Notification of Non-Compliance - Britt & Hales MBI/BPDP

Please file the email thread below only. File in 2022-0293v2

From: Merritt, Katie
Sent: Thursday, May 4, 2023 3:43 PM
To: [e-mail]
Cc: Jordan Burbage <[e-mail]>; Hartshorn, Blake <[e-mail]>; Goss, Stephanie <[e-mail]>; Norton Webster <[e-mail]>
Subject: Notification of Non-Compliance - Britt & Hales MBI/BPDP

Good Afternoon Michael,

DWR received the attached documentation from McAdams notifying DWR that the Britt & Hales site was fully planted and ready for DWR to assess site conditions for the Task 2 milestone
according to the MBI. According to the attached notification letter, Eco Terra planted this site March 30, 2023 & April 1, 2023. The Bank Parcel Development Package (BPDP) was approved
on April 21, 2023 and the Mitigation Banking Instrument (MBI) was signed by Eco Terra on March 31, 2023 and DWR on April 21, 2023.

Eco Terra did not have an approved Banking Instrument (required under 15A NCAC 02B .0295 and 15A NCAC 02B .0703), nor did they have an approved BPDP for the site (required under 15A
NCAC 02B .0295 and 15A NCAC 02B .0703) prior to conducting activities for buffer mitigation and nutrient offset credits. Both rules referenced above clearly state that an approved plan
by DWR is required prior to conducting activities for buffer mitigation or nutrient offset credits. Secondly, Eco Terra submitted an MBI and BPDP to DWR that contained inaccurate and
falsified information.

Eco Terra is in non-compliance with 15A NCAC 02B .0295

Eco Terra is in non-compliance with 15A NCAC 02B .0703

Eco Terra is in non-compliance with the Approved Britt & Hales BPDP - submitted to DWR by Eco Terra on March 29, 2023, public noticed on March 31 and approved by DWR on April 21

Eco Tera is in non-compliance with the Approved Britt & Hales MBI – submitted to DWR by Eco Terra on March 31, 2023, public noticed on March 31 and approved on April 21.

At this time, DWR will not be able to proceed with the issuance of credit releases for the proposed buffer mitigation credits and proposed nutrient offset credits until these matters
have been discussed. DWR will discuss the non-compliance issues with Eco Terra and DWR management in the near future prior to determining further actions needed.

Thank you for your attention to this matter,

Katie

Katie Merritt

Nutrient Offset & Buffer Banking Coordinator

401 & Buffer Permitting Unit
North Carolina Department of Environmental Quality

Office: 919-707-3637

Work Cell: 919-500-0683

Website: https://deq.nc.gov/about/divisions/water-resources/water-quality-permitting/401-buffer-permitting-branch <https://deq.nc.gov/about/divisions/water-resources/water-quality-permitting/401-buffer-permitting-branch>

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