WQ0035720_Final Permit_20160824

Water Resources
ENVIRONMENTAL. GUALITY
PAT MCCRORY
Governor
DONALD R. VAN DER VAART
Secretary
S. JAY ZIMMERMAN
Director
August 24, 2016
ANDREW MCNEILL — PRESIDENT AND CEO
DENALI WATER SOLUTIONS, LLC
3308 BERNICE AVENUE
RUSSELLVILLE, ARKANSAS 72811
Dear Mr. McNeill:
Subject: Permit No. WQ0035720
Lake Kilby WTP
Distribution of Class A Water
Treatment Plant Residuals
Statewide Distribution
In accordance with your permit minor modification, name change and renewal requests received
on July 28, 2016 and August 10, 2016, we are forwarding herewith Permit No. WQ0035720 dated August
24, 2016, to Denali Water Solutions, LLC for the continued operation of the subject residuals management
program.
Modifications to the subject permit are as follows: Recent TCLP Analysis for the TCLP Hazardous
Waste Characteristic has shown the residuals to be non -hazardous. Therefore, the frequency for the
sampling of residuals for TCLP Analysis, as required in Attachment A and under Permit Condition N.2.,
has been reduced from Annually to Once per Permit cycle.
Please note that the name of the Permittee has been changed from Terra Renewal West, LLC to
Denali Water Solutions, LLC.
This permit shall be effective from the date of issuance until July 31, 2021, shall void Permit No.
WQ0035720 issued November 17, 2014, and shall be subject to the conditions and limitations as specified
therein. Please pay particular attention to the monitoring requirements listed in Attachment A for they may
differ from the previous permit issuance. Failure to establish an adequate system for collecting and
maintaining the required operational information shall result in future compliance problems.
Please note the following permit conditions have been removed since the last permit issuance
dated November 17, 2014:
Old Condition 116. — This condition has been removed because it is only applicable to
biological residuals. The subject residuals are from a water treatment plant, and are considered
non -biological under Title 40 Code of Federal Regulations Part 257.
Old Condition 1V.6. —This condition has been removed because it is not applicable to Class A
Water Treatment Plant residuals, and it is also inherently covered under Old Condition IV.7.
(i.e., new Condition N.6.).
State oFNorth Carolina I Environmental Quality I Water Resources I Water Quality Permitting I Non.Discharge Permitting
1617 Mail Service Center I Raleigh, North Carolina 27699-1617
919 847 6464

Mr. Andrew McNeill
August 24, 2016
Page 2 of 2
Please note the following permit conditions are new since the last permit issuance dated
November 17,2014:
➢ Condition II1.3. — This condition requires that a certified operator in responsible charge (ORC)
and one or more certified operators as back-up ORCs be employed if the Water Pollution
Control System Operators Certification Commission's (WPCSOCC) classifies the subject
facility.
If any parts, requirements or limitations contained in this permit are unacceptable, the Permittee
has the right to request an adjudicatory hearing upon written request within 30 days following receipt of
this permit. This request shall be in the form of a written petition, conforming to Chapter 150B of the North
Carolina General Statutes, and filed with the Office of Administrative Hearings at 6714 Mail Service
Center, Raleigh, NC 27699-6714. Unless such demands are made, this permit shall be final and binding.
If you need additional information concerning this permit, please contact David Goodrich at (919)
807-6352 or david.goodrich cr,ncdenr, gov.
Sincerely,
?S. Jay Zimmerman, P.G., Director
Division of Water Resources
cc: Jeff Retzke, Denali Water Solutions (Electronic Copy) (jeff.retzke2denaliwater.com)
Digital Permit Archive (Electronic Copy)
Central Files

I.
H.
NORTH CAROLINA
ENVIRONMENTAL MANAGEMENT COMMISSION
DEPARTMENT OF ENVIRONMENTAL QUALITY
RALEIGH
DISTRIBUTION OF CLASS A WATER TREATMENT PLANT RESIDUALS PERMIT
In accordance with 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
Denali Water Solutions, LLC
Statewide Distribution
FOR THE
continued operation of a residuals management program for Denali Water Solutions, LLC and consisting
of the distribution of Class A Water Treatment Plant residuals generated by the approved facility listed in
Attachment A with no discharge of wastes to surface waters, pursuant to the applications received July 28,
2016 and August 10, 2016, and in conformity with other supporting data subsequently filed and approved
by the Department of Environmental Quality and considered a part of this permit. The use and disposal of
residuals are regulated under Title 40 Code of Federal Regulations Part 257. This permit does not exempt
the Permittee from complying with the federal regulations.
This permit shall be effective from the date of issuance until July 31, 2021, shall void Permit No.
WQ0035720 issued November 17, 2014, and shall be subject to the following specified conditions and
limitations:
SCHEDULES
No later than six months prior to the expiration of this permit, the Permittee shall request renewal of
this permit on official Division forms. Upon receipt of the request, the Division will review the
adequacy of the facilities described therein, and if warranted, will renew the permit for such period of
time and under such conditions and limitations as it may deem appropriate. Please note Rule 15A
NCAC 02T .0105(d) requires an updated site map to be submitted with the permit renewal application.
[15A NCAC 02T .0108(b)(2), 02T .0105(d), 02T .0109]
PERFORMANCE STANDARDS
1. The subject residuals management program shall be effectively maintained and operated at all times so
there is no discharge to surface waters, nor any contravention of groundwater or surface water
standards. In the event the facilities fail to perform satisfactorily, including the creation of prolonged
nuisance conditions due to improper operation and maintenance, the Permittee shall immediately cease
distribution of residuals, contact the appropriate regional office supervisor, and take any immediate
corrective actions. [G.S. 143-215.1]
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This permit shall not relieve the Permittee of responsibility for damages to groundwater or surface
water resulting from the operation of this residuals management program. [ 15A NCAC 02B .0200,
02L.0100]
3. Only residuals generated by the facilities listed in Attachment A are approved for distribution in
accordance with this permit. [G.S. 143-215.1]
4. Pollutant concentrations in residuals distributed or applied to any land application site shall not exceed
the following Ceiling Concentrations or Monthly Average Concentrations (i.e., dry weight basis):
Parameter
Ceiling Concentration
(milligrams per kilogram)
Monthly Average
Concentration.
(milligrams per kilogram)
Arsenic
75
41
Cadmium
85
39
Copper
4,300
1,500
Lead
840
300
Mercury
57
17
Molybdenum
75
n/a
Nickel
420
420
Selenium
100
100
Zinc
7,500
2,800
[15A NCAC 02T. 1105]
Residuals that are distributed shall meet Class A pathogen reduction requirements in 15A NCAC 02T
.1106 (a) and (b)(2). Exceptions to this requirement shall be specified in Attachment A. [15A NCAC
02T .l 106]
6. Setbacks for Class A land applied bulk residuals shall be as follows:
Unless otherwise noted in Attachment A, "cake" residuals are those that have greater than 15%
solids by weight and can be stacked without flowing, as well as can be handled, transported and
spread as a solid (e.g., using a backhoe, front end loader, slinger spreader, broadcast spreader or
other equipment designed for handling solid materials) without leaving any significant liquid
fraction behind.
[15A NCAC 02T. 11081
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Setback by residual type
Setback Description
(feet)
Liquid
Cake 1
Private or public water supply
100
100
Surface waters (streams — intermittent and perennial,
perennial waterbodies, and wetlands)
100
25
Surface water diversions (ephemeral streams,
waterwa s, ditches)
25
0
Groundwater lowering ditches (where the bottom of
the ditch intersects the SHWT
25
0
Wells with exception to monitoring wells
100
100
Bedrock outcrops
25
0
Unless otherwise noted in Attachment A, "cake" residuals are those that have greater than 15%
solids by weight and can be stacked without flowing, as well as can be handled, transported and
spread as a solid (e.g., using a backhoe, front end loader, slinger spreader, broadcast spreader or
other equipment designed for handling solid materials) without leaving any significant liquid
fraction behind.
[15A NCAC 02T. 11081
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7. Bulk residuals and other sources of Plant Available Nitrogen (PAN) shall not be applied in exceedance
of agronomic rates. Appropriate agronomic rates shall be calculated using expected nitrogen
requirements based on the determined Realistic Yield Expectations (RYE) using any of the following
methods:
a. Division's pre -approved site specific historical data for specific crop or soil types by calculating
the mean of the best three yields of the last five consecutive crop harvests for each field.
b. North Carolina Historical Data for specific crop and soil types as provided by North Carolina State
University Department of Soil Science (h ://nutrients.soil.ncsu.edu/ ields/index. h ). A copy
shall be kept on file and reprinted every five years in accordance with Condition IV.6.
c. If the RYE cannot be determined using methods (a) or (b) above, the Permittee may use the RYE
and appropriate nutrient application rates reported in any of the following documents:
i. Crop management plan as outlined by the local Cooperative Extension Office, the North
Carolina Department of Agriculture and Consumer Services, the Natural Resource
Conservation Service, or other agronomist.
ii. Waste Utilization Plan as outlined by the Senate Bill 1217 Interagency Group - Guidance
Document: Chapter 1
(http://www.neagr.jzov/SWC/tech/documents/9th_Guidance Doc 100109.pdfl.
iii. Certified Nutrient Management Plan as outlined by the Natural Resources Conservation
Services (NRCS). These plans must meet the USDA-NRCS 590 Nutrient Management
Standards (ftp://ftp-fc.sc.egov.usda.gov/NHO/practice-standards/standards/590.pdf1.
d. If the RYE and appropriate nutrient application rates cannot be determined, the Permittee shall
contact the Division to determine necessary action.
[15A NCAC 02T .I109(b)(1)(k)]
8. The Permittee shall not distribute Class A Water Treatment Plant residuals that have a sodium
adsorption ratio (SAR) of 10 or higher without prior written Division approval. The Permittee may
seek approval by demonstrating that the entity accepting the residuals is: aware of the effects of a high
SAR content; has agreed on proper residual application rates; and has agreed to operational
considerations to ensure that the high SAR content will not adversely impact the receiving sites.
Recommendations regarding sodium application rate, soil amendments (e.g., gypsum, etc.) or a
mechanism for maintaining site integrity and conditions conducive to crop growth, can be obtained
from the local Cooperative Extension Office, the Department of Agriculture and Consumer Services,
the Natural Resource Conservation Service, a North Carolina Licensed Soil Scientist, or an agronomist.
[15ANCAC 02T .0105(b)(1)]
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III. OPERATION AND MAINTENANCE REQUIREMENTS
The residuals management program shall be properly maintained and operated at all times. The
program shall be effectively maintained and operated as a non -discharge system to prevent any
contravention of surface water or groundwater standards. [ 15A NCAC 02T .1110]
2. The Permittee shall maintain an approved Operation and Maintenance Plan (O&M Plan) Modifications
to the O&M Plan shall be approved by the Division prior to utilization of the new plan. The O&M Plan,
at the minimum, shall include:
a. Operational functions;
b. Maintenance schedules;
c. Safety measures;
d. Spill response plan;
e. Inspection plan including the following information:
i. Names and/or titles of personnel responsible for conducting the inspections;
ii, Frequency and location of inspections, including those to be conducted by the ORC, and
procedures to assure that the selected location(s) and inspection frequency are representative
of the residuals management program;
iii. Detailed description of inspection procedures including record keeping and actions to be taken
by the inspector in the event that noncompliance is observed pursuant to the noncompliance
notification requirements under the monitoring and reporting section of the permit;
f. Sampling and monitoring plan including the following information:
i. Names and/or titles of personnel responsible for conducting the sampling and monitoring;
ii. Detailed description of monitoring procedures including parameters to be monitored;
iii. Sampling frequency and procedures to assure that representative samples are being collected.
Fluctuation in temperature, flow, and other operating conditions can affect the quality of the
residuals gathered during a particular sampling event. The sampling plan shall account for any
foreseen fluctuations in residuals quality and indicate the most limiting times for residuals to
meet pathogen reduction requirements (e.g. facilities that land apply multiple times per year
but have an annual sampling frequency, may need to sample during winter months when
pathogen reduction is most likely to be negatively affected by cold temperatures).
[15A NCAC 02T. 11001
3. Upon the Water Pollution Control System Operators Certification Commission's (WPCSOCC)
classification of the facility, the Permittee shall designate and employ a certified operator in responsible
charge (ORC) and one or more certified operators as back-up ORCs in accordance with 15A NCAC
08G.0201. The ORC or his back-up shall visit the facilities in accordance with 15A NCAC 08G. 0204,
or as specified in the most recently approved O&M plan (i.e., see Condition 111.2.), and shall comply
with all other conditions of 15A NCAC 08G. 0204. For more information regarding classification and
designation requirements, please contact the Division of Water Resources' Protection and Enforcement
Branch at [phone]. [15A NCAC 02T.01 17]
4. When the Permittee land applies bulk residuals, a copy of this permit and a copy of O&M Plan shall be
maintained at the land application sites during land application activities. [15A NCAC 02T
.0108(b)(1)]
5. When the Permittee transports or land applies bulk residuals, the spill control provisions shall be
maintained in all residuals transport and application vehicles. [15A NCAC 02T .1110]
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When the Permittee land applies bulk residuals, adequate measures shall be taken to prevent wind
erosion and surface runoff from conveying residuals from the land application sites onto adjacent
properties or into surface waters. [G.S. 143-215.1]
7. When the Permittee Iand applies bulk residuals, a suitable vegetative cover shall be maintained on land
application sites onto which residuals are applied, or application shall be in accordance with the crop
management plan outlined by the local Cooperative Extension Office, the Department of Agriculture
and Consumer Services, the Natural Resource Conservation Service, or an agronomist and as approved
by the Division. [15A NCAC 02T .1109(b)(1)]
8. Bulk residuals shall not be land applied under the following conditions:
a. If the residuals are likely to adversely affect a threatened or endangered species listed under section
4 of the Endangered Species Act or its designated critical habitat;
b. If the application causes prolonged nuisance conditions;
c. If the land fails to assimilate the bulk residuals or the application causes the contravention of surface
water or groundwater standards;
d. If the land is flooded, frozen or snow-covered, or is otherwise in a condition such that runoff of the
residuals would occur;
e. Within the 100 -year flood elevation, unless the bulk residuals are injected or incorporated within a
24-hour period following a residuals land application event;
f. During a measurable precipitation event (i.e., greater than 0.01 inch per hour), or within 24 hours
following a rainfall event of 0.5 inches or greater in a 24-hour period;
g. If the slope is greater than 10% for surface applied liquid residuals, or if the slope is greater than
18% for injected or incorporated bulk liquid residuals;
h. If the soil pH is not maintained at 6.0 or greater, unless sufficient amounts of lime are applied to
achieve a final soil pH of at least 6.0, or if an agronomist provides information indicating that the
pH of the soil, residuals and lime mixture is suitable for the specified crop. Any approved variations
to the acceptable soil pH (6.0) will be noted in this permit;
L If the land does not have an established vegetative cover unless the residuals are incorporated or
injected within a 24-hour period following a residuals land application event. Any field that is in a
USDA no -till program shall be exempted from meeting this vegetative cover requirement;
j. If the vertical separation between the seasonal high water table and the depth of residuals
application is less than one foot;
k. If the vertical separation of bedrock and the depth of residuals application is less than one foot;
1. Application exceeds agronomic rates.
[15A NCAC 02T. 11091
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9. A dated Utilization Agreement between the Permittee, his subcontractor distributing and applying the
residuals, and the entity agreeing to accept Class A bulk residuals shall be in place prior to distribution
of the bulk residuals. The agreement shall specify the subcontractors and the agreeing entity's
responsibilities. The Permittee, the subcontractor, and the entity accepting the Class A bulk residuals
shall sign the Utilization Agreement. The Utilization Agreement shall have a clause allowing the
recipient of the residuals to end the Utilization Agreement at any time by notifying the Permittee in
writing. If the recipient of the residuals sells the property, the Utilization Agreement shall automatically
terminate. If the permit is rescinded, the Utilization Agreement shall automatically terminate. The
duration of the Utilization Agreement shall be one to which the Permittee, the subcontractor, and the
recipient of the residuals agree. Any changes in the agreement that are necessitated by changes in the
permit shall be mailed to the subcontractor and the recipient of the residuals by certified mail with
return receipt. The Permittee shall keep these records on file for inspection by the Division for each
Utilization Agreement while that Utilization Agreement is in force. [ i 5A NCAC 02T .0108(b)(1), 02T
.1104]
10. At a minimum, the Utilization Agreement shall stipulate the following:
a. By agreeing to accept the bulk Class A residuals, it is recognized that the application of these
residuals is allowed under the conditions of this agreement including the prohibitions contained in
Condition I1L8. Land application of Class A residuals is considered the beneficial reuse of a waste
under 15A NCAC 02T .1100, and has been deemed permitted under 15A NCAC 02T .1103(4)
provided the conditions of this agreement are met. Any action resulting in damages to surface water
or groundwater, caused by failure to follow the conditions of this agreement, is subject to Division
enforcement action;
b. The person or entity accepting the bulk Class A residuals shall to the best of his knowledge meet
the following application requirements:
i. Residuals shall not be stockpiled for more than 60 days (after the delivery of the Iast load) prior
to land application unless the permittee notifies the appropriate Regional Office and receives
approval to exceed the 60 day limit. At a minimum, the information provided shall be the
location, the date that the last load was delivered, the quantity of residuals stockpiled, the
percent solids of the residuals stockpiled, measures taken to prevent stockpile runoff (e.g.
placement, perimeter berms, etc.) and the anticipated date the residuals will be spread.;
ii. Application of bulk residuals shall not occur within 100 feet of a public or private water supply
source;
iii. Application of bulk residuals shall not occur within 100 feet of any well, with the exception of
Division approved monitoring wells;
iv. Application of bulk residuals shall not occur within 25 feet of surface waters.
c. The generator of the Class A bulk residuals shall provide information on the proper use of the
residuals, including information on the nutrient quantities within the residuals and recommended
application rates. A copy of the label or information sheet attached to bags or other containers, as
specified in the labeling requirements under Condition 111. 12, is sufficient;
d. The applicator or party accepting bulk residuals from the Permittee shall supply all third parties
receiving bulk residuals with documentation specifying that application shall occur consistent with
the utilization agreement;
e. Instructions, including contact information for key personnel, shall be provided to the applicator or
party receiving bulk residuals in the event that any requirements specified in the utilization
agreement are not met.
f. A copy of the Utilization Agreement shall be maintained at the land application sites when bulk
residuals are being applied.
[15A NCAC 02T .0108(b)(1), 02T .1104]
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11. All residuals shall be adequately stored to prevent untreated leachate runoff. The finished product may
be placed on a concrete pad, placed under shelter or physically covered until it is distributed to the
buyer. If an alternate storage site is used, approval must be obtained from the Division. [15A NCAC
02T .0108(b)(1)]
12. A label shall be affixed to the bag or other container in which residuals are sold or given away for land
application, or an information sheet shall be provided to the person who receives Class A residuals. At
a minimum, the label or information sheet shall contain the following:
a. The name and address of the person who prepared the residuals;
b. A statement that residual land application is prohibited except in accordance with the instructions
on the label or information sheet;
c. A statement identifying that this material shall be prevented from entering any public or private
water supply source (including wells) and any surface water (e.g., stream, lake, river, wetland, etc.);
I A statement that the residuals shall be applied at agronomic rates and recommended rates for its
intended use.
[ 15A NCAC 02T.1 109(a)]
13. The Permittee shall not distribute bulk residuals to any person or entity known to be applying residuals
contrary to the condition of the signed Utilization Agreement. The Permittee shall report to the
appropriate Regional Office as per reporting conditions under Condition N.B. any person or entity
known to be applying residuals contrary to the condition of the signed Utilization Agreement. [15A
NCAC 02T .1103(a)]
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IV. MONITORING AND REPORTING REQUIREMENTS
1. Any Division -required monitoring (including groundwater, plant tissue, soil and surface water
analyses) necessary to ensure groundwater and surface water protection shall be established, and an
acceptable sample reporting schedule shall be followed. [15A NCAC 02T .0108(c)]
2. Residuals shall be analyzed to demonstrate they are non -hazardous under the Resource Conservation
and Recovery Act (RCRA). Residuals that tests or is classified as a hazardous or toxic waste under 40
CFR Part 261 shall not be used or disposed under this permit. The analyses [corrosivity, ignitability,
reactivity, and toxicity characteristic leaching procedure (TCLP)] shall be performed at the
frequency specified in Attachment A, and the Permittee shall maintain these results for a minimum of
five years. Any exceptions from the requirements in this condition shall be specified in Attachment A.
The TCLP analysis shall include the following parameters (the regulatory level in milligrams per Iiter
is in parentheses):
Arsenic (5.0)
1,4 -Dichlorobenzene (7.5)
Nitrobenzene (2.0)
Barium (100.0)
1,2-Dichloroethane (0.5)
Pentachlorophenol (100.0)
Benzene (0.5)
1,1-Dichloroethylene (0.7)
Pyridine (5.0)
Cadmium (1.0)
2,4-Dinitrotoluene (0.13)
Selenium (1.0)
Carbon tetrachloride (0.5)
Endrin (0.02)
Silver (5.0)
Chlordane (0.03)
Hexachlorobenzene (0.13)
Tetrachloroethylene (0.7)
Chlorobenzene100.0
( )
Heptachlor (and its hydroxide)
(0.008)
Toxaphene (0.5)
Chloroform (6A)
Hexachloro-1,3-butadiene (0.5)
Trichloroethylene (0.5)
Chromium (5.0)
Hexachloroethane (3.0)
2,4,5 -Trichlorophenol (400.0)
m -Cresol (200.0)
Lead (5.0)
2,4,6 -Trichlorophenol (2.0)
o -Cresol (200.0)
Lindane (0.4)
2,4,5 -TP (Silvex) (1.0)
p -Cresol (200.0)
Mercury (0.2)
Vinyl chloride (0.2)
Cresol (200.0)
Methoxychlor (10.0)
2,4-D (10,0)
Methyl ethyl ketone (200.0)
[15A NCAC 13A .0102(b), 02T .1101, 02T.1 105]
3. An analysis shall be conducted on the Class A residuals at the frequency specified in Attachment A,
and the Permittee shall maintain the results for a minimum of five years. The analysis shall include the
following parameters:
Aluminum
Mercury
Potassium
Ammonia -Nitrogen
Molybdenum
Selenium
Arsenic
Nickel
Sodium
Cadmium
Nitrate -Nitrite Nitrogen
Sodium Adsorption Ratio
(SAR)
Calcium
Percent Total Solids
TKN
Copper
pH
Zinc
Lead
Phosphorus
Magnesium
Plant Available Nitrogen
(by calculation)
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[15ANCAC 02T.1101]
4. Residuals shall be monitored for compliance with pathogen reduction requirements at the frequency
specified in Attachment A, and at the time indicated in the sampling and monitoring sections of the
approved O&M plan. The required data shall be specific to the stabilization process utilized, and
sufficient to demonstrate compliance with the Class A pathogen reduction requirements in 15A NCAC
02T .1106 (a) and (b)(2) shall be met. Any exceptions from the requirements in this condition shall be
specified in Attachment A. [ 15A NCAC 02T .1106, 02T .1107, 02T .1111(c)]
5. Laboratory parameter analyses shall be performed on the residuals as they are distributed, and shall be
in accordance with the monitoring requirements in 15A NCAC 02B .0505. [15A NCAC 02B .0505]
6. The Permittee shall maintain records tracking all bulk residual distribution or land application events
performed by the Permittee. At a minimum, these records shall include the following:
a. Source of residuals;
b. Date of distribution/land application;
c. Name and address of recipient of residuals;
d. Volume of residuals distributed to each recipient;
e. Intended use of residuals;
f. If land application events performed by the Permittee - Nitrogen Application Rate based on RYES
(if using data obtained from the North Carolina State University Department of Soil Science
Website, the printout page shall be kept on file and reprinted every five years).
[15A NCAC 02T .0109(a)]
7. Three copies of an annual report shall be submitted on or before March 1St. The annual report shall
meet the requirements described in the Instructions for Residuals Application Annual Reporting Forms.
Instructions for reporting and annual report forms are available at
hi!p://portal.ncdenr.or web/wqlaps/lau/reporting, or can be obtained by contacting the Land
Application Unit directly. The annual report shall be submitted to the following address:
Division of Water Resources
Information Processing Unit
1617 Mail Service Center
Raleigh, North Carolina 27699-1617
[15A NCAC 02T. 111 l(a)]
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8. Noncompliance Notification
The Permittee shall report by telephone to the appropriate Regional Office as soon as possible, but in
no case more than 24 hours or on the next working day following the occurrence or first knowledge of
the occurrence of any of the following:
a. Distribution of residuals abnormal in quantity or characteristic.
b. Any failure of the distribution program resulting in a release of material to surface waters.
c. Any time self-monitoring indicates the facility has gone out of compliance with its permit
limitations.
d. Any process unit failure, due to known or unknown reasons, rendering the facility incapable of
adequate residual treatment.
e. Any spill or discharge from a vehicle or piping system during residuals transportation.
Any emergency requiring immediate reporting (e.g., discharges to surface waters, imminentfailure of
a storage structure, etc.) outside normal business hours shall be reported to the Division's Emergency
Response personnel at telephone number [phone], [phone], or [phone].Persons
reporting such occurrences by telephone shall also file a written report in letter form within five days
following first knowledge of the occurrence. This report shall outline the actions taken or proposed to
betaken to ensure that the problem does not recur. [ 15A NCAC 02T .0105(1), 02T .0108(b)(1)]
V. INSPECTIONS
1. The Permittee shall provide adequate inspection and maintenance to ensure proper operation of the
subject facilities and shall be in accordance with the approved O&M Plan. [15A NCAC 02T .0108(b)]
2. Prior to each bulk residuals distribution event, the Permittee or his designee shall inspect the residuals
storage, transport and application facilities to identify malfunctions, facility deterioration and operator
errors that could result in discharges to the environment, a threat to human health or a public nuisance.
The Permittee shall maintain an inspection log that includes, at a minimum, the date and time of
inspection, observations made, and any maintenance, repairs, or corrective actions taken. The Permittee
shall maintain this inspection log for a period of five years from the date of inspection, and this log
shall be made available to the Division upon request. [15A NCAC 02T .0108(6)]
3. Any duly authorized Division representative may, upon presentation of credentials, enter and inspect
any property, premises or place on or related to the land application sites or facilities permitted herein
at any reasonable time for the purpose of determining compliance with this permit; may inspect or copy
any records required to be maintained under the terms and conditions of this permit; and may collect
groundwater, surface water or leachate samples. [G.S. 143-215.3(a)(2)]
VI. GENERAL CONDITIONS
1. Failure to comply with the conditions and limitations contained herein may subject the Permittee to an
enforcement action by the Division in accordance with North Carolina General Statutes 143-215.6A to
143-215.6C. [G.S. 143-215.6A to 143-215.6C]
2. This permit shall become voidable if the residuals land application events are not carried out in
accordance with the conditions of this permit. [15A NCAC 02T .0110]
3. This permit is effective only with respect to the nature and volume of residuals described in the permit
application and other supporting documentation. [G.S. 143-215.1]
WQ0035720 Version 2.0 Shell Version 160210 Page 10 of 11

4. The issuance of this permit does not exempt the Permittee from complying with any and all statutes,
rules, regulations, or ordinances, which may be imposed by other jurisdictional government agencies
(e.g., local, state, and federal). Of particular concern to the Division are applicable river buffer rules in
15A NCAC 02B .0200; erosion and sedimentation control requirements in 15A NCAC Chapter 4 and
under the Division's General Permit NCG010000; any requirements pertaining to wetlands under 15A
NCAC 02B .0200 and 02H .0500; and documentation of compliance with Article 21 Part 6 of Chapter
143 of the General Statutes. [ 15A NCAC 02T .0105(c)(6)]
In the event the residuals program changes ownership or the Permittee changes his name, a formal
permit modification request shall be submitted to the Division. This request shall be made on official
Division forms, and shall include appropriate documentation from the parties involved and other
supporting documentation as necessary. The Permittee of record shall remain fully responsible for
maintaining and operating the residuals program permitted herein until a permit is issued to the new
owner. [15A NCAC 02T.0104]
6. This permit is subject to revocation or unilateral modification upon 60 -day notice from the Division
Director, in whole or part for the requirements listed in 15A NCAC 02T .0110. [ 15A NCAC 02T .0110]
7. Unless the Division Director grants a variance, expansion of the permitted residuals program contained
herein shall not be granted if the Permittee exemplifies any of the criteria in 15A NCAC 02T .0120(b).
[15A NCAC 02T .0120]
8. The Permittee shall pay the annual fee within 30 days after being billed by the Division. Failure to pay
the annual fee accordingly shall be cause for the Division to revoke this permit. [15A NCAC 02T
.0105(e)(3)]
Permit issued this the 24' day of August 2016
NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION
FS. Jay Zimmerman, P.G., Director
Division of Water Resources
By Authority of the Environmental Management Commission
Permit Number WQ0035720
WQ0035720 Version 2.0 Shell Version 160210 Page 11 of 11

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ATTACHMENT A - Approved Residual Sources
Denali Water Solutions, LLC
Class A Residuals Product Generated for Distribution
Certification Date: August 24, 2016
Permit Number: WQ0035720 Version: 2.0
1. Maximum Dry Tons per Year is the amount of residuals approved for distribution from each permitted facility.
2. Analyses to demonstrate that residuals are non-bazardous (i.e., TCLP, ignitability, reactivity, and corrosivity) as stipulated under permit Condition W2.
3. Testing of metals and nutrients as stipulated under permit Condition IV.3.
4. Analyses of pathogen reductions as stipulated under permit Condition IVA. Permit application indicated that fecal coliform density testing will be performed to meet pathogen reduction
requirements. However, other methods listed under 15A NCAC 02T .1106(b) and .I 107(a) can also be used to demonstrate compliance with this permit requirement.
5. Monitoring frequencies are based on the actual dry tons applied per year using the table below, unless specified above.
Dry Tons Distributed
short tons per ear
Monitoring Frequency
Established in 40 CFR 503 and 15A NCAC 02T.11 11
<319
Permit
Biological
Maximum
,bons
Monitoring
Frequency for
Monitoring Monitoring
Frequency for
Frequency for
Approved
Owner
Facility Name
County
Number
Residuals
Dr y
Non -hazardous
Metals and Pathogen &
Mineralization
Per Year "
Characteristics 2
Nutrients 3, 5 Vector Attraction
Rate
Reductions 4, s, a
The City of Portsmouth
Dake Kilby WTP
Suffolk
VA0006301
No
3,200
Once per Permit
See Table Below See Table Below
0.40
Total
3,200
1. Maximum Dry Tons per Year is the amount of residuals approved for distribution from each permitted facility.
2. Analyses to demonstrate that residuals are non-bazardous (i.e., TCLP, ignitability, reactivity, and corrosivity) as stipulated under permit Condition W2.
3. Testing of metals and nutrients as stipulated under permit Condition IV.3.
4. Analyses of pathogen reductions as stipulated under permit Condition IVA. Permit application indicated that fecal coliform density testing will be performed to meet pathogen reduction
requirements. However, other methods listed under 15A NCAC 02T .1106(b) and .I 107(a) can also be used to demonstrate compliance with this permit requirement.
5. Monitoring frequencies are based on the actual dry tons applied per year using the table below, unless specified above.
Dry Tons Distributed
short tons per ear
Monitoring Frequency
Established in 40 CFR 503 and 15A NCAC 02T.11 11
<319
]/Year
=>319 - <1,650
1/ Quarter (4 times per year
=>1,650 - <16,500
1/60 Das 6 times er year
=>16,500
l/month (12 times per year
6. Class A Water Treatment Plant residuals are exempt from meeting the pathogen & vector attraction reduction requirements in Condition IV_4., provided they are not mixed with residuals that have
been generated during the treatment of domestic wastewater, the treatment of animal processing wastewater, or the biological treatment of industrial wastewater. The Class A Water Treatment
Plant residuals must be treated and processed in a manner as to not meet the definition of `Biological Residuals" as defined in 15A NCAC 02T .1102(6).
If no land application events occur during a required sampling period (e.g. no land applications occur during an entire year when annual monitoring is required), then no
sampling data is required during the period of inactivity. The annual report shall include an explanation for missing sampling data. Those required to submit the annual
report to EPA may be required to matte up the missed sampling, contact the EPA for additional information and clarification.
WQ0035720 Version 2.0 Attachment A Page 1 of I