20110720 Ver 4_Credit Sale Audit_20130718

NCDE dR
North Carolina Department of Environment and Natural Resources\
Division of Water Quality
Pat McCrory Thomas A. Reeder
Governor Acting Director
July 18, 2013
Mr. Thomas Rinker
EBX Neuse 1, LLC; Environmental Banc & Exchange, LLC; EBX -EM, LLC
909 Capability Drive, Suite 3100
Raleigh, NC 27606
John E. Skvarla, III
Secretary
Re: Audit of Credit Sales for Nutrient Offset & Riparian Buffer Mitigation Banks owned by
EBX
Dear Mr. Rinker:
On June 14, 2013, Katie Merritt with the Division of Water Quality (DWQ) notified Environmental
Banc & Exchange, LLC (EBX); EBX Neuse 1, LLC (EBX); and EBX -EM (EBX) that DWQ was
performing a semi - annual audit of all nutrient offset and buffer mitigation credit sales for all private
nutrient offset and buffer mitigation banks. Along with this notification, Ms. Merritt requested all credit
ledgers along with all corresponding local government approval /verification letters for the following
banks:
• Forrest Creek Buffer ( #2008 -0229) — November 27, 2012 to June 14, 2013
• Marston ( #2008 -1473) — December 11, 2012 to June 14, 2013
• Nahunta ( #2008- 1473v2) — December 11, 2012 to June 14, 2013
• Westbrook ( #2008- 1473v3) - December 11, 2012 to June 14, 2013
• Carl Lloyd ( #2009- 0858v2) — December 5, 2012 to June 14, 2013
• Ivey Ferguson ( #2009- 0858v3) — February 8, 2013 to June 14, 2013 (received through 7/17/13)
• Rudolf ( #2010 -0408) — December 11, 2012 to June 14, 2013
• Forrest Creek UT -2 ( #2011 -0720) — December 17, 2012 to June 14, 2013
• Cedar Grove ( #2011- 0720v2) — December 20, 2012 to June 14, 2013
• Ezell ( #2011- 07200) — May 3, 2013 to June 14, 2013
On June 20, 2013 and July 18, 2013, DWQ received all of the requested documentation. Findings from
this audit suggest that all credit sales are compliant.
Wetlands, Buffers, Stormwater Compliance & Permitting Unit
1650 Mail Service Center, Raleigh, North Carolina 27699 -1650
Location: Archdale Bldg., 512 N. Salisbury St, Raleigh, NC 27604
Phone: [phone] FAX: 919 - 807 -6494
Internet: http: / /portal.nedenr.org /web /wq /swp /ws /webscape
An Equal Opportunity 1 Affirmative Action Employer
NorthCarolina
Natura!!r,

EBX
Page 2 of 2
July 18, 2013
Thank you for cooperation with this audit. For any questions regarding this correspondence, please
contact Katie Merritt at (919) 807 -6371.
Sincerely,
lbw
Karen Higgins, Supervisor
Wetlands, Buffers, Stormwater,
Compliance and Permitting Unit
KAH/km
cc: File Copy (Katie Merritt)
Cara Conder — EBX -EM, LLC (via electronic copy)