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Home My WebLink About20140189 Ver 1_Mitigation Bank Information_201402264 n i r N Arrington Bridge III Wetland Mitigation Bank PROSPECTUS Neu -Con Umbrella Mitigation Bank Wayne County, North Carolina Neuse River Basin HUC 030202011705 WDIICKSON community Infrastructure consultants Environmental Banc & Exchange WK Dickson & Co., Inc. 909 Capability Drive, Suite 3100 720 Corporate Center Drive Raleigh, NC 27606 Raleigh, NC 27607 919 - 829 -9909 919 - 782 -0495 r �4 January 2014 r 2014 `r Table of Contents 1 INTRODUCTION .. 11 Project Description 12 Project Location 13 Service Area 14 Identified Watershed Needs 15 Purpose and Objectives 16 Technical Feasibility 17 Site Ownership 2 QUALIFICATIONS 2 1 Bank Sponsor 22 Bank Sponsor Qualifications 23 Consultant 24 Consultant Qualifications 3 EXISTING CONDITIONS .... .. 3 1 Existing Jurisdictional Waters of the U S 3 2 Historical Land Use and Development Trends 33 Soil Survey 331 General Soil Characteristics 332 Site Mapped Soil Series 34 Endangered /Threatened Species 35 Vegetation and Wildlife 3 6 Cultural Resources 3 7 Constraints 4 PROPOSED BANK CONDITIONS .. 41 Conceptual Mitigation Plan 4 1 1 Wetland Enhancement 4 1 2 Wetland Restoration 413 Monitoring 42 Reference Ecosystems 43 Ecological Suitability S BANK ESTABLISHMENT AND OPERATION .... 51 Establishment and Operation of the Bank 52 Proposed Credit Release Schedule 521 Initial Allocation of Released Credits 522 Subsequent Credit Releases 53 Financial Assurances 54 Proposed Ownership and Long -Term Management 55 Assurance of Water Rights C. Pirrim urrc Arrington Bridge III Wetland Mitigation Bank ..1 1 1 1 2 2 2 2 4 4 4 5 5 6 6 6 7 7 7 10 11 12 12 13 13 13 13 14 14 14 16 16 16 17 17 17 18 18 ......19 PROSPECTUS January 2014 List of Figures Figure 1 Project Vicinity Map Figure 2 USGS Topographic Map Figure 3 National Wetlands Inventory Map Figure 4a 1950 Historical Conditions Figure 4b 1981 Historical Conditions Figure 5 Soils Map Figure 6 FEMA Map Figure 7 Conceptual Design Plan Figure 8 LIDAR Map Arrington Bridge III Wetland Mitigation Bank 15 PROSPECTUS January 2014 I INTRODUCTION 11 Project Description The Arrington Bridge III Wetland Mitigation Project is located on a 53 2 -acre site three miles southwest of Goldsboro in western Wayne County, NC One unnamed tributary ditch that traverses the site exhibits diminished habitat value as a result of past and on -going agricultural activities The site was identified by EBX -Neuse I, LLC as having potential to help meet the compensatory mitigation requirements for wetland impacts in hydrologic unit 03020201 of the Neuse River Basin The proposed project is the third of three phases The Arrington Bridge I & II mitigation sites are located on the north side of Arrington Bridge Road, Arrington Bridge I is on the east side of John Road, and Arrington Bridge II is on the west side of John Road These two buffer and nutrient mitigation sites are hydrologically connected to the Arrington Bridge III site The three Arrington Bridge sites complement each other, and, together, will confer a greater water quality benefit to the Neuse River than any one of the sites alone The proposed project involves the restoration and enhancement of 416 acres of wetlands that have been disturbed by historic mining, agricultural activities, and active cattle grazing The conceptual design presents 29 0 acres of wetland restoration and 12 6 acres of wetland enhancement, generating 32 3 Wetland Mitigation Units (WMU) 12 Project Location The Arrington Bridge III Stream and Wetland Site is located in Wayne County approximately three miles southwest of downtown Goldsboro, NC (Figure 1) The GPS coordinates of the site are 35 342895 °N and -78 009907 °W To access the Site from the town of Goldsboro, travel south on NC HWY 117, and turn left onto Arrington Bridge Road (NC Highway 581) Turn right onto the dirt entrance road immediately after crossing the railroad tracks (approximately 0 15 miles) Turn left after 0 3 miles In 0 1 miles, follow the left fork to access the northern end of the Site Following the path to the right will lead to the middle and southern portions of the Site 1.3 Service Area The Arrington Bridge III Mitigation Site will provide mitigation credits to offset unavoidable impacts to wetland resources within the Upper Neuse subbasin (8 -digit USGS HUC 03020201) The project is located within the Neuse River Basin (8 -digit USGS HUC 03020201, 12 -digit USGS HUC 030202011705 — Quaker Neck Lake -Neuse River) (Figure 2) Land use in the immediate catchment includes urban and suburban areas of Goldsboro The project flows directly into the Neuse River The Neuse River upstream and downstream of the site is classified as impaired waters All waters in the Neuse River basin are Impaired on an evaluated basis in the Fish Consumption category for mercury contamination This is based on fish consumption advice from the NC Department of Health and Human Services (NC DHHS) Downstream in the Neuse River, low dissolved oxygen levels are present Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 1 January 2014 14 Identified Watershed Needs The North Carolina Ecosystem Enhancement Program (EEP) develops River Basin Restoration Priorities (RBRP) to guide its restoration activities within each of the state's 54 cataloging units The 2010 Neuse River Basin RBRP identified several restoration needs for the entire Neuse River Basin, as well as for HUC 03020201, specifically Goals include promoting nutrient and sediment reduction in agricultural areas by restoring and preserving wetlands, streams, and riparian buffers, and implementing projects under the Nutrient Offset and Buffer programs The proposed bank is designed to help meet these goals The project will address stressors identified in the watershed through nutrient removal, sediment removal, runoff filtration, and improved aquatic and - terrestrial habitat These project goals will be achieved through wetland enhancement and restoration _ 15 Purpose and Objectives The purpose of the proposed Bank is to generate compensatory mitigation credits for inclusion in the Neu -Con Umbrella Mitigation Bank in hydrologic unit 03020201 of the Neuse River Basin The project goals address stressors identified in the watershed, and include the following • Nutrient removal, • Sediment removal, • Filtration of runoff, and • Improved aquatic and terrestrial habitat The project goals will be addressed through the following project objectives • Converting active pasture to a wetland slough and bottomland wetland system, • Fill and stabilize existing ditches, • Restoration of bottomland hardwood and riverine swamp forest habitats, and • Enhancement of hydrology in existing wetlands 16 Technical Feasibility The technical feasibility of the bank is assured due to EBX's extensive experience with stream and wetland restoration and enhancement in North Carolina and throughout the Southeast Examples of EBX's success with wetland restoration and enhancement include Neu -Con Umbrella Mitigation Bank sites the Gregory, Nahunta, and Cox II Sites The absence of fatal flaws such as hydrologic trespass, and the absence of threatened and endangered species and their habitats mean the project is unlikely to be impeded by resource issues, or by objections from landowners 17 Site Ownership The land required for the construction, management, and stewardship of this mitigation project includes portions of the parcels listed in Table 1 Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 2 January 2014 Table 1 Site Ownership 0 b JBA Properties LLC 2598318336 Wayne 1982 -313 3192 412 JBA Properties II LLC 2597698334 Wayne 2783 -878 1503 120 Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 3 January 2014 2 QUALIFICATIONS 2.1 Bank Sponsor The Arrington Bridge III Mitigation Site shall be established under the terms and conditions of the EBX Neu -Con Umbrella Mitigation Bank made and entered into by EBX Neuse I, LLC (EBX), acting as the Bank Sponsor Company Name EBX Neuse I, LLC Company Address 909 Capability Drive, Suite 3100, Raleigh, NC 27606 Contact Name Norton Webster Telephone (919) 608 -9688 Email norton @ebxusa com 2 2 Bank Sponsor Qualifications Founded in 1997, Environmental Banc & Exchange, LLC (EBX) specializes in the protection and restoration of rare, diminishing, and degraded ecosystems and resources, and is a leader in the nationwide practice of environmental banking and leading turn -key provider of ecosystem mitigation and restoration solutions The firm is responsible for mitigation banks and client specific projects that will restore, enhance and preserve over 127 miles of stream and over 12,839 acres of wetlands, reduce over 578,471 pounds of nutrients, and rehabilitate and preserve over 5,866 acres of critical habitats EBX works with private and public sector clients through its offices in Raleigh, North Carolina, Baltimore, Maryland, Camden, South Carolina, and Oak Hill, West Virginia As of September 2013, EBX has completed work on 57 turnkey mitigation sites and is in the implementation stages of another 83 turnkey mitigation sites EBX has completed 22 mitigation bank sites, and has financial interest, development, and /or operational interest in 41 additional mitigation banks in the implementation stages EBX develops, implements, and manages ecosystem mitigation and restoration projects that protect and restore ecosystem functions in affected areas, protect and conserve affected fish, wildlife, and plant populations, and meet the needs of affected stakeholders with respect to regulatory obligations or interests under the Clean Water Act, Endangered Species Act, and other legislation A few representative projects implemented by EBX are presented below Neu -Con Umbrella Mitigation Bank (North Carohna). One of the first approved wetland and stream banks in North Carolina The service area of the Bank is the entire Neuse River Basin The Bank was established in April 2001 Initial contract 22,964 linear feet of stream mitigation units (SMU) sold to North Carolina DOT based on credits produced from 3 stream restoration sites (initiated November 2000, sold all credits in November 2000, design initiated December 2001, construction completed on all sites Spring 2005, monitoring completed on all sites in Fall 2009) Additional sites added starting in 2008 Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 4 January 2014 Chesapeake Wetland Mitigation Bank (City of Chesapeake, Virginia) 545 acre wetland mitigation bank in the Lower James Watershed in Virginia The service territory of the Bank includes HUCs 02080206 and 02080208 The Bank was established in July 2009 The remainder of the 1,156 acre property will be sold to the Great Dismal Wildlife Refuge (MBI finalized Spring 2009, construction completed Spring 2011, in the monitoring phase) Conoconnara Swamp Site (Halifax County, North Carolina) 87 0 WMU of wetland restoration and 5,050 SMU of stream restoration (initiated July 2005, construction completed Spring 2007, monitoring completed Fall 2011) 2.3 Consultant The Designer for the Arrington Bridge III Mitigation Site is W K Dickson & Co, Inc (WK Dickson) Company Name Company Address Contact Name Telephone Email 2.4 Consultant Qualifications W K Dickson & Co, Inc 720 Corporate Center Drive, Raleigh, NC 27607 Daniel Ingram (919) 782 -0495 dingram @wkdickson com For more than eighty years, WK Dickson has been providing engineering and consulting services throughout the southeastern United States WK Dickson is an innovative, diversified organization of 108 professionals serving the total planning and design needs of their clients WK Dickson has built a reputation of superior client satisfaction, technical competence, innovation, and integrity WK Dickson has over ten years of experience with regional stream and wetland mitigation programs They have participated in a variety of projects related to stream and wetland assessments and mitigation WK Dickson also has project experience with NC buffer rules, buffer mitigation, and nutrient uptake mitigation In total, WK Dickson has completed over 16 stream and wetland mitigation projects in North Carolina, and is currently implementing and designing mitigation projects in North Carolina, South Carolina, and Virginia Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 5 January 2014 3 EXISTING CONDITIONS 3 1 Existing Jurisdictional Waters of the U S The US Fish and Wildlife Service National Wetland Inventory Map (NWI) depicts wetlands within the project site (Figure 3) The unnamed tributary to the Neuse River is mapped as PF01A (Palustrine Forested Broad - Leaved Deciduous Temporarily Flooded) Additional wetlands Just outside of the proposed easement are mapped as PSS1Fx (Palustrine Scrub -Shrub broad - leaved deciduous - - Semipermanently Flooded - Excavated), PEM1Cx (Palustrine Emergent Seasonally Flooded — Excavated), and PEM1Gx (Palustrine Emergent Persistent Intermittently Exposed - Excavated) The Neuse River is - classified as R2UBH (Riverme Lower Perennial Unconsolidated Bottom) A detailed wetland delineation has been performed The delineation will be approved by the USACE- during the initial environmental screening phase of the project = 3 2 Historical Land Use and Development Trends Aerial imagery and information provided by the property owners indicate that the subject site has been_ used extensively for mining and agricultural purposes, and that the location of the stream has not - - changed in over 40 years (Figure 4) By 1974, the area was cleared, much of the barrow removed, and _ conversion of area to agricultural production was occurring The current ditch'system was mostly in- place Land use patterns have remained constant since then with surrounding land use developing slowly Vegetation cover has modulated between regrowth and clearing, with areas converted to pasture Between 2005 and 2006 McArthur Lake was expanded and the access road moved north along a small ridge Very little has changed across the site during the last 40 years Across much of the site, soil structure and surface texture have been altered from intensive mining operations Although the soils characterized on the restoration area are classified as poorly drained, the ditching system and channelization of the stream have caused these soils to be effectively drained Historical land use and development trends on the Arrington Bridge III Site are summarized in Table 2 Table 2 Historical Land Use and Development Trends Conditions consist of borrow areas and ditched fields throughout the project area The downstream area has scrub -shrub vegetation The stream is channelized A 1974 small high ridge is forested Along the Neuse River, the floodplain is crisscrossed with older borrow areas, but much of this area is in scrub -shrub vegetation Low wet areas are visible along portion that may be the old flow pattern 1977 Land use conditions have changed very little More old borrow area near the downstream end have become scrub -shrub vegetation 1980 Land use conditions have changed very little Vegetation along the ditches and stream shows regrowth The water treatment plant on the south bank of the Neuse River and the 1983 Fellowship Baptist Church were constructed The small upland forested area and vegetation along the ditches has been cleared Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 6 January 2014 1993 -1998 Land use conditions have changed very little McArthur Lake expanded to the north Dirt path moved to north side of lake 2005 -2006 Some of the vegetated areas appear to be young pines Lower fields cleared and planted in grass 2008 Thinning of pines on the 2598318336 parcel is evident, likely for pasture The lower landscape in the pasture to the northwest was allowed to reforest 2009 Upland ditch to stream was placed in culvert 2010 Depicts current site conditions * Observations based on aerial imagery and landowner communication 3 3 Soil Survey 3 3 1 General Soil Characteristics The soils of Wayne County are acid and strongly leached They are mostly low to very low in natural fertility They require applications of lime Fertilizer is also needed to increase the content of calcium, magnesium, phosphorous, and potassium The organic- matter content of the soils is mostly low to very low except for some very wet soils in which water has retarded oxidation The site is shown to straddle two Soil Associations the Johnston - Chewacla- Kinston association and the Wickham -Johns association The Johnston- Chewacla- Kinston association is found along major streams such as the Neuse River The major soils are Chewacla, Johnston, and Kinston They are somewhat poorly to very poorly drained Wetness is a severe limitation for these soils, and they are subject to very frequent floods The Wickham -Johns association is found on fairly broad, long, low ridges and depressions on stream terraces It is on the terrace along the Neuse and Little Rivers The major soils are Wickham and Johns The site appears more aptly described by the Johnston - Chewacla- Kinston association 3.3.2 Site Mapped Soil Series The Wayne County Soil Survey shows thirteen mapping units across the project site Map units include 10 soil series and borrow pits (Figure 5) The upland soils found in this area of the county formed in sandy sediments from marine and fluviomarine deposits or loamy alluvium The upland soils at this site are on a river terrace above the active floodplain The soil series found on the site are described below and summarized in Table 3 Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 7 January 2014 Table 3 Mapped Soil Series 0 o - Bp Borrow pit — — — La Lakeland sand 5% Excessively A Convex Convex Rm Rimini sand 5% Excessively A Convex Convex Jo Johns sandy loam 5% Moderately C Convex Convex well Co Coxville loam 10/80% Poorly C/D Concave Concave Kn Kinston loam 90% Poorly B/D Linear Linear We Weston loamy sand 10/80% Poorly A/D Linear Concave (Woodington) Ch Chewacla loam 5% Somewhat B/D Concave Linear poorly Po Pantego loam 10/80% Very B/D Linear Concave Poorly KaB Kalmia loamy sand, 2 5%, Well B Convex Convex to 6 percent slopes WhA Wickham loamy sand, 5% Well B Convex Linear - 0 to 2 percent slopes WhB Wickham loamy sand, 5% Well B Convex Linear 2 to 6 percent slopes -WkB2 Wickham sandy loam, 5% Well B Convex Linear 2 to 6 percent slopes, eroded Chewacla loam This is a somewhat poorly drained soil found on floodplains of streams It has moderate permeability and negligible to low runoff This soil typically floods frequently for brief periods The seasonal high water table ranges from 6 to 24 inches below the surface It sometimes has clayey subsoil -Uses are for pasture, cropland, and forest This soil is considered prime farmland when drained and either protected from flooding, or not frequently flooded during the growing season This soil is considered to have hydric inclusions by the NRCS Coxville loam (Co) This is a poorly drained soil found across flats, Carolina bays, and - depressions They have moderately slow permeability and runoff is negligible The seasonal high water table ranges from 0 to 12 inches below the surface It has clayey subsoil Major uses are forest, pasture and cropland This soil is considered hydric when undrained by the NRCS Lakeland sand This is a moderately excessively drained soil found on broad to narrow uplands The seasonal high water table is greater than 80 inches below the surface It has typically has sand subsoil to greater than 80 inches It has rapid to very rapid permeability and runoff is slow Uses are for pasture and cropland This soil is considered to have hydric inclusions by the NRCS Johns sandy loam This is a somewhat poorly to moderately well drained soil found on stream terraces They have moderate permeability and runoff is negligible to low The seasonal high water table ranges Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 8 January 2014 from 18 to 36 inches below the surface It typically has clayey subsoil This soil unit is typically cultivated or forested This soil is considered to have hydric inclusions by the NRCS Kalmia loamy sand, 2 to 6 percent slopes This is a well - drained soil found on stream terraces It has moderate permeability and runoff is negligible to low The seasonal high water table ranges from 42 to 72 inches below the surface It has clayey subsoil This soil unit is typically cultivated or forested This soil is considered to have hydric inclusions by the NRCS Kinston loam (Kn) This is a poorly drained soil found floodplains They have moderate permeability, runoff is negligible, and flooding is frequent The seasonal high water table ranges from 0 to 12 inches below the surface It has clayey subsoil Major uses are forest with limited pasture and cropland This soil is considered hydric by the NRCS Pantego loam This is a very poorly drained soil found on nearly level and slightly depressional areas This soil is very poorly drained It has very slow runoff, has moderate permeability, and is often ponded The seasonal high water table ranges from 0 to 12 inches below the surface It has clayey subsoil Major uses are forest with limited pasture and cropland This soil is considered hydric when undrained by the "NRCS Rimini sand This is a moderately excessively drained soil found on rims around "Carolina Bays" and on broad smooth divides in the Coastal Plain The seasonal high water table is greater than 80 inches below the surface It has typically has sand subsoil to greater than 80 inches It has rapid to very rapid permeability and runoff is slow This soil is mostly forested This soil is considered to have hydric inclusions by the NRCS Weston loamy sand This is a poorly drained soil found across flats, Carolina bays, and depressions It has moderately slow permeability and runoff is very slow The seasonal high water table ranges from 0 to 12 inches below the surface It often has clayey subsoil This soil is mostly forested with limited use as cropland This soil is considered hydric when undrained by the NRCS Wickham loamy sand This is a well -drained soil found on stream terraces It has moderate permeability and runoff is medium to rapid The seasonal high water table is greater than 80 inches below the surface It sometimes has clayey subsoil This soil unit is typically cultivated or forested This series has two slope phases (0 to 2 percent and 2 to 6 percent slopes) and one eroded phase This soil is considered to have hydric inclusions by the NRCS Borrow Pits This is a mapping unit indicating the area has significant disturbance in the past due to soil removal and earth work The borrow pits located near the project area most likely were mined for sand or gravel, leaving non -sand overburden distributed unevenly across the area The material removal results in exposure of silty or clayey subsoils that tend to have high compaction, low organic matter, and low fertility The natural establishment of vegetation is slow and uneven Often areas of excavation are below the groundwater and result in ponded areas of varying depth Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 9 January 2014 3.4 Endangered /Threatened Species Plants and animals with a federal classification of endangered or threatened are protected under provisions of Sections 7 and 9 of the Endangered Species Act of 1973, as amended The US Fish and Wildlife Service (USFWS) database (updated 22 September 2010) lists one endangered species for Wayne County, North Carolina red - cockaded woodpecker (P►co►des borealis) (Table 4) The Bald eagle (Hal►aeetus leucocephalus) is protected under the Bald and Golden Eagle Protection Act (BGPA) and prohibits take of bald and golden eagles No protected species or potential habitat for protected species was observed during preliminary site evaluations In addition to the USFWS database, the NC Natural Heritage Program (NHP) GIS database was consulted to determine whether previously cataloged occurrences of protected species were mapped within two miles of,the project site Results from NHP indicate that there are no known occurrences of-state threatened or endangered species within a two -mile radius of the project area Based on initial site investigations, no impacts to state protected species are anticipated as a result of the proposed project The proposed project offers some potential to improve or create suitable habitat for several Federal Species of Concern Habitat may be improved or created for species that require riverine habitat by improving water quality, in- stream and near - stream forage, and providing stable conditions not subject to regular maintenance Improved stream habitat may benefit the American eel (Anguilla rostrata) Terrestrial habitat will be improved through the restoration and enhancement of bottomland hardwood and cypress -gum wetland communities Intact wetland habitat will be protected in perpetuity Improved terrestrial habitat may benefit pondspice (L►stea aest►val►s), Cuthbert turtlehead (Chelone Cuthbert►►), and Rafinesque's big -eared bat — Coastal Plain subspecies (Corynorh►nus rafinesquu morcot►s) The environmental screening phase of the project will include USFWS coordination to confirm these findings Table 4 Federally Protected Species in Wayne County Vertebrate: - - American eel Anguilla rostrata FSC Yes Current Rafinesque's big -eared bat Cor norh►nus rafinesqu►► FSC Yes Historic Bald eagle Hahaeetus leucocephalus BGPA Yes Current Southern hognose snake Heterodon s►mus FSC No Obscure Pinewoods shiner Lythrurus matut►nus FSC No Obscure Carolina madtom Noturus fur►osus FSC No Current Red - cockaded woodpecker P►co►des borealis E No Current Invertebrate: Yellow lance EII►pt►o lanceolata FSC No Current Atlantic pigtoe Fuscona►a mason► FSC No Historic Vascular Plant: Cuthbert turtlehead Chelone cuthbert►► FSC Yes Current Pondspice L►tsea aest►val►s FSC Yes Current E = Endangered, FSC = Federal Species of Concern, BGPA = Bald and Golden Eagle Protection Act Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 10 January 2014 3 5 Vegetation and Wildlife Current land use around the project is primarily agricultural and forestry Land use immediately surrounding the project includes of pasture, surface mining, industrial, and forestry Numerous old borrow pits, spoil, and fill areas adjacent to the restoration area are evidence of past sand mining operations A small unnamed tributary enters the project from uplands to the north, flowing through a wooded buffer along the base of the terrace The channel has been dredged and channelized throughout most of the project Soil investigations show that much of the low -lying landscape exhibits hydric characteristics and a shallow seasonal high water table The site is located on a large inside meander of the Neuse River There are three community types present within the project area pasture, forest, and development The restoration area is primarily pasture and forest and the enhancement areas are Cypress -Gum forests with shallow pools and marsh throughout Within the proposed restoration area, the pasture is either Bermuda with scattered loblolly pines, or fields planted with annual rye /wheat, depending upon the season Other grasses and weeds are limited Outside of the fenced pasture, the altered stream channel is routinely maintained, keeping vegetation weedy and early successional The low -lying areas and ditches have common rush (Juncus effusus) and sedges (Carex sp ) Forested areas adjacent to the proposed restoration are dominated by red maple (Acer rubrum) with limited river birch (Betula nigra), swamp tupelo (Nyssa biflora), and bald cypress (Taxodium distichum) An understory is mostly absent The proposed enhancement areas are low -lying sloughs and linear wetlands divided by shallow sand ridges Although currently forested, the previously mined area contains remnant impacts, including dirt paths, shallow drainage ditches, and portions of a breached impoundment Scattered large cypress grow where permanent pools are present The forested areas are divided into drier and wetter communities The drier landscapes contain a canopy of red maple, laurel oak (Quercus lour oho), water oak (Quercus nigro), and sycamore (Plotanus occidentahs) The understory is red maple, American hornbeam (Corpmus carohniano), highbush blueberry (Vacanium corymbosum), and giant cane (Arundinorna gigantea) Green briar (Smilax sp ) is locally dense The wetter forested areas have a wide range of hydrology present, from narrow-sand ridges to shallow open water The canopy is open to closed, and includes bald cypress, swamp tupelo, river birch, red maple, and laurel oak Where not inundated, the understory consists of river birch, American hornbeam, red maple, and common persimmon (Diospyros virgrniana) Herbaceous vegetation includes Florida spiderlily (Hymenocallis flondana), giant cane, smallspike false nettle (Boehmena cyhndrical), and lizard's tail (Saururus cernuus) Vines are present throughout, and include roundleaf greenbrier (Smilax rotundifolia), muscadine (Vitls rotundifolia), Alabama supplejack (Berchemla scandens), and poison ivy (Toxicodendron radicans) This forested community is best described as Cypress -Gum Swamp (Brownwater Subtype), in part, and Coastal Plain Levee Forest (Brownwater Subtype), in part Some exotics were noted, including Chinese privet (Ligustrum srnense) and Japanese honeysuckle (Lonicero sempervirens) Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 11 January 2014 3 6 Cultural Resources Cultural resources include historic and archeological resources located in or near the project area WK Dickson completed a preliminary survey of cultural resources to determine potential project impacts A review of the North Carolina State Historic Preservation Office GIS Web Service database did not reveal any listed or potentially eligible historic or archeological resources in the proposed project area No architectural structures or archeological artifacts have been observed or noted during surveys of the site for restoration purposes 3 7 Constraints There are no major constraints to construction of the Site The Site is readily accessible from Arrington Bridge Road via multiple access roads on the property There are no existing mineral rights issues, - easements, or utility corridors within the proposed Bank boundaries One 60 -ft easement break is included at the downstream end of the Site to provide landowner access The entire project area lies - - within a FEMA 100 -year floodplain (Figure 6) No grading or earthwork will take place within FEMA- regulated floodways Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 12 January 2014 4 PROPOSED BANK CONDITIONS 4 1 Conceptual Mitigation Plan The Arrington Bridge III Wetland Mitigation Project presents the opportunity to provide 32 3 wetland mitigation units These will be derived from Wetland Restoration and two levels of Wetland Enhancement Table 5 details the mitigation types and WMUs generated The proposed conceptual design plan is shown in Figure 7 Table 5 Proposed Mitigation Summary i Enhancement 58 3 1 s 19 Enhancement Low 68 51 14 Restoration 290 11 290 Non - wetland Buffer 116 N/A N/A Total. 532 - 323 - 4 11 Wetland Enhancement Two levels of Wetland Enhancement are proposed A credit ratio of 3 1 is proposed for higher -uplift wetland areas, including a drained area of planted cypress, an excavated pond, and forested areas along the north side of the main ditch A ratio of 5 1 is proposed for the lower -uplift wetland areas, which are primarily along the north side of the main ditch Both levels of Wetland Enhancement will be treated by enhancing the hydrology This will be accomplished by filling the ditches across the site to raise the water table and restore a more natural drainage pattern Additionally, the pond will be backfilled with the adjacent spoil pile and planted with trees and a permanent seed mix Although this area will be treated with restoration, it will receive Enhancement credits at a ratio of 3 1 because the pond is already a Jurisdictional feature 4 12 Wetland Restoration The existing pasture areas on the Site will be treated with Wetland Restoration Restoration activities will include the following • The existing ditches will be backfilled and stabilized, • The fill material on one of the access roads will be removed and stabilized to restore the natural flow pattern, • A permanent grade control structure will be installed at the downstream end of the project to control the water elevation on the Site, • Areas of cut and fill will be re- graded to create a continuous wetland /slough and bottomland wetland system, and • Cleared areas will be replanted with appropriate tree species and a permanent seed mix As described above, the pond will also be backfilled with the adjacent spoil pile and planted, although it will receive credits for Enhancement, rather than Restoration Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 13 January 2014 The Wetland Restoration areas will be planted in two zones Zone 1 will include the wetter, lower -lying areas, and will be restored to a cypress -gum swamp target community, as described in Schafale and Weakley This community is also classified as a Riverine Swamp Forest using the final NC Wetland Assessment Method ( NCWAM) dichotomous key to general NC wetland types Zone 2 will include areas expected to be only intermittently inundated, and will be restored to a Coastal Plain Bottomland Hardwoods target community, as described in Schafale and Weakley This community is also classified as a Bottomland Hardwood Forest using the final NCWAM dichotomous key to general NC wetland types The Zone 1 target community, Riverine Swamp Forest, is characterized by seasonal to semi- permanent inundation These communities occur in the wettest portions of large river floodplains Overbank flooding is usually an important source of water, as well as groundwater and overland runoff Vegetation is usually dominated by bald cypress (Taxodium distichum), black gum (Nyssa b►flora), and water tupelo (N aquatica) in the Coastal Plain ecoregions Herbaceous cover is typically more open than in Bottomland Hardwood Forests The Zone 2 target community, Bottomland Hardwood Forest, is typically intermittently to seasonally saturated Overbank flooding can be an important source of water, as can groundwater and surface runoff This wetland type is characterized by ground surface relief that provides good water storage This wetland type is dominated by hardwood tree species, including various oaks (Quercus spp ), red maple (Acer rubrum), ashes (Froxinus spp ), sycamore (Platanus ocudentahs), sweetgum (Liquidambar styraciflua), box elder (Acer negundo), hackberry (Celtis laevigata), and American elm (Ulmus americana) 41.3 Monitoring Vegetation and hydrology will be monitored across both the restoration and enhancement areas of the Site to determine the success of the wetland mitigation Vegetation will be monitored with vegetation plots Automatic groundwater gauges will be installed across the Site to measure changes to hydrology 4 2 Reference Ecosystems An appropriate local reference community will be identified and surveyed during the mitigation plan phase Potential reference sites include Howell Woods, as well as many other intact Neuse River floodplain slough systems 4 3 Ecological Suitability The proposed Site and surrounding areas were once a forested wetland directly connected to the Neuse River Over the course of at least four decades, these wetlands have been degraded or destroyed by mining and agricultural practices Much of the Site was converted to pasture, and the hydrology of the entire site was disrupted by the digging of drainage ditches Restoring the Site's natural hydrology and forested ecosystems will improve the quality of water flowing to the Neuse River from the Site and surrounding areas by storing and filtering sediment and pollutants Additionally, the Arrington Bridge III Site is hydrologically connected to the Arrington Bridge I & II Mitigation Sites on the North side of Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 14 January 2014 Arrington Bridge Road (Figure 8) Together, these three mitigation sites will improve water quality entering the Neuse River more robustly than any one of the sites alone Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 15 January 2014 5 BANK ESTABLISHMENT AND OPERATION 5 1 Establishment and Operation of the Bank This Bank Parcel shall be established under the terms and conditions of the EBX Neu -Con Umbrella Mitigation Bank made and entered into by and among EBX -I, LLC, and the U S Army Corps of Engineers and the U S Environmental Protection Agency, the U S Fish and Wildlife Service, the National Marine Fisheries Services, the North Carolina Department of the Environment and Natural Resources, the North Carolina Division of Water Resources, and the North Carolina Wildlife Resources Commission, collectively, the Mitigation Banking Review Team 5 2 Proposed Credit Release Schedule All credit releases will be based on the total credit generated as reported by the as -built survey of the Mitigation Site The pre - construction credit release (15 percent) will be based on the credit total in the Final Mitigation Plan The second credit release will be based on the As -Built survey, and will adjust the total released credits based on the actual constructed channel lengths Under no circumstances shall any mitigation project be debited until the necessary DA authorization has been received for its construction or the District Engineer (DE) has otherwise provided written approval for the project in the case where no DA authorization is required for construction of the mitigation project The DE, in consultation with the Interagency Review Team (IRT), will determine if performance standards have been satisfied sufficiently to meet the requirements of the release schedule below In cases where some performance standards have not been met, credits may still be released depending on the specifics of the case At the direction of the DE, in consultation with the IRT, monitoring may be required to be extended, depending on the extent to which the site fails to meet the specified performance standard The release of project credits will be subject to the criteria described in Table 6 Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 16 January 2014 Table 6 Credit Release Schedule 0 e NA Final Mitigation Plan, Conservation Easement, and 15% 15% Financial Assurances 0 Baseline Monitoring Report and As -built Survey 15% 30% 1 First year monitoring report demonstrates 10% 40% performance standards are being met 2 Second year monitoring report demonstrates o 10% 50% performance standards are being met 3 Third year monitoring report demonstrates o 10/ 60% performance standards are being met 4 Fourth year monitoring report demonstrates o 10% 70% performance standards are being met 5 Fifth year monitoring report demonstrates - 10% 80% performance standards are being met 6 Sixth year monitoring report demonstrates 10% 90% performance standards are being met Seventh year monitoring report demonstrates 7 performance standards are being met, and project 10% 100% has received close -out approval - 5.2 1 Initial Allocation of Released Credits The initial allocation of released credits, as specified in the mitigation plan can be released by the IRT with written approval of the DE upon satisfactory completion of the following activities a) Approval of the final Mitigation Plan, b) Recordation of the Conservation Easement, as well as a title opinion acceptable to the USACE covering the property, and c) Financial assurances 5 2 2 Subsequent Credit Releases The second credit release will occur after the completion of implementation of the Mitigation Plan and submittal of the Baseline Monitoring Report and As -built Survey All subsequent credit releases must be approved by the DE, in consultation with the IRT, based on a determination that required performance standards have been achieved As projects approach milestones associated with credit release, the Sponsor will submit a request for credit release to the DE along with documentation substantiating achievement of criteria required for release to occur This documentation will be included with the annual monitoring report 5.3 Financial Assurances The Sponsor shall provide financial assurances in the form of a Performance Bond to the IRT sufficient to assure completion of all mitigation work, required reporting and monitoring, and any remedial work required Financial assurances shall be payable at the direction of the USACE to his designee or to a Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 17 January 2014 standby trust Financial assurances structured to provide funds to the USACE in the event of default by the Bank Sponsor are not acceptable A financial assurance must be in the form that ensures that the USACE receives notification at least 120 days in advance of any termination or revocation 5.4 Proposed Ownership and Long -Term Management EBX, acting as the Bank Sponsor, has established a Conservation Easement, and will monitor the Site for a minimum of seven years This Mitigation Plan provides detailed information regarding bank operation, including long term management and annual monitoring activities, for review and approval by the Interagency Review Team (IRT) Upon approval of the Site by the IRT, the site will be transferred to the North Carolina Wildlife Habitat Foundation ( NCWHF) The NCWHF shall be responsible for periodic inspection of the site to ensure that restrictions required in the Conservation Easement or the deed restriction document(s) are upheld Endowment funds required to uphold easement and deed restrictions shall be negotiated prior to-site transfer to the responsible party The Bank Sponsor will ensure that the Conservation Easement will allow for the implementation of an initial monitoring phase, which will be developed during the design phase and conducted by the Bank Sponsor The Conservation Easement will allow for yearly monitoring and, if necessary, maintenance of the Site during the initial monitoring phase These activities will be conducted in accordance with the terms and conditions of the Neu -Con Wetland and Stream Umbrella Mitigation Bank made and entered into by EBX, USACE, and NCDWQ 5 5 Assurance of Water Rights Sufficient water rights exist to support the long -term sustainability of the site, as there are no "severed" rights on the property Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 18 January 2014 6 REFERENCES EBX I, LLC and US Army Corps of Engineers 2007 Banking Instrument Neu -Con Umbrella Wetland Mitigation and Stream Restoration Bank 14 pp NCDENR 2009 " Neuse River Basinwide Water Quality Plan " Division of Water Quality http // http //portal ncdenr org/web /wq /ps /bpu /basin /neuse /2009 (October 2013) NCDENR 2010 "N C Wetland Assessment Method User Manual Version 4 1 " N C Wetland Functional Assessment Team Schafale, M P and A S Weakley 1990 Classification of the Natural Communities-of North Carolina, Third Approximation North Carolina Natural Heritage Program, Division of Parks and Recreation, NCDENR, Raleigh, NC Arrington Bridge III PROSPECTUS Wetland Mitigation Bank 19 January 2014 FIGURES - . r> I � lit R Arrington Bridge III Site lit o 1r.J Lindfill Dh R It .0' Legend Streams Proposed Easement Q) Q) Waterbody HUC 03020201200040 'IT M Figure 1. Project Vicinity Map Arrington Bridge III Site 0 0.75 1.5 3 Miles 1 inch = 1.5 miles 'k VAY N F C UN N F Y S a It N1 Pty d .J Mitigation Site al".Y Ull CA It RE IN, r rya T , I I I: a� :� . �► . 1by Figure 2. USGS Topographic Map Arrington Bridge III Site r�J Proposed Easement 0 1,000 2,000 4,000 Feet 1 inch = 2,000 feet .� Benton °VI �,. 3 r r 3 �. • 9r► r 1, Source: NRCS 1981 Aerial Photography Figure 4b. 1981 Historical Conditions Arrington Bridge III Site Roads 0 500 1,000 2,000 1 1 Proposed Easement Feet 1 inch = 1,000 feet 9WhB N KaA WhA JO 9fo r� o Le KaA JO t La La we WaB Whif Rin Ke PO KaB La Le BP 9 Soil Symbol Name Soil Symbol Name Bp Borrow pit W Water Co Coxv�7le loam Wa6 Wagram bamy sand, 0 - 6% sopes Jo Johns sandy loam We Weston bamy sand (Woodbgton) KaA Kahnia bamy sand, 0 - 2% sopes WhA Wickham bamy sand, 0 - 2% sopes Ka6 Kahnia loamy sand 2 - 6 %slopes WhB Wickham bamy sand, 2 - 6% sopes La Lakeland sand WkB2 Wickham sandy bam, 2 - 6% sopes, eroded Po Pantegobam Source: NR 6 Soil Data, Wayne County Figure 5. Soils Map Roads Arrington Bridge III Site t — streams 0 300 600 1.200 Proposed Easement �• *5 '� Feet _ - Wayne County Soils 1 inch = 600 feet rce: NC. Flood Ma Figure 6. Roads FEMA Map streams Arrington Bridge III Site Proposed Easement 0 500 1,000 2,000 i FEMA 100 yr Floodplain Feet FEMA 500 -yr Floodplain 1 inch = 1,000 feet FEMA Floodway Figure 8. LIDAR Map Arrington Bridge III Site 500 1,000 2,000 Feet 1 inch = 1,000 feet Roads Streams Proposed Easement Parcel Boundaries