20160980 Ver 2_20160980v2 _Meadow Spring_MY5_Credit Release Request_20231023

3600 Glenwood Avenue, Suite 100
Raleigh, NC 27612

Corporate Headquarters
6575 West Loop South, Suite 300
Bellaire, TX 77401
Main: 713.520.5400

October 20, 2023
CREDIT RELEASE REQUEST FORM
To: NCDEQ-DWR Nutrient Offset & Buffer Banking Coordinator
From: Jamey McEachran ([e-mail], 919-623-9889)
Through: Environmental Banc and Exchange-Neuse I, LLC (EBX-Neuse I, LLC)
We formally request a credit release for the Meadow Spring Riparian Buffer and Nutrient Offset
Mitigation Site (DWR Project # 2016-0980 V2) for completion of Task # 9: Monitoring Report #5
per the approved credit release schedule, which is included in the Attachments with this request. The
following documents have been submitted to DWR for Task #8 and are pending review:
1) Year 5 Monitoring Report, 2) Credit Release Schedule (PDF from Approved BPDP, and Excel) and
3) Approved Credit Table (PDF from As-Built) 4) Continuation Certificate (Bond# 9332404)
Credits requested for release are detailed below:
Credit Type %
Release
Credit Amount
(include Units)
Notes/Comments
Buffer Restoration 10 19,236.800
Buffer Enhancement 10 2,680.500
Generated Nitrogen Nutrient Offset 10 427.10

Signature:

Attachments: 1) Approved Project Credit Table, 2) Approved Credit Release Schedule, 3) Excel Credit
Release Schedule
Additionally we included:
1) Continuation Certificate (Bond 9332404)

Upon approval of closeout EBX-Neuse would request this bond be retired.
VIII. CREDIT RELEASE SCHEDULE
A. Upon submittal of all appropriate documentation by the Sponsor, and subsequent approval
by DWR, it is agreed that the mitigation credits associated with each individual Bank Parcel
will become available for sale to a third party in accordance with Credit Release Schedules.
B. A Credit Release Schedule shall be provided in each site-specific BPDP included in this
Instrument and shall outline Bank Parcel milestones expected to be completed for each
mitigation bank. Credit Release Schedules approved in the BPDP will be based on the
completion of these Bank Parcel milestones.
C. In general, Bank Parcel milestones and the percentage of credits most often released upon
completion are described in Table 5.0 below:
Table 3.0 - Credit Release Schedule for Riparian Buffer and Nutrient Offset Credits
Task Project Milestone
Credit
Available for
Sale
1
Instrument and BPDP Approved by DWR, Conservation Easement
Recorded* and I±inancial Assurance Posted 20
Mitigation Site Earthwork, Planting and Installation of Monitoring Devices
Completed 20
3 Monitoring Financial Assurance Posted and Approval of As -Built Report 10
4 Monitoring Report #l: Approved by the DWR** 10
5 Monitoring Report #2: Approved by the DWR** 10
6 Monitoring Report #3: A22roved by the DWR** 10
7
Item B (1) of Section X in this Instrument has been completed and
approved by DWR, 5
No remaining credits will be released until the conservation easement has
been assigned to an approved land trust or stewardship
3 Monitoring Report #4: Approved by the DWR** 5
9
Monitoring Report #5: Approved by the DWR** and final site visit by
DWR has 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 success criteria contained within the
approved BPDP
D. 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.
E. DWR may consider a Credit Release Schedule for a Bank Parcel based on the extent of
change between current onsite conditions and proposed post construction conditions.
F. The Sponsor must initiate implementation of the approved BPDP for each site under this
Instrument in concurrence with all stream and/or wetland mitigation activities proposed in
the approved Mitigation Plans referenced in Item D of Section IV of this Instrument.
12
Meadow Spring 3 Baseline Monitoring Report
Mitigation Site October 2019

The Sponsor may use the 4.42 acres (192,368 ft2) of riparian restoration generated on the non-forested
pasture for either Neuse riparian buffer credits or Nitrogen nutrient offset credits, but not both. The
Sponsor must submit a written request and receive written approval from DWR prior to any credit
conversions and transfers to the buffer and nutrient offset credit ledgers. With each conversion and
transfer request submitted to the DWR, the Sponsor will provide all updated credit ledgers showing all
transactions that have occurred up to the date of the request.

1.4 Riparian Restoration and Enhancement Approach

The land uses adjacent to the streams purposed for buffer restoration and enhancement were primarily
composed of forested and non-forested pasture which were grazed by livestock, but also included, row-
crops, maintained lawns, and hardwood forests.

Restoration activities based on the design approach included meandering the channel within the natural
valley, backfilling the existing stream, reconnecting the channel to its floodplain, removing the existing
dam embankment (the pond) and restoring hydrology to historically drained wetlands. Diffuse flow is
maintained throughout the mitigated riparian areas.

Enhancement also occurs in areas of grazing adjacent to the stream in accordance with the Consolidated
Buffer Mitigation Rule 15A NCAC 02B .0295 (o)(6). RES installed cattle exclusion fencing in all riparian
areas where enhancement credit under this part of the rule is being requested to exclude access to riparian
areas and their associated streams. All fencing was installed to NRCS specifications.

All riparian restoration areas were planted from top of bank back at least 50 feet from the stream with bare
root tree seedlings on an eight by eight foot spacing to achieve an initial density of 680 trees per acre. Bank
planting and stabilization also incorporates the use of a riparian seed mix and temporary ground cover to
prevent erosion after construction. The buffered channels provide water quality and habitat functions within
the sensitive Neuse River watershed, such as nutrient and sediment removal, filtration of runoff, and
improved aquatic and terrestrial habitat. Some areas adjacent to the forested areas may require maintenance
Riparian
Zone
Credit
Type Mitigation Type Existing
Acreage
Credit Per
Acre (ft 2)Ratio % Full
Credit Mitigation Assets
Riparian
Buffer Restoration 1.87 43,560 1:1 100%81,474 ft² (1.87 ac)
Riparian
Buffer
Enhancement via Cattle
Exclusion 0.69 43,560 2:1 100%15,002 ft² (0.34 ac)
Riparian
Buffer Restoration 2.55 43,560 1:1 100%110,894 ft² (2.55 ac)
Riparian
Buffer
Enhancement via Cattle
Exclusion 0.27 43,560 2:1 100%5,775 ft² (0.13 ac)
Riparian
Buffer
Enhancement via Cattle
Exclusion 0.84 43,560 2:1 33%6,029 ft² (0.14 ac)
4.42
Zone Credit
Type Mitigation Type Acreage Credit Per
Acre (lbs)Ratio
101-200'Nitrogen Restoration 1.88 2,273.02 N/A
1.88
Riparian Buffer Credit
51-100'
0-50'
101-200'
Total Enhancements 1.79 26,805 ft² (0.62 ac)
includes ratios & reductions
Total Restoration 192,368 ft² (4.42 ac)
Nutrient Offset Credit
Mitigation Assets (lbs)
4,271lbs (1.88 ac)
4,271lbs (1.88 ac)TOTAL
Original Mit Plan Credits 189,486.00 29,627.00 4,114.00
Buffer Credit release schedule TOTAL (as-built) Credits: 192,368.00 26,805.00 4,271.00
Credit Release #%Buffer Restoration Buffer Enhancement Nitrogen
1 Instrument and BPDP Approved by DWR, Conservation Easement Recorded* and
Financial Assurance Posted 20% 37,897.200 5,925.400 822.800 11/20/2018
2 Mitigation Site Earthwork, Planting and Installation of Monitoring Devices Completed 20% 37,897.200 5,925.400 822.800 7/12/2019
3 Monitoring Financial Assurance Posted and Approval of As-Built Report 10% 20,533.700 1,410.600 497.750 1/8/2020
4 Monitoring Report #1: Approved by the DWR** & financial assurance renewed 10% 19,236.800 2,680.500 427.100 3/18/2020
5 Monitoring Report #2: Approved by the DWR** & financial assurance renewed 10% 19,236.800 2,680.500 427.100 1/13/2021
6 Monitoring Report #3: Approved by the DWR** & financial assurance renewed 10% 19,236.800 2,680.500 427.100 2/22/2022
7 Item B (1) of Section X in this Instrument has been completed and approved by DWR.5% 9,474.300 1,481.350 205.700 11/20/2018
8 Monitoring Report #4: Approved by the DWR** & financial assurance renewed 5% 9,618.400 1,340.250 213.550 4/12/2023
9 Monitoring Report #5: Approved by the DWR** and final site visit by DWR has been
conducted 10% 19,236.800 2,680.500 427.10 3/31/2024
FIDELITY AND DEPOSIT COMPANY OF MARYLAND
9332404
EBX -NEUSE I, LLC
NORTH CAROLINA DEPARTMENT OF ENVIRONMENTAL QUALITY-DIVISION OF WATER RESOURCES
$ 40,000.00
Meadow Spring Riparian Buffer & Nutrient Offset Mitigation SiteUMBI and BPDP; NCDWR #2016-0980v2
$ 150.00
FIDELITY AND DEPOSIT COMPANY OF MARYLAND
Vanessa Dominguez
10/17/2019
October 2, 2023
October 17, 2023
October 17, 2024
Authenticity of this bond can be confirmed at bondvalidator.zurichna.com or 410-559-8790

ZURICH AMERICAN INSURANCE COMPANY
COLONIAL AMERICAN CASUALTY AND SURETY COMPANY
FIDELITY AND DEPOSIT COMPANY OF MARYLAND
POWER OF ATTORNEY

KNOW ALL MEN BY THESE PRESENTS: That the ZURICH AMERICAN INSURANCE COMPANY, a corporation of the State of New
York, the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, a corporation of the State of Illinois, and the FIDELITY
AND DEPOSIT COMPANY OF MARYLAND a corporation of the State of Illinois (herein collectively called the "Companies"), by Robert
D. Murray, Vice President, in pursuance of authority granted by Article V, Section 8, of the By-Laws of said Companies, which are set forth
on the reverse side hereof and are hereby certified to be in full force and effect on the date hereof, do hereby nominate, constitute, and
appoint Melissa L. FORTIER, Donna L. WILLIAMS, Vanessa DOMINGUEZ, Michael J. HERROD, Lupe TYLER, Lisa A. WARD,
Terri L. MORRISON, Misty WRIGHT, Erin M. DENNISON, Andrea M. PENALOZA, Gina A. RODRIGUEZ, Amanda GEORGE,
of Houston, Texas, its true and lawful agent and Attorney-in-Fact, to make, execute, seal and deliver, for, and on its behalf as surety, and as
its act and deed: any and all bonds and undertakings, and the execution of such bonds or undertakings in pursuance of these presents,
shall be as binding upon said Companies, as fully and amply, to all intents and purposes, as if they had been duly executed and acknowledged
by the regularly elected officers of the ZURICH AMERICAN INSURANCE COMPANY at its office in New York, New York., the regularly
elected officers of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at its office in Owings Mills, Maryland., and the
regularly elected officers of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND at its office in Owings Mills, Maryland., in their
own proper persons.
The said Vice President does hereby certify that the extract set forth on the reverse side hereof is a true copy of Article V, Section 8, of
the By-Laws of said Companies, and is now in force.
IN WITNESS WHEREOF, the said Vice-President has hereunto subscribed his/her names and affixed the Corporate Seals of the said
ZURICH AMERICAN INSURANCE COMPANY, COLONIAL AMERICAN CASUALTY AND SURETY COMPANY, and
FIDELITY AND DEPOSIT COMPANY OF MARYLAND, this 26th day of July, A.D. 2023.
ATTEST:
ZURICH AMERICAN INSURANCE COMPANY
COLONIAL AMERICAN CASUALTY AND SURETY COMPANY
FIDELITY AND DEPOSIT COMPANY OF MARYLAND

By: Robert D. Murray
Vice President

_
By: Dawn E. Brown
Secretary

State of Maryland
County of Baltimore
On this 26th day of July, A.D. 2023, before the subscriber, a Notary Public of the State of Maryland, duly commissioned and qualified, Robert D.
Murray, Vice President and Dawn E. Brown, Secretary of the Companies, to me personally known to be the individuals and officers described in and who
executed the preceding instrument, and acknowledged the execution of same, and being by me duly sworn, deposeth and saith, that he/she is the said officer of
the Company aforesaid, and that the seals affixed to the preceding instrument are the Corporate Seals of said Companies, and that the said Corporate Seals and
the signature as such officer were duly affixed and subscribed to the said instrument by the authority and direction of the said Corporations.

IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my Official Seal the day and year first above written.

Iva Bethea
Notary Public
My Commission Expires September 30, 2023

Authenticity of this bond can be confirmed at bondvalidator.zurichna.com or 410-559-8790
EXTRACT FROM BY-LAWS OF THE COMPANIES
"Article V, Section 8, Attorneys-in-Fact. The Chief Executive Officer, the President, or any Executive Vice President or Vice President
may, by written instrument under the attested corporate seal, appoint attorneys-in-fact with authority to execute bonds, policies,
recognizances, stipulations, undertakings, or other like instruments on behalf of the Company, and may authorize any officer or any such
attorney-in-fact to affix the corporate seal thereto; and may with or without cause modify of revoke any such appointment or authority at any
time."
CERTIFICATE
I, the undersigned, Vice President of the ZURICH AMERICAN INSURANCE COMPANY, the COLONIAL AMERICAN
CASUALTY AND SURETY COMPANY, and the FIDELITY AND DEPOSIT COMPANY OF MARYLAND, do hereby certify that the
foregoing Power of Attorney is still in full force and effect on the date of this certificate; and I do further certify that Article V, Section 8, of
the By-Laws of the Companies is still in force.
This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of
Directors of the ZURICH AMERICAN INSURANCE COMPANY at a meeting duly called and held on the 15th day of December 1998.
RESOLVED: "That the signature of the President or a Vice President and the attesting signature of a Secretary or an Assistant Secretary
and the Seal of the Company may be affixed by facsimile on any Power of Attorney...Any such Power or any certificate thereof bearing such
facsimile signature and seal shall be valid and binding on the Company."
This Power of Attorney and Certificate may be signed by facsimile under and by authority of the following resolution of the Board of
Directors of the COLONIAL AMERICAN CASUALTY AND SURETY COMPANY at a meeting duly called and held on the 5th day of
May, 1994, and the following resolution of the Board of Directors of the FIDELITY AND DEPOSIT COMPANY OF MARYLAND at a
meeting duly called and held on the 10th day of May, 1990.
RESOLVED: "That the facsimile or mechanically reproduced seal of the company and facsimile or mechanically reproduced signature
of any Vice-President, Secretary, or Assistant Secretary of the Company, whether made heretofore or hereafter, wherever appearing upon a
certified copy of any power of attorney issued by the Company, shall be valid and binding upon the Company with the same force and effect
as though manually affixed.
IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seals of the said Companies,
this 2nd day of October, 2023.
Thomas O. McClellan
Vice President
TO REPORT A CLAIM WITH REGARD TO A SURETY BOND, PLEASE SUBMIT A COMPLETE DESCRIPTION
OF THE CLAIM INCLUDING THE PRINCIPAL ON THE BOND, THE BOND NUMBER, AND YOUR CONTACT
INFORMATION TO:
Zurich Surety Claims
1299 Zurich Way
Schaumburg, IL 60196-1056
[e-mail]
800-626-4577