project and the Mega Park Water Project over the course of the
next several years an Administrative, Inspection and Legal Services Department has been created in the Water and
Sewer Fund. It includes funding for the costs related to the Director of Public Utilities (previously Water Filtration
Plant), Water & Sewer Construction Projects Manager (previously Collection & Distribution), Construction Inspector
(new position – once ready to proceed) and Administrative Assistant III (previously Water Filtration Plant). It also
includes a portion of the costs associated with the City Manager, City Attorney, Director of Municipal Services and
City Clerk.

 The $17,300 increase in the Water Resources Division and the $25,100 increase in the Billing & Collections Division
are due primarily to various increases associated with benefits and operational expenses.

 The $152,600 reduction in spending within the Water Filtration Department is due primarily to two items. First, as
previously noted, funding for the Director of Public Utilities and Administrative Assistant III positions are now
included in the Administrative, Inspection and Legal Services Department. Second, there is a reduction of $60,000 in
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the Chemicals line item. Offsetting a portion of these decreases is an increase of $20,200 in the Professional Services
line item to cover increases in various laboratory tests and an additional $12,700 for Bromide related testing.

 Despite moving the costs associated with the Water & Sewer Construction Projects Manager from the Collection &
Distribution Division to the Administrative, Inspection and Legal Services Department the spending within the
Collection & Distribution Division is expected to increase by $95,700. This increase is due primarily to a combined
increase of $118,400 ($ 62,000 to $180,600) for various Capital Outlay Items. These items include the purchase of a
hydro vacuum excavator ($150,000), the purchase of a four passenger ATV for use on the outfalls ($22,000), and the
purchase of a pneumatic hammer boring tool ($8,600). An installment purchase loan will be taken out during the
upcoming year to cover the cost of the hydro vacuum excavator with the first payment on the five-year installment
purchase loan taking place in FY 2018-19 at a projected annual cost of $33,700 for five years. It is noteworthy to
point out that $21,400 in debt service payments will actually be retired during the upcoming year when we make the
final payment on a previous installment purchase loan.

 The primary reason for the $285,900 reduction in spending within the Wastewater Treatment Department is due to a
combined reduction in Capital Outlay spending of $281,200 ($313,900 to $32,700).

 The Water Construction budget includes an increase of $72,000 for additional water line replacement projects that
will be completed during the upcoming year.

 The main reason for the $2,669,900 reduction in projected spending within the Sewer Construction budget is due to
that fact that costs related to the EPA AO are now being handled in the recently created EPA AO Capital Project
Fund.

 The $2,057,600 increase in projected spending within the Special Appropriations budget is due primarily to three
items. First, there is a contribution of $1,100,000 to the Mega Park Capital Project Fund. Second, with a total of
$3,659,000 being moved from the fund balance within the Water & Sewer Fund to the EPA AO Capital Project Fund
($2,059,000) and the Mega Park Capital Project Fund ($1,600,000) to fund the City’s portion of these projects, a total
of $493,100 has been included under the line item Fund Balance Reimbursement – Capital Projects to start
replenishing the fund balance within the Water & Sewer Fund for this combined transfer of $3,659,000. Third, due to
the magnitude of work and staff time that will be spent on the $52,215,200 EPA AO Sewer Project and the Mega
Park Water Project over the course of the next several years, the line item Contribution To G/F-Adm. Charges has
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been increased by $456,000 since more resources from the General Fund will be doing work on Water & Sewer Fund
related items.

 The $500,000 allocated as a contingency in the Water & Sewer Fund is unchanged from the current year.

 The Billing and Collections and Collection & Distribution Divisions each have funds included in the FY 2017-18
budget for various capital outlay needs. Those items included for funding include:

Replace AMR Meters As Needed – Billing & Collections $ 10,000
Purchase of Hydro-Vacuum Excavator – Collection & Distribution $ 150,000 (1)
Replace Pneumatic Hammer Boring Tool – Collection & Distribution $ 8,600
Purchase ATV for Outfalls – Collection & Distribution $ 22,000
Total $ 190,600

(1) Installment Purchase Agreement – First of Five Annual Payments Will Be Made In FY 2018-19

 The hydro-vacuum excavator for the Collection and Distribution Division will use high pressure water to loosen and
break up large volumes of dirt so that a giant vacuum tube can suck up the loosened soil into a debris container and
separate the water from the dirt. This type of excavation is extremely helpful when there are multiple and/or highly
sensitive utilities located underground in an excavation area. This is becoming a far greater problem as more and
more fiber optics is being installed. This unit will allow excavation for emergency repairs to begin prior to
emergency underground utility locates being completed. The machine will allow our crews to remove dirt in the
excavation area immediately without damaging underground utility lines, and it will make excavations more
expedient and more cost effective than using a backhoe alone. This piece of equipment will not replace the need for a
backhoe but it will make excavations start faster and be safer by exposing existing utilities while reducing the risk of
damage to the lines, equipment and personnel.

 The four passenger four wheel drive ATV for the Collection and Distribution Division has a 10-12” ground
clearance and will be used to haul flow monitoring equipment and safety equipment for confined space entry along
with personnel as we embark on the significant amount work related to our Sanitary Sewer Outflows (SSOs) and the
EPA AO. This ATV will allow us to inspect and access our outfalls throughout the rehabilitation process and
beyond. Many of our work areas are difficult to access and there will be a need to haul personnel and equipment in
and out on a regular basis.
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 The 1987 Pneumatic Hammer Boring tool is at a point where it can no longer be repaired. This tool is used by the
Collection and Distribution Division to provide horizontal bores beneath roads, sidewalks, railways and landscaping.
This type of trenchless technology allows for minimal operating space and the tool serves as a complement to regular
trenching. In addition, the tool is very beneficial in areas where trenching is problematic and more expensive.

 The Water Filtration Department budget includes $96,800 to address the following three capital outlay needs:

Repair/Replace 1977 Mud valves $ 52,000
Replace 1992 Alum Storage Tank $ 40,000
Install Cover over Brick Wall $ 4,800
Total $ 96,800

 The mud valves that need replacing at the Water Treatment Plant are part of the original construction in 1977. The
valves will no longer close to allow maintenance or cleaning of the sedimentation basins. The mud valves will be
replaced or repaired depending upon what we discover once we shut the plant down and drain down the basins to
allow for a more extensive visual inspection.

 The 1992 Alum Storage Tank at the Water Treatment Plant is an 11,000 gallon bulk chemical tank used to hold alum,
which is a chemical used in the water treatment process as a coagulant. The exterior coating is flaking off and the
fiberglass that this tank is made of is showing serious signs of deterioration.

 The brick over the windows in the filter gallery at the Water Treatment Plant are leaking water during rain events.
This is causing the window frames to rust. The frames were first designed to go from the floor to the ceiling. At some
point in time, the lower part of the window frame was covered with brick. This made it very hard to get the frames
replaced. After speaking with others, staff has decided that covering the brick wall area over the filters will be the
best option.

 The Wastewater Treatment Department budget includes $32,700 to address the following two capital outlay needs:

Replace a Portion of the Aging Aerators with New Models and/or New Frames $ 28,000
Replace Hach DR 3900 Lab Analysis Instrument $ 4,700
Total $ 32,700

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 We currently have 12 aerators for our basin and 4 for the digester at the Wastewater Treatment Plant along with
several old units that were pulled out of the second basin. Due to exposure to the elements and wastewater
conditions, these units are experiencing a great deal of wear. Several of the frames are completely broken and unable
of being repaired. The $28,000 included in the budget for next year will allow us to replace a portion of the aging
aerators with new models and/or new frames. There is an additional need of approximately $165,000 to replace the
remaining aerators over the next three years.

 The Hach DR 3900 Lab Analysis Instrument is in need of being replaced at the Wastewater Treatment Plant because
our previous instrument is obsolete and breaks on a regular basis. Hach Wastewater tests are specialty tests only
using Hach equipment and reagents but are approved for reporting purposes by the State. We currently do low level
chlorine testing which has to be done onsite due to the short hold time. In addition, we believe this newer instrument
may allow us to become certified to run other lab analysis tests in-house instead of being required to send them out to
a contract lab that costs us more money.

 The Water Construction budget includes $450,000 for eleven different initiatives during FY 2017-18. This represents
an increase of 72,000 or approximately 19.05% when compared to the amount initially allocated for FY 2016-17
which equals $378,000. The projects requested by Mr. Bev O’Dell, Director of Engineering are designed to address
the following critical needs:

Sunset Drive Street Project – 825 ft. of 6” DIP WL $ 115,000
Jackson & Farrell Street Project – 780 ft. of 6” DIP WL $ 104,000
West Arbor Lane Project – 965 ft. of 6” DIP WL $ 101,000
North Byrd Street Project – 370 ft. of 6” DIP WL $ 30,000
Merriman Street Project – 450 ft. of 2” PVC WL $ 30,000
Wildflower Lane Project – 400 ft. 2” PVC WL $ 23,500
Severe Water Line Replacement Projects as Needed $ 15,000
Jackson Street Project – 800 ft. of 6” DIP WL $ 10,000
Morehead Street Project – 845 ft. of 6” DIP & PVC WL $ 8,000
Carolyn Court Project – 535 ft. of 2” PVC WL $ 7,500
Automatic Flushing Device Installations (3) $ 6,000
Total $ 450,000

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 The Sewer Construction budget includes $703,700 for six different initiatives during FY 2017-18. This represents a
decrease of $2,669,900 or approximately 79.14% when compared to the amount allocated for FY 2016-17 which
equals $3,373,600. The projects requested by Mr. Terry Shelton, Director of Public Utilities are designed to address
the following critical needs:

Covenant Branch – Meadow Greens Force Main $ 361,600
Tanyard Branch Project Supplemental Street Paving $ 192,100
Inflow & Infiltration Repair/Sewer Fix It Program $ 50,000
Maintenance/Repairs – Sewer System $ 50,000
Sewer Construction Professional Services As Needed $ 40,000
Pump Station Upgrade for Harris Place – Engineering & Design $ 10,000
Total $ 703,700

 The Covenant Branch and Meadow Greens Force Main Relief project is proposed to enhance capacity and to increase
redundancy of the Covenant Branch and Meadow Greens Pump Stations by building additional connections for each
pump station to the Railroad Force Main. This allows for backup reliability should the Covenant Branch Force Main
fail. It would also allow flow from the Meadow Greens Pump Station to be diverted in the event of a Meadow
Greens force main failure or a problem at the Junction Pump Station. It builds in flexibility and redundancy to avoid
situations that can lead to SSOs. This project is designed to connect the Covenant Branch and Meadow Greens Force
Mains to the existing under-utilized Railroad Pump Station Force Main. This would increase capacity at Covenant
Branch and Meadow Greens Pump Stations by reducing the head pressure the pumps must work against and may
increase pump output. The City of Eden has had a long history of SSOs at both the Covenant branch and Meadow
Greens Pump Stations. These two pump stations have been renovated, but each pump station still relies on the
original force mains. During wet weather with high flows, the capacity of these force mains can be maximized. The
total projected cost for this project at this time is $564,811. The project has received $534,811 in grant funding from
the Session Law 2014-100 yielding $500,000 and a HUC Grant (High Unit Cost) of $34,811. The City will be
responsible for funding the remaining $30,000 of this project. This project was designed and bid during the latter part
of 2016 and the early part of 2017. Construction should be ready to begin in May of 2017 and will be completed
during FY 2017-18. A total of $361,600 has been included in the Sewer Construction budget to complete this
project. Offsetting this $361,600 in expenses is projected revenue of $361,600 from the grant sources noted above
that is reflected in the Water & Sewer fund revenues.

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 The $192,100 for the supplemental street paving related to the Tanyard Branch Sewer Project is for the repair and
resurfacing of eight street sections that were severely damaged due to rock excavation and dynamite blasting during
the course of the project. Due to the rough working conditions of excavating the pipe trenches that went beyond the
scope of the project, road pavement was disturbed to a much greater degree than the project expected prior to
construction. The street sections include: Glovenia, Henry, Moir, Monroe (2 sections), Patrick, Dyer and Taylor.

 The Inflow and Infiltration (I & I) Repair/Sewer Fix It program is designed to repair thousands of small defects and
problems that have been found by smoke testing and camera work on public and private property where there are
sewer lines. The City’s Outfall Crew will address defects that have been found in the City’s Sewer Right of Ways.
The larger defects that have been found on private property will be treated as a nuisance abatement under our
ordinances for the property owners to fix. A total of $50,000 has been included for FY 2017-18 within the Sewer
Construction budget to cover the costs encountered by our crew’s work and/or contractors. This will be an ongoing
program with recurring costs for many years to catch up on all of the work that needs to be done. In fact, it is likely
that we will always have a need for this program in the future. Abatement of our Inflow & Infiltration issues is
critical to complying with the mandated EPA AO.

 The Harris Place Pump Station Upgrade project will entail the replacement of existing pumps with large capacity
pumps. Rapid growth in the area has outgrown the capacity of the original pump station. New pumps of higher
capacity are needed to support the additional flow from two new apartment complexes. Upgrading the pumps now
will allow the area to grow and maintain this area without fear of SSOs due to the flow exceeding the capacity of the
pumps. The Pump Station manhole may require some rework to install new pumps of a larger size and possibly a
different physical configuration. This pump station was built and put in service when the new Walmart was built. A
total of $10,000 has been included in the Sewer Construction budget for an engineering and design study.

 The FY 2017-18 budget includes a projected utility service fee payment to the General Fund from the Water and
Sewer Fund in the amount of $2,176,700. It is very important to remember that this is nothing more than the Water
and Sewer Fund reimbursing the General Fund for the pro-rated expenses attached with various water and sewer
related expenses that are expensed in the General Fund. If this transfer was ever stopped then new line items and
expense departments/divisions would need to be created within the Water & Sewer Fund to cover all of these
expenses because the Local Government Commission and our independent auditing firm would have a serious
problem with General Fund revenues being used to subsidize expenses associated with the Water & Sewer Fund
services and activities. In fact, the financial reporting standards required by the state and other agencies direct that
the funds being used to pay for various water and sewer related expenses expensed in the General Fund be allocated
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back as an administrative charge to the appropriate General Fund department/division providing the service to the
Water & Sewer Fund. Due to the EPA AO Capital Project and the Mega Park Capital Project and other various
priorities and needs within the Water & Sewer Fund current and additional staff members assigned to the General
Fund will be required to spend substantially more time on Water & Sewer related tasks during FY 2017-18 through at
least FY 2022-23. The actual breakdown of the administrative charges for FY 2017-18 is as follows:

Department/Division Amount To Be Offset

Governing Board $ 59,100
Administrative & Legal Services $ 72,200
Finance & Human Resources $ 440,000
Economic Development $ 58,900
Information Technology $ 179,600
Facility and Grounds $ 610,000
Engineering $ 273,600
Streets $ 257,700
Planning & Inspections $ 106,300
Fleet Maintenance $ 119,300
Total $2,176,700

 During the next five years we will be undertaking a staggering $52,215,200 in Water and Sewer Infrastructure work
that will dominate our time and resources:

• EPA Administrative Order $33,725,600
• Mega Park Waterline $18,489,600
Total $52,215,200

There will be additional funding needed for capital outlay improvement needs associated with our Water Filtration
Plant, Wastewater Treatment Plant, Collection and Distribution, Water Resources, Administrative, Inspection and
Legal Services, and Billing and Collections Divisions, as well as other Water Construction and Sewer Construction
needs.

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 If we examine water and sewer related capital expenditures over a period of time we see that Eden has made a
substantial commitment towards the improvement and care of its infrastructure. As our rates have increased our
commitment to our infrastructure improvements has increased. From FY 2001-02 through FY 2015-16 the City spent
approximately $56,523,910 on a variety of water and sewer infrastructure needs. Most of this spending has been due
to various unfunded mandates forced upon our taxpayers by various regulatory agencies from the state and federal
government. As we enter FY 2017-18 (sixteen budgets later) the City is still facing a multitude of capital
infrastructure needs as evidenced by the Five Year Capital Outlay Program, the work being forced upon us due to the
EPA AO and the water line extension project to serve the Mega Park.

EPA Administrative Order

 From 1987 – 2001, Eden averaged 2,028,819 gallons in sanitary sewer overflows (SSOs) on an annual basis. Despite
being blessed with an abundance of water and sewer using industries that generated significant water and sewer
revenue the city did not use that time to make a significant investment towards addressing its on-going problems
associated with inflow/infiltration (I/I) and the SSOs.

 Since 2001 the city has spent over $40,000,000 on improvements to our sewer collection system related to battling
inflow/infiltration (I/I) and reducing our problems with SSOs.

 During the first seven months of FY 2016-17 we experienced nine SSOs (Sanitary Sewer Overflows) totaling
107,950 gallons. Eight of the overflows were due to Inflow and Infiltration during and following storm events
releasing 106,650 gallons of untreated wastewater. The vast majority of the sewage was released during a storm event
on October 8, 2016 that dropped almost 4 inches of rain in 24 hours. The ninth overflow was due to a blockage that
released 1,300 gallons of sewage to surface water. It should be noted however, that between April 15, 2015 and July
1, 2016 there were just 4 SSOs months totaling 22,940 gallons. Two of these were caused by blockages and totaled
2,580 for both. The third was due to operator error during which 360 gallons of sewage was lost to surface water. The
last one was due to a failure of one or more of the air release valves on the Covenant Brach force main releasing
20,000 gallons which fortunately was captured by the old MGM treatment plant, preventing the flow from reaching
the Dan River. All these air release valves have now been replaced. The on-going work being done to repair our
sewer lines and pump stations continues to have a significant impact on SSOs during average rainfall periods, but
additional work is still needed to fully control Inflow and Infiltration in high rainfall situations.

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 Despite our extensive investment and work, the Environmental Protection Agency (EPA) does not tolerate ANY
wastewater overflows. They have a zero tolerance policy, despite it being nearly impossible to stop all wastewater
overflows when you have sudden and significant rainfall. The city is at the mercy of this federal agency. If it does
not comply with this unfunded mandate, the city risks daily fines of up to $37,500 for each violation as well as
possible criminal penalties.

 In early 2017 the EPA approved the remediation plan submitted by the City and on March 18, 2017 the clock began
on the five-year implementation period for fulfilling our mandated obligations in relation to the EPA AO that was
initially issued on January 3, 2012.

 As of January 31, 2017 a total of $15,391,673 had already been spent on this unfunded mandate. The funding to date
has included:

• 0% and low interest loans $10,961,507
• Principal forgiveness loans $ 4,034,000
• Eden pay-as-you-go funding $ 396,166

The remaining work has a projected cost of $33,725,600. Thanks to the NC Connect Bond, funding for the
remainder of this work will come from:

• NC Connect Bond Grant $16,666,000
• NC Connect Bond Loan @ 0% $15,000,000
• City of Eden Funds $ 2,059,600
Total $33,725,600

The $2,059,600 from the Water & Sewer Fund was transferred from the existing fund balance within the Water &
Sewer Fund and placed into this new Capital Project Fund for the EPA AO after the City Council vote on March 21,
2017.

 On March 21, 2017 City Council approved the creation of a Capital Project Fund for the EPA AO Sewer Project in
the amount of $33,725,600.

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 The tentative projected schedule of construction for the remainder of this work is as follows:

• January 2017 – Award of Connect Bond Funding
• June 2017 – Engineering Report Submittal
• November 2017 – Engineering Report Approval
• May 2018 – Bid and Design Package Submittal
• September 2018 – Bid and Design Package Approval
• October 2018 – February 2019 – Bid Process, Submit Bid Information, Receive Authority to
Award, Execute Construction Contracts, and Issue Notice to Proceed
• February 2019 – February 2021 – Construction
Dates beyond This Point Are Determined By When Contracts Are Actually Executed
• February 2021 – Final Walk Through & Inspections
• May 2021 – Submission of All Reimbursement Documentation
• July 2021 – Possible Issuance of Promissory Note
• May 2022 – Anticipate the First Payment on Loan Due

 We currently make a combined principal/interest payment of $1,251,000 on $14,375,755 in loans that were taken out
during 2007 and 2008 with an average interest rate of 3.73%. These loans will be paid in full at the conclusion of FY
2021-22. One of the funding strategies we identified previously and intend to pursue is to roll-over this existing
$1,251,000 in debt service payments that is already built into our existing rate structure and will become available for
re-appropriation in FY 2022-23. This should cover the $15,000,000 0% interest loan for the EPA AO.

Mega Park Waterline Extension Project

 On March 21, 2017, City Council approved the creation of a Capital Project Fund for the Mega Park Water Line
Project in the amount of $18,489,600. The funding for this project at this time will include:

• Drinking Water State Reserve Grant $ 1,886,700
• Loan @ 0% $ 3,000,000
• Loan @ 1.53% (maximum rate) $12,002,900
• City of Eden Funds $ 1,600,000
Total $18,489,600
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A total of $500,000 from the Water & Sewer Fund was transferred from the existing fund balance within the Water &
Sewer Fund and placed into this new Capital Project Fund for the Mega Park Water Line Project after the City
Council vote on March 21, 2017.

The remaining contribution of $1,100,000 from the City’s Water & Sewer Fund has been included in the budget as
submitted. It should also be noted that staff is continuing its efforts to try and secure additional grants for this project
so that the loan totals can be further reduced.

 A breakdown of the additional funding that is still being pursued includes:

• $2,000,000 EDA grant application – decision: September 2017
• $10,000,000 Alternative grant funding – decision: August 2017
• Golden Leaf Foundation grant will be submitted during the next round of mega site grants – 2018

 The tentative projected schedule of construction for the remainder of this work is as follows:

• January 2017 – Award of Connect Bond Funding
• June 2017 – Engineering Report Submittal
• November 2017 – Engineering Report Approval
• May 2018 – Bid and Design Package Submittal
• September 2018 – Bid and Design Package Approval
• October 2018 – February 2019 – Bid Process, Submit Bid Information, Receive Authority to
Award, Execute Construction Contracts, and Issue Notice to Proceed
• February 2019 – June 2020 – Construction
• Dates beyond This Point Are Determined By When Contracts Are Actually Executed
• June 2020 – Final Walk Through & inspections
• August 2020 – Submission of All Reimbursement Documentation
• October 2020 – Possible Issuance of Promissory Note
• May 2021 – Anticipate the First Payment on Loan Due

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Water & Sewer Rates

 The Water & Sewer Fund is an enterprise fund which means that annual revenues must (at a minimum) equal annual
expenditures. If the operational costs, debt service costs and capital outlay costs are exceeding the amount of
revenues being generated then the City Council needs to raise its rates accordingly and/or reduce its costs
accordingly. This is consistent with what the auditors and Local Government Commission (LGC) previousl y
communicated to the City during the 1990s’ when annual expenditures traditionally exceeded annual revenues and
little money was being spent on capital outlay.

 The FY 2017-18 budget ELIMINATES the 14.99% average (3,381 gallons per month) water service and sewer
service rate increase ($63.26 to $72.74) initially approved by the City Council on November 17, 2015 that was due to
become effective on September 1, 2016 but was then postponed until January 1, 2018 by the City Council on May 17,
2016. Specifically, it’s recommended this increase be DELAYED until January 1, 2019 at which time it would go
into effect as previously discussed. This will mean there would have been a period of three years between rate
increases.

 The main reason we are able to fund the necessary appropriations for FY 2017-18 without the previously approved
water service and sewer service rate increases is due to the anticipated treatment of leachate from Duke Energy. It is
anticipated that Duke Energy will start pumping leachate to us during May of this year. Based on the rates previously
established and adopted by the City Council and the projected flows we have received from Duke Energy we project
collecting $3,112,830 in revenue from this revenue source during FY 2017-18.

 Unfortunately, during the past ten years, Eden has lost nearly 1,500 jobs and approximately $4,893,691 in NET
water/sewer revenue per year as a result of four industry closings:

Parkdale Mills (11-01-06) Hanes Brand International (02-05-09)
Liberty Textiles (07-31-07) MillerCoors (09-01-16).

The amount of water/sewer expenses the City was capable of eliminating as a result of these plant closings was
minimal and essentially restricted to just electricity and chemicals.

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 A review of recent trends in water and sewer usage for six different fiscal years reveals the following:

Fiscal Year Billable Water Billable Sewer
2005-2006 3,150,306,200 Gallons 1,769,763,100 Gallons
2011-2012 1,770,174,700 Gallons 512,557,100 Gallons
2012-2013 1,555,782,500 Gallons 470,638,200 Gallons
2013-2014 1,475,073,900 Gallons 459,190,300 Gallons
2014-2015 1,411,789,200 Gallons 438,009,500 Gallons
2015-2016 1,345,357,800 Gallons 476,470,399 Gallons
57.3% reduction since FY 05-06 73.1% reduction since FY 05-06

 A review of the statistics for our average residential gallons used per month reveals a consistent decline:

07/01/2009 to 06/30/2010 Average Monthly Residential Usage was 4,691 gallons per month
01/01/2011 to 12/31/2011 Average Monthly Residential Usage was 4,465 gallons per month
03/01/2012 to 02/28/2013 Average Monthly Residential Usage was 4,117 gallons per month
03/01/2013 to 12/31/2014 Average Monthly Residential Usage was 4,092 gallons per month
01/01/2015 to 12/31/2015 Average Monthly Residential Usage was 4,101 gallons per month
01/01/2016 to 12/31/2016 Average Monthly Residential Usage was 3,381 gallons per month

All of this data is very troubling because reduced usage equals less revenue to address unfunded mandates such as
the EPA Administrative Order, the water line extension project to the Mega Park, 2” waterline replacement projects
and a multitude of other capital needs facing our water and sewer system.

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 The current average water and sewer rates (4,000 gallons of residential usage) being charged here in Eden for
customers living inside our corporate limits compared to the statewide average and rates being charged in other
communities within Rockingham County is as follows.
Community Water Sewer Total
Eden – Prior to 7/1/14 $23.91 $24.84 $48.75
Eden – Effective 7/1/14 $26.85 $33.26 $60.11
Eden – Current (1/1/16) $32.71 $37.72 $70.43
Madison $33.88 $38.06 $71.94
Mayodan $17.36 $17.36 $34.72
Reidsville $15.80 $38.90 $54.70
Rock. County $44.33 $37.16 $81.49
Stoneville $25.02 $25.02 $50.04
Dan River Water $41.25 $------- $41.25
N.C. State Average $28.00 $34.51 $62.51

* Based on 4,000 gallons of usage per month inside corporate limits and
information gathered by Eden Director of Finance and Personnel –
March 2017. The NC State averages are from the 2017 SOG NC Water
and Wastewater Rates Dashboard. Also, note that Dan River Water
represents a water only figure.

 As noted previously, from FY 2001-02 through FY 2015-16 the City has spent approximately $56,523,910 on various
improvements to its water and sewer systems. Most of this spending has been due to various unfunded mandates
forced upon our taxpayers by various regulatory agencies from the state and federal government. This level of
funding combined with the industry closings noted previously, and the corresponding drop in billable water and sewer
gallons have had a devastating impact on our water and sewer revenues and is the reason behind WHY the City
Council has been forced to raise water and sewer rates so substantially over the course of the past sixteen years.

 Unfunded mandates set forth by the state and/or federal government continues to place an undue burden on our
citizens and the water and sewer rates that are required. It is important to note that these are not projects initiated by
the Mayor, members of City Council or city staff. However, they are projects that MUST be completed due to the
actions taken by either the state or federal government. The costs associated with unfunded mandates such as the
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EPA Administrative Order (sewer system) and the Disinfection/Disinfection Byproducts Regulations –
bromide/trihalomethane issue (water system) have and will continue to require substantial sums of money in order to
achieve compliance over the course of a several-year time period.

Self-Insurance Fund – Internal Service Fund

 On July 1, 1995, the City of Eden began its self-insured insurance coverage program. The City carries a reinsurance
policy for payment on all specific claims in excess of $55,000 once the one-time aggregating specific corridor of
$155,000 has been met. Once the one-time aggregating specific corridor has been met any excess above $55,000
claimed on any individual is reimbursed to the City by the reinsurance carrier unless the reinsurance carrier has
assigned a pre-determined laser on a specific individual due to an existing condition and/or previous claims history.
The lifetime maximum per covered individual is currently unlimited.

 According to the City’s audit for the year ending June 30, 2016 the total expenditures for FY 2015-16 equaled
$2,988,983 (actual claims = $2,475,641 and fixed costs = $513,342) while the total revenues for FY 2015-16 equaled
$2,551,093. As you will remember, the City Council transferred $453,600 in fund balance from the General Fund
and Water and Sewer Fund during FY 2015-16 to make sure the Self-Insurance Fund remained balanced. For FY
2017-18 it is projected that our total expected fixed costs will equal $464,100 and our total expected claims will equal
$2,478,400 for a combined total of $2,942,500 in expected costs based on estimates we received from Mr. Bill Kiser,
Pinnacle Benefit Resources and Healthgram, Inc. As we have done in the past, the self-insurance fund includes the
necessary funding to cover the expected costs of $2,942,500 that have been provided. If additional funds become
necessary then a transfer of funds or budget amendment will be needed at some point prior to June 30, 2018.

 The City currently has a policy (adopted in 2002) for the provision of health/dental insurance coverage for those
employees retiring with at least twenty years of service. The policy is as follows:

· At least 20 years of service but less than 25 years – 50% of the monthly premium cost up to a max of
$275.00/month is provided by the City.
· At least 25 years of service but less than 30 years – 75% of the monthly premium cost up to a max of
$412.50/month is provided by the City.
· At least 30 years of service – 100% of the monthly premium cost up to a max of $550.00/month is
provided by the City

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There are twenty-three (23) individuals who currently participate in the City’s health insurance program that are not
active full time equivalent (FTE) employees. These include both retirees as well as individuals who retired as the
result of a work-related disability or worker’s compensation claim.
Currently, we have no individuals being covered who retired with at least twenty (20) years but less than twenty-five
(25) years of creditable service. We have two (2) individuals that retired with at least twenty-five (25) years but less
than thirty (30) years of creditable service. Currently, the City pays up to a maximum of $412.50 per month (unless
the Budget Ordinance stipulates otherwise) for their monthly health/dental insurance premium with the difference
being paid by the retiree. We have nineteen (19) individuals who retired with at least thirty (30) years of creditable
service. Currently, the City pays up to a maximum of $550.00 per month (unless the Budget Ordinance stipulates
otherwise) for their health/dental insurance premium with the difference being paid by the retiree. Finally, we have
two (2) individuals who have retired as the result of a work-related disability or worker’s compensation claim. The
City currently pays 100 % of their monthly insurance premium. Dependent coverage for all retirees is the
responsibility of the retiree.
For FY 2017-18 the budget includes a premium of $1,083.00 per month ($1,048.00 for medical and $35.00 for
dental) per plan member (employees and retirees).

During the annual budget/planning retreat the consensus of the Mayor and members of Council was to keep the
premium levels being paid by retirees at their current level for FY 2017-18. As such, the monthly premiums for
retirees during FY 2017-18 will be as follows:

Years of Service No.# of Current Retirees Monthly Premium for Retiree Coverage

At least 30 Years 19 $ 300.00

At least 25 Years but less than 30 Years 2 $ 437.50

At least 20 Years but less than 25 Years None $ 600.00

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 The monthly premiums proposed to be paid by the employees and retirees for dependent coverage are as follows:

Category Monthly Premium
Children $ 200 Health and $ 35 Dental = $235.00
Spouse $ 315 Health and $ 35 Dental = $350.00
Family $ 450 Health and $ 35 Dental = $485.00

 The Employee Wellness Committee strives to promote a culture of health, wellness and lifestyle choices/changes
designed to improve the health and wellness of our plan members. However, the key to a successful wellness
program is member participation. Previously, the City Council approved a program designed to incentivize
participation of all members and covered dependents 18 years of age and older. For the upcoming 2017-18 medical
plan year (May 1, 2017 through April 30, 2018) we will offer the following two options:

Option 1

Members and covered dependents 18 years of age and older who do the following by December 31, 2017 will see no
additional changes in their premium levels beyond what was already set forth and discussed in the FY 2017-18
budget message:

1. Annual blood work profile as recommended by Healthgram with the results being reviewed and evaluated by the
proper medical official/organization involved in obtaining the blood work profile for any biometric data that suggests
an abnormal lab result.

2. Any individual who meets the qualifications for age as determined by the U.S. Preventive Services Task Force
must, when requested, undergo all cancer screening tests recommended by the U.S. Preventive Services Task Force
for age, unless a licensed healthcare provider substantiates the necessity of the member not participating in such
screenings. All current employees will continue to be allowed to undergo any recommended cancer screenings
during the normal work period without penalty for the time missed.

Currently, the applicable preventative cancer screenings include the following:

a. Breast cancer screening (mammogram): Ages 40-69; every 2 years
b. Cervical cancer screening (pap smear): Ages 21-64; every 3 years
48

c. Prostate cancer screening (PSA blood test): Ages 50-75; every 10 years
d. Colorectal cancer screening (colonoscopy): Ages 50-75, men and women; every 10 years

A reasonable alternative or a waiver of the standard will be available for any individual for whom it is unreasonably
difficult to meet the standard outlined in Option 1 because of a medical condition or for whom it is not medically
advisable to attempt to meet the standard.

Option 2

Members and covered dependents 18 years of age and older who decide they do not want to voluntarily pursue
Option 1 and do not complete each of the required participatory elements for Option 1 will be determined as having
selected Option 2. Effective January 1, 2018, there will be an additional monthly premium of $100 per individual for
those that have elected to be covered under Option 2. This amount is above and beyond any other premiums that may
already be being paid. For example, if an employee and their spouse both prefer Option 2 then their monthly
premiums will increase by $100 each per month for all twelve months in 2018. In the event a member and/or their
covered dependents 18 years of age and older decide to participate in Option 1 and have met each of the participatory
thresholds by December 31, 2018 then they will no longer be required to pay the additional premium of $100 each
per month during 2019.

Each member and covered dependent has a responsibility to do what they can to promote their own wellness and to
help minimize the costs associated with our self-insurance plan. All preventative screenings and exams are free of
charge and statistics indicate that 80% of the various diseases are modifiable or preventable.

Personnel

 During the February 25, 2017 annual budget/planning retreat a pay increase for staff was established as a priority for
FY 2017-18. The budget as submitted includes a flat $700 pay increase for all full-time employees. This $700 will be
paid out in one lump sum in December to those full-time employees with at least one year of service.

 There are currently 174 full-time employees working for the City of Eden. This is a reduction of 4 full-time positions
since July 1, 2016 and a total of 8 full-time positions since October 2015. Our current full-time employment levels
compare very favorably to the 203 full-time positions that were funded in FY 1995-96 and the 189 full-time positions
that were being funded when I was hired as City Manager during FY 2000-01.
49

 The FY 2017-18 spending plan includes funding for 176 full-time positions. One of the new positions is the Main
Street Manager position that is recommended in the “Positively Eden” Strategic Plan. The second position is a
Construction Inspector to assist with the extensive Water and Sewer work that will be completed within the next five
years. Funding for a significant portion of the Construction Inspector position will come from the EPA AO Capital
Project Fund and the Mega Park Capital Project Fund.

 On October 7, 2015 I made a power point presentation outlining a number of recommendations concerning various
reduction in force initiatives. I noted that due to the loss of recurring revenue sources and a general weakening of the
Eden economy I believed we needed to look internally to see what we can do to reduce costs without sacrificing the
services our citizens are accustomed to receiving. As you remember, we will be reducing our workforce through
attrition as follows:

 Collection & Distribution Division – 2 full-time positions: Municipal Service Technician “Floater”
Laborers – This has been completed.

 Facilities & Grounds Division – 1 full-time position: Custodian – This has been completed.

 Municipal Services Department – 5 full-time positions: Superintendent of Streets, Superintendent of
Solid Waste, Superintendent of Fleet Maintenance, Superintendent of Facilities & Grounds and Chief
Systems Operator of Collections & Distribution – One of these positions has been completed.

 Parks & Recreation Department – 1 full-time position: Administrative Assistant III.

 Police Department – 3 full-time positions: 2 COPS Grant positions that never existed prior to FY 2009-
10 and one of the three Administrative Assistant III positions – Two of these positions has been
completed.

 Fleet Maintenance Division – 1 full-time and 1 part-time position: Parts Clerk full-time position and the
part-time Mechanic position – The Part-Time position has been completed.

 Water Filtration Department – 1 full-time position: Water Treatment Plant Operator – This has been
completed.
50

 Wastewater Treatment Department – 1 full-time position: Wastewater Treatment Plant Operator – This
has been completed.

 Economic Development/Tourism Department – 1 full-time position: Coordinator of Tourism & Special
Projects/Events.

 Planning & Inspections – 1 full-time and 1 part-time position: First full-time vacancy will result in
realignment of departmental staff and the part-time Planning & Inspection Technician position – The
Part-Time positions has been completed.

 Fire Department – 2 part-time positions: 2 of the 3 day-time part-time Firefighter positions (Council
requested that these positions be restored) – This had been completed but a majority of Council
restored these positions in May 2017.

 Health Coach – 1 part-time position: part-time Health Coach position – This has been completed.

The annual total projected savings outlined in the October 7th presentation by eliminating the 17 full-time and 5 part-
time positions (based on current salaries and benefits at that point in time) equals $1,117,427. Since October 7, 2015
we’ve eliminated 8 of the 17 full-time positions and 3 of the 5 part-time positions.

 A copy of the proposed FY 2017-18 job and classification plan has been included within the “Personnel” section of
the FY 2017-18 budget document and will be adopted as a component of the Budget Ordinance.

 The life insurance, short-term disability and accidental death insurance coverage rates have remained unchanged.

 A Christmas Allowance of $300 per full-time employee with at least one year of service is included in the Salaries
line item for each department and division. This is the same amount that was allocated during the past fiscal year.

 The projected revenues within the General Fund include $158,600 that we anticipate receiving from the Rockingham
County School System as a reimbursement for costs associated with the three School Resource Officer positions that
work at Morehead High School, Holmes Middle School and the four elementary schools in Eden.

51

 Due to a change in the experience modifier used to calculate our premium, our insurance premiums related to
worker’s compensation coverage is expected to increase by $61,500 or approximately 22.96% from a grand total of
$267,800 in the current fiscal year compared to a projected cost of $329,300 for the upcoming year. You will
remember that during the current fiscal year we had a very serious accident that resulted in a significant worker’s
compensation claim.

 Due to the weakened economy and investment losses in the State’s Retirement System portfolio, the municipalities
across North Carolina have been forced in recent years to fund a higher percentage of salaries to meet their annual
retirement expense obligations. Prior to, and including FY 2009-10 the State only required a contribution of 4.80%
for all employees except sworn law enforcement officers who had a contribution rate of 4.86%. In our current FY
2016-17 budget we were required to fund a contribution rate of 7.25% for all employees except sworn law
enforcement officers who had a contribution rate of 8.00%. Unfortunately, we have been informed that the rates will
be increased for FY 2017-18 to 7.50% and 8.25% respectively.

 Information concerning the number of full-time employees that worked for the city during FY 1995-96 and FY 2000-
01 compared to our current totals is as follows:

Total Number of Full-Time Employees – Historical Data

Department/Division FY 1995-96 FY2000-01 Current
Administration 5 4 2
Legal (A) 0 0 1
Human Resources 2 2 1
Finance & Billing/Collections 8 7 8
Economic Development/Tourism (B) 0 0 2
Information Technology (C) 0 0 2
Engineering 3 3 3
Planning & Inspections 5 4 5
Police 57 62 49
Fire 17 17 16
Municipal/Environmental Services 2 2 2
Streets 19 15 15
Solid Waste 17 13 10
52

Parks, Recreation & Facility Maint. 15 13 0
Parks & Recreation 0 0 8
Facilities & Grounds 0 0 7
Fleet Maintenance 6 6 6
Treatment Plants & Water Resources 32 30 21
Collection & Distribution 15 11 16
Grand Total 203 189 174

Notes:

(A) The City previously contracted with a licensed attorney on a part-time basis for the provision of legal
services. Funds were spent during FY 1995-96 as well as FY 2000-01 for legal services.
(B) The City previously relied completely on the Rockingham Committee of 100 for the economic
development and tourism services.
(C) The City previously contracted with private contractors for the provision of information technology
services. Funds were spent during FY 1995-96 as well as FY 2000-01 for information technology
services but not for full-time employees.
Special Revenue Funds

Special Revenue Funds are used to account for the proceeds of specific revenue sources (other than special assessments, expendable
trusts or major capital projects) that are legally restricted to expenditures for special purposes. The City will have one (1) Special
Revenue Fund during FY 2017-18: Municipal Service District Tax Fund.

Municipal Service District Tax Fund

 The Municipal Service District Tax Fund includes the tax that was voted on by the Washington Street and Draper
Village Merchants and is designated for various projects within those areas. It is essentially a “pass through” fund
and does not involve the appropriation of any funds from the taxpayers of Eden. This fund had a June 30, 2016 fund
balance of $20,454 which is an increase of $3,914 or approximately 23.66% when compared to the June 30, 2015
fund balance of $16,540. The FY 2017-18 budget includes $9,300 in anticipated revenues ($7,300 – Leaksville and
$2,000 Draper) and $9,300 in projected expenses related to this fund.
53

Fiduciary Funds

Fiduciary Funds account for assets held by the City in a trustee capacity or as an agent for individuals, private organizations, other
governmental units, and/or other funds. The City currently maintains one fiduciary fund: The Agency Fund - Runabout Travel Club
Fund.
The Agency Fund – Runabout Travel Club Fund
The Agency Fund – Run-About Travel Club Fund is custodial in nature and does not involve the measurement of
operating results. The Run-About Travel Club Fund accounts for money deposited with the City of Eden Parks and
Recreation Department for those individuals participating in the programs of its department sponsored club. The
fund balance on June 30, 2016 equaled $15,511 which is a reduction of $1,840 or approximately 10.60% from the
amount on hand as of June 30, 2015 which was $17,351. Again, this is merely a fund for its members, contributing
monies for scheduled activities and trips.
The Agency Fund – Run-About Travel Club Fund is merely a “pass through” fund and does not involve the
appropriation of any funds from the taxpayers of Eden. The FY 2017-18 budget includes $48,000 in anticipated
revenues and $48,000 in projected expenses related to this fund.
Long-Term & Short-Term Debt

 The total principal debt for the City at June 30, 2016 was $19,170,176 compared to $15,350,964 on June 30, 2015.
This is made up from two numbers, the Governmental Activities debt which is $1,923,199 and the Water & Sewer
debt which is $17,246,977. The City’s long-term debt on June 30, 2000 was equal to $11,245,827. The primary
reason for the increase during this past year is the additional debt service that has been necessary in order to address
the work that must be completed to remain in compliance with the unfunded mandate from the EPA in reference to
the AO.

 The audited financial statements for June 30, 2016 indicate the legal debt margin for the City as of June 30, 2016
equaled $66,250,808 up from $65,993,674 on June 30, 2015. As each of you are aware; the N. C. General Statutes
limits the amount of general obligation debt that a unit of government can issue to eight (8) percent of the total
assessed value of taxable property located within the government’s boundaries.

54

 The budget includes the following funds to pay for the long-term debt service related to:

 2007 $7,500,000 loan for Water & Sewer Fund projects
 2008 $6,875,755 loan for Water & Sewer Fund projects
 2008 $1,228,000 loan for General Fund projects
 2009 $569,704 Clean Water Loan ($284,852 principal forgiveness)
 2012 $2,154,934 Northern Smith River/Dry Creek Project loan ($1,000,000 principal forgiveness)
 2013 $2,969,397 Kuder Street Phase 3 loan ($1,000,000 principal forgiveness)
 2013 $4,229,128 Tanyard Branch loan ($1,000,000 principal forgiveness)
 2015 $3,762,982 Matrimony Creek loan ($1,000,000 principal forgiveness)
 2016 $1,500,000 loan for Water & Sewer Fund projects.

A breakdown of the payments related to this long-term debt services is as follows:

Category Principal Payment Interest Payment Total Payment

2007 $7,500,000 Loan (W/S) – Year 11 of 15 $ 553,400 $110,500 $ 663,900
2008 $6,875,755 Loan (W/S) – Year 9 of 15 $ 499,300 $ 87,800 $ 587,100
2008 $1,228,000 Loan (G/F) – Year 10 of 15 $ 98,600 $ 17,400 $ 116,000
2009 $ 284,852 Loan (W/S) – Year 8 of 20 $ 15,600 $ 0 $ 15,600
2012 $1,154,934 Loan (W/S) – Year 5 of 20 $ 57,800 $ 22,600 $ 80,400
2013 $1,969,397 Loan (W/S) – Year 4 of 20 $ 98,500 $ 0 $ 98,500
2013 $2,658,812 Loan (W/S) – Year 2 of 20 $ 161,500 $ 0 $ 161,500
2015 $2,762,982 Loan (W/S) – Year 2 of 20 $ 148,400 $ 0 $ 148,400
2016 $1,500,000 Loan (W/S) – Year 2 of 15 $ 85,400 $ 35,100 $ 120,500
Total $1,718,500 $273,400 $1,991,900

55

 The budget includes the following funds to pay for the short-term (5 years or less) installment purchase debt service
related to a variety of different installment-purchase agreements. A breakdown of these payments is as follows:
Department/Division Principal Payment Interest Payment Total Payment

Facilities & Grounds (G/F) $ 7,200 $ 400 $ 7,600
Police (G/F) $166,600 $ 5,500 $172,100
Fire (G/F) $ 39,100 $15,800 $ 54,900
Streets (G/F) $ 79,700 $ 4,100 $ 83,800
Powell Bill/Street Resurfacing (P/B) $ 55,000 $44,000 $ 99,000
Solid Waste (G/F) $179,900 $12,500 $192,400
Planning & Inspections (G/F) $ 5,000 $ 200 $ 5,200
Recreation (G/F) $ 9,000 $ 200 $ 9,200
Water Resources (W/S) $ 5,600 $ 200 $ 5,800
Billing & Collections (W/S) $ 5,000 $ 100 $ 5,100
Collection & Distribution (W/S) $ 64,800 $ 5,300 $ 70,100
Total $616,900 $88,300 $705,200

Interest Income

 It is projected that our interest income in FY 2017-18 will be a combined $99,000. This is an increase of $13,103
($85,897 to $99,000) or approximately 15.25% when compared to the actual revenues received during FY 2015-16
and an increase of $34,031 or approximately 52.38% compared to the FY 2014-15 total of $64,969. Information for
the past seven years reveals the following:

Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended
Fund 06-30-2016 06-30-2015 06-30-2014 06-30-2013 06-30-2012 06-30-2011 06-30-2010
General $43,582 $31,287 $29,026 $34,261 $ 48,657 $47,135 $ 90,351
Special Revenue $ 18 $ 195 $ 53 $ 9 $ 149 $ 308 $ 143
Water & Sewer $42,247 $33,368 $31,368 $37,260 $ 53,760 $42,866 $ 88,979
Self-Insurance $ 50 $ 32 $ 240 $ 230 $ 219 $ 788 $ 403
Police Pension $ 00 $ 87 $ 98 $ 35 $ 8 $ 231 $ 74
Total $85,897 $64,969 $60,785 $71,795 $102,793 $91,328 $179,950
56

Concluding Remarks
As a staff, we are a team of employees that shares values, attitudes, and a common purpose. We recognize our citizens as our central
focus and we are committed to the provision and delivery of the highest level of public service. We believe a sense of team within and
across departments/divisions is critical and we are continually sharing information and ideas in a spirit of flexibility and cooperation.
We understand and embrace the fact that teamwork is a dominant factor in our continued success.

Achieving a balanced budget has been extremely difficult but we believe this budget continues the efforts we have made in these hard
economic times to continue the level of services that we have provided in the past and puts us in a good position to meet the
challenges in our future.

I have often summarized our existing condition by saying we are facing “a very problematic situation”. On the one hand, we have
seen tremendous improvements in our overall financial condition over the course of the past sixteen plus years as voiced by
representatives of our independent auditing firm of Rouse, Rouse, Penn and Rouse, L. L. P. On the other hand, the amount of new
revenues we are generating on an annual basis is not even close to being sufficient enough to cover our annual operating expenses and
multitude of capital outlay/improvement needs – let alone various economic development and quality of life initiatives, and consistent
pay raises for our employees.

Over the past sixteen plus years we have worked diligently to improve the long-term financial condition of our City. The challenge
going forward however, is to develop a financial blueprint that will maintain the basic level of services the citizens have come to
expect, a blueprint that maintains a strong fund balance for unanticipated needs and emergencies, a blueprint that will provide
adequate funding in a timely fashion for a wide array of capital improvement and equipment replacement projects that are already
facing the City and a blueprint that will retain employees and will continue to invest in the maintenance of employee skills, knowledge
and abilities as a key community resource.

The City’s future will be determined by choices we make today. The Mayor, City Council and staff for the City of Eden are cognizant
of the economic challenges and opportunities facing our community. The budget for FY 2017-18 recognizes this fact and reflects a
level of spending that is commensurate with the current economic climate as well as the most pressing needs facing the City. I am
confident the future is bright for our City as long as we continue to maintain and support our long term vision aimed at being proactive
versus reactive in making Eden the best place possible to work, play, shop and live.

I want to assure each of you, that the management team will continue to monitor and review all operations on a continuous basis to
ensure that we are as efficient and effective in our service delivery programs as possible.
57

We have an excellent group of employees who can be characterized as professional, dedicated and hard working. They have been
called upon for several years now to make sacrifices, to do more with less and to wear multiple hats. We are a team and it is truly my
pleasure to be associated with such a fine group of individuals.

While much has been accomplished during the course of the past sixteen plus years there is much that remains to be done!

Acknowledgements

I would like to take this opportunity to express my sincere appreciation and heartfelt thanks to Ms. Tammie McMichael, Director of
Finance and Personnel, Ms. Amy Winn, CPA, Assistant Director of Finance and Mr. Terry Shelton, Director of Public Utilities for
their contributions, dedicated efforts and hard work related to the assistance they provided. They have helped tremendously and I am
very appreciative of their efforts. Additionally, it is appropriate to express credit and appreciation to Ms. Sheralene Thompson, CMC,
City Clerk and each department/division head for their constructive efforts, which also contributed to the preparation of this document.
Finally, I would like to thank the Mayor and each member of City Council for your patience, words of encouragement and guidance
throughout the entire budget process.

Engineering Report / Environmental Information Document | City of Eden | 46
8.14 Comment Response Letter (Revision #1)

August 14, 2017

Vincent Tomaino
DWSRF Branch Head, Division of Water Infrastructure
Department of Environmental Quality
512 N. Salisbury St.
Raleigh, North Carolina 27604

RE: Request for Additional Information
City of Eden
In Town Water Line Expansion
Project No. WIF-1927
Regional Mega Parle Water Line ·Expansion
Project No.: H-SRP-D-17-0015

Dear Mr. Tomaino:
Below are responses to your comments dated July 13, 2017 to the ER/EID review for the above-
referenced projects:
General Comments

1. Engineering Reports not approved by November 1, 2017 will lose assurance of funding and must reapply
for funding.

Response: Acknowledged.

2. Provide a response to all comments on a ''Comment for Comment" basis. You can include this as an
Appendix in the Revised Engineering Report.

Response: Acknowledged.

3. Submit three copies of the revised report incorporating all changes.

Response: Acknowledged.

Technical Comments

1. Include the Funding Numbers on the cover (H-SRP-D-17-0015 Regional Mega Pm Waterline Expansion
and WIF- 1927 In Town Waterline Expansion).

Response: Funding numbers are shown on the cover.

2. Include the email address of the design engineer on the cover.

Response: Email for design engineer is shown on the cover.

3. Include the name and address of the applicant and their authorized representative.

Response: Name and address for Michael Dougherty with the City of Eden is shown on
the cover.
Vincent Tomaino
Department of Environmental Quality
August 14, 2017
Page 2 of 2

4. Identify the water system by name and PWSID.

Response: PWSID is shown on the cover.

5. As discussed in the Letter of Intent to fund:

In accordance with G.S. 143-355.4, a project "for the purpose of extending waterlines or expanding
water treatment capacity" must document numerous requirements during the Engineering Report
review process. You can find additional information at the following link:
http://www.ncleg.net/eoadedlegislation/statuteslhtml/bysection/chmter143/gs 143-355.4.html

Demonstrate compliance with or inapplicability of G.S. 143-355.4.

Response: Compliance with this legislation is detailed in the executive summary on pages
5 and 6 of the revised report.

If you have any questions regarding the above comment responses, please do not hesitate to contact
me at 434-549-8504.
Sincerely,

Leslie A. Barksdale, EIT

LAB

P:\50093286\Adm\Comment Responses\2017.8.14 - ER-EID Response.docx

Engineering Report / Environmental Information Document | City of Eden | 40
8.13 Comment Response Letter (Revision #1)

August 14, 2017

Vincent Tomaino
DWSRF Branch Head, Division of Water Infrastructure
Department of Environmental Quality
512 N. Salisbury St.
Raleigh, North Carolina 27604

RE: Request for Additional Information
City of Eden
In Town Water Line Expansion
Project No. WIF-1927
Regional Mega Parle Water Line ·Expansion
Project No.: H-SRP-D-17-0015

Dear Mr. Tomaino:
Below are responses to your comments dated July 13, 2017 to the ER/EID review for the above-
referenced projects:
General Comments

1. Engineering Reports not approved by November 1, 2017 will lose assurance of funding and must reapply
for funding.

Response: Acknowledged.

2. Provide a response to all comments on a ''Comment for Comment" basis. You can include this as an
Appendix in the Revised Engineering Report.

Response: Acknowledged.

3. Submit three copies of the revised report incorporating all changes.

Response: Acknowledged.

Technical Comments

1. Include the Funding Numbers on the cover (H-SRP-D-17-0015 Regional Mega Pm Waterline Expansion
and WIF- 1927 In Town Waterline Expansion).

Response: Funding numbers are shown on the cover.

2. Include the email address of the design engineer on the cover.

Response: Email for design engineer is shown on the cover.

3. Include the name and address of the applicant and their authorized representative.

Response: Name and address for Michael Dougherty with the City of Eden is shown on
the cover.
Vincent Tomaino
Department of Environmental Quality
August 14, 2017
Page 2 of 2

4. Identify the water system by name and PWSID.

Response: PWSID is shown on the cover.

5. As discussed in the Letter of Intent to fund:

In accordance with G.S. 143-355.4, a project "for the purpose of extending waterlines or expanding
water treatment capacity" must document numerous requirements during the Engineering Report
review process. You can find additional information at the following link:
http://www.ncleg.net/eoadedlegislation/statuteslhtml/bysection/chmter143/gs 143-355.4.html

Demonstrate compliance with or inapplicability of G.S. 143-355.4.

Response: Compliance with this legislation is detailed in the executive summary on pages
5 and 6 of the revised report.

If you have any questions regarding the above comment responses, please do not hesitate to contact
me at 434-549-8504.
Sincerely,

Leslie A. Barksdale, EIT

LAB

P:\50093286\Adm\Comment Responses\2017.8.14 - ER-EID Response.docx