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HomeMy WebLinkAbout09042 Scott Aviation Approval to PC packageFrom:Minnich, Carolyn To:Stukes, Mary Katherine H. (marykatherinestukes@parkerpoe.com); Ron Mahle (rmahle@monroenc.org);Paterson, Fern A. (fernpaterson@parkerpoe.com) Cc:Liggins, Shirley (shirley.liggins@ncdenr.gov) Subject:09042 Scott Aviation Approval to proceed to Public Comment Date:Friday, April 28, 2017 9:19:00 AM Attachments:09042 Scott Aviation Approval to PC package.pdf1845-City of Monroe Brownfields Plat 04.20.17 Preliminary.pdfimage003.png Dear Mary Katherine and Ron: Based on acceptance by the Prospective Developer of drafts of all four required brownfields documents -- the Notice of Intent to Redevelop a Brownfields Property (NI), Summary of Notice ofIntent to Redevelop a Brownfields Property (SNI), Notice of Brownfields Property (NBP) and theBrownfields Agreement (Exhibit A to the NBP) -- and DEQ's approval of the plat component of the NBP, Prospective Developer may now proceed to the tasks required by NCGS § 130.310.34(a) in connection with the required public notice and comment period of at least 30 days regarding thesubject brownfields project. Those tasks are as follows: 1. Publish the approved SNI in a newspaper of general circulation serving the area in which the brownfields property is located, 2. Conspicuously post a copy of the SNI at the brownfields property, 3. Mail or deliver the SNI to each owner of property contiguous to the brownfields property, 4. Provide a copy of the full NI to the local location where it will be available for public review as stated in the SNI, and 5. Provide a copy of the full NI, consisting of the one-page NI and the NBP with its three exhibits(the Brownfields Agreement, the survey plat, and the legal description), to all local governments having jurisdiction over the brownfields property. Pursuant to NCGS § 130.310.34.(b), the public comment period shall begin following completion ofthe above tasks. The NI and SNI, with a date filled in representing our belief as to how long itwill take you to complete those tasks by Monday, May 1, are attached hereto. The comment period shall not end any sooner than 30 days after you complete the tasks. NCGS § 130.310.34(b) also requires the Prospective Developer to submit documentation of thepublic notices to DEQ prior to DEQ entering into a Brownfields Agreement. That documentation shall be submitted by promptly providing to me, preferably at carolyn.minnich@ncdenr.gov or at Brownfields Program, 1646 Mail Service Center, Raleigh, NC 27699-1646, the following: · Affidavit of publication of the SNI from the newspaper or a copy of the SNI published in the newspaper which shows the name of the newspaper and the date of publication, · Photos of the SNI posted at the site, one close up to show the wording and one far enough to show the posting location relative to the property, · Copies of the cover letters and copies of the mailing receipts stamped by the post office or copies of the delivery service receipts for the SNI sent to contiguous property owners, · A letter confirming receipt of the full NI from each local government entity and the entity where the document will be available for viewing or delivery confirmation from the carrierconfirming such receipt by these entities. Thank you for your attention to these matters. If you have any questions or require additional information, you may contact me.     Carolyn Minnich Brownfields Project Manager Division of Waste Management Department of Environmental Quality   704 661 0330 office/mobile Carolyn.Minnich@ncdenr.gov 1646 Mail Service Center Raleigh, NC 27699-1646     Email correspondence to and from this address is subject to the North Carolina Public Records Law and may be disclosed to third parties.   09042-05-090/Scott Aviation (DRAFT 20170426) 1 NOTICE OF INTENT TO REDEVELOP A BROWNFIELDS PROPERTY Site Name: Former Scott Aviation Brownfields Project Number: 09042-05-090 North Carolina’s Brownfields Property Reuse Act (the “Act”), North Carolina General Statutes (“NCGS”) § 130A-310.30 through 130A-310.40, provides for the safe redevelopment of properties that may have been or were contaminated by past industrial and commercial activities. One of the Act’s requirements is this Notice of Intent to Redevelop a Brownfields Property approved by the North Carolina Department of Environmental Quality (“DEQ”). See NCGS § 130A-310.34(a). The Notice of Intent must provide, to the extent known, a legal description of the location of the brownfields property, a map showing the location of the Brownfields Property, a description of the contaminants involved and their concentrations in the media of the Brownfields Property, a description of the intended future use of the Brownfields Property, any proposed investigation and remediation, and a proposed Notice of Brownfields Property prepared in accordance with NCGS § 130A-310.35. The party (”Prospective Developer”) who desires to enter into a Brownfields Agreement with DEQ must provide a copy of this Notice to all local governments having jurisdiction over the Brownfields Property. The proposed Notice of Brownfields Property for a particular brownfields project is attached hereto; the proposed Brownfields Agreement, which is attached to the proposed Notice of Brownfields Property as Exhibit A, contains the other required elements of this Notice. Written public comments may be submitted to DEQ within 30 days after the latest of the following dates: the date the required summary of this Notice is (1) published in a newspaper of general circulation serving the area in which the Brownfields Property is located, (2) conspicuously posted at the Brownfields Property, and (3) mailed or delivered to each owner of property contiguous to the Brownfields Property. Written requests for a public meeting may be submitted to DEQ within 21 days after the period for written public comments begins. Those periods will start no sooner than Tuesday, May 2, 2017, and will end on the later of: a) 30 and 21 days, respectively, after that; or b) 30 and 21 days, respectively, after completion of the latest of the three (3) above-referenced dates. All comments and meeting requests should be addressed as follows: Mr. Bruce Nicholson Brownfields Program Manager Division of Waste Management NC Department of Environmental Quality 1646 Mail Service Center Raleigh, North Carolina 27699-1646 09042-05-090/Scott Aviation (DRAFT 20170426) 1 Property Owner: City of Monroe Recorded in Book ____, Page ____ Associated plat recorded in Plat Book ____, Page ____ NOTICE OF BROWNFIELDS PROPERTY Site Name: Former Scott Aviation Brownfields Project Number: 09042-05-090 This documentary component of a Notice of Brownfields Property (“Notice”), as well as the plat component, have been filed this _____ day of __________________, 201__ by City of Monroe (“Prospective Developer”). This Notice concerns contaminated property. A copy of this Notice certified by the North Carolina Department of Environmental Quality (“DEQ”) is required to be filed in the Register of Deeds’ Office in the county or counties in which the land is located, pursuant to North Carolina General Statutes (“NCGS”), § 130A-310.35(b). This Notice is required by NCGS § 130A-310.35(a), in order to reduce or eliminate the danger to public health or the environment posed by environmental contamination at a property (“Brownfields Property”) being addressed under the Brownfields Property Reuse Act of 1997, NCGS § 130A, Article 9, Part 5 (“Act”). Pursuant to NCGS § 130A-310.35(b), the Prospective Developer must file a certified copy of this Notice within 15 days of Prospective Developer’s receipt of DEQ’s approval of the Notice or Prospective Developer’s entry into the Brownfields Agreement required by the Act, whichever is later. The copy of the Notice certified by DEQ must be recorded in the grantor index under the names of the owners of the land and, if Prospective Developer is not the owner, also under the Prospective Developer’s name. The Brownfields Property includes six parcels and approximately 13.265 acres in downtown Monroe. The Brownfields Property is the site of the former Scott Aviation manufacturing facility and former Monroe Enquirer Journal newspaper printing and office building (“MEJ”) located at West Jefferson and West Crowell Street. The City of Monroe plans to redevelop the Brownfields Property for mixed use to include office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ approval, other commercial uses. The Brownfields Property is surrounded by land in commercial, municipal and residential use. 09042-05-090/Scott Aviation (DRAFT 20170426) 2 Soil and groundwater on the Brownfields Property are contaminated based on historical site operations. The Brownfields Agreement between Prospective Developer and DEQ is attached hereto as Exhibit A. It sets forth the use that may be made of the Brownfields Property and the measures to be taken to protect public health and the environment, and is required by NCGS § 130A-310.32. The Brownfields Agreement’s Exhibit 2 consists of one or more data tables reflecting the concentrations of and other information regarding the Property’s regulated substances and contaminants. Attached as Exhibit B to this Notice is a reduction, to 8 1/2" x 11", of the survey plat component of this Notice. This plat shows areas designated by DEQ, has been prepared and certified by a professional land surveyor, meets the requirements of NCGS § 47-30, and complies with NCGS § 130A-310.35(a)’s requirement that the Notice identify: (1) The location and dimensions of the areas of potential environmental concern with respect to permanently surveyed benchmarks. (2) The type, location and quantity of regulated substances and contaminants known to exist on the Brownfields Property. Attached hereto as Exhibit C is a legal description of the Brownfields Property that would be sufficient as a description of the property in an instrument of conveyance. LAND USE RESTRICTIONS NCGS § 130A-310.35(a) also requires that the Notice identify any restrictions on the current and future use of the Brownfields Property that are necessary or useful to maintain the level of protection appropriate for the designated current or future use of the Brownfields Property and that are designated in the Brownfields Agreement. The restrictions shall remain in force in perpetuity unless canceled by the Secretary of DEQ (or its successor in function), or his/her designee, after the hazards have been eliminated, pursuant to NCGS § 130A-310.35(e). All references to DEQ shall be understood to include any successor in function. The restrictions are hereby imposed on the Brownfields Property, and are as follows: 1. No use may be made of the Brownfields Property other than for office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ approval, other commercial uses. For purposes of this restriction, the following definitions apply: a. “Commercial” refers to a business enterprise carried on for profit or nonprofit by the owner, lessee or licensee; b. “Gasoline Station” refers to a retail facility at which motor vehicles are commercially refueled (as known as service station, filling station or gasoline station); c. “Governmental” refers to uses related to the administration of governmental and municipal functions, including without limitation municipal and administrative offices, fire departments and other governmental services; d. “Institutional” refers to the use of land, buildings or structures for public, non-profit or quasi- 09042-05-090/Scott Aviation (DRAFT 20170426) 3 public purposes, such as libraries, senior community centers, post-secondary education facilities, laboratories and similar research facilities, museums, galleries, performance or spaces; e. “Office” refers to the provision of business or professional services; f. “Parking” refers to the temporary accommodation of motor vehicles in an area designed for the same; g. “Restaurant” refers to a business where meals are prepared and served to paying customers; and h. “Retail” refers to the sale of goods, services, products, or merchandise directly to the consumer or businesses and includes showrooms, personal service, pharmacies and the sale of food and beverage (including alcoholic beverage) products. 2. The Brownfields Property may not be used for child care centers, adult care centers, primary schools, residential uses, hospitals or drycleaners without the prior written approval of DEQ. 3. Groundwater at the Brownfields Property may not be used for any purpose, other than in connection with legally compliant storm water collection and reuse techniques, without the prior written approval of DEQ. 4. Unless compliance with this Land Use Restriction is waived in writing by DEQ in advance in regard to particular activity, no activities that encounter, expose, remove or use groundwater (for example, installation of water supply wells, ponds, lakes or swimming pools, or construction or excavation activities that encounter or expose groundwater) may occur on the Brownfields Property unless and until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in Land Use Restriction No. 1 above while fully protecting public health and the environment. Prior sampling and analysis of groundwater to the written satisfaction of DEQ in any areas proposed for such activities, and submittal of the analytical results to DEQ is required. If such results reflect contaminant concentrations that exceed the standards and screening levels applicable to the uses authorized for the Brownfields Property, the groundwater-related activities proposed may only occur in compliance with any written conditions DEQ imposes. Activities may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in Land Use Restriction No. 1 above while fully protecting public health and the environment. 5. No activity that disturbs soil on the Brownfields Property may occur unless and until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in Land Use Restriction No. 1 above while fully protecting public health and the environment, except: a. in connection with landscape planting to depths not exceeding 24” in depth; b. mowing and pruning of above-ground vegetation; c. for repair of underground infrastructure, provided that DEQ shall be given written notice at least seven days in advance of a scheduled repair (if only by email) of any such repair, or in emergency circumstances no later than the next business day, and that any related assessment and remedial measures required by DEQ shall be taken; and d. activities conducted in accordance with a DEQ-approved Environmental Management Plan as described in Land Use Restriction No. 9 below. 09042-05-090/Scott Aviation (DRAFT 20170426) 4 6. Soil may not be removed from, or brought onto, the Brownfields Property without prior sampling and analysis to DEQ’s satisfaction and the written approval of DEQ, unless conducted in accordance with an approved EMP as outlined in Land Use Restriction No. 9 below. 7. No enclosed building may be constructed on the Brownfields Property and no existing building, defined as those depicted on the plat component of the Notice of Brownfields Property referenced in paragraph 20 of Exhibit A, may be occupied more than three months after the effective date of this Agreement, unless and until DEQ determines in writing that: a. the building is or would be protective of the building’s users, public health and the environment from risk of vapor intrusion based on site assessment data or a site-specific risk assessment approved in writing by DEQ; or b. the building is or would be sufficiently distant from the Brownfields Property’s groundwater and/or soil contamination based on assessment data approved in writing by DEQ that the building’s users, public health and the environment will be protected from risk from vapor intrusion related to said contamination; or c. vapor intrusion mitigation measures are installed and/or implemented to the satisfaction of a professional engineer licensed in North Carolina, as evidenced by said engineer’s professional seal on a report that includes photographs and a description of the installation and performance of said measures. Any design specification for vapor intrusion mitigation measures shall be approved in writing by DEQ in advance of installation and/or implementation of said measures. The design specifications shall include methodology(ies) for demonstrating performance of said measures. 8. Surface water at the Brownfields Property may not be used for any purpose, other than in connection with legally compliant storm water collection and reuse techniques, without the prior written approval of DEQ. 9. Physical redevelopment of the Brownfields Property may not occur other than in accord, as determined by DEQ, with an Environmental Management Plan (“EMP”) approved in writing by DEQ in advance (and revised to DEQ’s written satisfaction prior to each subsequent redevelopment phase)that is consistent with all the other land use restrictions and describes redevelopment activities at the Brownfields Property, the timing of redevelopment phases, and addresses health, safety, and environmental issues that may arise from use of the Brownfields Property during construction or redevelopment in any other form, including without limitation: a. soil and water management issues, including without limitation those resulting from contamination identified in the Environmental Reports; b. issues related to potential sources of contamination referenced in Exhibit 2; c. contingency plans for addressing, including without limitation the testing of soil and groundwater, newly discovered potential sources of environmental contamination (e.g., USTs, tanks, drums, septic drain fields, oil-water separators, soil contamination); and d. plans for the proper characterization of, and, as necessary, disposal of contaminated soils excavated during redevelopment. 10. As part of the Land Use Restriction Update described below in Land Use Restriction No. 15 below for each year following the effective date of this Agreement for as long as physical redevelopment of the Brownfields Property continues (except that the final deadline shall fall 90 days after the conclusion of physical 09042-05-090/Scott Aviation (DRAFT 20170426) 5 redevelopment, unless DEQ agrees otherwise), the then owner of the Brownfields Property shall include a description of environment-related activities since the last LURU with a summary and drawings, that describes: a. actions taken on the Brownfields Property in accordance with Exhibit A Section V: Work to be Performed; b. soil grading and cut and fill actions; c. methodology(ies) employed for field screening, sampling and laboratory analysis of environmental media; d. stockpiling, containerizing, decontaminating, treating, handling, laboratory analysis and ultimate disposition of any soil, groundwater or other materials suspected or confirmed to be contaminated with regulated substances; and e. removal of any contaminated soil, water or other contaminated materials (for example, concrete, demolition debris) from the Brownfields Property (copies of all legally required manifests shall be included). 11. Neither DEQ nor any party conducting environmental assessment or remediation at the Brownfields Property at the direction of, or pursuant to a permit, order or agreement issued or entered into by DEQ, may be denied access to the Brownfields Property for purposes of conducting such assessment or remediation, which is to be conducted using reasonable efforts to minimize interference with authorized uses of the Brownfields Property. 12. Any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Union County land records, Book ____, Page ____.” A copy of any such instrument shall be sent to the persons listed in Section XV (Notices and Submissions) of Exhibit A, though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions of the North Carolina Public Records Law. The owner conveying an interest may use the following mechanisms to comply with the obligations of this paragraph: (i) If every lease and rider is identical in form, the owner conveying an interest may provide DEQ with copies of a form lease or rider evidencing compliance with this paragraph, in lieu of sending copies of actual, executed leases, to the persons listed in Section XV (Notices and Submissions) of Exhibit A; or (ii) The owner conveying an interest may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XV of Exhibit A. 13. None of the contaminants known to be present in the environmental media at the Brownfields Property, in Exhibit 2 of Exhibit A and as modified by DEQ in writing if additional contaminants in excess of applicable standards are discovered at the Brownfields Property, may be used or stored at the Brownfields Property without the prior written approval of DEQ, except: a. in de minimis quantities for cleaning and other routine housekeeping activities; b. as constituents of articles, products, materials and equipment customarily used and/or stored in connection with uses permitted under this Agreement, (including asphalt paving materials customarily associated with parking and driving surfaces), provided such products and materials are stored in original retail packaging and used and disposed of in accordance with applicable laws; c. as constituents of fuels, lubricants, oils or other fluids customarily used in emergency 09042-05-090/Scott Aviation (DRAFT 20170426) 6 generators, machinery, equipment and vehicles in on-board tanks integral to said equipment or in flammable liquid storage containers totaling no more than 25 gallons; and d. automobile fuels for retail sale at the proposed gasoline station at the Brownfields Property if properly used and stored in compliance with, and subject to all applicable laws and rules. 14. The owner of any portion of the Brownfields Property where any existing, or subsequently installed, DEQ-approved monitoring well is damaged by the owner, its contractors, or its tenants shall be responsible for repair of any such wells to DEQ’s written satisfaction and within a time period acceptable to DEQ, unless compliance with this Land Use Restriction is waived in writing by DEQ in advance. 15. During January of each year after the year in which the Notice is recorded, the owner of any part of the Brownfields Property as of January 1st of that year shall submit a notarized Land Use Restrictions Update (“LURU”) to DEQ, and to the chief public health and environmental officials of Union County, certifying that, as of said January 1st, the Notice of Brownfields Property containing these land use restrictions remains recorded at the Union County Register of Deeds office and that the land use restrictions are being complied with. In addition: a. A joint LURU may be submitted for multiple owners by a duly constituted board or association and shall include the name, mailing address, telephone number, and contact person’s e-mail address of the entity submitting the joint LURU as well as for each of the owners on whose behalf the joint LURU is submitted; b. A LURU submitted for any portion of the Brownfields Property that contains rental units shall include the rent roll (including address information) and enough of each lease entered into during the previous calendar year to demonstrate compliance with lessee notification requirements in paragraphs 20 and 21 of Exhibit A, provided that if standard form leases are used in every instance, a copy of such standard form lease may be sent in lieu of copies of actual leases; and c. All LURUs shall state: i. the name, mailing address, telephone number, and contact person’s e-mail address of the owner (or board, association or approved entity, if a joint LURU is submitted) submitting the LURU if said owner (or any of the owners on whose behalf the joint LURU is submitted) acquired any part of the Brownfields Property during the previous calendar year; ii. the transferee’s name, mailing address, telephone number, and contact person’s e-mail address, if said owner transferred any part of the Brownfields Property during the previous calendar year; and iii. whether any vapor barrier and/or mitigation systems installed pursuant to Land Use Restriction No. 7 above are performing as designed, and whether the uses of the ground floors of any buildings containing such vapor barrier and/or mitigation systems have changed, and, if so, how. For purposes of the land use restrictions set forth above, the DEQ point of contact shall be the DEQ official referenced in paragraph 35.a. of Exhibit A hereto, at the address stated therein. ENFORCEMENT The above land use restrictions shall be enforceable without regard to lack of privity of estate or contract, 09042-05-090/Scott Aviation (DRAFT 20170426) 7 lack of benefit to particular land, or lack of any property interest in particular land. The land use restrictions shall be enforced by any owner of the Brownfields Property. The land use restrictions may also be enforced by DEQ through the remedies provided in NCGS § 130A, Article 1, Part 2 or by means of a civil action; by any unit of local government having jurisdiction over any part of the Brownfields Property; and by any person eligible for liability protection under the Brownfields Property Reuse Act who will lose liability protection if the restrictions are violated. Any attempt to cancel any or all of this Notice without the approval of the Secretary of DEQ (or its successor in function), or his/her delegate, shall be subject to enforcement by DEQ to the full extent of the law. Failure by any party required or authorized to enforce any of the above restrictions shall in no event be deemed a waiver of the right to do so thereafter as to the same violation or as to one occurring prior or subsequent thereto. FUTURE SALES, LEASES, CONVEYANCES AND TRANSFERS When any portion of the Brownfields Property is sold, leased, conveyed or transferred, pursuant to NCGS § 130A-310.35(d) the deed or other instrument of transfer shall contain in the description section, in no smaller type than that used in the body of the deed or instrument, a statement that the Brownfields Property has been classified and, if appropriate, cleaned up as a brownfields property under the Brownfields Property Reuse Act. IN WITNESS WHEREOF, Prospective Developer has caused this instrument to be duly executed this _____ day of _______________, 201__. City of Monroe By: __________________________________________ E.L. Faison City Manager NORTH CAROLINA UNION COUNTY I certify that the following person(s) personally appeared before me this day, each acknowledging to me that he or she voluntarily signed the foregoing document for the purpose stated therein and in the capacity indicated: ________________________________. Date: ___________________ ___________________________________ Official Signature of Notary ___________________________________ Notary’s printed or typed name, Notary Public (Official Seal) My commission expires: _____________________ 09042-05-090/Scott Aviation (DRAFT 20170426) 8 ************************************ APPROVAL AND CERTIFICATION OF NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY The foregoing Notice of Brownfields Property is hereby approved and certified. North Carolina Department of Environmental Quality By: _________________________________________ ________________________ Michael E. Scott Date Director, Division of Waste Management 09042-05-090/ Scott Aviation (DRAFT20170419) EXHIBIT A NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY IN THE MATTER OF: City of Monroe UNDER THE AUTHORITY OF THE ) BROWNFIELDS AGREEMENT re: BROWNFIELDS PROPERTY REUSE ACT ) Former Scott Aviation OF 1997, NCGS § 130A-310.30, et seq. ) 316, 500, & 503 W. Jefferson St. Brownfields Project 09042-05-090 ) 309, 310 & 502 W. Crowell St. ) 500 W. Franklin St. ) Monroe, Union County I. INTRODUCTION This Brownfields Agreement (“Agreement”) is entered into by the North Carolina Department of Environmental Quality (“DEQ”) and City of Monroe (collectively the "Parties") pursuant to the Brownfields Property Reuse Act of 1997, NCGS § 130A-310.30, et seq. (the “Act”) for the property located at 316, 500, & 503 West Jefferson Street and 309, 310 & 502 West Crowell Street and 500 West Franklin Street (the “Brownfields Property”). A map showing the location of the Brownfields Property that is the subject of this Agreement is attached hereto as Exhibit 1. The City of Monroe is a North Carolina municipality that was incorporated in 1842 and was listed as having a population of 32,797 in the 2010 US Census. The address of its offices is 300 West Crowell Street, Monroe, Union County, North Carolina, 28112. The City of Monroe is managed by a City Council, consisting of six Council members and the Mayor, which has the final authority on municipal policy matters. Currently, Mr. Bobby Kilgore is the Mayor of Monroe and E.L. Faison is the City Manager. The Brownfields Property includes six parcels and approximately 13 acres in downtown Monroe. The Brownfields Property is the site of the former Scott Aviation manufacturing facility and former Monroe Enquirer Journal newspaper printing and office building (MEJ) 2 09042-05-090/ Scott Aviation (DRAFT 20170426) located at West Jefferson and West Crowell Street. The City of Monroe plans to redevelop the Brownfields Property for mixed use to include office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ approval, other commercial uses. The Brownfields Property is surrounded by land in commercial, municipal and residential use. Soil and groundwater on the Brownfields Property are contaminated based on historical site operations. The Parties agree to undertake all actions required by the terms and conditions of this Agreement. The purpose of this Agreement is to settle and resolve, subject to reservations and limitations contained in Section VIII (Certification), Section IX (DEQ’s Covenant Not to Sue and Reservation of Rights) and Section X (Prospective Developer’s Covenant Not to Sue), the potential liability of City of Monroe for contaminants at the Brownfields Property. The Parties agree that City of Monroe’s entry into this Agreement, and the actions undertaken by City of Monroe in accordance with the Agreement, do not constitute an admission of any liability by City of Monroe for contaminants at the Brownfields Property. The resolution of this potential liability, in exchange for the benefit City of Monroe shall provide to DEQ, is in the public interest. II. DEFINITIONS Unless otherwise expressly provided herein, terms used in this Agreement which are defined in the Act or elsewhere in NCGS § 130A, Article 9 shall have the meaning assigned to them in those statutory provisions, including any amendments thereto. 1. “Brownfields Property” shall mean the property which is the subject of this 3 09042-05-090/ Scott Aviation (DRAFT 20170426) Agreement, and which is depicted in Exhibit 1 to the Agreement. 2. "Prospective Developer" shall mean City of Monroe. III. STATEMENT OF FACTS 3. The Brownfields Property comprises six parcels totaling approximately 13.292 acres. The following table lists the Union County tax parcel identification number (“PIN”), address, and size in acres for each parcel: PIN Acres Address Historical Use 09232254 1.271 500 West Jefferson Street Monroe Enquirer Journal (MEJ) 09232242 0.570 503 West Jefferson Street 500 West Franklin Street Parking Lot 09232255 0.140 316 West Jefferson Street Scott Aviation Office 09232256 2.180 309 West Crowell Street Scott Aviation Building I 09232260 8.490 310 West Crowell Street Scott Aviation Building II 09232257 0.641 502 West Crowell Street Parking Lot Prospective Developer has committed itself to redevelopment for no uses other than office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ approval, other commercial uses. 4. The Brownfields Property is separated by roadways and therefore the parcels are not all contiguous to one another. The northernmost property is bordered by CSX Transportation Railroad, Bearskin Creek and land used for industrial use; the easternmost property is bordered by City of Monroe municipal offices and downtown Monroe businesses; the southernmost property is bordered West Jefferson Street with land used for commercial and residential use beyond; and the westernmost property is bordered by College Street and land used for commercial use, Dickerson Park, and residential use beyond. 4 09042-05-090/ Scott Aviation (DRAFT 20170426) 5. Prospective Developer obtained or commissioned the following reports, referred to hereinafter as the “Environmental Reports,” regarding the Brownfields Property: Title Prepared by Date of Report Technical Memorandum Summarizing E-J Property Sampling AECOM January 27, 2017 Technical Memorandum Summarizing December 2016 Soil Sampling AECOM January 27, 2017 ESA Addendum, Former Scott Aviation AECOM October 2016 Phase I ESA, Enquirer Journal Property Resolve Environmental Services June 6, 2016 Addendum to 2014 ESA Work Plan AECOM February 19, 2016 2015 Brownfields Area Reconnaissance and Receptor Survey Rev 1 AECOM August 3, 2015 2014 ESA Report Scott Aviation Facility AECOM May 2014 Letter to Charlie Moleski from Keith Snarley (NCDENR) re: Groundwater Characterization Study NCDENR December 8, 2006 Supplemental Groundwater Characterization Study Golder Associates May 2006 Enquirer Journal Groundwater Source Investigation Response NCDENR January 27, 2005 Groundwater Source Investigation Enquirer Journal Property Golder Associates September 2004 Revised Phase I Environmental Site Assessment Earth Tech, Inc. June 30, 2004 Supplemental Environmental Site Assessment Report Earth Tech December 9, 2003 Environmental Site Assessment Report And EDR Report Earth Tech June 24, 2003 Report of Environmental Assessment Documentation Review and Site Visit Observations Law Engineering and Environmental Services May 21, 2001 Phase II Screening Site Investigation Greenhorne & O’Mara, Inc. July 1991 (revised February 1992) Screening Site Inspection, Phase I July 17, 1990 5 09042-05-090/ Scott Aviation (DRAFT 20170426) 6. For purposes of this Agreement, DEQ relies on the following representations by Prospective Developer and DWM files as to use and ownership of the Brownfields Property: a. The Scott Aviation Property is approximately 10.8 acres and consists of three parcels located at 309 and 310 West Crowell Street and 316 West Jefferson Street (with the PINs 09232256, 09232260, and 09232255.) The former Scott Aviation facility operated as a metal fabricating plant along both sides of West Crowell Street. Operations began in August 1946 and ceased in 2002. The facility operated as Tool Service Engineering Company until May 1980 when the name was changed to Scott Aviation of Monroe. The facility was owned by Scott ATO until 1986. In 1986, ownership of the facility changed to Figgie International Incorporated. The Property was formerly owned by Scott Technologies Inc. and Figgie International Company and is now owned by the City of Monroe. Note, the City of Monroe acquired the majority of the 310 West Crowell Street Property (PIN Number 09232260) in 2004, but acquired a smaller portion of the property which is now part of this current tax parcel on October 16, 1923. b. The MEJ Property is approximately 2.5 acres and consists of three parcels located at 500 and 503 West Jefferson Street, 500 West Franklin Street and 502 West Crowell Street (with the PINs 09232254, 09232257, and 09232242). Based on historical information, the three parcels were developed from at least 1914 as residential use until the late 1960s. In 1922, a battery repair shop operated on the southern portion at 500 West Franklin. The battery shop was no longer present in the 1930 aerial. Actual dates of operation are not known, but based on information gathered it is assumed to be approximately 1922-1930. In 1972, the current commercial building was constructed at 500 West Jefferson Street and the remaining parcels 6 09042-05-090/ Scott Aviation (DRAFT 20170426) were used as parking lots. The building is approximately 18,472 square ft, single story, slab on grade with central air conditioning. In 1997, PMG Acquisition LLC purchased the four parcels from Sheboygan Newspapers Inc. and Thomson Newspaper Inc. PMG Acquisitions is listed as doing business as (dba) under the name Enquirer-Journal. The MEJ Property is currently owned by the City of Monroe. c. Current property ownership is listed in the table: PIN Address Purchased Current Owner 09232254 500 West Jefferson Street 12/15/2016 City of Monroe 09232242 503 West Jefferson Street 500 West Franklin Street 12/15/2016 City of Monroe 09232255 316 West Jefferson Street 08/27/2004 City of Monroe 09232256 309 West Crowell Street 1501 North Charlotte Avenue 09/15/2004 City of Monroe 09232260 310 West Crowell Street 09/15/20041 City of Monroe 09232257 502 W Crowell Street 12/15/2016 City of Monroe Note 1 The City of Monroe acquired the majority of the property which makes up this current tax parcel on the date noted, but acquired a smaller portion of the property which is now part of this current tax parcel on October 16, 1923. 7. Pertinent environmental information regarding the Brownfields Property and surrounding area includes the following: a. Manufacturing processes at the former Scott Aviation Facility included producing sheet metal stamping and small machine parts for life support systems and aircraft interiors. Processes included chromic conversion from coating aluminum, vapor degreasing of metal parts, and electroplating. The coating process produced a waste sludge that contained hexavalent chromium which was reduced to trivalent chromium by the addition of sodium bisulfite in a pretreatment process. The sludge was then adjusted for pH. Solids were precipitated out using a flocculent in a clarifying tank. The resulting sludge was filtered and 7 09042-05-090/ Scott Aviation (DRAFT 20170426) stored in drums for disposal. The liquid portion was discharged by permit to the sanitary sewer. Spent degreasing solvents were also generated at the facility. They included 1,1,1- trichloroethane, trichloroethylene, and Freon. b. In November 1980, Scott Aviation filed for a RCRA Part A Hazard Waste Permit for storage and treatment and obtained interim status. In May 1984, the interim status was terminated. In May 1987, they changed status from large generator to small quantity generator. c. In July 1990, Scott Aviation submitted a Site Notification Form to the DEQ Inactive Hazardous Site Branch (IHSB). The site was assigned NCD00155587 under the name “Scott Aviation of Monroe/Tool Service.” d. Environmental investigations have been conducted from 1990 through 2017 at the Scott Aviation Property. The results indicated that the soil and groundwater are contaminated, primarily with chlorinated solvents, such as tetrachloroethylene, trichloroethylene, other volatile organic compounds and arsenic. The arsenic concentrations in soil range from 3.1 mg/kg to 16.3 mg/kg. The concentrations of arsenic are widespread across the Scott Aviation property and at varying depths. There is no source area and the arsenic appears to be naturally occurring; therefore, it was not included in Exhibit 2 tables. e. In 2013, all site structures were demolished; however, the foundations were left in place. Presently, the paved area near the intersection of West Crowell and Charlotte Avenue to the east of former Building II is used as a parking lot. The remaining areas are unused and secured with a chain-link fence. 8 09042-05-090/ Scott Aviation (DRAFT 20170426) f. The MEJ Property operated as a printing press and used various inks, ink application materials and photo-chemicals in their process. Based on the Environmental Reports, petroleum and soy based inks were historically used. A 1,500 gallon above ground storage tank (AST) was used for ink storage, it was formerly located on the north side of the building, but has been removed. g. In 1997, IHSB was notified of groundwater impacts on the MEJ Property. The property was initially listed on the IHSB inventory under the name Monroe Enquirer Journal Number NONCD0001102. However, after additional assessment and site review, IHSB determined that MEJ was not the source of the release on the property. In December 2006, IHSB removed the name “Monroe Enquirer Journal” from the IHSB Inventory and the site is now listed on the IHSB Inventory as the “Scott Aviation of Monroe/Tool Serv” site. 8. The most recent environmental sampling at the Brownfields Property reported in the Environmental Reports occurred in December 2016. The tables set forth in Exhibit 2 to this Agreement present contaminants present at the Brownfields Property above applicable standards or screening levels for each media sampled. 9. For purposes of this Agreement DEQ relies on Prospective Developer’s representations that Prospective Developer's involvement with the Brownfields Property has been limited to obtaining or commissioning the Environmental Reports, preparing and submitting to DEQ a Brownfields Property Application (BPA) dated July 22, 2005 and a revised application dated September 28, 2016 to include the MEJ Property, and purchasing the Scott Aviation Property on August 27, 2004 and September 15, 2004 and the MEJ Property on 9 09042-05-090/ Scott Aviation (DRAFT 20170426) December 15, 2016. 10. Prospective Developer has provided DEQ with information, or sworn certifications regarding that information on which DEQ relies for purposes of this Agreement, sufficient to demonstrate that: a. Prospective Developer and any parent, subsidiary, or other affiliate has substantially complied with federal and state laws, regulations and rules for protection of the environment, and with the other agreements and requirements cited at NCGS § 130A- 310.32(a)(1); b. As a result of the implementation of this Agreement, the Brownfields Property will be suitable for the uses specified in the Agreement while fully protecting public health and the environment; c. Prospective Developer's reuse of the Brownfields Property will produce a public benefit commensurate with the liability protection provided Prospective Developer hereunder; d. Prospective Developer has or can obtain the financial, managerial and technical means to fully implement this Agreement and assure the safe use of the Brownfields Property; and e. Prospective Developer has complied with all applicable procedural requirements. 11. Prospective Developer has paid to DEQ the $2,000 fee to seek a brownfields agreement required by NCGS § 130A-310.39(a)(1), and shall make a payment to DEQ of $6,000 10 09042-05-090/ Scott Aviation (DRAFT 20170426) at the time Prospective Developer and DEQ enter into this Agreement, defined for this purpose as occurring no later than the last day of the public comment period related to this Agreement. The Parties agree that such fees will suffice as the $2,000 fee to seek a brownfields agreement required by NCGS § 130A-310.39(a)(1), and, within the meaning of NCGS § 130A- 310.39(a)(2), the full cost to DEQ and the North Carolina Department of Justice of all activities related to this Agreement, unless a change is sought to a Brownfields document after it is in effect, in which case there shall be an additional fee of at least $1,000. IV. BENEFIT TO COMMUNITY 12. The redevelopment of the Brownfields Property proposed herein would provide the following public benefits: a. a return to productive use of the Brownfields Property and revitalization of the City of Monroe’s downtown district; b. a spur to additional community investment and redevelopment, through improved neighborhood appearance and enhanced aesthetics; c. the creation of jobs related to the redevelopment of the Brownfields Property and surrounding areas; d. an increase in tax revenue for affected jurisdictions with regard to real property and business activity in the immediately surrounding area, including an increase to the property tax bases and taxes associated with increased economic activity; e. Positive impacts on the surrounding business community f. Expanded and updated provision of governmental services 11 09042-05-090/ Scott Aviation (DRAFT 20170426) g. “smart growth” through use of land in an already developed area, which avoids development of land beyond the urban fringe (“greenfields”). V. WORK TO BE PERFORMED 13. In redeveloping the Brownfields Property, Prospective Developer shall make reasonable efforts to evaluate applying sustainability principles at the Brownfields Property, using the nine (9) areas incorporated into the U.S. Green Building Council Leadership in Energy and Environmental Design certification program (Sustainable Sites, Water Efficiency, Energy & Atmosphere, Materials & Resources, Indoor Environmental Quality, Locations & Linkages, Awareness & Education, Innovation in Design and Regional Priority), or a similar program. 14. Based on the information in the Environmental Reports, and subject to imposition of and compliance with the land use restrictions set forth below, and subject to Section IX of this Agreement (DEQ’s Covenant Not to Sue and Reservation of Rights), DEQ is not requiring Prospective Developer to perform any active remediation at the Brownfields Property other than remediation that may be required pursuant to a DEQ-approved Environmental Management Plan (“EMP”) required by this Section. 15. By way of the Notice of Brownfields Property referenced below in paragraph 20, Prospective Developer shall impose the following land use restrictions under the Act, running with the land, to make the Brownfields Property suitable for the uses specified in this Agreement while fully protecting public health and the environment instead of remediation to unrestricted use standards. All references to DEQ shall be understood to include any successor in function. a. No use may be made of the Brownfields Property other than for office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ 12 09042-05-090/ Scott Aviation (DRAFT 20170426) approval, other commercial uses. For purposes of this restriction, the following definitions apply: i. “Commercial” refers to a business enterprise carried on for profit or nonprofit by the owner, lessee or licensee; ii. “Gasoline Station” refers to a retail facility at which motor vehicles are commercially refueled (as known as service station, filling station or gasoline station); iii. “Governmental” refers to uses related to the administration of governmental and municipal functions, including without limitation municipal and administrative offices, fire departments and other governmental services; iv. “Institutional” refers to the use of land, buildings or structures for public, non-profit or quasi-public purposes, such as libraries, senior community centers, post-secondary education facilities, laboratories and similar research facilities, museums, galleries, performance or spaces; v. “Office” refers to the provision of business or professional services; vi. “Parking” refers to the temporary accommodation of motor vehicles in an area designed for the same; vii. “Restaurant” refers to a business where meals are prepared and served to paying customers; and viii. “Retail” refers to the sale of goods, services, products, or merchandise directly to the consumer or businesses and includes showrooms, personal service, pharmacies and the sale of food and beverage (including alcoholic beverage) products. b. The Brownfields Property may not be used for child care centers, adult care 13 09042-05-090/ Scott Aviation (DRAFT 20170426) centers, primary schools, residential uses, hospitals or drycleaners without the prior written approval of DEQ. c. Groundwater at the Brownfields Property may not be used for any purpose, other than in connection with legally compliant storm water collection and reuse techniques, without the prior written approval of DEQ. d. Unless compliance with this Land Use Restriction is waived in writing by DEQ in advance in regard to particular activity, no activities that encounter, expose, remove or use groundwater (for example, installation of water supply wells, ponds, lakes or swimming pools, or construction or excavation activities that encounter or expose groundwater) may occur on the Brownfields Property unless and until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in subparagraph 15.a. above while fully protecting public health and the environment. Prior sampling and analysis of groundwater to the written satisfaction of DEQ in any areas proposed for such activities, and submittal of the analytical results to DEQ is required. If such results reflect contaminant concentrations that exceed the standards and screening levels applicable to the uses authorized for the Brownfields Property, the groundwater-related activities proposed may only occur in compliance with any written conditions DEQ imposes. Activities may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in subparagraph 15.a. above while fully protecting public health and the environment. e. No activity that disturbs soil on the Brownfields Property may occur unless and 14 09042-05-090/ Scott Aviation (DRAFT 20170426) until DEQ states in writing, in advance of the proposed activity, that said activity may occur if carried out along with any measures DEQ deems necessary to ensure the Brownfields Property will be suitable for the uses specified in subparagraph 15.a. above while fully protecting public health and the environment, except: i. in connection with landscape planting to depths not exceeding 24” in depth; ii. mowing and pruning of above-ground vegetation; iii. for repair of underground infrastructure, provided that DEQ shall be given written notice at least seven days in advance of a scheduled repair (if only by email) of any such repair, or in emergency circumstances no later than the next business day, and that any related assessment and remedial measures required by DEQ shall be taken; and iv. activities conducted in accordance with a DEQ-approved Environmental Management Plan as described in subparagraph 15.i. f. Soil may not be removed from, or brought onto, the Brownfields Property without prior sampling and analysis to DEQ’s satisfaction and the written approval of DEQ, unless conducted in accordance with an approved EMP as outlined in subparagraph 15.i. g. No enclosed building may be constructed on the Brownfields Property and no existing building, defined as those depicted on the plat component of the Notice of Brownfields Property referenced in paragraph 20 below, may be occupied more than three months after the effective date of this Agreement, unless and until DEQ determines in writing that: i. the building is or would be protective of the building’s users, public 15 09042-05-090/ Scott Aviation (DRAFT 20170426) health and the environment from risk of vapor intrusion based on site assessment data or a site- specific risk assessment approved in writing by DEQ; or ii. the building is or would be sufficiently distant from the Brownfields Property’s groundwater and/or soil contamination based on assessment data approved in writing by DEQ that the building’s users, public health and the environment will be protected from risk from vapor intrusion related to said contamination; or iii. vapor intrusion mitigation measures are installed and/or implemented to the satisfaction of a professional engineer licensed in North Carolina, as evidenced by said engineer’s professional seal on a report that includes photographs and a description of the installation and performance of said measures. Any design specification for vapor intrusion mitigation measures shall be approved in writing by DEQ in advance of installation and/or implementation of said measures. The design specifications shall include methodology(ies) for demonstrating performance of said measures. h. Surface water at the Brownfields Property may not be used for any purpose, other than in connection with legally compliant storm water collection and reuse techniques, without the prior written approval of DEQ. i. Physical redevelopment of the Brownfields Property may not occur other than in accord, as determined by DEQ, with an EMP approved in writing by DEQ in advance (and revised to DEQ’s written satisfaction prior to each subsequent redevelopment phase)that is consistent with all the other land use restrictions and describes redevelopment activities at the Brownfields Property, the timing of redevelopment phases, and addresses health, safety, and environmental 16 09042-05-090/ Scott Aviation (DRAFT 20170426) issues that may arise from use of the Brownfields Property during construction or redevelopment in any other form, including without limitation: i. soil and water management issues, including without limitation those resulting from contamination identified in the Environmental Reports; ii. issues related to potential sources of contamination referenced in paragraphs 7 and 8 above and in Exhibit 2; iii. contingency plans for addressing, including without limitation the testing of soil and groundwater, newly discovered potential sources of environmental contamination (e.g., USTs, tanks, drums, septic drain fields, oil-water separators, soil contamination); and iv. plans for the proper characterization of, and, as necessary, disposal of contaminated soils excavated during redevelopment. j. As part of the Land Use Restriction Update described below in subparagraph 15.o. for each year following the effective date of this Agreement for as long as physical redevelopment of the Brownfields Property continues (except that the final deadline shall fall 90 days after the conclusion of physical redevelopment, unless DEQ agrees otherwise), the then owner of the Brownfields Property shall include a description of environment-related activities since the last LURU with a summary and drawings, that describes: i. actions taken on the Brownfields Property in accordance with this Section V: Work to be Performed; ii. soil grading and cut and fill actions; 17 09042-05-090/ Scott Aviation (DRAFT 20170426) iii. methodology(ies) employed for field screening, sampling and laboratory analysis of environmental media; iv. stockpiling, containerizing, decontaminating, treating, handling, laboratory analysis and ultimate disposition of any soil, groundwater or other materials suspected or confirmed to be contaminated with regulated substances; and v. removal of any contaminated soil, water or other contaminated materials (for example, concrete, demolition debris) from the Brownfields Property (copies of all legally required manifests shall be included). k. Neither DEQ nor any party conducting environmental assessment or remediation at the Brownfields Property at the direction of, or pursuant to a permit, order or agreement issued or entered into by DEQ, may be denied access to the Brownfields Property for purposes of conducting such assessment or remediation, which is to be conducted using reasonable efforts to minimize interference with authorized uses of the Brownfields Property. l. Any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Union County land records, Book ____, Page ____.” A copy of any such instrument shall be sent to the persons listed in Section XV (Notices and Submissions), though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions of the North Carolina Public Records Law. The owner conveying an interest may use the following mechanisms to comply with the obligations of 18 09042-05-090/ Scott Aviation (DRAFT 20170426) this paragraph: (i) If every lease and rider is identical in form, the owner conveying an interest may provide DEQ with copies of a form lease or rider evidencing compliance with this paragraph, in lieu of sending copies of actual, executed leases, to the persons listed in Section XV (Notices and Submissions); or (ii) The owner conveying an interest may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XV. m. None of the contaminants known to be present in the environmental media at the Brownfields Property, as described in paragraph 8 and Exhibit 2 of this Agreement and as modified by DEQ in writing if additional contaminants in excess of applicable standards are discovered at the Brownfields Property, may be used or stored at the Brownfields Property without the prior written approval of DEQ, except: i. in de minimis quantities for cleaning and other routine housekeeping activities; ii. as constituents of articles, products, materials and equipment customarily used and/or stored in connection with uses permitted under this Agreement, (including asphalt paving materials customarily associated with parking and driving surfaces), provided such products and materials are stored in original retail packaging and used and disposed of in accordance with applicable laws; iii. as constituents of fuels, lubricants, oils or other fluids customarily used in emergency generators, machinery, equipment and vehicles in on-board tanks integral to said equipment or in flammable liquid storage containers totaling no more than 25 gallons; and iv. automobile fuels for retail sale at the proposed gasoline station at the 19 09042-05-090/ Scott Aviation (DRAFT 20170426) Brownfields Property if properly used and stored in compliance with, and subject to all applicable laws and rules. n. The owner of any portion of the Brownfields Property where any existing, or subsequently installed, DEQ-approved monitoring well is damaged by the owner, its contractors, or its tenants shall be responsible for repair of any such wells to DEQ’s written satisfaction and within a time period acceptable to DEQ, unless compliance with this Land Use Restriction is waived in writing by DEQ in advance. o. During January of each year after the year in which the Notice referenced below in paragraph 20 is recorded, the owner of any part of the Brownfields Property as of January 1st of that year shall submit a notarized Land Use Restrictions Update (“LURU”) to DEQ, and to the chief public health and environmental officials of Union County, certifying that, as of said January 1st, the Notice of Brownfields Property containing these land use restrictions remains recorded at the Union County Register of Deeds office and that the land use restrictions are being complied with. In addition: i. A joint LURU may be submitted for multiple owners by a duly constituted board or association and shall include the name, mailing address, telephone number, and contact person’s e-mail address of the entity submitting the joint LURU as well as for each of the owners on whose behalf the joint LURU is submitted; ii. A LURU submitted for any portion of the Brownfields Property that contains rental units shall include the rent roll (including address information) and enough of each lease entered into during the previous calendar year to demonstrate compliance with lessee 20 09042-05-090/ Scott Aviation (DRAFT 20170426) notification requirements in paragraphs 20 and 21 of this Agreement, provided that if standard form leases are used in every instance, a copy of such standard form lease may be sent in lieu of copies of actual leases; and iii. All LURUs shall state: A. the name, mailing address, telephone number, and contact person’s e-mail address of the owner (or board, association or approved entity, if a joint LURU is submitted) submitting the LURU if said owner (or any of the owners on whose behalf the joint LURU is submitted) acquired any part of the Brownfields Property during the previous calendar year; B. the transferee’s name, mailing address, telephone number, and contact person’s e-mail address, if said owner transferred any part of the Brownfields Property during the previous calendar year; and C. whether any vapor barrier and/or mitigation systems installed pursuant to subparagraph 15.g. above are performing as designed, and whether the uses of the ground floors of any buildings containing such vapor barrier and/or mitigation systems have changed, and, if so, how. 16. The desired result of the above-referenced land use restrictions is to make the Brownfields Property suitable for the uses specified in the Agreement while fully protecting public health and the environment. 17. The guidelines, including parameters, principles and policies within which the desired results are to be accomplished are, as to field procedures and laboratory testing, the 21 09042-05-090/ Scott Aviation (DRAFT 20170426) Guidelines of the Inactive Hazardous Sites Branch of DEQ’s Superfund Section and the Division of Waste Management Vapor Intrusion Guidance, as embodied in their most current version. 18. The consequence of achieving the desired results will be that the Brownfields Property will be suitable for the uses specified in the Agreement while fully protecting public health and the environment. The consequence of not achieving the desired results will be that modifications to land use restrictions and/or remediation in some form may be necessary to fully protect public health and/or the environment. VI. ACCESS/NOTICE TO SUCCESSORS IN INTEREST 19. In addition to providing access to the Brownfields Property pursuant to subparagraph 15.k above, Prospective Developer shall provide DEQ, its authorized officers, employees, representatives, and all other persons performing response actions under DEQ oversight, access at all reasonable times to other property controlled by Prospective Developer in connection with the performance or oversight of any response actions at the Brownfields Property under applicable law. Such access is to occur after prior notice and using reasonable efforts to minimize interference with authorized uses of such other property except in response to emergencies and/or imminent threats to public health and the environment. While Prospective Developer owns the Brownfields Property, DEQ shall provide reasonable notice to Prospective Developer of the timing of any response actions to be undertaken by or under the oversight of DEQ at the Brownfields Property. Except as may be set forth in the Agreement, DEQ retains all of its authorities and rights, including enforcement authorities related thereto, under the Act and any other applicable statute or regulation, including any amendments thereto. 22 09042-05-090/ Scott Aviation (DRAFT 20170426) 20. DEQ has approved, pursuant to NCGS § 130A-310.35, a Notice of Brownfields Property for the Brownfields Property containing, inter alia, the land use restrictions set forth in Section V (Work to Be Performed) of this Agreement and a survey plat of the Brownfields Property. Pursuant to NCGS § 130A-310.35(b), within 15 days of the effective date of this Agreement, Prospective Developer shall file the Notice of Brownfields Property in the Union County, North Carolina, Register of Deeds’ Office. Within three (3) days thereafter, Prospective Developer shall furnish DEQ a copy of the documentary component of the Notice containing a certification by the register of deeds as to the Book and Page numbers where both the documentary and plat components of the Notice are recorded, and a copy of the plat with notations indicating its recordation. 21. This Agreement shall be attached as Exhibit A to the Notice of Brownfields Property. Subsequent to recordation of said Notice, any deed or other instrument conveying an interest in the Brownfields Property shall contain the following notice: “This property is subject to the Brownfields Agreement attached as Exhibit A to the Notice of Brownfields Property recorded in the Union County land records, Book ____, Page ____.” A copy of any such instrument shall be sent to the persons listed in Section XV (Notices and Submissions though financial figures and other confidential information related to the conveyance may be redacted to the extent said redactions comply with the confidentiality and trade secret provisions of the North Carolina Public Records Law. Prospective Developer may use the following mechanisms to comply with the obligations of this paragraph: (i) If every lease and rider is identical in form, Prospective Developer may provide DEQ with copies of a form lease or rider evidencing 23 09042-05-090/ Scott Aviation (DRAFT 20170426) compliance with this paragraph, in lieu of sending copies of actual, executed leases, to the persons listed in Section XV (Notices and Submissions); or (ii) Prospective Developer may provide abstracts of leases, rather than full copies of said leases, to the persons listed in Section XV. 22. The Prospective Developer shall ensure that a copy of this Agreement is provided to any current lessee or sublessee on the Brownfields Property within seven days of the effective date of this Agreement. VII. DUE CARE/COOPERATION 23. The Prospective Developer shall exercise due care at the Brownfields Property with respect to the manner in which regulated substances are handled at the Brownfields Property and shall comply with all applicable local, State, and federal laws and regulations. The Prospective Developer agrees to cooperate fully with any assessment or remediation of the Brownfields Property by DEQ and further agrees not to interfere with any such assessment or remediation. In the event the Prospective Developer becomes aware of any action or occurrence which causes or threatens a release of contaminants at or from the Brownfields Property, the Prospective Developer shall immediately take all appropriate action to prevent, abate, or minimize such release or threat of release, shall comply with any applicable notification requirements under NCGS § 130A-310.1 and 143-215.85, Section 103 of CERCLA, 42 USC § 9603, and/or any other law, and shall immediately notify the DEQ Official referenced in paragraph 35.a. below of any such required notification. 24 09042-05-090/ Scott Aviation (DRAFT 20170426) VIII. CERTIFICATION 24. By entering into this Agreement, the Prospective Developer certifies that, without DEQ approval, it will make no use of the Brownfields Property other than that committed to in the Brownfields Property dated July 22, 2005 and a revised application dated September 28, 2016 to include the MEJ Property. That use is to include office, parking, gasoline station, governmental, institutional, restaurant, retail, and, with prior written DEQ approval, other commercial uses. Prospective Developer also certifies that to the best of its knowledge and belief it has fully and accurately disclosed to DEQ all information known to Prospective Developer and all information in the possession or control of its officers, directors, employees, contractors and agents which relates in any way to any past use of regulated substances or known contaminants at the Brownfields Property and to its qualification for this Agreement, including the requirement that it not have caused or contributed to the contamination at the Brownfields Property. IX. DEQ’S COVENANT NOT TO SUE AND RESERVATION OF RIGHTS 25. Unless any of the following apply, Prospective Developer shall not be liable to DEQ, and DEQ covenants not to sue Prospective Developer, for remediation of the Brownfields Property except as specified in this Agreement: a. The Prospective Developer fails to comply with this Agreement. b. The activities conducted on the Brownfields Property by or under the control or direction of the Prospective Developer increase the risk of harm to public health or the 25 09042-05-090/ Scott Aviation (DRAFT 20170426) environment, in which case Prospective Developer shall be liable for remediation of the areas of the Brownfields Property, remediation of which is required by this Agreement, to the extent necessary to eliminate such risk of harm to public health or the environment. c. A land use restriction set out in the Notice of Brownfields Property required under NCGS § 130A-310.35 is violated while the Prospective Developer owns the Brownfields Property, in which case the Prospective Developer shall be responsible for remediation of the Brownfields Property to unrestricted use standards. d. The Prospective Developer knowingly or recklessly provided false information that formed a basis for this Agreement or knowingly or recklessly offers false information to demonstrate compliance with this Agreement or fails to disclose relevant information about contamination at the Brownfields Property. e. New information indicates the existence of previously unreported contaminants or an area of previously unreported contamination on or associated with the Brownfields Property that has not been remediated to unrestricted use standards, unless this Agreement is amended to include any previously unreported contaminants and any additional areas of contamination. If this Agreement sets maximum concentrations for contaminants, and new information indicates the existence of previously unreported areas of these contaminants, further remediation shall be required only if the areas of previously unreported contaminants raise the risk of the contamination to public health or the environment to a level less protective of public health and the environment than that required by this Agreement. f. The level of risk to public health or the environment from contaminants is 26 09042-05-090/ Scott Aviation (DRAFT 20170426) unacceptable at or in the vicinity of the Brownfields Property due to changes in exposure conditions, including (i) a change in land use that increases the probability of exposure to contaminants at or in the vicinity of the Brownfields Property or (ii) the failure of remediation to mitigate risks to the extent required to make the Brownfields Property fully protective of public health and the environment as planned in this Agreement. g. DEQ obtains new information about a contaminant associated with the Brownfields Property or exposures at or around the Brownfields Property that raises the risk to public health or the environment associated with the Brownfields Property beyond an acceptable range and in a manner or to a degree not anticipated in this Agreement. h. The Prospective Developer fails to file a timely and proper Notice of Brownfields Property under NCGS § 130A-310.35. 26. Except as may be provided herein, DEQ reserves its rights against Prospective Developer as to liabilities beyond the scope of the Act. 27. This Agreement does not waive any applicable requirement to obtain a permit, license or certification, or to comply with any and all other applicable law, including the North Carolina Environmental Policy Act, NCGS § 113A-1, et seq. 28. Consistent with NCGS § 130A-310.33, the liability protections provided herein, and any statutory limitations in paragraphs 25 through 27 above, apply to all of the persons listed in NCGS § 130A-310.33, including future owners of the Brownfields Property, to the same extent as Prospective Developer, so long as these persons are not otherwise potentially responsible parties or parents, subsidiaries, or affiliates of potentially responsible parties. 27 09042-05-090/ Scott Aviation (DRAFT 20170426) X. PROSPECTIVE DEVELOPER'S COVENANT NOT TO SUE 29. In consideration of DEQ’s Covenant Not To Sue in Section IX of this Agreement and in recognition of the absolute State immunity provided in NCGS § 130A-310.37(b), the Prospective Developer hereby covenants not to sue and not to assert any claims or causes of action against DEQ, its authorized officers, employees, or representatives with respect to any action implementing the Act, including negotiating, entering, monitoring or enforcing this Agreement or the above-referenced Notice of Brownfields Property. XI. PARTIES BOUND 30. This Agreement shall apply to and be binding upon DEQ, and on the Prospective Developer, its officers, directors, employees, and agents. Each Party’s signatory to this Agreement represents that she or he is fully authorized to enter into the terms and conditions of this Agreement and to legally bind the Party for whom she or he signs. XII. DISCLAIMER 31. Prospective Developer and DEQ agree that this Agreement meets the requirements of the Act, including but not limited to the requirements set forth in NCGS § 130A-310.32(a)(2). However, this Agreement in no way constitutes a finding by DEQ as to the risks to public health and the environment which may be posed by regulated substances at the Brownfields Property, a representation by DEQ that the Brownfields Property is fit for any particular purpose, nor a waiver of Prospective Developer’s duty to seek applicable permits or of the provisions of NCGS § 130A-310.37. 28 09042-05-090/ Scott Aviation (DRAFT 20170426) 32. Except for the land use restrictions set forth in paragraph 15 above and NCGS § 130A-310.33(a)(1)-(5)'s provision of the Act's liability protection to certain persons to the same extent as to a prospective developer, no rights, benefits or obligations conferred or imposed upon Prospective Developer under this Agreement are conferred or imposed upon any other person. XIII. DOCUMENT RETENTION 33. The Prospective Developer agrees to retain and make available to DEQ all business and operating records, contracts, site studies and investigations, remediation reports, and documents generated by and/or in the control of the Prospective Developer, its affiliates or subsidiaries relating to storage, generation, use, disposal and management of regulated substances at the Brownfields Property, including without limitation all Material Safety Data Sheets or Safety Data Sheets, for six (6) years following the effective date of this Agreement, unless otherwise agreed to in writing by the Parties. Said records may be retained electronically such that they can be retrieved and submitted to DEQ upon request. At the end of six (6) years, the Prospective Developer shall notify DEQ of the location of such documents and shall provide DEQ with an opportunity to copy any documents at the expense of DEQ. By entering into this Agreement, Prospective Developer waives no rights of confidentiality or privilege provided by the North Carolina Public Records Act or otherwise and, at the time DEQ requests to copy or inspect said documents, Prospective Developer shall provide DEQ with a log of documents withheld from DEQ, including a specific description of the document(s) and the alleged legal basis upon which they are being withheld. To the extent DEQ retains any copies of such documents, Prospective Developer retains all rights it then may have to seek protection from 29 09042-05-090/ Scott Aviation (DRAFT 20170426) disclosure of such documents as confidential business information. XIV. PAYMENT OF ENFORCEMENT COSTS 34. If the Prospective Developer fails to comply with the terms of this Agreement, including, but not limited to, the provisions of Section V (Work to be Performed), it shall be liable for all litigation and other enforcement costs incurred by DEQ to enforce this Agreement or otherwise obtain compliance. XV. NOTICES AND SUBMISSIONS 35. Unless otherwise required by DEQ or a Party notifies the other Party in writing of a change in contact information, all notices and submissions pursuant to this Agreement shall be sent by prepaid first class U.S. mail, as follows: a. for DEQ: Carolyn Minnich (or successor in function) N.C. Division of Waste Management Brownfields Program Mail Service Center 1646 Raleigh, NC 27699-1646 b. for Prospective Developer: E. L. Faison City Manager, City of Monroe PO Box 69 Monroe, NC 28111-0069 Notices and submissions sent by prepaid first class U.S. mail shall be effective on the third day following postmarking. Notices and submissions sent by hand or by other means affording written evidence of date of receipt shall be effective on such date. 30 09042-05-090/ Scott Aviation (DRAFT 20170426) XVI. EFFECTIVE DATE 36. This Agreement shall become effective on the date the Prospective Developer signs it, after receiving the signed, conditionally approved Agreement from DEQ. DEQ’s approval of this Agreement is conditioned upon the complete and timely execution and filing of this Agreement in the manner set forth herein. Prospective Developer shall expeditiously sign the Agreement in order to effect the recordation of the full Notice of Brownfields Property within the statutory deadline set forth in N.C.G.S. § 130A-310.35(b). If the Agreement is not signed by Prospective Developer within 45 days after such receipt, DEQ has the right to revoke its approval and certification of this Agreement, and invalidate its signature on this Agreement. XVII. TERMINATION OF CERTAIN PROVISIONS 37. If any Party believes that any or all of the obligations under Section VI (Access/Notice to Successors in Interest) are no longer necessary to ensure compliance with the requirements of the Agreement, that Party may request in writing that the other Party agree to terminate the provision(s) establishing such obligations; provided, however, that the provision(s) in question shall continue in force unless and until the Party requesting such termination receives written agreement from the other Party to terminate such provision(s). XVIII. CONTRIBUTION PROTECTION 38. With regard to claims for contribution against Prospective Developer in relation to the subject matter of this Agreement, Prospective Developer is entitled to protection from such claims to the extent provided by NCGS § 130A-310.37(a)(5)-(6). The subject matter of this Agreement is all remediation taken or to be taken and response costs incurred or to be incurred 31 09042-05-090/ Scott Aviation (DRAFT 20170426) by DEQ or any other person in relation to the Brownfields Property. 39. The Prospective Developer agrees that, with respect to any suit or claim for contribution brought by it in relation to the subject matter of this Agreement, it will notify DEQ in writing no later than 60 days prior to the initiation of such suit or claim. 40. The Prospective Developer also agrees that, with respect to any suit or claim for contribution brought against it in relation to the subject matter of this Agreement, it will notify DEQ in writing within 10 days of receiving said suit or claim. XIX. PUBLIC COMMENT 41. This Agreement shall be subject to a public comment period of at least 30 days starting the day after the last of the following public notice tasks occurs: publication of the approved summary of the Notice of Intent to Redevelop a Brownfields Property required by NCGS § 130A-310.34 in a newspaper of general circulation serving the area in which the Brownfields Property is located; conspicuous posting of a copy of said summary at the Brownfields Property; and mailing or delivery of a copy of the summary to each owner of property contiguous to the Brownfields Property. After expiration of that period, or following a public meeting if DEQ holds one pursuant to NCGS § 130A-310.34(c), DEQ may modify or withdraw its consent to this Agreement if comments received disclose facts or considerations which indicate that this Agreement is inappropriate, improper or inadequate. 32 09042-05-090/ Scott Aviation (DRAFT 20170426) IT IS SO AGREED: NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY By: ____________________________________________________________________________ Michael E. Scott Date Director, Division of Waste Management IT IS SO AGREED: City of Monroe By: ____________________________________________________________________________ E.L. Faison: Date City Manager, City of Monroe SCALE 1:12000 0 1000 2000 3000 Feet Declination MN7.80°WGN0.26°E MNGN FIGURE 1 - SITE LOCATION MAP CITY OF MONROE-EJ PROPERTY 500 W. JEFFERSON STREET MONROE, UNION COUNTY, NC 09042-05-090/Scott Aviation (DRAFT 20170411) 1 Exhibit 2 The most recent environmental sampling at the Property reported in the Environmental Reports occurred on December 2016. The following tables set forth, for contaminants present at the Property above unrestricted use standards or screening level found at each sample location, and the applicable standard or screening level. Groundwater tables include both the maximum and the most recent concentration. Screening levels for groundwater, surface water and soil standards are shown for reference only and are not set forth as cleanup levels for purposes of this Agreement. GROUNDWATER Groundwater contaminants in micrograms per liter (the equivalent of parts per billion), the standards for which are contained in Title 15A of the North Carolina Administrative Code, Subchapter 2L (2L), Rule .0202, (April 1, 2013 version): Groundwater Contaminant Standard (µg/L) Sample Location Maximum Concentration Most Recent Concentration Date of Sampling Concentration (µg/L) Date of Sampling Concentration (µg/L) 1,1,1-Trichloroethane 200 MW-2 1/31/2014 2,050 3/8/2016 1,640 1,1,1-Trichloroethane 200 MW-3 1/31/2014 837 3/7/2016 504 1,1,1-Trichloroethane 200 P3 5/19/2003 230 5/19/2003 230 1,1-Dichloroethylene 350 MW-2 1/31/14, 3/8/16 19,000 3/8/2016 19,000 1,1-Dichloroethylene 350 MW-3 1/31/2014 16,800 3/7/2016 13,000 1,2-Dichloroethane 0.4 MW-2 1/31/2014 386 3/8/2016 367 1,2-Dichloroethane 0.4 MW-3 1/31/2014 124 3/7/2016 98.8 1,2-Dichloroethane 0.4 P-4 3/8/2016 0.44 3/8/2016 0.44 Antimony 1 MW-1 1/27/2014 2.7 1/27/2014 2.7 Antimony 1 MW-2 1/31/2014 6.1 1/31/2014 6.1 Antimony 1 MW-3 1/31/2014 3.3 1/31/2014 3.3 Arsenic 10 MW-7 2/4/2014 17.9 2/4/2014 17.9 Benzene 1 W-2A 1/28/2014 19.3 1/28/2014 19.3 Bromodichloromethane 0.6 MW-7 2/4/2014 3.4 2/4/2014 3.4 Bromodichloromethane 0.6 MW-9 2/4/2014 2.2 2/4/2014 2.2 Bromodichloromethane 0.6 MW-11 2/5/2014 4.3 2/5/2014 4.3 Chloroform 70 MW-2 1/31/2014 235 1/31/2014 235 Chloroform 70 MW-3 1/31/2014 83.2 1/31/2014 83.2 Chromium 10 MW-7 2/4/2014 39.9 2/4/2014 39.9 cis-1,2-Dichloroethene 70 MW-1 2/21/2003 1,800 3/7/2016 975 cis-1,2-Dichloroethene 70 MW-3 1/31/2014 118 3/7/2016 63.6 cis-1,2-Dichloroethene 70 MW-4 3/8/2016 402 3/8/2016 402 cis-1,2-Dichloroethene 70 MW-6 3/8/2016 1,080 3/8/2016 1,080 cis-1,2-Dichloroethene 70 MW-7 3/8/2016 424 3/8/2016 424 cis-1,2-Dichloroethene 70 P-4 3/8/2016 169 3/8/2016 169 Dibromochloromethane 0.4 MW-7 2/4/2014 0.71 2/4/2014 0.71 09042-05-090/Scott Aviation (DRAFT 20170411) 2 Groundwater Contaminant Standard (µg/L) Sample Location Maximum Concentration Most Recent Concentration Date of Sampling Concentration (µg/L) Date of Sampling Concentration (µg/L) Dibromochloromethane 0.4 MW-9 2/4/2014 0.43 2/4/2014 0.43 Dibromochloromethane 0.4 MW-11 2/5/2014 0.77 2/5/2014 0.77 Lead 15 MW-7 2/4/2014 22.1 2/4/2014 22.1 Naphthalene 6 W-2A 1/28/2014 6 1/28/2014 6 Tetrachloroethylene 0.7 MW-1 2/21/2003 2,000 3/7/2016 735 Tetrachloroethylene 0.7 MW-2 1/31/2014 59,300 3/8/2016 54,000 Tetrachloroethylene 0.7 MW-3 3/7/2016 28,600 3/7/2016 28,600 Tetrachloroethylene 0.7 MW-4 3/8/2016 314 3/8/2016 314 Tetrachloroethylene 0.7 MW-5 3/9/2016 10.5 3/9/2016 10.5 Tetrachloroethylene 0.7 MW-6 3/8/2016 1,560 3/8/2016 1,560 Tetrachloroethylene 0.7 MW-7 3/8/2016 327 3/8/2016 327 Tetrachloroethylene 0.7 MW-8 3/8/2016 167 3/8/2016 167 Tetrachloroethylene 0.7 MW-9 3/8/2016 3.2 3/8/2016 3.2 Tetrachloroethylene 0.7 MW-10 3/8/2016 7.2 3/8/2016 7.2 Tetrachloroethylene 0.7 MW-11 2/5/2014 3.2 3/8/2016 0.81 Tetrachloroethylene 0.7 MW-12 7/21/2016 115 7/21/2016 115 Tetrachloroethylene 0.7 MW-14 7/21/2016 4.3 7/21/2016 4.3 Tetrachloroethylene 0.7 P-1 2/21/2003 1,300 3/9/2016 534 Tetrachloroethylene 0.7 P-2 2/21/2003 500 3/9/2016 197 Tetrachloroethylene 0.7 P-3 5/19/2003 58,000 3/9/2016 19,900 Tetrachloroethylene 0.7 P-4 3/8/2016 379 3/8/2016 379 Tetrachloroethylene 0.7 P-5 1/28/2014 331 3/9/2016 43.1 Tetrachloroethylene 0.7 P-6 9/18/2003 8,000 3/9/2016 6,420 Tetrachloroethylene 0.7 W-2A 3/9/2016 1,380 3/9/2016 1,380 Tetrachloroethylene 0.7 W-3A 2/21/2003 130 3/9/2016 104 Tetrachloroethylene 0.7 W-5 11/10/2005 320 12/21/2016 188 Tetrachloroethylene 0.7 W-6 11/10/2005 77 12/21/2016 <1 Tetrachloroethylene 0.7 W-7 11/10/2005 1.5 12/21/2016 0.53 Trichloroethylene 3 MW-1 3/7/2016 391 3/7/2016 391 Trichloroethylene 3 MW-2 3/8/2016 13,100 3/8/2016 13,100 Trichloroethylene 3 MW-3 1/31/2014 8,770 3/7/2016 7,110 Trichloroethylene 3 MW-4 3/8/2016 328 3/8/2016 328 Trichloroethylene 3 MW-6 3/8/2016 216 3/8/2016 216 Trichloroethylene 3 MW-7 3/8/2016 79.4 3/8/2016 79.4 Trichloroethylene 3 MW-8 3/8/2016 35.3 3/8/2016 35.3 Trichloroethylene 3 MW-11 3/8/2016 3.1 3/8/2016 3.1 Trichloroethylene 3 MW-12 7/21/2016 16.4 7/21/2016 16.4 Trichloroethylene 3 MW-14 7/21/2016 8 7/21/2016 8 Trichloroethylene 3 P-1 2/21/2003 42 3/9/2016 18.8 Trichloroethylene 3 P-2 2/21/2003 22 3/9/2016 8.7 Trichloroethylene 3 P-3 5/19/2003 2,200 3/9/2016 479 09042-05-090/Scott Aviation (DRAFT 20170411) 3 Groundwater Contaminant Standard (µg/L) Sample Location Maximum Concentration Most Recent Concentration Date of Sampling Concentration (µg/L) Date of Sampling Concentration (µg/L) Trichloroethylene 3 P-4 3/8/2016 181 3/8/2016 181 Trichloroethylene 3 P-5 1/28/2014 82.5 3/9/2016 56.8 Trichloroethylene 3 P-6 3/9/2016 157 3/9/2016 157 Trichloroethylene 3 W-2A 1/28/2014 47.3 3/9/2016 38.9 Trichloroethylene 3 W-5 11/10/2005 22 12/21/2016 11 Vinyl chloride 0.03 MW-1 2/21/2003 9 3/7/2016 5.5 Vinyl chloride 0.03 MW-4 3/8/2016 3.2 3/8/2016 3.2 Vinyl chloride 0.03 MW-7 3/8/2016 9.1 3/8/2016 9.1 Vinyl chloride 0.03 MW-8 3/8/2016 0.98 3/8/2016 0.98 Vinyl chloride 0.03 MW-14 7/21/2016 1.2 7/21/2016 1.2 Vinyl chloride 0.03 P-4 1/27/2014 9.9 3/8/2016 7.9 Vinyl chloride 0.03 P-5 1/28/2014 8.8 3/9/2016 6.4 GROUNDWATER VAPOR INTRUSION RISK Groundwater contaminants with potential for vapor intrusion (VI) in micrograms per liter (the equivalent of parts per billion), the vapor intrusion screening levels for which are derived from the Residential Vapor Intrusion Screening Levels of the Division of Waste Management October 2016 version): Groundwater Contaminant with Potential for Vapor Intrusion Sample Location Date of Sampling Concentration Exceeding the Screening Level (µg/L) Commercial VI Screening Level(1) (µg/L) 1,1-Dichloroethene MW-2 3/8/2016 19,000 164 1,1-Dichloroethene MW-3 3/7/2016 13,000 164 1,1-Dichloroethene P-6* 3/9/2016 263 164 1,2-Dichloroethane MW-2 3/8/2016 367 97.8 1,2-Dichloroethane MW-3 3/7/2016 98.8 97.8 1,2-Dichloroethane P-3* 3/9/2016 < 100 97.8 Tetrachloroethene MW-1 3/7/2016 735 48.4 Tetrachloroethene MW-2 3/8/2016 54,000 48.4 Tetrachloroethene MW-3 3/7/2016 28,600 48.4 Tetrachloroethene MW-4 3/8/2016 314 48.4 Tetrachloroethene MW-6 3/8/2016 1,560 48.4 Tetrachloroethene MW-7 3/8/2016 327 48.4 Tetrachloroethene MW-8 3/8/2016 167 48.4 Tetrachloroethene MW-12 7/21/2016 115 48.4 Tetrachloroethene P-1* 3/9/2016 534 48.4 Tetrachloroethene P-2* 3/9/2016 197 48.4 09042-05-090/Scott Aviation (DRAFT 20170411) 4 Groundwater Contaminant with Potential for Vapor Intrusion Sample Location Date of Sampling Concentration Exceeding the Screening Level (µg/L) Commercial VI Screening Level(1) (µg/L) Tetrachloroethene P-3* 3/9/2016 19,900 48.4 Tetrachloroethene P-4* 3/8/2016 379 48.4 Tetrachloroethene P-6* 3/9/2016 6,420 48.4 Tetrachloroethene W-2A* 3/9/2016 1,380 48.4 Tetrachloroethene W-3A* 3/9/2016 104 48.4 Tetrachloroethene W-5* 12/21/2016 188 48.4 Trichloroethene MW-1 3/7/2016 391 4.35 Trichloroethene MW-2 3/8/2016 13,100 4.35 Trichloroethene MW-3 3/7/2016 7,110 4.35 Trichloroethene MW-4 3/8/2016 328 4.35 Trichloroethene MW-6 3/8/2016 216 4.35 Trichloroethene MW-7 3/8/2016 79.4 4.35 Trichloroethene MW-8 3/8/2016 35.3 4.35 Trichloroethene MW-12 7/21/2016 16.4 4.35 Trichloroethene MW-14 7/21/2016 8 4.35 Trichloroethene P-1* 3/9/2016 18.8 4.35 Trichloroethene P-2* 3/9/2016 8.7 4.35 Trichloroethene P-3* 3/9/2016 479 4.35 Trichloroethene P-4* 3/8/2016 181 4.35 Trichloroethene P-5* 3/9/2016 56.8 4.35 Trichloroethene P-6* 3/9/2016 157 4.35 Trichloroethene W-2A* 3/9/2016 38.9 4.35 Trichloroethene W-5* 12/21/2016 11 4.35 Vinyl chloride MW-2 3/8/2016 < 400 24.5 Vinyl chloride MW-3 3/7/2016 < 200 24.5 Vinyl chloride P-3* 3/9/2016 < 100 24.5 1 Screening levels displayed for non-carcinogens are for a hazard quotient equal to 0.2. Screening levels displayed for carcinogens are for a 1.0E-5 lifetime incremental cancer risk. 2 NS – Screening level or regulatory not established. 09042-05-090/Scott Aviation (DRAFT 20170411) 5 SOIL Soil contaminants in milligrams per kilogram (the equivalent of parts per million), the screening levels for which are derived from the Preliminary Industrial Health- Based Soil Remediation Goals of the Inactive Hazardous Sites Branch of DEQ’s Superfund Section (October 2016 version): Soil Contaminant Sample Location Date of Sampling Concentration Exceeding Standard (mg/kg) Standard(1) (mg/kg) Tetrachloroethylene GP-07SB-07 9/15/2003 1,100 78 Tetrachloroethylene GP-15-4 6/24/2004 540 78 Tetrachloroethylene GP-20-7 6/25/2004 300 78 Tetrachloroethylene SB03a-I-8' 1/21/2014 1,200 78 Tetrachloroethylene SB06c-S-2' 1/21/2014 243 78 Tetrachloroethylene SB17-I-8' 1/24/2014 781 78 Tetrachloroethylene SB27-I-6' 01/30/2014 85 78 Tetrachloroethylene GP-20-7 6/25/2004 12 3.8 Tetrachloroethylene SB11-D-12' 1/24/2014 8.89 3.8 Tetrachloroethylene SB27-I-6' 01/30/2014 6.38 3.8 1Screening levels displayed for non-carcinogens are for a hazard quotient equal to 0.2. Screening levels displayed for carcinogens are for a 1.0E-6 lifetime incremental cancer risk. 2. Arsenic was detected on the Brownfields Property at concentrations ranging from 3.1 mg/kg to 16.3 mg/kg. The impacts are widespread across the property with no source point. Arsenic is considered naturally occurring on the Brownfields Property. SURFACE WATER Surface water contaminants (in micrograms per liter, the equivalent of parts per billion), the unrestricted use standards for which are contained in Title 15A of the North Carolina Administrative Code, Subchapter 2B, Rule .0208 (October 2016 version): Surface Water Contaminant Standard (µg/L) Sample Location Maximum Concentration Most Recent Concentration Date of Sampling Concentration (µg/L) Date of Sampling Concentration (µg/L) Tetrachloroethylene 3.3 SW-1 7/13/2016 5.5 9/8/2016 2.4 Tetrachloroethylene 3.3 SW-3 7/13/2016 14 7/13/2016 14 Tetrachloroethylene 3.3 SW-4 7/13/2016 26.9 7/13/2016 26.9 Tetrachloroethylene 3.3 SW-5 9/8/2016 109 9/8/2016 109 Tetrachloroethylene 3.3 SW-6 7/13/2016 4.5 7/13/2016 4.5 Tetrachloroethylene 3.3 SW-7 9/8/2016 121 9/8/2016 121 Parcel 1 (Parcel ID 09232257 & 09232260) Beginning at monument found on the westerly margin of the right-of-way of Charlotte Avenue, said monument having NC Grid Coordinates of Northing: 452752.67 and Easting: 1535021.75; Thence running S 41-19-39 W a distance of 25.87 feet to an iron found on the northerly margin of the right-of- way of W. Crowell Street; Thence running with the northerly margin of the right-of-way of W. Crowell Street, S 87-53-19 W a distance of 667.94 feet to an iron found and continuing S 87-55-00 W a distance of 148.42 feet to an iron found, being the corner of the MMCJ, LLC property as recorded in Deed Book 5204 at Page 723 in the Union County Register of Deeds; Thence running with the line of the MMCJ, LLC property, N 01-57-49 W a distance of 182.33 feet to an iron found and continuing N 88-22-26 E a distance of 146.14 feet to an iron found; Thence running N 02-41-11 W a distance of 417.75 feet to an iron found on the southerly margin of the right-of-way of the CSX Transportation Railroad; Thence running with the southerly margin of the right-of-way of the CSX Transportation Railroad the following three (3) call: 1) Thence S 82-05-30 E a distance of 347.05 feet to an iron found; 2) Thence S 82-11-01 E a distance of 180.00 feet to an iron found; 3) Thence S 82-11-15 E a distance of 161.26 feet to an iron found on the westerly margin of the right-of-way of Charlotte Avenue; Thence running with the westerly margin of the right-of-way of Charlotte Avenue with a circular curve to the RIGHT, having a radius of 1105.91 feet, an arc length of 185.40 feet and whose chord bearing is S 06-42-24 E and a chord distance of 185.18 feet; Thence continuing S 01-54-14 E a distance of 276.32 feet to the point of beginning. Said described parcel contains 396364.04 square feet (9.104 acres), more or less, subject to any and all easements, reservations, restrictions and conveyances of record. -------------------------------------------------------------------------------- Parcel 2 (Parcel ID 09232255 & 09232256) Beginning at a PK Nail found at the North Easterly intersection of W. Jefferson Street and N. Crawford Street, said PK Nail having NC Grid Coordinates of Northing: 452452.93 and Easting: 1534521.31; Thence running with the easterly margin of the right-of-way of N. Crawford Street, N 02-26-44 W a distance of 201.99 feet to a dimple in the sidewalk and being the intersection with the southerly right- of-way of W. Crowell Street; Thence running with the southerly right-of-way of W. Crowell Street, N 87- 52-46 E a distance of 490.54 feet to a point and continuing S 42-39-23 E a distance of 32.88 feet to a point on the westerly margin of the right-of-way of Charlotte Avenue; Thence running with the westerly margin of the right-of-way of Charlotte Avenue S 01-54-14 E a distance of 26.59 feet to a point and continuing with a circular curve to the RIGHT, having a radius of 1105.91 feet, an arc length of 129.72 feet and whose a chord bearing of S 01-27-24 W and a chord distance of 129.65 feet to a point; Thence running S 50-48-08 W a distance of 26.48 feet to a point on the northerly margin of the right-of-way of W. Jefferson Street; Thence running with the northerly margin of the right-of-way of W. Jefferson Street the following three (3) calls: 1) Thence S 87-17-38 W a distance of 150.95 feet to an iron found; 2) Thence S 87-14-23 W a distance of 61.01 feet to a point; 3) Thence S 87-16-46 W a distance of 269.51 feet to the point of beginning. Said described parcel contains 100977.09 square feet (2.320 acres), more or less, subject to any and all easements, reservations, restrictions and conveyances of record. Parcel 3 (Parcel ID 09232254) Beginning at an iron found at the North Westerly intersection of W. Jefferson Street and N. Crawford Street, said iron found having NC Grid Coordinates of Northing: 452448.27 and Easting: 1534481.38; Thence running with the northerly margin of the right-of-way of W. Jefferson Street the following three (3) calls: 1) Thence S 87-23-10 W a distance of 133.38 feet to an iron found; 2) Thence S 87-04-07 W a distance of 69.05 feet to an iron found; 3) Thence S 87-37-59 W a distance of 66.75 feet to an iron found, being the intersection with the easterly margin of the right-of-way of College Street; Thence running with the easterly margin of the right-of-way of College Street, N 01-47-20 W a distance of 207.84 feet to an iron found, being the intersection with the southerly margin of the right-of-way of W. Crowell Street; Thence running with the southerly margin of the right-of-way of W. Crowell Street , N 87-55-00 E a distance of 266.78 feet to an iron found being the intersection with the westerly margin of the right-of-way of N. Crawford Street; Thence running with the westerly margin of the right-of-way of N. Crawford Street, S 02-27-00 E a distance of 205.25 feet to the point of beginning. Said described parcel contains 55364.17 square feet (1.271 acres), more or less, subject to any and all easements, reservations, restrictions and conveyances of record. -------------------------------------------------------------------------------- Parcel 4 (Parcel ID 09232242) Beginning at an iron found at the South Westerly intersection of W. Jefferson Street and N. Crawford Street, said iron found having NC Grid Coordinates of Northing: 452406.96 and Easting: 1534480.38; Thence running with the westerly margin of the right-of-way of N. Crawford Street, S 02-32-24 E a distance of 208.61 feet to an iron found, being the intersection with the northerly margin of the right-of- way of Franklin Street; Thence running with the northerly margin of the right-of-way of W. Franklin Street, S 87-30-20 W a distance of 119.29 feet to an iron set, being the corner of the Jennifer Brooks McLaughlin property as recorded in Deed Book 3142 at Page 711 in the Union County Register of Deeds; Thence running with the line of the McLaughlin property, N 02-15-52 W a distance of 110.56 feet to an iron found and being the common corner with the CTJ Investment Group, LLC property as recorded in Deed Book 6389 at Page 279; Thence running with the line of the CTJ Investment Group, LLC property, N 02-50-53 W a distance of 97.80 feet to an iron found on the southerly margin of the right-of-way of W. Jefferson Street; Thence running with the southerly margin of the right-of-way of W. Jefferson Street, N 87-23-10 E a distance of 119.28 feet to the point of beginning. Said described parcel contains 24813.17 square feet (0.570 acres), more or less, subject to any and all easements, reservations, restrictions and conveyances of record.