20201989 Ver 1_Wildlands Cape Fear 06 UMBI_Draft_20221128

ID#* 20201989
Select Reviewer:
Erin Davis
Initial Review Completed Date 11/29/2022
Mitigation Project Submittal - 11/28/2022
Version* 1
Is this a Prospectus, Technical Proposal or a New Site?*
Type of Mitigation Project:*
Stream Wetlands Buffer Nutrient Offset
(Select all that apply)
Project Contact Information
Contact Name:*
Angela Allen
Project Information
ID#:* 20201989
Existing ID#
Project Type: DMS • Mitigation Bank
Project Name: East Mingo Mitigation Site
County: Johnston
Document Information
O Yes O No
Email Address:*
[e-mail]
Version:* 1
Existing Version
Mitigation Document Type:*
Mitigation Bank Instrument
File Upload: Wildlands Cape Fear 06 UMBI_Draft.pdf 6.06MB
Please upload only one PDF of the complete file that needs to be submitted...
Signature
Print Name:* Angela Allen
Signature: *

Version March 2020
AGREEMENT TO ESTABLISH THE CAPE FEAR 05 UMBRELLA MITIGATION
BANK
IN CAPE FEAR RIVER BASIN WITHIN THE STATE OF NORTH CAROLINA
USACE approval of this Instrument constitutes the regulatory approval required for
the WILDLANDS CAPE FEAR 06 UMBRELLA MITIGATION BANK to be used to provide
compensatory mitigation for Department of the Army permits pursuant to 33 C.P.R.
332.8(a)(1). This Instrument is not a contract between the Sponsor or Property Owner
and USACE or any other agency of the federal government. Any dispute arising under
this Instrument will not give rise to any claim by the Sponsor or Property Owner for
monetary damages. This provision is controlling notwithstanding any other provision or
statement in the Instrument to the contrary.
This Umbrella Mitigation Banking Instrument (UMBI) is made and entered into on
the day of , 20by Wildlands Holdings VI, LLC, hereinafter Sponsor, and
the U.S. Army Corps of Engineers (Corps), and each of the following agencies, upon
its execution of this UMBI; the Environmental Protection Agency (EPA), the U.S. Fish
and Wildlife Service (FWS), the National Marine Fisheries Service (NMFS), the North
Carolina Wildlife Resources Commission (NCWRC), the State Historic Preservation
Office (SHPO) and the North Carolina Division of Water Resources (NCDWR). The
Corps, together with the State and Federal agencies that execute this UMBI, are
hereinafter collectively referred to as the Interagency Review Team (IRT).
WHEREAS the purpose of this agreement is to establish an umbrella mitigation bank
(Bank) providing compensatory mitigation for unavoidable wetland and/or stream impacts
separately authorized by Section 404 Clean Water Act permits and /or Section 10 of the
Rivers and Harbors Act permits in appropriate circumstances;
WHEREAS the agencies comprising the IRT agree that the Bank site(s) is/are
suitable mitigation bank site(s), and that implementation of the Mitigation Plan(s) is/are
likely to result in net gains in wetland and/or stream functions at the Bank site(s), and
have therefore approved the Mitigation Plan(s);
THEREFORE, it is mutually agreed among the parties to this agreement that the
following provisions are adopted and will be implemented upon signature of this UMBI.
A. The Sponsor is responsible for assuring the success of the restoration, creation,
enhancement and preservation activities at the Bank site(s), and for the overall
operation and management of the Bank. The Sponsor assumes the legal
responsibility for providing the compensatory mitigation once a permittee secures
credits from the Sponsor and the District Engineer (DE) receives documentation that
confirms the Sponsor has accepted responsibility for providing the required
compensatory mitigation.
B. The goals of the Umbrella Bank site(s) is/are to restore, enhance, create and
preserve wetland and/or stream systems and their functions to compensate in
appropriate circumstances for unavoidable wetland and/or stream impacts authorized

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by Section 404 of the Clean Water Act permits and or Section 10 of the Rivers and
Harbors Act permits in circumstances deemed appropriate by the Corps after
consultation, through the permit review process, with members of the IRT.
C. Use of credits from the Bank to offset wetland and/or stream impacts authorized by
Clean Water Act permits must be in compliance with the Clean Water Act and
implementing regulations, including but not limited to the 404(b)(1) Guidelines, the
National Environmental Policy Act, and all other applicable Federal and State
legislation, rules and regulations. This agreement has been drafted in accordance
with the regulations for Compensatory Mitigation for Losses of Aquatic Resources
effective June 9, 2008 (33 CFR Parts 325 and 332) (Mitigation Rule).
D. The IRT shall be chaired by the DE of the U.S. Army Corps of Engineers, Wilmington
District (District). The IRT shall review documentation for the establishment of
mitigation bank sites. The IRT will also advise the DE in assessing monitoring reports,
recommending remedial measures, approving credit releases, and approving
modifications to this instrument. The IRT's role and responsibilities are more fully set
forth in Sections 332.8 of the Mitigation Rule. The IRT will work to reach consensus
on its actions.
E. The DE, after consultation with the appropriate Federal and State review agencies
through the permit review process, shall make final decisions concerning the amount
and type of compensatory mitigation to be required for unavoidable, permitted
wetland and/or stream impacts, and whether or not the use of credits from the Bank is
appropriate to offset those impacts. In the case of permit applications and
compensatory mitigation required solely under the Section 401 Water Quality
Certification rules of North Carolina, the NCDWR will determine the amount of credits
that can be withdrawn from the Bank. Any credits used to offset impacts solely
authorized by Section 401 cannot be used for other impacts authorized under Section
404 of the Clean Water Act or Section 10 of the Rivers and Harbors Act.
F. The parties to this agreement understand that a watershed approach to
establish compensatory mitigation must be used to the extent appropriate
and practicable. Where practicable, in -kind compensatory mitigation is
preferred.
The Geographic Service Area (GSA) is the designated area within which the Umbrella
Bank is authorized to provide compensatory mitigation required by DA permits. The GSA
for this Bank shall include the Cape Fear Hydrologic Unit 03030006 in North Carolina,
specifically HUCs 0303000601, 0303000602, 0303000603, 0303000604, 0303000605,
0303000606, 0303000607, and 0303000608. Credits are to be used in the same HUC in
which they were generated, and credits within each HUC should be tracked on separate
ledgers.
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Any Mitigation Plan submitted pursuant to this agreement must contain the
information listed in 332.4(c) (2) through (14) of the Compensatory Mitigation Rule.
A. The Sponsor will perform work described in the/each site -specific approved
Mitigation Plan(s).
B. The Sponsor shall monitor the Bank Site(s) as described in the approved
Mitigation Plan(s), until such time as the IRT determines that the performance
standards described in the Mitigation Plan(s) have been met.
C. Mitigation Plans submitted for inclusion in this bank must meet the requirements of
any District guidance that is current at the time the new site is submitted to the
District, including any updates made to monitoring requirements, credit releases,
long term management, or any other provisions that are required and/or specifically
addressed in the Mitigation Plan. The addition of any site to this instrument shall be
considered as a modification to this instrument, and processed in accordance with
the procedures set forth in the Mitigation Rule.
D. The members of the IRT will be allowed reasonable access to the Property
for the purposes of inspection of the Property and compliance monitoring of
the Mitigation Plan.
A. The Sponsor shall submit to the DE, for distribution to each member of the IRT,
an annual report describing the current condition of the Bank Site(s) and the
condition of the Bank Site(s) in relation to the performance standards in the
Mitigation Plan(s). The Sponsor shall provide to the DE any monitoring reports
described in the Mitigation Plan(s).
B. As part of each annual monitoring report, the Sponsor shall also provide ledger
reports documenting credit transactions as described in Section VIII of this
UMBI.
C. Each time an approved credit transaction occurs, the Sponsor shall provide
notification to the DE within 30 days of the transaction. This notification shall
consist of a summary of the transaction and a full ledger report reflecting the
changes from the transaction. Additionally, signed copies of the Compensatory
Mitigation Transfer of Responsibility Form shall be submitted to the Corps Project
Manager for the permit and the Corps Bank Manager for the bank site.
Section V: Remedial Action
A. The DE shall review the monitoring reports, as required in the Mitigation Plan(s),
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and may, at any time, after consultation with the Sponsor and the IRT, direct the
Sponsor to take remedial action at the Bank site(s). Remedial action(s) required
by the DE shall be designed to achieve the performance standards as specified
in the Mitigation Plan(s). All remedial actions required under this section shall
include a work schedule and monitoring criteria that will take into account
physical and climactic conditions.
B. The Sponsor shall implement any remedial measures required pursuant to the
above.
C. In the event the Sponsor determines that remedial action may be necessary to
achieve the required performance standards, it shall provide notice of such
proposed remedial action to all members of the IRT. No remedial actions shall be
taken without the concurrence of the DE, in consultation with the IRT.
Section VI: Use of Mitiaation Credits
A. Description of credit classifications and provisions pertaining to the use of those
credits shall be provided in the Mitigation Plan(s) to be included in this bank.
Credit classifications (e.g., cold water stream, cool water stream, warm water
stream, coastal wetlands, non -riparian wetlands, riparian non-riverine wetlands,
and riparian riverine wetlands) will be in accordance with current District guidance
at the time the Mitigation Plan is submitted to the District. In general, these
classifications will be used to determine if a particular credit qualifies as "In- Kind"
mitigation. Exceptions to the use of "In -Kind" mitigation may be allowed at the
discretion of the permitting agencies on a case -by -case basis.
B. Wetland and stream compensation ratios are determined by the DE on a case -by -
case basis based on considerations of functions of the wetlands and/or streams
impacted, the severity of the wetland and/or stream impacts, the relative age of
the mitigation site, whether the compensatory mitigation is in -kind, and the
physical proximity of the wetland and/or stream impacts to the Bank Site.
C. Notwithstanding the above, all decisions concerning the appropriateness of using
credits from the Bank to offset impacts to waters and wetlands, as well as all
decisions concerning the amount and type of such credits to be used to offset
wetland and stream impacts authorized by Department of the Army permits, shall
be made by the DE, pursuant to Section 404 of the Clean Water Act and
implementing regulations and guidance. These decisions may include notice to
and consultation with the members of the IRT through the permit review process if
the DE determines this to be appropriate given the scope and nature of the impact.
A. All credit releases must be approved in writing by the DE, following consultation
with the IRT, based on a determination that required performance standards have
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been achieved.
B. A credit release schedule shall be provided in the/each site -specific Mitigation
Plan(s) that are included in this bank. The release schedule will list all of the
proposed credit releases and any performance standards associated with those
releases.
C. In general, the initial allocation of credits from any site included as part of this bank
shall be available for sale only after the completion of all of the following:
1. Execution of this UMBI by the Sponsor, the DE, and other agencies eligible for
membership in the IRT who choose to execute this agreement, to include the
approval of any modifications to this agreement when new sites are added to it;
2. Approval of a final Mitigation Plan;
3. Confirmation that the mitigation bank site has been secured;
4. Delivery of executed financial assurances as specified in the site -specific
Mitigation Plan;
5. Delivery of a copy of the recorded long-term protection mechanism as
described in as specified in the site -specific Mitigation Plan, as well as a title
opinion covering the property acceptable to the DE; and
6. Issuance of any DA permits necessary for construction of the mitigation
site (if necessary).
The Sponsor must initiate implementation of the approved Mitigation Plan(s) no
later than the first full growing season after the date of the first credit transaction (i.e.,
construction of the initial physical and biological improvements proposed in the
approved Mitigation Plan(s) must be started by the end of the first full growing season
following the initial sale of any credits from the Bank. This provision does not apply to
preservation -only sites that do not include any physical or biological improvements.
Subject to the Sponsor's continued satisfactory completion of all required performance
standards and monitoring, additional restoration mitigation credits will be available for
sale by the Sponsor as specified in the final Mitigation Plan.
Section VIII: Accountina Procedures
A. The Sponsor shall develop accounting procedures acceptable to the DE for
maintaining accurate records of debits made from the Bank. Such procedures shall
include the generation of a ledger by the Sponsor showing credits used at the time
they are debited from the Bank. All ledger reports shall identify credits debited and
remaining by type of credit and shall include for each reported debit the Corps
ORM ID number for the permit for which the credits were utilized and the permitted
impacts for each resource type.
B. When credits from the bank are sought by a permit applicant, the Sponsor shall
prepare a reservation letter for the applicant to include with the Corps permit
application, that documents the number and type of credits available to be debited
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from the bank, and the amount of time (if any) that those credits will be held for
that applicant (with an expiration date for the letter of availability).
C. Each time an approved credit transaction occurs, the Sponsor shall notify the DE
within 30 days of the transaction with a summary of the transaction and a full
ledger report showing the changes made. Signed copies of the Transfer of
Mitigation Responsibility form shall also be submitted to the Corps permit Project
Manager and the Corps Bank Manager for that bank.
D. The Sponsor shall prepare an annual ledger report, on each anniversary of the date
of execution of this agreement, showing all credits used, any changes in credit
availability (e.g., additional credits released, credit sales, suspended credits, etc.),
and the beginning and ending balance of remaining credits. The Sponsor shall submit
the annual report to the DE, for distribution to each member of the IRT, until such
time as all of the credits have been utilized, or this agreement is otherwise
terminated.
Section IX: Financial Assurances
A. Financial assurances for the Bank site(s) will be detailed in the site -specific
Mitigation Plan(s). The Sponsor shall provide financial assurances in a form
acceptable to the DE, sufficient to assure completion of all mitigation work, required
reporting and monitoring, and any remedial work required pursuant to this UMBI.
The financial assurance value should be based on the cost of doing the mitigation
work, including costs for land acquisition, planning and engineering, legal fees,
mobilization, construction, and monitoring. For preservation only Bank Sites, no
financial assurances will generally be required unless there are specific activities
necessary to ensure the successful preservation of resources on the site, in which
case appropriate financial assurances may still be required.
B. All financial assurances shall be made payable to a standby trust or to a third -
party designee, acceptable to the Corps, who agrees to complete the project or
provide alternative mitigation. Financial assurances structured to provide funds to
the Corps in the event of default by the Bank Sponsor are not acceptable.
C. The form and amount of financial assurances must be stated in the site -specific
Mitigation Plan(s) in order for the Mitigation Plan to be approved. This must
include the name of the specific provider of those assurances and the method by
which the financial assurances will be provided in the event that they must be
utilized. Original copies of the financial assurance documents must be provided to
the DE prior to the initial release of credits.
D. A financial assurance must be in the form that ensures that the DE receives
notification at least 120 days in advance of any termination or revocation.

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A. The Sponsor shall grant a Conservation Easement (CE) in form acceptable to the
DE, sufficient to protect the Bank Site(s) in perpetuity. The CE shall be perpetual,
preserve all natural areas, and prohibit all use of the property inconsistent with its
use as mitigation property, including any activity that would materially alter the
biological integrity or functional and educational value of wetlands or streams
within the Bank Site, consistent with the Mitigation Plan. The purpose of the CE will
be to assure that future use of the Bank Site will result in the restoration,
protection, maintenance and enhancement of wetland and/or stream functions
described in the Mitigation Plan. The name and contact information for the Corps
approved easement holder and a draft copy of the CE will be provided in the site -
specific Mitigation Plans(s).
B. The Sponsor shall deliver a title opinion acceptable to the DE covering the
mitigation property. The property shall be free and clear of any encumbrances that
would conflict with its use as mitigation, including, but not limited to, any liens that
have priority over the recorded CE.
C. Subsequent to the recording of the CE, the Sponsor may convey the Bank Site
property either in fee or by granting an easement to a qualified land trust, state
agency, or other appropriate nonprofit organization approved by the Corps. The
Sponsor is responsible for ensuring that the CE is re -recorded so that it remains
within the chain of title. The terms and conditions of this conveyance shall not
conflict with the intent and provisions of the CE nor shall such conveyance enlarge
or modify the uses specified in the easement. The CE must contain a provision
requiring 60 day advance notification to the DE before any action is taken to void or
modify the CE, including transfer of title to, or establishment of any other legal
claims over, the project site.
Section XI: Lona-term Manaaement
A. The Sponsor shall implement the long-term management plan as described in
the site- specific Mitigation Plan(s). Unique Places to Save (UP2Save) will
serve as the Grantee and long-term manager and will be the party
responsible for long-term management. UP2Save is a 501(c)3 non-profit
located at P.O. Box 1183 Chapel Hill, NC 27514-1183, and can be reached
at [phone] or [e-mail].
B. The long-term management plan will include a list of annual maintenance,
monitoring, and/or repair activities for the/each mitigation site, the associated
annual cost for each activity, and the required total amount necessary to provide
all future site management. The long-term management plan should explain how
the funds will be managed and provided to the designated long-term manager
(e.g., an endowment managed through a separate account holder). The long- term
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management plan should include a contingency section that addresses how the
responsibility and funding for the long-term site management will be passed on to
a new manager in the event that the selected long-term management entity is no
longer able to provide for management of the site.
Section XII: Default and Closure
A. It is agreed to establish and maintain the Bank site(s) until (i) credits have been
exhausted or banking activity is voluntarily terminated with written notice by the
Sponsor provided to the DE and other members of the IRT; and (ii) it has been
determined and agreed upon by the DE and IRT that the debited Bank site has
satisfied all the conditions herein and in the Mitigation Plan. If the DE determines
that the Bank site is not meeting performance standards or complying with the
terms of the instrument, appropriate action will be taken. Such actions may include,
but are not limited to, suspending credit sales, adaptive management, decreasing
available credits, utilizing financial assurances, and terminating the instrument.
B. As projects developed as part of this bank are specifically intended to restore
streams and/or wetland systems that are subject to periodic flooding and drought
conditions, they should be designed to withstand any such events that are
anticipated to occur in the natural environment. This is not limited to routine or
minor flooding or droughts, but also specifically includes flooding events resulting
from hurricanes, or other extreme weather events as well as extended periods of
drought. Additionally, this includes conditions resulting from sea level rise that
adversely impact projects that are part of this bank.
C. Any delay or failure of Bank Sponsor shall not constitute a default hereunder if and
to the extent that such delay or failure is primarily caused by any act, event or
conditions beyond the Sponsor's reasonable control and significantly adversely
affects its ability to perform its obligations hereunder including: (i) acts of God,
subject to the exceptions contained in Paragraph B above, lightning, earthquake,
fire, landslide, or interference by third parties; (ii) condemnation or other taking by
any governmental body; (iii) change in applicable law, regulation, rule, ordinance
or permit condition, or the interpretation or enforcement thereof; (iv) any order,
judgment, action or determination of any federal, state or local court, administrative
agency or government body; or (v) the suspension or interruption of any permit,
license, consent, authorization or approval. If the performance of the Bank
Sponsor is affected by any such event, Bank Sponsor shall give written notice
thereof to the IRT as soon as is reasonably practicable. If such event occurs before
the final availability of all credits for sale, the Sponsor shall take remedial action to
restore the property to its condition prior to such event, in a manner sufficient to
provide adequate mitigation to cover credits that were sold prior to such delay or
failure to compensate for impacts to waters, including wetlands, authorized by
Department of the Army permits. Such remedial action shall be taken by the
Sponsor only to the extent necessary and appropriate, as determined by the IRT.
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D. At the end of the monitoring period, upon satisfaction of the performance
standards, the Sponsor may submit a request to the DE for site close out. The DE,
in consultation with the IRT, shall use best efforts to review and comment on the
request within 60 days of such submittal. If the DE determines the Sponsor has
achieved the performance standards in accordance with the mitigation plan and all
obligations under this MBI, the DE shall issue a close out letter to the Sponsor.
Section XIII: Miscellaneous
A. Modification of this UMBI shall be in accordance with the procedures set forth in
332.8 of the mitigation rule.
B. No third party shall be deemed a beneficiary hereof and no one except the
signatories hereof, their successors and assigns, shall be entitled to seek
enforcement hereof.
C. This UMBI constitutes the entire agreement between the parties concerning the
subject matter hereof and supersedes all prior agreements or undertakings.
D. In the event any one or more of the provisions contained in this UMBI are held to
be invalid, illegal or unenforceable in any respect, such invalidity, illegality or
unenforceability will not affect any other provisions hereof, and this UMBI shall be
construed as if such invalid, illegal or unenforceable provision had not been
contained herein.
E. This UMBI shall be governed by and construed in accordance with the laws of
North Carolina and the United States as appropriate.
F. This UMBI may be executed by the parties in any combination, in one or
more counterparts, all of which together shall constitute but one and the
same instrument.
G. The terms and conditions of this UMBI shall be binding upon, and inure to the
benefit of the parties hereto and their respective successors.
H. All notices and required reports shall be sent by regular mail to each of the parties
at their respective addresses, provided below.
Sponsor:
Mr. Shawn D. Wilkerson
Wildlands Holding, VI
1430 South Mint Street, Suite 104
Charlotte, NC 28203
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Corps:
Mickey Sugg
U.S. Army Corps of Engineers
Regulatory Division
2407 West Fifth Street
Washington, NC 27889
USEPA:
Mr. Todd Bowers
Wetlands Section - Region IV Water
Management Division
U.S. Environmental Protection
Agency 61 Forsyth Street, SW
Atlanta, Georgia 30303
USFWS:
Ms. Emily Wells
U.S. Fish and Wildlife Service
Post Office Box 33726
Raleigh, North Carolina 27636-3726
NCWRC:
Mr. Travis Wilson
North Carolina Wildlife Resources Commission
1142 1-85 Service Road.
Creedmoor, NC 27522
Ms. Gabriela Garrison
North Carolina Wildlife Resources Commission
1712 Mail Service Center
Raleigh, NC 27699-1721
NCDWR:
Ms. Erin Davis
Division of Water Resources
North Carolina Department of Environmental
Quality Post Office Box 29535
Raleigh, NC 27626-0535
NCSHPO
State Historic Preservation Office
Ms. Renee Gledhill -Earley
4617 Mail Service
Center 109 E. Jones
Street Raleigh, NC
27699-4617
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NMFS:
Mr. Ken Riley
National Marine Fisheries,
NOAA Habitat Conservation
Division Pivers Island
Beaufort, North Carolina 28516
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IN WITNESS WHEREOF,
"Agreement To Establis
Johnston County, North
Sponsor:
By:
h
the parties hereto have executed this Agreement entitled
The Wildlands Cape Fear 06 Umbrella Mitigation Bank In
Carolina":
U.S. Army Corps of Engineers:
Date:
By: Date:
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement entitled
"Agreement To Establish The Wildlands Cape Fear 06 Umbrella Mitigation Bank,
Cape Fear River Basin in the State of North Carolina":
U.S. Environmental Protection Agency:
By:
U.S. Fish and Wildlife Service:
By:
N.C. Division of Water Resources:
By:
N.C. Wildlife Resources Commission:
By:
NC State Historic Preservation Office:
By:
National Marine Fisheries Service:
By:
N.C. Division of Coastal Management:
By:
Date:
Date:
Date:
Date:
Date:
Date:
Date:
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List of Appendices
Appendix A: Geographic Service Area Map
Appendix B: Mitigation Plan (Each plan should include construction costs, maintenance
and monitoring costs, draft copy of financial assurance documents, draft copy of site
protection instrument, and a long term management plan as appendices to the plan.)
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