WQ0003271_Final Permit_20230914

ROY COOPER
Governor
ELIZABETH S. BISER
Secretary
RICHARD E. ROGERS, JR.
Director
NORTH CAROLINA
Environmental Quality
September 14, 2023
TONY KONSUL — DIRECTOR, STATE OPERATIONS
CAROLINA WATER SERVICE, INC. OF NORTH CAROLINA
POST OFFICE BOX 240908
CHARLOTTE, NORTH CAROLINA 28224
Subject: Permit No. WQ0003271
Hestron Park WWTP
High -Rate Infiltration System
Carteret County
Dear Mr. Konsul,
In response to your permit renewal request received on June 21, 2023, we are forwarding herewith
Permit No. WQ0003271 dated September 14, 2023, to Carolina Water Service, Inc. of North Carolina for
the continued operation of the subject wastewater treatment and high -rate infiltration facilities.
This permit is effective from January 1, 2024, through December 31, 2031, shall replace Permit
No. WQ0003271 issued on December 14, 2018, and is subject to the conditions and limitations therein.
The Permittee shall submit a renewal application no later than July 4, 2031.
Please pay attention to the monitoring requirements listed in Attachments A, B, and C for they may
differ from the previous permit issuance. Failure to establish an adequate system for collecting and
maintaining the required operational information may result in future non-compliance.
The Division has removed the following permit conditions since the last permit issuance dated
December 14, 2018:
➢ Old Condition IL3 — The Division has removed this condition because it is not applicable to
the facility.
➢ Old Condition IL 11— The Division has removed this condition because the Division issued the
original permit prior to January 1, 1993.
The following permit conditions are new or modified since the last permit issuance dated
December 14, 2018:
➢ Condition I.1—This condition requires the Permittee submit a Comprehensive Site Assessment
within 180 days of the effective date of this permit.
➢ Condition IV.7 — The Division modified this condition to require the Permittee to maintain
records at the facility for eight years.
➢ Condition IV.8 — The Division modified this condition to require the Permittee to keep
maintenance log records for eight years.
ME ��� North Carolina Department of Environmental Quality i Division of Water Resources
512 North Salisbury Street 11617 Mail Service Center I Raleigh, North Carolina 27699-1617
NORTH CAROLINA
©eca.. or 919,707,9000

Mr. Tony Konsul
September 14, 2023
Page 2 of 2
➢ Condition VI.10 —This condition requires the Penn ittee pay an annual fee for each year of the
term of this permit.
This permit can be contested as provided in Chapter 150B of the North Carolina General Statutes
by filing a Petition for a Contested Case Hearing (Petition) with the North Carolina Office of Administrative
Hearings (OAH) within 30 calendar days. Requirements for filing a Petition are set forth in Chapter 150B
of the North Carolina General Statutes and Title 26 of the North Carolina Administrative Code. Those
interested in filing may access additional information regarding the requirements for filing a Petition and
Petition forms at the OAH website or by calling the OAH Clerk's Office at [phone]. A party filing
a Petition shall serve a copy of the Petition on the Department of Environmental Quality's Office of General
Counsel at 1601 Mail Service Center, Raleigh, NC 27699-1601. If the party filing the Petition is not the
Permittee, then the party shall also serve the Permittee pursuant to G.S. 15013-23(a).
If you need additional information concerning this permit, please contact Leah Parente at (919)
707-3656 or leah.parentc&deq.nc.gov.
Sincerely,
DocuSigned by:
Nal� a�,t tc,l ��W0
D1043082080C483...
Richard E. Rogers, Jr., Director
Division of Water Resources
cc: Carteret County Health Department (Electronic Copy)
Wilmington Regional Office, Water Quality Regional Operations Section (Electronic Copy)
Laserfiche File (Electronic Copy)
Digital Permit Archive (Electronic Copy)

NORTH CAROLINA
ENVIRONMENTAL MANAGEMENT COMMISSION
DEPARTMENT OF ENVIRONMENTAL QUALITY
RALEIGH
HIGH -RATE INFILTRATION SYSTEM PERMIT
Pursuant to the provisions of Article 21 of Chapter 143, General Statutes of North Carolina as amended,
and other applicable Laws, Rules, and Regulations
PERMISSION IS HEREBY GRANTED TO
Carolina Water Service, Inc. of North Carolina
Carteret County
FOR THE
continued operation of a 67,000 gallon per day (GPD) wastewater collection, treatment, and high -rate
infiltration facility consisting of
approximately 1,065 linear feet (LF) of 8-inch gravity sewer, approximately 2,300 LF of 4-inch force main;
a bar screen; a flow splitter box; a dual path treatment plant each containing a 50,000 gallon aeration basin
and an 8,400 gallon clarifier; two 402 cubic foot per minute (CFM) blowers; a 7,500 gallon aerated sludge
holding tank; a 2,800 gallon chlorine contact tank; two tertiary filters each six feet in diameter; a 4,935
gallon mudwell; a 4,241 gallon clear well; a 0.36 acre high -rate infiltration area with two 7,854 square foot
(fe) rotary distributors; a 100 kilowatt (kW) automatically self -activated standby power unit; and all
associated piping, valves, controls, and appurtenances
to serve the Hestron Park WWTP, with no discharge of wastes to surface waters, pursuant to the application
received on June 21, 2023, and in conformity with the Division -approved plans and specifications
considered a part of this permit.
This permit is effective from January 1, 2024, through December 31, 2031, shall replace Permit No.
WQ0003271 issued on December 14, 2018, and is subject to the following conditions and limitations:
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I. SCHEDULES
1. Within 180 days of this permit's effective date, the Permittee shall submit a Comprehensive Site
Assessment (CSA) addressing the cause, significance, and extent of the groundwater contamination.
The site assessment shall meet all the requirements of 15A NCAC 02L .0111(b) including:
a. The source and cause of contamination.
b. Any imminent hazards to public health and safety, and any actions taken to mitigate them.
c. All receptors and significant exposure pathways.
d. The horizontal and vertical extent of soil and groundwater contamination and all significant factors
affecting contaminant transport.
e. Geological and hydrogeological features influencing the movement, chemical, and physical
character of the contaminants.
Work that is within the scope of the practice of geology and engineering, which involves site
assessment, the interpretation of subsurface geologic conditions, preparation of conceptual corrective
action plans or any work requiring detailed technical knowledge of site conditions shall be performed
by persons, firms, or professional corporations who are duly licensed to offer geological or engineering
services. The Permittee shall submit the CSA via the Non -Discharge Portal. [15A NCAC 02L
.0106(d)(2), 02L .0106(a), 02L .0111]
2. If the permitted facilities change ownership or the Permittee changes its name, the Permittee shall
submit a permit modification request on Division -approved forms within 90 days of the change of
ownership. The Permittee shall comply with all terms and conditions of this permit until the Division
transfers the permit to the successor -owner. [G.S. 143-215.1(d3)]
3. The Permittee shall request renewal of this permit on Division -approved forms no later than July 4,
2031. [15A NCAC 02T .0105(b), 02T .01091
II. PERFORMANCE STANDARDS
The Permittee shall operate and maintain the subject wastewater treatment and high -rate infiltration
facilities so there is no discharge to surface waters, nor any contravention of groundwater or surface
water standards. In the event the facilities do not perform as designed, including the creation of
nuisance conditions due to improper operation and maintenance, or failure of the infiltration areas to
assimilate the effluent, the Permittee shall take immediate corrective actions, including Division -
required actions, such as the construction of additional or replacement wastewater treatment or disposal
facilities. [15A NCAC 02T .0108(b)(1)(A)]
2. This permit shall not relieve the Permittee of its responsibility for contravention of groundwater or
surface water standards resulting from the operation of this facility. [15A NCAC 02T .0108(b)(1)(A)]
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3. The Permittee shall operate and maintain the permitted wastewater collection facilities pursuant to the
following criteria:
a. The Permittee shall operate and maintain the collection system to prevent discharge to land or
surface waters and to prevent contravention of groundwater or surface water standards.
b. The Permittee shall develop and maintain a map of the collection system.
c. The Permittee shall develop, implement, and maintain an operation and maintenance plan.
d. The Permittee shall inspect pump stations not connected to a telemetry system every day unless the
Division approves otherwise. The Permittee shall inspect pump stations connected to a telemetry
system once per week.
e. The Permittee shall inspect high -priority sewers once every six months.
f. The Permittee shall conduct a general observation of the entire collection system once per year.
g. The Permittee shall report overflows and bypasses to the Wilmington Regional Office pursuant to
15A NCAC 02B .0506(a) and the Permittee shall provide public notice as required by G.S. 143-
215.1C.
h. The Permittee shall develop, implement, and maintain a grease control program.
i. The Permittee shall maintain rights -of -way and easements.
j. The Permittee shall maintain documentation of compliance with the above requirements for three
years, except for the map, which the Permittee shall maintain for the life of the system.
[ 15A NCAC 02T .0403(a)]
4. Effluent quality shall not exceed the limitations specified in Attachment A. [ 15A NCAC 02T
.0108(b)(1)(A)1
5. The Permittee shall not infiltrate effluent in exceedance of the hydraulic specified in Attachment B.
[15A NCAC 02T .0 1 08(b)(1)(A)]
6. For high -rate infiltration sites originally permitted on or after December 30, 1983, the Division has
established the compliance boundary 250 feet from the infiltration area boundary or 50 feet within the
property boundary, whichever is closest to the infiltration area boundary. Any exceedance of
groundwater standards at or beyond the compliance boundary shall require the Permittee to take
corrective action. The Division shall note any Division -approved relocation of the compliance
boundary in Attachment B. The Division shall consider multiple contiguous properties under common
ownership and permitted for use as a disposal system as a single property regarding the determination
of a compliance boundary. [15A NCAC 02L .0106(e), 02L .0107(b), 02L .0107(c), 02L .0107(fl, 02T
.0105(h), 02T .0705(y)]
7. The Division has established the review boundary midway between the compliance boundary and the
infiltration area boundary. Any exceedance of groundwater standards at or beyond the review boundary
shall require the Permittee to take preventative action. [ 15A NCAC 02L .0106(d), 02L .0108]
8. The Permittee shall notify the Division of any sale or transfer of property affecting a compliance
boundary (i.e., parcel subdivision). [15A NCAC 02L .0107(1)]
9. The Permittee or any landowner who owns land within the compliance boundary shall not construct
any water supply wells within the compliance boundary. [ 15A NCAC 02L .0107(i)1
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10. The Permittee shall operate and maintain the permitted facilities pursuant to the following setbacks:
a. The Division originally permitted the infiltration sites on November 22, 1985 (Permit No. 12482),
with an application received on August 13, 1985. The setbacks for high -rate infiltration sites
originally permitted or modified with an application received from September 13, 1981, through
September 30, 1987, are as follows (all distances in feet):
i. Surface waters classified SA: 100
ii. Surface waters classified non -SA: 50
iii. Drainage ditches: 25
iv. Each impounded public surface water supply: 500
v. Each public shallow groundwater supply (less than 50 feet deep): 500
vi. Each private groundwater supply: 100
[15A NCAC 02H .0404(a)(4), 02H .0404(a)(5)]
b. The Division originally permitted the treatment units on November 22, 1985, with an application
received on August 13, 1985. The setbacks for treatment units originally permitted or modified
with an application received from September 13, 1981, through September 30, 1987, are as follows
(all distances in feet):
I. Each on -property residential unit if the unit is to be sold:
ii. Each property line:
10'
102
Habitable residences or places of assembly under separate ownership constructed after the
Division originally permitted or subsequently modified the facilities are exempt from this
setback.
2 Setbacks to property lines are not applicable when the Permittee, or the entity from which the
Permittee is leasing, owns both parcels separated by the property line.
[15A NCAC 02H .0404(g)(2)]
III. OPERATION AND MAINTENANCE
The Permittee shall operate and maintain the subject facilities as anon -discharge system. [15A NCAC
02T .0101]
2. The Permittee shall maintain an Operation and Maintenance Plan, which shall include:
a. A description of the operation of the system in sufficient detail to show what operations are
necessary for the system to function and who shall conduct the operations.
b. A description of the anticipated maintenance of the system.
c. Provisions for safety measures, including restriction of access to the site and equipment.
d. Spill control provisions that include response to upsets and bypasses, including control,
containment, and remediation; and contact information for personnel, emergency responders, and
regulatory agencies.
[ 15A NCAC 02T .0707(a)]
3. Upon the Water Pollution Control System Operators Certification Commission's (WPCSOCC)
classification of the subject non -discharge facilities, the Permittee shall designate and employ a certified
Operator in Responsible Charge (ORC), and one or more certified operators as Back-up ORCs. The
ORC or its Back-up shall operate and visit the facilities as required pursuant to 15A NCAC 08G .0204
and 08G .0205. [15A NCAC 02T .0117]
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4. The Permittee shall take measures to prevent effluent ponding in or runoff from the infiltration area.
[ 15A NCAC 02T .0707(c)]
5. The Permittee shall test and calibrate the infiltration equipment once per permit cycle. [15A NCAC
02T .0707(d)]
6. The Permittee shall only infiltrate treated effluent from the Hestron Park WWTP onto the sites listed in
Attachment B. [15A NCAC 02T .07011
7. The Permittee shall not allow vehicles or heavy machinery on the infiltration area, except during
equipment installation or maintenance activities. The Permittee shall take caution to protect the
integrity of the infiltrative area. [ 15A NCAC 02T .0707(e)]
8. The Permittee shall prohibit public access to the wastewater treatment, storage, and infiltration
facilities. [15A NCAC 02T .0705(p)]
9. The Permittee shall dispose of or utilize generated residuals in a Division -approved manner. [15A
NCAC 02T .0708, 02T .1101].
10. The Permittee shall not divert or bypass untreated or partially treated wastewater from the subject
facilities. [15A NCAC 02T .0705(i)]
11. The Permittee shall establish and maintain a protective vegetative cover on all berms, pipe runs, erosion
control areas, surface water diversions, and earthen embankments (i.e., the outside toe of the
embankment to the maximum allowable temporary storage elevation on the inside of the embankment).
The Permittee shall remove all trees, shrubs, and other woody vegetation from earthen dikes and
embankments. The Permittee shall keep all earthen embankments mowed or otherwise controlled and
accessible. [ 15A NCAC 02T .0707(a)]
12. The Permittee shall test and calibrate metering equipment annually. [15A NCAC 02T .0707(d)]
13. The Permittee shall provide and maintain onsite an automatically activated standby power source
capable of powering all essential treatment units. If the Permittee employs a generator as an alternate
power supply, the Permittee shall test it weekly. [15A NCAC 02T .0705(k)]
14. The Permittee shall clean the infiltration areas once per permit cycle to remove deposited materials that
may impede the infiltration process. The Permittee shall maintain cleaning records at the facility for
eight years and shall make them available to the Division upon request. Prior to each cleaning, the
Permittee shall notify the Wilmington Regional Office, telephone number [phone]. [15A
NCAC 02T .0707(h)]
IV. MONITORING AND REPORTING
1. The Permittee shall conduct and report any Division -required monitoring, including the monitoring of
groundwater, surface water or wetlands, waste, wastewater, residuals, soil, treatment processes, lagoon
or storage ponds, and plant tissue, if necessary to evaluate this facility's impact on groundwater and
surface water. [ 15A NCAC 02T .0108(c)]
2. A Division -certified laboratory shall conduct all analyses for the required parameters specified in
Attachments A and C. Parameters measured on -site with in -line metering equipment are exempt from
a Division -certified laboratory analysis. [15A NCAC 02H .0805]
3. The Permittee shall continuously monitor flow through the treatment facility and report daily flow
values on Form NDMR. Facilities with a permitted flow of less than 10,000 GPD may estimate its
flow from water usage records provided the water source has a metering device. [15A NCAC 02T
.0105 k , 02T .0108(c)1
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4. The Permittee shall monitor the treated effluent at the frequencies and locations for the parameters
specified in Attachment A. [15A NCAC 02T .0105(k), 02T .0108(c)]
5. The Permittee shall maintain records tracking the amount of effluent infiltrated, which shall include the
following information for each infiltration site listed in Attachment B:
a. Date of infiltration.
b. Volume of effluent infiltrated.
c. Site infiltrated.
d. Length of site infiltration time.
e. Continuous weekly, monthly, and year-to-date hydraulic (inches/acre) loadings.
f Continuous monthly and year-to-date loadings for any non -hydraulic parameter specifically
limited in Attachment B.
g. Weather conditions.
[ 15A NCAC 02T .0108(c)1
6. On or before the last day of the month following the previous month's sampling, the Permittee shall
submit monitoring data (as specified in Conditions IV.3 and IVA) on Form NDMR for each PPI and
operation and disposal records (as specified in Condition IV.S) on Form NDAR-2 for every site in
Attachment B. If no activities occurred during the monitoring month, the Permittee shall still submit
monitoring reports documenting the absence of the activity. The Permittee shall submit the reports via
the Non -Discharge monitoring report portal. [15A NCAC 02T .0105(1)]
7. The Permittee shall maintain records of all residuals removed from this facility. The Permittee shall
maintain these records for eight years and shall make them available to the Division upon request.
These records shall include:
a. Name of the residuals hauler.
b. Non -Discharge permit number authorizing the residuals disposal, or a letter from a municipality
agreeing to accept the residuals.
c. Residuals hauling date.
d. Volume of residuals removed.
[ 15A NCAC 02T .0708(b)]
8. The Permittee shall keep a log of all maintenance done at this facility. The Permittee shall maintain
this log for eight years and shall make it available to the Division upon request. This log shall include:
a. Date of flow measurement device calibration.
b. Date of infiltration equipment calibration.
c. Visual observations of the plant and plant site.
d. Record of preventative maintenance (e.g.,
inspections, cleanings, etc.).
[I 5A NCAC 02T .0707(i)]
changing of equipment, adjustments, testing,
9. The Permittee shall sample monitoring wells MW-I, MW-2, MW-3, MW-4, and MW-5 at the
frequencies and for the parameters specified in Attachment C. [ 15A NCAC 02T .0105(m)]
10. On or before the last day of the month following the previous month's sampling, the Permittee shall
submit a Compliance Monitoring Form (GW-59) and its associated laboratory analyses for each
monitoring well in Attachment C. The Permittee shall submit the Compliance Monitoring Forms via
the Non -Discharge monitoring report portal. [15A NCAC 02T .0105(m)]
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11. Noncompliance Notification:
The Permittee shall report to the Wilmington Regional Office, telephone number [phone],
within 24 hours of first knowledge of the following:
a. Treatment of wastes abnormal in quantity or characteristic, including the known passage of a
hazardous substance.
b. Any process unit failure (e.g., mechanical, electrical, structural, etc.) that makes the facility
incapable of adequate wastewater treatment.
c. Any facility failure resulting in a discharge to surface waters.
d. Any time self -monitoring indicates the facility has gone out of compliance with its permit
limitations.
e. Ponding in or runoff from the infiltration sites.
Emergencies requiring reporting outside normal business hours shall call the Division's Emergency
Response personnel at the telephone number [phone]. All noncompliance notifications shall
file a written report to the Wilmington Regional Office within five days of first knowledge of the
occurrence, and this report shall outline the actions proposed or taken to ensure the problem does not
recur. [15A NCAC 02T .0108(b)(1)(A)1
V. INSPECTIONS
1. The Permittee shall perform inspections and maintenance to ensure proper operation of the wastewater
treatment and infiltration facilities. [15A NCAC 02T .0707(i)]
2. The Permittee shall inspect the wastewater treatment and infiltration facilities to prevent malfunctions,
facility deterioration, and operator errors that may result in discharges of wastes to the environment,
threats to human health, or public nuisances. The Permittee shall maintain an inspection log that
includes the date and time of inspection, observations made, and maintenance, repairs, or corrective
actions taken. The Permittee shall maintain this inspection log for eight years from the date of the
inspection and shall make this log available to the Division upon request. [15A NCAC 02T .0707(i),
02T .0707(j)1
Division -authorized representatives may, upon presentation of credentials, enter and inspect any
property, premises, or place related to the permitted wastewater treatment and infiltration facilities at
any reasonable time for determining compliance with this permit. Division -authorized representatives
may inspect or copy records maintained under the terms and conditions of this permit and may collect
influent, treatment process water, effluent, residual, soil, plant tissue, groundwater, or surface water
samples. [G.S. 143-215.3(a)(2)1
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Vl. GENERAL
1. The Permittee's failure to comply with this permit's conditions and limitations may subject the
Permittee to a Division enforcement action. [G.S. 143-215.6A, 143-215.6B, 143-215.6C]
2. This permit is effective only for the nature and volume of wastes described in the permit application
and Division -approved plans and specifications. [G.S. 143-215.1(d)1
3. There are no variances to administrative codes or general statutes governing the construction or
operation of the permitted facilities unless the Permittee specifically requested a variance in the
application and the Division approved the variance as noted in this permit's facility description. [15A
NCAC 02T .0105(b)]
4. This permit does not exempt the Permittee from complying with all statutes, rules, regulations, or
ordinances that other jurisdictional government agencies (e.g., local, state, and federal) may require.
[15A NCAC 02T .0 1 08(b)(1)(A)]
5. The Permittee shall retain this permit and the Division -approved plans and specifications for the life of
the permitted facilities. [15A NCAC 02T .0105(o), 02T .0116(d)]
6. The Permittee shall comply with all permit conditions and requirements until the proper closure of the
permitted facilities, or until another appropriate authority permits the facilities. [15A NCAC 02T
.0105 ]
7. This permit is subject to revocation or modification upon 60-day notice from the Division Director in
whole or part for:
a. Violation of any terms or conditions of this permit or 15A NCAC 02T.
b. Obtaining a permit by misrepresentation or failure to disclose all relevant facts.
c. The Permittee's refusal to allow authorized Department employees upon presentation of
credentials:
I. To enter the Permittee's premises where a system is located or where the Permittee keeps any
Division -required records under the terms and conditions of this permit.
ii. To have access to any permit -required documents and records.
iii. To inspect any monitoring equipment or method as required in this permit.
iv. To sample any pollutants.
d. The Permittee's failure to pay the annual fee for administering and compliance monitoring.
e. A Division determination that the conditions of this permit conflict with the North Carolina
Administrative Code or General Statutes.
[ 15A NCAC 02T .01101
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8. Unless the Division determines that the Permittee needs a permit modification for the construction of
facilities to resolve non-compliance with any environmental statute or rule, or the Division Director
grants a variance, expansion of the permitted facilities shall not occur if any of the following apply:
a. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has been convicted of
environmental crimes under G.S. 143-215.6B or under Federal law that would otherwise be
prosecuted under G.S. 143-215.6B, and the Permittee or any parent, subsidiary, or other affiliate of
the Permittee has abandoned or exhausted all appeals of this conviction.
b. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has previously abandoned
a wastewater treatment facility without properly closing the facility in accordance with its permit
or 15A NCAC 02T.
c. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has not paid a civil
penalty, and the Permittee or any parent, subsidiary, or other affiliate of the Permittee has
abandoned or exhausted all appeals of this penalty.
d. The Permittee or any parent, subsidiary, or other affiliate of the Permittee is currently not compliant
with any compliance schedule in a permit, settlement agreement, or order.
e. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has not paid an annual
fee pursuant to 15A NCAC 02T .0105(e)(2).
[ 15A NCAC 02T .0120(b), 02T .0120(d)]
9. Unless the Division Director grants a variance, the Division shall not renew this permit if the Permittee
or any affiliation has not paid an annual fee pursuant to 15A NCAC 02T .0I05(e)(2). [15A NCAC 02T
.0120 c , 02T .0120(d)]
10. The Permittee shall pay an annual fee for each year of the term of this permit pursuant to the schedule
in G.S. 143-215.31)(a). The Permittee shall continue to pay annual fees for any facility operating on
an expired permit that the Division has not rescinded or revoked. [ 15A NCAC 02T .0105(e)(2)]
Permit issued this the 14t1i day of September 2023
NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION
DocuSigned by:
N t v"W�
D1043082080C483...
Richard E. Rogers, Jr., Director
Division of Water Resources
By Authority of the Environmental Management Commission
Permit Number WQ0003271
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ATTACHMENT A — LIMITATIONS AND MONITORING REQUIREMENTS
Carolina Water Service, Inc. of North Carolina
PPI 001— WWTP Effluent
Certification Date: September 14, 2023
Permit Number: WQ0003271 Version: 5.0
EFFLUENT CHARACTERISTICS
EFFLUENT LIMITS
MONITORING REQUIREMENTS
PCS
Code
Parameter Description
Units of
Measure
Monthly Monthly
Average Geometric Mean
Daily Minimum
Daily Maximum
Measurement
Frequency
Sample
Type
00310
BOD, 5-Day (20 °C)
mg/L
10
Monthly
Composite
00940
Chloride (as Cl)
mg/L
3 x Year'
Composite
50060
Chlorine, Total Residual
mg/L
5 x Week
Grab
31616
Coliform, Fecal MF, M-FC Broth, 44.5 °C
#/100 mL
14
43
Monthly
Grab
50050
Flow, in Conduit or thru Treatment Plant
GPD
67,000
Continuous
Recorder
00610
Nitrogen, Ammonia Total (as N)
mg/L
4
Monthly
Composite
00625
Nitrogen, Kjeldahl, Total (as N)
mg/L
Monthly
Composite
00620
Nitrogen, Nitrate Total (as N)
mg/L
Monthly
Composite
00600
Nitrogen, Total (as N)
mg/L
Monthly
Composite
00400
pH
su
5 x Week
Grab
00665
Phosphorus, Total (as P)
mg/L
Monthly
Composite
70300
Solids, Total Dissolved — 180 °C
mg/L
3 x Year 1
Composite
00530
Solids, Total Suspended
mg/L
20
Monthly
Composite
1. The Permittee shall conduct 3 x Year sampling in March, July, and November.
WQ0003271 Version 5.0 Attachment A Page 1 of 1

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ATTACHMENT B — APPROVED LAND APPLICATION SITES AND LIMITATIONS
Carolina Water Service, Inc. of North Carolina
Certification Date: September 14, 2023
Permit Number: WQ0003271 Version: 5.0
INFILTRATION AREA INFORMATION
APPLICATION LIMITATIONS
Site Owner
Parcel No.
County
Latitude
Longitude
Net
Acreage
Dominant
Soil Series
Parameter
Rate
Units
1 Trip Betty Peter MHC, LLC i
635612954747000
Carteret
34.734616'
-76.804444'
0.18
--
01284 — Non -Discharge Application Rate
10
GPD/ft2
2 Trip Betty Peter MHC, LLC i
635612954747000
Carteret
34.735149'
-76.804355'
0.18
--
01284 — Non -Discharge Application Rate
10
GPD/ft2
Total:
0.36
1. Hestron Corporation, Inc. granted Carolina Water Service, Inc. of North Carolina permission to operate the wastewater facility and high -rate infiltration rotary distributors in an unrecorded easement
executed on July 24, 1986, as well as in a notice to the registrar in the Carteret County Register of Deeds Book 557 Page 443. The most recent deed made to Trip Betty Peter MHC, LLC recorded
in Book 1308 Page 483 of the Carteret County Register of Deeds references this easement.
WQ0003271 Version 5.0 Attachment B Page 1 of 1

THIS PAGE BLANK

ATTACHMENT C — GROUNDWATER MONITORING AND LIMITATIONS
Carolina Water Service, Inc. of North Carolina
Monitoring Wells: MW-1, MW-2, MW-3, MW-4, and MW-5
Certification Date: September 14, 2023
Permit Number: WQ0003271 Version: 5.0
GROUNDWATER CHARACTERISTICS
GROUNDWATER STANDARDS
MONITORING REQUIREMENTS
PCS Code
Parameter Description
Daily Maximum
Frequency Measurement
Sample Type
Footnotes
00680
Carbon, Total Organic (TOC)
mg/L
3 x Year
Grab
1,6
00940
Chloride (as Cl)
250
mg/L
3 x Year
Grab
1
31616
Coliform, Fecal MF, M-FC Broth, 44.5 °C
#/100 mL
3 x Year
Grab
1
00610
Nitrogen, Ammonia Total (as N)
1.5
mg/L
3 x Year
Grab
1
00620
Nitrogen, Nitrate Total (as N)
10
mg/L
3 x Year
Grab
1
00400
pH
6.5-8.5
su
3 x Year
Grab
1,2
00665
Phosphorus, Total (as P)
mg/L
3 x Year
Grab
1
70300
Solids, Total Dissolved - 180 °C
500
mg/L
3 x Year
Grab
1
GWVOC
Volatile Compounds (GW)
Present: Yes/No
Annually
Grab
1, 4, 5
82546
Water Level, Distance from measuring point
feet
3 x Year
Calculated
1, 2, 3
1. The Permittee shall conduct 3 x Year monitoring in March, July, and November, and Annual monitoring in November.
2. The Permittee shall measure the water levels prior to purging the wells. The Permittee shall measure the depth to water in each well from the surveyed point on the top of the casing. The Perminee
shall measure pH after purging and prior to sampling for the remaining parameters.
3. The Permittee shall survey the measuring points (top of well casing) of all monitoring wells to provide the relative elevation of the measuring point for each monitoring well. The Permittee shall
survey the measuring points (top of casing) of all monitoring wells relative to a common datum.
4. Volatile Organic Compounds (VOC) — Analyze by one or more of the following methods:
a. Standard Method 6200 B-2011, PQL at 0.5 �tg/L or less
b. Standard Method 6200 C-2011, PQL at 0.5 �tg/L or less
c. SW-846 Method 8021 B, Low Concentration, PQL at 0.5 gg/L or less
d. SW-846 Method 8260 D, Low Concentration, PQL at 0.5 gg/L or less
e. Another method with prior approval by the Water Quality Permitting Section Chief
Any method used shall meet the following qualifications:
a. A Division -certified laboratory shall run any method used.
b. The method used shall include all the constituents listed in Table 6200:I of Standard Methods.
c. The method used shall provide a PQL of 0.5 �tg/L or less supported by laboratory proficiency studies as required by the Division's Laboratory Certification Branch. A Division -certified
laboratory shall qualify (estimate) and report any constituents detected above the MDL but below the PQL of 0.5 gg/L.
5. If monitoring detects any volatile organic compounds (VOC), then the Permittee shall immediately contact the Wilmington Regional Office supervisor, telephone number [phone], for
further instructions regarding any additional follow-up analyses required.
WQ0003271 Version 5.0 Attachment C Page 1 of 2

ATTACHMENT C — GROUNDWATER MONITORING AND LIMITATIONS Certification Date: September 14, 2023
Carolina Water Service, Inc. of North Carolina Permit Number: WQ0003271 Version: 5.0
6. If monitoring detects TOC concentrations greater than 10 mg/L in any downgradient monitoring well, the Permittee shall conduct additional sampling and analysis to identify the individual
constituents comprising this TOC concentration. If the TOC concentration as measured in the background monitor well exceeds 10 mg/L, this concentration shall represent the naturally occurring
TOC concentration. Any exceedances of this naturally occurring TOC concentration in the downgradient wells are subject to additional sampling and analysis as described above.
7. The Permittee shall report monitoring well data on Compliance Monitoring Forms (GW-59s) consistent with the nomenclature and location information provided in this attachment.
WQ0003271 Version 5.0 Attachment C Page 2 of 2

Figure 1
WO0003271 Site Map
.r��•+ M_ Lt� ri+
WQ0003271 Version 5.0
Legend
Facilities
Fields
Monitoring Wells
r r���• �:, � i f P � _,.ram _
I
S"

UOPA
AGREEIU MT Poll ►S l� ►5aftY1.Cr.,
e
This Agreement is entered into this v.LA day of July, 1986 by and
between ilesiron Corporation, Inc„ a North C-oliaa corporallon (hereinafter
referred io as 'developer'), and Carolina Water Service, Inc. of North Carolina,
(hereinafter referred to as 'Utility').
IITNES,SIET1111
WHEREAS, Developer is the owner of certain seal estate in Carteret
County, North Carolina encompassing approximately 142 acres of land located
west of Morehead City; known as liestron Park; and more fully described on a
map prepared by James L. Powell which Is attached hereto as Exhibit 1, and
WHEREAS, Developer is In the process of developing the real estate into a
residential development and a commercial park which will contain a shopping
mall and numerous other commercial establishments when completed. The
Term "Development" as used in this Agreement refers to all of the above -
described land, and
WHEREAS, Utility Is a North Carolina public utility engaged in the
business of furnishing water and sewer service to the public in various areas
throughout North Carolina. 'rho Utility desires to have constructed and
installed, and the Developer desires to construct and install a sanitary sewer
system in the Development subject to the terms and conditions of this
Agfeamenl.
WHEREFORE, In consideration of the mutual covenants hereinafter set
forth, ilia parties hereto agree as follows:
ARTICLE ,-I-
Renresenletlons end Warrantlip s of Developer
1. The Developer represools and warrants:
a. That it owns the real estate in the Development. That said real estate
Is either owned by Charles Hester or lieslron Corporation. Inc.
b. That it will cooperate fully with the Utility in any and all
applications or petitions to public authorities deemed necessary or
desirable by the Utility in connection with ilia construction and
installation of ti►e sewer system contemplated by this Agreement
for so long as pelitlnns are in conformity with this Agreement.
la

C. That it will cooperate tally will, the Utility in leasing to the Utility
Ian area of land as shown on Exhibit 2 on which will be placed a
sawsge treatment disposal plant (perelnafesr referred to as S.T.P.
Land).
d. That it will convey to the Utility or provide by recorded subdivision
plats such easements or rights or way as the Utility may reasonably
require for the Utility's performaned Of its obligalions under Article
11 of this Agreement.
-HHTICLE 1f
011illglallons nr 111111110 and 1sese of inclillles
1. Within 20 days following the execution of this Agreement, the Utility will
flit a petition with tltd North Carolina Utilities Commission ('the
Commission');
a. requesting 111e issuance by the Commission of a Certificate of Public
Convenience and Necessity authorizing the, construction, operation
and maintenance of a public sewage collection and treatment system
to provide sewer service to file public, in the Development, and
IS. requesting an order of ilia Commission authorizing performance by
the Utility of this Agreement and authorizing rates, rules,
regulations and terms and conditions of service for sewer service in
the Development. The Utility will also seek any necessary approvals
for the construction, installaiion and Operation of a sewage
treatment plant and collection system in fist Development from all
necessary public authorifies.
2. At the request of Developer, Utility will perform certain management
services on behalf of Developer. Including but not limited to, the
following:
A. Provide consulting services to Developer concerning facilities type,
quality, size and location if anti as requested by Developer.
IS. Coordinate engineering plans with representatives of Developer,
Developer's engineers, the North Carolina Department of Human
Resources and other applicable regulatory bodies.
C. Inspect the construction and installation of all the sewer facilities to
be installed to thti 0evelopincn,

M
d. Attend public hearings and meetings with varlous regulatory
ASCOC14S and repretealatives of Developer.
e. Assiat in secaring necessary easements and rights of way for sewer
facilities installation,
3. Developer shall login The lower facilities installed within the
Development. and the S.T.P. Land to Utility for a period of five years from
the date of this Agreement. Upon the expiration of sold five year lease
period. Utility shall be given ilia option to purchase ilia sewer facilities
and equipment at the price and under Ilse conditions set forth in Article
Ill herein.
9. Utility shall make the following payments to Developer for the lease of
ilia sewer facilities and equipment {the 'Pacllities' as hereinafter
defined) and ilia S.T.F. Land for Ilia five year lease term as follows:
a. An initial tease payment in the amount of $10,000 at such time as the
sewage treatment plant is completed and operational and providing
service thereby.
b. Tour additional annual lease payments in ilia amount of S1,300 per
year, commencing July 1, 1987 and terminating with the final lease
payment due on July I, 1991.
RRYIEtt III
0atInn to Purcheae fecilllle.g
Upon the expiration of the five year lease. Utility shall be given an option, for
an additional six month period, to purchase the Facilities within the
Development for the following consideration:
A. Current and deferred purchase payments in the amount of $100 for
cacti residential at conin►ercial cusinmer equivalent ('Cusu►u)t:r
Equivalent") attaching to the sewer system in ilia Development,
commencing with the 1S0111 Cttstomet Equivalent and continuing
throughout the Development. Far the purposes of this agreement a
Customer Equivalent shall be calculated based upon a susialned
average water consumption of sewage effluent discharge of 350
gallons per day. 'rhe current portion of the purchase payment shall
be based upon ilia Customer Equivaltt►is connected to the Facilities
on the date of the purchase nptiun excersixe by Utility

b. Contingent purchase payments will be made by Utility to Developer
semi-aanustiy, hosed upon the tower Customer Equivalents
connected within the Development during the preceding six month
period.
C. All of the Facilities Installed by Developer pursuant to this
Agreement %hail become the property or the Utility, free and clear
of all liens and encumbrances, upon the exercise of this purchase
option. Developer shalt execute all conveyances, licenses and other
documents reasonably requested by Utility as necessary or desirable
in its opinion to Insure its ownership of, ready access to, and
operation and maintenance of the Facilities. Developer shall
furnish Utility with lien waivers in a form satisfactory to Utility's
counsel from Developer and from all suppliers, subcontractors and
all others who fnruish labor, equipment, materials, rentals, or who
perform any services In connection wish construction hereunder.
Developer &&roes to provide to Utility documentary evidence. In
form satisfactory to Utility. sufficient to establish the original cost
of the Facilities. Utility shall have at all times all right, title and
Interest in and to the Fucilisles as set forth In this Agreement.
ONicia . 10
toes Tau -On ..or_ _Connection Lens_
Utility hereby a&fees to reimburse Developer for any and all tap•in or
connection fees received from customers connecting to the sewer system In the
Development and taking service thereby. No sewer tap -on or connection fee, �J „�y�
tF�^" f1`1_
will be charged by Utility unless specifically requested by Developer in writing. -g .
As Developer develops its properly for either lease or sale, Developer reserves
the right to negotitate directly with said Purchaser ur proposed Lessee as to
What tap -on fee Developer will charge In PufchaSef to tie into the existing
sewage system.
IIRTIrt_E U
It is the intention of the parties hotel* that lire S.T.P. Land will be leased to
Utility during the first five years of ibis Agreement purseaat to the leans and
conditions of Article 11 herein. to the event 1li011r elects ter eectrtse its np11t5n
to purchase the Facilities at the expifiklion of said five year lesse perlod,
4

Developer hereby agrees to extend the lease oa the S.T.P. Land far an additional
95 yesfs, for a false Consideration of one lhundted Jnilrrn iS100) per year.
In the event that at any time during the period or the S.T.P. Land lease, Utility
connacis its $ewes* collection facilities to it municipal or county sewage system
and accordingly Is able to abandon or discontinue use of its sewage treatment
facilities, it is understood and agreed by the panies hereto that the S.T.P. Land
lease will terminate within slx months of the date of such connection. At such
time. Utility will have no further rights to utilize such S.T.F. Land antess
otherwise permitted or agreed to by Developer.
A RT L E.IL.._.II I
Lonstruction and InstaNetltsn _ at _ Fatllliltss BU ttapploner.
1. Developer will install, or will have installed by others, the Facilities
tbtoughout the Development as specified and described in the
engineering drawing prepared by Stroud Engineering Company and
attached hereto as Exhibit 2. Such Facilities, when installed, will meet or
exceed the engineering design specifications and capacity requirements
contained In ]Exhibit 2. All plans, specifications and construction shall be
in accordance wtih applicable standards, requirements, rules and
regulations and ageacies of the States of North Carolina and Cartaret
County.
2. The Facilities will include, but are not limited tit, all necessary sewage
treatment and collection facilities, including a 100.000 gallon -per -day
Sewage treatment plant with tertiary treatment and rotary distributors,
mains, service lines, lift stations, and all also reasonably required to
provide adequate sanitary sewage Service to customers connecting to the
sewage system within the Development. The sewage treaitteent plant will
meet all treatment and effluent limits and criteria as required by the
North Carolina Department of human Resources and other Federal, state
and local authorities.
3. All materials used Shall be new, first-class, and suitable far the uses made
thereof.
4. Developer guarantees all construction, materials, workmanship, and the
trouble -free operation of the Facilities far MA months after comPletmn nt
each phase or section. acceptance by Utility of each new development
5

added to said system, That further, Utility will not allow any other
Individuals to tie into said system without the express written, permission
of Developer.
i. Developer shall repair or cause to be repaired, promptly at no cost to
Utility, all damage to Utllity's facilllles caused by construction operations
until sit construction In the Development by or on behalf of Developer or
Its affiliates has been completed, only for those areas which have been
connected to said system, less then six months from their dale of hook up,
i.e. any developtttent or equipment hooked up to said system or connected
with said system which has been there for more titan six months, Repair
and maintenance of same shall be strictly with Utility.
6. Developer shall save and hold Utility harmless from and against all suits
and claims that may he loused upon any injury tp person or property
which may occur In llte course of the performance of the construction of
the Facilities by Developer, or anyone acting on Developer's behalf or
under Developer's supervision and control; however, after operation is
assumed by Utility, then Utility shall bear the obligation to hold
Developer harmless from and against all suits or claims based upon an
injury to any person or property that may occur in llte course of the
performance of the operation of said sewage treatment facility which are
under the direct control of Utility.
7. Developer shall, prior to transfer to Utility of the Facilities, grant
permanent, assignable easements satisfactory to Utility, authorizing
Utility to own, operate and maintain site facilities anti providing
reasonably adequate rights of access and working space ft►r such
purposes.
8. Developer shall, upon transfer to Utility of the Facilities, provide to
Utility operating manuals, as -built drawings, and all other information
reasonably required to operate, maintain, and repair the Pacititles.
IIEIYICIE Uii
Suloggotterlt fncilittea Elloenalntl
1. to the event Developer acquires or develops additional land contiguous to
tloe Development, Utility agrees to provide sewer service to such area in
accordance with the rates, rules and regulations established bs the
Commission from time to time.
6

2, in ilea event additional sewage treatment plant expansions era required
to either Serve the Development or additional land contiguous to the
Development, they will be constructed and instilled in accordance with
Article Vi of the Agreement, and In compliance with all regulatory
requirements.
3. Utility agrees to waive at reimburse to Developer all tap -on or
connection fees, and to make additional defetted or contingent purchase
Itiymenls for all new customers connecting to the sewer system in The
new area In the amounts and under ilia terms as set forth in Article III
herein.
BITICL_gill
I. Upon installation of the sewage Irealmeat and collection faciiiiies
contemplated by this Agreement. Utility will own and maintain said
facilities in accordance wills the standards set by ail applicable
regulatory or governmental authorities. Any additional upgrading of ilia
sewage system, required by the North Carolina Department of Human
Itesourees or other State. Federal or local authorities, not connected with
expansion of the sewage treatment plant capacity, will be the obligation
of Utility at no furllier cost or expense to Developer.
2. In ilia event that, in accordance with this Agreement, ilia construction
and Installation of the sewage treatment facilities contemplated by this
Agreement are not completed within nine (9) months of the date of this
Agreement, neither party hereto shall have any further at other
obligation hereunder, despite the nature of the delay.
3. Except as provided in this Agreement, neither Harty to this Agreement
shall be liable to the Other rot failure, default or delay in performing any
of its obligation hereunder, if such failure, default or delay is caused by
strikes or other labor problems, by forces of nature, unavoidable
accident, fire, acts of the public enemy, interference by civil authorities,
acts or failure to act, decisions or orders or regulations of a n y
governmental or military body or agency, office or commission, delays in
receipt of materials, or any .other cause, whether of similar or diiSSliihilar
nature, not within the control of the party affected and which, by the
exercise of due diligence such party Is unable to prevent or overcome,
7

eAeept as otherwise provided for herain. Should any of the foregoing
events oecar, the parties hereto agree to proceed with diiigence to do
what is reasonable and necessary so that each party may perform lit
obligations under this Agreement,
4. The failvre of either party hereto to enforce stay of the provisions of this
Agreement or the waiver thereof in any instance by either Marty shall
not be construed as a general waiver or relinquishment on Its part or any
such provisions, but the, same shall, nevertheless, be and remain In full
force and effect.
5. The representations, warranties and agreements contshted heraln shall
survive, and continue in effect, after the payment for the Facilities.
Utility agrees to indemnify Developer, their successors and assigns, and
hold Developer harmless against any loss, damage, liability, expense or
cost accruing or resulting from any misrepresentation or breach of shy
representation, warranty or agreement on the part of Utility under this
Agreement; Developer agree to Indemnify Utility, Its successors and
assigns, and hold it and them harmless against any loss, damage, liability,
expense or cost of Utility, accruing or resulting from any
misrepresentation or breach of any representation, warrenly or
agreement on the part of Developer under this Agreement or from any
misrepresentation in or material omission from any certificate or other
document furnished or to be furnished to Utility by Developer.
6. Neither Developer not any entity or individual affiliated with Developer
have executed any agreement with any Iqt purchaser in the
Development, or any other parties, or made any representations to any
such purchasers or other parties whereunder such purchaser or other
parties have acquired any interest lit Facilities either installed or to be
installed under this Agreement.
7. This Agreement sets forth the complete understanding between
Developer and Utility, gild any amendments hereto to be effective must be
made in writing.
8. No0ces, correspondenct and Invoicing required hereunder shall be
given to Developer and to Utility at the ronowing addresses, or at any
other addresses designated in writing by either party subsequent ut the
date hereof;

If to Utility: Carolina Water Service. lac.
of North Carolina
2333 Sanders Road
Northbrook. Illinois 60062
Alto: Mr. perry U. Owens
Chairman & Chief
Executive Officer
If to Developer,' liestron Corporation
11.0. Box 2343
Durham, NC. 27707
Attn. Mr. Charles S. lietter
Delivery, when made by reglstered or certified mail, iball be deemed
complete upon mailing.
9. This Agreement shall be binding upon and Inure to the benefit of the
parties hereto and their respective successors and assigns.
ID. The Exhibits to this Agreement are a part hereof and are hereby
Incorporated In full by reference.
IN WITNESS WHEREOF, the parties hereto have tat their hands and seals
the day and year above first written.
Caraljpa_ Weer Service_ Int:_.
of Nnrth _Carnllea
Chairman �id C.fr.O.
A7'iES7'
Secretary
fly: 1' r 11j 1&tt-1'
President
A T:
%' ' r •-fit �'' y�L�'�r �� ...
Secretary
0

ORTH CAROLINA
AnTERET COUNTY ADDENDUM
THIS ADDENDUM, made and entered into this � _day of
_�`It-j _ _ 19fi6, by and between Ilestron Corporation, Inc
eeeinafter referred to as "Developer" and Carolina Water
ervices, Inc., hereinafter referred to as "Utility";
W I T N E S S E T 11:
THAT Nl1EREA9, the parties have hereunto set their hand and
real to an agreement dated theof' July, 1986, between
levbloper and Utility; and that
WHEREAS, the parties desire to amend some of the language as
,ontained in said Agreement, and to add certain clarifying
anguage to better set forth the obligations of each party;
NOW THEREFURE, It is hereby understood and agreed that the
greement dated the_ t.�L of July, 1986 is hereby amended as
ollows:
1. Notwithstanding any of the provisions of this Agreement,
t is understood and agreed that Utility will cooperate with
Developer In furnishing certain Information to the various regula-
tory agencies of the State and Federal Government charged with or
supervising the sewage treatment facilities in North Carolina so
:o provide that information required by them to increase the capa-
:ity of the sewage treatment facility to its fullest potential.
2. It is further agreed and understood that utility will
trot be responsible for any construction of, or the installation of
sny additional rotor equipment to expand said facility and that
ltility will be responsible only for the day to day maintenance
end repair and replacement of equipment as it wears out or needs
:o be replaced beyond the warranty period as set forth in the
agreement; however, nothing in this Agreement is to prevent
ltility from expanding said facility by adding to the present
ncility those items of equipment for the construction of addi-
lonal sewage treatment facilities to expand said facility with
:he express written permission of Developer.
3. The Contract is further amended to provide that should
ltility become unable to operate the sewage treatment facility for
rhatever reason, and that they are unable to find or sell said
"acility to another company who would operate said sewago treat-
nent facility and guarantee to Developer the continued operation
of said sewage treatment facility, then Utility will convey to
)eveloper any and all assets that have been conveyed to it
including all equipment, fixtures, rigilts-or-way, easements,
itc. However, Developer will be liable to Utility to repay
ltility for any capital construction, or the addition or any
.rguipment which would not be placed in said facility in the course
)f ordinary maintenance, those amounts paid by utility for said
construction and/or equipment, less the value that said equipment
ias been depreciated in accordance with the rules and regul.atiorls
.)r the Internal Revenue Service and the North Carolina Utilities
:oumissIon . That upon the payment of that. partir_ular sum to
ltility, then their right, title and interest in said property
�{ubject to this agreement shall terminate.
il. It is further agreed and understood that ail Ara valorem
r.axes for Carteret County and any municipality including fire tax
pn any of the assets subject to this agreement shall be tine sole
and separate obligation of Utility.
5. Article IV is amended to provide that all tap on fees
re to be controlled by Developer and Developer shall have the
bsolute and sole discretion as to who may tap on to said sewage
reatment facility and the price that shall be cliarged for said
ap on fee. This paragraph shall amend any and all of the other
provisions of Article IV which are at variance with this
mendment. All other terms and conditions of Article IV not at
ariance with this amendment shall remain in full force and
Erect.

-p-
6. Article VIII is amended to provide that "Paragraph 1,
Upon installation of the sewage treatment and collection facili-
ties contemplated by this Agreement, Utility will own, operate and
maintain said facilities in accordance with the standards set by
all applicable regulatory and governmental agencies, and in accor-
dersce with the terms and obligations with this agreement." All
other terns and conditions as set forth in Article VH I which are
not at variance with these amendments shall remain in full force
and effect.
H WITNESS WHEREOF, the parties hereto have set .their hands
and seals the day and year first above written.
CAROLINA WATER SERVICE, INC.,
OF N.Ciiji CAROLINA
Chairman and CEU
AT.TCST :
Secretary
H9STRON conpoflatoN
President
AT,rEST : SHAI.
r
--Secretary
WHX9XWPM*M ILLINOIS
COUNTY Of COOK
� /Gil% , a Notary Pablio or the
County and State foresaT�, ecru_ navi.ci 1i. nensaree
personally came before me this day and aekaoHle'dged tthat he
�
is the Secretary or Carolina Water Service, Inc. of
North Carolina, a� oeth Ca olina.-Corporation, and that by
authority duly given and as the act of the corporation, the
foregoing instrument was signed in its name by its_jQlAf•YlltD_., Cro
?iWft4XDVM , sealed with its corporate seal and attested
by pavc3�emarer&s its Secretary.
Witness my hand and notarial seal, this _ 29L•h _day of
July 1986.
otary ublli?
Mky Commission Expires:}d`yCo,nin;,,;0"Explra►occ.5.1907
NORTH CAROLINA
COUNTY OF
1, a Notary Public of the
County and State aforesaid, certify that
personally came before me this day and Acknowledged than he
Is Secretary of Hestron Corporation, Inc., a�
Corporation, and that by authority dilly
given and as the act of the corporation, the foregoing instrument
was signed in its name by lts__� _ President, sealed with
its corporate seal and attested by� as its Secretary.
Witness my hand and notarial seal, this _ day or
-, 1986.
Notary Pu1)1in
My Commission Expires:

AI)UFIND UM
'.'his Addeuduut, mate rind entered into iris _ Lilly of
September, IMi. by and belweeo like 11e9111)n Corpn(atiost, iisC. (hereinafter
referred to its "Developer") and Carolina Water Service, Inc. of North Carolina
(Ijc,r.:narIer reftm-d to as 'Utility"):
Whereas, the Developer anti the Utility have set their hands aitd seals
to an Agreement dated tilt 24th day of July, 1996, and to an amending
Addendum dated the 241h day of July, 086. and,
Whereas, the parties, in considuratiun of the aushnrity u( ilia Notch
Carolina flu hIic UIiIII-a& Commission (hereinaftel referred to as IIta
"Commitision'), IICVrrrr to clsrlly Certain language of said A&feeMont and
Adtlandnm, and to arnene: certain provisions contained therein,
ilie rerare, the parties do hereby understand and agree I11ae stud
Aeret-meol and Addendern is to be amendet' its follows:
1. h is under mod by the parties that Developer Intends to lease, and ilse
Uli:icy intents to aa1e from the Developer. the sewer ufllrty faciIII ies in be.
insla!':tr! within llte Dvvulrlpment and the land associated wills Said fat;lilies
for a period of five years (rnm the dale of the Agret:mtnt. It is further
undet%")d thal nt the end of the period of five years, the Utility sh;;ell have, for
;t wricu! of six months, an option in purchase said sewer facilmes for the
tunsider:u:+a art forth in the Ae'rc:nrem.
!t ii hereby ^-riried and understand and agreed its by the partie% (hat, if
at the end n'' five )Car period of Ih, lease, the Utlltty sllnuttl Llmo•.0 not : s
nurs:h:iq- the tewi:r floilhies, the parties will ihilliedialely suck a transfer In
the Dcve'i:per of the soviet utility fr:incbict: lgxitted to alto Utility by the
Comm:i6on. !n the evet`1 of ap;unval of llte transfer of sut:h franchise by the
1111IM .ion In DCw^opt:r. 1t,t.`n ,'t ,; iti,
':t t.!11 ttau::lrr till y I rrl'i t' :Uul
2, 'Art'cle IV of the afturmenlioned Agreemem enmains lice follitct•Ircp
pro•riciwv: "Yp sewer 1:;+, rat or cmiteenon fee will be charged by the l'tt'ily
a� sgecII!%-M!y revue -ed by the Developer in writing". 'rise par;ias hei giv
a};n`e th •! the provNion is hereby amencled us read: "Nn \d1ter t:tp•u i ar
c:wncctiun. Ire w.'I '••• chargwd '-y site Uti!,'s' unless spec rhi;IIty teglie stcd bl
:'te h•cve!tsper in wri::ng., and approved rev the Cmnmt.ttrnn".
i. Is ;v ftrr•her 1!1.,fI P mood and ^greed by tite pooh s heteui 111a1 t' C
'an!:ua:v of lt.+ro:+t,.r`t r er she Meco:um to the Aireeilwnt dated :•I July 1+1`11s
is anit•t•c'`:u Its t••ttd as nrlux,:
••'I is understood by llte parties hereto Owl Developer has Contitructed
s•t:d sr,ca,e irratm.:l p"Int at its $ale dial and etlivose, and rewills an
attlignOn•+ to a+,•+anti and modify said sewage plant, if and when finws 10
:he plant equal or exceed specified lisni!s act by regulatory aulhorilies.
he <ewagc Item menl plant and sewage Collection mains have boon
rCsien:•^ Ir serve land owned by Dcvulope r, and has nut hcen
cry,inecrrd !i? s•rv^ CorlilluouS ores clue it, !'inanc:ial cmmraiur,.

4
"AtHcle IV is, therefore, emended to provide that al: sewer tap•on fees
%v;thin the Develonrnent are to he controlled by tha Developer subject to
the approval of the Canimissitfn and Developer shall have >titsaiu,te ar,d
sole discretion as to who may tap on the said sewage tfealmettl facility
and the price Ihat shall be charred for said tap nn fee, provided that sitter
prise doe.t not exceed the nmoums authorfied for such itwer rap on or
connection fens carrindy approved by she Commi-ision for disc within
the Development. This paragraph shall amend any and all of llte other
provis!ons of Article IV which are at vuriance with this Amendment.
Alt other %ems and conditions of Article 1V not at variance with this
amendment ahul! remain in full force and effect."
In witness whereof, the parties hereto have set their hands and seals
the day and yaar first rbove wrimn.
Cnra�l' L-,-W er Service, Inc, or North Caro':,,
By:
Pe ti. O ens, Cttairmnn and CL•O
ATTEST:
Ilestron Corporation
By:_ ---
Charles S. Flester, fer"Ident
ATTEST.

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CAROUNA WATER SERVICE.INC.
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za Sandeisaoad p0 Box 103
MGM Gro1Me:
No1dS�leolS.leugi.6 M
3121498•6"0 Atlantic Beach,
NC 28512 AVWft
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February 13. 1987
TO WHOM IT MAY CONCERN:
Carolina Water Service, Inc. of N.C. owns and operates the WATER
and SEWER SYSTEM that services the following areas in Carteret
County, NC.
Hestron Park
Spooners Creek
Brandywine Bay
Pine Knoll Shores
The individuals to notify under the "Underground Damage Prevention
Act, Notice of Intent to Excavate" are A. C. Davis, Sonny Cunningham,
Joe Lawrence at Carolina Water Service, PO Box 103, Atlantic Beach,
NC 28512 or by calling [phone].
Signe
A. C. Davie
Area Manager n ���
u�pi �•/�� rfor said County and
State,.. • hereby certifyrthat /Tyl.• , Area Manager
peared before me on this day and affixed his signature to this
• t-document.:
,wi•'Aesa my }hand and official seal, this the day of
' 1987.
c.ofimissio.n expires
c.0t,
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CARDLtNR, CARTERTThr,.E�ntwasvr,-."
The foregoing cnrtificate(s) ois (ere) certified to he correct. .
sented fo gistraii nd recorded in this office it
Th s day oa I9Oat L O'clock 6.
Sharon Piner `
�Re�ster Deeds
By nt, Deputy
uo
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17

Joy Lawrence 5P
CARTERET COUNTY
JL Date 05/22/2009 Time 11:51100
OR 130a483 . Page 1'of 5
CARTERET COUNTY
37403 05/22/2002
$8 , 408.00
This Instrument thIazer�d"t rRET ya COUNTY
at
the.dete and time and in the Book and Page shown
on the feat page hereof.
Real Estatev��j
pL�IA Excise Tax
c-5
`"
NORTH CAROLINA GENERAL WARRANTY DEED
Excise Tax: $8,408.00
Parcel Identifier Nos.: 6356.12.95.1632; 6356.12.95.2434;
6356.12.96.2434 and 6356.12.96.4386
Mail after recording to:
Wyrick Robbins Yates & Ponton LLP, 4101 Lake Boone Trail, Ste. 300, Raleigh, NC 27607
This instrument was prepared by:
Wyrick Robbins Yates & Ponton LLP (JEF), 4101 Lake Boone Trail, Ste. 300, Raleigh, NC 27607
Brief Description for the Index:
THIS DEED made this day of May, 2009, by and between:
GRANTOR
HARBOOKBANK II, LLC
TRIP BETTY PETER MHC, LLC
4120 Iverson Street
Raleigh, NC 27604
The designation Grantor and Grantee as used herein shall include said parties, their heirs, successors, and
assigns, and shall include singular, plural, masculine, feminine or neuter as required by context.
WITNESSETH, that Grantor, for a valuable consideration paid by Grantee, the receipt of which is hereby
acknowledged, has and by these presents does grant, bargain, sell and convey unto Grantee in fee simple,
all that certain lot or parcel of land situated in the Morehead Township, Carteret County, North Carolina
and more particularly described as follows:
Those certain lands as are more particularly described in Exhibit A which is attached
hereto and made a part hereof by reference.
21506.3-573352 vi �fn

The property hereinabove described was acquired by Grantor by instrument recorded in Book 1214, Page
417, Carteret County Registry.
A map showing the above -described property is recorded in Map Book 28, Page 308, Carteret County
Registry,
TO HAVE AND TO HOLD the aforesaid lot or parcel of land and all privileges and appurtenances
thereto belonging to Grantee in fee simple.
And Grantor covenants with Grantee that Grantor is seized of the premises in fee simple, has the right to
convey the same in fee simple, that title is marketable and free and clear of all encumbrances, and that
Grantor will warrant and defend the title against the lawful claims of all persons whomsoever except for
the exceptions hereinafter stated. Title to the property hereinabove described is subject to the following
exceptions:
See attached Exhibit B.
(Signature page follows)
21508.3-573352 vl
BOOK Z&�_ PAW

IN WITNESS WHEREOF, Grantor has executed the foregoing as of the day and year first above
written.
HARBOOKBANK II, LLC
allorth �r rolinalimiciflpabDil'kty company
BY..r,
s.
David M. Mountcastle, Member/Manager
STATE OF NORTH CAROLINA
COUNTY OF
I certify that the foflowing person(s) personally appeared before me this day, each acknowledging
to me that he signed the foregoing document: David M. Mountcastle. Member/Manager of Harbookbank
11,11C, a North Carolina limited_ liability company.
Date: May J. 2009.
r Notary Public
LAURIE ROSLINSKI
NOTARY PUBLIC Notary Printed Name
WAKE COUNTY, N.C. My Commission Expires: O/!
(Official Seal)
21508.3-573352 v1 BOOK PAGE

EXHIBIT A
Legal Description
LYING AND BEING in Morehead Township, Carteret County, North Carolina and beginning at point
in the northern right-of-way of NC Highway 24, which point is further designated as being the southeast
comer of out parcel B, as shown in map entitled: Shop and Center Tract, recorded in Map Book 28, Page
35, Carteret County Registry. Running thence from said POINT OR PLACE OF BEGINNING and
running North 01' 19' 54" West 370.38 feet to a point; thence North 38' 00' 19" West 167.30 feet to a
point, said point being the southwest comer of the tract as shown in Book 720, Page 373, Carteret County
Registry; running thence from said point South 83' 50' 49" East 265.11 feet to a point; thence North 06°
09' 06" East 432.97 feet to a point; thence North 83° 50' 09" West 151.61 feet to a point center of the
ditch; running thence from said point North 06' 09' 11" East 271.58 feet to a point in the southern right-
of-way of US Highway 70, said point also being the northeast corner of that tract of land described by
Deed in Book 720, Page 373, Carteret County Registry; running thence from said point and running with
the southern right-of-way of US Highway 70 South 70' 53' 11" East 274.10 feet to a point; thence South
73' 04' 37" East 272.53 feet to a point; running thence from said point and leaving US Highway 70 South
14' 19' 50" West 232.03 feet to a point; thence South 75' 52' 52" East 106.81 feet to a point; thence South
01' 25' 08" West 155.00 feet to a point; thence South 07' 07' 48" West 384.44 feet to a point; thence
South 10' 19' 44" East 198.75 feet to a point in the northern right-of-way of NC Highway 24; running
thence with the northern right-of-way of NC Highway 24 South 81 ° 24' 31" West 213.40 feet to a point;
thence South 85' 48' 49" West 201.26 feet to a point; thence North 870 51' 58" West 215.20 feet to the
POINT OR PLACE OF BEGINNING.
The above described tract or parcel of land is subject to all easements and leases to Carolina Water
Services of North Carolina without alteration. There is further conveyed by Grantor to Grantee, all right,
title and interest that Grantor has in the easement in the agreement between MPD-Morehead City
Associates, L.P. as recorded in Book 601, Page 274, Carteret County Registry and as amended and
recorded in Book 649, Page 159, Carteret County Registry. As further conveyed all right, title and
interest in the agreement and easement concerning drainage by and between Hestron Corporation and
MPD-Morehead City Associates, L.P., as recorded in Book 601, Page 275, Carteret County Registry and
as modified in Book 649, Page 160, Carteret County Registry. It's also conveyed all right, title and
interest Hestron Corporation would have in that agreement in Book 649, Page 159, Carteret County
Registry.
There is further conveyed all rights=of--way, easements, lift stations and piping included in the sewer plant
located on the above -described tract or parcel of land, which was subject to an agreement between
Hestron Corporation and Carolina Water Services of North Carolina.
21508.3-513352 vl /

EXHIBIT B
Exceptions to Title
1. Taxes for the year 2009, and subsequent years, not yet due and payable.
2. Easement(s)to Carolina Telephone and Telegraph recorded in Contract Book 10 it Page 6; Book
511, Page 466; Book 422, Page 125.
3. Subject to Department of Transportation for either HWY 70 or Hwy 24, including drainage
ditches and temporary construction easements recorded in Book 257, Page 552; Book 798, Page
332; Book 798, Page 334: and Book 798, Page 336.
4. Easement(s) and/or Right of Way(s) to Carolina Power & Light Company recorded in Book 181
at Page 126; Book 181, Page 127; Book 181, Page 131; Book 181, Page 133 and Book 583, Page
249.
5. Drainage easement and agreement recorded in Book 601, Page 275 between Hestron Corporation
and NPD Morehead City Associates, LLP. This Agreement was modified in Book 649, Page
160.
6. Subject to a drainage easement and agreerrient recorded in Book 601, Page 274 and modified in
Book 649, Page 158.
7. Notice of Reservation of Rights by Carolina Water recorded in Book 557, Page 443.
8. Title to that portion of the Land within the right-of-way of HWY 24 and HWY 70.
9. Subject to matters shown on recorded Map Book 28 at Page 308 including Carolina Water
Service and others for access located on the Land.
10. Rights of other for ingress and egress purposes in and to the use of sewer plant located on the
Land.
11. Subject to matters which may exist or hereafter arise as a result of the placement and use of the
sewer plant tract for sewage disposal including including non-compliance with county, state and
federal regulations, fines, penalties, compliance order, clean up responsibilities, spills,
contamination and other environmental concerns.
12. Tract 4 appears to be encumbered by a Memorandum of Lease between Hestron Corporation and
Morris Communications Corporations, LLC in Book 1118, Page 445. While this lease appears to
be for 2 years and would expire in 2006, there is a first right of refusal which may have
implications beyond the 2 year term to renew the Lease.
13. Rights of others thereto entitled in and to the ditch(es) along the boundary line(s) of the Land.
14. All other easements, rights -of -way, restrictions, and encumbrances of record.
21508.3-573352 vl _
BOOK - PAGE