WQ0011313_Permit 2.1_20181115

NORTH C► ROLINA
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November 15, 2018
H. CATHERINE CLAUSSEN — PRESIDENT
FESTIVA REAL ESTATE HOLDINGS, LLC
ONE VANCE GAP ROAD
ASHEVILLE, NORTH CAROLINA 28805
Dear Ms. Claussen:
ROY COOPEP,
o
MI HAEL S. REGAAI
sft"Mtary
LINDA CULPEPPER
hrteom ixrww
Subject: Permit No. WQ0011313
Peppertree Resort WWTP
High -Rate Infiltration System
Carteret County
In accordance with your permit change of ownership request received October 5, 2018, we are
forwarding herewith Permit No. WQ0011313 dated November 15, 2018, to Festiva Real Estate Holdings,
LLC for the continued operation of the subject wastewater treatment and high -rate infiltration facilities.
The following modifications to the subject permit are as follows: The Permittee has been changed
from Peppertree Atlantic Beach Owner's Association, Inc. to Festiva Real Estate Holdings, LLC.
This permit shall be effective from the date of issuance through September 30, 2023, shall void
Permit No. WQ0011313 issued October 25, 2007, and shall be subject to the conditions and limitations
therein. The Permittee shall submit a renewal application no later than April 3, 2023.
Please pay attention to the monitoring requirements listed Attachments A, B, and C 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.
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. Otherwise, this permit shall be final and binding.
QE Q
North Carolina Department of Environmental Quality I Division of Water Resources I Non -Discharge Branch
512 North Salisbury Street 11617 Mail Service Center I Raleigh, North Carolina 27699-1617
919.707.3654

Ms. H. Catherine Claussen
November 15, 2018
Page 2 of 2
If you need additional information concerning this permit, please contact Tessa Monday at (919)
707-3660 or tessa.mond4Y(a ncdenr.ga,,.
Sincerely,
t
Culpepper, Interim Director
on of Water Resources
cc: Carteret County Health Department (Electronic Copy)
Wilmington Regional Office, Water Quality Regional Operations Section (Electronic Copy)
Laserfiche File (Electronic Copy)
Digital Permit Archive (Electronic Copy)
Central Files

NORTH CAROLINA
ENVIRONMENTAL MANAGEMENT COMMISSION
DEPARTMENT OF ENVIRONMENTAL QUALITY
RALEIGH
HIGH -RATE INFILTRATION SYSTEM 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
Festiva Real Estate Holdings, LLC
Carteret County
FOR THE
operation of an 80,000 gallon per day (GPD) wastewater collection, wastewater treatment and high -rate
infiltration facility consisting of the:
continued operation of a wastewater collection system consisting of: 1,175 linear feet (LF) of 8-inch gravity
sewer; and all associated piping, valves, controls, and appurtenances; the
continued operation of a wastewater treatment system consisting of. a 3 7,5 00 gallon flow equalization basin
with two 63 cubic feet per minute (CFM) blowers, a 50 gallon per minute (GPM) mixing pump, and two
155 GPM equalization pumps; a manually cleaned bar screen; a flow splitter box; a 15,000 gallon anoxic
basin with 0 50 GPM mixing pump; a 23,000 gallon anoxic basin with two 94 GPM grinder pumps, and a
50 GPM mixing pump; a flow splitter box; a 31,100 gallon aeration basin with two 300 CFM blowers, and
a 170 GPM mixed liquor return pump; two 3,550 gallon clarifiers each with a 22 GPM return activated
sludge pump; a 2,400 gallon mudwell with two 50 GPM pumps; two 14.25 square foot (W) tertiary filters;
a 2,240 gallon clear well with two 214 GPM backwash pumps; a 50,000 GPD ultraviolet (UV) disinfection
unit; a 43,500 gallon sludge holding tank with two 182 GPM blowers; a 5,750 gallon dosing tank with 126
GPM and 124 GPM dosing pumps; a Netafim Arkal Model 40 drip irrigation control and filter unit; high-
water alarms; and all associated piping, valves, controls, and appurtenances; the
continued operation of a wastewater treatment system consisting of. a 5,000 gallon influent lift station /
flow equalization basin with two 80 GPM pumps; two 22,500 gallon aeration tanks with two 120 CFM
blowers, and two 250 GPM mixed liquor return pumps; two 4,167 gallon clarifiers with four 16 GPM return
activated sludge pumps; a mudwell with duplex pumps; two 18 ft2 tertiary filters; a clearwell with two
backwash pumps; a 1,345 gallon chlorine contact chamber; a 6,770 gallon dosing tank; two 18,375 aeration
tanks with three 120 CFM blowers, and two 200 GPM return mixed liquor return pumps; a 7,700 gallon
clarifier with two 26 GPM return activated sludge pumps; a mudwell with duplex pumps; two 18 ftZ tertiary
filters; a clearwell with two backwash pumps; a 1,345 gallon chlorine contact chamber; a 45 kilowatt (kW)
back-up generator; and all associated piping, valves, controls, and appurtenances; and the
continued operation of a high -rate infiltration system consisting of: 1,068 LF of 6-inch PVC force main;
approximately 1,388 LF of 4-inch return line; a 0.58 acre high -rate infiltration area with two 0.29 acre fields
each containing 6,300 LF of drip line with 0.01 GPM emitters spaced 1 foot on centers; and all associated
piping, valves, controls, and appurtenances
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to serve the Peppertree Resort WWTP, with no discharge of wastes to surface waters, pursuant to the
application received October 5, 2018, and in conformity with the Division -approved plans and
specifications considered a part of this permit.
This permit shall be effective from the date of issuance through September 30, 2023, shall void Permit No.
WQ0011313 issued October 25, 2007, and shall be subject to the following conditions and limitations:
I. SCHEDULES
1. Within 90 days of permit issuance, submit a permit modification addressing the discrepancies between
the permitted facility (see the facility description) and the actual facility. This modification request
shall also address the following:
a. Verification of tank structural integrity;
b. Walkway replacements;
c. Verification of treatment facility capacity (Trains 1 and 2 are currently used for emergency storage
only);
d. Verification that all essential treatment units are provided in duplicate (15A NCAC 02H
.0404(g)(3));
e. Treatment facility maintenance (grease removal from the flow equalization tank); and
f. Field maintenance (vegetation must be maintained and allow for inspection of drip lines).
[15A NCAC 02T .0108(b)(1)(B)]
2. Within 90 days of the effective date of this permit, the Permittee shall submit two original paper copies
and one electronic copy of a site map. The map shall include the following information:
a. Boundaries and physical features not under purview of other licensed professions shall be provided
by a professional land surveyor.
b. Scale no greater than 1-inch equals 100 feet (special provisions may be granted upon prior approval
for large properties).
c. Legend, north arrow, scale, and legible in black and white.
d. Topographic contour intervals not exceeding two feet.
e. All facility -related structures and fences within the treatment, storage, and disposal areas.
f. All habitable residences and places of assembly within 500 feet of all treatment, storage, and
infiltration sites.
g. Location of all wells, streams (ephemeral, intermittent, and perennial), springs, lakes, ponds,
ditches, and other surface drainage features within 500 feet of all waste treatment, storage, and
disposal site(s).
h. Location and identification of each monitoring well (identify any background/upgradient wells).
i. Latitude and longitude coordinates of all monitoring wells (decimal degrees to 6 digits and in
NAD83).
j. Location and identification of major components of the waste disposal system.
k. The wetted perimeter of all infiltration sites with names (named according to the approved permit).
1. Location and ownership of property boundaries within 500 feet of the disposal area (including
road/rail right-of-way).
in. The delineation of compliance and review boundaries.
n. Distance measurements verifying all setbacks are being met.
o. Identification of any relevant easements.
p. Stormwater drainage controls.
q. 100-year floodplain.
The map and any supporting documentation shall be sent to the Division of Water Resources, Non -
Discharge Branch, 1617 Mail Service Center, Raleigh, NC 27699-1617 and Non-
Discharge.Reports&cdenngov. [15ANCACO2T.0108(b)(1)(B)]
3. The Permittee shall request renewal of this permit on Division -approved forms no later than April 3,
2023. [15A NCAC 02T .0105(b), 02T .0109]
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H. PERFORMANCE STANDARDS
The Permittee shall maintain and operate the subject non -discharge facilities 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 nuisance conditions due to improper
operation and maintenance, or failure of the infiltration areas to assimilate the effluent, the Permittee
shall take immediate corrective actions, including Division required actions, such as the construction
of additional or replacement wastewater treatment or disposal facilities. [15A NCAC 02T
.0108(b)(1)(A)]
2. This permit shall not relieve the Permittee of their responsibility for damages to groundwater or surface
water resulting from the operation of this facility. [15A NCAC 02T .0108(b)(1)(A)]
3. Groundwater monitoring wells shall be constructed in accordance with 15A NCAC 02C .0108
(Standards of Construction for Wells Other than Water Supply), and any other jurisdictional laws and
regulations pertaining to well construction. [15A NCAC 02C .0108]
The wastewater collection facilities shall be properly maintained and operated at all times. The
following performance criteria shall be met:
a. The collection system shall be effectively maintained and operated at all times to prevent discharge
to land or surface waters, and to prevent contravention of groundwater or surface water standards.
b. A map of the collection system shall be developed and maintained.
c. An operation and maintenance plan shall be developed, implemented, and maintained.
d. Pump stations not connected to a telemetry system shall be inspected everyday (i.e., 365 days per
year) unless otherwise approved. Pump stations connected to a telemetry system shall be inspected
at least once per week.
e. High -priority sewers shall be inspected at least once every six months.
f. A general observation of the entire collection system shall be conducted at least once per year.
g. Overflows and bypasses shall be reported to the Wilmington Regional Office in accordance with
15A NCAC 02B .0506(a), and public notice shall be provided as required per G.S.143-215.1C.
h. A grease control program shall be developed, implemented, and maintained.
i. Right-of-ways and easements shall be maintained.
j. Inspection and maintenance records shall be maintained for a period of at least three years, except
for the map, which shall be maintained for the life of the system.
[15A NCAC 02T .0403(a)]
5. Effluent quality shall not exceed the limitations specified in Attachment A. [15A NCAC 02T
.0108(b)(1)(A)]
6. Application rates, whether hydraulic, nutrient, or other pollutant, shall not exceed those specified in
Attachment B. [15A NCAC 02T .0108(b)(1)(A)]
High -rate infiltration sites permitted on or after December 30, 1983 have a compliance boundary that
is either 250 feet from the infiltration area, or 50 feet within the property boundary, whichever is closest
to the infiltration area. Any exceedance of groundwater standards at or beyond the compliance
boundary shall require corrective action. Division -approved relocation of the compliance boundary
shall be noted in Attachment B. Multiple contiguous properties under common ownership and
permitted for use as a disposal system shall be treated as a single property with regard to determination
of a compliance boundary. [15A NCAC 02L .0106(d)(2), 02L .0107(b), 02T .0105(h), G.S. 143-
215.1(i), G.S. 143-215.1(k)]
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The review boundary is midway between the compliance boundary and the infiltration area. Any
exceedance of groundwater standards at or beyond the review boundary shall require preventative
action. [15A NCAC 02L.0106(d)(1), 02L .0108]
9. The Permittee shall apply for a permit modification to establish a new compliance boundary prior to
any sale or transfer of property affecting a compliance boundary (i.e., parcel subdivision). [ 15A NCAC
02L .0107(c)]
10. No wells, excluding Division -approved monitoring wells, shall be constructed within the compliance
boundary except as provided for in 15A NCAC 02L .0107(g). [ 15A NCAC 02L .0107]
11. Except as provided for in 15A NCAC 02L .0107(g), the Permittee shall ensure any landowner who is
not the Permittee and owns land within the compliance boundary shall execute and file with the Carteret
County Register of Deeds an easement running with the land containing the following items:
a. A notice of the permit and number or other description as allowed in 15A NCAC 02L .0107(f)(1);
b. Prohibits construction and operation of water supply wells within the compliance boundary; and
c. Reserves the right of the Permittee or the State to enter the property within the compliance boundary
for purposes related to the permit.
The Director may terminate the easement when its purpose has been fulfilled or is no longer needed.
[15A NCAC 02L .0107(f)]
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12. The facilities herein were permitted per the following setbacks:
a. The infiltration sites were originally permitted October 4, 1995 and modified June 19, 2003. The
setbacks for infiltration sites originally permitted or modified from February 1, 1993 to August 31,
2006 are as follows (all distances in feet):
i. Each private or public water supply source:
100
ii. Surface waters:
200
iii. Groundwater lowering ditches:
200
iv. Surface water diversions (upslope):
200
v. Surface water diversions (downslope):
200
vi. Each well with exception of monitoring wells:
100
vii. Each property line:
501° 2
viii. Top of slope of embankments or cuts of two feet or more in vertical height:
100
ix. Each water line:
10
x. Each swimming pool:
100
xi. Public right of way:
50
xii. Nitrification field:
20
xiii. Each building foundation or basement:
15
xiv. Each impounded public surface water supply:
500
xv. Each public shallow ground water supply (less than 50 feet deep):
500
1 Setbacks to property lines are not applicable when the Permittee, or the entity from which the
Permittee is leasing, owns both parcels separated by the property line.
2 Per an easement recorded in the Carteret County Register of Deeds, reduced setbacks from the
application of wastewater effluent to any place of public assembly under separate ownership
and to the property line are as follows:
Parcel No.
Deed Book / Page
Setbacks
Easement
637515730790000
637515639793000
637515637422000
Access, operation,
637515637021000
1619079
0 feet
maintenance and
637515635360000
management of
637515630087000
facilities.
637515632216000
637515633349000
[15A NCAC 02H .0404(g), 02H .02190)(5)]
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M.
b. The storage and treatment units were originally permitted October 4, 1995 and modified June 19,
2003. The setbacks for storage and treatment units originally permitted or modified from February
1, 1993 to August 31, 2006 are as follows (all distances in feet):
i. Each habitable residence or place of assembly under separate ownership: 1001
ii. Each on -property residential unit if the unit is to be sold: 101
iii. Each private or public water supply source: 100
iv. Surface waters: 50
v. Each well with exception of monitoring wells: 100
vi. Each property line: 50 2, 3
vii. Nitrification field: 20
1 Habitable residences or places of assembly under separate ownership constructed after the
facilities herein were originally permitted or subsequently modified are exempt from this
setback.
2 Setbacks to property lines are not applicable when the Permittee, or the entity from which the
Permittee is leasing, owns both parcels separated by the property line.
3 Per a setback waiver recorded in the Carteret County Register of Deeds, reduced setbacks from
the storage and treatment units to any property line are as follows:
Parcel No.
Deed Book / Page
Setbacks
Easement
637515731799000
1616152
0 feet
50 feet
[15A NCAC 02H .0404(g), 02H .02190)(5)]
OPERATION AND MAINTENANCE REQUIREMENTS
1. The Permittee shall operate and maintain the subject facilities as a non -discharge system. [15A NCAC
02T .0700]
2. The Permittee shall maintain an Operation and Maintenance Plan, which shall include operational
functions, maintenance schedules, safety measures, and a spill response plan. [15A NCAC 02T
.0707(a)]
3. Upon the Water Pollution Control System Operators Certification Commission's (WPCSOCC)
classification of the subject non -discharge facilities, the Permittee shall designate and employ a certified
operator in responsible charge (ORC), and one or more certified operators as back-up ORCs. The ORC
or their back-up shall operate and visit the facilities as required by the WPCSOCC. [15A NCAC 02T
.0117]
4. The Permittee shall maintain vegetative cover on the infiltration sites, such that crop health is optimal,
allows even effluent distribution, and allows inspection of the infiltration system. [15A NCAC 02T
.0707(b)]
5. The Permittee shall take measures to prevent effluent ponding in or runoff from the infiltration sites
listed in Attachment B. [15A NCAC 02T .0707(c)]
6. The Permittee shall not infiltrate treated effluent during inclement weather, or when the soil is in a
condition that will cause ponding or runoff. [15A NCAC 02T .0705(aa)]
7. Infiltration equipment shall be tested and calibrated once per permit cycle. [15A NCAC 02T .0707(d)]
8. Only treated effluent from the Peppertree Resort WWTP shall be infiltrated on the sites listed in
Attachment B. [15A NCAC 02T .0701]
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9. The Permittee shall not allow vehicles or heavy machinery on the infiltration area, except during
equipment installation or maintenance activities. [15A NCAC 02T .0707(e)]
10. The Permittee shall prohibit public access to the wastewater treatment, storage, and infiltration
facilities. [15A NCAC 02T .0705(p)]
11. The Permittee shall dispose or utilize generated residuals in a Division -approved manner. [ 15A NCAC
02T .0708, 02T .1100].
12. The Permittee shall not divert or bypass untreated or partially treated wastewater from the subject
facilities. [15A NCAC 02T .0705(i)]
13. The Permittee shall provide a water -tight seal on all treatment and storage units, or provide two feet
protection from the 100-year flood plain elevation. [15A NCAC 02T .0705(1)]
14. A protective vegetative cover shall be established and maintained on all berms, pipe runs, erosion
control areas, surface water diversions, and earthen embankments (i.e., outside toe of embankment to
maximum allowable temporary storage elevation on the inside of the embankment). Trees, shrubs, and
other woody vegetation shall not be allowed to grow on the earthen dikes or embankments. Earthen
embankments shall be kept mowed or otherwise controlled and accessible. [ 15A NCAC 02T .0707(g)]
15. Metering equipment shall be tested and calibrated annually. [15A NCAC 02T .0707(d)]
16. An automatically activated standby power source capable of powering all essential treatment units shall
be on site and operational at all times. If a generator is employed as an alternate power supply, it shall
be tested weekly by interrupting the primary power source. [15A NCAC 02T .0705(k)]
IV. MONITORING AND REPORTING REQUIREMENTS
1. The Permittee shall conduct and report any Division required monitoring necessary to evaluate this
facility's impact on groundwater and surface water. [15A NCAC 02T .0108(c)]
2. A Division -certified laboratory shall conduct all analyses for the required effluent, groundwater, and
surface water parameters. [15A NCAC 02H .0800]
3. Flow through the treatment facility shall be continuously monitored, and daily flow values shall be
reported on Form NDMR. Facilities with a permitted flow less than 10,000 GPD may estimate their
flow from water usage records provided the water source is metered. [15A NCAC 02T .0105(k), 02T
.0108(c)]
4. The Permittee shall monitor the treated effluent at the frequencies and locations for the parameters
specified in Attachment A. [15A NCAC 02T .0108(c)]
5. The Permittee shall maintain records tracking the amount of effluent infiltrated. These records shall
include the following information for each infiltration site listed in Attachment B:
a. Date of infiltration;
b. Volume of effluent infiltrated;
c. Site infiltrated;
d. Length of time site is infiltrated;
e. Loading rates to each infiltration site listed in Attachment B;
f. Weather conditions; and
g. Maintenance of cover crops.
[15ANCAC 02T .0108(c)]
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6. Three copies of all monitoring data (as specified in Conditions IV.3. and IV.4.) on Form NDMR for
each PPI and three copies of all operation and disposal records (as specified in Condition IV.5.) on
Form NDAR-2 for every site in Attachment B shall be submitted on or before the last day of the
following month. If no activities occurred during the monitoring month, monitoring reports are still
required documenting the absence of the activity. All information 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 .0105(1)]
7. The Permittee shall maintain a record of all residuals removed from this facility. This record shall be
maintained for five years, and shall be made available to the Division upon request. This record shall
include:
a. Name of the residuals hauler;
b. Non -Discharge permit number authorizing the residuals disposal, or a letter from a municipality
agreeing to accept the residuals;
c. Date the residuals were hauled; and
d. Volume of residuals removed.
[15A NCAC 02T .0708(b)]
8. A maintenance log shall be kept at this facility. This log shall be maintained for five years, and shall
be made available to the Division upon request. This log shall include:
a. Date of flow measurement device calibration;
b. Date of infiltration equipment calibration;
c. Date and results of power interruption testing on alternate power supply;
d. Visual observations of the plant and plant site; and
e. Record of preventative maintenance (e.g., changing of equipment, adjustments, testing, inspections
and cleanings, etc.).
[15ANCAC 02T .0707(i)]
9. Monitoring wells MW-1, MW-2, MW-3, MW-4, MW-5, and MW-6 shall be sampled at the frequencies
and for the parameters specified in Attachment C. All mapping, well construction forms, well
abandonment forms and monitoring data shall refer to the permit number and the well nomenclature as
provided in Attachment C and Figure 1. [15A NCAC 02T .0105(m)]
10. Two copies of the monitoring well sampling and analysis results shall be submitted on a Compliance
Monitoring Form (GW-59), along with attached copies of laboratory analyses, on or before the last
working day of the month following the sampling month. The Compliance Monitoring Form (GW-59)
shall include this permit number, the appropriate well identification number, and one GW-59a
certification form shall be submitted with each set of sampling results. All information 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 .0105(m)]
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11. An annual representative soils analysis (i.e., Standard Soil Fertility Analysis) shall be conducted on
each infiltration site listed in Attachment B. These results shall be maintained at the facility for five
years, and shall be made available to the Division upon request. Each Standard Soil Fertility Analysis
shall include the following parameters:
Acidity
Exchangeable Sodium Percentage
Phosphorus
Base Saturation (by calculation)
Magnesium
Potassium
Calcium
Manganese
Sodium
Cation Exchange Capacity
Percent Humic Matter
Zinc
Copper
pH
[15A NCAC 02T .0108(c)]
12. Noncompliance Notification:
The Permittee shall report to the Wilmington Regional Office, telephone number [phone],
within 24 hours of first knowledge of the following:
a. Treatment of wastes abnormal in quantity or characteristic, including the known passage of a
hazardous substance.
b. Any process unit failure (e.g., mechanical, electrical, etc.) rendering the facility incapable of
adequate wastewater treatment.
c. Any facility failure resulting in a discharge to surface waters.
d. Any time self -monitoring indicates the facility has gone out of compliance with its permit
limitations.
e. Ponding in or runoff from the infiltration sites.
Emergencies requiring reporting outside normal business hours shall call the Division's Emergency
Response personnel at telephone number [phone], [phone], or [phone]. All
noncompliance notifications shall file a written report to the Wilmington Regional Office within five
days of first knowledge of the occurrence, and this report shall outline the actions proposed or taken to
ensure the problem does not recur. [ 15A NCAC 02T .0108(b)(1)(A)]
V. INSPECTIONS
1. The Permittee shall perform inspections and maintenance to ensure proper operation of the wastewater
treatment and infiltration facilities. [15A NCAC 02T .07070)]
The Permittee shall inspect the wastewater treatment and infiltration facilities to prevent malfunctions,
facility deterioration, and operator errors that may result in discharges of wastes to the environment,
threats to human health, or public nuisances. The Permittee shall maintain an inspection log that
includes the date and time of inspection, observations made, and maintenance, repairs, or corrective
actions taken. The Permittee shall maintain this inspection log for a period of five years from the date
of the inspection, and this log shall be made available to the Division upon request. [15A NCAC 02T
.0707(i), 02T .07070)]
3. Division authorized representatives may, upon presentation of credentials, enter and inspect any
property, premises, or place related to the wastewater treatment and infiltration facilities permitted
herein at any reasonable time for determining compliance with this permit. Division authorized
representatives may inspect or copy records 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)]
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VI. GENERAL CONDITIONS
1. Failure to comply with the conditions and limitations contained herein may subject the Permittee to a
Division enforcement action. [G.S. 143-215.6A, 143-215.6B, 143-215.6C]
2. This permit is effective only with respect to the nature and volume of wastes described in the permit
application, and Division -approved plans and specifications. [G.S. 143-215.1(d)]
3. Unless specifically requested and approved in this permit, there are no variances to administrative codes
or general statutes governing the construction or operation of the facilities permitted herein. [15A
NCAC 02T .0105(n)]
4. The issuance of this permit does not exempt the Permittee from complying with all statutes, rules,
regulations, or ordinances that other jurisdictional government agencies (e.g., local, state, and federal)
may require. [15A NCAC 02T .0105(c)(6)]
5. If the permitted facilities change ownership, or the Permittee changes their name, the Permittee shall
submit a permit modification request on Division -approved forms. The Permittee shall comply with
all terms and conditions of this permit until the permit is transferred to the successor -owner. [G.S. 143-
215.1(0)]
6. The Permittee shall retain a set of Division -approved plans and specifications for the life of the facilities
permitted herein. [15A NCAC 02T .0105(o)]
7. The Permittee shall maintain this permit until the proper closure of all facilities permitted herein, or
until the facilities permitted herein are permitted by another authority. [15A NCAC 02T .01050)]
8. This permit is subject to revocation or modification upon 60-day notice from the Division Director, in
whole or part for:
a. violation of any terms or conditions of this permit or Administrative Code Title 15A Subchapter
02T;
b. obtaining a permit by misrepresentation or failure to disclose all relevant facts;
c. the Permittee's refusal to allow authorized Department employees upon presentation of credentials:
i. to enter the Permittee's premises where a system is located or where any records are required
to be kept;
ii. to have access to any permit required documents and records;
iii. to inspect any monitoring equipment or method as required in this permit; or
iv. to sample any pollutants;
d. the Permittee's failure to pay the annual fee for administering and compliance monitoring; or
e. a Division determination that the conditions of this permit are in conflict with North Carolina
Administrative Code or General Statutes.
[15A NCAC 02T .0110]
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9. Unless the Division Director grants a variance, expansion of the facilities permitted herein shall not
occur if any of the following apply:
a. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has been convicted of
environmental crimes under G.S. 143-215.6B, or under Federal law that would otherwise be
prosecuted under G.S. 143-215.6B, and all appeals of this conviction have been abandoned or
exhausted.
b. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has previously abandoned
a wastewater treatment facility without properly closing the facility.
c. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has not paid a civil
penalty, and all appeals of this penalty have been abandoned or exhausted.
d. The Permittee or any parent, subsidiary, or other affiliate of the Permittee is currently not compliant
with any compliance schedule in a permit, settlement agreement, or order.
e. The Permittee or any parent, subsidiary, or other affiliate of the Permittee has not paid an annual
fee.
[15A NCAC 02T .0120(b), 02T .0120(d)]
10. This permit shall not be renewed if the Permittee or any affiliation has not paid the required annual fee.
[ 15A NCAC 02T .0120(c)]
11. Failure to pay the annual fee shall subject this permit to revocation. [ 15A NCAC 02T .0110(4)]
Permit issued this the 15�h day of November 2018
NORTH CAROLINA ENVIRONMENTAL MANAGEMENT COMMISSION
?-Linda Culpepper, Interim Director
Division of Water Resources
By Authority of the Environmental Management Commission
Permit Number WQ0011313
WQ0011313 Version 2.1 Shell Version 180901 Page 11 of 11

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STATE OF NORTH CAROLINA
COUNTY OF C'ancrei
Permit No. wQ0011111
OPERATIONAL AGREEMENT
This AGREEMENT made pursuant to G.S. 143-215.1 (dI) and entered into this day of
A"=°`' 014 by and between the North Carolina Environmental Management
Commission, an agency of the State of North Carolina, hereinafter known as the COMMISSION; and
Peppemee-Adantic Beach 11 Assocatian, Im,
ASSOCIATION.
WiTNESSETH:
Beach Win In Association, ha:. and
, a non-profit corporation organized
of the laws of the State of North Carolina, hereinafter known as the
The ASSOCIATION was fomted for the purpose, among others, of handling the property, affairs and
business of the development known as Veppenree Atlantic ncoch
(hereinafter the Development); of operating, maintaining, re -constructing and repairing the common
elements of the lands and improvements subject to unit ownership, including the wastewater collection
system with pumps, wastewater treatment works, and/or disposal facilities (hereinafter Disposal System);
and of collecting dues and assessment to provide funds for such operation, maintenance, re -construction
and repair.
2. The ASSOCIATION desires, to construct and/or operate a Disposal System to provide sanitary sewage
disposal to serve the Development on said lands.
3. The ASSOCIATION has applied to the COMMISSION for the issuance of a permit pursuant to G.S. 143-
215.1 to construct, maintain, and/or operate the Disposal System.
4. The Development was created subject to unit ownership in the dwellings units, other improvements and
lands through filing of a Declaration of Unit Ownership (hereinafter Declaration), pursuant to Chapter
47C of the North Carolina General Statutes.
5, The COMMISSION desires to assure that the Disposal System of the Development is properly
constructed, maintained and operated in accordance with law and permit provisions in order to protect the
quality of the waters of the State and the public interest therein.
NOW, THEREFORE, in consideratialt of the promises and the benefits to be derived by each of the parties
hereto, the COMMISSION and ASSOCIATION do hereby mutually agree as follows:
1. The ASSOCIATION shall construct the Disposal System and/or make any additions or modifications to
the Disposal System in accordance with the permit and plans and specifications hereafter issued and
approved by the COMMISSION, and shall thereafter properly operate and maintain such systems and
facilities in accordance with applicable permit provisions and law.
2. The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
and appurtenances thereto are part of the common elements and shall thereafter be properly maintained
and operated in conformity with law and the provisions of the permit for construction, operation, repair,
and maintenance of the system and facilities. The Declaration and Bylaws shall identify the entire
wastewater treatment, collection and disposal system as a common element, which will receive the highest
priority for expenditures by the Association except for Federal, State, and local taxes and insurance.
FORM: AOA 11-17 Page 1 of 2

3. The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
will be maintained out of the common expenses. In order to assure that there shall be funds readily
available to repair, maintain, or construct the Disposal System beyond the routine operation and
maintenance expenses, the Declaration and Association Bylaws shall provide that a fund be created out of
the common expenses. Such fund shall be separate from the routine maintenance fund allocated for the
facility and shall be part of the yearly budget.
4. In the event the common expense allocation and separate fund(s) are not adequate for the construction,
repair, and maintenance of the Disposal System, the Declaration and Association Bylaws shall provide for
special assessments to cover such necessary costs. There shall be no limit on the amount of such
assessments, and the Declaration and Bylaws shall be provided such that special assessments can be made
as necessary at any time.
5. If a wastewater collection system and wastewater treatment and/or disposal facility provided by any city,
town, village, county, water and sewer authorities, or other unit of government shall hereinafter become
available to serve the Development, the ASSOCIATION shall take such action as is necessary to cause the
existing and future wastewater of the Development to be accepted and discharged into said governmental
system, and shall convey or transfer as much of the Disposal System and such necessary easements as the
governmental unit may require as condition of accepting the Development's wastewater.
6. Recognizing that it would be contrary to the public interest and to the public health, safety and welfare for
the ASSOCIATION to enter into voluntary dissolution without having made adequate provision for the
continued proper maintenance, repair and operation of its Disposal System, the ASSOCIATION shall
provide in the ASSOCIATION Bylaws that the ASSOCIATION shall not enter into voluntary dissolution
Without first having transferred its said system and facilities to some person, corporation or other entity
acceptable to and approved by the COMMISSION by the issuance of a permit.
7. The ASSOCIATION shall not transfer, convey, assign or otherwise relinquish or release its responsibility
for the operation and maintenance of its Disposal System until a permit has been reissued to the
ASSOCIATION's successor.
8. The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, 6, and 7 above shall be conditions of any
permit issued by the COMMISSION to the ASSOCIATION for the construction, maintenance, repair and
operation of the Disposal System.
9. A copy of this agreement shall be filed at the Register of Deeds in the County(ies) where the Declaration
is filed and in the offices of the Secretary of State of North Carolina with the Articles of Incorporation of
the Association.
IN WITNESS WHEREOF, this agreement was executed in duplicate originals by the duly authorized
representative of the parties hereto on the day and year written as indicated by each of the parties named below:
FOR THE ENVIRONMENTAL
MANAGEMENT COMMISSION
Linda Culpepper, Interim Director
Division of Water Resources
(Date)
Nppenree-Atlantic Brach Asmciation, Inc.
Name of ASSOCIATION
(Signature)
Print Name and Title
(Date)
61

The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
will be maintained out of the common expenses. In order to assure that there shall be funds readily
available to repair, maintain, or construct the Disposal Systetn beyond the routine operation and
maintenance expenses, the Declaration and Association Bylaws shall provide that a fund be created out of
the common expenses. Such fund shall be separate From the routine maintenance fund allocated for the
facility and shall be part of the yearly budget.
4. In the event the common expense allocation and separate funds) are not adequate for the construction,
repair, and maintenance of the Disposal System, the Declaration and Association Bylaws shall provide for
special assessments to cover such necessary costs. There shall be no limit on the amount of such
assessments, and the Declaration and Bylaws shall be provided such that special assessments can be made
as necessary at any time.
5. If a wastewater collection system and wastewater treatment and/or disposal facility provided by any city,
town, village, county, water and sewer authorities, or other unit of government shall hereinafter become
available to serve the Development, the ASSOCIATION shall take such action as is necessary to cause the
existing and future wastewater of the Development to be accepted and discharged into said governmental
system, and shall convey or transfer as much of the Disposal System and such necessary easements as the
governmental unit may require as condition of accepting the DeveIopment's wastewater.
6. Recognizing that it would be contrary to the public interest and to the public health, safety and welfare for
the ASSOCIATION to enter into voltmtary dissolution without having made adequate provision for the
continued proper maintenance, repair and operation of its Disposal System, the ASSOCIATION shall
provide in the ASSOCIATION Bylaws that the ASSOCIATION shall not enter into voluntary dissolution
without first having transferred its said system and facilities to some person, corporation or other entity
acceptable to and approved by the COMMISSION by the issuance of a permit.
7. The ASSOCIATION shalt not transfer, convey, assign or otherwise relinquish or release its responsibility
for the operation and maintenance of its Disposal System until a permit has been reissued to the
ASSOCIATION's successor.
8. The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, 6, and 7 above shall be conditions of any
permit issued by the COMMISSION to the ASSOCIATION for the construction, maintenance, repair and
operation of the Disposal System.
9. A copy of this agreement shall be filed at the Register of Deeds in the County(ies) where the Declaration
is filed and in the offices of the Secretary of State of North Carolina with the Articles of Incorporation of
the Association.
IN WITNESS WHEREOF, this agreement was executed in duplicate originals by the duly authorized
representative of the parties hereto on the day and year written as indicated by each of the parties named below:
FOR THE ENVIRONMENTAL
MANAGEMENT COMMISSION
Linda Culpepper, Interim Director
Division of Water Resources
(Date)
Peppers a Adsntic Beach 11 Association, Inc.
Name of ASSOCIATION
Bv: t
(Signature)
r
Print Name and Title
(Date)
84

3. The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
will be maintained out of the common expenses. In order to assure that there shall be funds readily
available to repair, maintain, or construct the Disposal System beyond the routine operation and
maintenance expenses, the Declaration and Association Bylaws shall provide that a fund he created out of
the common expenses. Such fund shall be separate from the routine maintenance fund allocated for the
facility and shall be part of the yearly budget.
4. In the event the common expense allocation and separate fund(s) are not adequate for the construction,
repair, and maintenance of the Disposal System, the Declaration and Association Bylaws shall provide for
special assessments to cover such necessary costs. There shall be no limit on the amount of such
assessments, and the Declaration and Bylaws shall be provided such that special assessments can be made
as necessary at any time.
5. If a wastewater collection system and wastewater treatment and/or disposal facility provided by any city,
town, village, county, water and sewer authorities, or other unit of government shall hereinafter become
available to serve the Development, the ASSOCIATION shall take such action as is necessary to cause the
existing and future wastewater of the Development to be accepted and discharged into said governmental
system, and shalf convey or transfer as much of the Disposal System and such'necessary easements as the
governmental unit may require as condition of accepting the Development's wastewater.
6. Recognizing that it would be contrary to the public interest and to the public health, safety and welfare for
the ASSOCIATION to enter into voluntary dissolution without having made adequate provision for the
continued proper maintenance, repair and operation of its Disposal System, the ASSOCIATION shall
provide in the ASSOCIATION Bylaws that the ASSOCIATION shall not enter into voluntary dissolution
without first having transferred its said system and facilities to some person, corporation or other entity
acceptable to and approved by the COMMISSION by the issuance of a permit.
7. The ASSOCIATION shall not transfer, convey, assign or otherwise relinquish or release its responsibility
for the operation and maintenance of its Disposal System until a permit has been reissued to the
ASSOCIATION's successor.
8. The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, 6, and 7 above shall be conditions of any
permit issued by the COMMISSION to the ASSOCIATION for the construction, maintenance, repair and
operation of the Disposal System.
9. A copy of this agreement shall be filed at the Register of Deeds in the County(ies) where the Declaration
is filed and in the offices of the Secretary of State of North Carolina with the Articles of Incorporation of
the Association.
IN WITNESS WHEREOF, this agreement was executed in duplicate originals by the duly authorized
representative of the parties hereto on the day and year written as indicated by each of the parties named below:
FOR THE ENVIRONMENTAL Pepperuee Atlantic Beach Villas In Association, Inc.
MANAGEMENT COMMISSION Name of ASSOCIATION
,7Linda Culpepper, Interim Director
c� Division of Water Resources
(Date)
(Signature)
�1 1.�v t r�
Print Name and Title
(Date
8.9