Credit Release Task 8 -Hollowell

DocuSign Envelope ID: 6C5059C6-F966-4369-BOA5-E4B45BAF1CDD
ROY COOPER
Governor
ELIZABETH S. BISER
Secretary
RICHARD E. ROGERS, JR.
Director
NORTH CAROLINA
Environmental Quality
February 5, 2024
Tommy Cousins DWR ID# 2018-0180v2
Water & Land Solutions, LLC Wayne County
(via electronic mail: [e-mail])
Re: Hollowell Buffer Mitigation & Nutrient Offset Mitigation Banking Instrument (MBI)
Hollowell Credit Release — Task 8
Dear Mr. Cousins:
On November 28, 2023, the Division of Water Resources (DWR) received a Year 4 Monitoring
Report from Water & Land Solutions, LLC (WLS) for the Hollowell site. Overall, most of the site
conditions appear to look satisfactory with the vegetation exceeding performance criterion in most
plots. According to the data in the report, the coastal headwater streams are also meeting
performance criteria. Concerns regarding low stem heights and low vigor were noted by DWR
during the review of the report. A request for a site visit in the Spring of 2024 will be requested to
compare data submitted with the report with onsite conditions in preparation for a potential closeout
in Winter 2024-2025.
DWR received a bond rider and continuation certificate for performance bond (#SUR2002426) in the
amount of $40,000 issued to WLS from Frankenmuth Mutual Insurance Company to cover
monitoring and maintenance at the subject site. The term of this bond ends with the approval of the
Year 5 Monitoring Report by DWR. Future credit releases will be dependent on both the renewal of
this performance bond and the annual monitoring reports.
In accordance with the MBI, signed on April 4, 2019, the following Project Milestones have been
met and the corresponding credits shall be released:
Task/Milestones Credit
8) Monitoring Report #4: Approved by the DWR & financial assurance 5%
renewed
By copy of this correspondence, DWR confirms that you have satisfied the above requirements for
the Hollowell site. Therefore, the following credits are being released and are available to sell:
• 5% of the Nitrogen nutrient offset credits (0.05 x 63,978.69 lbs-N = 3,198.93 lbs-N)
are being released and are available to sell.
• 5% of the Neuse riparian buffer preservation credits (0.05 x 16,326 ft2 816.30 ft2) are
being released and are available to sell.
North Carolina Department of Environmental Quality I Division of Water Resources
512 North Salisbury Street 1 1611 Mail Service Center I Raleigh, North Carolina 27699-1611
NORTH CARCLINA
919.707.9000

DocuSign Envelope ID: 6C5059C6-F966-4369-BOA5-E4B45BAF1CDD
Hollowell Site
WLS
February 5, 2024
• 5% of the Neuse riparian buffer restoration credits excluding Coastal HW Stream
Restoration (0.05 x 216,188 ft2=10,809.40 ft2) are being released and are available to sell.
• 5% of the Neuse riparian buffer restoration credits associated with Coastal HW Stream
Restoration (0.05 x 428,850 ft2 = 21,442.50 ft2) are being released and are available to sell.
(these credits need to be recorded on the buffer preservation credit ledger & are not
transferrable to nutrient offsets)
Please note that nutrient offset credits generated at this site must be used for impacts in HUC
03020201 of the Neuse River Basin excluding the Falls Lake Watershed pursuant to 15A NCAC
02B .0703, which became effective on April 1, 2020. Additionally, the riparian buffer credits
must be used for impacts in the Neuse River Basin in accordance with guidelines in the
Consolidated Buffer Mitigation Rule, 15A NCAC 02B .0295, which became effective on
November 1, 2015.
Upon receipt of this correspondence, update all credit ledgers accordingly. Please contact Katie
Merritt at [phone] if you have any questions regarding this correspondence.
Sincerely,
DocuSigned by:
Akc6d I
B2 973 6 2 A4... ,
MicAae j'etraj, Deputy Director
401 & Buffer Permitting Branch
cc:File Copy (Blake Hartshorn)
Water & Land Solutions, LLC — Riane Welbourne (riane&waterlandsolutions.com )
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