20060645 Ver 3_More Info Received_20120710

Strickland, Bev
From: Mcmillan, Ian
Sent: Tuesday, July 10, 2012 9:44 AM
To: Dennison, Laurie; Strickland, Bev
Subject: FW: Duke Ash Landfill revisions /corrections permit
Attachments: D00070612.pdf; D00070612- 001.pdf;
06- 0645Ver2DukeEnergyCraig Road LandfiII (Stokes)401_IC correction - revision.docx
FYI
Ian J. McMillan, PWS, GISP
NCDENR/Division of Water Quality - Wetlands and Stormwater Branch
1650 Mail Service Center
Raleigh, NC 27699 -1650
Office: (919) 807 -6364
Fax: [phone]
Email: ian.mcmillan(a�,ncdenr.2ov
E -mail correspondence to and from this address may be subject to the
North Carolina Public Records Law and may be disclosed to third parties.
From: Homewood, Sue
Sent: Friday, July 06, 2012 8:58 AM
To: Mcmillan, Ian; Higgins, Karen
Subject: Duke Ash Landfill revisions /corrections permit
Ian /Karen,
After we issued the Duke Energy IF they called with some clarification questions. They also realized they that we
needed the phased mitigation to be written into the permit. I asked them to send a letter (see attached) and then I
waited to let the USACE take the lead on how to approve the Phased Mitigation (see attached).
So, here's a revised IP, or clarification IP. These were minor tweaks so I did not ask them for a fee but called it a
correction /revision since there was nothing new in this permit. I had thought that they could work out the phased
mitigation directly with EEP but after we issued the IP we realized that it had to be written into the permit.
All you need to modify is the date throughout this permit and then sign it please. Please send me a scanned copy or let
me know as soon as it's in laserfische so I can send it out via email to the consultant.
Thanks
Sue Homewood
INC DENR Winston -Salem Regional Office
Division of Water Quality
585 Waughtown Street
Winston - Salem, INC 27107
Voice: (336) 771 -4964
FAX: [phone]
E -mail correspondence to and from this address may be subject to the North Carolina Public Records Law and may be
disclosed to third parties.

r I ,
DEPARTMENT OF THE ARMY
WILMINGTON DISTRICT, CORPS OF ENGINEERS
69 DARLINGTON AVENUE
WILMINGTON, NORTH CAROLINA 28403 -1343
REPLY TO
06ATTENTIONOF.June 12, 2012
Regulatory Division
Action ID: SAW- 2011 -00972
Ms. Joette Covington
Duke Energy Belews Creek Steam Station
3195 Pine Hall Road
Belews Creek, NC 27009 -9157
Dear Ms. Covington:
In accordance with your written request of November 28, 2011, and the ensuing
administrative record, enclosed are two copies of a Department of the Army permit authorization
for permanent discharge of fill impacts to 5,129 linear feet of jurisdictional stream channels and
0.27 acre of jurisdictional forested wetlands adjacent to West Belews Creek (Belews Lake),
associated with the proposed expansion of the existing Craig Road Landfill (including potential
expansion into the adjacent FGD Landfill) that services the Belews Creek Steam Station (BCSS)
located off of the abandoned Craig Road on BCSS property south of Pine Hall, in Stokes County,
North Carolina.
You should acknowledge that you accept the terms and conditions of the enclosed permit
by signing and dating each copy in the spaces provided ( "Permittee" on page 4). Your signature,
as permittee, indicates that, as consideration for the issuance of this permit, you voluntarily
accept and agree to comply with all of the terms and conditions of this permit. All pages of both
copies of the signed permit with drawings should then be returned to this office for final
authorization. A self-addressed envelope is enclosed for your convenience.
Title 33, Part 325.1(f), of the Code of Federal Regulations reads, in part, that, "A $10 fee
will be charged for permit applications when the work is noncommercial in nature and provides
personal benefits that have no connection with a commercial enterprise... ", and "A fee of $100
will be charged for permit applications when the planned or ultimate purpose of the project is
commercial or industrial in nature and is in support of operations that charge for the production,
distribution, or sale of goods or services." As your application fits the latter category, you are
requested to remit your check for $100, made payable to the Finance and Accounting Officer,
USAED, Wilmington. The check should accompany the signed and dated copies of your permit.
This correspondence contains a proffered permit for the above described site. If you
object to this decision, you may request an administrative appeal under Corps regulations at 33
CFR part 331.

Enclosed you will find a Notification of Appeal Process (NAP) fact sheet and request for
appeal (RFA) form. If you request to appeal this decision you must submit a completed RFA
form to the following address:
District Engineer, Wilmington Regulatory Division
Attn: John Thomas
69 Darlington Avenue
Wilmington, North Carolina 28403
In order for an RFA to be accepted by the Corps, the Corps must determine that it is
complete; that it meets the criteria for appeal under 33 CFR part 331.5, and that it has been
received by the Division Office within 60 days of the date of the NAP. Should you decide to
submit an RFA form, it must be received at the above address by August 11, 2012.
It is not necessary to submit an RFA form to the Division Office if you do not object to
the decision in contained in this correspondence.
After the permit is authorized in this office, the original copy will be returned to you; the
duplicate copy will be permanently retained in this office. If you have questions, please contact
John Thomas at the Raleigh Regulatory Field Office, telephone [phone] extension 25.
Thank you in advance for completing our Customer Survey Form. This can be
accomplished by visiting our web site at http: / /per2,nwp.usace.army.mil /survey.html and
completing the survey on -line. We value your comments and appreciate your taking the time to
complete a survey each time you interact with our office.
Enclosures
Copies Furnished (with enclosures):
CESAW -R
Sincerely,
e
Jean Gibby
Chief, Raleigh Regulatory Field Office
2

DEPARTMENT OF THE ARMY PERMIT
Permittee: DUKE ENERGY BELEWS CREEK STEAM STATION,
Ms. Joette Covington
Permit No: 2011 -00972
Issuing Office: CESAW -RG -R
NOTE: The term "you" and its derivatives, as used in this permit, means the permittee or any
future transferee. The term "this office" refers to the appropriate district or division office of the
Corps of Engineers having jurisdiction over the permitted activity or the appropriate official of
that office acting under the authority of the commanding officer.
You are authorized to perform work in accordance with the terms and conditions specified
below.
Project Description: Proposed project includes the permanent discharge of fill impacts to
5,129 linear feet of jurisdictional stream channels and 0.27 acre of jurisdictional forested
wetlands adjacent to West Belews Creek ( Belews Lake), associated with the proposed
expansion of the existing Craig Road Landfill (including potential expansion into the
adjacent FGD Landfill) that services the Duke Energy Belews Creek Station (BCS).
Project Location: The project location is the existing Craig Road Landfill located off of the
abandoned Craig Road on BCSS property south of Pine Hall, in Stokes County, North
Carolina (36.266160 1N, - 80.071100 °W).
General Conditions:
1. The time limit for completing the work authorized ends on December 31, 2034. If you find
that you need more time to complete the authorized activity, submit your request for a time
extension to this office for consideration at least one month before the above date is reached.
2. You must maintain the activity authorized by this permit in good condition and in
conformance with the terms and conditions of this permit. You are not relieved of this
requirement if you abandon the permitted activity, although you may make a good faith transfer
to a third party in compliance with General Condition 4 below. Should you wish to cease to
maintain the authorized activity or should you desire to abandon it without a good faith transfer,
you must obtain a modification of this permit from this office, which may require restoration of
the area.
3. If you discover any previously unknown historic or archeological remains while
accomplishing the activity authorized by this permit, you must immediately notify this office of
what you have found. We will initiate the Federal and state coordination required to determine if
the remains warrant a recovery effort or if the site is eligible for listing in the National Register
of Historic Places.
ENG Form 1721, Nov 86 EDITIONS OF SEP 82 IS OBSOLETE (33 DFR 325(Appendix A))

4. If you sell the property associated with this permit, you must obtain the signature of the new
owner in the space provided and forward a copy of the permit to this office to validate the
transfer of this authorization.
5. If a conditioned water quality certification has been issued for your project, you must
comply with the conditions specified
in the certification as special conditions to this permit. For your convenience, a copy of the
certification is attached if it contains such conditions.
6. You must allow representatives from this office to inspect the authorized activity at any time
deemed necessary to ensure that it is being or has been accomplished in accordance with the
terms and conditions of your permit.
Special Conditions:
SEE ATTACHED SPECIAL CONDITIONS
Further Information:
1. Congressional Authorities: You have been authorized to undertake the activity described
above pursuant to:
( ) Section 10 of the Rivers and Harbors Act of 1899 (33 U.S.C. 403).
(X) Section 404 of the Clean Water Act (33 U.S.C. 1344).
( ) Section 103 of the Marine Protection, Research and Sanctuaries Act of 1972 (33
U.S.C. 1413).
2. Limits of this authorization.
a. This permit does not obviate the need to obtain other Federal, state, or local authorizations
required by law.
b. This permit does not grant any property rights or exclusive privileges.
c. This permit does not authorize any injury to the property or rights of others.
d. This permit does not authorize interference with any existing or proposed Federal project.
2 *U.S. GOVERNMENT PRINTING OFFICE: 1986 - 717 -425

3. Limits of Federal Liability. In issuing this permit, the Federal Government does not assume
any liability
for the following:
a. Damages to the permitted project or uses thereof as a result of other permitted or
unpermitted activities or from natural causes.
b. Damages to the permitted project or uses thereof as a result of current or future activities
undertaken by or on behalf of the United States in the public interest.
c. Damages to persons, property, or to other permitted or unpermitted activities or structures
caused by
the activity authorized by this permit.
d. Design or construction deficiencies associated with the permitted work.
e. Damage claims associated with any future modification, suspension, or revocation of this
permit.
4. Reliance on Applicant's Data: The determination of this office that issuance of this permit is
not contrary to the public interest was made in reliance on the information you provided.
5. Reevaluation of Permit Decision. This office may reevaluate its decision on this permit at
any time the circumstances warrant. Circumstances that could require a reevaluation include, but
are not limited to, the following:
a. You fail to comply with the terms and conditions of this permit.
b. The information provided by you in support of your permit application proves to have been
false, incomplete, or inaccurate (See 4 above ).
c. Significant new information surfaces which this office did not consider in reaching the
original public interest decision.
Such a reevaluation may result in a determination that it is appropriate to use the suspension,
modification, and revocation procedures contained in 33 CFR 325.7 or enforcement procedures
such as those contained in 33 CFR 326.4 and 326.5. The referenced enforcement procedures
provide for the issuance of an administrative order requiring you to comply with the terms and
conditions of your permit and for the initiation of legal action where appropriate. You will be
required to pay for any corrective measures ordered by this office, and if you fail to comply with
such directive, this office may in certain situations (such as those specified in 33 CFR 209.170)
accomplish the corrective measures by contract or otherwise and bill you for the cost.
6. Extensions. General condition 1 establishes a time limit for the completion of the activity
authorized by this permit, unless there are circumstances requiring either a prompt completion of
the authorized activity or a reevaluation of the public interest decision, the Corps will normally
give favorable consideration to a request for an extension of this time limit.
3 *U.S. GOVERNMENT PRINTING OFFICE: 1986 - 717425

Your signature below, as permittee, indicates that you accept and agree to comply with the terms
and conditions of this permit.
(PERMITTEE) DUKE ENERGY BELEWS CREEK STEAM STATION (DATE)
MS. JOETTE COVINGTON
This permit becomes effective when the Federal official, designated to act for the Secretary of the Army,
has signed below.
(DISTRICT COMMANDER) STEVEN A. BAKER, COLONEL (DATE)
When the structures or work authorized by this permit are still in existence at the time the property is
transferred, the terms and conditions of this permit will continue to be binding on the new owner(s) of the
property. To validate the transfer of this permit and the associated liabilities associated with compliance
with its terms and conditions, have the transferee sign and date below.
(TRANSFEREE) (DATE)
4 -U.S. GOVERNMENT PRINTING OFFICE: 1986 - 717425

Special Conditions, Action ID SAW -2011- 00972; Duke Energy's Belews Creek Steam
Station Crag Road Landfill Expansion Oncludins potential expansion into the adjacent
FGD Landfill)
WORK LIMITS
a) All work authorized by this permit must be performed in strict compliance with the attached
plans, which are a part of this permit. Any modification to these plans must be approved by the
US Army Corps of Engineers ( USACE) prior to implementation.
b) Except as authorized by this permit or any USACE approved modification to this permit, no
excavation, fill or mechanized land - clearing activities shall take place at any time in the
construction or maintenance of this project, within waters or wetlands. This permit does not
authorize temporary placement or double handling of excavated or fill material within waters or
wetlands outside the permitted area. This prohibition applies to all borrow and fill activities
connected with this project.
c) Except as specified in the plans attached to this permit, no excavation, fill or mechanized land -
clearing activities shall take place at any time in the construction or maintenance of this project,
in such a manner as to impair normal flows and circulation patterns within waters or wetlands or
to reduce the reach of waters or wetlands.
d) Temporary fills must be removed in their entirety and the affected areas returned to pre -
construction elevations. The affected areas must be revegetated, as appropriate.
RELATED LAWS
e) All mechanized equipment will be regularly inspected and maintained to prevent
contamination of waters and wetlands from fuels, lubricants, hydraulic fluids, or other toxic
materials. In the event of a spill of petroleum products or any other hazardous waste, the
permittee shall immediately report it to the N.C. Division of Water Quality at (919) 807 -6300 or
(800) 858 -0368 and provisions of the North Carolina Oil Pollution and Hazardous Substances
Control Act will be followed.
PROJECT MAINTENANCE
f) Unless otherwise authorized by this permit, all fill material placed in waters or wetlands shall
be generated from an upland source and will be clean and free of any pollutants except in trace
quantities. Metal products, organic materials (including debris from land clearing activities), or
unsightly debris will not be used.
g) The permittee shall require its contractors and/or agents to comply with the terms and
conditions of this permit in the construction and maintenance of this project, and shall provide
each of its contractors and/or agents associated with the construction or maintenance of this
project with a copy of this permit. A copy of this permit, including all conditions, shall be
available at the project site during construction and maintenance of this project.

Special Conditions, Action ID SAW- 2011- 00972; Duke Energy's Belews Creek Steam
Station Craig Road Landfill Expansion (including potential expansion into the adiacent
FGD Landfill)
h) The permittee shall employ all sedimentation and erosion control measures necessary to
prevent an increase in sedimentation or turbidity within waters and wetlands outside the permit
area. This shall include, but is not limited to, the immediate installation of silt fencing or similar
appropriate devices around all areas subject to soil disturbance or the movement of earthen fill,
and the immediate stabilization of all disturbed areas. Additionally, the project must remain in
full compliance with all aspects of the Sedimentation Pollution Control Act of 1973 (North
Carolina General Statutes Chapter I I 3 Article 4).
i) The permittee, upon receipt of a notice of revocation of this permit or upon its expiration
before completion of the work will, without expense to the United States and in such time and
manner as the Secretary of the Army or his authorized representative may direct, restore the
water or wetland to its pre- project condition.
ENFORCEMENT
j) Violations of these conditions or violations of Section 404 of the Clean Water Act or Section
10 of the Rivers and Harbors Act must be reported in writing to the Wilmington District U.S.
Army Corps of Engineers within 24 hours of the permittee's discovery of the violation.
CULVERTS
k) All authorized culverts will be installed to allow the passage of low stream flows and the
continued movement of fish and other aquatic life as well as to prevent headcutting of the
streambed. For all box culverts and for pipes greater than 48 inches in diameter, the bottom of
the pipe will be buried at least one foot below the bed of the stream unless burial would be
impractical and the Corps of Engineers has waived this requirement. For culverts 48 inches in
diameter or smaller, the bottom of the pipe must be buried below the bed of the stream to a depth
equal to or greater than 20 percent of the diameter of the culvert. Design and placement of
culverts and other structures including temporary erosion control measures shall not be
conducted in a manner that may result in disequilibrium of wetlands or streambeds or banks,
adjacent to, upstream or downstream of the structures. In order to allow for the continued
movement of bed load and aquatic organisms, existing stream channel widths and depths will be
maintained at the inlet and outlet ends of culverts. Riprap armoring of streams at culvert inlets
and outlets shall be minimized above the ordinary high water elevation in favor of
bioengineering techniques such as bank sloping, erosion control matting and revegetation with
deep- rooted, woody plants.
BORROW AND WASTE
1) To ensure that all borrow and waste activities occur on high ground and do not result in the
degradation of adjacent wetlands and streams, except as authorized by this permit, the permittee
shall require its contractors and /or agents to identify all areas to be used to borrow material, or to
dispose of dredged, fill, or waste material. The permittee shall provide the USACE with
appropriate maps indicating the locations of proposed borrow or waste sites as soon as the
permittee has that information.

Special Conditions, Action ID SAW - 2411 - 00972; Duke Energy's Belews Creek Steam
Station Craig Road Landfill Expansion (including potential expansion into the adiacent
FGD Landfill)
The permittee will coordinate with the USACE before approving any borrow or waste sites that
are within 400 feet of any streams or wetlands. All jurisdictional wetland lines on borrow and
waste sites shall be verified by the Corps of Engineers and shown on the approved reclamation
plans. The permittee shall ensure that all such areas comply with Special Condition b) of this
permit, and shall require and maintain documentation of the location and characteristics of all
borrow and disposal sites associated with this project. This information will include data
regarding soils, vegetation and hydrology sufficient to clearly demonstrate compliance with the
Special Condition b). All information will be available to the USACE upon request. The
permittee shall require its contractors to complete and execute reclamation plans for each waste
and borrow site and provide written documentation that the reclamation plans have been
implemented and all work is completed. This documentation will be provided to the Corps of
Engineers within 30 days of the completion of the reclamation work.
MITIGATION
m) In order to compensate for impacts to 5,129 linear feet of stream and 0.75 acre of wetland the
permittee shall make payment to the North Carolina Ecosystem Enhancement Program (NCEEP)
in the amount determined by the NCEEP, sufficient to perform the restoration of 5,129 linear
feet of warm water stream and 0.75 acre of riparian wetlands in the Roanoke River Basin,
Cataloging Unit 03010103.
Construction within jurisdictional areas on the property shall begin only after the permittee has
made payments per the below mitigation table to the NCEEP and provided a written
confirmation to the Corps that it agrees to accept responsibility for the mitigation work required
by the Ecosystem Enhancement Program (EEP), as outlined in the letter dated December 13,
2011, from Michael Ellison, EEP Deputy Director. Pursuant to the In- Lieu -Fee Instrument
signed July 28, 2010, between the State of North Carolina, Ecosystem Enhancement Program
and the US Army Corps of Engineers. The applicant will make phased mitigation payments to
the NCEEP as listed in the table below. The cost of credits will be the current price at the time
of payment, not the current price at the time the permit was issued. No work on any phase of the
project shall begin until the payment for that phase has been issued to the NCEEP.
Phase
Number
Impact Areas
Mitigation Required
Mitigation Payment
Deadlines
1,106 Iinear feet (If) of
C8 SC9 SC10
stream and 0.241 acre of
2
C2, WC3, WC4
riparian wetland at a 1:1
12/31/2012
-
mitigation ratio
3
C7
884 if of stream at a 1:1
12/31/2017
mitigation ratio
1 Mitigation Payment Deadlines are based on the Phased Mitigation Schedule (dated February 10, 2012). The phased
development of the project and corresponding mitigation payment deadlines may vary based on actual waste generation and
disposal rates.

Phase
Number
Impact Areas
Mitigation Required
Mitigation Payment
Deadline
1,923 if of stream at a
C5 and SC6
1:1 mitigation ratio
12/31/2022
5
o Impacts
N/A
N/A
6991f of stream and
SC 1, SC2, SC3,
0.017 acre of riparian
6
C4, WC 1
wetland at a 1:1
12/31/2032
mitigation ratio
SFI, SF2, SF3,
517 If if stream and 0.5
FGD
WFI, WF4, WF4 -A
acre of riparian wetland
To be determined
at a 1:1 mitigation ratio
FGD - The schedule and necessity regarding the possible expansion of the Alternative D location
- the existing flue gas desulfurization residue (FGD) landfill, is currently unknown. Following
Phase 6 of the Craig Road Landfill expansion, should Alternative D become necessary to
expand, the compensatory mitigation fees for impacts associated with streams SFI, SF2, SF3
(combined 51710 and wetlands WFI, WF4, WF4 -A (combined 0.5 Ac), would be compensated
through the North Carolina Ecosystem Enhancement Program at a 1:1 mitigation ratio.
n) The North Carolina Division of Water Quality (DWQ) permit/certification number
WQC003879 was issued for this project on January 24, 2012. Special conditions were issued
associated with this water quality permit/certification and a copy of these conditions is attached
as Exhibit A. These referenced conditions are hereby incorporated as special conditions of this
permit.

— - -- - - - -� _ _ ...... - --
C: PERMIT DENIAL: You may appeal the denial o— f a permit under the Corps of Engineers Administrative Appeal Process
by completing Section 11 of this form and sending the form to the division engineer. This form must be received by the
division engineer within 60 days of the date of this notice.
D ' APPROVED JURISDICTIONAL DETERMINATION: You may accept or appeal the approved JD or provide new
information.
• ACCEPT: You do not need to notify the Corps to accept an approved JD. Failure to notify the Corps within 60 days of
the date of this notice means that you accept the approved JD in its entirety, and waive all rights to appeal the approved
JD.
• APPEAL: If you disagree with the approved JD, you may appeal the approved JD under the Corps of Engineers
Administrative Appeal Process by completing Section H of this form and sending the form to the district engineer. This
form must be received by the division engineer within 60 days of the date of this notice.
E: PRELIMINARY JURISDICTIONAL DETERMINATION: You do not need to respond to the Corps regarding the
preliminary JD. The Preliminary JD is not appealable. If you wish, you may request an approved JD (which may be
appealed), by contacting the Corps district for further instruction. Also you may provide new information for further
consideration by the Corps to reevaluate the JD.
J
N�,R x � 44 5 , �r A ip �`,7 ... .•Yl.eki9,
REASONS FOR APPEAL OR OBJECTIONS: (Describe your reasons for appealing the decision or your objections to an
initial proffered permit in clear concise statements. You may attach additional information to this form to clarify where your
reasons or objections are addressed in the administrative record.)
ADDITIONAL INFORMATION: The appeal is limited to a review of the administrative record, the Corps memorandum for
the record of the appeal conference or meeting, and any supplemental information that the review officer has determined is
needed to clarify the administrative record. Neither the appellant nor the Corps may add new information or analyses to the
record. However, you may provide additional information to clarify the location of information that is already in the
administrative record.
OF (I ITAG TIO S OIt
®I r ,STS ; ya o , ¢ E �
3 S.e ': 'ro-aa -.�' pk h
If you have questions regarding this decision and /or the
If you only have questions regarding the appeal process you may
appeal process you may contact:
also contact:
U.S. Army Corps of Engineers
Mr. Jason Steele, Administrative Appeal Review Officer
Attn: John Thomas, Project Manager
CESAD -PDO
Raleigh Regulatory Field Office
U.S. Army Corps of Engineers, South Atlantic Division
3331 Heritage Trade Drive, Suite 105
60 Forsyth Street, Room I OM 15
Wake Forest, North Carolina 27587
Atlanta, Georgia 30303 -8801
Phone: [phone]
RIGHT OF ENTRY: Your signature below grants the right of entry to Corps of Engineers personnel, and any government
consultants, to conduct investigations of the project site during the course of the appeal process. You will be provided a 15
day notice of any site investigation, and will have the oppo rtuni to participate in all site investi ations.
Date:
Telephone number:
Signature of appellant or agent.
Division Engineer:
Commander
U.S. Army Engineer Division, South Atlantic
60 Forsyth Street, Room 10M15, Atlanta, Georgia 30303 -8801

RECEIVED
N.C. Dept of EfdK
MAR 0 2' 2011
Winston-Salem
Regional Office
March 1, 2012
North Carolina Division of Water Quality
Winston -Salem Regional Office
585 Waughtown Street
Winston - Salem, North Carolina 27107 -2241
Attention: Ms. Sue Homewood
'em
Reference: Approval of 401 Water Quality Certification
Duke Energy — Belews Creek Steam Station
Proposed Craig Road Landfill Expansion, Stokes County, North Carolina
S &ME Project No. 1356 -10 -041
DWQ No. 06 -0645 ver 2; USACE Action ID No. 2011 -00972
Dear Ms. Homewood:
S &ME, Inc., (S &ME) on behalf of Duke Energy is providing a letter of request for
clarification regarding portions of the corresponding North Carolina Individual Water
Quality Certification (IC) dated January 24, 2012.
On February 2, 2012, S &ME's Darrin Peine briefly discussed with you via phone call the
North Carolina Department of Environment and Natural Resources (NCDENR) Division
of Water Quality (DWQ) approval of the 401 Water Quality Certification with additional
conditions regarding Duke Energy's Proposed Craig Road Landfill Expansion project.
You recommended that S &ME provide DWQ a written request for clarification.
Conditions of Certification
Excerpt from condition number 2 Compensatory Mitigation: "Mitigation must be
provided for the proposed impacts as specified in the table below. We understand that
you wish to make a payment to the Stream Restoration Fund administered by the NC
Ecosystem Enhancement Program (EEP) to meet this mitigation requirement. This has
been determined by the DIVISION to be a suitable method to meet the mitigation
requirement. Until the EEP receives and clears your check (made payable to: DENR —
Ecosystem Enhancement Program Office), no impacts specified in this Authorization
Certificate shall occur. The EEP should be contacted at (919) 733 -5205 if you have any
questions concerning payment into a restoration fund. You have 60 days from the date of
this approval to make this payment."
S &ME, INC. / 9751 Southern Pine Boulevard / Charlotte, NC 28273 -5560 / p 704.523.4726 f 704.525.3953 / www.smeinc.com

Approval of 401 Water Quality Certification S &ME Project Number 1356 -10 -041
Proposed Craig Road Landfill Expansion March 1, 2012
Duke Energy received notification from the North Carolina Ecosystem Enhancement
Program (EEP) that the program is willing to accept payment for compensatory
mitigation. However, due to the very long timeframe of the project, Duke Energy has
requested that the compensatory mitigation be completed in phases corresponding to the
project phases of when jurisdictional impacts would occur.
S &ME requested feedback from EEP on February 14, 2012 regarding accepting
payments on a phased schedule. The EEP responded, via email, indicating if permits are
issued authorizing phased construction and a phased mitigation schedule, EEP would
become responsible for the mitigation in phases as the payments are received.
Attached as Appendix I is a proposed phased mitigation schedule. A copy of the phased
mitigation schedule is also being provided to the U.S Army Corps of Engineers
(USACE). Duke Energy requests that the phased mitigation schedule be incorporated
into the IC. In addition, Duke Energy requests that the date to make the compensatory
mitigation be revised to 60 days from the date of approval from the Division of Solid
Waste for each of the project's phased landfill expansions.
Excerpt from condition number 7: "All work in or adjacent to stream waters shall be
conducted so that the flowing stream does not come in contact with the disturbed area.
Approved best management practices from the most current version of the NC Sediment
and Erosion Control Manual, or the NC DOT Construction and Maintenance Activities
Manual, such as sandbags, rock berms, cofferdams, and other diversion structures shall
be used to minimize excavation in flowing water. Exceptions to this condition require
application submittal to, and written approval by, the Division of Water Quality."
Duke Energy understands that the intent of the condition does not allow the permitted
activity to release sediments downstream. The nature of the proposed development
requires construction directly within and permanent impacts to headwater streams.
Specifically an underdrain consisting of filter geotextiles, drainage aggregate, and
perforated piping will be installed along stream alignments prior to placing engineered
fill over the streams. Because the streams are headwater in origin, controlling sediment
release downstream will be difficult. Duke Energy requests clarification from the DWQ
that an approved Erosion and Sediment Control Plan for construction will be adequate to
meet the Certification condition.
Excerpt from condition number 9: "Streams SC 1, SC5, SC7, SC8 and SC 10, downstream
of impact areas, shall be visually monitored by Duke Energy for loss of hydrologic
function/flow and to determine if the streams continue to provide aquatic life propagation
and biological integrity per required in North Carolina Administrative Code 15A NCAC
2B .0211(1). Visual monitoring for each stream shall begin at the time upstream
impacts /fill occurs and shall continue until hydrologic function and stability is
determined by the Division of Water Quality. Annual reports of visual monitoring and
photographic documentation shall be submitted to the Winston -Salem Regional Office on
June 1 of each year."

Phased Mitigation Schedule
k Duke Energy Belews Creek Steam Station — Craig Road Landfill Expansion -
S&ME Project Number 1356 -10 -041
USACE ID No. 2011 - 00972, DWQ No. 06 -0645
Prepared February 10, 2012
Figure
Number
(Individual
Permit
Application
Dated
6/9/2011)
Stream or
Wetland
ID
Craig Road
Lan fill Expansion
Phase
Phase
lifetime
Year
` Stream'!
Grading /Fill
Placement
Impact (If)
Wetland
Grading/Fill
Placement
Impact (Ac)
Possible
Additional
Stream
Length (If)'
6D
SC8
2
2013 -2018
768
-
136
6D
SC9
243
-
-
6D
SC10
95
-
59
6D
WC2
-
0.136
-
6D
WO
-
0.05
-
6D
WC4
-
0.055
-
Phase 2 Totals:
1,106
0.241
195
6C
SO 3
2018 -2023
884
-
106
Phase 3 Totals:
884
0
106 i
6C
SC5
4
2023 -2028
1,894
523
6C
SC6
29
-
-
Phase 4 Totals:
1,923
0
523
Phase 5 Totals:
2028 -2033
0
0
0
6B
SC1
6
2033 -2038
699
-
95
6B
SC2
0
-
-
6B
SO
0
-
-
6B
SC4
0
-
-
6B
WC1
-
0.017
-
Phase 6 Totals:
699
0.017 ',
95
Total 4,612 0.258 919 !
Note: (if) = Linear Feet; (Ac) = Acres
** The schedule and necessity regarding the possible expansion of the Alternative D location -
the existing flue gas desulfurization residue (FGD) landfill, is currently unknown. In the future,
should Alternative D become necessary to expand, the compensatory mitigation for impacts
associated with streams SF1, SF2, SF3 (combined 517 If) and wetlands WF1, WF4, WF4 -A
(combined 0.5 Ac), would be compensated through the North Carolina Ecosystem Enhancement
Program.
' Per a condition of 401 water quality certification, streams SCI, SC5, SC7, SC8 and SC10, downstream of impact
areas, shall be visually monitored by Duke Energy for loss of hydrologic function /flow and to determine if the
streams continue to provide aquatic life propagation and biological integrity. Additional compensatory mitigation
may be required by the Division of Water Quality based on results of annual reports of visual monitoring and
photographic documentation.

ALTG_I�awA
RCDENR
North Department - Resources
Division of Water Quality
Beverly Eaves Perdue Charles VVakild, P. E.
Governor Director
January 19, 2012
Mr. Tom Leap
Duke Energy Belews Creels Steam Station
3195 Pine Hall Road
Belews Creels, NC 27009 -9157
Dee Freeman
Secretary
Re: Craig Road Landfill Expansion, Stokes County
Belews Lake (030201, 22- 27- 9 -(3), C)
Division 42006 -0645 ver 2; USACE Action ID. No. SAW - 2011 -00972
Revised APPROVAL of 401 Water Quality Certification with Additional Conditions
Dear Mr. Leap:
Attached hereto is a copy of re- issued Certification No. 3879 issued to Mr. Tom Leap and Duke Energy,
dated January 19, 2012. This approval clarifies conditions previously issued in Certification No. 3879
dated January 24, 2012. In addition, you should get any other federal, state or local permits before you go
ahead Nvith your project including (but not limited to) Solid Waste, Sediment and Erosion Control,
Storrmvater, Dam Safety, Non - discharge and Water Supply Watershed regulations.
If we can be of further assistance, do not hesitate to contact us.
Sincerely,
Charles Wakild, P.E.
Attachments: Certificate of Completion
NCDWQ 401 WQC Summary of Permanent Impacts and Mitigation Requirements
cc: Becky Fox, EPA, 1307 Firefly Road, Whittier, NC 28789
U.S. Army Corps of Engineers, Raleigh Regulatory Field Office,
Elizabeth Werner, Div. Of Solid Waste
Darrin Peine, S &ME (via email)
Sue HomeNvood, Division, Winston -Salem Regional Office
File Copy
„ tI sir �_ E TTFS mr,,,ites .oml;km e <m lit
R i < 1 1.: F
�I itHli(3t': Intl-,
-i E:; aI �;�;: sl snit - TTiim,iti, floc, Eml-fl: �s.
Wilmington District, USACOE

Mr. Tom Leap and Duke Energy
Page 2 of 5
January 19, 2012
NORTH CAROLINA 401 WATER QUALITY CERTIFICATION
THIS CERTIFICATION is issued in conformity with the requirements of Section 401 Public Lavvs 92-
500 and 95 -217 of the United States and subject to the North Carolina Division of Water Quality (Division)
Regulations in 15 NCAC 2H, Section .0500 to Mr. Tom Leap and Duke Energy Belevvs Creels Steam
Station to fill impact or othei-vvise impact 0.75 acres of 404 /wetland, and 5,129 linear feet of stream
associated with the proposed landfill expansion project at the site, which is located within the Roanoke
River Basin. The site is located off north of the terminus of Pine Hall Road, near Belevvs Creek, Stokes
County, North Carolina, pursuant to an application dated June 9, 2011, and received by the Division on
June I' 3, 2011, and by Public Notice by the U.S. Army Corps of Engineers issued on the 23rd day of June of
201 Land received by the Division on June 23, 2011, and Public Notice reissued by the U.S. Army Corps of
Engineers issued on the 15 "' day of December of 201 Land received by the Division on December 16, 2011
and additional information received by the Division on August 18, 2011, August 26, 2011, October 28,
2011, November 14, 2011, and December 16, 2011, and a request for clarification/revision dated March 1,
2012.
The application and supporting documentation provides adequate assurance that the proposed -,work will
not result in a violation of applicable Water Quality Standards and discharge guidelines. Therefore, the
State of North Carolina certifies that this activity will not violate the applicable portions of Sections 301,
302, 303, 306, 307 of PL 92 -500 and PL 95 -217 if conducted in accordance with the application, the
supporting documentation, and conditions hereinafter set forth.
This approval is only valid for the purpose and design submitted in the application materials and as
described in the Public Notice. If the project is changed, prior to notification a nevv application for a new
Certification is required. If the property is sold, the nevv owner must be given a copy of the Certification
and approval letter and is thereby responsible for complying with all conditions of this Certification. Any
ne'kv o'kvmer must notify the Division and request the Certification be issued in their name. Should wetland
or stream fill be requested in the future, additional compensator- mitigation may be required as described
in 15A NCAC 2H.0506 (h) (6) and (7). If any plan revisions from the approved site plan result in a
change in stream or wetland impact or an increase in impervious surfaces, the Division shall be notified in
writing and a nevv application for 401 Certification may be required. For this approval to be valid,
compliance with the conditions listed below is required.
Conditions of Certification:
1. Impacts Approved
The folloNving impacts are hereby approved as long as all of the other specific and general
conditions of this Certification (or Isolated Wetland Permit) are met. No other impacts are
approved including incidental impacts:
Type of Impact
Amount Approved Units
Plan Location or Reference
404/Riparian Wetlands
0.75 (acres)
Application and Public Notice
Stream (perennial)
5,129 (linear feet) of stream
Application and Public Notice
2. Compensator- Mitigation
Mitigation must be provided for the proposed impacts as specified in the table below. We
understand that you wish to make a payment to the Stream Restoration Fund administered by the
NC Ecosystem Enhancement Program (EEP) to meet this mitigation requirement. This has been
determined by the Division to be a suitable method to meet the mitigation requirement.

Mr. Tom Leap and Duke Energy
Page 3 of 5
January 19, 2012
Mitigation shall be provided in accordance with the phased mitigation schedule provided below.
The cost of credits will be the current price at the time of payment, not the current price at the
time the permit Nvas issued. No Nvork on any phase of the project shall begin until the payment for
that phase has been issued to NCEEP. The EEP should be contacted at (919) 733 -5205 if you
have any questions concerning payment into a restoration fund. . For accounting purposes, this
Authorization Certificate authorizes payment into the Stream Restoration Fund to meet the
following compensatory mitigation requirement:
Phase Number
Impact Areas
Mitigation Required
Mitigation Payment Deadline
2
SC8, SC9, SC10
1, 106 linear feet
12/31/2012
3
SC7
884 linear feet
12/31/2017
4
SC5 and SC6
1,923 linear feet
12/31/2022
6
SCL SC2, SC3
699 linear feet
12/31/2032
FGD
SF1, SF2, SF3
517 linear feet
To be determined
3. Final Construction Plans shall be submitted to the Division upon receipt of a landfill permit issued by
the Division of Solid Waste and at least 90 days prior to any impacts to jurisdictional waters. The
Permittee shall submit a permit modification request if jurisdictional impacts increase beyond those
approved in this certification as a result of final design and the landfill permitting process, no impacts
shall occur during the review of any permit modification requests.
4. Erosion and sediment control practices must be in full compliance with all specifications governing
the proper design, installation and operation and maintenance of such Best Management Practices and
if applicable, comply with the specific conditions and requirements of the NPDES Construction
StormNvater Permit issued to the site:
a. Design, installation, operation, and maintenance of the sediment and erosion control
measures must be such that they equal, or exceed, the requirements specified in the most
recent version of the North Carolina Sediment and Erosion Control Manual. The devices
shall be maintained on all construction sites, borrow sites, and waste pile (spoil) projects,
including contractor- o'kvned or leased borrow pits associated with the project.
b. For borrow pit sites, the erosion and sediment control measures must be designed, installed,
operated, and maintained in accordance 'kvith the most recent version of the North Carolina
Surface Mining Manual.
c. Reclamation measures and implementation must comply with the reclamation in accordance
Nvith the requirements of the Sedimentation Pollution Control Act and the Mining Act of
1971.
d. Sufficient materials required for stabilization and /or repair of erosion control measures and
stormNvater routing and treatment shall be on site at all times.
No waste, spoil, solids, or fill of any kind shall occur in wetlands, waters, or riparian areas beyond the
footprint of the impacts depicted in the 404 /401Permit Application, including incidental impacts. All
construction activities, including the design, installation, operation, and maintenance of sediment and
erosion control Best Management Practices, shall be performed so that no violations of state 'kvater
quality standards, statutes, or rules occur. Approved plans and specifications for this project are
incorporated by reference and are enforceable parts of this permit.

Mr. Tom Leap and Duke Energy
Page 4 of 5
January 19, 2012
6. Sediment and erosion control measures shall not be placed in wetlands or waters. Exceptions to this
condition require application submittal to, and written approval by, the Division of Water Quality. If
placement of sediment and erosion control devices in wetlands and waters is unavoidable, then design
and placement of temporary erosion control measures shall not be conducted in a manner that may
result in dis- equilibrium of wetlands or stream beds or banks, adjacent to or upstream and downstream
of the above structures. All sediment and erosion control devices shall be removed and the natural
grade restored within two (2) months of the date that the Division of Land Resources or locally
delegated program has released the specific area within project.
All work in or adjacent to stream waters shall be conducted so that the flowing stream does not come in
contact with the disturbed area. Approved best management practices from the most current version of
the NC Sediment and Erosion Control Manual. or the NC DOT Construction and Maintenance
Activities Manual, such as sandbags, rock berms, cofferdams, and other diversion structures shall be
used to rniniinize excavation in flowing water. For the placement of perforated pipes within headwater
streams Duke Energy may be exempt from this requirement provided they provide adequate measures
to protect downstream waters from sediment loss and comply with the approved Sediment and Erosion
Control Plan.
Mr. Tom Leap and Duke Energy Belews Creek Steam Station, shall conduct construction activities in
a manner consistent with State water quality standards (including any requirements resulting from
compliance with section 303(d) of the Clean Water Act) and any other appropriate requirements of
State law and federal law. If the Division determines that such standards or laws are not being met
(including the failure to sustain a designated or achieved use) or that State or federal law is being
violated, or that further conditions are necessary to assure compliance, the Division may reevaluate
and modify this Certification to include conditions appropriate to assure compliance with such
standards and requirements in accordance with 15A NCAC 2H.0507(d). Before modifying the
Certification, the Division shall notify Mr. Tom Leap and Duke Energy Belews Creek Steam Station
and the US Army Corps of Engineers, provide public notice in accordance with 15A NCAC 2H.0503
and provide opportunity for public hearing in accordance with 15A NCAC 2H.0504. Any new or
revised conditions shall be provided to Mr. Tom Leap and Duke Energy Belews Creek Steam Station
in writing, shall be provided to the United States Army Corps of Engineers for reference in any
Permit issued pursuant to Section 404 of the Clean Water Act, and shall also become conditions of
the 404 Permit for the project;
9. Streams SC SC5, SC7, SC8 and SC10, downstream of impact areas, shall be visually monitored by
Duke Energy for loss of hydrologic function/floNv and to determine if the streams continue to provide
aquatic life propagation and biological integrity equal to pre - impact conditions for each location per
required in North Carolina Administrative Code 15A NCAC 2B .0211(1). Visual monitoring every
six months for each stream shall begin at the time upstream impacts /fill occurs and shall continue
until hydrologic function and stability is determined by the Division of Water Quality, at least one
monitoring event shall be between June and September annually. Annual reports of visual monitoring
and photographic documentation that has occurred in the previous twelve months shall be submitted
to the Winston -Salem Regional Office on June 1 of each year.
10. A copy of the surface water monitoring plan as required and approved by the Division of Solid
Waste, shall be submitted to the Division for each phase of the Craig Road Landfill Expansion. The
surface water monitoring plan does not include the visual monitoring required in Condition 49 above.
Any modifications to approved surface water monitoring plans shall be submitted to the Division for
the life of the landfill. Additional monitoring requirements may be added by the Division upon
review of the surface water monitoring plan approved by the Division of Solid Waste.

Mr. Tom Leap and Duke Energy
Page 5 of 5
January 19, 2012
11. All mechanized equipment operated near surface waters should be inspected and maintained often to
prevent contamination of stream waters from fuels, lubricants, hydraulic fluids or other toxic
materials. Concrete is toxic to aquatic life and should not be allowed to come in contact with surface
waters until cured.
12. Sediment and erosion control measures should be installed prior to any land clearing or construction.
These measures should be routinely inspected and properly maintained. Excessive silt and sediment
loads can have numerous detrimental effects on aquatic resources including destruction of spawning
habitat, suffocation of eggs, and clogging of gills of aquatic species.
13. This Certification does not relieve the applicant of the responsibility to obtain all other required
Federal, State or Local approvals.
14. Upon completion of all permitted impacts included within the approval and any subsequent
modifications, the applicant shall be required to return the certificate of completion attached to the
approval. One copy of the certificate shall be sent to the Division Central Office in Raleigh at 1650
Mail Service Center, Raleigh, NC, 27699 -1650
15. This certification grants permission to the director, an authorized representative of the Director, or
DENR staff, upon the presentation of proper credentials, to enter the property during normal business
hours.
This Certification shall expire on the same day as the expiration date of the corresponding 404
Permit. The conditions in effect on the date of issuance of Certification shall remain in effect for the
life of the project, regardless of the expiration date of this Certification
If this Certification is unacceptable to you, you have the right to an adjudicatory hearing upon written
request within sixty (60) days folloNving receipt of this Certification. This request must be in the form of a
written petition conforming to Chapter 150B of the North Carolina General Statutes and filed with the
Office of Administrative Hearings, 6714 Mail Service Center, Raleigh, N.C. 27699 -6714. If
modifications are made to an original Certification, you have the right to an adjudicator- hearing on the
modifications upon written request within sixty (60) days folloNving receipt of the Certification. Unless
such demands are made, this Certification shall be final and binding.
This the 19'h day of January 2012
DIVISION OF WATER QUALITY
Charles Wakdd, P.E.
CW /kah/i /m
3788