20170537 Ver 1_SAW201501799 Draft MP IRT Comments_20170911

Strickland, Bev
From: Dailey, Samantha J CIV USARMY CESAW (US) <[e-mail]>
Sent: Monday, September 11, 2017 1:47 PM
To: Daniel Ingram; Brad Breslow
Cc: Wells, Emily; Haupt, Mac; Wilson, Travis W.; Bowers, Todd; Tugwell, Todd J CIV
USARMY CESAW (US); Hughes, Andrea W CIV USARMY CESAW (US); Kim Williams;
[e-mail]
Subject: SAW -2015-01799 Hannah Bridge Mitigation Site (Neu -Con UMBI) EBX-Neuse I - Draft
Mitigation Plan IRT Comments
Attachments: CE Model for 404 and State Buffer Nutrient Bank Sites 21 April 2017.pdf; Hannah
Bridge Draft Mitigation Plan - IRT Comments (11 Sept 2017).pdf
Good afternoon Daniel,
Attached are the IRT comments for the Hannah Bridge Draft Mitigation Plan. The IRT requests that you revise the draft
mitigation plan according to the enclosed comments and re -submit for further evaluation. Please let me know if you
have any questions.
Thank you,
Sam
Samantha Dailey
Regulatory Project Manager
U.S. Army Corps of Engineers
Regulatory Division
3331 Heritage Trade Drive, Suite 105
Wake Forest, NC 27587
[phone], Ext. Ext. 22
[e-mail]

SAW -2015-01799
Hannah Bridge Mitigation Site — Neu -Con UMBI
EBX-Neuse I, LLC
Draft Mitigation Plan IRT Comments
September 11, 2017
U.S. AM Copts of Engineers Comments:
1. According to the Jurisdictional Determination issued on August 18, 2016, the site
contains 24.29 acres of existing wetlands. Table 2 on Page 8 indicates 3.27 wetland re-
establishment acres, 13.18 wetland high enhancement acres, 3.46 low enhancement acres,
and 7.27 preservation acres. The Public Notice identified 10.25 acres of high
enhancement wetland, 6.40 acres of low enhancement acres, and 7.27 preservation acres.
Please explain any discrepancies between the wetland treatment acreages listed in the
Public Notice and the current plan. Also please explain the difference between the
wetland acreages listed in Table 8 on page 22 of the current plan and the wetland
acreages submitted and approved with the JD.
2. Page 23, Section 4.4.1 states a utility crossing exists at the top of tributary HB 1. The
maps depict an easement break at the upper end of HB I and Table I indicates a road
crossing for HB 1. Please clarify.
3. Page 23, Threatened and Endangered Species: Please provide an estimate of vegetation
clearing for the project in acres. Also, please provide the number of trees that will be
removed for the restoration and enhancement activities. This information must be
submitted with the permit application.
4. Page 27, Section 7 states the total credits generated will be based on the as -built survey.
Please be aware that the total credits generated will be based on the approved mitigation
plan.
5. Page 27, Section 7.1: Please revise this section to state that initial allocation of credits is
contingent upon execution of the financial assurance document and issuance of the 404
permit.
6. Page 29, Section 8.1.1.2 states the reference stream is HB2. Figure 2 indicates that HB2
is proposed for restoration and enhancement activities and therefore, does not appear
suitable for use as a reference stream.
7. Please provide additional information regarding the proposed restoration and
enhancement activities for streams and wetlands:
a. Approximately 392 linear feet of HB2 is proposed for EII at a 2.5:1 ratio.
According to the design plans, and Figure 10, approximately 30-35 linear feet of
channel will have work conducted along one streambank to address bank erosion
and the buffer is undisturbed forest. This does not appear to support the proposed
2.5:1 ratio.
b. Approximately 579 LF of HB4 is proposed for restoration at a 1:1 ratio.
However, the design sheets indicate that the work proposed includes some
grading along the left bank and installation of 3 brush bed sills. This does not

appear to support a 1:1 ratio. Also, the lower end of HB4 is proposed for
enhancement at a 5:1 ratio. The existing conditions map depicts this area as
undisturbed forest and sheet P2 of the design plans indicates that the 50 foot
buffer and adjacent wetlands are not included in the 26.4 acres of planting. A
more appropriate ratio for the lower section of HB4 would be 10:1.
c. Wetlands adjacent to tributary HFI are depicted as forested, undisturbed wetlands
on the existing conditions map. Page 33 indicates that the buffer is intact but
invasive species are present throughout. Since the buffer is intact and undisturbed
and it is expected that all sites will be treated for invasive species throughout the
monitoring period, a more appropriate ratio for the existing stream is 10:1.
d. Table 11 indicates that 246 linear feet of stream channel will be created below the
existing HFI and through an existing wetland. It appears that the channel is being
created to accommodate the proposed restoration activities on Reach HB 1 and
may result in adverse and unnecessary impacts to the existing wetlands. For this
reason, we do not support generating credits associated with the proposed stream
creation.
e. According to the existing conditions map, HF2 is a ditch adjacent to and through
wetlands. According to Table 11, the sponsor proposes 149 LF as EIII at a 5:1
ratio. Page 34 states that a combination of headwater valley restoration and EII is
proposed for this reach. While a ditch feature is shown on the design sheets, the
feature is not labeled and no work is shown for this reach. Since the wetlands
adjacent to the upper portion of HF2 are proposed for enhancement at a 2:1 ratio,
we assume that the ditch will be filled to enhance the hydrology of the wetlands.
Please provide a map depicting all ditches that will be filled on the mitigation site.
f. Reach TH3 is proposed for enhancement Il at a 1:1 ratio. According to the design
sheets, the only work that will be conducted consists of some grading along —50%
of the right bank and the addition of log sills. This does not support the proposed
1:1 ratio.
g. The wetland area below and adjacent to the farm pond is proposed for
enhancement at a 2:1 ratio. On the existing conditions map, this area is depicted
as disturbed forest. There is one vegetation plot proposed for a small upland area
east of the pond. Figure 12 does not depict hydrology gauges or vegetation plots
in the wetland areas and the wetlands are not included in the 26.4 acres proposed
for planting. Please explain the rationale for the 2:1 ratio.
h. No information was provided on removal of the farm pond. Please provide a
description/plans regarding the process for pond removal and wetland restoration.
8. Page 45, Section 11: The plan states a detailed monitoring plan is provided in Figure 11.
Figure 11 depicts the location of vegetation plots, wetland gauges, and crest gauges.
Please revise the map to include proposed cross section locations. Also, please identify
vegetation plots associated with 404 credit generating areas versus state buffer nutrient
credit generating areas.
9. Page 45, Section 11: The plan states that success criteria is presented in Table 19. Table
19 provides information related (only) to monitoring.

10. Page 46, Section 11.3: Please revise the last sentence to state 4 bank full events in
separate years.
11. Page 46, Section 11.5: It appears that the lower end of TH3 is undisturbed forest and will
not require planting.
12. Page 47: Section 11.7 does not include any information and should be deleted.
13. Page 48, Section 11.8: Please delete this section. Adaptive management is addressed in
Section 13.
14. Page 48, Long Term Management Plan (LTM): The Rule requires that the mitigation
plan must provide a LTM plan that includes an itemized list of long term management
activities, an annual cost accounting, the amount of funding (endowment) that will be
provided, and the terms of the funding for these activities. Please provide this
information. Also, the plan indicates that the easement holder intends to hold the funds
in an investment account combined with other endowment funds. In order to ensure that
the LTM activities for the site have adequate funding, we discourage combining
mitigation site endowments in the same account.
15. Page 49, Adaptive Management Plan: In the event the IRT determines that corrective
actions are necessary, the sponsor should prepare a Corrective Action Plan for review and
approval by the IRT prior to beginning work.
16. Page 50, Financial Assurances. This section must provide specific information regarding
the process to be followed in the event of default including who will serve as obligee (the
Corps cannot direct the use of funds), the party that will serve standby trust or other
designee, and this section should specify that all proposed use of the funds and work
plans must be reviewed and approved by the Corps and IRT. The party agreeing to
receive funds and ensure the work is done must provide a signed statement to this effect
and a copy of this statement should be included in the mitigation plan. Also, we
recommend inclusion of a draft copy of the performance bond(s) with the draft mitigation
plan.
17. Please use the attached conservation easement template for mitigation sites that will
generate both 404 and DWR buffer nutrient credits.
18. Please provide a map depicting areas that will generate DWR buffer/nutrient credits.
19. All existing wetlands should be depicted and labeled on Figure 10 and the design plans.
Also, please explain why the boundaries of Wetland 9 (below the road crossing) as
depicted on Figure 10, do not match the boundaries depicted in the soil scientist report.
NC Division of Water Resources Comments:
1. In google earth aerials the 1993 aerial shows forested, and in 1999 several project areas
had been cleared.
2. Section 2.1.1- disagree with statements made, see above comment (google earth).
3. Pictures on page 14 refer to different wetlands, however, they are not identified in any of
the "primary" figures. Ultimately found map in Appendix B, DWR requests that if

pictures and a Table are referring to wetlands in the main body of the text, a map should
be listed with the other primary figures in the main document.
4. Wetland hydrology criteria -The wetland performance criteria for wetland hydrology will
be as stated in the October 2016 Mitigation Guidance (Bibb- 12% of the growing season),
the IRT will consider a year 1 and/or 2 exception as noted in the current Guidance.
5. Table 19-1 believe the Mitigation Guidance is from October of 2016.
6. DWR would recommend installing a few gauges adjacent to reach HBI and around the
proposed wetland enhancement area. In addition, adjacent to the filled ditch above reach
HF2 as well.
7. Typically, wetland gauges should downloaded monthly. Downloading at a quarterly
interval risks losing valuable data which may extend the monitoring period beyond 7
years for wetlands.
8. DWR recommends installing groundwater gauges adjacent and around reach HBI to
demonstrate that the wetlands are not impacted and in fact show that they will be
enhanced.
9. On design sheet S6 there are two diffuse flow structures planned to be installed at the
easement edge, however, after these structures a topo swale appears to channel flow back
toward the stream channel. These flow paths end up draining into a meander bend.
DWR recommends altering the design of the swale so it empties into a riffle, or construct
a floodplain pool that accepts flow from both swales and has one outlet directed at a
riffle. In fact, on design sheet S7 another flow path was diverted away from the initial
flow path but directed at a meander bend. DWR would recommend these confluences
occur a riffle, preferably that has some hardening associated with it (ie, constructed riffle
typical).
10. DWR does not believe the lower portion, below the crossing( sheet S9), of reach HB4
warrants restoration credit, nor does the EIII portion of HB4 warrant 5:1 credit.
11. DWR questions the credit ratio for the following project areas:
a. Wetland enhancement (3:1) above reach TH3,
b. Stream reaches HF 1 and HF2,
c. Any wetland enhancement at 2:1 located (>100 feet) away from the restored
stream channel, including the enhancement area located west of HB4.

RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:
SPACE ABOVE THIS LINE FOR RECORDER'S USE
PERMANENT CONSERVATION EASEMENT
THIS CONSERVATION EASEMENT ("Conservation Easement") made this
day of , 201_ by and between
("Grantor") and ("Grantee").
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.
RECITALS
WHEREAS, Grantor owns in fee simple certain real property situated, lying and
being in County, North Carolina, more particularly described in Exhibit A
attached hereto and incorporated herein (the "Property");
WHEREAS, Grantee is a charitable, not-for-profit or educational corporation,
association, or trust qualified under § 501 (c)(3) and § 170 (h) of the Internal Revenue
Code, and N.C. Gen. Stat. § 121-34 et seq., the purposes or powers of which include
one or more of the purposes (a) — (d) listed below;
(a) retaining or protecting natural, scenic, or open -space aspects of real

property;
(b) ensuring the availability of real property for recreational, educational,
or open -space use;
(c) protecting natural resources;
(d) maintaining or enhancing air or water quality.
WHEREAS, Grantor and Grantee recognize the conservation, scenic, natural, or
aesthetic value of the property in its natural state, which includes the following
natural communities: add or delete as appropriate: wetlands, streams, and riparian
buffers. The purpose of this Conservation Easement is to maintain streams, wetlands
and riparian resources and other natural values of approximately _acres, more or
less, and being more particularly described in Exhibit B attached hereto and
incorporated fully herein by reference (the "Conservation Easement Area"), and
prevent the use or development of the Conservation Easement Area for any purpose
or in any manner that would conflict with the maintenance of its natural condition.
WHEREAS, the restoration, enhancement and preservation of the Conservation
Easement Area is a condition of the approval of the Mitigation Banking Instrument
(MBI) and Mitigation Plan for the _
Army (DA) Action ID Number SAW -
the
Mitigation Bank in the
Mitigation Bank, Department of the
entitled "Agreement to Establish
River Basin within the State of
North Carolina", to be made and entered into by and between
acting as
the Bank Sponsor and the Wilmington District Corps of Engineers (Corps), in
consultation with the North Carolina Interagency Review Team (IRT). The
Mitigation Site has been approved by the Corps for use as a mitigation bank to
compensate for unavoidable stream and wetland impacts authorized by DA permits.
WHEREAS, the restoration, enhancement and preservation of the Conservation
Easement Area is also a condition of the approval of the Riparian Buffer
and Nutrient Offset Mitigation Banking Instrument (MBI) and Bank Parcel Development
Package (BPDP) for the Riparian Buffer and Nutrient Offset Mitigation
Bank, North Carolina Division of Water Resources (NCDWR) Project ID# ,
which was approved by the NCDWR, and will be made and entered into by and
between , acting as the Bank Sponsor, and the NCDWR. The
Riparian Buffer and Nutrient Offset Site is intended to be used to
compensate for riparian buffer and nutrient impacts to surface waters.
WHEREAS, Grantor and Grantee agree that third -party rights of enforcement
shall be held by the NCDWR and the Corps (to include any successor agencies) ("Third -
Parties"), and may be exercised through the appropriate enforcement agencies of the
United States and the State of North Carolina, and that these rights are in addition to,
and do not limit, the rights of enforcement under the NC DWR Project ID# _
and the Department of the Army instrument number SAW -
("Mitigation Banking Instrument"), or any permit or certification issued by the Third -
Parties.
NOW, THEREFORE, for and in consideration of the covenants and
representations contained herein and for other good and valuable consideration, the

receipt and legal sufficiency of which is hereby acknowledged, Grantor hereby
unconditionally and irrevocably grants and conveys unto Grantee, its heirs, successors
and assigns, forever and in perpetuity a Conservation Easement of the nature and
character and to the extent hereinafter set forth, over the Conservation Easement Area
described on Exhibit B, together with the right to preserve and protect the conservation
values thereof, as follows:
ARTICLE I.
DURATION OF EASEMENT
This Conservation Easement shall be perpetual. This Conservation Easement is
an easement in gross, runs with the land and is enforceable by Grantee against Grantor,
Grantor's personal representatives, heirs, successors and assigns, lessees, agents and
licensees.
ARTICLE II.
PROHIBITED AND RESTRICTED ACTIVITIES
Any activity on, or use of, the Conservation Easement Area inconsistent with
the purpose of this Conservation Easement is prohibited. The Conservation
Easement Area shall be preserved in its natural condition and restricted from any
development that would impair or interfere with the conservation values of the
Conservation Easement Area.
Without limiting the generality of the foregoing, the following activities and
uses are expressly prohibited, restricted or reserved as indicated hereunder:
A. Disturbance of Natural Features. Any change disturbance, alteration or
impairment of the natural features of the Conservation Easement Area or any
introduction of non-native plants and/or animal species is prohibited.
B. Construction. There shall be no constructing or placing of any building,
mobile home, asphalt or concrete pavement, billboard or other advertising
display, antenna, utility pole, tower, conduit, line, pier, landing, dock or any other
temporary or permanent structure or facility on or above the Conservation
Easement Area.
C. Industrial, Commercial and Residential Use. Industrial, residential and/or
commercial activities, including any rights of passage for such purposes are
prohibited.
D. Agricultural, Grazing and Horticultural Use. Agricultural, grazing, animal
husbandry, and horticultural use of the Conservation Easement Area are prohibited.
E. Vegetation. There shall be no removal, burning, destruction, harming,
cutting or mowing of trees, shrubs, or other vegetation in the Conservation Easement
Area except as provided in the Mitigation Plan and Bank Parcel Development Plan.
Mowing of invasive and herbaceous vegetation for purposes of enhancing planted or

volunteer trees and shrubs approved in the Mitigation Plan and BPDP is allowable once
a year for no more than five consecutive years from the date on page I of this
Conservation Easement, except where mowing will negatively impact vegetation or
disturb soils. Mowing activities shall only be performed by and shall not
violate any part of Item L of Article II.
F. Roads and Trails. There shall be no construction of roads, trails or walkways
on the Conservation Easement Area; nor enlargement or modification to existing
roads, trails or walkways.
G. Signage. No signs shall be permitted on or over the Conservation Easement
Area, except the posting of no trespassing signs, signs identifying the conservation
values of the Conservation Easement Area, signs giving directions or proscribing rules
and regulations for the use of the Conservation Easement Area and/or signs identifying
the Grantor as owner of the Conservation Easement Area.
H. Dumping or Storage. Dumping or storage of soil, trash, ashes, garbage,
waste, abandoned vehicles, appliances, machinery or hazardous substances, or toxic or
hazardous waste, or any placement of underground or aboveground storage tanks or
other materials on the Conservation Easement Area is prohibited.
I. Excavation, Dredging or Mineral Use. There shall be no grading, filling,
excavation, dredging, mining or drilling; no removal of topsoil, sand, gravel, rock, peat,
minerals or other materials, and no change in the topography of the land in any
manner on the Conservation Easement Area, except to restore natural topography or
drainage patterns. For purposes of restoring and enhancing streams and wetlands
within the Conservation Easement Area, is allowed to perform grading,
filling, and excavation associated with stream and wetland restoration and
enhancement activities as described in the Mitigation Plan and authorized by
Department of the Army Nationwide Permit 27.
J. Water Quality and Drainage Pattern. There shall be no diking, draining,
dredging, channeling, filling, leveling, pumping, impounding or related activities, or
altering or tampering with water control structures or devices, or disruption or
alteration of the restored, enhanced, or created drainage patterns. In addition,
diverting or causing or permitting the diversion of surface or underground water into,
within or out of the easement area by any means, removal of wetlands, polluting or
discharging into waters, springs, seeps, or wetlands, or use of pesticide or biocides is
prohibited.
K. Development Rights. No development rights that have been encumbered
or extinguished by this Conservation Easement shall be transferred pursuant to a
transferable development rights scheme or cluster development arrangement or
otherwise.
L. Vehicles. The operation of mechanized vehicles, including, but not limited to,
motorcycles, dirt bikes, all -terrain vehicles, cars and trucks is prohibited other than for
temporary or occasional access by the Enter Sponsor Name, the Grantee, its

employees and agents, successors, assigns, NCDWR, and the Corps for purposes of
constructing, maintaining and monitoring the restoration, enhancement and
preservation of streams, wetlands and riparian areas within the Conservation
Easement Area..
M. Other Prohibitions. Any other use of, or activity on, the Conservation
Easement Area which is or may become inconsistent with the purposes of this grant,
the preservation of the Conservation Easement Area substantially in its natural
condition, or the protection of its environmental systems, is prohibited.
ARTICLE III
GRANTOR'S RESEVERED RIGHTS
The Grantor expressly reserves for himself, his personal representatives, heirs,
successors or assigns, the right to continue the use of the Conservation Easement Area
for all purposes not inconsistent with this Conservation Easement, including, but not
limited to, the right to quiet enjoyment of the Conservation Easement Area, the rights
of ingress and egress, the right to hunt, fish, and hike on the Conservation Easement
Area, the right to sell, transfer, gift or otherwise convey the Conservation Easement
Area, in whole or in part, provided such sale, transfer or gift conveyance is subject to
the terms of, and shall specifically reference, this Conservation Easement.
Notwithstanding the foregoing Restrictions, Grantor reserves for Grantor, its
successors and assigns, including acting as the Bank Sponsor, the right to
construct and perform activities related to the restoration, enhancement, and
preservation of streams, wetlands and riparian areas within the Conservation
Easement Area in accordance with the approved Mitigation Plan, the
Bank Parcel Development Package, and the two Mitigation Banking
Instruments described in the Recitals of this Conservation Easement.
ARTICLE IV.
GRANTEE'S RIGHTS
The Grantee or its authorized representatives, successors and assigns, the Corps
and NCDWR, shall have the right to enter the Property and Conservation Easement Area
at all reasonable times for the purpose of inspecting the Conservation Easement Area to
determine if the Grantor, or his personal representatives, heirs, successors, or assigns,
is complying with the terms, conditions, restrictions, and purposes of this Conservation
Easement. The Grantee, Enter Sponsor Name, and its authorized representatives,
successors and assigns, the Corps and NCDWR shall also have the right to enter and go
upon the Conservation Easement Area for purposes of making scientific or educational
observations and studies, and taking samples. The easement rights granted herein do
not include public access rights.
ARTICLE V
ENFORCEMENT AND REMEDIES
A. To accomplish the purposes of this Easement, Grantee, the Corps, and

NCDWR are allowed to prevent any activity on or use of the Conservation Easement
Area that is inconsistent with the purposes of this Easement and to require the
restoration of such areas or features of the Conservation Easement Area that may be
damaged by such activity or use. Upon any breach of the terms of this Conservation
Easement by Grantor that comes to the attention of the Grantee, the Grantee shall
notify the Grantor in writing of such breach. The Grantor shall have 30 days after
receipt of such notice to correct the conditions constituting such breach. If the breach
remains uncured after 30 days, the Grantee may enforce this Conservation Easement
by appropriate legal proceedings including damages, injunctive and other relief.
Notwithstanding the foregoing, the Grantee reserves the immediate right, without
notice, to obtain a temporary restraining order, injunctive or other appropriate relief if
the breach of the terms of this Conservation Easement is or would irreversibly or
otherwise materially impair the benefits to be derived from this Conservation
Easement. The Grantor and Grantee acknowledge that under such circumstances
damage to the Grantee would be irreparable and remedies at law will be inadequate.
The rights and remedies of the Grantee provided hereunder shall be in addition to,
and not in lieu of, all other rights and remedies available to Grantee in connection
with this Conservation Easement. The costs of a breach, correction or restoration,
including the Grantee's expenses, court costs, and attorneys' fees, shall be paid by
Grantor, provided Grantor is determined to be responsible for the breach. The Corps
and the NCDWR shall have the same rights and privileges as the said Grantee to
enforce the terms and conditions of this Conservation easement..
B. No failure on the part of the Grantee to enforce any covenant or provision
hereof shall discharge or invalidate such covenant or any other covenant, condition,
or provision hereof or affect the right to Grantee to enforce the same in the event of
a subsequent breach or default.
C. Nothing contained in this Conservation Easement shall be construed to
entitle Grantee to bring any action against Grantor for any injury or change in the
Conservation Easement Area resulting from causes beyond the Grantor's control,
including, without limitation, fire, flood, storm, war, acts of God or third parties, except
Grantor's lessees or invitees; or from any prudent action taken in good faith by Grantor
under emergency conditions to prevent, abate, or mitigate significant injury to life,
damage to property or harm to the Conservation Easement Area resulting from such
causes.
ARTICLE VI
MISCELLANEOUS
A. Warranty. Grantor warrants, covenants and represents that it owns the
Property in fee simple, and that Grantor either owns all interests in the Property which
may be impaired by the granting of this Conservation Easement or that there are no
outstanding mortgages, tax liens, encumbrances, or other interests in the Property
which have not been expressly subordinated to this Conservation Easement. Grantor
further warrants that Grantee shall have the use of and enjoy all the benefits derived
from and arising out of this Conservation Easement, and that Grantor will warrant and
defend title to the Property against the claims of all persons._

B. Subsequent Transfers. The Grantor agrees to incorporate the terms of this
Conservation Easement in any deed or other legal instrument that transfers any
interest in all or a portion of the Conservation Easement Area. The Grantor agrees to
provide written notice of such transfer at least sixty (60) days prior to the date of the
transfer. The Grantor and Grantee agree that the terms of this Conservation Easement
shall survive any merger of the fee and easement interests in the Conservation
Easement Area or any portion thereof and shall not be amended, modified or
terminated without the prior written consent and approval of the Corps.
C. Assignment. The parties recognize and agree that the benefits of this
Conservation Easement are in gross and assignable provided, however that the
Grantee hereby covenants and agrees, that in the event it transfers or assigns this
Conservation Easement, the organization receiving the interest will be a qualified
holder pursuant to 33 CFR 332.7 (a)(1), N.C. Gen. Stat. § 121-34 et seq. and § 501 (c)(3)
and § 170 (h) of the Internal Revenue Code, and the Grantee further covenants and
agrees that the terms of the transfer or assignment will be such that the transferee or
assignee will be required to continue in perpetuity the conservation purposes
described in this document.
D. Entire Agreement and Severability. The combined Mitigation Banking
Instruments: MBI with corresponding Mitigation Plan, and MBI with corresponding
BPDP, and this Conservation Easement sets forth the entire agreement of the parties
with respect to the Conservation Easement and supersedes all prior discussions,
negotiations, understandings or agreements relating to the Conservation Easement. If
any provision is found to be void or unenforceable by a court of competent jurisdiction,
the remainder shall continue in full force and effect.
E. Obligations of Ownership. Grantor is responsible for any real estate taxes,
assessments, fees, or charges levied upon the Property. Grantor shall keep the
Property free of any liens or other encumbrances for obligations incurred by Grantor.
Grantee shall not be responsible for any costs or liability of any kind related to the
ownership, operation, insurance, upkeep, or maintenance of the Property, except as
expressly provided herein. Nothing herein shall relieve the Grantor of the obligation to
comply with federal, state or local laws, regulations and permits that may apply to the
exercise of the Reserved Rights.
F. Long -Term Management. Grantor is responsible for all long-term
management activities associated with fencing. These activities include the
maintenance and/or replacement of fence structures to ensure the aquatic resource
functions within the boundaries of the Protected Property are sustained.
G. Extinguishment. In the event that changed conditions render impossible the
continued use of the Conservation Easement Area for the conservation purposes, this
Conservation Easement may only be extinguished, in whole or in part, by judicial
proceeding.

H. Eminent Domain. Whenever all or part of the Conservation Easement Area
is taken in the exercise of eminent domain so as to substantially abrogate the
Restrictions imposed by this Conservation Easement, Grantor and Grantee shall join in
appropriate actions at the time of such taking to recover the full value of the taking,
and all incidental and direct damages due to the taking.
I. Proceeds. This Conservation Easement constitutes a real property interest
immediately vested in Grantee. In the event that all or a portion of the Conservation
Easement Area is sold, exchanged, or involuntarily converted following an
extinguishment or the exercise of eminent domain, Grantee shall be entitled to the fair
market value of this Conservation Easement as determined at the time of the
extinguishment or condemnation.
J. Notification. Any notice, request for approval, or other communication
required under this Conservation Easement shall be sent by registered or certified mail,
postage prepaid, to the following addresses (or such address as may be hereafter
specified by notice pursuant to this paragraph):
To Grantor:
[Name, address and fax number]
To Grantee:
[Name, address and fax number]
To Sponsor:
To the Corps:
US Army Corps of Engineers
Wilmington District Regulatory Division
69 Darlington Avenue
Wilmington, NC 28403
To NCDEQ -DWR:
NCDEQ— Division of Water Resources
401 & Buffer Permitting Branch
1617 Mail Service Center
Raleigh, NC 27699-1601
K. Failure of Grantee. If at any time Grantee is unable or fails to enforce this
Conservation Easement, or if Grantee ceases to be a qualified grantee, and if within a
reasonable period of time after the occurrence of one of these events Grantee fails to
make an assignment pursuant to this Conservation Easement, then the Grantee's
interest shall become vested in another qualified grantee in accordance with an
appropriate proceeding in a court of competent jurisdiction.
L. Amendment. This Conservation Easement may be amended, but only in
a writing signed by all parties hereto, and provided such amendment does not
affect the qualification of this Conservation Easement or the status of the Grantee
under any applicable laws, and is consistent with the conservation purposes of this

grant.
M. Present Condition of the Conservation Easement Area. The wetlands, scenic,
resource, environmental, and other natural characteristics of the Conservation
Easement Area, and its current use and state of improvement, are described in Section
of the Mitigation Plan,_prepared by Grantor and acknowledged by the Grantor
and Grantee to be complete and accurate as of the date hereof. Both Grantor and
Grantee have copies of this report. It will be used by the parties to assure that any
future changes in the use of the Conservation Easement Area will be consistent with
the terms of this Conservation Easement. However, this report is not intended to
preclude the use of other evidence to establish the present condition of the
Conservation Easement Area if there is a controversy over its use.
TO HAVE AND TO HOLD the said rights and easements perpetually unto Grantee for
the aforesaid purposes.
IN TESTIMONY WHEREOF, the Grantor has hereunto set his hand and seal, the day
and year first above written.
(Signatures of the Grantor and Grantee in appropriate form)