20140705 Ver 2_DWR Releases construction bond_20190128

Strickland, Bev
From: Merritt, Katie
Sent: Monday, January 28, 2019 10:53 AM
To: Geoff King
Cc: Kingslea Little
Subject: RE: [External] Bond Release Request - EBX Neuse I_Selma Mill Bank PF BPDP
Attachments: 20140705 Ver 2 -Credit Release Task 3_20181029.pdf
Hi Geoff,
This bond (RLB0016619) was provided by EBX Neuse I, LLC to comply with our requirements to financially secure
construction costs associated with their mitigation project named "Selma Mill". Their project was fully constructed &
approved with all proper documentation provided to DWR, as of October 29, 2018. The letter dated June 22, 2018 from
Karen Higgins to Daniel Ingram with EBX Neuse I, LLC and provided with your email below, as well as the letter dated
October 29, 2018 (see attached) confirm that DWR can fully release bond # RLB0016619.
Thank you,
Katie
From: Geoff King <[e-mail]>
Sent: Friday, January 25, 2019 6:17 PM
To: Merritt, Katie <[e-mail]>
Cc: Kingslea Little <[e-mail]>
Subject: [External] Bond Release Request - EBX Neuse I_Selma Mill Bank PF BPDP
External email. Do not click links or open attachments unless you verify. Send all suspicious email as an attachment to
[e-mail]
Katie,
Thanks for taking the time earlier to discuss the attached letter. Please accept this email as a request for you to provide
written confirmation for full and final release of bond RLB0016619 as of August 11, 2017. If you have additional
questions or would like to discuss further, please contact me.
Thanks,
Geoff King
Director, Underwriting
RLI Energy Surety
713-874-8823 (W)
[e-mail]

ROY COOPER
Governor
MICHAEL S. REGAN
Secretary
LINDA CULPEPPER
Interim Director
Brad Breslow
EBX Neuse 1, LLC
302 Jefferson Street, Suite 110
Raleigh, NC 27605
NORTH CAROLINA
Environmental Quality
October 29, 2018
Re: Selma Mill Mitigation Banking Instrument (MBI)
Selma Mill Nutrient Offset & Buffer Mitigation Bank
Credit Release- Task 3
Dear Mr. Breslow:
DWR Project #: 2014-0705 v2
Johnston County
On August 13, 2018, the Division of Water Resources (DWR) received an As -Built Report
from Resource Environmental Solutions on behalf of EBX Neuse 1, LLC (EBX) for the
subject site. On September 4, 2018, Katie Merritt with DWR, requested clarifications and
edits to the report. On September 10, 2018, DWR received a revised As -Built report with
all the recommended clarifications and edits. According to the As -Built survey submitted
with the As -Built Report, there are slight adjustments in the total amounts of Buffer
Mitigation credits and Nitrogen Nutrient Offset credits as compared to the Bank Parcel
Development Package. The subject site has generated 12.15 acres (529,148.57 ft2) of
buffer restoration credits and 1.41 acres (3,204.95 lbs) of Nitrogen nutrient offset credits.
The credits being released have been modified to reflect any changes to the creditable
acreage as proposed in the BPDP.
DWR received a performance bond (#9298626) in the amount of $100,000 issued to EBX
from Fidelity & Deposit Company of Maryland, to cover monitoring and maintenance at the
subject site. The term of this bond applies from October 23, 2018 through October 23,
2019. Future credit releases will be dependent on both the renewal of this performance
bond and the annual monitoring reports.
In accordance with the Mitigation Banking Instrument (MBI), signed on August 11, 2016, the
following Project Milestones have been met and the corresponding credits shall be released:
NORTN CAROLJNAD E`Qf�
oqumnem a Enwronmmm paxtr V
North Carolina Department of Environmental Quality I Division of Water Resources
512 North Salisbury Street 1 1611 Mail Service Center I Raleigh, North Carolina 2 76 99-1611
919.707.9000

Task/Milestones
Selma Mill Bank
October 29, 2018
Page 2 of 2
Credit
3) Monitoring Financial Assurance Posted and Approval of As -Built Report 10%
By copy of this correspondence, DWR confirms that you have satisfied the above requirements
for the above -referenced tract and 10% of your Neuse buffer Restoration credits (0.10 x
529,148.57 ft2 = 52,914.86 ft2) plus 8,638.01 ft2 yields 61,552.87 ft2 now available to sell.
Additionally, 10% of your Nitrogen nutrient offset credits (0.10 x 3,204.95 lb -N = 320.50 lb -N)
minus 428.87 lbs -N yields -108.37 lbs -N that EBX must deduct from the Nitrogen ledger.
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.0240. 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.
Please feel free to call Katie Merritt at [phone] if you have any questions regarding this
correspondence.
Sincerely,
Karen Higgins, Supervisor
401 & Buffer Permitting Branch
KAH/km
cc: File Copy (Katie Merritt)
Caitlan Parker (EBX)-via electronic mail