HomeMy WebLinkAbout20220293 Ver 2_2022-03-09 Britt + Hales MBI SUBMITTAL_20230309Mitigation Project Information Upload
ID#* 20220293
Version* 2
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Katie Merritt
Initial Review Completed Date 03/15/2023
Mitigation Project Submittal - 3/9/2023
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: *
Michael Beinenson
Project Information
ID#:*
20220293
Existing ID#
Project Type:
DMS Mitigation Bank
Yes No
Email Address: *
mitigation@ecoterra.com
Version:* 2
Project Name: Britt & Hale Nutrient Offset and Riparian
Buffer Mitigation Site
County: Wayne
Document Information
Mitigation Document Type: *
Mitigation Bank Instrument Mod
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Existing Version
2022-03-09 Britt + Hales MBI SUBMITTAL.pdf 1.72MB
Please upload only one PDF of the complete file that needs to be submitted...
Kerry Bray
AGREEMENT TO ESTABLISH THE BRITT AND HALES MITIGATION BANKING
INSTRUMENT IN THE NEUSE RIVER BASIN FOR RIPARIAN BUFFER AND
NUTRIENT OFFSET MITIGATION CREDITS PURSUANT TO THE NEUSE RIVER
BASIN NUTRIENT MANAGEMENT STRATEGY
TABLE OF CONTENTS
I. PREAMBLE................................................................................
II. LOCATION AND GEOGRAPHIC SERVICE AREA ...........
III. AUTHORITIES.......................................................................
IV. ESTABLISHMENT OF BANK PARCEL ..............................
V. PRE -CONSTRUCTION DOCUMENTATION ......................
VI. POST CONSTRUCTION DOCUMENTATION ....................
VII. CALCULATION OF CREDITS .............................................
VIII. CREDIT RELEASE SCHEDULE .......................................
IX. PROCEDURE FOR DEBITING AND CREDITING .............
X. BANK PARCEL CLOSURE ...................................................
XI. GENERAL PROVISIONS......................................................
ATTACHMENTS & REFERENCES
A — Division of Water Resources Authority Document
B — Ledger Templates
C —Project Credit Table (template)
1. Nutrient Offset Payment Rule:
http://reports.oah. state.nc.us/ncac/title%2015a%20-
%20environmental%20quality/chapter%2002%20-
%20environmental%20management/sub chapter%20b/ 15 a%20ncac%2002b%20.0703 . pdf
2. Riparian Buffer Mitigation Rule:
http://reports.oah. state.nc.us/ncac/title%2015a%20-
%20environmental%20quality/chapter%2002%20-
%20environmental%20management/sub chapter%20b/ 15 a%20ncac%2002b%20.0295 . pdf
3. NC Session Law 2019- 86" Nutrient Offset Credits":
https:Hncleg.gov/Enactedlegislation/Sessionlaws/HTME/2019-2020/SL2019-86.html
4. Buffer Interpretation/ Clarification# 2008- 019 for diffuse flow:
https:Hdeq.nc.gov/media/4742/download
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5. Clarified Procedures for Calculating Buffer Mitigation Credits and Nutrient Offset
Credits (November 2019):
https:Hdeq.nc.gov/media/15043/download
6. NCDWR - Methodology and Calculations for Nutrient Reductions on the Bank Parcel:
https:Hfiles.nc.Gov/ncdeq/Water%20Quality/Plannin�zN U/Nutrient%2OOffset%20Rule/
Ag-Buffer-Credit.pdf
I. PREAMBLE
This Mitigation Banking Instrument ("Instrument") regarding the establishment, use,
operation, and maintenance of the Britt and Hales Mitigation Bank Parcel ("Bank Parcel") to
provide Neuse Riparian Buffer mitigation credits ("Riparian Buffer Credits") and Neuse
Nutrient Strategy nutrient load reduction credit ("Nutrient Offset Credits") is made and entered
into by and among Eco Terra, LLC, acting as the Bank Sponsor ("Sponsor"), and the North
Carolina Department of Environmental Quality — Division of Water Resources ("DWR" ). This
Instrument is in accordance with 15A NCAC 02B .07.03 and the Consolidated Mitigation Rule
15A NCAC 02B .0295, which became effective on April 1, 2020 and November 1, 2015,
respectively (Reference Numbers 1 and 2).
The purpose of the Bank is:
A. To restore, enhance, and preserve riparian vegetation adjacent to streams and/or
agricultural ditches with the intent to improve water quality, reduce nutrient loads, enhance
flood attenuation and restore wildlife habitat along unnamed tributaries and ditches within
the Neuse River Basin.
B. To convert agricultural land uses within riparian areas adjacent to streams and/or
agricultural ditches into a dense and diverse, hardwood vegetated state with the intent to
significantly reduce nutrient loadings associated with agricultural practices into streams
and ditches.
C. To provide mitigation and nutrient offset and sell any resulting Riparian Buffer Credits
and/or Nutrient Offset Credits to third parties in specific areas within the Neuse River Basin
for development (both existing and proposed) or to offset NPDES-permitted wastewater
nutrient sources requiring such mitigation or offset.
IL LOCATION AND GEOGRAPHIC SERVICE AREA
A. The Geographic Service Area ("GSA") is the designated area wherein a Bank can
reasonably be expected to sell Riparian Buffer Credits and/or Nutrient Offset Credits for
impacts due to development activities.
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B. The GSA for this Bank Parcel is limited to the United States Geological Survey ("USGS")
8-digit Hydrologic Unit Code ("HUC") 03020201, excluding Falls Lake Watershed.
C. Sale or transfer of Riparian Buffer Credits shall be limited to the 8-digit HUC 03020201 in
the Neuse River Basin, excluding the Falls Lake Watershed, unless otherwise authorized
by the DWR or delegated local government in accordance with 15A NCAC 02B .0295.
D. Sale or transfer of Nutrient Offset Credits shall be limited to the 8-digit HUC 03020201 in
the Neuse River Basin, excluding the Falls Lake Watershed in accordance with 15A NCAC
02B .0703, unless otherwise authorized by the DWR in accordance with Session Law (S.L.)
2019-86.
E. The Britt and Hales Bank Parcel is located near Mount Olive, NC in the Upper Falling
Creek watershed of the Neuse River Basin. The Parcel area and surrounding areas are open
agricultural land, primarily farmed for row crops. Table 1.0 provides site -specific details
of the Bank Parcel proposed under this Instrument.
Table 1.0 - Bank
Parcel Details
Bank Parcel
8-Digit USGS
Named
Name/DWR
Hydrologic
Project
Receiving
Primary Land
Project #
County
Unit Code
Location
Stream
Use
Unnamed
Britt and Hales
35.254653
Tributary to
Agricultural
20220293 V2
Wayne
03020201
-78.164589
Falling Creek
Crops
IIL AUTHORITIES
A. The Bank will be used to provide Riparian Buffer Credit and Nutrient Offset Credit in
accordance with the requirements in the DWR Authority document referenced herein as
"Attachment A" and attached to this Instrument.
B. Projects eligible for utilization of the credits are those requiring authorization under the
requirements of Attachment A and any new approved North Carolina ("State") statutes and
rules for the Neuse Nutrient Sensitive Waters Management Strategy.
C. The selling of credits generated from the Bank Parcel approved under this Instrument shall
be consistent with approved State statutes and rules for the Neuse Nutrient Sensitive Waters
Management Strategy.
D. Nutrient reduction activities and buffer mitigation activities proposed under this Instrument
and corresponding Bank Parcel Development Package (BPDP) to generate Riparian Buffer
Credits and Nutrient Offset Credits shall be consistent with State statutes and rules for the
Neuse Nutrient Sensitive Waters Management Strategy that are in place at the time a
complete BPDP is submitted to DWR.
IV. ESTABLISHMENT OF BANK PARCEL
A. In accordance with 15A NCAC 02B .0295 and 15A NCAC 02B .0703, DWR has provided
a "Site Viability Letter" for the Bank Parcel proposed under this Instrument. The Site
Viability Letter is not an approval of the site to generate Riparian Buffer Credits and
Nutrient Offset Credits, but is a preliminary review of the Bank Parcel that details and
confirms existing land use conditions, defines the riparian sites (Enhancement,
Preservation, or Restoration), and identifies features (streams, ditches, ponds, etc.) that
meet general criteria to be suitable to generate Riparian Buffer Credits and Nutrient Offset
Credits. Table 2.0 below outlines when a Site Viability Letter was issued by DWR for the
mitigation site proposed under this Instrument:
Table 2.0 - Site ViabilitV Letter Details
Bank Parcel Name
NC DWR Site
Evaluation
Viability Letter
Received
Viability Letter
Expiration Date
Britt & Hales
May 19, 2022
June 15, 2022
June 15, 2024
B. A valid Site Viability Letter is required prior to submittal of each BPDP. Site Viability
Letters will either expire on the dates listed in the table above or upon submittal of an
individual As -Built Report to the DWR, whichever comes first. If a Site Viability Letter
expires prior to submittal of a complete BPDP as described in Section V to DWR, then the
Sponsor must submit a formal request to DWR for a new Site Viability Letter for that Bank
Parcel.
C. The Bank Parcel proposed for inclusion under this Instrument shall require a BPDP be
submitted to, and approved, by the DWR prior to use of the individual Bank Parcel for
mitigation purposes or the sale or transfer of any associated credits. The contents of the
BPDP are provided in Section V.
D. The BPDP submitted under this instrument will be placed on public notice and made
available for public commenting for 15 calendar days.
E. In general, Riparian Buffer Credit maybe achieved on this Bank Parcel through restoration
of DWR riparian buffers as they are defined in 15A NCAC 02B .0714, and other riparian
areas as allowed per 15A NCAC 02B .0295 (n) and (o) where applicable. Riparian Buffer
Credits are only attainable if the width of the riparian areas is at least 20 feet from tops of
banks along streams and at least 30 feet from top of banks along viable ditches when
M
measuring perpendicular and landward from features. Riparian Buffer Credits are
attainable to a maximum of 200 feet from tops of banks of streams and a maximum of 50
feet from tops of banks of viable ditches. The viability of features to generate riparian
buffer credit is provided in the Site Viability Letter for the Bank Parcel and referenced in
Table 2.0 of this Instrument.
F. The Bank Parcel is intended to provided Neuse Riparian Buffer Mitigation as follows:
1. Planting hardwood trees on a Restoration Site as defined in 15A NCAC 02B .0295
(b) adjacent to viable streams.
2. Performing minor bank stabilization and grading where bank stability is
compromised and where erosional rills, sink holes and gullies are observed.
3. Maintaining a Preservation Site, as defined in 15A NCAC 02B .0295(b) by placing
a conservation easement around riparian areas along streams as allowed per 15
NCAC 02B .0295(0).
G. Nutrient Offset Credit may be achieved on the Bank Parcel through restoration of the
riparian areas adjacent to streams and viable ditches where agriculture was determined by
DWR to be the predominant land use. On this Bank Parcel, the width of the riparian
restoration area will begin at the top of bank or the rooted herbaceous vegetation and
extends landward a minimum of 50 feet and a maximum of 200 feet on all sides of the
surface waters. A conservation easement will be secured to include the tops of all channel
and ditch banks and will extend out a maximum of 200 feet from streams and viable
ditches. The viability of features to generate nutrient offset credit is provided in the Site
Viability Letter for the Bank Parcel and referenced in Table 2.0 of this Instrument
H. The Bank Parcel is expected to provide Nutrient Offset Credits as follows:
1. Converting agricultural land uses within riparian areas to non-agricultural land uses
by placing a perpetual conservation easement around riparian areas along streams
and viable ditches in accordance with 15A NCAC 02B .0703 (g).
2. Planting hardwood trees on a Restoration Site as defined in 15A NCAC 02B .0295
(b) adjacent to streams and viable ditches where agriculture has been determined
by DWR to be the predominant land use.
I. The total area of riparian restoration activities on the Britt and Hales Bank Parcel is
expected to be 22.2 acres. The total area of riparian preservation is expected to be 0.19
acres.
V. PRE -CONSTRUCTION DOCUMENTATION
E
Bank Parcel Development Package
A. The Britt and Hales BPDP submitted under this Instrument shall be submitted to DWR for
review and must be approved by DWR prior to any construction on the Bank Parcel. The
BPDP will describe any changes that have occurred to the site between the date of the Site
Viability Letter and the date the BPDP is submitted to DWR. The BPDP shall include
detailed information consistent with the sections below concerning; 1) site location (8-digit
HUC is required); 2) existing conditions with current photos; 3) proposed buffer mitigation
and nutrient offset activities including a detailed vegetation plan; 4) monitoring and
maintenance plans; 5) financial assurances; 6) a Project Credit Table (see Attachment C)
showing associated buffer /nutrient credit calculations, which shall include credit
generation, service area, and accounting as appropriate for each regulatory authority; 7)
stream buffer determination letter from DWR; 8) Site Viability Letter from DWR; and 9)
service area figure for each mitigation type proposed under this Instrument; and 10) all
pertinent information including but not limited to permitting, bank stabilization, culvert
removal, installation of any utilities indirectly or directly affecting the Bank Parcel,
endangered or threatened species, presence of historical sites and an Environmental Data
Resources (EDR) report to evaluate environmental risk associated with the land proposed
for the Bank Parcel.
B. The Sponsor will obtain all applicable federal, state and local documentation, permits, or
authorizations needed to construct and maintain the Bank Parcel. This Instrument does not
qualify as, or substitute for, such documentation, permit, or authorization.
C. Any restoration activities or proposed construction within the streams, riparian buffers and
other riparian areas on the Bank Parcel to produce Riparian Buffer Credit and/or Nutrient
Offset Credit must be approved by DWR in writing prior to implementation. The failure of
the Sponsor to comply with this requirement may result in a revised or reduced credit
release schedule.
D. Requests for deviation from the approved BPDP must be submitted to DWR in writing.
Written approval from the DWR must be received prior to implementing any deviation
from the approved BPDP.
Property Disposition and Long -Term Management
E. Prior to the release of any credits, the Sponsor shall record permanent conservation
easements at the Wayne County Register of Deed's office that is sufficient to ensure
protection, operation, and maintenance of restored riparian buffers and other riparian areas
for the duration specified in the approved BPDP.
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F. The form of the conservation easement shall be consistent with the standards employed by
the State of North Carolina in the protection of restored riparian buffers and riparian areas
and shall be approved by the DWR prior to the release of any credits.
G. The conservation easement for the Bank Parcel will include the tops of banks of each
stream proposed for riparian restoration and will extend a maximum of 200 feet
perpendicular from the streams. The Bank Parcel's conservation easement will also include
restored riparian areas from top of bank of each ditch out to a maximum of 200 feet
perpendicular to the ditch.
H. The Sponsor shall not grant additional easements, right of ways, or any other property
interest in or to the project areas, without prior approval from the DWR.
I. The Sponsor agrees to assign the conservation easement and its interests in perpetuity to a
qualified holder under NC General Statute ("GS") 121-34 et seq. and 170(h) of the Internal
Revenue Code prior to the submittal of the Year 4 Monitoring Report. The holder shall be
a land trust or stewardship program that will hold and enforce the conservation easement
and the interests in perpetuity. The Sponsor shall choose a land trust or stewardship
program that is accredited by the Land Trust Accreditation Commission and/or has been
approved by DWR prior to the end of the fourth year monitoring period. A land trust must
be certified under 501(c)(3) of the Internal Revenue Code.
J. In the event the Sponsor is also the owner of the underlying fee interest in the property the
conveyance of the conservation easement to a land trust or stewardship fund must be
arranged at the outset of the approved BPDP
Financial Assurances for Bank Parcel Development
K. Following approval of the BPDP, the Sponsor shall provide Performance/Maintenance
Bonds from a surety company that is rated no less than an "A-" as rated by A.M. Best, to
construct the sites according to the approved BPDP. It is the Sponsor's responsibility to
confirm that the surety company is rated no less than an "A-" with each annual bond
renewal.
L. The amount of the Performance Bond shall be 100% of the estimated cost for
implementation of the riparian restoration and other related activities for the construction
of the Bank Parcel as described in the approved BPDP. No bond shall be less than
$150,000.00 to cover construction costs.
M. Alternatively, in lieu of posting a Performance Bond, the Sponsor may elect to construct
the Bank Parcel prior to the first credit release.
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N. Once DWR has released all credits for completion of all items listed below, then the Bank
Sponsor will be released from its performance obligations under the performance bond
required in Item K and L of this section:
1. Instrument and BPDP Approved by DWR, Conservation Easement Recorded,
Financial Assurance Posted;
2. All Riparian Earthwork, Planting, and Installation of Monitoring Devices
Completed, easement boundaries adequately marked, all applicable permits
obtained, site visit performed by DWR;
3. As -Built Report as described in Section VI has been received by DWR; and
4. DWR has submitted a written approval of the As -Built Report
O. To comply with this section, DWR must be the Obligee on all performance bonds.
VI. POST CONSTRUCTION DOCUMENTATION
As -built Report
A. The Sponsor agrees to perform all necessary work, in accordance with the provisions of
this Instrument, and corresponding BPDP, to establish, maintain, and monitor Neuse
Riparian Buffers or other riparian areas until Item B (1) and (2) of Section X have been
satisfied.
B. Within 30 calendar days after completing the establishment of the nutrient offset areas, the
Sponsor will submit written notification to DWR documenting that all nutrient offset
activities have been completed. Failure to submit written notification within 30 days may
result in a modified credit release schedule or a delay in the issuance of credit releases.
Notification shall include all the following:
1. Short summary of activities completed as required per the approved BPDP;
2. Figures representing all riparian restoration, riparian enhancement and riparian
preservation activities where applicable;
3. Figures representing location of all monitoring plots installed;
4. Detailed planting plan- including type of species planted, density of species planted,
and any modifications to the planting plan from what was approved in the BPDP;
5. Description of how the conservation easement boundaries were marked;
6. Any major changes to the conservation easement boundary or to the amount of
Nutrient Offset Credits from what was proposed in the approved in the BPDP.
C. The Sponsor will submit an as -built plan and report to the DWR for the Bank Parcel after
completing the establishment of the buffer mitigation and nutrient offset areas. Each As -
Built report will describe any deviation from the approved BPDP and will document all the
following:
1. Riparian restoration planting details and other construction activities that were
required in the BPDP, confirmation that all boundary markers are installed, invasive
species control, monitoring device locations, vegetation plot locations, and photo
point locations.
2. Boundary Survey of the conservation easement area, signed and sealed by a
licensed surveyor, including an inventory of the final mitigation areas for Riparian
Buffer Credits and Nutrient Offset Credits in both square feet and acres.
3. As -built map of the buffer mitigation and nutrient offset areas showing where
riparian activities were performed and any deviations to the Bank Parcel from what
was approved in the BPDP.
4. Aerial map of the riparian restoration proposal for buffer mitigation and nutrient
offset that was included in the approved BPDP.
Financial Assurance for Bank Parcel Monitoring and Maintenance
D. After completion of the riparian restoration and mitigation activities on the Bank Parcel, a
separate Performance/ Maintenance Bond will be secured for 100% of the estimated cost
to implement the monitoring and maintenance plan as described in the approved BPDP and
As -Built Report. The Bond must be from a surety company that is rated no less than an
"A-" as rated by A.M. Best, and it is the Sponsor's responsibility to confirm the surety
company is still rated no less than an "A-" with each annual bond renewals.
E. A Performance/Maintenance Bond shall be secured each year for a minimum of five years,
and until DWR has released all Riparian Buffer Credits and Nutrient Offset Credits to the
Bank Sponsor. Upon DWR approval, the bond may be lowered each year based on the
adjusted cost to complete the monitoring. No bond shall be less than $100,000 to cover
monitoring and maintenance costs initially.
F. Once DWR has released 100% of all credits for completion of all Bank Parcel milestones
described in Table 3.0 of Section VIII, the Bank Sponsor will be released from its
performance obligations under the performance bond required in D and E in this section.
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G. To comply with this section, DWR must be the Obligee on all performance bonds.
Monitoring and Maintenance Reports
H. The Sponsor shall monitor the Bank Parcel as described in the BPDP until such time as
DWR determines that the performance standards described below have been met. The
monitoring period shall be a minimum of five consecutive years.
I. Performance Standards for Vegetation: Native hardwood trees or native hardwood tree and
shrub species should be planted at a density sufficient to provide 260 stems per acre after
five years. A minimum of four (4) native hardwood trees or four (4) native hardwood tree
and shrub species must be planted. No one species shall be greater than 50% of the planted
stems. A list of species for planting will be detailed in the BPDP for approval. Native
hardwood tree volunteer species may be included to meet performance standards as
determined by the DWR.
A "stem" means a woody seedling, sapling, shrub or tree, no less than 10 centimeters in
height and shall apply, on the Bank Parcels, to the minimum height that a planted tree or
shrub shall be at initial planting. Volunteer stems that are less than 10 centimeters shall not
be quantified and included in the annual vegetation data included with the monitoring
reports.
K. If the performance standards of the vegetation are not met, supplemental plantings may be
required. Supplemental plantings will be utilized until the required densities have been
achieved and maintained for five years. Bank Parcel maintenance, such as ensuring
diffused flow, managing invasive species, and pest control will be included in the BPDP.
L. Monitoring Reports for Riparian Buffer Credit or Nutrient Offset Credit: Reporting
criteria of the vegetation shall be based on the Carolina Vegetation Survey (CVS) - EEP
Protocol for Recording Vegetation Level 1Plot Sampling only version 4.0 or any updated
versions of this protocol in place at the date of acceptance of the BPDP. The Sponsor shall
submit to the DWR an annual monitoring report no later than December 31 of each year
for a minimum of five consecutive years after the first full growing season. Vegetation data
shall not be collected prior to late August of each year. This report will describe the
conditions of the Bank Parcel, including an evaluation of the performance standards of the
vegetation contained within the approved BPDP. Reports shall contain the following:
1. A U.S. Geological Survey map showing location of the Bank Parcel;
2. A detailed narrative with supporting photos summarizing the condition of the Bank
Parcel along with any maintenance or remediation performed that year; and
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3. A map, survey, or other figures showing locations of sampling plots, permanent
photo points, and location of transects, etc.; and
4. Monitoring data, including specific vegetative counts and height data showing that
the trees or tree and shrub species planted are meeting performance standards and
updated photographs; and
5. A copy of the most recent Bank credit/debit ledgers; and
6. Corresponding verification letters from designated local governments upon request;
and
7. Corresponding Mitigation Transfer Certificates upon request; and
8. Proof of performance bond renewal to cover the next monitoring year (when
applicable).
Contingency Plans/Remedial Actions
M. In the event the Bank Parcel fails to achieve the performance criteria described in this
Instrument and in the approved BPDP, the Bank Sponsor shall develop necessary
contingency plans in coordination with the DWR and implement appropriate remedial
actions for the Bank Parcel and the Bank. Depending on the degree of remedial actions
required, the DWR may modify the monitoring period.
VIL CALCULATION OF CREDITS
Riparian Buffer Credits
A. All Riparian Buffer Credits shall be determined based on the ratios and percentages
provided in 15A NCAC 02B .0295 (m) and (n) following the guidance provided in the
Clarified Procedures for Calculating Buffer Mitigation Credits and Nutrient Offset Credits
letter issued by the DWR, see reference #5, including the most recent Project Credit Table
Template (see Appendix C) provided online.
B. Riparian buffer restoration on the Bank Parcel, as described in 15A NCAC 02B .0295(n)
and defined in 15A NCAC 02B .0295 (b) that is performed on agriculture lands within the
Bank Parcel, may be used for either Riparian Buffer Credit or Nutrient Offset Credit, but
not both.
C. Riparian Buffer Credit is defined as one (1) buffer credit per one square foot or 43,560
buffer credits per one acre.
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Nutrient Offset Credits
D. The square footage of Nutrient Offset Credits on the Bank Parcel will be determined by
applying the applicable ratio as provided in 15A NCAC 02B .0295(m) for a Restoration
Site following the guidance provided in the Clarified Procedures for Calculating Buffer
Mitigation Credits and Nutrient Offset Credits issued by the DWR see reference #5,
including the most recent Project Credit Table Template (see Appendix C) provided online.
All riparian areas proposed for Nutrient Offset Credits must be a minimum of 50 feet from
the top of the banks along viable streams or viable ditch banks on land noted in a Site
Viability Letter as agriculture
E. Nutrient Abatement of Restored Riparian Area/Buffers on agricultural land: The Sponsor
and DWR agree:
1. The pounds of nitrogen offset per acre of restored riparian areas/buffers on
agricultural land shall be 2,273.02 pounds per acre or 19.16394 square feet per
pound.
F. The Sponsor and DWR agree that the methodology and calculations for determining
nitrogen reductions, associated with restoration of riparian areas on this Bank Parcel as
described in Section Error! Reference source not found. of this Instrument, shall be fixed
as part of the approval of this Instrument, with the fixed amount not changing during the
Bank Parcel Development or credit release schedule for the Bank Parcel. For further details
on the approved method and calculations for determining nutrient reductions associated
with the riparian restoration on this Bank Parcel refer to the NCDWR - Methodology &
Calculations for Nutrient Reductions document found in reference number 6.
This space left blank intentionally, do not add text to this space.
12
VIIL CREDIT RELEASE SCHEDULE
A. Upon submittal of all appropriate documentation by the Sponsor, and subsequent approval
by DWR, it is agreed that the Riparian Buffer Credits and Nutrient Offset Credits
associated with the Bank Parcel will become available for sale to a third party in accordance
with the Credit Release Schedule in Table 3.0 below:
Table 3.0 - Credit Release Schedule for Riparian Buffer and Nutrient Offset Credits
% Credit
Available for
Task
Project Milestone
Sale
Instrument and BPDP Approved by DWR, Conservation Easement
1
Recorded*, and Financial Assurance Posted
20
All Riparian Earthwork, Planting and Installation of Monitoring Devices
Completed, Easement Boundaries adequately marked, and all applicable permits
2
1 obtained. A site visit by DWR is required for this task.
20
Monitoring Financial Assurance Posted and Approval of As -Built
3
Report
10
4
Monitoring Report #1: Approved by the DWR** & financial assurance renewed
10
5
Monitoring Report #2: Approved by the DWR** & financial assurance renewed
10
6
Monitoring Report #3: Approved by the DWR** & financial assurance renewed
10
Item B (1) of Section X in this Instrument has been completed and
7
approved by DWR
5
No remaining credits will be released until Task 7 has been satisfied, assigning
the conversation easement to an approved land trust or long-term steward
g
Monitoring Report #4: Approved by the DWR** & financial assurance renewed
5
Monitoring Report #5: Approved by the DWR** and final site visit by DWR has
9
been conducted
10
Total
100%
* For specification, please see Section V in this Instrument
** DWR Approval provided upon a determination that the site is meeting performance standards contained
within the approved BPDP
B. DWR may modify Credit Release Schedules based on the information submitted or the
order in which required information is received. DWR will notify the Sponsor of any
modification to the credit release schedule.
C. Any major deviations to the Bank Parcel that were not authorized in writing by DWR prior
to implementation may affect the amount of nutrient offset credits that will be generated
by the Bank Parcel.
IX. PROCEDURE FOR DEBITING AND CREDITING
Credit Ledgers
A. The Bank Sponsor shall maintain one credit ledger for each mitigation type for the Bank
Parcel under this Instrument, unless otherwise instructed by DWR in the approved BPDP:
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Credit ledgers shall provide the accounting for Riparian Buffer Credits in square feet and
acres and Nutrient Offset Credits in pounds and square feet.
B. Each credit ledger shall be submitted on a separate 8 '/z in. x 1 lin. spreadsheet with legible
font style and font size. All ledgers shall be submitted using the templates provided in
Attachment B of this Instrument or any updated versions to these templates as provided by
DWR.
Credit Processing
C. Credits must be calculated for the Bank Parcel using the most recent Project Credit Table
template, see attachment C, which is referenced in the guidance provided in the Clarified
Procedures for Calculating buffer Mitigation Credits and Nutrient Offset Credits letter
issued by the DWR, see reference #5.
D. Riparian Buffer Credits generated on this Bank Parcel will be used to provide mitigation
for authorized buffer impacts within the 03020201 HUC of the Neuse River Basin
according to 15A NCAC 02B .0295 (f) and (g), excluding the Falls Lake Watershed.
E. Nutrient Offset Credits generated on this Bank Parcel will be used to offset nitrogen
nutrient loads within the 03020201 HUC of the Neuse River Basin, excluding the Falls
Lake Watershed, in accordance with 15A NCAC 02B .0703.
F. Available Riparian Buffer Credits (credits that have been released by DWR but not sold by
the Sponsor) that are generated from riparian restoration on agricultural land and meet
criteria for nutrient offset credits as outlined in Section VII of this Instrument, the Site
Viability Letter and the corresponding BPDP can be converted from Riparian Buffer
Credits into Nutrient Offset Credits upon written approval from DWR. Once a credit has
been converted to another credit type, the transaction is permanent, and the credit cannot
be converted again.
G. Available Nutrient Offset Credits (credits that have been released by DWR but not sold by
the Sponsor) that are generated from riparian restoration within 0-100' from tops of stream
banks and meet criteria for riparian buffer credits as outlined in Section VII of this
Instrument, the Site Viability Letter, 15A NCAC 02B .0295 and the corresponding BPDP
can be converted from Nutrient Offset Credits to Riparian Buffer Credits upon written
approval from DWR. Once a credit has been converted to another credit type, the
transaction is permanent, and the credit cannot be converted again.
H. Any credit conversions must be calculated using the guidance provided in the Clarified
Procedures for Calculating Buffer Mitigation Credits and Nutrient Offset Credits letter
issued by the DWR, see reference #5.
14
I. The Bank Sponsor shall obtain written verification of nutrient offset need from a designated
local government in the 03020201 HUC of the Neuse River Basin outside of the Falls Lake
Watershed, or from DWR through an approved NPDES permit for wastewater nutrient
sources prior to debiting Nutrient Offset Credits from the Bank Parcel.
J. The Bank Sponsor shall obtain verification of buffer mitigation required from the delegated
local government in the 03020201 HUC of the Neuse River Basin outside of the Falls Lake
Watershed or DWR prior to debiting Riparian Buffer Credits from the Bank Parcel.
K. All credit and debit transactions for each Bank Parcel under this Instrument shall be
accurately depicted in the credit ledgers. The Sponsor shall submit accurate and up-to-date
credit ledgers for each Bank Parcel by the loth of each month. At a minimum and only
upon request, DWR shall receive a hard copy of updated credit ledgers along with
corresponding Mitigation Credit Transfer Certificates and all corresponding letters from
the designated local governments or DWR where applicable once a year. Notification of
all credit sales shall be provided to DWR until all credits that have been released have been
sold.
Mitigation Credit Transfer Certificates
L. All credit sales will include a Mitigation Credit Transfer Certificate ("Certificate") that is
required to be provided to the buyer of Riparian Buffer and/or Nutrient Offset Credits, that
will include, at a minimum, the following information;
Bank Details: (1) Sponsor Name, (2) Bank Parcel name as it appears in this
Instrument and, (3) DWR project number for the BPDP as it appears in Table 1.0.
2. Credit Details: (1) date of receipt, (2) identify if full or partial payment, and (3 -
when applicable) amount of nitrogen Nutrient Offset Credits purchased in pounds
and confirmation from the designated local government or DWR of the amount
required, and (4 - when applicable) the amount of Riparian Buffer Credits
purchased in square feet and the confirmation from DWR or the local government
of the amount required.
3. Permitted Project Details: (1) project name and project number as it appears on
DWR or local government permits and/or certifications, (2) 8-digit HUC, (3) river
basin, (4) nutrient strategy applicable to the project with impacts, (5 - when
applicable) designated local government requiring Nutrient Offset Credits, and/or
(6) DWR or delegated local government requiring Riparian Butter Credits for this
project and (6) credit type and amount required for project.
M. If the DWR determines the Bank is operating at a deficit (e.g. the Sponsor is utilizing,
selling and/or transferring credit that is not available), or the Bank is selling or transferring
15
credits out of compliance with statutes, rules or this Agreement, the sale/transfer of credits
will immediately cease, and the DWR, in consultation with the Sponsor, will determine
what remedial actions are necessary.
X. BANK PARCEL CLOSURE
A. Bank Parcel Closure shall be identified as the event when the Sponsor is relieved of all its
responsibilities to the Bank Parcel and there are no Riparian Buffer Credits or Nutrient
Offset Credits left to sell.
B. Bank Parcel Closure shall commence only after all following events have occurred;
Transfer or assign the conservation easement and all its interests, in perpetuity, to
a land trust or stewardship program as described in Section V of this instrument.
2. All five years of monitoring completed and all monitoring reports submitted and
approved by DWR.
3. All credits have been released and debited and updated ledgers showing zero credit
balances have been submitted and approved by DWR.
XI. GENERAL PROVISIONS
A. Upon the presentation of proper credentials, and during normal business hours, the Sponsor
and the landowner shall grant permission to the Director of DWR, or an authorized
representative of the Director of DWR to enter the property containing the Bank Parcel(s).
B. Amendments: This Banking Instrument may be amended or modified only with written
approval of all signatory parties.
C. Any transfer of the Sponsor's rights or obligations outlined in this Instrument or any other
agreement referenced in this Instrument to a third party must be approved by DWR prior
to the transfer.
D. Force Majeure: After 100% of all the credits have been released in accordance with the
credit release schedule in Section VIII and confirmation has been received by the DWR
that the Conservation Easement has been successfully assigned in compliance with Item I
of Section V, the Sponsor will not be responsible for Bank failure that is attributed to
natural catastrophes including but not limited to flood, drought, disease, regional pest
infestation, etc. that are beyond the control of the Sponsor.
E. However, if an event occurs before 100% of all the credits have been released in accordance
with the credit release schedule in Section VIII, the Sponsor shall take remedial action to
16
restore the property to its condition prior to the event, in a manner sufficient to provide
adequate mitigation to cover credits that were sold prior to the occurrence of the event.
Such remedial action shall be taken by the Sponsor only to the extent necessary and
appropriate, as determined by DWR and the Sponsor.
DWR must concur in writing that a force majeure event has occurred for this provision to
apply.
F. Oversight: Actions taken by DWR may include, but are not limited to, the following:
1. Site visits,
2. Issuance of Site Viability Letters,
3. BPDP review and approval of items listed in Section V of this Instrument,
4. As -Built report review and approval of items listed in Section VI of this Instrument,
5. Monitoring Report review and approval of items listed in Section VI of this
Instrument,
6. Credit Ledger review and approval of items listed in Section IX of this Instrument,
7. Certificate review of items listed in Section IX of this Instrument and cross analysis
to credit ledgers and,
8. Information requests, file reviews and audits.
Reports, ledgers, files and other information shall be made available to DWR upon request,
unless otherwise specified in this or any other document.
G. Validity of this Instrument: This Instrument will become valid on the date of the last party's
signature.
H. Specific Language of this Instrument Shall Be Controlling: To the extent that specific
language in this document changes, modifies, or deletes terms and conditions contained in
those documents that are incorporated into the Instrument by reference, and that are not
legally binding, the specific language within the Instrument shall be controlling.
I. Any disputes over decisions regarding this Instrument, shall be referred to the Director of
DWR for a decision. The Director's decision is subject to review as provided in Articles 3
and 4 of G.S. 150B.
17
J. This Agreement shall be binding upon the parties and is entered into knowingly,
intelligently and voluntarily.
K. Notices: All Notices and other communication which may be or are required to be given
or made by any party to the other shall be in writing and shall be deemed to have been
properly given and received on the date delivered in person, received via email with a
delivery receipt requested, or deposited in the United States mail, registered or certified,
return receipt requested, to the addresses set out below or at such other addresses as
specified by written notice delivered in accordance herewith.
If to Bank Sponsor: Eco Terra, LLC
Attn: Michael Beinenson
1328 DeKalb Ave NE
Atlanta, GA 30307
mitigation(a ecoterra.com
If to DWR: NC Division of Water Resources — 401 & Buffer Permitting Branch
Attn: Nutrient Offset and Buffer Banking Coordinator
1617 Mail Service Center
Raleigh, NC 27699-1617
L. Applicable Law: This Agreement shall be construed under the laws of the State of North
Carolina.
ECO TERRA, LLC
(Print)
(Signature)
Title:
Date:
NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY - DIVISION OF
WATER RESOURCES
By: (Print)
(Signature)
18
Title:
Date:
19
Nutrient Offset Program & Buffer Mitigation Program I Updated
Authorities for UMBI/MBI 03/26/2013
Attachment A
All Basins.
General Statutes:
G.S. § 143-214.1 Water; water quality standards and classifications; duties of Commission
G.S. §143-214.11 Ecosystem Enhancement Program
G.S. §143-214.26 Nutrient Offset Credits
G.S. §143-214.20-24 Riparian Buffer Protection Program
G.S. § 143-214.7 Stormwater runoff rules and programs
G.S. §143-215.3(a)(1) General powers of Commission and Department; auxiliary powers
G.S. §143-215.6A Enforcement Procedures: Civil Penalties
G.S. §143-215.6B Enforcement Procedures: Criminal Penalties
G.S. §143-215.6C Enforcement Procedures: Injunctive Relief
G.S. §143-215.8B Basinwide Water Quality Management Plans
G.S. § 143B-282 Environmental Management Commission — creation; powers and duties
Session Laws
S.L. 2012-200 (Amendment to G.S. §143-214.23 and G.S. §143-215.1)
S.L. 2011-343 (Amendment to G.S. §143-214.11)
S.L. 2009- 337 (Amendment to G.S. §143-214.11)
Administrative Rules:
15A NCAC 02B .0202 Definitions
15A NCAC 02B .0223 Nutrient Sensitive Waters
15A NCAC 02B .0237 Best Management Practice Cost -Effectiveness Rate
15A NCAC 02B .0240 Nutrient Offset Payments
15A NCAC 02B .0269 Riparian Buffer Mitigation Fees to the NC Ecosystem Enhancement Program
15A NCAC 02B .0274 Nutrient Offset Payment Rates for the NC Ecosystem Enhancement Program
15A NCAC 02B .0301 Stream Classifications
Neuse River Basin Buffer and Neuse Nutrient Strategy
Session Laws
S.L. 2011-394
S.L. 1998-221 (Part 1)
S.L.1995-572
Administrative Rules:
15A NCAC 02B .0232 Basin Nutrient Reduction Goal
15A NCAC 02B .0233 Protection and Maintenance of Existing Riparian Buffers
15A NCAC 02B .0234 NPDES Wastewater Discharge Requirements
15A NCAC 02B .0235 Basinwide Stormwater Requirements
15A NCAC 02B .0236 Agricultural Nitrogen Loading Reduction
15A NCAC 02B .0238 Agricultural Nitrogen Reduction Strategy
15A NCAC 02B .0239 Nutrient Management
15A NCAC 02B .0241 Delegation of Authority for the Protection and Maintenance of Existing Riparian Buffers
15A NCAC 02B .0242 Mitigation Program for Protection and Maintenance of Riparian Buffers
Neuse River Basin Buffer and Falls Lake Nutrient Strategy
General Statutes and Session Laws:
G.S. §143-214.5 Water Supply Watershed Protection
S.L. 2012-187
S.L. 2011-394
S.L. 2009-486
S.L. 1998-221 (Part I)
Administrative Rules:
15A NCAC 02B .0233 Protection and Maintenance of Existing Riparian Buffers
15A NCAC 02B .0241 Delegation of Authority for the Protection and Maintenance of Existing Riparian Buffers
15A NCAC 02B .0242 Mitigation Program for Protection and Maintenance of Riparian Buffers
15A NCAC 02B .0275 Purpose and Scope
15A NCAC 02B .0276 Definitions
15A NCAC 02B .0277 Stormwater Management for New Development
15A NCAC 02B .0278 Stormwater Management for Existing Development
15A NCAC 02B .0279 Wastewater Discharge Requirements
15A NCAC 02B .0280 Agriculture
15A NCAC 02B .0281 Stormwater Requirements for State and Federal Entities
15A NCAC 02B .0282 Options for Offsetting Nutrient Loads
Jordan Buffer and Jordan Water Supply Nutrient Strategy
General Statutes and Session Laws:
G.S. §143-214.5 Water Supply Watershed Protection)
S.L. 2012-201
S.L. 2012-187
S.L. 2009-216
S.L. 2009-484
S.L. 2006-259 (Section 31(a))
S.L. 2005-190
S.L. 1999-329 (part of G.S. 143B-282)
Administrative Rules:
15A NCAC 2B .0262 Purpose and Scope
15A NCAC 2B .0263 Definitions
15A NCAC 2B .0264 Agriculture
15A NCAC 2B .0265 Stormwater Management for New Development
15A NCAC 2B .0267 Jordan Water Supply Nutrient Strategy
15A NCAC 2B .0268 Mitigation for Riparian Buffers
15A NCAC 2B .0270 Wastewater Discharge Requirements
15A NCAC 2B .0271 Stormwater Requirements for State and Federal Entities
15A NCAC 2B .0272 Fertilizer Management
15A NCAC 2B .0273 Options for Offsetting Nutrient Loads
Nutrient Offset Program & Buffer Mitigation Program I Updated
Authorities for UMBI/MBI 03/26/2013
Tar -Pamlico River Basin Buffer and Tar -Pamlico Nutrient Strategy
Session Laws:
S.L. 2011-394
S.L. 1999-329 (part of G.S. 143B-282)
Administrative Rules:
15A NCAC 2B .0229 Nutrient Offset Payments for Non -Tar -Pamlico Basin Association Members
15A NCAC 2B .0255 Agricultural Nutrient Loading Goals
15A NCAC 2B .0256 Agricultural Nutrient Control Strategy
15A NCAC 2B .0257 Nutrient Management
15A NCAC 2B .0258 Basinwide Stormwater Requirements
15A NCAC 2B .0259 Protection and Maintenance of Existing Riparian Buffers
15A NCAC 2B .0260 Mitigation Program for Protection and Maintenance of Existing Riparian Buffers
15A NCAC 2B .0261 Delegation of Authority for the Protection and Maintenance of Existing Riparian Buffers
*Credits shown below are only for mitigation credits approved by the MBI, BPDP, and As -Built.
Eco Terra, LLC Britt & Hales MBI
Britt & Hales HUC 03020201, excluding Falls Watershed, Buffer Credit Ledger
Date Last Updated:
DWR Bank Parcel Project #: 20220293 V2
Total Credits Released To Date:
Sale/
Release Date
Purchaser or % Credit
Release
Project w/ HUC #
Credits
Released/Available to
Bank
Credits Debited/Sold
From Bank
Buffer Credit Balance
Gov't
Requiring
Square Feet
Acres
Square Feet
Acres
SquareAcres
Feet
*Credits shown below are only for mitigation credits approved by the MBI, BPDP, and As -Built.
Eco Terra, LLC Britt & Hales MBI
Britt & Hales HUC 03020201, excluding Falls Watershed, Nitrogen Credit Ledger
Date Last Updated:
DWR Bank Parcel Project #: 20220293 V2
Total Credits Released To Date:
Sale/
Release Date
Purchaser or%Credit
Release
Project w/HUC #
Credits Released/Available
to Bank
Credits Debited/Sold From
Bank
Nutrient Credit Balance
Gov't
Requiring
Pounds of
Nitrogen
Acres
Pounds of
Nitrogen
Acres
Pounds of
Nitrogen
Acres
Table 1. Britt & Hales Nutrient Offset & Riparian Buffer Mitigation Bank, NCDWR Project #2022-0293 V2, Project Credits
Neuse 03020201 - Outside Falls Lake
Project Area
N Credit Conversion Ratio (ft2/pound)
P Credit Conversion Ratio (ft2/pound)
19.16394
N/A
Credit Type
Location
Subject? (enter
NO if
ephemeral or
ditch'
Feature Type
Mitigation Activity
Min -Max Buffer
Width (ft)
Feature Name
Total Area (ft�)
Total (Creditable)
Area of Buffer
z
Mitigation (ft)
Initial Credit
Ratio (x:l)
%Full Credit
Final Credit
Ratio (x:l)
Convertible to
Riparian
Buffer?
Riparian Buffer
p
Credits
Convertibleto
Nutrient Offset?
Delivered
Nutrient Offset:
N (Ibs)
Delivered
Nutrient
Offset: P (Ibs)
Totals (ft2):
Total Buffer (ft2):
Total Nutrient Offset (ft2):
0
0
0.000 0.000 0.000
0
0
0
N/A
Enter Preservation Credits Below
Total Ephemeral Area (ft) for Credit
Total Eligible Ephemeral Area (ft)
Total Eligible for Preservation (ft)
Credit Type Location Subject? Feature Type Mitigation Activity Min -Max Buffer Feature Name
Width (ft)
TOTAL AREA OF BUFFER MITIGATION (TABM)
Mitigation Totals
Square Feet
Credits
Restoration:
0
0.000
Enhancement:
0
0.000
Preservation:
0
0.000
Total Riparian Buffer:
0
0.000
TOTAL NUTRIENT OFFSET MITIGATION
Mitigation Totals
I Square Feet
Nutrient Offset:
Nitrogen:1
0
0.000
Phosphorus:
0.000
Preservation Area Subtotals (ft)
1. The Randleman Lake buffer rules allow some ditches to be classified as subject according to 15A NCAC 02B .0250 (5)(a).
0
0
0
0.0%
0
0.0%
Total Area (sf)
Total (Creditable)
Area for Buffer
Mitigation (ft)
0
0
Ephemeral Reaches as %TABM
Preservation as %TABM
Initial Credit Final Credit Riparian
Ratio (x:1) %Full Credit Ratio (x:l) I Buffer Credits
last updated 08/03/2020