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HomeMy WebLinkAbout20220451 Ver 1_Notice of Final Prospectus Review_20221020Laserfiche Upload: Email & Attachment DWR#: 20220451 v.1 Doc Date: 10/20/22 Doc Type: Mitigation – Mitigation Information Doc Name: General topic of email title From: Isenhour, Kimberly T CIV USARMY CESAW (USA) <Kimberly.D.Browning@usace.army.mil> Sent: Thursday, October 20, 2022 5:07 PM To: Tugwell, Todd J CIV USARMY CESAW (US) <Todd.J.Tugwell@usace.army.mil>; Davis, Erin B <erin.davis@ncdenr.gov>; Haywood, Casey M CIV USARMY CEMVP (USA) <Casey.M.Haywood@usace.army.mil>; Wilson, Travis W. <travis.wilson@ncwildlife.org>; Munzer, Olivia <olivia.munzer@ncwildlife.org>; kathryn_matthews@fws.gov; Gledhill-earley, Renee <renee.gledhill-earley@ncdcr.gov>; Bowers, Todd <bowers.todd@epa.gov>; Merritt, Katie <katie.merritt@ncdenr.gov> Cc: Benton Carroll <bcarroll@res.us>; Jamey McEachran <jmceachran@res.us>; Crumbley, Tyler A CIV USARMY CESAW (USA) <Tyler.A.Crumbley2@usace.army.mil> Subject: [External] Notice of Final Prospectus Review/ RES Catawba ESA UMB - Beaver Tail Mitigation Site/ SAW-2022-00657/ Lincoln County CAUTION: External email. Do not click links or open attachments unless you verify. Send all suspicious email as an attachment to Report Spam. <mailto:report.spam@nc.gov> Good evening IRT, On October 12, 2022, RES provided our office with a Final Prospectus for the establishment of the RES Catawba ESA Umbrella Mitigation Bank, and associated Beaver Tail Mitigation Project. The Site proposes approximately 4,276 linear feet of stream restoration and 1.699-acres of wetlands in a 34.41-ac conservation easement. As a reminder, the IRT visited the site March 23, 2022. The Final Prospectus has been uploaded to RIBITS (link below). Per section 332.8(d)(4), we are initiating the IRT 30-day review of the Final Prospectus with this email. The site will be posted on public notice soon. Bank Information: Umbrella Bank Name: RES Catawba ESA UMB—Beaver Tail Mitigation Site Sponsor: Environmental Banc & Exchange, LLC (Contact: Benton Carroll) bcarroll@res.us <mailto:bcarroll@res.us> Location: 35.502544, -81.320775, Lincoln County, Catawba 02 & 03 USACE Action ID: SAW-2022-00657 USACE Bank PM: Kim Isenhour Kimberly.d.browning@usace.army.mil <mailto:Kimberly.d.browning@usace.army.mil> IRT Comment Start Date: October 24, 2022 IRT Comment Deadline: November 23, 2022 Initial Evaluation Deadline: December 23, 2022 RIBITS Link to RES Catawba ESA UMB – Beaver Tail Mitigation Site cyber repository: https://ribits.ops.usace.army.mil/ords/f?p=107:278:11434157956898:::RP,278:P278_BANK_ID:6316 <https://urldefense.com/v3/__https:/ribits.ops.usace.army.mil/ords/f?p=107:278:11434157956898:::RP,278:P27 8_BANK_ID:6316__;!!HYmSToo!bJdMf9ZWBB0ZTNRPJ5Q4nDH4UBW4AKmsQOxZXL8XXsQoSv-JJLozgqZ37w34KZ0cnSQds3NKnmsJrNEEidTGE6MILGf3ABi80hrb$> You must be logged in to access documents in the cyber repository. Regards, Kim Kim Isenhour Mitigation Project Manager, Regulatory Division I U.S. Army Corps of Engineers l 919.946.5107 USACE Bank PM: Kim Isenhour Kimberly.d.browning@usace.army.mil IRT Comment Start Date: October 24, 2022 IRT Comment Deadline: November 23, 2022 Initial Evaluation Deadline: December 23, 2022 RIBITS Link to RES Catawba ESA UMB — Beaver Tail Mitigation Site cyber repository: https://ribits.ops.usace.army.mil/ords/f?p=107:278:11434157956898:::RP,278:P278 BANK ID:6316 You must be logged in to access documents in the cyber repository. Regards, Kim Kim Isenhour Mitigation Project Manager, Regulatory Division I U.S. Army Corps of Engineers I 919.946.5107 fires MEMORANDUM 360o Glenwood Avenue, Suite io0 Raleigh, NC 27612 Corporate Headquarters 6575 West Loop South, Suite 300 Bellaire, TX7'7401 Main: 713.520.5400 TO: NCIRT FROM: Patrick Korn — RES DATE: April 18, 2022 RE: SAW-2022-00657 — Beaver Tail UMBI Catawba ESA, Lincoln County, Prospectus Site Visit Attendees Kim Browning - USACE George Lankford — George K Lankford, LLC Patrick Korn — RES Casey Haywood — USACE Grayson Sanner — RES Brad Breslow — RES Erin Davis — NCDWR Ben Carroll — RES Date & Time 1000 April 6, 2022 General Summary Site visit was scheduled to discuss draft prospectus submitted March 1, 2022. RES provided an overview of the site, land use, and project constraints. RES will include a proposed stream alignment in addition to the current alignment in the final prospectus. RES will include on -site roads, ditches, and flow paths to the existing conditions figure. IRT was concerned with surrounding land use, specifically what will be happening in the future immediately adjacent to the easement, and what is done with the livestock waste from the adjacent farming facilities. RES will address this concern in the MBI. IRT noted that encroachment has become a larger issue across sites as of late and suggested utilizing horse tape or planting larger trees along the easement boundary to assist in easement identification. RES will take this into account and mark the easement boundary so that it is sufficiently visible. IRT mentioned that the Ashville USFWS Field Office does not typically respond to public notices. RES will send a separate scoping letter to the Asheville Field Office to address potential endangered species habitat on site, specifically the bog turtle, sea color shiner, and Schweinitz's sunflower. IRT suggested that the easement immediately south of Lutz Dairy Farm Rd. be expanded to the east to the top of the incline west of the cattle pens. RES will explore gaining additional easement in this area and will include it in the MBI if it is feasible. If it is not possible, RES will explore implementing a BMP to protect against run-off from adjacent livestock pens. IRT suggested bringing the crossing into the easement so that it will be protected. RES will consider this and address it in the MBI. IRT was concerned that the privet abutting the outside of the easement creating a hard to manage privet source in the future. RES will work with adjacent landowners to explore treating the privet abutting the easement. IRT expressed concern that the soils left after grade adjustment will be lacking necessary nutrients for healthy riparian buffer growth. RES will utilize appropriate soil amendments informed by a soils test when grade is reached. IRT suggested establishing hydrology performance standards for the creation wetlands. RES will reference George K Lankford, LLC's recommendations in the final soil report, that will be completed for inclusion in the MBI, and suggest appropriate performance standards. res.us IRT suggested establishing a soil performance standard to document trending towards hydric soils. RES will reference George K Lankford, LLC's recommendations in the final soil report, that will be completed for inclusion in the MBI, and suggest appropriate performance standards. - Wetland WB will be modified to creation from re-establishment, pending George K Lankford, LLC's fmal soil report. - Gauges to monitor ground water will be installed in all wetland creation and enhancement areas. - A vegetation inventory of WC will be conducted to provide justification for ecological uplift via planting. The ditch south of wetland WC will be evaluated for jurisdiction with the USACE. The forest road east of wetland WB and north of wetland WD will be tilled and planted. Use of a pollinator seed mix will be considered throughout the site to promote monarch butterfly habitat. IRT did not suggest any reach treatment changes. Next Steps - RES will engage George K Lankford, LLC to complete a hydric soils report to inform wetland treatments. - RES will make changes to Prospectus and send to USACE for distribution to IRT. - USACE will begin Public Notice Process 2 o RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus Catawba River Basin HUC 03050102 Prepared by: Resource Environmental Solutions, LLC res Bank Sponsor: Environmental Banc & Exchange, LLC (EBX) 3600 Glenwood Ave., Suite 100 Raleigh, NC 27612 919-209-1062 October 2022 Table of Contents 1 INTRODUCTION 1 1.1 Project Description 1 1.2 Project Location 1 1.3 Service Area 1 1.4 Identified Watershed Needs 1 1.5 Purpose and Objectives 2 1.6 Technical Feasibility 3 1.7 Project Site Ownership 3 2 QUALIFICATIONS 4 2.1 Bank Sponsor 4 2.2 Bank Sponsor Qualifications 4 3 EXISTING CONDITIONS 5 3.1 Existing Jurisdictional Waters of US 5 3.2 Existing Reach Conditions 5 3.3 Existing Wetland Conditions 6 3.4 Physiography, Geology, and Soils 6 3.5 Endangered/Threatened Species 7 3.6 Vegetation 8 3.7 Cultural Resources 8 3.8 Constraints 8 4 PROPOSED BANK CONDITIONS 9 4.1 Conceptual Mitigation Plan 9 4.2 Stream Restoration 9 4.3 Wetland Creation, Enhancement, and Preservation 10 5 MONITORING 11 5.1 As -Built Survey 11 5.2 Visual Monitoring 11 5.3 Cross Sections 11 5.4 Vegetation Monitoring and Success Criteria 12 5.5 Wetland Hydrology Success Criteria 12 5.6 Adaptive Management 12 6 BANK ESTABLISHMENT AND OPERATION 13 6.1 Establishment and Operation of the Bank 13 6.2 Proposed Credit Release Schedule 13 6.2.1 Initial Allocation of Released Credits 13 6.2.2 Subsequent Credit Releases 13 6.3 Financial Assurances 15 6.4 Proposed Ownership and Long -Term Management 15 6.5 Assurance of Water Rights 15 7 REFERENCES 16 RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 List of Figures Figure 1— Catawba Expanded Service Area Figure 2 - Project Vicinity Figure 3 - Parcel Access Figure 4 - USGS Quadrangle Figure 5 — Existing Land use Figure 6 - Historical Photography Figure 7 - Project Constraints Figure 8 - LiDAR Imagery Figure 9 - Existing Conditions Figure 10 - Mapped Soils Figure 11 - Conceptual Design Appendices Appendix A - DWR Stream Determination Appendix B - NC SAM and NC WAM Forms Appendix C - Landowner Authorization Forms Appendix D - Photo Log Appendix E — Soil Report RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 ii 1 INTRODUCTION Environmental Banc & Exchange, LLC (EBX), a wholly owned subsidiary of Resource Environmental Solutions (RES), is pleased to propose the establishment of the RES Catawba Expanded Service Area (ESA) Umbrella Mitigation Bank (Bank). The proposed umbrella structure of the Bank is designed to initially permit one mitigation site and establish the umbrella banking instrument for future mitigation sites. The first site is the Beaver Tail Stream and Wetland Mitigation Project (Project). The Project has been identified as having potential to help meet the compensatory mitigation requirements for stream and wetland impacts in the hydrologic unity 03050102 of the Catawba River Basin. 1.1 Project Description The Project is located in Lincoln County, approximately six miles northwest of Lincolnton, North Carolina within the South Fork Catawba River Watershed (HUC-030501020400) (Figure 2). The Project consists of one parcel totaling 34.41 acres of conservation easement (Figure 3). The Project has a total drainage area of 384 acres (Figure 4) and is located within a rural area. Land use within the project area is currently comprised primarily of agricultural and forested land uses (Figure 5). Historic land disturbance principally includes conventional agricultural practices (Figure 6). The Project will involve the restoration of one unnamed tributary to Howards Creek (Reach LD1), creation, enhancement, and preservation of wetlands. This tributary flows from the north to southeast, and eventually drain into Howards Creek, near the bottom of the project. Howard's Creek drains into the South Fork Catawba River. 1.2 Project Location To access the Project from the town of Lincolnton, travel southwest on E Pine St, turn right on N Grove St before driving northwest approximately 4 miles on Reepsville Road. Next turn left onto Owls Den Road, then turn right onto Lutz Dairy Farm Rd which leads into the property. The latitude and longitude of the Project is 35.502576, -81.320277. 1.3 Service Area This Project is proposed to provide stream and wetland mitigation credits to offset unavoidable impacts to stream resources within the South Fork Catawba watershed (8-digit HUC-03050102) and potentially the Catawba Expanded Service Area (Figure 1). This Project will be included in the Catawba Expanded Service Area, if approved, which includes sections of Cataloging Units 03050101, 03050102, and 03050103. This Project is primarily characterized by agriculture use, forest, and very low -intensity residential areas. 1.4 Identified Watershed Needs The North Carolina Division of Mitigation Services (DMS) develops River Basin Restoration Priorities (RBRP) to guide its restoration activities within each of the state's 54 cataloging units. Agricultural impacts are prevalent throughout this watershed, including nonpoint source runoff and hydrologic modification. Priorities in this watershed that this Project will help address include: 1) to promote projects that re-establish riparian buffer and corridors, and 2) projects that address agricultural runoff, as well as stream restoration projects that re-establish natural pattern, hydrology, and habitat. This Bank supports the Lower Catawba RBRP goals and presents an opportunity to provide improvements to water quality, hydrologic function, and habitat within the watershed. The project will address stressors identified in the watershed through nutrient removal, sediment removal, runoff filtration, and improved aquatic and terrestrial habitat. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 1 The Project is located within an identified TLW and the Indian Creek and Howard's Creek Local Watershed Plan (LWP) from 2007. The goal of this project is to provide functional uplift for habitat, sediment transport and runoff filtration within the Howard's Creek watershed. The Project will support the goals of the Lower Catawba RBRP, the Catawba 02 watershed specifically, and the Indian Creek and Howard's Creek LWP. Functional uplift to hydrology, riparian buffers, water quality, and habitat will be achieved through mitigation activities designed to address stressors onsite such as lack of sufficient vegetated buffer, cattle erosion, and long-standing hydrologic manipulation from historic stream relocation. 1.5 Purpose and Objectives The purpose of the proposed Project is to generate compensatory mitigation credits for inclusion in the RES Catawba ESA Umbrella Mitigation Bank in the Catawba River Basin. The project goals address stressors identified in the watershed, and include the following: ■ Improve water transport from watershed to the channel in a non -erosive manner; ■ Improve water quality within the restored channel reaches and downstream watercourses by reducing sediment and nutrient loads; ■ Improve flood flow attenuation on site and downstream by allowing for overbanks flows and connection to the active floodplain; ■ Create and improve instream habitat; ■ Restore and enhance native riparian and wetland plant communities; and ■ Improve ecological processes by reducing water temperature, improving terrestrial and aquatic habitat, and restoring a native plant community. The project goals will be addressed through the following project objectives: ■ Design a geomorphically stable stream -wetland system characterized by a single channel through a restored valley; • Permanently exclude livestock from stream channels and their associated buffers; • Add in -stream structures and bank stabilization measures to protect restored and enhanced streams; • Install habitat features such as brush toes, constructed riffles, woody materials, and pools of varying depths to restored streams; • Reduce bank height ratios and increase entrenchment ratios to reference reach conditions; ■ Increase forested riparian buffers on both sides of the channel along the project reaches with a hardwood riparian plant community; • Restore wetlands by reconnecting the channel with the floodplain and removing aggraded sediment; • Treat exotic invasive species; and • Establish a permanent conservation easement on the Project. The proposed Project is designed to help meet these goals. The project will address stressors identified in the watershed through nutrient removal, sediment removal, runoff filtration, and improved aquatic and terrestrial habitat. These project goals will be achieved through stream restoration, wetland creation, enhancement, preservation, and buffer reestablishment. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 2 1.6 Technical Feasibility The technical feasibility of the Bank is assured due to RES' extensive experience with stream restoration and wetland creation, enhancement, and preservation in North Carolina and throughout the Southeast. Examples of RES's success include the projects listed in Table 1. Table 1. Summary of RES Projects across the State of North Carolina Basin Project County SMUs WMUs Status Broad 3 Projects Various Counties Projects in various stages of 18,510 13.11 development, construction, monitoring, and completion Cape Fear Projects in various stages of 15 Projects Various Counties 89,177 82.8 development, construction, monitoring, and completion Catawba Projects in various stages of 13 Projects Various Counties 84,300 52.5 development, construction, monitoring, and completion French Broad 7 Projects Henderson, Mitchell 24,525 3.9 Projects in development Little Tennessee 2 Projects Macon, Jackson 4,766 4.5 Projects in Monitoring Lumber 2 Projects Anson, Lenoir 4,098 69 Projects closed out Neuse 33 Projects Various Counties Projects in various stages of 119,948 648.087 development, construction, monitoring, and completion Roanoke 3 Projects Various Counties 20,331 112.2 Projects closed out Tar -Pamlico 1 Project Halifax 6,757 85.8 Projects closed out White Oak 1 Project Onslow 3,770 0 Project in Development Yadkin Projects in various stages of 18 Projects Various Counties 90,784 0 development, construction, monitoring, and completion 1.7 Project Site Ownership The land required for the construction, management, and stewardship of this mitigation project includes portions of the parcels listed in Table 2. A landowner map is also provided in Figure 3. EBX has obtained a legal option to develop the mitigation project and establish a permanent conservation easement on the necessary area on the subject parcels. Table 2. Project Parcel and Landowner Information Landowner Pin Address Interest in Land County Parcel Size Bawi Van and 3614061508 1753 Lutz Dairy Farm Road Conservation Easement Lincoln Sung Iang Cin 36.38 acres David R Lutz 3604947568 1560 Lutz Dairy Farm Road Conservation Easement Lincoln 58.42 acres RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 3 2 QUALIFICATIONS 2.1 Bank Sponsor The Project shall be established under the terms and conditions of the RES Catawba ESA Umbrella Mitigation Banking Instrument made and entered into by EBX, LLC, acting as the Bank Sponsor. Company Name: Environmental Banc & Exchange, LLC Company Address: 3600 Glenwood Ave, Suite 100, Raleigh, NC 27612 Contact Name: Benton Carroll Telephone: (919) 209-1077 Email: bcarroll@res.us 2.2 Bank Sponsor Qualifications RES is the nation's largest and most experienced dedicated ecological offset provider. RES develops and supplies ecological solutions to help public and private sector clients obtain required permits for unavoidable, project -related impacts to wetlands, streams, and habitats. RES helps clients proactively manage risk from operations in environmentally sensitive areas by providing impact analyses, streamlining permitting processes, and limiting liability and regulatory exposure. Key RES milestones and achievements include: ■ Restoration, enhancement, and preservation of 58,024 acres of wetlands ■ Restoration of over 328 miles of streams ■ Rehabilitation, preservation, and/or management of over 15,000 acres of special -status species habitat ■ Successful close-out of over 100 mitigation sites ■ Permitting and development of over 200 permittee-responsible mitigation projects ■ Design, permitting, management, and development of 138 wetland, stream, species, and conservation banks • Delivery of 20,000 acres of custom, turnkey mitigation solutions • Design and construction of over 350 stormwater management facilities • Reductions of over 267 tons of water quality nutrients • Planting of over 17,400,000 trees across all operating regions • Development and operation of nurseries in three states including the largest coastal nursery in Louisiana • Facilitation of compensatory mitigation and nutrient offsets for over 3,434 federal and state permits In North Carolina, RES and its affiliated companies have a long history of supplying mitigation contracts with North Carolina state agencies. With regional offices in Raleigh, Charlotte, Mt. Airy, and Greensboro that are staffed with full-time professionals, RES has the ability to carry out existing projects, as well as secure and carry out new projects and banks in the State. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 4 3 EXISTING CONDITIONS 3.1 Existing Jurisdictional Waters of US The USFWS National Wetland Inventory Map (NWI) indicates that there are no areas of wetlands within the Project limits (Figure 7). There may be potential for the presence of wetlands within riparian areas of the Project; therefore, any and all wetland areas will be delineated by RES and approved by the U.S. Army Corps of Engineers (USACE) during the development phase of the project. The stream channels were classified using North Carolina Division of Water Resources (NC DWR) methodology (Appendix A). Stream calls will be verified by the USACE. The current State classification for Howard's Creek is C, whereas the South Fork Catawba River has a classification of WS-IV. Class C waters are protected for uses such as secondary recreation, fishing, wildlife, fish consumption, and aquatic life including propagation, survival and maintenance of biological integrity, and agriculture. WS-IV waters are protected for sources of water supply for drinking, culinary, or food processing purposes. Water quality stressors currently affecting the Project include row crop production, cattle pasture, and a lack of forested riparian buffer. Stream restoration is proposed to increase water quality and ecological function and protect these features in perpetuity. There are no current conservation easements or options that conflict with the proposed full delivery project. 3.2 Existing Reach Conditions In general, all or portions of the project stream do not function to their full potential. Current conditions demonstrate significant habitat degradation as a result of and agricultural land use, especially cattle farming (Figure 5). Project reaches are moderately to severely degraded with incised channels and eroding banks, with a lack of floodplain access and unbalanced sediment transport. Project reaches were assessed using the NC Stream Assessment Method (NC SAM). NC rating forms are included in Appendix B. Existing stream parameters and results from the NC SAM forms are summarized in Table 3. Table 3. Project Stream Reach Summary by Tributary Reach ID Hydrology Status* Stream Determination Score* Drainage Area (acres) Reach Length (LF)^ Land use NC SAM Overall Rating LD1 Perennial 31.5 384 4,461 Agriculture, Forested *Stream determination score determined by NCDWR Stream Identification Form 4.11, see Appendix A. ^Reach Length updated with use of aerial imagery to provide a more realistic sinuous stream LD1 Low LD 1 is a perennial stream originating off -site at the northern extent of the Project. The reach flows south through cattle pasture before entering a culvert below Lutz Dairy Farm Road. The channel is significantly incised once it enters the Project and continues to be throughout. This area is heavily used by cattle which has contributed to erosion and bank failure. Mass wasting is also evident in this area as a narrow buffer and overgrazed herbaceous layer do not provide much stabilization. The upper half of the reach is lined with larger trees that provide some shading but gives way to a non-existent canopy towards the lower half RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 5 before entering the culvert under Lutz Dairy Farm Road. The culvert also serves as a thoroughfare for cattle to access the pasture just downstream of the road. Downstream of the culvert, bank incision decreases slightly as the channel quickly exits active pasture and gives way to a wider, 50-100 ft buffer on the right bank. The left bank buffer is largely absent with row crops located adjacent to the stream. The channel appears to have been straightened and ditched in this section with spoil existing on both banks. There are also significant depositions from the mass wasting found in the upstream area. Despite the high level of deposition, there is still a lot of incision present. The last third of LD1 flows through a bottomland hardwood wetland complex on the left bank before it's confluence with Howard's Creek. The buffer on the right bank is narrow due to its proximity to Daniels Road while the left bank contains a combination of fallow agriculture fields and an established hardwood wetland complex. Vegetation in this area consists of mainly herbaceous and shrubby species with woody vegetation existing beyond 100 ft of the channel. Howard's Creek Howard's Creek is a perennial mapped stream. The creek flows southeast and enters the Project near the bottom of the easement area. Howard's Creek has a healthy riparian area on its left bank, that will include the Project area and wetlands. The right bank is confined by Daniels Road for a short portion and then agricultural fields as it flows southeast. 3.3 Existing Wetland Conditions A wetland delineation has not been performed, but suspected wetlands occur in the forested riparian corridor along the bottom of LD1 and the left buffer of Howard's Creek. There has been significant aggradation of sediment in this area overtop the native soil horizon. A Professional Soil Scientist performed an investigation to see if there was an opportunity to expand these wetlands in conjunction with the adjacent stream restoration (Appendix E). Soils onsite were found to be suitable for wetland restoration along with some creation, enhancement, and preservation opportunities. A hydric soil delineation will be performed in these areas to evaluate full wetland uplift potential. Project wetlands were assessed using the NC Wetland Assessment Method (NC WAM). NC rating forms are included in Appendix B. 3.4 Physiography, Geology, and Soils The Project is located within the Southern Outer Piedmont Level IV ecoregion. The physiography of this ecoregion includes dissected irregular plains, some low rounded hills, and ridges with low to moderate gradient streams with mostly cobble, gravel, and sandy substrates. Geologic formations within this region include quaternary to tertiary sand and clay decomposition, with Precambrian and Paleozoic granite, gneiss, schist, and metavolcanic rock. Most common natural vegetation found is white oak (Quercus alba), southern red oak (Quercus falcata), black oak (Quercus velutina), mockernut hickory (Carya tomentosa), pignut hickory (Carya glabra), Virginia pine (Pinus virginiana), and shortleaf pine (Pinus echinata) (USEPA, 2002). Other trees would include Tulip poplar (Liriodendron tulipifera), Maple (Acer sp.) and Sweetgum (Liquidambar styraciflua). The Natural Resource Conservation Service (NRCS) depicts six soil map units across the Project (Figure 10) (USDA-NRCS, 2021). The map units and soil characteristics of these map units are summarized in Table 4. The Lloyd sandy clay loam, 8 to 15 percent slopes represents the largest composition of soil units, with 50.6% area. Riverview loam, 0 to 2 percent slopes is next with 28.5%. Chewacla loam, 0 to 2 percent slopes is next with 15.2% of the study area. Helena sandy loam, 1 to 6 percent slopes at 3.8%, RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 6 Lloyd loam, 15 to 25 percent slopes with 1.5%, and finally Lloyd sandy clay loam, 2 to 8 percent slopes at 0.5% of the study area. The mapped soil data presented here are for reference only. Additional work will be conducted as needed to support the project. Table 4. Mapped Soil Series within Project Map Unit Map Unit Nam Symbol 'ercent ydric Drainage Class Hydrologic Soil Group Landscape Setting ChA Chewacla loam, 0 to 2 percent slopes, frequently flooded 5% Somewhat poorly B/D drained Floodplains HeB Helena sandy loam, 1 to 6 percent slopes lava Moderately Well D Drained Ridges LcD Lloyd loam, 15 to 25 percent slopes 0% Well Drained B Hillslopes on Ridges Lloyd sandy clay loam, 2 to 8 LdB2 percent slopes, moderately 0% Well Drained B Interfluves eroded Lloyd sandy clay loam, 8 to 15 LdC2 percent slopes, moderately 0% Well Drained B Hillslopes eroded RvA Riverview loam, 0 to 2 percent slopes, occasionally flooded 5% Well Drained B Floodplains 3.5 Endangered/Threatened Species Plants and animals with a federal classification of endangered or threatened are protected under provisions of Sections 7 and 9 of the Endangered Species Act of 1973, as amended. The US Fish and Wildlife Service (USFWS) database (updated 3 October 2022) lists the Northern Long-eared Bat (Myotis septentrionalis), Tricolored Bat (Perimyotis subflavus), Monarch Butterfly (Danaus plexippus), Dwarf - flowered Heartleaf (Hexastylis naniflora), and Michaux's Sumac (Rhus michauxii) as endangered species in Lincoln County, North Carolina (Table 5). No protected species or potential habitat for protected species was observed during preliminary site evaluations. In addition to the USFWS database, the NC Natural Heritage Program (NHP) GIS database was consulted to determine whether previously cataloged occurrences of protected species were mapped within two miles of the project site (October 22, 2021). Results from NHP indicate that there is a known occurrence of state threatened or endangered species within a two-mile radius of the project area, the Seagreen Darter. Based on initial site investigations, no impacts to state protected species are anticipated as a result of the proposed project. The proposed project offers some potential to improve or create suitable habitat for several Federal Species of Concern; Northern Long-eared Bats, Tricolored Bat, Dwarf Heartleaf, and Monarch Butterfly. Habitat may be improved or created for species that require riverine habitat by improving water quality, RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 7 in -stream, and near -stream forage, and providing stable conditions not subject to regular maintenance. The decision phase of the project will include USFWS coordination to confirm these findings. Table 5. Federally Protected Species in Lincoln County Common Vertebrate: 1 entific nam Federal Habitat Record Status Status Present Northern Long-eared Bat Myotis septentrionalis T No Current Tricolored Bat Perimyotis subflavus PE No Current Insect: Monarch Butterfly Danaus plexippus C Yes Current Flowering Plants: Dwarf -flowered Heartleaf Hexastylis naniflora T No Current Michaux's Sumac Rhus michauxii E No Current C = Candidate E = Endangered PE = Proposed Endangered T = Threatened 3.6 Vegetation Current land use around the Project is primarily comprised of active cattle pasture, confined animal feeding operations, cropland, low -density residential areas, and disturbed mixed hardwood and pine forest. Common species found within the Project include, Loblolly Pine (Pinus taeda), Red Maple (Acer rubrum), American Sycamore (Platanus occidentalis), Virginia pine (Pinus virginiana), American Holly (Ilex opaca) and Eastern Red Cedar (Juniperus virginiana). Greenbriar (Smilax sp.) and ferns (Polystichum sp.) make up the sub -canopy of the Project. Exotic invasive species are present throughout the Project, mainly Chinese privet (Ligustrum sinense). 3.7 Cultural Resources The North Carolina State Historic Preservation Office (SHPO) website (http://gis.ncdcr.gov) database was reviewed to determine if any listed or potentially eligible historic or archeological resources in the proposed Beaver Tail Project existed (October 22, 2021). This search did not reveal any occurrences within the project area. However, there were three historical sites within a 0.5-mile radius of the Project: Clarence Coon House (LN0156), Loretz House 1972 (LN005), and Daniel Hoke House (LN0216). The environmental screening phase of the Project will include SHPO coordination to confirm these findings. 3.8 Constraints There are few known constraints at the Beaver Tail Project. The Project is not within a mapped FEMA Regulatory Floodway or 100-year floodplain. Also, no overhead or underground utilities are located within the proposed buffer. There is an existing culvert under Lutz Dairy Farm Road that will not be removed during construction. Current land use surrounding the project is mainly forest, residential, and agricultural usage. The agricultural usage consists of row crops, chicken houses, and cow pasture. The chicken houses are located on the left bank near the top of LD1-A. The cow pasture is around the upper RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 8 part of LD1-A and near the culvert under Lutz Dairy Farm Road, while the lower section of LD1-A and LD1-B have cropland adjacent on the left bank (Figure 7). 4 PROPOSED BANK CONDITIONS 4.1 Conceptual Mitigation Plan The Project presents the opportunity to provide 4,276.000 warm stream mitigation units (SMUs) and 1.699 riparian wetland mitigation units (WMUs). These will be derived from a combination of stream restoration and wetland creation, enhancement, and preservation. Table 6 details the stream mitigation components and Table 7 details the wetland mitigation components. The preliminary proposed conceptual design plan is shown in Figure 11. Table 6. Proposed Stream Mitigation Summary for Beaver Tail Project Stream Mitigation Reach Mitigation Type Proposed Length (LF) Mitigation Ratio SMUs LDl Restoration 4,276 1:1 4,276.000 Total 4,276 4,276.000 Table 7. Proposed Wetland Mitigation Summary for Beaver Tail Project Wetland Mitigation Wetland ID Mitigation Type Proposed Area (ac) Mitigation Ratio WMUs WA Creation 1.00 3:1 0.335 WB Creation 2.33 3:1 0.777 WC Enhancement 0.56 1.5:1 0.372 WD Preservation 2.15 10:1 0.215 Total 6.05 1.699 4.2 Stream Restoration Stream restoration efforts will be accomplished through analyses of geomorphic conditions and watershed characteristics. The design approach will apply a combination of analytical and reference reach -based design methods that meet objectives commensurate with both ecological and geomorphic improvements. All project reaches are proposed for restoration involving the realignment of the channel with appropriate plan, profile, and cross section dimensions. Natural design concepts will be applied and verified through rigorous engineering analyses and modeling. The objective of this approach is to design a geomorphically stable channel that provides habitat improvements and ties into the existing landscape. Structures will be installed on all restored reaches for grade control, channel stability, and to improve in -stream habitat. Finally, riparian buffers will be restored and protected in perpetuity. Conceptual plan views are provided in Figure 11. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 9 Design parameters, including active channel, habitat and floodplain features will be developed from analysis of suitable on and off -site reference streams. Analytical design techniques will be an important element of the Project and will be used to determine the design discharge and to verify the design as a whole. The design approach is based on initial stream assessment and recent restoration experience on other project sites in this ecoregion. Engineering analyses will be performed using various hydrologic and hydraulic models to verify the reference reach/analog-based design. A combination of methods will be used to estimate bankfull flows, and flows corresponding to other significant storm events. A HEC-RAS model will then be used to simulate water surface elevations of flows generated by the hydrologic analysis. The development of the HEC model is an important component to the design; therefore, model input parameters are field verified when possible. Through this hydrologic analysis, the design discharge (typically referenced as bankfull or dominant discharge) will be determined. The subsequent design will be based on this calculated discharge. As part of the design process for all reaches, a qualitative analysis of sediment supply will be performed by characterizing watershed conditions. A combination of windshield surveys, existing land use data, and historical aerial photography, followed up by ground-truthing, will be analyzed to assess existing and past watershed conditions and to determine if any changes occurred that would significantly impact sediment supply. Design parameters developed through the analyses of reference reach data, watershed characterizations, and hydrologic and hydraulic modeling will be confirmed using the Sediment Transport Analysis components within HEC-RAS in conjunction with shear stress and velocity analyses. Engineering analyses are performed concurrently with geomorphic and habitat studies. While the stream design will be verified through simulations of hydrology and fluvial processes, analogs of desirable habitat features will be derived from reference sites and integrated into the project design. Both in -stream and riparian habitat features will be designed. In -stream structures will be used throughout the project to act as grade control and for bank stabilization by dissipating and redirecting the stream's energy. Bank stability may further be enhanced through the installation of brush mattresses, live stakes, and cuttings bundles. The riparian buffer areas will be planted with native species creating a vegetated buffer, which will provide numerous water quality and ecological benefits. Stream banks will be stabilized using a combination of grading, erosion control matting, bare -root plantings, native material revetment techniques (i.e., bioengineering), structure placement, and sod transplants where possible. In addition, exotic invasive species, especially Chinese privet, will be treated to ensure survival of planted, native vegetation. The stream and adjacent riparian areas will be protected by a minimum 50-foot conservation easement. A proposed seed mix will be planted with pollinator species to promote monarch butterfly habitat. 4.3 Wetland Creation, Enhancement, and Preservation The Project provides an excellent opportunity for the creation, enhancement, and preservation of Headwater Forest and Bottomland Hardwood -type wetland communities. Creation is proposed for WA and WB, Enhancement is proposed for WC, and Preservation is proposed for WD. Extensive land -use practices have altered the hydrology and vegetation significantly to where jurisdiction has been removed in some areas. The proposed wetland improvement will be closely tied to the stream restoration. The proposed stream design is expected to promote wetland hydrology and vegetation throughout the stream corridor. Therefore, wetland creation, and enhancement activities will include: RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 10 • Removing surface material in order to lower the elevation of floodplain; • Reconnecting surface drainage to hydric soil areas in conjunction with stream restoration; • Planting herbaceous seed mix and native tree species commonly found in headwater and bottomland hardwood forests. The resulting natural communities will provide ecological function far surpassing the current state and approaching the pre -disturbance condition. 5 MONITORING Stream stability, hydrology, and vegetation survival will be monitored across the Project to determine the success of the stream mitigation. Stream stability will be monitored with cross section surveys and visual assessment stream walks. Vegetation survival rates will be monitored using vegetation plots over approximately two percent of the planted area. The success criteria for the Project will follow current accepted and approved success criteria presented in the 2003 USACE Wilmington District Stream Mitigation Guidelines and subsequent NC Interagency Review Team (IRT) 2016 Wilmington District Stream and Wetland Compensatory Mitigation Update. Monitoring reports will be prepared annually and submitted to the IRT. Specific success criteria components are presented below. 5.1 As -Built Survey An as -built topographic survey will be conducted immediately following construction to document floodplain grading, channel planform, profile, and dimension. The survey will include a complete profile of centerline, thalweg, water surface, bankfull, and top of bank to compare with future geomorphic data. Longitudinal profiles will not be required in annual monitoring reports unless requested by the IRT. 5.2 Visual Monitoring Visual monitoring of all mitigation areas will be conducted a minimum of twice per monitoring year by qualified individuals. A Current Conditions Plan View (CCPV) and associated tables will be submitted every monitoring year in the annual monitoring report. The Current Condition Plan View (CCPV) provides the spatial distributions and qualitative performance ratings for certain monitoring features. Visual assessments will include vegetation density, vigor, invasive species, and easement encroachments. Visual assessments of stream stability will include a complete stream walk and structure inspection. Digital images will be recorded at fixed representative locations during each monitoring event, as well as at any noted problem areas or areas of concern. Results of visual monitoring will be presented in a plan view exhibit with a brief description of problem areas and digital images. Photographs will be used to subjectively evaluate channel aggradation or degradation, bank erosion, success of riparian vegetation and effectiveness of erosion control measures. Longitudinal photos should indicate the absence of developing bars within the channel or an excessive increase in channel depth. Lateral photos should not indicate excessive erosion or continuing degradation of the banks over time. A series of photos over time should indicate successional maturation of riparian vegetation. 5.3 Cross Sections Permanent cross -sections will be installed at approximately of one per 20 bankfull widths with half in pools and half in riffles on all reaches that include restoration or significant channel stabilization. All cross-section measurements will include bank height ratio and entrenchment ratio. There should be minimal changes in the annual monitoring cross sections from the as -built cross sections. If changes do take place, they will be evaluated to determine if they represent a movement toward a less stable condition (for example downcutting or erosion) or are minor changes that represent an increase in RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 11 stability (for example settling, vegetative changes, deposition along the banks, or decrease in width/depth ratio) Channel stability should be demonstrated through a minimum of four bankfull events documented in the seven-year monitoring period. Cross-section surveys will occur in monitoring Years 1, 2, 3, 5, and 7. 5.4 Vegetation Monitoring and Success Criteria Vegetation monitoring plots will be a minimum of 0.02 acres in size and cover approximately two percent of the planted area. The following data will be recorded for all trees in the plots: species, height, planting date (or volunteer), and grid location. Vegetation monitoring will occur in monitoring years 1, 2, 3, 5, and 7 during the monitoring period. The interim measures of vegetative success for the Projects will be the survival of at least 320 planted three-year old trees per acre at the end of Year 3 and 260 five-year old trees per acre at the end of Year 5. The final vegetative success criteria will be the survival of 210 trees per acre with an average height of 10 feet at the end of Year 7 of the monitoring period. Invasive and noxious species will be monitored and controlled so that none become dominant or alter the desired community structure of the Project. If necessary, RES will develop a species -specific control plan. 5.5 Wetland Hydrology Success Criteria Wetland hydrology will be monitored to document hydrologic conditions in the wetland creation and enhancement areas. This will be accomplished with automatic recording pressure transducer gauges installed in representative locations across the restoration areas as well as the preservation wetland areas for reference conditions. The gauges will be downloaded quarterly and wetland hydroperiods will be calculated during the growing season. The hydrology success criterion for the Project is to restore the water table so that it will remain continuously within 12-inches of the soil surface for at least 12-percent of the growing season at each groundwater gauge location. Gauge installation will follow current NCIRT guidance. Visual observations of primary and secondary wetland hydrology indicators will also be recorded during quarterly site visits. 5.6 Adaptive Management The Mitigation Plan will include a detailed adaptive management plan that will address how potential problems are resolved. In the event that the Project or a specific component of the Project fails to achieve the defined success criteria, RES will notify the USACE of the need to develop necessary adaptive management plans and/or implement appropriate remedial actions for the Project. Remedial action required will be designed to achieve the success criteria specified previously, and will include identification of the causes of failure, remedial design approach, work schedule, and monitoring criteria that will take into account physical and climatic conditions. If needed, a corrective action plan will be created to change the management of the Project, to meet success criteria. Once the Corrective Action Plan is prepared and finalized RES will: 1. Notify the USACE as required by the Nationwide 27 permit general conditions. 2. Revise performance standards, maintenance requirements, and monitoring requirements as necessary and/or required by the USACE. 3. Obtain other permits as necessary. 4. Prepare Corrective Action Plan for review and approval by IRT. 5. Implement the Corrective Action Plan. 6. Provide the IRT a Record Drawing of Corrective Actions. This document shall depict the extent and nature of the work performed. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 12 6 BANK ESTABLISHMENT AND OPERATION 6.1 Establishment and Operation of the Bank This Project shall be established under the terms and conditions of the RES Catawba ESA UMBI made and entered into by and among EBX, and the USACE, the United States Environmental Protection Agency (USEPA), the USFWS, the National Marine Fisheries Services, the NCDWR, and the North Carolina Wildlife Resources Commission, collectively, the IRT. 6.2 Proposed Credit Release Schedule All credit releases will be based on the total credit generated as reported in the approved mitigation plan of the Project. Under no circumstances shall any mitigation project be debited until the necessary DA authorization has been received for its construction or the District Engineer (DE) has otherwise provided written approval for the project in the case where no DA authorization is required for construction of the mitigation project. The DE, in consultation with the IRT, will determine if performance standards have been satisfied sufficiently to meet the requirements of the release schedules below. In cases where some performance standards have not been met, credits may still be released depending on the specifics of the case. Monitoring may be required to restart or be extended, depending on the extent to which the Project fails to meet the specified performance standard. The release of project credits will be subject to the criteria described in Table 8 and Table 9. 6.2.1 Initial Allocation of Released Credits The initial allocation of released credits, as specified in the mitigation plan can be released by the IRT with written approval of the DE upon satisfactory completion of the following activities: a) Execution of the UMBI by the Sponsor and the USACE b) Approval of the final mitigation plan c) Mitigation site must be secured d) Delivery of financial assurances. e) Recordation of the long-term protection mechanism and title opinion acceptable to the USACE f) Issuance of the 404-permit verification for construction of the site, if required. 6.2.2 Subsequent Credit Releases The second credit release will occur after the completion of implementation of the Mitigation Plan and IRT approval of the Baseline Monitoring Report and As -built Survey. All subsequent credit releases must be approved by the DE, in consultation with the IRT, based on a determination that required performance standards have been achieved. As projects approach milestones associated with credit release, the Sponsor will submit a request for credit release to the DE along with documentation substantiating achievement of criteria required for release to occur. This documentation will be included with the annual monitoring report. Table 8. Stream Credit Release Schedule Release Milestone redit Release Activity Interim Release Total Released Project Establishment (includes all required criteria stated above) 15% 1 15% Completion of all initial physical and biological improvements made pursuant to the Mitigation Plan 15% 30% RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 13 Release Milestone Credit Release Activity Interim Release Total Released 2 3 Year 1 monitoring report demonstrates that channels are stable and interim performance standards have been met 10% 40% 4 Year 2 monitoring report demonstrates that channels are stable and interim performance standards have been met 10% 50% (60%**) 5 Year 3 monitoring report demonstrates that channels are stable and interim performance standards have been met 10% 60% (70%**) 6* Year 4 monitoring report demonstrates that channels are stable and interim performance standards have been met 5% 65% (75%**) 7 Year 5 monitoring report demonstrates that channels are stable and interim performance standards have been met 10% 75% (85%**) 8* Year 6 monitoring report demonstrates that channels are stable and interim performance standards have been met 5% 80% (90%**) 9 Year 7 monitoring report demonstrates that channels are stable and interim performance standards have been met project has received close-out approval. 10% 90% (100%**) *Please note that vegetation data and cross section data may not be required with monitoring reports submitted during these monitoring years unless otherwise stated by the Mitigation Plan or directed by the IRT. * *10% reserve of credits to be held back until the bankfull event performance standard has been met. Table 9. Wetland Credit Release Schedule Release Milestone Credit Release Activity Interim Release Total Released 1 Site Establishment (includes all required criteria stated above) 15% 15% 2 Completion of all initial physical and biological improvements made pursuant to the Mitigation Plan 15% 30% 3 Year 1 monitoring report demonstrates performance standards are being met. 10% 40% 4 Year 2 monitoring report demonstrates performance standards are being met. 10% 50% 5 Year 3 monitoring report demonstrates performance standards are being met. 15% 65% 6* Year 4 monitoring report demonstrates performance standards are being met. 5% 70'N) 7 Year 5 monitoring report demonstrates performance standards are being met. 15% 85% RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 14 Release Milestone Credit Release Activity Interim Release Total Released 8* Year 6 monitoring report demonstrates performance standards are being met. 5% 90% 9 Year 7 monitoring report demonstrates performance standards are being met, and project has received close-out approval. 10% 100% *Please note that vegetation data may not be required with monitoring reports submitted during these monitoring years unless otherwise stated by the Mitigation Plan or directed by the IRT. 6.3 Financial Assurances EBX, acting as the Bank Sponsor, shall provide financial assurances in the form of a Performance Bond to the IRT sufficient to assure completion of all mitigation work, required reporting and monitoring, and any remedial work required. Financial assurances shall be payable at the direction of the USACE to the project designee or to a standby trust. Financial assurances structured to provide funds to the USACE in the event of default by the Bank Sponsor are not acceptable. A financial assurance must be in the form that ensures that the USACE receives notification at least 120 days in advance of any termination or revocation. 6.4 Proposed Ownership and Long -Term Management EBX, acting as the Bank Sponsor, will establish a Conservation Easement, and will monitor the Project for a minimum of seven years. The Mitigation Plan will provide detailed information regarding bank operation, including long term management and annual monitoring activities, for review and approval by the IRT. Upon approval of the Project by the IRT, the Project will be transferred to a long-term land steward. The long-term steward shall be responsible for periodic inspection of the site to ensure that restrictions required in the Conservation Easement, or the deed restriction document(s) are upheld. Endowment funds required to uphold easement and deed restrictions shall be negotiated prior to site transfer to the responsible party. EBX will ensure that the Conservation Easement will allow for the implementation of an initial monitoring phase, which will be developed during the design phase and conducted by RES, on behalf of EBX. The Conservation Easement will allow for yearly monitoring and, if necessary, maintenance of the Project during the initial monitoring phase. These activities will be conducted in accordance with the terms and conditions of the RES Catawba ESA UMBI made and entered into by EBX and USACE. 6.5 Assurance of Water Rights Sufficient water rights exist to support the long-term sustainability of the Project, as there are no "severed" rights on the property. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 15 7 REFERENCES Harman, W., R. Starr, M. Carter, K. Tweedy, M. Clemmons, K. Suggs, C. Miller. 2012. A Function - Based Framework for Stream Assessment and Restoration Projects. US Environmental Protection Agency, Office of Wetlands, Oceans, and Watersheds, Washington, DC EPA 843-K-12-006. North Carolina National Heritage Program (NCNHP). 2021. "North Carolina Natural Heritage Data Explorer." https://ncnhde.natureserve.org/. (Accessed October 2021). North Carolina Department of Environmental Quality (NCDEQ). "Classifications." Water Resources https://deq.nc. gov/about/divisions/water-resource s/planning/classification-standards/classifications. (Accessed November 2021). NC DEQ. "Indian Creek and Howards Creek Local Watershed Plan." Catawba 2010. https://deq.nc.gov/about/divisions/mitigation-services/dms-planning/watershed-planning- documents/catawba-river-basin-documents. (Accessed November 2021). North Carolina Department of Environment and Natural Resources (NCDENR) 2012. "Water Quality Stream Classifications for Streams in North Carolina." Water Quality http://portal.ncdenr.org/web/wq/home. (Accessed November 2021).North Carolina Division of Mitigation Services (NCDMS). "Lower Catawba River Basin Restoration Priorities". 2013. North Carolina Department of Natural and Cultural Resources (NCDNCR). 2021. "NC State Historic Preservation Office." NCSHPO. https://www.ncdcr.gov/about/history/division-historical- resources/nc-state-historic-preservation-office (Accessed October 2021). North Carolina Division of Water Quality (NCDWQ). 2010. "Methodology for Identification of Intermittent and Perennial Streams and Their Origins." NC DWR. https://files.nc.gov/ncdeq/Water%20Quality/Surface%20Water%20Protection/401 /Policies_Guides_ Manuals/StreamlD_v_4point1 l_Final_sept_01_2010.pdf. (Accessed October 2021). Schafale, M.P. 2012. Guide to the Natural Communities of North Carolina, Fourth Approximation. North Carolina Natural Heritage Program, Division of Parks and Recreation, NCDENR, Raleigh, NC. United States Environmental Protection Agency (USEPA). 2002. "Ecoregions of North Carolina and South Carolina." US EPA. https://www.epa.gov/eco-research/ecoregion-download-files-state-region- 4. (Accessed November 2021). United States Fish and Wildlife Service (USFWS). 2018. "Threatened and Endangered Species in North Carolina." North Carolina Ecological Services. https://ipac.ecosphere.fws.gov/location/TTZT7UFHKNE2HM5AU2H5LI3B34/resources. (Accessed October 2021). United State Department of Agriculture — Natural Resource Conservation Service (USDA NRCS). 2021. Web Soil Survey; http://websoilsurvey.nrcs.usda.gov. (Accessed October 2021). United States Army Corps of Engineers (USACE). 2003. April 2003 NC Stream Mitigation Guidelines. USACE. 2016. Wilmington District Stream and Wetland Compensatory Mitigation Update. RES Catawba ESA Umbrella Mitigation Bank Beaver Tail Mitigation Project Final Prospectus October 2022 o 16 Mountain City' Mt Air; Elizabethton Butler Johnson City Erwin Burnsville l 'E-3 Spruce Pine l'� l • Beech Mountain Banner Elk West Jefferson Boone BIov ng Rock 7 Sparta 0 Roaring Gap Millers Creek 421 Wilkesboro Moravian Falls 0 Elkin Dobson Yadkinville Clen Harmony rev c rwille Ad,a Mocksville Pisgah National Forest ,? Black le Mounta 12151 0 en cher Jersonville 'tat Rock 'elera Root Lake Lure -95 Landrum Rut herfordton Forest City 74 (2213 F? Boiling Springs Beaver Tail Mitigation Project Cowpens Legend Proposed Easement Catawba Expanded Service Area NC 8-Digit HUC 03050101 03050102 03050103 Project Location w E 0 7.5 Mile 74 Shelby Blacksburg Gaffney Jonesville 176 Union 0 Francis Marion ctr,-,t�r 15 Mc� 0 York 0 Chester (3213 Figure 1 - Catawba Expanded Service Area Beaver Tail Mitigation Project Lincoln County, North Carolina Rock Hill r Statesville Cleveland sville us sville 67,3 Richburg z1 Lancaster Great Falls Date: 10/3/2022 (E13 Salisbury China Grove Rock% Kannapolis tO Concord (a'.' Heath Springs Kershaw Drawn by: GDS Checked by: MDE 1 inch = 15 mile Locus r Jeffer res Restoring a resilient earth for a modern world 'Qa m1 U 9Warlicks Shortstop is Boutique9 9- Rsfri//P West Lincoln High Sch Ad .114 114381 illow Creek Inn9 r va Day ch D - iel Lutheran Chu 11ss1 Legend Proposed Easement 14-Digit HUC: 03050102040040 - TLW 8-Digit HUC: 03050102 NC NHP Element Occurrence (NC NHP July 2021) NC DMS Conservation Easement (NCDMS June 2021) Other Managed Area (NC NHP July 2021) r• 5 Mile Aviation Zone Airports (� Project Location w �u Rebecca's Countr LEM New Vision Ministries v Drivers License Office Granite Falls B''acksburg 0.5 1 Figure 2 - Project Vicinity Beaver Tail Mitigation Project Date: 10/3/2022 Drawn by: GDS Checked by: MDE res Mile Lincoln County, North Carolina 1 inch = 1 mile Restoring a resilient earth for a modern world Legend Proposed Easement Project Parcel Adjacent Parcel — Parcel Access O Parking Spot 250 500 Feet 3604947568 Figure 3 - Parcel Access Beaver Tail Mitigation Project Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 500 feet res Restoring a resilient earth for a modern world Legend Proposed Easement I I LD1 - 384 ac filoollqls ♦Jr 0 1,000 2,000 Feet Figure 4 - USGS Quadrangle Reepsville (1973) and Lincolnton West (1979) Beaver Tail Mitigation Project Lincoln Count , North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 2,000 feet res Restoring a resilient earth for a modern world .I -4 • 0 la ; 6 - itB, 40.31 Legend Proposed Easement Project Parcel Land Use Type Agriculture - 40.68 ac Forest - 36.25 ac Residential/Farm Headquarters - 5.98 ac Confined Animal Feeding Operation - 6.64 ac Impervious Surface - 3.61 ac 0 250 500 Feet Figure 5 - Existing Land Use Beaver Tail Mitigation Project Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 500 feet N "771 kf foontitso440011111001111111 I�!lillli{i!!Ilili�ll�flili�l(I res Restoring a resilient earth for a modern world � A��1r�w70.wi1 art rit 0 500 1,000 Feet .1 Source: USGS EarthExplorer Figure 6 - Historic Imagery Beaver Tail Mitigation Project Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 1,000 feet Source: USGS EarthExplorer res Restoring a resilient earth for a modern world Proposed Easement Project Parcel Adjacent Parcel NVV|Wetland (None),USFwS 12/01/2021 FEK4AZone AE(None) Figure Project Constraints Beaver Tail Mitigation Project Lincoln County, North Carolina W; ``. Date:m/3/2022 Drawn by:sDS Checked by: woe res Restoring a resilient earth for a modem mrId 250 500 111 Feet - LiDAR Beaver Tail Mitigation Project Lincoln County, North Carolina Drawn by: GDS Checked by: MDE 1 inch = 500 feet res Restoring a resilient earth for a modern world Existing Culvert Proposed Easement Project Parcel Existing Wetland Stream Type Stream 110-- Ditch Existing On -Site Road NCDWR Stream Form NCDWR Stream Form airy F arm Figure 9 - Existing Conditions Beaver Tail 250 500 Mitigation Project Feet Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 500 feet res Restoring a resilient earth for a modern world Proposed Easement Hydric (100%) Predominantly Hydric (66-99%) Predominantly Hydric (33-65%) Predominantly Nonhydric (1-32%) Nonhydric (0%) s 250 500 Feet Figure 1 Map unit symbol Map unit name ChA HeB Lc D LdB2 LdC2 RvA Chewacla loam, 0 to 2 percent slopes, frequently flooded Helena sandy loam, 1 to 6 percent slopes Lloyd loam, 15 to 25 percent slopes Lloyd sandy clay loam, 2 to 8 percent slopes, moderately eroded Lloyd sandy clay loam, 8 to 15 percent slopes, moderately eroded Riverview loam, 0 to 2 percent slopes, occasionally flooded 0 - NRCS Mapped Soils Beaver Tail Mitigation Project Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 500 feet res Restoring a resilient earth for a modern world Reach ID Approach LD1 Restoration Total Wetland ID Approach WA WB Creation Creation WC Enhancement WD Preservation Length Ratio SMU 4,276.000 4,276 4,276 4,276 Total 1 Ratio Area WMU 0.335 0.777 0.372 0.215 6.05 1.699 1.00 2.33 0.56 2.15 Proposed Easement - 34.41 ac Project Parcel Proposed Top of Bank Wetland Mitigation Approach Creation FEnhancement Preservation — Existing Channel Stream Mitigation Approach Restoration 3 3 1.5 10 0 250 500 Feet Figure 11 - Conceptual Design Beaver Tail Mitigation Project Lincoln County, North Carolina Date: 10/3/2022 Drawn by: GDS Checked by: MDE 1 inch = 500 feet res Restoring a resilient earth for a modern world Appendix A - NC DWR Stream Determination L171 NC DWQ Stream Identification Form Version 4.11 Date: jamtar411, 2022 Project/Site: Beaver -Tail Latitude: 35.5o56i3(9612T545(9 Evaluator: Patrick Korvi County: Livicolvi Longitude:-51.31g0053-7532-74 Total Points: if>_ 19 or perennial if>_ 30* Stream is at least intermittent 31.5 Stream Determination: "Perevlvl ial _ �3o Other e.g. Quad Name: A. Geomorphology (Subtotal = 1 ') Absent Weak Moderate Strong RES Score la. Continuity of channel bed and bank 0 1 2 3 Stroviy 3 2. Sinuosity of channel along thalweg 0 1 2 3 Moderate - 2 3. In -channel Structure: ex. riffle -pool, step -pool, ripple -pool sequence 0 1 2 3 Moderate - 2 4. Particle size of stream substrate 0 1 2 3 Wloderate - 2 5. Active/relict floodplain 0 1 2 3 Absevlt - 0 6. Depositional bars or benches 0 1 2 3 Moderate - 2 7. Recent alluvial deposits 0 1 2 3 Strains - 3 8. Headcuts 0 1 2 3 Absevit - 0 9. Grade control 0 0.5 1 1.5 Weak - .5 10. Natural valley 0 0.5 1 1.5 Strovi-1.5 11. Second or greater order channel No = 0 Yes = 3 No - 0 a artificial ditches are not rated; see discussions in manual B. Hydrology (Subtotal = CI,5 ) 12. Presence of Baseflow 0 1 2 3 Strovis - 3 13. Iron oxidizing bacteria 0 1 2 3 {tbsevit - 0 14. Leaf litter 1.5 1 0.5 0 Absent -1.5 15. Sediment on plants or debris 0 0.5 1 1.5 Weak - .5 16. Organic debris lines or piles 0 0.5 1 1.5 Strops -1.5 17. Soil -based evidence of high water table? No = 0 Yes = 3 `les - 3 C. Biology (Subtotal = iP 18. Fibrous roots in streambed 3 2 1 0 Absevit - 3 19. Rooted upland plants in streambed 3 2 1 0 Absent 3 20. Macrobenthos (note diversity and abundance) 0 1 2 3 Absent - 0 21. Aquatic Mollusks 0 1 2 3 Absent - 0 22. Fish 0 0.5 1 1.5 Absent - 0 23. Crayfish 0 0.5 1 1.5 Absent - 0 24. Amphibians 0 0.5 1 1.5 {tbse1t - 0 25. Algae 0 0.5 1 1.5 Absent - 0 26. Wetland plants in streambed FACW = 0.75; OBL = 1.5 Other = 0 Other = 0 *perennial streams may also be identified using other methods. See p. 35 of manual. Notes: "Did obi- sample Sketch: (Data Collected and Form Generated using ArcGIS Survey123) (Data Collected and Form Generated using ArcGIS Survey123) Appendix B - NC SAM and NC WAM Forms NC SAM Stream Rating Sheet Accompanies User Manual Version 2.1 Stream Site Name Beaver Tail Stream Category Pa3 Notes of Field Assessment Form (Y/N) Presence of regulatory considerations (Y/N) Additional stream information/supplementary measurements included (Y/N) NC SAM feature type (perennial, intermittent, Tidal Marsh Stream) Function Class Rating Summary Date of Evaluation 01/11/2022 Assessor Name/Organization JLS - RES USACE/ All Streams NO YES YES Perennial NCDWR Intermittent (1) Hydrology (2) Baseflow (2) Flood Flow (3) Streamside Area Attenuation (4) Floodplain Access (4) Wooded Riparian Buffer (4) Microtopography (3) Stream Stability (4) Channel Stability (4) Sediment Transport (4) Stream Geomorphology (2) Stream/Intertidal Zone Interaction (2) Longitudinal Tidal Flow (2) Tidal Marsh Stream Stability (3) Tidal Marsh Channel Stability (3) Tidal Marsh Stream Geomorphology LOW HIGH LOW LOW MEDIUM LOW LOW LOW LOW LOW LOW NA NA NA NA NA (1) Water Quality (2) Baseflow (2) Streamside Area Vegetation (3) Upland Pollutant Filtration (3) Thermoregulation (2) Indicators of Stressors (2) Aquatic Life Tolerance (2) Intertidal Zone Filtration LOW HIGH LOW LOW MEDIUM YES OMITTED NA (1) Habitat (2) In -stream Habitat (3) Baseflow (3) Substrate (3) Stream Stability (3) In -stream Habitat (2) Stream -side Habitat (3) Stream -side Habitat (3) Thermoregulation (2) Tidal Marsh In -stream Habitat (3) Flow Restriction (3) Tidal Marsh Stream Stability (4) Tidal Marsh Channel Stability (4) Tidal Marsh Stream Geomorphology (3) Tidal Marsh In -stream Habitat (2) Intertidal Zone Habitat LOW LOW HIGH LOW LOW LOW LOW LOW LOW NA NA NA NA NA NA NA Overall LOW NC WAM Wetland Rating Sheet Accompanies User Manual Version 5.0 Wetland Site Name Rehabilitation Date 1-11-2022 Wetland Type Headwater Forest Assessor Name/Organization Jeremy Schmid- RES Notes on Field Assessment Form (Y/N) Presence of regulatory considerations (Y/N) Wetland is intensively managed (Y/N) Assessment area is located within 50 feet of a natural tributary or other open water (Y/N) Assessment area is substantially altered by beaver (Y/N) Assessment area experiences overbank flooding during normal rainfall conditions (Y/N) Assessment area is on a coastal island (Y/N) Sub -function Rating Summary NO NO YES YES NO YES NO Function Sub -function Metrics Rating Hydrology Surface Storage and Retention Sub -Surface Storage and Retention Condition Condition LOW HIGH Water Quality Pathogen Change Particulate Change Soluble Change Physical Change Pollution Change Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) LOW LOW NO LOW NA NA LOW LOW NO LOW LOW NO NA NA NA Habitat Physical Structure Landscape Patch Structure Vegetation Composition Condition Condition Condition LOW LOW MEDIUM Function Rating Summary Function Metrics/Notes Rating Hydrology Condition Water Quality Condition Condition/Opportunity Opportunity Presence? (Y/N) Habitat Condition MEDIUM LOW LOW NO LOW Overall Wetland Rating LOW NC WAM Wetland Rating Sheet Accompanies User Manual Version 5.0 Wetland Site Name Preservation Date 1-11-2022 Wetland Type Bottomland Hardwood Forest Assessor Name/Organization Jeremy Schmid- RES Notes on Field Assessment Form (Y/N) Presence of regulatory considerations (Y/N) Wetland is intensively managed (Y/N) Assessment area is located within 50 feet of a natural tributary or other open water (Y/N) Assessment area is substantially altered by beaver (Y/N) Assessment area experiences overbank flooding during normal rainfall conditions (Y/N) Assessment area is on a coastal island (Y/N) Sub -function Rating Summary NO NO NO YES NO YES NO Function Sub -function Metrics Rating Hydrology Surface Storage and Retention Sub -Surface Storage and Retention Condition Condition LOW LOW Water Quality Pathogen Change Particulate Change Soluble Change Physical Change Pollution Change Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) Condition Condition/Opportunity Opportunity Presence? (Y/N) LOW MEDIUM YES HIGH HIGH YES HIGH HIGH YES MEDIUM MEDIUM YES NA NA NA Habitat Physical Structure Landscape Patch Structure Vegetation Composition Condition Condition Condition HIGH LOW HIGH Function Rating Summary Function Metrics/Notes Rating Hydrology Condition Water Quality Condition Condition/Opportunity Opportunity Presence? (Y/N) Habitat Condition LOW HIGH HIGH YES HIGH Overall Wetland Rating HIGH Appendix C - Landowner Authorization LANDOWNER AUTHORIZATION FORM PROPERTY LEGAL DESCRITION: PIN Number: 3614053556 Street Address: 1560 Lutz Dairy Farm Road, Lincolnton NC 28092 Property Owner (please print): Property Owner (please print): A�'cl L4fz LA4z The undersigned, registered property owner(s) of the above property, do hereby authorize Resource Environmental Solutions, the NC Department of Environmental Quality, and the US Army Corps of Engineers, their employees, agents or assigns to have reasonable access to the above referenced property for the evaluation of the property as a potential stream, wetland and/or riparian buffer mitigation project, including conducting stream and/or wetland determinations and delineations, as well as issuance and acceptance of any required permit(s) or certification(s). Property Owners(s) Address: (if different from above) Property Owner Telephone Number: I/VVe ereby certify the above information to be true and accurate to the best of my/our knowledge. (Property Owner Authorize gnature) (Date) r� ( ilir— i(,,,,,- rty Owner Authori . d Signature)(Date) LANDOWNER AUTHORIZATION FORM PROPERTY LEGAL DESCRITION: Deed Book: 3157 Page:430 County: Lincoln Parcel ID Number: 3614061508 Street Address: 1753 Lutz Dairy Farm Road, Lincolnton, NC 28092 Property Owner (please print): Property Owner (please print): The undersigned, registered property owner(s) of the above property, do hereby authorize Resource Environmental Solutions, the NC Department of Environmental Quality, and the US Army Corps of Engineers, their employees, agents or assigns to have reasonable access to the above referenced property for the evaluation of the property as a potential stream, wetland and/or riparian buffer mitigation project, including conducting stream and/or wetland determinations and delineations, as well as issuance and acceptance of any required permit(s) or certification(s). Property Owners(s) Address: 1753 Lutz Dairy Farm Road, Lincolnton, NC 28092 (if different from above) Property Owner Telephone Number: 432-978-8640 I/We hereby certify the above information to be true and accurate to the best of my/our knowledge. (Property Owner Authorized Signature) (Date) (Property Owner Authorized Signature) (Date) Appendix D - Photo Log Beaver Tail Photo Log Project stream origin (1/11/2022) Upstream of culvert (11/1//2021) Just downstream of culvert (11/1/2021) Sweetgums on bank (11/1/2021) Culvert (1/11/2022) Near easement break looking downstream (11/1/2021) Mid project riparian area (11 /1 /2021) Wetland buffer (11/1/2021) Howard's Creek confluence upstream (1/11/2022) Near bottom of Project looking downstream (11/1/2021) Above confluence looking downstream (11/1/2021) Howard's Creek confluence downstream (1/11/2022) Appendix E - Soil Report GEORGE K LANKFORD, LLC 238 Shady Grove Road Pittsboro, NC 27312 gklankford91@gmail.com February 4, 2022 919-602-0127 Field Summary Notes Beaver Tail Site — Preliminary Soil Evaluation Provided to: Patrick Korn Resource Environmental Solutions, LLC 3600 Glenwood Avenue, Suite 100 Raleigh, NC 27612 A Preliminary Soil Investigation of the Beaver Tail mitigation site in Lincoln County was performed on February 2, to evaluate soils suitable for potential wetland mitigation. This brief summary provides an overview of the field work and is subject to change with incorporation of available resources during preparation of the Preliminary Soil Report. This investigation provides limited evaluation of this site. The site is along an unnamed tributary (UT) to Howards Creek and the left floodplain of Howards Creek. The area appears to be abandoned pasture along the incised tributary and in a forested backwater area adjacent to Howards Creek. The UT well below their floodplain, but Howards Creek appears to flood occasionally. Soil units are broken into potential areas for creation and potential wetlands (Figure Sketch). Soil 1. Soils of these floodplains are deep alluvial deposits derived from the contributing upland soil that are reddish and Fe rich. Soils appear to have high iron that limits formation of depletions, although there are areas with significant redox concentrations throughout many of the lower elevation of the floodplain. 2. Depressions are present with hydric indicators meeting at least one of these indicators: F8-Redox Depressions, F19-Piedmont Flood Plain Soils (test indicator in this area), and F21-Red Parent Material (test indicator in this area). Indicators vary across the landscape and are discontinuous within the HS 1 area. These indicators are more common more extensive in the depressional landscape of W 1 and W2. 3. The wetlands are based on soil indicators and landscape position. The W2 area also has the F3- Depleted Matrix and is much wetter with areas of standing water in low swales and ditches. 4. Areas adjacent to the wetlands generally lacks indicators and tend to have a gentle slope that trends toward a relatively higher elevation. 5. Soils range from sandy loam to sandy clay loam with areas of clay loam. A sandier texture was encountered in a few profiles, but doesn't appear to pose hydrology problems for creation or restoration. 6. The W2 wetland has an existing perimeter ditch along the toe of slope that is currently flooded. This ditch flows off of the property to the south east onto the adjoining parcel and toward the Owls Den Mitigation site to the east. This is most likely the source of the backed -up flow from the restoration project. Table of Estimated Soil Units Soil Area Est. Acres* HS 1 (creation) 1.1 HS 2 (creation) 2.1 Total creation 3.2 Wetland W 1 (enhancement or rehabilitation) 0.6 Wetland W2 (likely preservation or low-level enhancement) 2.1 Total wetlands 2.7 *All acres shown are estimates February 4, 2022 Field Summary Notes Beaver Tail — Preliminary Soil Evaluation Hydrology 1. Historic hydrology for this floodplain is primarily flow through with some recharge. A few areas along in the backwater slopes have the potential for discharge, especially deeper lateral hydrologic inputs. No significant or obvious discharge areas were observed, but are likely in W2. 2. Soils generally appear able to support a wetland hydrology due to the silt and clay content. The absence of a continuous sandy subsoil within 24 inches would allow perching and surface storage. 3. There does not appear to be overbank events along the UT. The floodplain depressions appear to capture upland runoff and provide short term storage. 4. Howards Creek appears to flood regularly and sandy deposits were observed along HS2. 5. There are a few small surface ditches present for WI and are approximated on the figure. Most are relatively shallow. Opportunities and Challenges 1. Interpretation of the jurisdictional wetlands will depend on the regulatory process due to the challenging soil indicators. 2. Hydrologic restoration/enhancement/creation will require frequent overbank events and storage. 3. There does appear to be the potential to increase the HS2 are downstream toward Howards Creek. 4. The wetland creation on HS2 depends on being able to remove surface material and lower the elevation. The amount of material will increase the construction cost and may be prohibitive. 5. There is a low existing berm along the UT. Raising the stream bed will require fill material prent along the stream with loss of mature trees in existing buffer. 6. The beimii/levee along Howards Creek is more substantial and large-scale removal is not advised. Ongoing deposition of sandy materials into any restored or preserved wetlands should be evaluated. 7. The silty soils across this site may present challenges to keep stable during construction and establishment of the vegetative cover. There shouldn't be any nutrient issues. 8. The drainage feature leaving the property (at W2) needs to be evaluated for a potential down gradient obstruction that may be removed by the landowner and maintenance of hydrology within the project. 9. The small parcel between the site and the downstream Owls Den Mitigation site should be explored for additional area. Although this area was not fully evaluated, especially in the back water, a brief look into the woods found a large amount of sandy depositional material that would need to be removed and may prohibit expanding into this area. This downstream area is wooded and at least partial clearing would be needed if the depositional material is removed (potential for large woody debris). 10. Due to the challenging soils, potential for existing wetland on the site, and the proposed creation, regulatory buy in should be done with early open dialogue. This site does have potential for wetland creation and wetland enhancement/preservation. Thanks, George Lankford (919) 602-0127 Page 2 of 2 GEORGE K LANKFORD, LLC 238 Shady Grove Road Pittsboro, NC 27312 919-602-0127 E-- .L'ri L3ii� C iLI1li, flii1{d:tiE#l#.i1tLUH •, Legend .. Ditch 7 Potential Creation L7 Proposed Conservation Easement ZD. Stream 7 Wetland • Beaver Tail Site Figure 1. Field Sketch Map 2022 02-04 rds Creek