20141149 Ver 9_credit release task 7 partial_20220801

DocuSign Envelope ID:207283DE-4EA9-401B-8A48-3427FBEC62CA
ROY COOPER
Governor
ELIZABETH S. BISER
Secretary
RICHARD E. ROGERS, JR.
Director
NORTH CAROLINA
Environmental Quality
August 1, 2022
George Howard
Restoration Systems, LLC
1101 Haynes Street, Suite 211
Raleigh, NC 27604
(via electronic mail: george(&,,restorationsystems.com )
DWR Project #: 2014-1149v9
Alamance County
Re: RS Haw River Subwatershed — Phase 1 Neuse Buffer & Nutrient Offset Umbrella
Mitigation Banking Instrument (UMBI)
Benton Branch Bank Parcel Credit Release — Task 7 (partial)
Dear Mr. Howard:
On November 12, 2021, the Division of Water Resources (DWR) received a Year 4 Monitoring
Report from Restoration Systems, LLC (RS) for the subject site. Data provided in the report suggest
that site vigor and stem height may be an issue in many areas of this site. Four (4) of twenty (20)
plots failed to meet performance standards for planted stems but three (3) of the four (4) plots had
acceptable volunteers that when included, meet the performance standard of 260/acre. Plot 13 data
revealed zero (0) planted stems for the second consecutive year, but RS did not address this area in
this year's report. Plot data for eight (8) plots, Plots 11, 12, 14, 18, 19, 20, 21 and 24, all reveal very
short heights on planted stems in comparison to what is common by Year 4. Most stems are barely
reaching 3 feet. Even though there is no standard height requirement, the lack of good stem height
can be due to environmental factors that RS is responsible to address when practical.
On April 11, 2022, RS provided additional information to DWR explaining site conditions that are of
concern, noting that deer browsing and shade are likely the biggest factors contributing to low stem
height. Additionally, RS indicated that supplemental planting efforts will take place in and around
Plot 13 this year. RS also noted that a substantial supplemental planting occurred in 2021 in low
density areas within some riparian areas per the request of the Interagency Review Team. Other than
planting associated with Plot 13, RS did not suggest any other adaptive management for the site.
Therefore, prior to determining if RS needs to implement an adaptive management plan which would
likely delay closing out the site in Winter 2022/2023, DWR will need to visit this site during late
Summer or early Fall 2022, whichever is most appropriate.
If vegetation concerns are more widespread than noted above, or there are other factors contributing
to vegetation conditions, both DWR and RS will need to discuss remediation efforts that may be
necessary during monitoring year five (5). DWR will only issue a partial credit release of 2.5% at
this time. DWR will issue the remainder 2.5% of this credit release upon 1) receiving confirmation
that RS has planted stems in and around Plot 13 and, 2) if the site visit referenced above confirms
there are no additional notable concerns with the rest of the site.
LINA '
umm eo..orEMr nment o�.i
DE
NORTH CARO
North Carolina Department of Environmental Quality I Division of Water Resources
512 North Salisbury Street 11611 Mail Service Center I Raleigh, North Carolina 27699-1611
919.707.9000

DocuSign Envelope ID:207283DE-4EA9-401B-8A48-3427FBEC62CA
Benton Branch
RS
August 1, 2022
DWR received a continuation certificate for the performance bond (#22BSBHT4273) in the amount
of $60,000 issued to RS from Hartford Fire Insurance Company, to cover monitoring and
maintenance at the subject site. The term of this bond applies beginning May 24, 2022 and ending
with the approval of the Year 5 Monitoring Report by DWR. Future credit releases will be
dependent on both the renewal of this performance bond and the annual monitoring reports.
In accordance with the UMBI and BPDP, signed on October 25, 2017 and approved on January 22,
2018 respectively, the following Project Milestones have been met and the corresponding credits
shall be released:
Task/Milestones Credit
7) Monitoring Report #4: Approved by the DWR (partial release) 2.5%
RS has satisfied the above requirements for the above -referenced tract. Therefore, 2.5% of your
Jordan Lake riparian buffer Restoration credits (0.025 x 455,056.93 ft2 = 11,376.423 ft2) and 2.5%
of your Jordan Lake riparian buffer Enhancement and Preservation credits (0.025 x 225,763.44 ft2 =
5,644.09 ft2) are now released.
Additionally, 2.5% of your generated nitrogen (N) offset credits (0.025 x 179.95 = 4.50 lb-N) and
2.5% of your generated phosphorus (P) credits (0.025 x 11.5 = 0.29 lb-P) are now released.
Generated credits are credits that have not been applied to the appropriate delivery factor.
The delivery factors applied to this bank due to its location in the 14-digit HUC 03030002050050 are
25% for nitrogen and 8% for phosphorous. Therefore, the total amounts of delivered nutrient offset
credits for this site are 44.99 lb-N and 0.92 lb-P. By copy of this correspondence, 2.5% of your
delivered nitrogen offset credits (0.025 x 44.99 lb-N = 1.12 lb-N) and 2.5% of your delivered
phosphorus credits (0.025 x 0.92 = 0.02 lb-P) are now available for sale.
Please note that only the delivered nutrient offset credits can be sold from this bank and used
for impacts in the Haw River Arm of Jordan Lake within the Cape Fear River Basin.
Additionally, riparian buffer credits can only be used to offset impacts located in the Haw
River Sub Watershed of Jordan Lake according to 15A NCAC 02B .0295, which became
effective on November 1, 2015.
Please feel free to call [phone] if you have any questions regarding this correspondence.
cc:File Copy (Katie Merritt)
Sincerely,
DocuSigned by:
949D91 BA53EF4E0...
Paul Wojoski
Supervisor, 401 & Buffer Permitting Branch
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DocuSign Envelope ID: 207283DE-4EA9-401B-8A48-3427FBEC62CA
Benton Branch
RS
August 1, 2022
Barrett Jenkins — RS (via electronic Mail)
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