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HomeMy WebLinkAboutWQ0021934_Renewal Application_20220928Initial Review Reviewer Thornburg, Nathaniel D Is this submittal an application? (Excluding additional information.)* Yes No Permit Number (IR) * WQ0021934 Applicant/Permittee Aqua North Carolina, Inc. Applicant/Permittee Address 202 MACKENAN COURT, CARY, NC 27511 Is the owner in BIMS? Yes No Is the facility in BIMS? Owner Type Organization Facility Name Hasentree WWTP County Wake Fee Category Is this a complete application?* Yes No Signature Authority Signature Authority Title Signature Authority Email Document Type (if non -application) Email Notifications Does this need review by the hydrogeologist? * Yes No Regional Office CO Reviewer Admin Reviewer llr�ore Fee Amount $0 Complete App Date 09/28/2022 Below list any additional email address that need notification about a new project. ... ... .. Email Address Comments to be added to email notfication Comments for Admin Comments for RO Comments for Reviewer Comments for Applicant Submittal Form Project Contact Information Please provide information on the person to be contacted by NDB Staff regarding electronic submittal, confirmation of receipt, and other correspondence. ............................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ Name* ANDREW NORRIS, PE Email Address* abnorris@aquaamerica.com Project Information Application/Document Type* New (Fee Required) Modification - Major (Fee Required) Renewal with Major Modification (Fee Required) Annual Report Additional Information Other Phone Number* 919-653-6975 Modification - Minor Renewal GW-59, NDMR, NDMLR, NDAR-1, N DAR-2 Residual Annual Report Change of Ownership We no longer accept these monitoring reports through this portal. Please click on the link below and it will take you to the correct form. hftps://edocs.deq.nc.gov/Forms/NonDischarge_Monitoring_Report Permit Type: * Wastewater Irrigation Other Wastewater Closed -Loop Recycle Single -Family Residence Wastewater Irrigation Permit Number: * WQ0021934 Has Current Existing permit number Applicant/Permittee* Aqua North Carolina, Inc. Applicant/Permittee Address* 202 MACKENAN COURT, CARY, INC 27511 Facility Name* Hasentree WWTP Please provide comments/notes on your current submittal below. N/A High -Rate Infiltration Reclaimed Water Residuals Other At this time, paper copies are no longer required. If you have any questions about what is required, please contact Nathaniel Thornburg at nathaniel.thornburg@ncdenr.gov. Please attach all information required or requested for this submittal to be reviewed here. (Application Form, Engineering Plans, Specifications, Calculations, Etc.) Aqua NC-Hasentree WWTP Permit W00021934 Renewal 40.56M6 Application-RW S-R-09.26.2022. pdf Upload only 1 PDF document (less than 250 MB). Multiple documents must be combined into one PDF file unless file is larger than upload limit. * By checking this box, I acknowledge that I understand the application will not be accepted for pre -review until the fee (if required) has been received by the Non - Discharge Branch. Application fees must be submitted by check or money order and made payable to the North Carolina Department of Environmental Quality (NCDEQ). I also confirm that the uploaded document is a single PDF with all parts of the application in correct order (as specified by the application). Mail payment to: NCDEQ — Division of Water Resources Attn: Non -Discharge Branch 1617 Mail Service Center Raleigh, NC 27699-1617 Signature p� Submission Date 9/28/2022 AQUA,. September 26, 2022 NCDEQ / DWQ/ NON -DISCHARGE BRANCH Re: Application for Non -Discharge Permit Renewal Aqua North Carolina, Inc. Hasentree NPDES Permit WQ0021 934 Wake County Enclosed is a single PDF file of the completed application. This submittal includes the necessary attachments for your office to renew the subject permit. Should you need any additional information or assistance, please feel free to contact Project Engineer, Andrew Norris @ 919-653-6975 or by e-mail at ABNorris@aquaamerica.com. Sincerely, Andrew Norris, PE Project Engineer Enc 202 MacKenan Court, Cary, NC, 27511 • 919.653.6975 • ABNorris@aquaamerica.com DWR State of North Carolina Department of Environmental Quality Division of Water Resources Division of Water Resources 1�y�►[tl�K6►�llnNX0W.111►510I11L❖/:IY0I: 31.ylY0I►A0N0401WAX1I 10111 tld 111:A•MM tl(ka41 Pursuant to 15A NCAC 02T .0107(b), if the application does not include all required information and the necessary supporting documentation, the application shall be returned. The application and attachments shall be prepared in accordance with 15A NCAC 02T .0100, 15A NCAC 02U, and Division Policies. For more information, visit the Water Quality Permitting Section's Non -Discharge Branch website. The Applicant shall submit an electronic copy of the application and attachments uploaded as a single Portable Document Format (PDF) file to https://edocs.deci.nc.gov/Forms/NonDischarge-Branch-Submittal-Form-Ver2, or emailed to Non-Discharge.Reports(a)ncdenr.gov if less than 20 megabytes (MB). SECTION I — APPLICANT INFORMATION 1. Applicant: AQUA NORTH CAROLINA, INC. 2. Permit No.: WQ0021934 3. Signature authority: MICHAEL MELTON Phone number: (704) 489-9404 Office Title: ENGINEERING MANAGER Email: MAMelton@aquaamerica.com 4. Mailing address: 202 MACKENAN COURT City: CARY State: NC Zip: 27511- 5. Contact person: ANDREW NORRIS, PE Primary phone number: (919) 653-6975 Office Email: ABNORRIS@AQUAAMERICA.COM Secondary phone number: (910) 309-1096 Cell SECTION II — FACILITY INFORMATION 1. Physical address: 7328 Hasentree Way County: WAKE Parcel No.: 1821188614 City: WAKE FOREST 2. Treatment facility coordinates to the sixth decimal degree: Latitude: 35.998667' Longitude:-78.58737' State: NC Zip: 27587- Method: Map interpretation by extraction SECTION III — FLOW INFORMATION KA 1. Permitted flow: 194490 GPD (The maximum allowable flow based on what has been permitted) 2. As -built flow: 194490 GPD (The maximum allowable flow based on what has been constructed) 3. Average flow: 71193 GPD (The average of all reported flows on the previous calendar year's NDMRs) 4. Hydraulic capacity: 37 % (Divide the average flow in Item 3 by the As -built flow in Item 2) 5. Wastewater composition: Domestic: 100 % Industrial: 0 % Stormwater: 0 % SECTION IV — BILLING INFORMATION 1. Billing address: 202 MACKENAN COURT City: CARY State: NC Zip: 27511- 2. Verify the Applicant does not have any overdue annual fees: https://deq.nc. gov/about/divisions/water-resources/water-resources-permits/wq-epayments Pursuant to 15A NCAC 02T .0120(c), permits for renewing facilities shall not be granted if the Applicant or any affiliation has an unpaid annual fee. FORM: RWS-R 02-21 Page 1 of 6 SECTION V — OPERATOR IN RESPONSIBLE CHARGE (ORC) INFORMATION (NOT APPLICABLE FOR CONJUNCTIVE SYSTEMS) 1. ORC: Casey, Patrick Grade: II Certification No.: 1005944 Mailing address: 202 MACKENAN COURT City: CARY State: NC Zip: 27511- Phone number: (919) 625-2587 Cell Email: pmcasey@aquaamerica.com 2. Back -Up ORC: BONNE, ROBERT Grade: IV Certification No.: 5721 Mailing address: 202 MACKENAN COURT City: CARY State: NC Zip: 27511- Phone number: (919) 601-5220 Cell Email: rpbonne@aquaamerica.com SECTION VI — OPEN -ATMOSPHERE STRUCTURES Lo 1. List all open -atmosphere treatment and storage structures associated with the renewing permit. Attach additional sheets if necessary. Type Parcel No. Volume (gal) Liner Type Freeboard (ft) Latitude Longitude Treatment/Storage 1821188614 515,032 Full, concrete 4 35.9986210 -78.5874340 Storage 1821188614 21,800,000 Full, clay 4 36.1780 -78.5890760 5-Day Upset 1821188614 1,000,000 Full, clay 4 35.9990360 -78.5875260 Select Select 0- ° SECTION VII — RELATED PERMITS 1. List all wastewater permits (i.e., sewer, collection system, NPDES, residuals) that have interactions with the renewing permit. Attach additional sheets if necessary. Permit Type Permit No. Relationship Type Collection System WQ0039272 CS/Major tributary Collection System WQ0036634 CS/Major tributary Collection System WQ0039057 CS/Major tributary Select Select SECTION VIII — MONITORING WELLS 1. List all groundwater monitoring wells associated with the renewing permit. Attach additional sheets if necessary. Well Name Parcel No. Status Gradient Location Latitude Longitude MW-1 1811878441 Active Downgradient Inside Review Boundary 35.9980220 -78.6015280 MW-2 1821188614 Active Downgradient Inside Review Boundary 35.9994030 -78.5875560 MW-3 1821079497 Active Downgradient Inside Review Boundary 35.9959110 -78.5903930 MW-4 1821072081 Active Downgradient Inside Review Boundary 35.9942210 -78.5922280 MW-5 1811843459 Active Downgradient Inside Review Boundary 35.9875190 -78.6003550 Select Select Select ° - ° Select Select Select ° - ° Select Select Select ° - ° Select Select Select ° - ° Select Select Select ° FORM: RWS-R 02-21 Page 2 of 6 SECTION IX — UTILIZATION FIELDS 1. List all utilization fields associated with the renewing permit. Attach additional sheets if necessary. Field County Parcel No. Deeded Owner Area Cover Crop Latitude Longitude FRONT 9 WAKE 1821188452 TOLL BROTHERS OF NC, GOLF COURSE FAIRWAYS III, LIMITED 68.40 SOD 35.9972220 -78.5877780 PARTNERSHIP FRONT 9 WAKE 1821183900 TOLL BROTHERS OF NC, GOLF COURSE GREENS III, LIMITED 1.90 SOD 35.9988890 -78.5897220 PARTNERSHIP BACK 9 WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE FAIRWAYS III, LIMITED 59.60 SOD 35.9927780 -78.5977780 PARTNERSHIP BACK 9 WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE GREENS III, LIMITED 1.90 SOD 35.9902780 -78.5977780 PARTNERSHIP PRACTICE WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE GREENS III, LIMITED 0.70 SOD 35.99750 -78.5963890 PARTNERSHIP PRACTICE WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE AREAS III, LIMITED 2.30 SOD 35.9963890 -78.5986110 PARTNERSHIP DRIVING WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE RANGE III, LIMITED 4.20 SOD 35.9955560 -78.5983330 TEES PARTNERSHIP DRIVING WAKE 1811878441 TOLL BROTHERS OF NC, GOLF COURSE RANGE III, LIMITED 6.80 SOD 35.9966770 -78.5963890 FAIRWAYS PARTNERSHIP 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 FORM: RWS-R 02-21 Page 3 of 6 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Total Acreage: 145.8 ATTACHMENT A — SITE MAP Was the facility originally permitted or had a major modification issued after September 1, 2006? ® Yes — Pursuant to 15A NCAC 02T .0105(d), submit a site map pursuant to the requirements in 15A NCAC 02U .0201(d). These requirements are: ® A scaled map of the site with topographic contour intervals not exceeding 10 feet or 25 percent of total site relief and showing all facility -related structures and fences within 500 feet of the treatment, storage, and utilization areas. ® Soil mapping units shown on all utilization sites. ® Delineation of the compliance and review boundaries per 15A NCAC 02U .0501(a)(6). ® Setbacks as required by 15A NCAC 02U .0701. ® Site property boundaries within 500 feet of all treatment, storage, and utilization sites. ❑ No — Skip Attachment A. ATTACHMENT B — SIGNATURE AUTHORITY DELEGATION Does the signature authority in Section 1, Item 3 meet the requirements pursuant to 15A NCAC 02T .0106(b)? ® Yes — Skip Attachment B. ❑ No — Submit a delegation letter pursuant to 15A NCAC 02T .0106(c) authorizing the signature authority to sign. ATTACHMENT C — FLOW REDUCTION Does the existing permit include an approved flow reduction? ❑ Yes — Submit a copy of the flow reduction approval letter, as well as the measured monthly average amount of wastewater flow contributed per unit for the 12 months prior to permit renewal. If any of these monthly averages are within 20% of the approved flow reduction value, the Permittee shall provide a reevaluation of the reduced flow value pursuant to the requirements in 15A NCAC 02T .0114(f). ® No — Skip Attachment C. � ATTACHMENT D — CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY Is the Applicant a Privately -Owned Public Utility? ® Yes — Pursuant to 15A NCAC 02T .0115(a)(1), submit the Certificate of Public Convenience and Necessity from the North Carolina Utilities Commission demonstrating the Applicant is authorized to hold the utility franchise. ❑ No — Skip Attachment D. ATTACHMENT E — OPERATIONAL AGREEMENT Is the Applicant a Home/Property Owners' Association or Developer of Lots to be Sold? FORM: RWS-R 02-21 Page 4 of 6 ❑ Yes (Home/Property Owners' Association) — Pursuant to 15A NCAC 02T .0I 15(a)(2), submit an executed Operational Agreement (FORM: HOA). Pursuant to 15A NCAC 02T .0115(c), if the applicant is a legally formed Homeowners' or Property Owner's Association, submit a copy of the Articles of Incorporation, Declarations, and By-laws. ❑ Yes (Developer of Lots to be Sold) — Pursuant to 15A NCAC 02T .0115(a)(2), submit an executed Operational Agreement (FORM: DEW Pursuant to 15A NCAC 02T .0115(b), if the applicant is a developer of lots to be sold, submit a copy of the Articles of Incorporation, Declarations, and By-laws. ® No — Skip Attachment E. FORM: RWS-R 02-21 Page 5 of 6 ATTACHMENT F — DEMONSTRATION OF FUTURE WASTEWATER TREATMENT CAPACITIES Is the applicant a municipality, county, sanitary district, or public utility? ® Yes — Proceed to the next question. ❑ No — Skip Attachment F. Does the hydraulic capacity in Section III, Item 4 exceed 70%? ❑ Yes (the hydraulic capacity is greater than 70%, but less than 80%) — Pursuant to 15A NCAC 02T .0118(1), prior to exceeding 80 percent of the system's permitted hydraulic capacity (based on the average flow during the last calendar year), the permittee shall submit an engineering evaluation of their future wastewater treatment, utilization, and disposal needs. This evaluation shall outline plans for meeting future wastewater treatment, utilization, or disposal needs by either expansion of the existing system, elimination or reduction of extraneous flows, or water conservation and shall include the source of funding for the improvements. If expansion is not proposed or is proposed for a later date, a justification shall be made that wastewater treatment needs will be met based on past growth records and future growth projections, and as appropriate, shall include conservation plans or other measures to achieve waste flow reductions. ❑ Yes (the hydraulic capacity greater than 80%) — Proceed to the next question. ® No — Skip Attachment F. If answered Yes above, does the hydraulic capacity in Section III, Item 4 exceed 80%? ❑ Yes (the hydraulic capacity is greater than 80%) — Pursuant to 15A NCAC 02T .0118(2), prior to exceeding 90 percent of the system's permitted hydraulic capacity (based on the average flow during the last calendar year), the permittee shall obtain all permits needed for the expansion of the wastewater treatment, utilization, or disposal system and, if construction is needed, submit final plans and specifications for expansion, including a construction schedule. If expansion is not proposed or is proposed for a later date, a justification shall be made that wastewater treatment needs will be met based on past growth records and future growth projections, and as appropriate, shall include conservation plans or other specific measures to achieve waste flow reductions. ❑ No — Skip Attachment F. ATTACHMENT G — EASEMENT, ENCROACHMENT, AND LEASE AGREEMENTS Does the Permittee own all of the land associated with the wastewater collection, treatment, conveyance, and utilization system? ❑ Yes — Skip Attachment G. ® No — Pursuant to 15A NCAC 02T .0116(c), provide a copy of all easements, lease agreements, and encroachment agreements allowing the Permittee to operate and maintain the wastewater collection, treatment, conveyance, and utilization system on property not owned by the Permittee. ATTACHMENT H — AFFILIATIONS Are the Permittee's affiliations of record correct? Check affiliations. ® Yes — Skip Attachment H. ❑ No — Provide the corrected affiliations and their contact information. ATTACHMENT I — COMPLIANCE SCHEDULES10 Does the existing permit include any Compliance Schedules? (See Section I of the most recently issued permit) ❑ Yes — Submit documentation that the compliance schedules have been met. ® No — Skip Attachment I. ATTACHMENT J — CIVIL PENALTIES AND OUTSTANDING VIOLATIONS Does the Permittee have any existing civil penalties or outstanding violations? ❑ Yes (civil penalties) — Submit payment for the civil penalty, or proof of remission request. ❑ Yes (violations) — Submit a copy of your response to the Notice of Violation. ® No — Skip Attachment J. FORM: RWS-R 02-21 Page 6 of 6 I ATTACHMENT K—INDUSTRIAL WASTEWATER Does the wastewater composition in Section 11I, Item 5 include any industrial wastewater? ❑ Yes — Proceed to the next question. ® No — Skip Attachment K. Has the nature of the industrial wastewater changed since the last permit issuance (i.e., changes in industrial process, introduction of new materials or chemicals, etc.)? ❑ Yes — Provide a chemical analysis of the wastewater pursuant to the requirements in 15A NCAC 02U .0201 . Provide an overview of the manufacturing process; an inventory of all chemical and biological materials used in the manufacturing process; and an overview of the cleaning and treatment methodology. ❑ No — Provide an overview of the manufacturing process; an inventory of all chemical and biological materials used in the manufacturing process; and an overview of the cleaning and treatment methodology. ATTACHMENT L— SETBACK WAIVERS Does the existing permit include setback waivers? ❑ Yes — Pursuant to 15A NCAC 02T .0701 , provide setbacks waivers that have been written, notarized, signed by all parties involved, and recorded with the county Register of Deeds. Waivers involving the compliance boundary shall be in accordance with 15A NCAC 02L .0107. ® No — Skip Attachment L. APPLICANT'S CERTIFICATION [, �C 11fl t attest that this application (Signature authority's name as noted in Section I, Item 3) has been reviewed by me and is accurate and complete to the best of my knowledge. I understand that if all required parts of this application package are not completed, and that if all required supporting information and attachments are not included, this application package will be returned as incomplete. I further certify pursuant to 15A NCAC 02T_.0120 b , that the applicant, or any parent, subsidiary, or other affiliate of the applicant has: not been convicted of environmental crimes under; not previously abandoned a wastewater treatment facility without properly closing the facility; not paid a civil penalty; not been compliant with any compliance schedule in a permit, settlement agreement, or order; not paid an annual fee. Note: The Applicant's Certification shall be signed pursuant to 15A NCAC 02T .0106 b . An alternate person may be delegated as the signing official if a letter is provided pursuant to 15A NCAC 02T .0106(c). Pursuant to § 143-215.6A and § 143-215.6B, any person who knowingly makes any false statement, representation, or certification in any application package shall be guilty of a Class 2 misdemeanor, which may include a fine not to exceed $10,000 as well as civil penalties up to $25,000 per violation. Signature: Date: —�J�2o22- THE COMPLETED APPLICATION AND ATTACHMENTS SHALL BE SUBMITTED AS A SINGLE PDF FILE VIA: Email: Non-Discharee.Renorts()ncdenr.gov Laserfiche Upload: htt s://edocs.de .nc. ov/Forms/NonDischar e-Branch- Subm ittal-Form-Vert FORM: RWS-R 02-21 Page 7 of 6 COPY OF MOST RECENT WWTP PERMIT Water Resources ENVIRONMENTAL QUALITY March 15, 2018 SHANNON V . BECKER — PRESIDENT AQUA NORTH CAROLINA, INC. 202 MACKENAN COURT CARY, NORTH CAROLINA 27511 Dear Mr. Becker: ROY COOPER Governw- MICHAEL S. REGAN Secretary LINDA CULPEPPER Interim Director 41e Subject: Permit No. WQ0021934 Hasentree WWTP Reclaimed Water Generation and Non -Conjunctive Reclaimed Water Utilization System Wake County In accordance with your permit renewal request received March 21, 2017, and subsequent additional information received September 6, 2017 and January 25, 2018, we are forwarding herewith Permit No. WQ0021934 dated March 15, 2018, to Aqua North Carolina, Inc. for the continued operation of the subject reclaimed water generation and non -conjunctive reclaimed water utilization facilities. Modifications to the subject permit are as follows: ➢ Your permit's format has been updated to be consistent with the most current reclaimed water permit template, and rule references have been updated pursuant to the new 15A NCAC 02U rules that became effective July 18, 2011. This permit shall be effective from the date of issuance until February 28, 2023, shall void Permit No. WQ0021934 issued June 23, 2009, and shall be subject to the conditions and limitations as specified therein. Please pay particular attention to the monitoring requirements listed in Attachments A, B, and C for they may differ from the previous permit issuance. Failure to establish an adequate system for collecting and maintaining the required operational information shall result in future compliance problems. Please note the following permit conditions have been removed since the last permit issuance dated .Tune 23, 2009: ➢ Old Condition III.15. — This condition has been removed. Please note the following permit conditions and attachments are new or modified since the last permit issuance dated dune 23, 2009: ➢ Condition I.1. — This condition requires the Permittee to re-evaluate the approved value using the methodology used to determine if the approved flow rate of 240 GPD/home or lot. -75 ��'NotYuing Compares'---.. State of North Carolina I Environmental Quality I Water Resources I Water Quality Permitting I Non -Discharge Permitting 1617 Mail Service Center ( Raleigh, North Carolina 27699-1617 919-807-6332 Mr. Shannon V. Becker March 15, 2018 Page 2 of 3 Condition I.2. —No later than within 60 of the permit issuance date, the Permittee shall develop and implement, an education program to inform users (including employees) about the proper use of reclaimed water per Condition HI.18. ➢ Condition I.3.- No later than within 60 of the permit issuance date, the Permittee shall provide notification to the public and/or employees about the use of reclaimed water, and that reclaimed water is not intended for drinking. Such notification shall be provided to employees in a language they can understand. ➢ Condition H.14. — This condition requires that the Permittee shall ensure any landowner who is not the Permittee and owns land within the compliance boundary shall execute and file with the Wake County Register of Deeds an easement running with the land. ➢ Condition H.15.b.ii. - This condition states that reclaimed water effluent storage facilities constructed prior to June 18, 2011 shall be exempt from a setback between storage and treatment units and property lines. ➢ Condition 111.2. — This condition requires that the Permittee maintain an Operation and Maintenance Plan. ➢ Condition 111.4. — This condition requires that an operator certified by the Water Pollution Control System Operators Certification Commission (WPCSOCC) of a grade equivalent or greater than the facility classification be on call 24 hours per day ➢ Condition III.9. — This condition requires that the turbidimeter shall be tested and calibrated at a minimum of once per year. ➢ Condition III.11. — This condition requires an automatically activated standby power source capable of powering all essential treatment units shall be on site and operational at all times. ➢ Condition III.12. — This condition requires that the public access to the reclaimed water generation facilities and five day upset pond shall be prohibited ➢ Condition III.20. — This condition requires that the Permittee provide notification to the public and/or employees about the use of reclaimed water, and that reclaimed water is not intended for drinking. ➢ Condition IV.8.c. — This condition requires that the Permittee maintain a maintenance log at the facility which includes the date of calibration of the turbidimeter. ➢ Condition IV.8.e. —This condition notifies that the Permittee maintain a maintenance log at the facility which includes a record of preventative maintenance. ➢ Condition IV.81—This condition notifies that the Permittee maintain a maintenance log at the facility which includes a record of all unpermitted releases of reclaimed water to the surface waters or the land surface. ➢ Condition VI.5. — This condition requires that the Permittee retain the Division's written approval of any authorized adjusted daily design flow rate for the life of the facility, and shall transfer said written approval to any future Permittee. ➢ Condition VI.10. —This condition notifies the Permittee that this permit is subject to revocation or unilateral modification upon 60 days notice from the Division Director, in whole or part for the requirements listed in 15A NCAC 02T .0110. Mr. Shannon V. Becker March 15, 2018 Page 3 of 3 ➢ Condition VI.11. — This condition notifies the Permittee that unless the Division Director grants a variance, expansion of the permitted facilities contained herein shall not be granted if the Permittee: has been convicted of an environmental crime; has previously abandoned a wastewater treatment facility; has not paid a civil penalty; is non -compliant with a permit schedule; or has not paid an annual fee. ➢ Attachment A — Monitoring for Total Kjeldahl Nitrogen, Total Nitrogen and Total Phosphorus has been added to the effluent monitoring requirements; the sampling type for Chloride and Total Dissolved Solids has been changed from grab to composite to be consistent with our Non - Discharge Effluent Monitoring for Domestic Wastewater guidelines. Total Organic Carbon (TOC) has been removed from the sampling schedule. ➢ Attachment B - The `Golf Club House & Villas and Residential Field #19' zone has been removed from the list of approved land application sites as it is included in Permit No. WQ0033816. ➢ Attachment C — Total Phosphorus has been added, and Total Suspended Solids has been removed from the sampling schedule. If any parts, requirements or limitations contained in this permit are unacceptable, the Permittee has the right to request an adjudicatory hearing upon written request within 30 days following receipt of this permit. This request shall 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 at 6714 Mail Service Center, Raleigh, NC 27699-6714. Unless such demands are made, this permit shall be final and binding. If you need additional information concerning this permit, please contact Alice M. Wessner at (919) 807-6425 or alice.wessner@ncdenr.gov. Sincerely, IIda Culpepper, Interim Director U Division of Water Resources cc: Wake County Environmental Health Services (Electronic Copy) Raleigh Regional Office, Water Quality Regional Operations Section (Electronic Copy) Digital Permit Archive (Electronic Copy) Central Files UTILIZATION SYSTEM PERAUT In accordance with the provisions of Article 21 of Chapter 143, General Statutes of North Carolina as amended, and other applicable Laws, Rules and Regulations PERMISSION IS HEREBY GRANTED TO Aqua North Carolina, Inc. Wake County operation of a 194,490 gallon per day (GPD) reclaimed water generation and non -conjunctive utilization system consisting of the: continued operation of a 200,000 GPD reclaimed water generation system consisting of: a manually cleaned bar screen; a 60,000 gallon aerated flow equalization basin with a 240 cubic feet per minute (CFM) blower and two 175 gallon per minute (GPM) pumps; a flow splitter box; two 150,000 gallon aeration basins; two 25,000 gallon clarifiers with two variable speed waste sludge pumps; a 67,500 gallon aerated sludge holding tank with a variable speed supernatant return pump; a 6,322 gallon chlorine contact basin with two variable speed chemical pumps; two tertiary dual bed filtration units each rated at 0.96 gallons per minute per square foot (GPM/ftz); an 11,000 gallon clearwell with four 550 GPM backwash pumps; an 11,605 gallon mudwell with two 150 GPM return pumps; a 6,110 gallon dechlorination tank; dual ultraviolet (LTV) disinfection systems; four 525 CFM blowers (one shall be in reserve) serving the aeration basins, sludge holding tanks and air lifts; an onsite generator; an effluent flow measuring device; an effluent monitoring device; a turbidimeter; a 2,495 gallon dosing chamber with two 350 GPM pumps and audible/visual high water alarms; and all associated piping, valves, controls, and appurtenances; and the continued operation of a 194,490 GPD non -conjunctive reclaimed water utilization system consisting of: a 21.8 million gallon (MG) clay lined storage pond with approximately 112 days of storage and two 1,600 GPM pumps; a 1.0 MG clay lined five-day upset pond with a return pump station consisting of two 200 GPM submersible pumps and audible/visual alarms; a weather station and rain sensor; approximately 145.8 acres of reclaimed water irrigation area comprised of an 18-hole golf course and driving range; and all associated piping, valves, controls, and appurtenances to serve the Hasentree WWTP, with no discharge of wastes to surface waters, pursuant to the application received March 21, 2017, and subsequent additional information received by the Division, and in conformity with the project plans, specifications, and other supporting data subsequently filed and approved by the Department of Environmental Quality and considered a part of this permit. This permit shall be effective from the date of issuance until February 28, 2023, shall void Permit No. WQ0021934 issued June 23, 2009, and shall be subject to the following specified conditions and limitations: WQ0021934 Version 3.0 Shell Version 171103 Page 1 of 10 I. SCHEDULES 1. Within 60 days of the permit effective date, the Permittee shall re-evaluate the approved value using the methodology used to determine if the approved flow rate of 240 GPD/home or lot and submit this information to the Division as required in Condition VIA. The Division may change the design flow rate for connections to the system at that time pending an evaluation of the submitted flow information. [15A NCAC 02T .0108(b)(1)] 2. Within 60 days of the permit effective date, the Permittee shall develop and implement an education program to inform users (including employees) about the proper use of reclaimed water per Condition Hl.18. All educational materials shall be made available to the Division upon request. [15A NCAC 02U .0501(a)(4)] 3. Within 60 days of the permit effective date, the Permittee shall provide notification to the public and/or employees about the use of reclaimed water, and that reclaimed water is not intended for drinking. Such notification shall be provided to employees in a language they can understand. Documentation of this notification shall be submitted to the Division showing the completion of this condition. [15A NCAC 02U .0501(a)(4)] 4. No later than six months prior to the expiration of this permit, the Permittee shall request renewal of this permit on official Division forms. Upon receipt of the request, the Division will review the adequacy of the facilities described therein, and if warranted, will renew the permit for such period of time and under such conditions and limitations as it may deem appropriate. Please note Rule 15A NCAC 02T .0105(d) requires an updated site map to be submitted with the permit renewal application. [15A NCAC 02U .0106, 02U .0109] 1. The subject reclaimed water facilities shall be effectively maintained and operated at all times so there is no discharge to surface waters, nor any contravention of groundwater or surface water standards. In the event the facilities fail to perform satisfactorily, including the creation of nuisance conditions due to improper operation and maintenance, or failure of the utilization areas to adequately assimilate the reclaimed water, the Permittee shall take immediate corrective actions including Division required actions, such as the construction of additional or replacement reclaimed water generation and utilization facilities. [G.S. 143-215.1, 143-213.3(a)] 2. This permit shall not relieve the Permittee of their responsibility for damages to groundwater or surface water resulting from the operation of this facility. [15A NCAC 02B .0200, 02L .0100] 3. All wells constructed for purposes of groundwater monitoring shall be constructed in accordance with 15A NCAC 02C .0108 (Standards of Construction for Wells Other than Water Supply), and any other jurisdictional laws and regulations pertaining to well construction. [15A NCAC 02C .0108] 4. Effluent limitations for generated reclaimed water shall not exceed those specified in Attachment A. [15A NCAC 02U .0300] 5. Application rates shall not exceed those specified in Attachment B. [15A NCAC 02U .0401(g), 02U .0402(m)] WQ0021934 Version 3.0 Shell Version 171103 Page 2 of 10 6. The following shall be requirements for the reclaimed water distribution, storage and utilization facilities: a. All reclaimed water valves, storage facilities and outlets shall be tagged or labeled to warn the public or employees that reclaimed water is not intended for drinking. Where appropriate, such warning shall inform the public or employees to avoid contact with reclaimed water. b. All reclaimed water piping, valves, outlets and other appurtenances shall be color -coded, taped or otherwise marked to identify the source of the water as being reclaimed water. i. All reclaimed water piping and appurtenances shall be either colored purple (i.e., Pantone 522) and embossed or integrally stamped or marked "CAUTION: RECLAMED WATER — DO NOT DRINK" or be installed with a purple (i.e., Pantone 522) identification tape or polyethylene vinyl wrap. The warning shall be stamped on opposite sides of the pipe and repeated every three feet or less. ii. Identification tape shall be at least three inches wide and have white or black lettering on purple (i.e., Pantone 522) field stating "CAUTION: RECLAEMED WATER — DO NOT DRINK." Identification tape shall be installed on reclaimed water pipelines in a visible manner, fastened at least every 10 feet to each pipe length and run continuously the entire length of the pipe. iii. Existing underground distribution systems retrofitted for the purpose of distributing reclaimed water shall be taped or otherwise identified as noted above. This identification need not extend the entire length of the distribution system, but shall be incorporated within 10 feet of crossing any potable water supply line or sanitary sewer line. c. All reclaimed water valves and outlets shall be of a type, or secured in a manner, that permits operation by authorized personnel only. d. Hose bibs shall be located in locked, below grade vaults that shall be labeled as being of non - potable quality. As an alternative to the use of locked vaults with standard hose bib services, other locking mechanisms such as hose bibs which can only be operated by a tool may be placed above ground and labeled as non -potable water. [15A NCAC 02U .0403] 7. No direct cross -connections shall be allowed between reclaimed water and potable water systems, unless such connection has been approved by the Department pursuant to 15A NCAC 18C .0406. [15A NCAC 02U .0403(f)] 8. Reclaimed water distribution lines shall be located at least 10 feet horizontally from and 18 inches below any water line where practicable. Where these separation distances cannot be met, the piping and integrity testing procedures shall meet water main standards in accordance with 15A NCAC 18C. [15A NCAC 02U .0403(h)] 9. Reclaimed water distribution lines shall not be less than 100 feet from a well unless the piping and integrity testing procedures meet water main standards in accordance with 15A NCAC 18C, but in no case shall they be less than 25 feet from a private well or 50 feet from a public well. [15A NCAC 02U .0403(i)] 10. Reclaimed water distribution lines shall be located at least two feet horizontally from and 18 inches above any sewer line where practicable. Where these separation distances cannot be met, the piping and integrity testing procedures shall meet water main standards in accordance with 15A NCAC 18C. [15A NCAC 02U .04030)] 11. The compliance and review boundaries are established at the property boundary. Any exceedance of standards at the compliance or review boundary shall require action in accordance with 15A NCAC 02L .0106. [15A NCAC 02H .0219(k)(1)(C)(i)(IH)] 12. The Permittee shall apply for a permit modification to establish a new compliance boundary prior to any sale or transfer of property affecting a compliance boundary. [15A NCAC 02L .0107(c)] WQ0021934 Version 3.0 Shell Version 171103 Page 3 of 10 13. No wells, excluding Division approved monitoring wells, shall be constructed within the compliance boundary except as provided for in 15A NCAC 02L .0107(g). [15A NCAC 02L .0107(d)] 14. Except as provided for in 15A NCAC 02L .0107(g), the Permittee shall ensure any landowner who is not the Permittee and owns land within the compliance boundary shall execute and file with the Wake County Register of Deeds an easement running with the land containing the following items: a. A notice of the permit and number or other description as allowed in 15A NCAC 02L .0107(f)(1); b. Prohibits construction and operation of water supply wells within the compliance boundary; and c. Reserves the right of the Permittee or the State to enter the property within the compliance boundary for purposes related to the permit. The Director may terminate the easement when its purpose has been fulfilled or is no longer needed. [15A NCAC 02L .0107(f)] 15. The facilities permitted herein shall be constructed according to the following setbacks: a. The setbacks for reclaimed utilization sites shall be as follows (all distances in feet): i. Surface waters not classified SA: 25 ii. Surface waters classified SA: 100 iii. Any well with exception to monitoring wells: 100 b. The setbacks for final effluent storage units shall be as follows (all distances in feet): i. Any well with exception of monitoring wells: 100 ii. Any property line: 01 ' Section 22.(c)(2) of Session Law 2013-413 exempts final reclaimed water effluent storage facilities constructed prior to June 18, 2011 from having a setback to property lines. [15A NCAC 02U .0701] 11 i' • 1 1 • 1�' 1 1. The reclaimed water generation and utilization facilities shall be properly maintained and operated at all times. The facilities shall be effectively maintained and operated as a reclaimed water system to prevent the discharge of any reclaimed water or partially treated effluent resulting from the operation of this facility. [15A NCAC 02T .0108(b)(1)] 2. The Permittee shall maintain an Operation and Maintenance Plan, which at a minimum shall include the following: a. Description of the system in sufficient detail to show what operations are necessary for the system to function and by whom the functions will be conducted; b. A map of all distribution lines and record drawings of all utilization systems under the Permittee's control; c. Description of anticipated maintenance activities; d. Include provisions for safety measures including restriction of access to sites and equipment; and e. Spill control provisions including response to upsets and bypasses including control, containment, remediation, and contact information for plant personnel, emergency responders and regulatory agencies. [15A NCAC 02U .0801] WQ0021934 Version 3.0 Shell Version 171103 Page 4 of 10 3. Upon the Water Pollution Control System Operators Certification Commission's (WPCSOCC) classification of the subject non -discharge facilities, in accordance with 15A NCAC 08G .0200 the Permittee shall designate and employ a certified operator in responsible charge (ORC) and one or more certified operator(s) as back-up ORC(s). The ORC or their back-up shall visit the facilities in accordance with 15A NCAC 08G .0200, and shall comply with all other conditions specified in the previously .cited rules. [15A NCAC 02U .0117] 4. An operator certified by the Water Pollution Control System Operators Certification Commission (WPCSOCC) of a grade equivalent or greater than the facility classification shall be on call 24 hours per day. [15A NCAC 02U .0401(e), 02U .0402(i)] 5. A suitable year round vegetative cover shall be maintained on irrigation sites at all times, such that crop health is optimized, allows for even distribution of reclaimed water, and allows inspection of the irrigation system. [15A NCAC 02T .0108(b)(1)] 6. Adequate measures shall be taken to prevent reclaimed water ponding in or runoff from the irrigation sites. [15A NCAC 02T .0108(b)(1)] 7. Irrigation shall not be performed during inclement weather or when the ground is in a condition that will cause ponding or runoff. [15A NCAC 02T .0108(b)(1)] 8. All reclaimed water irrigation equipment shall be tested and calibrated at least once per permit cycle. Calibration records shall be maintained at the facility for a period of no less than five years, and shall be made available to the Division upon request. [15A NCAC 02T .0108(b)(1)] 9. The turbidimeter shall be tested and calibrated at a minimum of once per year. Calibration records shall be maintained at the facility for a period of no less than five years, and shall be made available to the Division upon request. [15A NCAC 02T .0108(b)(1)] 10. Only reclaimed water generated at the Hasentree WWTP shall be utilized in accordance with this permit. [G.S. 143-215.1] 11. An automatically activated standby power source capable of powering all essential treatment units shall be on site and operational at all times. If a generator is employed as an alternate power supply, it shall be tested weekly by interrupting the primary power source. [15A NCAC 02U .0402(h)] 12. Public access to the reclaimed water generation facilities and five day upset pond shall be prohibited. [15A NCAC 02U .0402(f)] 13. Public access to reclaimed water utilization sites shall be controlled during active site use. Such controls may include the posting of signs showing the activities being conducted at each site. [15A NCAC 02U .0501] 14. Diversion or bypassing of untreated or partially treated wastewater from the treatment facilities is prohibited. [15ANCAC 02T .0108(b)(1)] 15. Freeboard in the 21.8 million gallon (MG) clay lined storage pond and the 1.0 MG clay lined five-day upset pond shall not be less than two feet at anytime. [15A NCAC 02T .0108(b)(1)] 16. Gauges to monitor water levels in the 21.8 million gallon (MG) clay lined storage pond and the 1.0 MG clay lined five-day upset pond shall be provided. These gauges shall have readily visible permanent markings at inch or tenth of afoot increments. [15A NCAC 02T .0108(b)(1)] WQ0021934 Version 3.0 Shell Version 171103 Page 5 of 10 17. A protective vegetative cover shall be established and maintained on all earthen embankments (i.e., outside toe of embankment to maximum allowable temporary storage elevation on the inside of the embankment), berms, pipe runs, erosion control areas, and surface water diversions. Trees, shrubs, and other woody vegetation shall not be allowed to grow on the earthen dikes or embankments. Earthen embankment areas shall be kept mowed or otherwise controlled and accessible. [15A NCAC 02T .0108(b)(1)] 18. All effluent shall be routed to the five-day holding pond should the limit for fecal coliform (e.g., daily maximum concentration of 25 colonies per 100 mL) or turbidity (e.g., instantaneous maximum of 10 NTU) be exceeded, until the problems associated with the wastewater treatment plant have been corrected. The wastewater in the five-day holding pond shall be pumped back to the treatment plant headworks for re -treatment or treated in the five-day holding pond prior to utilization. [15A NCAC 02U .0402(e)] 19. The Permittee shall develop and implement an education program to inform users (including employees) about the proper use of reclaimed water. Educational material shall be provided to all residents and/or other facilities provided with reclaimed water, and these materials shall be maintained consistent with the reclaimed water uses. All educational materials shall be made available to the Division upon request. [15A NCAC 02U .0501(a)(4)] 20. The Permittee shall provide notification to the public and/or employees about the use of reclaimed water, and that reclaimed water is not intended for drinking. Such notification shall be provided to employees in a language they can understand. [15A NCAC 02U .0501] 21. The residuals generated from the wastewater treatment facilities shall be disposed or utilized in accordance with 15A NCAC 02T .1100. The Permittee shall maintain a residual management plan pursuant to 15A NCAC 02U .0802. [15A NCAC 02T .1100, 02U .0802] IV. MONITORING AND REPORTING REQUROHNTS 1. Any Division required monitoring (including groundwater, plant tissue, soil and surface water analyses) necessary to ensure groundwater and surface water protection shall be established, and an acceptable sampling reporting schedule shall be followed. [15A NCAC 02T .0108(c)] 2. A Division certified laboratory shall conduct all laboratory analyses for the required effluent, groundwater or surface water parameters. [15A NCAC 02H .0800] 3. Flow through the reclaimed water generating facility shall be continuously monitored, and daily flow values shall be reported on Form NDMR. The Permittee shall install and maintain an appropriate flow measurement device to ensure the accuracy and reliability of flow measurement consistent with accepted engineering and scientific practices. Selected flow measurement devices shall be capable of measuring flows with a maximum deviation of less than ten percent from true flow; accurately calibrated at a minimum of once per year; and maintained to ensure the accuracy of measurements is consistent with the selected device's accepted capability. The Permittee shall maintain records of flow measurement device calibration on file for a period of at least five years. At a minimum, documentation shall include: a. Date of flow measurement device calibration, b. Name of person performing calibration, and c. Percent from true flow. [15A NCAC 02T .0105(k)] 4. The Permittee shall monitor the reclaimed water from the generating facility at the frequencies and locations for the parameters specified in Attachment A. [15A NCAC 02T .0108(c)] WQ0021934 Version 3.0 Shell Version 171103 Page 6 of 10 5. The Permittee shall maintain adequate records tracking the amount of reclaimed water utilized. Records shall be maintained for a minimum of five years. At a minimum, these records shall include the following information for each utilization site listed in Attachment B: a. Date of reclaimed water utilization; b. Volume of reclaimed water irrigated; c. Site irrigated; d. Length of time site is irrigated; e. Continuous weekly, monthly, and year-to-date hydraulic (inches/acre) loadings; f. Weather conditions; and g. Maintenance of cover crops. [15A NCAC 02T .0108(c)] 6. Freeboard (i.e., water level to the lowest embankment elevation) in the 21.8 million gallon (MG) clay lined storage pond and the 1.0 MG clay lined five-day upset pond shall be measured to the nearest inch or tenth of a foot, and recorded weekly. Weekly freeboard records shall be maintained at the facility for a period of no less than five years, and shall be made available to the Division upon request. [15A NCAC 02T .0108(c)] 7. A record shall be maintained of all residuals removed from this facility. This record shall be maintained at the facility for a period of no less than five years, and shall be made available to the Division upon request. At a minimum, this record shall include: a. Name of the residuals hauler; b. Non -Discharge permit number authorizing the residuals disposal, or a letter from a municipality agreeing to accept the residuals; c. Date the residuals were hauled; and d. Volume of residuals removed. [15A NCAC 02T .0108(c)] 8. A maintenance log shall be maintained at this facility. This log shall be maintained at the facility for a period of no less than five years, and shall be made available to the Division upon request. At a minimum, this log shall include: a. Visual observations of treatment plant and plant site; b. Date of calibration of flow measurement device(s); c. Date of calibration of turbidimeter; d. Date and results of power interruption testing on alternate power supply; e. Record of preventative maintenance (e.g., changing/adjusting of equipment, pump and valve maintenance, cross connection control, testing, inspections and cleanings, etc.; and f. Record of all unpermitted releases of reclaimed water to surface water or land surface including date of occurrence, estimated volume of release, cause, and corrective action taken. [15A NCAC 02T .0108(b)(1)] WQ0021934 Version 3.0 Shell Version 171103 Page 7 of 10 9. Three copies of all effluent monitoring data and reclaimed water distribution data (as specified in Conditions IV.3. and IVA.) shall be submitted on Form NDMR for each PPI listed in Attachment A. Reporting forms shall be submitted on or before the last day of the following month. If no reclaimed water distribution activities occurred during the monitoring month,, monitoring reports_ documenting the absence of the activity are still required to be submitted. All effluent monitoring data shall be submitted to the following address: Division of Water Resources, Information Processing Unit, 1617 Mail Service Center, Raleigh, North Carolina, 27699-1617. [15A NCAC 02T .0105(1)] 10. Three copies of all operation and utilization records (as specified in Conditions IV.S. and IV.6.) shall be submitted on Form NDAR-1 for every non -conjunctive utilization site listed in Attachment B. Reporting forms shall be submitted on or before the last day of the following month. If no reclaimed water utilization activities occurred during the month, monitoring reports are still required documenting the absence of the activity. All information shall be submitted to the following address: Division of Water Resources, Information Processing Unit, 1617 Mail Service Center, Raleigh, North Carolina, 27699-1617. [15A NCAC 02T .0105(1)] 11. Monitoring wells shall be sampled at the frequencies and for the parameters specified in Attachment C. All mapping, well construction forms well abandonment forms and monitoring data shall refer to the permit number and the well nomenclature as provided in Attachment C and Figure L [15A NCAC 02T .0105(m)] 12. Two copies of the monitoring well sampling and analysis results shall be submitted on a Compliance Monitoring Form (GW-59), along with attached copies of laboratory analyses, on or before the last working day of the month following the sampling month. The Compliance Monitoring Form (GW-59) shall include this permit number, the appropriate well identification number, and one GW-59a certification form shall be submitted with each set of sampling results. All information shall be submitted to the following address: Division of Water Resources, Information Processing Unit, 1617 Mail Service Center, Raleigh, North Carolina, 27699-1617. [15A NCAC 02T .0105(m)] 13. Noncompliance Notification: The Permittee shall report by telephone to the Raleigh Regional Office, telephone number (919) 791- 4200, as soon as possible, but in no case more than 24 hours, or on the next working day following the occurrence or first knowledge of the occurrence of any of the following: a. Treatment of wastes abnormal in quantity or characteristic, including the known passage of a hazardous substance. b. Any process unit failure (e.g., mechanical, electrical, etc.), due to known or unknown reasons, rendering the facility incapable of adequate wastewater treatment. c. Any failure resulting in a discharge of reclaimed water directly to surface waters or any unpermitted release of reclaimed water to land surface greater than or equal to 5,000 gallons. Unpermitted releases less than 5,000 gallons to land surface shall be documented by the Permittee in accordance with Condition IV.81 but do not require Regional Office notification. d. Any time self -monitoring indicates the facilities permitted herein have gone out of compliance with the limitations contained in this permit. e. Ponding in or runoff from the reclaimed water utilization sites. Any emergency requiring immediate reporting (e.g., discharges to surface waters, imminent failure of a storage structure, etc.) outside normal business hours shall be reported to the Division's Emergency Response personnel at telephone number (800) 662-7956, (800) 858-0368, or (919) 733-3300. Persons reporting such occurrences by telephone shall also file a written report in letter form within five days following first knowledge of the occurrence. This report shall outline the actions taken or proposed to betaken to ensure the problem does not recur. [15A NCAC 02T .0108(b)(1)] WQ0021934 Version 3.0 Shell Version 171103 Page 8 of 10 LM 1. The Permittee shall provide adequate inspection and maintenance to ensure proper operation of the reclaimed water generation and utilization facilities. [15A NCAC 02T .0108(b)] 2. The Permittee or their designee shall inspect the reclaimed water generation and utilization facilities to prevent malfunction, facility deterioration and operator errors resulting in discharges, which may cause the release of wastes to the environment, a threat to human health or a public nuisance. The Permittee shall maintain an inspection log that includes, at a minimum, the date and time of inspection, observations made, and any maintenance, repairs, or corrective actions taken. The Permittee shall maintain this inspection log for a period of five years from the date of the inspection, and this log shall be made available to the Division upon request. [15A NCAC 02T .0108(b)] 3. Any duly authorized Division representative may, upon presentation of credentials, enter and inspect any property, premises or place on or related to the reclaimed water generation and utilization facilities permitted herein at any reasonable time for the purpose of determining compliance with this permit; may inspect or copy any records required to be maintained under the terms and conditions of this permit, and may collect groundwater, surface water or leachate samples. [G.S. 143-215.1] /i ►1 :: ' ��7► 1� ill C��►(.� 1. Failure to comply with the conditions and limitations contained herein may subject the Permittee to an enforcement action by the Division in accordance with North Carolina General Statutes 143-215.6A to 143-215.6C. [G.S. 143-215.6A to 143-215.6C] 2. This permit shall become voidable if the permitted facilities are not constructed in accordance with the conditions of this permit, the Division approved plans and specifications, and other supporting documentation. [15A NCAC 02T .0110] 3. This permit is effective only with respect to the nature and volume of wastes described in the permit application, Division approved plans and specifications, and other supporting documentation. No variances to applicable rules governing the construction or operation of the permitted facilities are granted, unless specifically requested and approved in this permit pursuant to 15A NCAC 02T .0105(n). [G.S. 142-215.1] 4. The Division accepts the data -based design flow rate of 240 gallons per day per home or lot (GPD/home or lot) for the users served by this facility. Regardless of the adjusted daily wastewater design flow rate, at no time shall wastewater flows exceed the limits defined in this permit for the subject facility, or exceed the sewer capacity downstream of any new sewer extension or service connection(s). The Permittee shall report the actual (i.e., measured) monthly average amount of wastewater flow contributed per unit (GPD/home or lot) for the 12 months prior to permit renewal. If any of these actual monthly averages are within 20% of the 194,490 GPD, the Permittee shall re-evaluate the approved value using the methodology applied to determine the approved flow rate of 240 GPD/lot or home, and submit this information within 18 months of permit issuance. The Division may change the daily wastewater design flow rate for connections to the system at that time, and upon each renewal cycle, pending an evaluation of the submitted flow information. [15A NCAC 02T .0114(f)] 5. The Permittee shall retain the Division's written approval of any authorized adjusted daily design flow rate for the life of the facility, and shall transfer said written approval to any future Permittee. [15A NCAC 02T .0114(f)(4)] WQ0021934 Version 3.0 Shell Version 171103 Page 9 of 10 6. The issuance of this permit does not exempt the Permittee from complying with any and all statutes, rules, regulations, or ordinances, which may be imposed by other jurisdictional government agencies (e.g., local, state, and federal). Of particular concern to the Division are applicable river buffer rules in 15A NCAC 02B .0200; erosion and sedimentation control requirements in 15A NCAC Chapter 4_ and under the Division's General Permit NCGO10000; any requirements pertaining to wetlands under 15A NCAC 02B .0200 and 02H .0500; National Pollutant Discharge Elimination System (NPDES) requirements under 15A NCAC 02H .0100, and documentation of compliance with Article 21 Part 6 of Chapter 143 of the General Statutes. [15A NCAC 02T .0105(c)(6)] 7. In the event the permitted facilities change ownership or the Permittee changes their name, a written permit modification request shall be submitted to the Division. This request shall be made on official Division forms, and shall include appropriate property ownership documentation and other supporting documentation as necessary. The Permittee of record shall remain fully responsible for maintaining and operating the facilities permitted herein until a permit is issued to the new owner. [15A NCAC 02T .0104] 8. The Permittee shall retain a set of Division approved plans and specifications for the life of the facilities permitted herein. [15A NCAC 02T .0108(b)(1)] The Permittee shall maintain this permit until all permitted facilities herein are properly closed or permitted under another permit issued by the appropriate permitting authority. [15A NCAC 02T .01050)] 10. This permit is subject to revocation or unilateral modification upon 60 days notice from the Division Director, in whole or part for the requirements listed in 15A NCAC 02T .0110. [ 15A NCAC 02T .0110] 11. Unless the Division Director grants a variance, expansion of the permitted facilities contained herein shall not be granted if the Permittee exemplifies any of the criteria in 15A NCAC 02T .0120(b). [15A NCAC 02T .0120] 12. The Permittee shall pay the annual fee within 30 days after being billed by the Division. Failure to pay the annual fee accordingly shall be cause for the Division to revoke this permit. [15A NCAC 02T .0105(e)(3)] Permit issued this the 15ffi day of March 2018 NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION r Linda Culpepper, Director Division of Water Resources By Authority of the Environmental Management Commission Permit Number WQ0021934 WQ0021934 Version 3.0 Shell Version 171103 Page 10 of 10 ATTACHMENT A - I D41TATIONS AND MONITORING REQUIREMENTS PPI 001— Reclaimed Water Generation System Effluent Permit Number: WQ0021934 Version: 3.0 EFFLUENT CHARACTERISTICS EFFLUENT LIMITS MONITORING REQUIREMENTS PCs Parameter Description Units of Monthly Monthly Daily Minimum Daily Maximum Measurement Sample Code Measure Average Geometric Mean Frequency Type 00310 BOD, 5-Day (20 °C) mg/L 10 15 2 x Month Composite 00940 Chloride (as Cl) mg/L 3 x Year 1 Composite 50060 Chlorine, Total Residual mg/L 5 x Week Grab 31616 Coliform, Fecal MF, M-FC Broth, 44.5 °C #/100 mL 14 25 2 x Month Grab 50050 Flow, in Conduit or thru Treatment Plant GPD 194,490 Continuous Recorder 00610 Nitrogen, Ammonia Total (as N) mg/L 4 6 2 x Month Composite 00625 Nitrogen, Kjeldahl, Total (as N) mg/L 2 x Month Composite 00620 Nitrogen, Nitrate Total (as N) mg/L 2 x Month Composite 00600 Nitrogen, Total (as N) mg/L 2 x Month Composite 00400 pH su 5 x Week Grab 00665 Phosphorus, Total (as P) mg/L 2 x Month Composite 70300 Solids, Total Dissolved —180 °C mg/L 3 x Year Composite 00530 Solids, Total Suspended mg/L 5 10 2 x Month Composite 00076 Turbidity, HCH Turbidimeter NTU 10 Continuous Recorder 1. 3 x Year monitoring shall be conducted in April, August, and December. WQ0021934 Version 3.0 Attachment A Page 1 of 1 Permit Number: WQ0021934 Version: 3.0 Aqua North Carolina, Inc. — Hasentree WWTP IRRIGATION AREA INFORMATION APPLICATION LIMITATIONS Field Owner County Latitude Longitude Net Acreage Dominant Soil Series Parameter Hourly Rate Yearly Max Units Front 9 Fairways Toll Brothers of NC, III, Wake 35.9972220 -78.5877780 68.4 Cecil (Pacolet) 01284—Non-Discharge Application Rate 0.1 20.28 inches Limited Partnership Front 4 Greens Toll Brothers of NC, III, Wake 35.998889° -78.589722° 1.9 Cecil (Pacolet) 01284 —Non-Discharge Application Rate 0.1 20.28 inches Limited Partnershi Back 9 Fairways Toll Brothers of NC, III, Wake 35.9927780 -78.5977780 59.6 Cecil (Pacolet) 01284 — Non -Discharge Application Rate 0.1 20.28 inches Limited Partnership Back 9 Greens Toll Brothers of NC, III, Wake 35.9902780 -78.5977780 1.9 Cecil (Pacolet) 01284 — Non -Discharge Application Rate 0.1 20.28 inches Limited Partnershi Practice Greens Toll Brothers of NC, III, Wake 35.9975° -78.596389° 0.7 Cecil (Pacolet) 01284 —Non-Discharge Application Rate 0.1 20.28 inches Limited Partnershi Practice Areas Toll Brothers of NC, III, Wake 35.9963890 -78.5986110 2.3 Cecil (Pacolet) 01284 —Non-Discharge Application Rate 0.1 20.28 inches Limited Partnership Driving Range Toll Brothers of NC, III, Wake 35.9955560 -78.5983330 4.2 Cecil (Pacolet) 01284—Non-Discharge Application Rate 0.1 20.28 inches Tees Limited Partnership Driving Range Toll Brothers of NC, III, Wake 35.9966670 -78.5963890 6.8 Cecil (Pacolet) 01284 — Non -Discharge Application Rate 0.1 20.28 inches Fairways Limited Partnershi Totals 145.8 1. Effluent Easement and Irrigation Agreement (Book 13037 / Page: 2573) and the Wastewater Treatment Plant Easement Agreement (Book 12834 / Page: 2278) WQ0021934 Version 3.0 Attachment B Page 1 of 1 Permit Number: WQ0021934 Version: 3.0 Monitoring wells: A/IW-1, MW-2, MW-3, MW-4, and MW-5 GROUNDWATER CHARACTERISTICS GROUNDWATER STANDARDS MONITORING REQUIREMENTS PCS Code Parameter Description Daily Maximum Frequency Measurement Sample Type Footnotes 00680 Carbon, Tot Organic (TOC) mg/L 3 x Year Grab 1,6 00940 Chloride (as Cl) 250 mg/L 3 x Year Grab 1 31616 Coliform, Fecal MF, M-FC Broth, 44.5'C #/100 mL 3 x Year Grab 1 00610 Nitrogen, Ammonia Total (as N) 1.5 mg/L 3 x Year Grab 1 00620 Nitrogen, Nitrate Total (as N) 10 mg/L 3 x Year Grab 1 00400 pH 6.5-8.5 su 3 x Year Grab 1,2 00665 Phosphorus, Total (as P) mg/L 3 x Year Grab 1 70300 Solids, Total Dissolved - 180'C 500 mg/L 3 x Year Grab 1 GWVOC Volatile Compounds (GC/MS) Present: Yes/No Annually Grab 1, 4, 5 82546 Water Level, Distance from measuring point feet 3 x Year Calculated 1, 2, 3 1. 3 x Year monitoring shall be conducted in April, August, and December; Annual monitoring shall be conducted every December. 2. The measurement of water levels shall be made prior to purging the wells. The depth to water in each well shall be measured from the surveyed point on the top of the casing. The measurement of pH shall be made after purging and prior to sampling for the remaining parameters. 3. The measuring points (top of well casing) of all monitoring wells shall be surveyed to provide the relative elevation of the measuring point for each monitoring well. The measuring points (top of casing) of all monitoring wells shall be surveyed relative to a common datum. 4. Volatile Organic Compounds (VOC) - In December only, analyze by one of the following methods: a. Standard Method 6230D, PQL at 0.5 µg/L or less b. Standard Method 6210D, PQL at 0.5 µg/L or less c. EPA Method 8021, Low Concentration, PQL at 0.5 µg/L or less d. EPA Method 8260, Low Concentration, PQL at 0.5 µg/L or less e. Another method with prior approval by the Water Quality Permitting Section Chief Any method used must meet the following qualifications: a. A laboratory must be DWR certified to run any method used. b. The method used must, at a minimum, include all the constituents listed in Table VIII of Standard Method 6230D. c. The method used must provide a PQL of 0.5 µg/L or less that must be supported by laboratory proficiency studies as required by DWR. Any constituents detected above the MDL but below the PQL of 0.5 µg/L must be qualified (estimated) and reported. 5. If any volatile organic compounds (VOC) are detected as a result of monitoring as provided in Attachment C, then the Raleigh Regional Office supervisor, telephone number (919) 791-4200, must be contacted immediately for further instructions regarding any additional follow-up analyses required. 6. If TOC concentrations greater than 10 mg/1 are detected in any downgradient monitoring well, additional sampling and analysis must be conducted to identify the individual constituents comprising this TOC concentration. If the TOC concentration as measured in the background monitor well exceeds 10 mg/l, this concentration will be taken to represent the naturally occurring TOC concentration. Any exceedances of this naturally occurring TOC concentration in the downgradient wells shall be subject to the additional sampling and analysis as described above. 7. Monitoring wells shall be reported consistent with the nomenclature and location information provided in Figure 1 and this attachment. WQ0021934 Version 3.0 Attachment C Page 1 of 1 WA)TP stile ACHMENT OVERALL HASENTREE DEVELOPMENT VICINITY MAP NOT TO 5CALE. N S cz U .5 M J W J u�NL U t � Z 0 2 O Z Q N Lu ~ M W O M ON N J W H COPYRIGHT O 2U13 ESE OF NORTH CAROLINA, P.C. THI5 DOCUMENT 15 THE PROPERTY OF t5t OF NORTH CAROLINA, P.C. ALL RIGHTS ARE SERVED. ANY REPRODUCTION OF TH15 DOCUMENT OR PC 55E55ION 'WITHOUT PRIOR FERMI5510N OF ESE OF NORTH GAROLINA, P.G. WILL BE 5UBJECT TO LEGAL ACTION. LLJ Q N O OO Q O cJ� � z � O o O Lu u_ w Q 0 w Q a z Z Z) z w p o U w OZ0N LL w Q N O LU LL W zJ� L-� z — W z oUo W cn z Z J O W Q ~ U) Lu Q O 2 SCALE: NTS PROJECT NUMBER: 3017 DATE: 0 1 -24- 1 3 DRAWN BY: TF CHECKED BY: GMF SHEET NUMBER: 1 OF 1 9H December 1 2006 4, \�Fs,},----�%_------ Exhibit 1.37 ,i \ MAP of WWTP SITE \V WITH ADEQUATE BUFFERS, THE NORThIN ,N\ �' \\\\ �ft EFFLUENT STORAGE POND SITE 200' 100' 0 200' 400 \ \\ \ -,\� /f �� \ \ AND THE UPSET STORAGE POND SITE 0 \ ^ I + I N �\ \ \\ �` \ �\ \ MINE 0�� scALe: i= 2001 11 \ v I R-sow PRELIMINARY FOR REVIEW ONLY NOT RELEASED FOR CONSTRUCTION AI/'%TCC+. \ 289 1 \ \\\ l `\ \\ \` NVEVELOr- \ � v i�b� STER W. �.� 1, I \ \ 8 %OO CP & L w1AIZY w. o'NE�. 2%" \ VSEMENTr ti D.B. 353I P \ \ \ i 1 2�7 PROPE (T �) UNCEVE OFEd \ * \\ \ \ \ " BOUNDAR 54 ` 28 %PU \ \\ WAS�EWAfER\ \\ \ JUPSET353 \ T \ POND �'� I N \l TREA�MEI�\ \ FACILITY 284 351� \ 83 IR10� Pjdmp, AT N \\ \�o R 282 It C33 281 I� \ \ AC ESS \ 1) THE WASTEWATER TREATMENT i I � i'' \►° \ C FACILITY AND POND ARE NOT 350 279 WITHIN 50' OF ANY PROPERTY ��,� / I LINES PER T15A:02H.0200 . \ C27)8 2 EFFLUENT SPRAY IRRIGATION IS L' - �`•� J V. 0 1 LIMITED TO OPEN SPACE AREAS ONLY. 277 �` �, \ �� ��, _ --;,, �; i, s c)IT I 1 F \ I Note: 3G 273 ~ \ �\ _ ` \� ` II MARJCvE O The WWTP Property includes the Upset ) ' � � \ .� � �� i' �.� D,81 3554 307 \ l� \ .� n. �!., �, AV Pond, Wastewater Treatment Facility, / (3 272 \ \ �� '���'� '.,: \�d, `,\�\\\\\`1� NAPEVELC / 306 O \ O \ MAINTENANCE I ►� \ \\ ► \ Irrigation Pond, and Irrigation Pump Station. , ����O \ ` j �, \\\� 1 ATTACHMENT D - CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY STATE OF NORTH CAROLINA UTILITIES COMMISSION RALEIGH DOCKET NO. W-218, SUB 273 BEFORE THE NORTH CAROLINA UTILITIES COMMISSION AQUA NORTH CAROLINA INC. is granted this CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY to provide water and sewer utility service ro BARCLAY DOWNS BARTON CREEK BLUFFS BARTONS CREEK OVERLOOK, BOULDER CREEK BRIARWOOD FARMS CHESTNUT OAKS AT BARTON CREEK BLUFFS CROOKED CREEK CROOKED CREEK BLUFFS CROOKED CREEK _SOUTH CROOKED CREEK TRACK D, CROSS CREEK MHP ENCLAVE OF BARTON CREEK BLUFFS FAIRWAYS OF CROOKED CREEK, GRAYLYN, HASENTREE PHASES 1 2 3 5 6A 6136C AND 7, HAWTHORNE, MALLARD CROSSING MONTICELLO NEUSE RIVER VILLAGE OLDS MILBURNIE _CROSSING SADDLERIDGE SAWYER'S MILL, STILLWATER LANDING, TRADEWINDS VICTORY CHURCH ROAD WESTWOOD AT CROOKED CREEK WINDSOR OAKS WILDWOOD GREEN AND WOODVALLEY SUBDIVISIONS Wake County, North Carolina subject to any orders, rules, regulations, and conditions now or hereafter lawfully made by the North Carolina Utilities Commission. ISSUED BY ORDER OF THE COMMISSION. This the 5t" day of December, 2008. NORTH CAROLINA UTILITIES COMMISSION sail l •T'floum� Gail L. Mount, Deputy Clerk (Page 1 of 17) BKO12834PGO2278 Wastewater Treatment Plant Easement Agreement 11-07-07 WAKE COUNTY. NC Slag LAURA M RIDDICK REGISTER OF DEEDS PRESENTED & RECORDED ON 11/14/2007 AT 16:05:26 BOOK:012834 PAGE:02278 - 02294 WASTEWATER TREATMENT PLANT EASEMF,NT AGREEMENT RETURN TO: Kilpatrick Stockton LLP (CAB) 3737 Glenwood Avenue, Suite 400 Raleigh, NC 27612 This WASTEWATER TREATMENT PLANT EAS ,MENT AGREEMENT (the "WWTP Easement") is made and entered into as of the �" day of e5 ; 2007, by HASENTREE CORP., a North Carolina corporation ("Hasentree Corp."), and HEATER UTILITIES, INC., a South Carolina corporation ("Heater"). WITNESSETH: THAT WHEREAS, Hasentree Corp. is the developer of a proposed development called Hasentree (as defined below); and WHEREAS, Hasentree Corp., Lowery Services LLC and Heater have entered into the Acquisition Agreement (as defined below) whereby Heater will acquire the Wastewater Utility System (as defined below) serving Hasentree; and WHEREAS, pursuant to the Acquisition Agreement the parties have agreed to enter into this WWTP Easement; and WHEREAS, Heater is a public utility company in the business of providing wastewater service to communities such as Hasentree. NOW, THEREFORE, in consideration of good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Hasentree Corp. and Heater intending to be legally bound, agree as follows: Definitions. 1.1 "Acquisition Agreement " shall mean that certain Amended and Restated Agreement for the Installation, Conveyance, and Operation of the Wastewater Utility System Serving Hasentree, dated as of May 12, 2007, executed among Hasentree Corp., Lowery Services LLC and Heater. 1.2 "Cornn7ission " shall mean the North Carolina Utilities Commission. US2000 9761489.5 (Page 2 of 17) BKO12834PGO2279 1.3 "DWQ" shall mean the Division of Water Quality of the North Carolina Department of Environment and Natural Resources. 1.4 "Effluent Storage Pond" shall mean the 21 million gallon storage pond at Hasentree to be owned and operated by Heater pursuant to the Acquisition Agreement. 1.5 "Environmental Law" shall mean any Law (as defined below) related to environmental conditions on or under the WWTP Property (as defined below). 1.6 "Governmental authority" shall mean each and every applicable governmental authority, department, agency, bureau or other entity or instrumentality having jurisdiction over the WWTP Property, including the federal government of the United States, the North Carolina State government and any subdivisions and municipalities thereof, including the Wake County government, and all other applicable governmental authorities and subdivisions thereof. 1.7 "Hasentree " shall mean the property being developed by Hasentree Corp., known as Hasentree located on NC Highway 98 in Wake County, North Carolina, which shall initially consist of approximately 432 residential lots, a golf course, clubhouse, family activities center, water and swim pavilion, fitness center, tennis complex, trail system and other recreation and amenity areas. 1.8 "Hasentree Corp. " shall mean Hasentree Corp., the developer of Hasentree. 1.9 "Hazardous Substances " shall mean all hazardous or toxic materials, substances, pollutants, contaminants, or wastes currently identified as a hazardous substance or waste in the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (commonly known as "CERCLA"), as amended, the Superfund Amendments and Reauthorization Act (commonly known as "SARA"), and the Resource Conservation and Recovery Act (commonly known as "RCRA"). 1.10 "Hazardous Substances Discharge" shall mean any deposit, spill, discharge, or other release of Hazardous Substances that occurs at or from the WWTP Property. 1.11 "Indemnify" shall mean that Heater shall indemnify Hasentree Corp. (and its partners, members, officers, directors, employees, agents, invitees and guests) and defend and hold Hasentree Corp. (and its partners, members, officers, directors, employees, agents, invitees and guests) harmless from and against any and all loss, cost, claims, liability, penalties, judgments, damage or other injury, detriment, or expense (including all reasonable costs and expenses incurred in connection with any legal proceeding, including reasonable attorneys' fees, court costs, expenses, interest and penalties) reasonably incurred or suffered by Hasentree Corp. (and its partners, members, officers, directors, employees, agents, invitees and guests) on account of the matter that is the subject of such indemnification or in enforcing Heater's indemnity. 1.12 "Law" or "Laws" shall mean all laws, ordinances, requirements, orders, directives, rules and regulations of any applicable Governmental Authority affecting the development, improvement, alteration, use, maintenance, operation or occupancy of the WWTP Property or any part of the WWTP Property, whether in force at the date hereof or passed, enacted or imposed at some time in the future, subject in all cases, however, to all applicable waivers, variances and exemptions limiting the application of the foregoing to the WWTP Property. 1.13 "Permit " shall mean Permit No. WQ0021934 for the operation of the Wastewater Utility System (as defined below) and Spray Irrigation Facilities (as defined below) issued by DWQ, as the same may be modified or renewed from time to time. (Page 3 of 17) BK012834PG02280 1.14 "Upset Storage Pond" shall mean the existing 1 million gallon, five-day retention pond approved by DWQ and located near the WWTP at Hasentree for the retention of wastewater during WWTP upsets. 1.15 "Wastewater Utility System " shall mean the WWTP, the collection system that delivers wastewater to the WWTP, the Upset Storage Pond, the Effluent Storage Pond, all lift stations, and other facilities used in the collection, treatment, holding and disposal of the wastewater, other than the Spray Irrigation Facilities. 1.16 "WWTP" shall mean the wastewater treatment plant located within Hasentree. 1.17 "WWTP Property" shall mean the WWTP site of adequate size for the WWTP including adequate buffer, a site of adequate size for the Effluent Storage Pond including adequate buffer, and a site of adequate size for the Upset Storage Pond including adequate buffer, as legally described on Exhibit A attached hereto.. 2. Grant of Easement. Hasentree Corp. hereby grants and conveys to Heater, its successors and assigns forever, a perpetual exclusive easement over, across, upon, and through the WWTP Property for the purpose of operating, repairing, maintaining, replacing and reconstructing the WWTP, the Reuse Effluent Storage Pond and the Upset Storage Pond for the benefit of utility customers located in Hasentree and other activities related thereto, on the terms and subject to the conditions set forth in this WWTP Easement. Hasentree Corp. shall not further encumber the WWTP Property, or engage in any activity therein, or grant any other interest or privilege therein to any other party, that would interfere with Heater's enjoyment of its rights or fulfillment of its obligations created by this WWTP Easement. 3. Maintenance Obligations. Heater shall maintain the WWTP Property together with the WWTP, the Reuse Effluent Storage Pond and the Upset Storage Pond and any other improvements constructed or installed thereon by Heater. 4. Hazardous Substances. 4.1 Restrictions. Heater shall not cause or permit to occur: (a) any violation of any Environmental Law; or (b) the use, generation, release, manufacture, refining, production, processing, storage or disposal of any Hazardous Substance on, under, or about the WWTP Property, or the transportation to or from the WWTP Property of any Hazardous Substance, except to the extent that such use (1) is reasonably necessary for the conduct of Heater's business in accordance with industry standards for the operation of a wastewater treatment plant and (ii) complies with all applicable Environmental Laws. 4.2 Environmental Indemnity. Heater shall Indemnify Hasentree Corp. against any Hazardous Substances Discharge or failure to comply with any and all applicable Environmental Laws. 5. General Indemnity. This WW'IT Easement is made on the express condition that Hasentree Corp. is to be free from all liability by reason of injury or death to persons or injury to property from whatever cause arising out of Heater's, its contractors', agents', officers', employees', invitees', or licensees' exercise of rights granted pursuant to this WWTP Easement or use of the WWTP Property, the WWTP, the Reuse Effluent Storage Pond and the Upset Storage Pond or of the other improvements or personal property of Heater thereto or thereon, including any liability for injury or death to the person or property of Heater, its contractors, agents, officers, employees, invitees, or licensees or to any property under the control or custody of Heater. Heater hereby covenants and agrees to Indemnify Hasentree 3 (Page 4 of 17) BKO12834PGO2281 Corp., against such injury or losses caused or claimed to be caused by the exercise of Heater's rights under this WWTP Easement or use of WWTP Property, the WWTP, the Reuse Effluent Storage Pond and the Upset Storage Pond or of the other improvements or personal property of Heater thereto or thereon by Heater, however occurring, other than those caused by the willful or negligent acts or omissions of Hasentree Corp. Insurance. 6.1 General Liability. Heater shall, at Heater's sole cost and expense, maintain, or cause to be maintained, general public liability insurance against claims for personal injury, death or property damage occurring upon, in or about the WWTP Property. The coverage under all such liability insurance shall be in such amounts as may be required by law, but in all events for limits of not less than $1,000,000 per occurrence and not less than $3,000,000 in the annual aggregate. 6.2 Policy Requirements and Endorsements. All insurance policies required by this WWTP Easement shall contain (by endorsement or otherwise) the following provisions: (a) All policies shall name Hasentree Corp. as an additional insured; (b) All policies shall be written as primary policies not contributing with or in excess of any coverage that Hasentree Corp. may carry; (c) The insurance carrier shall be required to give Hasentree Corp, thirty (30) days' prior notice of cancellation; and (d) Heater shall deliver to Hasentree Corp. certificates of insurance on the date hereof and before expiration of any then -current policy. 7. Termination of Easement. In the event that Heater ceases to use the WWTP Property for the purposes set forth herein for a period of six continuous months, Hasentree Corp. may give Heater notice of its intent to terminate this WWTP Easement pursuant to this Section 7, If Heater fails, within 60 days following its receipt of such notice, to either (a) recommence operations at the WWTP Property as permitted by this WWTP Easement or (b) give adequate assurances to Hasentree Corp. of its intention and ability to do so within the next six months, and thereafter, fails to actually commence such operations within such six-month period, then Hasentree Corp. may terminate this WWTP Easement and all of the rights granted herein. In the event of such termination, the WWTP Easement shall be quitclaimed from Heater to Hasentree Corp., without expense to Hasentree Corp., and any and all interest in the WWTP Property conveyed in this WWTP Easement shall automatically revert to Hasentree Corp. or its assigns and successors, without the necessity of any further action to effect said reversion. In conjunction with said termination and reversion, Heater shall, within ninety (90) days from the date of termination of the WWTP Easement, remove any and all improvements Heater installed in, on, under or above the WWTP Property. If Heater does not remove said improvements within the ninety days, all such improvements shall, at the option of Hasentree Corp., become the personal property of Hasentree Corp. at no cost to Hasentree Corp. 8. Taxes and Assessments; Liens. All (a) all taxes on the WWTP and other improvements, machinery, equipment and personal property owned by Heater solely excluding the real property constituting the WWTP Property and (b) all business taxes and licenses levied and assessed by any Governmental Authority shall be paid by Heater when due. Hasentree Corp. agrees that upon receipt of (Page 5 of 17) BKO12834PGO2282 any tax notice or notice of assessments, it will promptly notify Heater of its pro-rata share of such taxes, For any partial year, the personal property taxes payable in those years shall be prorated between Heater and Hasentree Corp. Heater shall not cause liens of any kind to be placed against the WWTP Property or any of Hasentree Corp.'s other real property. General Provisions. 9.1 Binding upon Successors and Assigns. This WWTP Easement shall be binding upon and shall inure to the benefit of Hasentree Corp. and Heater, and the successors and permitted assigns of each. Hasentree Corp. may assign its rights and delegate its duties under this WWTP Easement to a purchaser of the WWTP Property. Heater may assign its rights and delegate its duties under this WWTP Easement in whole or in part to a purchaser of the WWTP, a certified operator of the WWTP or to an affiliate of Heater. 9.2 No Third Party Beneficiary Rights. Nothing expressed or referred to in this WWTP Easement will be construed to give any person other than the parties to this WWTP Easement any legal or equitable right, remedy or claim under or with respect to this WWTP Easement or any provision of this WWTP Easement, except such rights as shall inure to a successor or permitted assignee pursuant to Section 9.1 above. 9.3 Independent Contractor. The parties hereto are and shall be independent contractors to one another, and nothing herein shall be deemed to cause this WWTP Easement to create an agency, partnership, or joint venture between the parties hereto. 9.4 Counterparts. This WWTP Easement may be executed in one or more counterpart signature pages (including facsimile counterpart signature pages), each of which will be deemed to be an original of this WWTP Easement and all of which, when taken together, will be deemed to constitute one and the same instrument. 9.5 Headings. The headings of particular provisions of this WWTP Easement are inserted for convenience only and shall not be construed as a part of this WWTP Easement or serve as a limitation or expansion on the scope of any term or provision of this WWTP Easement. 9.6 Enforcement of Agreement. Each party acknowledges and agrees that the other party would be irreparably damaged if any of the provisions of this WWTP Easement are not performed in accordance with their specific terms and that any breach of this WWTP Easement by a party could not be adequately compensated in all cases by monetary damages alone. Accordingly, in addition to any other right or remedy to which a party may be entitled, at law or in equity, it shall be entitled to enforce any provision of this WWTP Easement by a decree of specific performance and to temporary, preliminary and permanent injunctive relief to prevent any breach or threatened breach of any of the provisions of this WWTP Easement, without posting any bond or other undertaking. 9.7 Notices. All notices and other communications required or permitted hereunder shall be in writing and shall be sent either (i) personally by hand delivery, (ii) by United States first-class mail, postage prepaid, (iii) by hand or nationally recognized overnight courier, or (iv) by facsimile, in each case addressed to the address or facsimile number indicated on the signature pages to this WWTP Easement (or at such other address or facsimile number as such party or permitted assignee shall have furnished to the other parties hereto in writing). All such notices and other written communications shall be effective on the date of delivery, mailing, or facsimile transmission. (Page 6 of 17) BKO12834PGO2283 9.8 Waiver. No waivers of, or exceptions to, any term, condition or provision of this WWTP Easement, in any one or more instances, shall be deemed to be, or construed as, a further or continuing waiver of any such term, condition or provision. 9.9 Entire Agreement. This writing and the documents referred to herein embody the entire agreement and understanding between the parties hereto and there are no other agreements or understandings, oral or written, with reference to the subject matter hereof that are not merged herein and superseded hereby. 9.10 Modifications in Writing. This WWTP Easement shall not be modified, amended, or changed in any respect except in writing, duly signed by the parties hereto, and each party hereby waives any right to amend this WWTP Easement in any other way. Any such modifications shall be subject to DWQ's approval. 9.11 Consent to jurisdiction. The parties hereto agree that the state and federal courts of North Carolina shall have exclusive jurisdiction over this WWTP Easement and any controversies arising out of, relating to, or referring to this WWTP Easement, the formation of this WWTP Easement, and actions undertaken by the parties hereto as a result of this WWTP Easement, whether such controversies sound in tort law, contract law or otherwise. Each of the parties hereto expressly and irrevocably consents to the personal jurisdiction of such state and federal courts, agrees to accept service of process by mail, and expressly waives any jurisdictional or venue defenses otherwise available. 9.12 Governing Law. This WWTP Easement shall be governed by the internal substantive laws of the State of North Carolina, without regard to such state's conflict of law or choice of law rules. 9.13 Recordation; Duration. Upon closing of the transactions contemplated by the Acquisition Agreement, Heater shall record this WWTP Easement in the Register of Deeds of Wake County, North Carolina at Heater's expense. The provisions of this WWTP Easement will run with and bind title to the WWTP Property, will be binding upon and inure to the benefit of all owners of any portion of the WWTP Property, and, subject to Section 7 above, will be and remain in effect until such time as a document terminating this WWTP Easement is signed by Heater and all of the owners of the WWTP Property and recorded in the public land records of Wake County. [Next Page is Signature Page] (Page 7 of 17) BKO12834PGO2284 [Signature Page to Wastewater Treatment Plant Easement Agree►new] IN WITNESS WHEREOF, the parties have caused this WWTP Easement to be duly executed in their respective corporate names, all by authority duly given, the day and year first above written. HASENTREE CORP. r� y: Address: 8310 Bandford Way, Suite 101 Raleigh, North Carolina 27615 Fax: (919)571-1521 HEATER UTILITIES, INC. By: ,.�,4.f ,S• n,-T---- President Address: 202 MacKenan Court Cary, NC 27511 Attn: Fax: (919)460-1788 (Page 8 of 17) BKO12834PGO2285 STATE OF �Oklli ILIM COUNTY OF A 1,the undersigned, a Notary Public of the County and State aforesaid, certify that 0AieLTQ4 ,A&YET7E whose identity has been proven by satisfactory evidence, said evidence being: ® I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); who is the VICE f 6StDC-NT of HASENTREE CORP., a North Carolina corporation, personally appeared before me this day -and acknowledged that (s)t�. is \,I CC- Pr ESIp T of HASENTREE CORP. and that as V CE f :t9S06r-T being duly authorized to do so, voluntarily executed the foregoing instrument on behalf of said company for the purposes stated therein. W' ness my hand and official stamp or seal this '7 day of ©G7-066W 2007. Notary blic r Print me: �i}��! IrtN �OrAtdOt!(C My Commission Expires: 6-16-0 [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE[ F� NOTARY ss* ni ��FCOt1NtV ��,r (Page 9 of 17) BKO12834PGO2286 STATE OF C�_ COUNTY OF I, the undersigned, Not ry Public of the County and State aforesaid, certify that 7 7�`(�O�p S r a aS , whose identity has been proven by satisfactory evidence, said evidence being: I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); personally came before me this day and acknowledged that he/she is President of HEATER UTILITIES, INC., a South Carolina corporation, and that he/she, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of the corporation for the purpose stated therein and in the capacity indicated. Witness my hand and official stamp or seal this day of ���}e 200'�. a� Notary Public\ Print Name: My Commission Expires: [AFFIX 1�.1G AL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE tbN 9 (Page 10 of 17) BKO12834PGO2287 CONSENT OF LENDER SunTrust Bank ("Lender"), owner and holder of notes given by Hasentree Corp. (the "Borrower"), and secured by the following: Deed of Trust dated August 26, 2005 recorded in Book 11547 at Page 1806, Wake County Registry; and SunTrust Bank hereby consents to the subordination of its lien herein referenced to the Wastewater Treatment Plant Easement Agreement rN WITNESS WH REOF, the undersigned have duly executed these presents under seal as of the 9 fIL. day of � -�.K .e,/ , 2007. LENDER: SunTrust Bank, success i to Cen aI Carolina Bank and Trust Compa n By: (� Name: C A i2%G�c Title t;a+ V,,,President 10 (Page 11 of 17) BKO12834PGO2288 STATE OF COUNTY OF I, —the IIuntsi ed, a Notary Public of the County and State aforesaid, certify that e Q t1-A E +e _ , whose identity has been proven by satisfactory evidence, said evidence being: u I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); personally came before me this day and acknowledged that�be/sl;e is P President of SunTrust Bank, and that he/*e, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of the corporation for the purpose stated therein and in the capacity indicated. Witness my hand and official stamp or seal this f� day ofUm 200a. Notary blic y Print Name: � on ,n, 1� h .�/ My Commission Expires: ��� `F' �0y [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] =ON4A I WIM1E NakrY h"c ftIM County Skoe of Norm camYna MVConxntalon ExOM Nov 4. 2002 (Page 12 of 17) BKO12834PGO2289 CONSENT OF LENDER SunTrust Bank ("Lender"), owner and holder of notes given by Waterford, LLC (the "Borrower"), and secured by the following: Deed of Trust dated October 30, 2001 and recorded in Book 9137, Page 1709, Wake County Registry and Supplemental Deed of Trust dated July 12, 2002 and recorded in Book 9516, Page 1362, Wake County Registry and Modification Agreement dated August 26, 2005 and recorded in Book 11547, Page 1783, Wake County Registry; (collectively the "Deeds of Trust") SunTrust Bank hereby consents to the subordination of its lien herein referenced to the Wastewater Treatment Plant Easement Agreement WITNESS WHE OF, the undersigned have duly executed these presents under seal as of they g day of pep e.�e Ie C 2007. LENDER: SunTrust Bank, successor in interest to Central Carolina Bank and Trust Comp By: 6� Name: —_ �:b 6ARLTEOZ Title Fiest V;e-c- President 12 (Page 13 of 17) BKO12834PGO2290 STATE OF v COUNTY OF I, th undersigned, a Notary Public of the County and State aforesaid, certify that �rA. Cam,+-_r , whose identity has been proven by satisfactory evidence, said evidence being: dI have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); personally came before me this day and acknowledged that he44-- is President of SunTrust Bank, and that he/skc, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of the corporation for the purpose stated therein and in the capacity indicated. 14 Witne s my hand and official stamp or seal this � day of SP..��'e.nb 6 r 200 . Notary Oblic ` l` Print Name: 5D n C .,e- My Commission Expires: at) y 7 [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] huion Cou* Sk** c1 Nodh Carcbm my camnw�Mon E�IrM Nov �, 200� 13 (Page 14 of 17) BKO12834PGO2291 CONSENT OF LENDER Waterford, LLC ("Lender"), owner and holder of notes given by Hasentree Corp, (the "Borrower'), and secured by the following: Deed of Trust dated August 26, 2005 recorded in Book 11547 at Page 1824, Wake County Registry. Waterford, LLC hereby consents to the subordination of its lien herein referenced to the Wastewater Treatment Plant Easement Agreement IN WITNESS WHEREOF, the undersigned have duly executed these presents under seal as of the +j _ day ofdPC iI:OAd R , 2007. LENDER: 0M (Page 15 of 17) BKO12834PGO2292 STATE OF gCeTH 0ARoLmA COUNTY OF 0JAKE I, the undersigned, a Notary Public of the County and State aforesaid, certify that QAeL-TON UYIia�6- 6 whose identity has been proven by satisfactory evidence, said evidence being: R I have personal knowledge of the identity of the principal(s) I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); personally came before me this day and acknowledged that lbg/she is ArtA&-f of Waterford, LLC, and that [p/she, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of the corporation for the purpose stated therein and in the capacity indicated. I ess my nd and official stamp or seal this � day of a-T066R 2001. Noraroublic Print Name: a�j��.rCiVl� My Commission Expires: 6 - I6-o8 [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] ILI (Page 16 of 17) BK012834PG02293 EXHIBIT A WWTP Property Beginning at a computed point with N.C. grid coordinates of north 818,943.66 and east 2,122,035.26, Said computed point being located south 56 0 V59" west, a distance of 27.75 feet from an existing iron pipe with N.C. grid coordinates of north 818,959.16 and east 2,122,058.28. Thence from said beginning point south 36 40'43" east a distance of 292.94 feet to a computed point; thence south 54 14"00" west a distance of 242.07 feet to a computed point; thence north 34 58"05" west a distance of 68.09 feet to a computed point; thence north 44 45'53" west a distance of 51.88 feet to a computed point; thence along a curve to the left having an arc length of 115.76 feet, a radius of 90.00 feet, and a chord bearing and distance of north 81 36'48" west 107.95 feet to a computed point; thence along a curve to the right having an arc length of 261.15 feet, a radius of 550.00 feet, and a chord bearing and distance of south 75 08'25" west 261.15 feet to a computed point; thence along a curve to the left having an arc length of 145.23 feet, a radius of 200.00 feet, and a chord bearing and distance of south 67 56'21" west 142.06 feet to a computed point; thence south 47 08' 10" west a distance of 339.29 feet to a computed point; thence along a curve to the right having an arc length of 50.01 feet, a radius of 870.00 feet, and a chord and distance of north 42 48'02" west 50.00 feet to a computed point; thence north 47 08' 10" east a distance of 339.24 feet to a computed point; thence along a curve to the right having an are distance of 181.54 feet, a radius of 250.00 feet, and a chord bearing and distance of north 67 56'21" east 177.58 feet to a computed point; thence along a curve to the left having an arc length of 237.40 feet, a radius of 500.00 feet, and a chord bearing and distance of north 75 08'25" east 235.18 feet to a computed point; thence along a curve to the right having an arc length of 91.98 feet, a radius of 140.00 feet, and a chord bearing and distance of north 80 21'36" east 90.34 feet to a computed point; thence north 34 58'05" west a distance of 151.18 feet to a computed point; thence south 52 28'56" west a distance of 27.75 feet to a computed point; thence south 60 33'56" west a distance of 102.21 feet to a computed point; thence south 88 01'33" west a distance of 49.07 feet to a computed point; thence north 59 04'48" west a distance of 7.02 feet to a computed point; thence south 27 35' 14" west a distance of 51.99 feet to a computed point; thence north 62 33'24" west a distance of 60.00 feet to a computed point; thence north 27 35' 14" east a distance of 55.63 feet to a computed point; thence north 59 04'48" west a distance of 8.36 feet to a computed point; thence north 26 52'50" west a distance of 100.04 feet to a computed point; thence north 25 12,59" west a distance of 98.65 feet to a computed point; thence north 26 41'03" west a distance of 84.68 feet to a computed point; thence north 23 13'07" west a distance of 86.11 feet to a computed point; thence north 21 56'03" west a distance of 114.72 feet to a computed point; thence north 23 07'09" west a distance of 200.78 feet to a computed point; thence north 33 04'28" west a distance of 22.26 feet to a computed point; thence north 25 14'31" west a distance of 83.04 feet to a computed point; thence north 24 52' 13" west a distance of 57.56 feet to a computed point; thence north 07 49'00" west a distance of 24.18 feet to a computed point; thence north 13 08' 17" east a distance of 31.95 feet to a computed point; thence north 48 17'33" east a distance of 29.28 feet to a computed point; thence north 75 34'40" east a distance of 35.95 feet to a computed point; thence south 86 35'22" east a distance of 34.98 feet to a computed point; thence south 64 27'45" east a distance of 28.32 feet to a computed point; thence south 38 55'36" east a distance of 61.62 feet to a computed point; thence south 38 30'27" east a distance of 61.23 feet to a computed point; thence south 43 05' 17" east a distance of 86.85 feet to a computed point; thence south 43 09'01" east a distance of 151.23 feet to a computed point; thence south 43 10'29" east a distance of 37.97 feet to a computed point; thence south 31 05'53" east a distance of 200.52 feet to a computed point; thence south 29 29'37" east a distance of 111.77 feet to a computed point; thence south 28 17'24" east a distance of 146.40 feet to a computed point; thence south 81 09'30" east a distance of 190.30 feet to a computed point; said computed point being the point and place of beginning and containing 8.381 acres. TOGETHER WITH all casement rights as described in the Declaration of Covenants, Conditions, Easements and Restrictions for Hasentree recorded in Book 11938, Page 2314, Wake County Registry. U52000 9761489.5 (Page 1 of 17) 8KO13037PGO2573 Effluent Easement & Irrigation Agreement - Hasentree 05-17-08 WAKE COUNTY. NC 469 LAURA M RIDDICK REGISTER OF DEEDS PRESENTED 8 RECORDED ON 04/04/200B AT 15:21:08 BOOK:013037 PAGE:02573 — 02589 EFFLUENT EASEMENT AND IRRIGATION AGREEMENT RETURN TO: Kilpatrick Stockton LLP (CAB) 3737 Glenwood Avenue, Suite 400 Raleigh, NC 27612 This EFFLUENT EASEMENT AND IRRIGATION AGREEMENT (the "Effluent Easement Agreement") is made and entered into as of the 17'h day of May, 2007, by HASENTREE CORP., a North Carolina corporation ("Iasentree Corp."), and HEATER UTILITIES, INC., a South Carolina corporation ("Ileater"). W I T N E S S ET 114: THAT WHEREAS, Hasentree Corp. is the developer of a proposed development called Hasentree (as defined below); and WHEREAS, Hasentree Corp., Lowery Services LLC and Heater have entered into the Acquisition Agreement (as defined below) whereby Heater will acquire the Wastewater Utility System (as defined below) serving Hasentree, with Heater owning and operating the facilities as a utility company regulated by the Commission (as defined below) and DWQ (as defined below) for wastewater service; and WHEREAS, Heater is a public utility company in the business of providing wastewater service to conununities such as Hasentree. NOW, "THEREFORE, in consideration of good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Hasentree Corp. and Heater intending to be legally bound, agree as follows: Definitions. 1.1 ''Acquisition Agreement " shall mean that certain Amended and Restated Agreement for the Installation, Conveyance, and Operation of the Wastewater Utility System Serving Hasentree, dated as of May 17, 2007, executed among Hasentree Corp., Lowery Services LLC and Heater. 1.2 "Commission " shall mean the North Carolina Utilities Commission. US2000 9258540.9 (Page 2 of 17) BKO13037PGO2574 1.3 "DWQ" shall mean the Division of Water Quality of the North Carolina Department of Envirotunent and Natural Resources. 1.4 "Easement Areas" shall mean the Primary Spray Areas (as defined below) and Monitoring Locations (as defined below) identified in the Permit (as defined below) and generally depicted on the map attached as Exhibit A. 1.5 "Easement Property" shall mean the property described on Exhibit B attached hereto. 1.6 "Effluent Easement Agreement" shall mean this Effluent Easement and Irrigation Agreement, including all exhibits and schedules hereto, if any, as the same may be amended from time to time. 1.7 "Effluent Storage Pond" shall mean the 21 million gallon storage pond at Hasentree to be owned and operated by Heater pursuant to the Acquisition Agreement in which the Reuse Effluent (as defined below) will be stored after treatment at the WWTP (as defined below), and from which the Reuse Effluent will then be pumped to be sprayed onto the Spray Areas. 1.8 "GPD" shall mean gallons per day. 1.9 "Hasentree " shall mean the property being developed by Hasentree Corp., known as Hasentree located on NC Highway 98 in Wake County, North Carolina, which shall initially consist of approximately 432 residential lots, a golf course, clubhouse, family activities center, water and swim pavilion, fitness center, tennis complex, trail system and other recreation and amenity areas. 1.10 "Hasentree Corp. " shall mean Hasentree Corp., the developer of Hasentree. 1.11 "Monitoring Locations " shall mean the groundwater monitoring wells and surface water sampling points to be located from time to time on the Easement Property in compliance with the requirements of the Pen -nit. 1.12 "Permit " shall mean Permit No. WQ0021934 for the operation of the Wastewater Utility System (as defined below) and Spray Irrigation Facilities (as defined below) issued by DWQ, as the same may be modified or renewed from time to time. 1.13 "Primary Reuse Effluent Pumping Station " shall mean that certain pump house, pumps and controls to be located near the Effluent Storage Pond that shall be used to pump Reuse Effluent to and through the Primary Spray Irrigation Facilities (defined below) at Hasentree. 1.14 "Primary Spray Areas" shall mean those areas at Hasentree required for disposal of Reuse Effluent pursuant to the Permit. The Primary Spray Areas are depicted in Exhibit C attached hereto. 1.15 "Primary Spray Irrigation Facilities" shall mean all Reuse Effluent irrigation lines, the Primary Reuse Effluent Pumping Station, pumps, booster pumps, irrigation and spray devices, controls and other devices used in the application of Reuse Effluent from the Effluent Storage Pond upon the Primary Spray Areas. 1.16 "Reuse Effluent " shall mean the wastewater that has been treated by Heater to the point that it meets the effluent quality standards required by the Permit. U520DD 9258540.9 (Page 3 of 17) BKO13037PGO2575 1,17 "Reuse Effluent Pumping Struion " shall mean the Primary Reuse Effluent Pumping Station and the Secondary Reuse Effluent Pumping Station (defined below), either individually or collectively as the context requires. . 1.18 "Secondary Reuse Eff cent Pumping Station " shall mean any pump house, pumps and controls located near the Effluent Storage Pond used to pump Reuse Effluent to and through the Secondary Spray Irrigation Facilities (defined below) at Hasentree, 1.19 "Secondary Spray Areas" shall mean all areas at Hasentree that have been or may in the future be permitted by DWQ for spray irrigation of Reuse Effluent, other than the Primary Spray Areas. 1.20 `'Secondary Spray Irrigation Facilities" shall mean all Reuse Effluent irrigation lines, the Secondary Reuse Effluent Pumping Station, pumps, booster pumps, irrigation and spray devices, controls and other devices used in the application of Reuse Effluent from the Effluent Storage Pond upon the Secondary Spray Areas. 1.21 "Spray Areas" shall mean the Primary Spray Areas and the Secondary Spray Areas, collectively. 1.22 "Spray Irrigation Facilities" shall mean the Primary Spray Irrigation Facilities and the Secondary Spray Irrigation Facilities, collectively. 1.23 "Upset Storage Pond" shall mean the existing I million gallon, five-day retention pond approved by DWQ and located near the WWTP at Hasentree for the retention of wastewater during WWTP upsets. 1.24 "Wastewater Utility System" shall mean the WWTP, the collection system that delivers wastewater to the WWTP, the Upset Storage Pond, the Effluent Storage Pond, all lift stations, and other facilities used in the collection, treatment, holding and disposal of the wastewater, other than the Spray Irrigation Facilities. 1.25 "WWTP" shall mean the wastewater treatment plant located within Hasentree. 2. Treatment and Storage. Heater shall treat the wastewater created by customers and common area facilities within Hasentree in the WWTP and then discharge the Reuse Effluent into the Effluent Storage Pond. The Reuse Effluent shall be treated by Heater to the standards established by DWQ in the Pen -nit, 3. Withdrawal and Spray Irrigation. Hasentree Corp. shall be responsible for the operation, maintenance, repair and replacement of the Spray Irrigation Facilities, and for all aspects of the daily operation of the Spray Irrigation Facilities by a certified spray irrigation operator including all recordkeeping and reporting required by the Permit. Neither aesthetic considerations nor any other requirement or concern related to the landscaping or maintenance of the Spray Areas shall justify or excuse any violation of the Permit. 4. Spraying Activities. Hasentree Corp. shall cause its certified spray irrigation operator to spray the Reuse Effluent onto the Spray Areas. The spray irrigation shall be perfonned in compliance with all DWQ requirements subject to oversight by Heater as the DWQ permittee. Hasentree Corp. shall cause its certified operator to provide to Heater all of its monthly application rates including amounts withdrawn from the Effluent Storage Pond, amounts sprayed on each DWQ approved Spray Area, application rates and all other Reuse Effluent spray irrigation information required on Heater's monthly reports to DWQ. U52000 9258540.9 (Page 4 or 17) BKO13037PGO2576 Hasentree shall cause its certified spray irrigation operator to provide this information to Heater electronically by the tenth (10"') day of each month. 5. Maintainintt Effluent Storage Pond Level. Hasentree Corp. shall cause its certified spray irrigation operator to monitor the level of the Reuse Effluent in the Effluent Storage Pond and to maintain the level in the Effluent Storage Pond at or below the DWQ required freeboard level. During the spring, summer and fall months, Hasentree Corp. agrees to remove Reuse Effluent from the Effluent Storage Pond and spray it onto the Spray Areas to the extent commercially reasonable, so as to maximize storage capacity for winter months when demand for irrigation water is low. During winter months, Hasentree Corp. shall remove Reuse Effluent from the Effluent Storage Pond and spray it onto the Spray Areas as conditions permit. Notwithstanding the foregoing, nothing in this Effluent Easement Agreement shall be construed to require Hasentree Corp. or its certified spray irrigation system operator to take any action that would constitute a violation of the Permit or of any law or regulation, Minimum Required Withdrawal. 6.1 Hasentree Corp. shall cause its certified spray irrigation system operator to remove from the Effluent Storage Pond and spray onto the Spray Areas all of the available Reuse Effluent up to a maximum annual amount of 70,988,850 gallons. Should DWQ approve a flow reduction for the Wastewater Utility System, there will not be a reduction in the 70,988,850 gallons Hasentree Corp. is required to spray onto the Spray Areas on an annual basis. 6.2 If, at any time, there is an inadequate supply of Reuse Effluent to meet the irrigation ^ needs of the Spray Areas, Hasentree Corp. in its reasonable discretion shall have the right to pump surface water, groundwater or potable water into the Effluent Storage Pond, for use in irrigating the Spray Areas, provided that Hasentree Corp. has obtained Heater's prior consent, which shall not be unreasonably withheld, conditioned or delayed, and has obtained all necessary permits required for such pumping, if any. 7. Heater's Right to Assume Spraying Operations. Hasentree Corp, shall operate the Spray Irrigation Facilities in such a manner and with sufficient frequency to distribute Reuse Effluent in accordance with Section 5. If, in the reasonable opinion of Heater, Hasentree Corp. is not operating the Spray Irrigation Facilities in accordance with the terns of this Effluent Easement Agreement or DWQ requirements, then Heater shall give Hasentree Corp. written notice to improve such operation procedures and, if Hasentree Corp. fails or refuses to do so within ten (10) calendar days after receipt of said written notice, then, at Heater's option, Heater shall have the right to (a) enter the Primary Spray Areas and undertake such responsibilities to the extent necessary to operate the Primary Spray Irrigation Facilities to accomplish the purposes of this Effluent Easement Agreement and (b) disable operation of the Secondary Spray Irrigation Facilities, solely to the extent necessary to stop any violation of the Pennit in connection therewith. Heater may charge Hasentree Corp. for the reasonable and necessary costs actually incurred in connection with the operation of the Primary Spray Irrigation Facilities. Notwithstanding the foregoing, nothing herein shall relieve Hasentree Corp. from the continuing obligation of operation of the Primary Spray Irrigation Facilities. Should Heater assume the responsibility to operate the Primary Spray Irrigation Facilities, it shall have no obligation to operate the Primary Spray Areas or Primary Spray Irrigation Facilities for any purpose other than irrigation with the Reuse Effluent, Heater shall use commercially reasonable efforts to avoid damage to the Spray Irrigation Facilities and the Spray Areas in the exercise of its rights hereunder. 8. Testing and Inspections. Heater shall be responsible for conducting any and all effluent, groundwater, surface water, and soil sampling, and associated recordkeeping and reporting, required by US2000 9258540.9 (Page 5 of 17) BKO13037PGO2577 the Pen -nit. Heater shall have the right, at any time and upon reasonable notice to I-fasentree Corp., to enter the Easement Property: (a) to inspect and review the operation and maintenance of the Primary Spray Irrigation Facilities; (b) to take soil borings and conduct any other tests required by the Pen -nit; and (c) to perform groundwater and surface water monitoring within the Easement Areas as required by the Pen -nit (including the installation and maintenance of Monitoring Locations); provided, however, that (i) Heater's testing and inspection activities on the Easement Property shall not interfere with the intended use of the Easement Property, and (ii) Heater shall use commercially reasonable efforts to avoid damage to the Spray Irrigation Facilities and the Easement Property. 9. Service Interruption. In the event of service interruptions caused by a malfunction of the Wastewater Utility System, Heater shall exercise due diligence in completing the necessary repairs and restoring Reuse Effluent delivery to the Effluent Storage Pond. In the event of service interruption caused by a malfunction of the Spray Irrigation Facilities, Hasentree Corp. shall exercise due diligence in completing the necessary repairs and restoring Reuse Effluent irrigation to the Spray Areas. 10. Grant of Easement. 10.1 Hasentree Corp. hereby grants and conveys to Heater, its successors and assigns forever, a perpetual non-exclusive easement for the purpose of spraying Reuse Effluent on the Primary Spray Areas, operating the Primary Spray Irrigation Facilities and other activities related thereto, including installation and sampling of the Monitoring Locations, on the terms and subject to the conditions set forth in this Effluent Easement Agreement. This easement allows such spraying on the Primary Spray Areas and related activities within the Easement Areas, which are located within the Easement Property. The right to spray and monitor pursuant to this easement is given without payment of any fee or other charge being made therefore. Hasentree Corp. shall not further encumber the Easement Areas, or engage in any activity therein, or grant any other interest or privilege therein to any other party, ilia[ would interfere with Heater's enjoyment of its rights or fulfillment of its obligations created by this Effluent Easement Agreement. 10.2 Hasentree Corp. further hereby grants to Heater, its successors and assigns forever, a perpetual non-exclusive easement to the other portions of the Easement Property for ingress, egress, regress and access to and from the Easement Areas and over, across, upon, and through the Easement Property, as necessary for Heater to enjoy the rights and to fulfill its obligations under this Effluent Easement Agreement, including the performance of soil borings and other testing required by the Permit, without payment of any fee or other charge being made therefore. Hasentree Corp. shall not interfere with or permit any other party to interfere with Heater's right of ingress, egress, regress and access granted hereby. In the exercise of Heater's right of ingress, egress, regress and access, Heater shall, where possible, use existing roads, paths, and other ways of travel to and from the Easement Areas. Heater shall have no obligation to maintain such roads, paths, or other ways of travel, but shall exercise ordinary care in its use of the same. Where roads, paths, or other ways of travel do not exist, Hasentree Corp. shall make reasonable efforts to specify ways of travel for Heater's use so as to permit Heater to enjoy the privileges and fulfill the obligations created by this Effluent Easement Agreement without undue interference. Heater shall use its best efforts to conduct its activities in the Easement Areas so as to avoid any unreasonable and adverse interference with the nonnal use of the Easement Areas and other Easement Property. 1 l . No Payments for Reuse Effluent. There will not be any payments now or at any time in the future by Hasentree Corp. to Heater for the Reuse Effluent that will be sprayed on the Spray Areas. There will not be any payments by Heater to Hasentree Corp. now or in the future for any aspect whatsoever of the US2000 9258$40.9 (Page 6 of 17) 8KO13037PGO2578 operation, maintenance, and repair of the Spray Irrigation Facilities or for providing Heater the information required for the DWQ reports. 12. Reuse Effluent Quality. HEATER SHALL NOT BE RESPONSIBLE FOR ACHIEVING WATER QUALITY LEVELS IN THE REUSE EFFLUENT BEYOND THE REQUIREMENTS OF THE PERMIT. 13. Permit Violations. Heater shall be responsible for addressing and resolving any enforcement action taken by DWQ against Heater in response to any violation of the Permit. Notwithstanding the foregoing, to the extent that any act or omission by Hasentree Corp, causes a violation of the Permit, Hasentree Corp. shall be liable to Heater for the costs of remedying the violation and for any civil penalties assessed against Heater as a result thereof. 14. General Provisions. 14.1 Binding upon Successors and Assigns. This Effluent Easement Agreement shall be binding upon and shall inure to the benefit of Hasentree Corp. and Heater, and the successors and permitted assigns of each. Hasentree Corp. may assign its rights and delegate its duties under this Effluent Easement Agreement in whole or in part to a property owners association fonned with respect to Hasentree, to a developer purchasing all or any portion of Hasentree or to an affiliate of Hasentree Corp. Heater may assign its rights and delegate its duties under this Effluent Easement Agreement in whole or in part to a purchaser of the WWTP, a certified operator of the WWTP or to an affiliate of Heater. 14.2 No Third Party Beneficiary Rights. Nothing expressed or referred to in this Effluent Easement Agreement will be construed to give any person other than the parties to this Effluent Easement Agreement any legal or equitable right, remedy or claim under or with respect to this Effluent Easement Agreement or any provision of this Effluent Easement Agreement, except such rights as shall inure to a successor or permitted assignee pursuant to Section 14.1 above. 14.3 Independent Contractor. The parties hereto are and shall be independent contractors to one another, and nothing herein shall be deemed to cause this Effluent Easement Agreement to create an agency, partnership, or joint venture between the parties hereto. 14.4 Counterparts. This Effluent Easement Agreement may be executed in one or more counterpart signature pages (including facsimile counterpart signature pages), each of which will be deemed to be an original of this Effluent Easement Agreement and all of which, when taken together, will be deemed to constitute one and the same instrument. 14.5 Headings. The headings of particular provisions of this Effluent Easement Agreement are inserted for convenience only and shall not be construed as a part of this Effluent Easement Agreement or serve as a limitation or expansion on the scope of any term or provision of this Effluent Easement Agreement. 14.6 Enforcement of Agreement. Each party acknowledges and agrees that the other party would be irreparably damaged if any of the provisions of this Effluent Easement Agreement are not performed in accordance with their specific terns and that any breach of this Effluent Easement Agreement by a party could not be adequately compensated in all cases by monetary damages alone. Accordingly, in addition to any other right or remedy to which a party may be entitled, at law or in equity, it shall be entitled to enforce any provision of this Effluent Easement Agreement by a decree of specific '—' performance and to temporary, preliminary and permanent injunctive relief to prevent any breach or U52000 9258540.9 (Page 7 of 17) BKO13037PGO2579 threatened breach of any of the provisions of this Effluent Easement Agreement, without posting any bond or other undertaking. 14.7 Notices. All notices and other communications required or permitted hereunder shall be in writing and shall be sent either (1) personally by hand delivery, (ii) by United States first-class mail, postage prepaid, (iii) by hand or nationally recognized overnight courier, or (iv) by facsimile, in each case addressed to the address or facsimile number indicated on the signature pages to this Effluent Easement Agreement (or at such other address or facsimile number as such party or permitted assignee shall have furnished to the other parties hereto in writing). All such notices and other written com nunications shall be effective on the date of delivery, mailing, or facsimile transmission. 14.8 Waiver. No waivers of, or exceptions to, any term, condition or provision of this Effluent Easement Agreement, in any one or more instances, shall be deemed to be, or construed as, a further or continuing waiver of any such tern, condition or provision. 14.9 Entire Agreement. This writing and the documents referred to herein embody the entire agreement and understanding between the parties hereto and there are no other agreements or understandings, oral or written, with reference to the subject matter hereof that are not merged herein and superseded hereby. 14.10 Modifications in Writiniz. This Effluent Easement Agreement shall not be modified, amended, or changed in any respect except in writing, duly signed by the parties hereto, and each party hereby waives any right to amend this Effluent Easement Agreement in any other way. Ally such modifications shall be subject to DWQ's approval. 14.11 Consent to Jurisdiction. The parties hereto agree that the state and federal courts of North Carolina shall have exclusive jurisdiction over this Effluent Easement Agreement and any controversies arising out of, relating to, or referring to this Effluent Easement Agreement, the formation of this Effluent Easement Agreement, and actions undertaken by the parties hereto as a result of this Effluent Easement Agreement, whether such controversies sound in tort law, contract law or otherwise. Each of the parties hereto expressly and irrevocably consents to the personal jurisdiction of such state and federal courts, agrees to accept service of process by mail, and expressly waives any jurisdictional or venue defenses otherwise available. 14.12 Governing, Law. This Effluent Easement Agreement shall be governed by the internal substantive laws of the State of North Carolina, without regard to such state's conflict of law or choice of law rules. 14.13 Recordation; Duration. Upon closing of the transactions contemplated by the Acquisition Agreement, Heater shall record this Effluent Easement Agreement in the Register of Deeds of Wake County, North Carolina at Heater's expense. The provisions of this Effluent Easement Agreement will run with and bind title to the Easement Property, will be binding upon and inure to the benefit of all owners of any portion of the Easement Property, and will be and remain in effect until such time as a document terminating this Effluent Easement Agreement is signed by all of the owners of the Easement Property and recorded in the public land records of Wake County. 14.14 Required Amendments. In the event that the Permit is modified, amended or expanded at any time to permit additional or different land to be used for spray irrigation of Reuse Effluent, the parties hereto shall execute and record an amendment to this Effluent Easement Agreement reflecting any such change in the Easement Areas defined hereunder. US20M 925WO.9 (Page 8 of 17) BKO13037PGO2580 [Signature Page to Effluent Easement and Irrigation Agreement] IN WITNESS WHEREOF, the parties have caused this Effluent Easement to be duly executed in their respective corporate names, all by authority duly given, the day and year first above written. us2wo 925850.9 HASENTREE CORP. By: Carlton Midyette, Vice President Address: 8310 Bandford Way, Suite 101 Raleigh, North Carolina 27615 Fax: (919)571-1521 HEATER UTILITIES, INC. By: NeifPVrips, Ptte�}de f Address: 202 MacKenan C urt Cary, NC 27511 Fax: (919)460-1788 (Page 9 of 17) BK013037PG02581 STATE OF COUNTY OF I, the un�der7n d, Notary Public of the County and State aforesaid, certify that whose identity has been proven by satisfactory evidence, said evidence being: I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal's); personally came before me this day and acknowledged that he/she is President of HEATER UTILITIES, INC., a South Carolina corporation, and that he/she, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of die corporation for the purpose stated therein and in the capacity indicated. Witness my hand and official stamp or seal this -4,\_ day of 200,11. `Z`C10.1� Notary Public Print Name:D`o�` p1 O My Commission Expires: \ [AFFIX NOTARY SEAL BETE THAT SEAL MUST BE FULLY LEGIBLE] US2000 9253W 9 I OTAW PU" (Page 10 of 17) BK013037POO2582 [Signature Page to Effluent Easement and Irrigation Agreement] iN WITNESS WHEREOF, the parties have caused this Effluent Easement to be duly executed in their respective corporate names, all by authority duly given, the day and year first above written. HASENTREE CORP. arlton Midyett , icc P sident Address: 8310 Bandford Way, S tte 101 Raleigh, North Carolina 27615 Fax: (919)571-1521 HEATER UTILITIES, INC. By: Neil Phillips, President Address: 202 MacKenan Court Cary, NC 27511 Fax: (919)460-1788 US2000 929540.9 (Page 11 of 17) BKO13037PGO2683 STATE OF il4l' a COUNTY OF Ltd 1, t undersigned a Notary Public of the County and State aforesaid, certify that whose identity has been proven by satisfactory evidence, said evidence b ing: 5Q 1 have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ cr ible witness has sworn to the identity of the principal(s); who is the Aen of HASENTREE CORP., a N rth olina corporation, personally appeared before me this ay� d acknowledged that (s)he is of HASENTREE CORP. and that as p .;ee_Q&1ejt _ being duly authorized to do so, voluntarily executed the foregoing instrument on behalf of said company for the purposes stated therein. Witness my h and official stamp or seal this % `day of200_1. Notary Pu lic � Print Name: My Commission Ex i s: [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] tiWendy Waring Publicti ti Wake _ S North s r�s r US2000 9258540.9 (Page 12 of 17) BKO13017PGO2584 US2000 9259W.9 EXHIBIT A Easement Areas (See Attached) �i 1009 509 0 SCALE: I' PRELIMI FOR REVIE% NOT RELE FOR CONSTF 2.5 S1EEL COVER -, r iS RISER ! O Z PVC a W SCREENED r we TYPICAL MONITORII Exhibit A asement Areas May 15, 2007 LEGEND IW tt _O • GROUND WATER MONITORING LOCATION (DWO PERMIT) 0 4 a-1sN �!00!a4 Issas IMARY SPRAY EAS (TYP) NOTE: THE EASEMENT AREAS COMPRISE THE PRIMARY SPRAY AREAS AND GROUND WATER MONITORING LOCATIONS. I nIs map Is not a certmeo survey and has not been reviewed by a local government agency for compliance with any applicable land development regulations. (Page 14 of 17) BKO13037PGO2586 EXHIBIT B Easement Property Special Use Areas: The property designated as the "Special Use Areas" as the same is more particularly described and depicted on the survey plat entitled "Plat Delineating Special Use Areas, Hasentree Golf Community" recorded at MB 2006, Page 2248 in the Wake County Register of Deeds. Additional Well Lot BEGINNING at a point having NC GRID Coordinates of N=817,068.26 and E=2, 120, 712.20, runs thence South 61°34'39" West 100.00 feet to a point that is the well head, runs thence in a circle having a radius of 100 feet to the point of BEGINNING, and being Well Lot 19 shown on that survey entitled "Well Head Survey for Creedmoor Partners, LLC" dated March 7, 2007 by Chance Surveying Company, Inc. Access to Well Lot: BEGINNING at a point having NC GRID Coordinates of N=817, 130.33 and E=2, 120,819.54, runs thence along a curve to the left with a chord bearing and distance of South 69°32'52" East 25.87 feet, a radius of 50.00 feet and an arc length of 26.16 feet to an existing iron pipe; runs thence South 59°48'36" West 130.29 feet to an existing iron pipe; runs thence along a curve to the left with a chord bearing and distance of North 22°39' 14" West 20.10 feet, a radius of 100.00 feet and an are length of 20.14 feet; runs thence North 61 °34'39" East 10.43 feet to an existing iron pipe; runs thence North 5904836" East 113,57 feet to an existing iron pipe, and being the point and place of BEGINNING, and being all of that area designated as "20' Access and Utility Easement" as shown on that survey entitled "Well Head Survey for Creedmoor Partners, LLC" dated March 7, 2007 by Chance Surveying Company, Inc. US2000 9258540.9 (Page 15 of 17) BKO13037PGO2587 US2000 92Sas44).9 EXHIBIT C Primary Spray Areas (See Attached) L4i 00a 50a 0 SCALE. I PRELIMII FOR REVIEV{ NOT RELE FOR CONSTR' Exhibit C ,RY SPRAY AREAS May 15, 2007 A NOTES: ,4,Q .. 0 �q 111,11011 , IMARY SPRAY ,EAS (TYP) I h,s map +s not a ceronea survey and has not been reviewedcmp lance local by a govemment agency fo with any applicable land development regulations. Effluent Easement & Irrigation Amendment 1 - Hasentree 12-30-08 AMENDMENT NO. 1 TO EFFLUENT EASEMENT AND IRRIGATION AGREEMENT Return To: Cross reference to original filing: Peggy -Sue Dodge Book 12037, Page 2573 Aqua North Carolina, Inc. 202 MacKenan Court Cary, North Carolina 27511 This AMENDMENT NO. 1 TO EFFLUENT EASEMENT AND IRRIGATION AGREEMENT (the "Amendment") dated this -36-1-1 day of December, 2008, is made by and between HEATER UTILITIES, INC., a South Carolina corporation, ("Heater"), HASENTREE CORP., a North Carolina corporation ("Hasentree"), and LOWERY SERVICES LLC, a North Carolina limited liability company ("Lowery") (collectively the "Parties"). RECITALS: WHEREAS, the Parties have previously entered into that certain Effluent Easement and Irrigation Agreement, dated as of May 17, 2007, recorded on April 4, 2008 in Book 13037, Page 2573, Wake County Registry, North Carolina (the "Effluent Easement"); WHEREAS, concurrently with this First Amendment, the Parties are amending the Restated Agreement so that Hasentree will serve as permittee for the Secondary Spray Areas in accordance with a Conjunctive Use Permit (defined below) thereby shifting all liability for the construction and operation of such Secondary Spray Areas from Heater to Hasentree who will benefit from the use of Reuse Effluent to meet its irrigation needs; and NOW, THEREFORE, in consideration of the rights, powers and duties hereinafter set forth to be performed by each, the parties, intending to be legally bound, hereby agree as follows: 1. Amendments. US2000 1008220T3 (a) The Effluent Easement is hereby amended by adding the following definition: 1.26 "Conjunctive Use Permit" shall mean a permit for the operation of the Secondary Spray Irrigation Facilities issued by DWQ. (b) The Effluent Easement is hereby amended by deleting Section 3. and inserting the following Section 3.: 3. Withdrawal and Spray Irrigation (Primary pra Areas). Hasentree Corp. shall be responsible for the operation, maintenance, repair and replacement of the Primary Spray Irrigation Facilities. Hasentree Corp. shall cause its certified spray irrigation operator to spray the Reuse Effluent onto the Primary Spray Areas. The spray irrigation shall be performed in compliance with the Non -Discharge Permit and all DWQ requirements subject to oversight by Heater as the DWQ permittee. Neither aesthetic considerations nor any other requirement or concern related to the landscaping or maintenance of the Primary Spray Areas shall justify or excuse any violation of the Permit. Hasentree Corp. shall cause its certified operator to provide to Heater all of its monthly application rates including amounts withdrawn from the Effluent Storage Pond, amounts sprayed on each Primary Spray Area, application rates and all other Reuse Effluent spray irrigation information required on Heater's monthly reports to DWQ. Hasentree shall cause its certified spray irrigation operator to provide this information to Heater electronically by the tenth (1 Oth) day of each month. (c) The Effluent Easement is hereby amended by deleting Section 4. and inserting the following Section 4.: 4. Withdrawal and SpraIrrigation (Secondary pray Areas). Heater shall provide Reuse Effluent from the WWTP to Hasentree Corp. for irrigation of the Secondary Spray Areas to the extent such Reuse Effluent is available from the WWTP under normal operating conditions. Heater shall not be obligated to generate or provide Reuse Effluent if it is not available from the WWTP. Hasentree Corp. shall ensure that the Primary Spray Areas are irrigated to maintain the vegetative cover pursuant to the Permit before making Reuse Effluent available to the Secondary Spray Areas. Hasentree Corp. shall be responsible for the operation, maintenance, repair and replacement of the Secondary Spray Irrigation Facilities. Hasentree Corp. may spray Reuse Effluent onto the Secondary Spray Areas in compliance the Conjunctive Use Permit and all DWQ requirements. (d) The Effluent Easement is hereby amended by deleting Section 6.1 and inserting the following Section 6.1.: 6.1. Hasentree Corp. shall cause its certified spray irrigation system operator to remove from the Effluent Storage Pond and spray onto the Primary Spray Areas all of the available Reuse Effluent up to a maximum annual amount of 70,988,850 gallons. Should DWQ approve a flow reduction for the Wastewater Utility System, there will not be a reduction in the maximum amount of 70,988,850 gallons that Hasentree Corp. is required to spray onto the Spray Areas on an annual basis. Any Reuse Effluent that Hasentree Corp. sprays on the Secondary Spray Areas shall be applied toward the 70,988,850 gallons of Reuse Effluent that Hasentree Corp. is required to remove under this Section 6.1. 2 US2000 100822073 (e) The Effluent Easement is hereby amended by inserting the following language to the end of Section 13.: Hasentree Corp. shall be responsible for addressing and resolving any enforcement action taken by DWQ against Hasentree Corp. in response to any violation of the Conjunctive Use Permit. Hasentree Corp. shall indemnify and hold Heater harmless against any violations, fines or other enforcement actions by DWQ associated with the Conjunctive Use Permit. Notwithstanding the foregoing, to the extent that any act or omission by Heater causes a violation of the Conjunctive Use Permit, Heater shall be liable to Hasentree Corp. for the costs of remedying the violation and for any civil penalties assessed against Hasentree Corp. as a result thereof. 2. General. (a) All capitalized terms not defined herein shall have the same meaning as set forth in the Effluent Easement. Any conflict between the terms of this First Amendment and the Effluent Easement will be resolved in favor of this First Amendment. (b) Except as amended hereby, all the terms and provisions of the Effluent Easement shall remain in full force and effect. Any references in the Effluent Easement to the Effluent Easement shall hereinafter be deemed to refer to the Effluent Easement as amended by this First Amendment. — (c) This First Amendment may be executed in any number of counterparts, each of which, when executed, shall be deemed an original and all of which shall be deemed one and the same instrument. Facsimile transmission signatures of this First Amendment shall be deemed to be original signatures. [signatures appear on following pages] US2000 10082207.3 [signature page to Second Amendment] IN WITNESS WHEREOF, the parties have executed this Second Amendment as of the day and year first above written. HASENTREE CORP. By: ;� Name: Carlton dye Title: Vice President LOWERY SERVICES LLC By: ame: Carlton �idyette Title: Mana er HEATER UTILITIES, INC. By: Name: Thomas J. Roberts Title: President 4 US2000 10092207.3 [signature page to Second Amendment] IN WITNESS WHEREOF, the parties have executed this Second Amendment as of the day and year first above written. HASENTREE CORP. Name: Carlton Midyette Title: Vice President LOWERY SERVICES LLC By: Name: Carlton Midyette Title: Manager HEA G Y� Name: Thom J. Roberts Title: Pre 'dent 4 US2000 10082207.3 STATE OF NORTH CAROLINA COUNTY OF 1 �) O K C I, the undersigned, a Notary Public of the County and State aforesaid, certify that 0 n 2 l- `t-C' M (�') l � �( C- T 7"L whose identity has been proven by satisfactory evidence, said evidence being: I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); who is the �110E a_(.-:5( �Cy� of HASENTREE CORP., a North Carolina corporation, personally appeared before me this day -and acknowledged that (Ohe is HASENTREE CORP. and that as being duly authorized to do so, voluntarily executed the foregoing instrument on behalf of said company for the purposes stated therein. W' ess my l�agd and official stamp or seal this day of . J 610 TI � 200�. Notary ublic Print me:l'Ypr2-y My Commission Expires [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] �O Is Ry°nc /o�nAolodofoomao ��®�d�.'188dgd0d�bba US2000 10092207.3 5 STATE OF NORTH CAROLINA COUNTY OF WAKE I, the undersigned, a Notary Public of the County and State aforesaid, certify that THOMAS J. ROBERTS, PRESIDENT of HEATER UTILITIES, INC., whose identity has been proven by satisfactory evidence, said evidence being: ® I have personal knowledge of the identity of the principal(s) ❑ I have seen satisfactory evidence of the principal's identity, by a current state or federal identification with the principal's photograph in the form of a ❑ A credible witness has sworn to the identity of the principal(s); personally came before me this day and acknowledged that he is PRESIDENT of HEATER UTILITIES, INC. and that he, in such capacity and being authorized to do so, voluntarily executed the foregoing on behalf of the corporation for the purpose stated therein and in the capacity indicated. Witness my hand and official stamp or seal this day of December, 2008. Notary Public Signature n Print Namer k `i My Commission Expires: - - .Jt- 2 ( [AFFIX NOTARY SEAL BELOW -NOTE THAT SEAL MUST BE FULLY LEGIBLE] e) NORTH 1000' 500' 0 1000' 2000 SCALE: I " = 1000' PRELIMINARY FOR REVIEW ONLY NOT RELEASED FOR CONSTRUCTION NC 98 i Exhibit B Easement Property May 10, 2007 NnTFS- 1) THE WASTEWATER TREATMENT FACILITY AND POND ARE NOT WITHIN 50' OF ANY PROPERTY LINES (PER T15A:02H.0200). 2) EFFLUENT SPRAY IRRIGATION IS LIMITED TO OPEN SPACE AREAS ONLY. Note: The WWTP Property includes the Upset Pond, Wastewater Treatment Facility, Irrigation Pond, and Irrigation Pump Station.