20150636 Ver 1_Credit Release Final (Ph I & II) Task 4_20180112

Wa ter Resources
ENVIRONMENTAL QUALITY
January 12, 2018
Mike Hermann
Watershed Investments NC, LLC
1630 Weatherford Circle
Raleigh, NC 27604
Re: Neville Farms Mitigation Bank Instrument (MBI)
Neville Farms Phase I Bank Parcel Credit Release — Task 4 (final)
Dear Mr. Hermann:
ROY COOPER
Governor
MICHAEL S. REGAN
sc rehll y
LINDA CULPEPPER
hitcrim Director
DWQ Project #: 2015-0636
Orange County
On December 14, 2017, the Division of Water Resources (DWR) issued a 5% credit release for
partial completion of Task 4. The release was issued for approval of the Year 1 Monitoring Report
submitted by Watershed Investments NC, LLC (WINC) for the Neville Farms Phase 1 Mitigation
Bank. It was noted in the credit release letter that the remaining 5% of the credit release would be
issued upon receipt of bond renewal.
On January 11, 2018, DWR received a continuation certificate for performance bond
(#CE00155800021) issued to WINC to cover monitoring and maintenance at the subject site. The
term of this bond applies through February 21, 2019. Therefore, WINC is required to renew the
performance bond prior to February 21, 2019 and is required to renew the bond annually for at least 4
more years. Future credit releases will be dependent on both the renewal of this performance bond
and the approval of the annual monitoring reports.
According to the MBI signed on January 7, 2016, the following Project Milestones for Phase I have
been met, and the corresponding credits shall be released:
Task/Milestones
Credit
4) Monitoring Report #1 Approved by the DWR (final) 5%
By copy of this correspondence, DWR confirms that you have satisfied the above requirements for
the above -referenced tract. Therefore, 5% of your Jordan Lake riparian buffer Preservation credits
(0.05 x 1,742.4 ft' = 87.12 ft') are now available for sale. Additionally, 5% of your generated
nitrogen nutrient offset credits (0.05 x 8,113.03 lb -N = 405.65 lb -N) are now available for sale.
Finally, 5% of your generated phosphorus credits (0.05 x 537.85 lb -P = 26.89 lb -P) are now
available for sale. Generated credits are credits that have not been applied to the appropriate delivery
factor.
State of North Carolina I Environmental Quality I Water Resources
1617 Mail Service Center I Raleigh, North Carolina 27699-1617
919 807 6300

Neville Farms Phase I
WINC
January 12, 2018
The delivery factors applied to this bank due to its location in the 14 -digit HUC 03030002060070 are
89% for nitrogen and 79% for phosphorous. Therefore, the total amounts of nutrient offset credits
for this site after application of delivery factors are 7,220.59 lb -N delivered and 424.90 lb -P
delivered. By copy of this correspondence, 5% of your delivered nitrogen offset credits (0.05 x
7,220.59 lb -N = 361.03 lb -N) are now available for sale. Additionally, 5% of your delivered
phosphorus credits (0.05 x 424.90 lbs -P = 21.25 lbs -P) are now available for sale. Please update
your credit ledgers accordingly.
Please note that only the delivered nutrient offset credits can be sold from this bank and must
be used for authorized impacts in the Upper New Hope Sub -watershed. Additionally, the
riparian buffer credits must be used for authorized impacts in the Upper New Hope Sub -
watershed according to guidelines in the Consolidated Buffer Mitigation Rule, 15A NCAC 02B
.0295, which became effective on November 1, 2015. Buffer Preservation credits cannot be
converted into nutrient offset credits.
Please feel free to call Katie Merritt at [phone] if you have any questions regarding this
correspondence.
KAH/kym
cc: File Copy (Katie Merritt)
Sincerely,
l
Karen Higgins, Supervisor
401 and Buffer Permitting Branch
I' c 2 1 2

Water Resources
ENVIRONMENTAL QUALITY
January 12, 2018
Mike Hermann
Watershed Investments NC, LLC
1630 Weatherford Circle
Raleigh, NC 27604
ROY COOPER
Governor
MICHAEL S. REGAN
sccrctnry
LINDA CULPEPPER
Interim Director
DWQ Project #: 2015-0636
Orange County
Re: Neville Farms Mitigation Bank Instrument (MBI)
Neville Farms Phase II Bank Parcel Credit Release — Task 4 (final)
Dear Mr. Hermann:
On December 14, 2017, the Division of Water Resources (DWR) issued a 5% credit release for
partial completion of Task 4. The release was issued for approval of the Year 1 Monitoring Report
submitted by Watershed Investments NC, LLC (WINC) for the Neville Farms Phase II Mitigation
Bank. It was noted in the credit release letter that the remaining 5% of the credit release would be
issued upon receipt of bond renewal.
On January 11, 2018, DWR received a continuation certificate for performance bond
(#CE00155800021) issued to WINC to cover monitoring and maintenance at the subject site. The
term of this bond applies through February 21, 2019. Therefore, WINC is required to renew the
performance bond prior to February 21, 2019 and is required to renew the bond annually for at least 4
more years. Future credit releases will be dependent on both the renewal of this performance bond
and the approval of the annual monitoring reports.
According to the MBI signed on January 7, 2016, the following Project Milestones for Phase I have
been met, and the corresponding credits shall be released:
Task/Milestones
4) Monitoring Report#1 Approved by the DWR (final)
Credit
5%
By copy of this correspondence, DWR confirms that you have satisfied the above requirements for
the above -referenced tract. Therefore, 5% of your Jordan Lake riparian buffer Preservation credits
(0.05 x 2,330.50 ft2 = 116.53 ft2) are now available for sale. Additionally, 5% of your Jordan Lake
riparian buffer Restoration credits (0.05 x 55,321.20 ft2 = 2,766.06 ft2) are now available for sale
The riparian buffer Preservation and Restoration credits must be used for authorized impacts
in the Upper New Hope Sub -watershed according to guidelines in the Consolidated Buffer
Mitigation Rule, 15A NCAC 02B.0295, which became effective on November 1, 2015.
State of North Carolina I Environmental Quality I Water Resources
1617 Mail Service Center I Raleigh, North Carolina 27699-1617
919 807 6300

Neville Farms Phase II
WINC
January 12, 2018
Please feel free to call Katie Merritt at [phone] if you have any questions regarding this
correspondence.
KAH/kym
cc: File Copy (Katie Merritt)
Sincerely,
-�CA�
(4
Karen Higgins, Supervisor
401 and Buffer Permitting Branch
Page 212