20070272 Ver 1_401 Application_20070207

~S&ME
20070272
February 9, 2007
Division of Water Quality
401 Wetlands Unit
1650 Mail Service Center
Raleigh, North Carolina 27699-1650
Re: Pre-Construction Notification
Isolated Wetland Impact Application
Stevens Park Subdivision
Southport, North Carolina
To Whom It May Concern:
PF;~~~ EST
RECEIVED
- ~ ,'
S&ME, Inc. (S&ME) is pleased to submit this isolated wetland application for impacts to .39 acre of
isolated wetlands at the Stevens Park Subdivision in Southport, North Carolina. S&ME is working on
behalf of Cape Fear Trading Group IV, LLC, who will be considered the applicant for this permit.
Please find enclosed the following materials that accompany this application:
• A completed Pre-Construction Notification;
• A scaled site plan provided by McKim & Creed Engineers, P.A.
• Agent Authorization Form;
• Appropriate Figures: 410 Wetland Impact Exhibit (Figure 1); USGS Topographic Map
(Figure 2); Existing Conditions/Aerial Photograph (Figure 3); and Soil Map (Figure 4);
• Agreement for off-site mitigation from the Ecosystem Enhancement Program;
• Agreement for wastewater allocation from the City of Southport; and
• Draft conservation easement.
If you have any questions, please do not hesitate to contact me at the number below.
Sincerely,
~S&ME, Inc.
\, '
Paul asten
Enviror_mental Staff Professional

Lisa J. Beckstrom, C.W.B, C.E.
Senior Reviewer
S&ME, INC. / 6409 Amsterdam Way, Building B3 /Wilmington, NC 28405 / p 910.799.9945 f 910.799.9958 / www.smeinc.com

Office Use Only: Form Version March OS
USAGE Action ID No. 200500904 DWQ No. 2 0 0 7 0 2 7 2
(If any particular item is not applicable to this project, please enter "Not Applicable" or "N/A".)
L Processing ~ %'~ ~ ~ ~ --
RE~~EIVED
1. Check all of the approval(s) requested for this project:
^ Section 404 Permit ^ Riparian or Watershed Buffer Rules
^ Section 10 Permit ® Isolated Wetland Permit from DWQ
^ 401 Water Quality Certification ^ Express 401 Water Quality Certification
2. Nationwide, Regional or General Permit Number(s) Requested: IWGP100000
3. If this notification is solely a courtesy copy because written approval for the 401 Certification
is not required, check here: ^
4. If payment into the North Carolina Ecosystem Enhancement Program (NCEEP) is proposed
for mitigation of impacts, attach the acceptance letter from NCEEP, complete section VIII,
and check here:
5. If your project is located in any of North Carolina's twenty coastal counties (listed on page
4), and the project is within a North Carolina Division of Coastal Management Area of
Environmental Concern (see the top of page 2 for further details), check here: ^
II. Applicant Information
1. Owner/Applicant Information ,h ~ ~.,;, ; ~`
,:. ;~ ~_
Name: Rod Hyson ~- ~- `
Mailing Address: Cape Fear Trading Group IV, LLC _ _ -
120 East Moore Street
Southport. NC 28461
Telephone Number: 910-279-1303 Fax Number: 910-454-9420
E-mail Address: N/A
2. Agent/Consultant Information (A signed and dated copy of the Agent Authorization letter
must be attached if the Agent has signatory authority for the owner/applicant.)
Name: Paul Masten
Company Affiliation: S&ME, Inc.
Mailing Address: 6409 Amsterdam Way, Building B-3
Wilmington, North Carolina 28405
Telephone Number: 910-799-9945 Fax Number: 910-799-9958
E-mail Address: pmasten(c~smein.com
Page 5 of 13

III. Project Information
Attach a vicinity map clearly showing the location of the property with respect to local
landmarks such as towns, rivers, and roads. Also provide a detailed site plan showing property
boundaries and development plans in relation to surrounding properties. Both the vicinity map
and site plan must include a scale and north arrow. The specific footprints of all buildings,
impervious surfaces, or other facilities must be included. If possible, the maps and plans should
include the appropriate USGS Topographic Quad Map and NRCS Soil Survey with the property
boundaries outlined. Plan drawings, or other maps may be included at the applicant's discretion,
so long as the property is clearly defined. For administrative and distribution purposes; the
USACE requires information to be submitted on sheets no larger than 11 by 17-inch format;
however, DWQ may accept paperwork of any size. DWQ prefers full-size construction
drawings rather than a sequential sheet version of the full-size plans. If full-size plans are
reduced to a small scale such that the final version is illegible, the applicant will be informed that
the project has been placed on hold until decipherable maps are provided.
1. Name of prof ect: Stevens Park
2. T.I.P. Project Number or State Project Number (NCDOT Only): N/A
3. Property Identification Number (Tax PIN): 237000041
4. Location
County: Brunswick Nearest Town: Southport
Subdivision name (include phase/lot number): Stevens Park
Directions to site (include road numbers/names, landmarks, etc.): North Howe Street
towards Southport, turn r~ht on 9t" Street and the site is located approximately one mile at
facili
5. Site coordinates (For linear projects, such as a road or utility line, attach a sheet that
separately lists the coordinates for each crossing of a distinct waterbody.)
Decimal Degrees (6 digits minimum): 33.9264 °N 78.0345 °W
6. Property size (acres): 97.0 acres
7. Name of nearest receiving body of water: Cottage Creek and Dutchman Creek
8. River Basin: Cape Fear River
(Note -this must be one of North Carolina's seventeen designated major river basins. The
River Basin map is available at http://h2o.enr.state.nc.us/admin/maps/.)
9. Describe the existing conditions on the site and general land use in the vicinity of the project
at the time of this application: Part of the site is currently used as a recreational park with
baseball and football fields, playgrounds and open reg en space. The rest of the site is
Page 6 of 13

undeveloped and wooded. Several narrow dirt paths are present that traverse the wooded
area as well as an overhead electrical utili~ line corridor.
10. Describe the overall project in detail, including the type of equipment to be used: The
proposed project entails the redevelopment of the existing Stevens Park recreational facility
into a residential subdivision with public recreational facilities. The project will include
paved roadways parking and sidewalks, wooden walkways permitted stormwater facilities,
and improvements to the existing recreational areas (including baseball fields, a swimming
pool and r~pace). Mechanical equipment will be used for site clearing and construction.
An elevated wooden walkwayproposed at the large isolated wetland in the northern part of
the project will be constructed using track-mounted mechanical equipment and log ing mats.
11. Explain the purpose of the proposed work: The purpose of the project is to construct a
neighborhood in the fashion of the historic residential areas in Southport, as well as to
preserve and improve upon the existingpublic recreational facilities.
IV. Prior Project History
If jurisdictional determinations and/or permits have been requested and/or obtained for this
project (including all prior phases of the same subdivision) in the past, please explain. Include
the USACE Action ID Number, DWQ Project Number, application date, and date permits and
certifications were issued or withdrawn. Provide photocopies of previously issued permits,
certifications or other useful information. Describe previously approved wetland, stream and
buffer impacts, along with associated mitigation (where applicable). If this is a NCDOT project,
list and describe permits issued for prior segments of the same T.I.P. project, along with
construction schedules. USACE Action ID 200500904 for jurisdictional determination
V. Future Project Plans
Are any future permit requests anticipated for this project? If so, describe the anticipated work,
and provide justification for the exclusion of this work from the current application.
No future permits are anticipated.
VI. Proposed Impacts to Waters of the United States/Waters of the State
It is the applicant's (or agent's) responsibility to determine, delineate and map all impacts to
wetlands, open water, and stream channels associated with the project. Each impact must be
listed separately in the tables below (e.g., culvert installation should be listed separately from
riprap dissipater pads). Be sure to indicate if an impact is temporary. All proposed impacts,
permanent and temporary, must be listed, and must be labeled and clearly identifiable on an
accompanying site plan. All wetlands and waters, and all streams (intermittent and perennial)
should be shown on a delineation map, whether or not impacts are proposed to these systems.
Wetland and stream evaluation and delineation forms should be included as appropriate.
Page 7 of 13

Photographs may be included at the applicant's discretion. If this proposed impact is strictly for
wetland or stream mitigation, list and describe the impact in Section VIII below. If additional
space is needed for listing or description, please attach a separate sheet.
1. Provide a written description of the proposed impacts: Impact Areas 1 and 2 include
approximately 0.39 acre of isolated wetland impacts.
2. Individually list wetland impacts. Types of impacts include, but are not limited to
mechanized clearing, grading, fill, excavation, flooding, ditching/drainage, etc. For dams,
separately list impacts due to both structure and flooding.
Wetland Impact
Site Number
(indicate on map)
Type of Impact Type of Wetland
(e.g., forested, marsh,
herbaceous, bog, etc.) Located within
100-year
Floodplain
(yes/no) Distance to
Nearest
Stream
(linear feet) Area of
Impact
(acres)
Impact Area 1 Fill Isolated -herbaceous No 0.20 ac
Impact Area 2 Fill Isolated -herbaceous No 0.19 ac

Total Wetland Impact (acres) 0.39 ac
3. List the total acreage (estimated) of all existing wetlands on the property: 9.48 acres
4. Individually list all intermittent and perennial stream impacts. Be sure to identify temporary
impacts. Stream impacts include, but are not limited to placement of fill or culverts, dam
construction, flooding, relocation, stabilization activities (e.g., cement walls, rip-rap, crib
walls, gabions, etc.), excavation, ditching/straightening, etc. If stream relocation is proposed,
plans and profiles showing the linear footprint for both the original and relocated streams
must he included. To calculate acreage. multiply length X width. then divide by 43.560.
Stream Impact
Number
(indicate on ma)
Stream Name
Type of Impact Perennial or
Intermittent? Average
Stream Width
Before Impact Impact
Length
(linear feet) Area of
Impact
(acres)
N/A N/A N/A N/A N/A N/A N/A

Total Stream Impact (by length and acreage) N/A N/A
Page8of13

Individually list all open water impacts (including lakes, ponds, estuaries, sounds, Atlantic
Ocean and any other water of the U.S.). Open water impacts include, but are not limited to
fill, excavation, dredging, flooding, drainage, bulkheads, etc.
Open Water Impact

Site Number
(indicate on map)
Name of Waterbody
(if applicable)

Type of Impact Type of Waterbody

(lake, pond, estuary, sound, bay,
ocean, etc.) Area of

Impact
(acres)
N/A N/A N/A N/A N/A

Total Open Water Impact (acres) N/A
6. List the cumulative impact to all Waters of the U.S. resulting from the project:
Stream Impact (acres): N/A
Wetland Impact (acres): 0.39 ac
Open Water Impact (acres): N/A
Total Impact to Waters of the U.S. (acres) N/A
Total Stream Impact (linear feet): N/A
7. Isolated Waters
Do any isolated waters exist on the property? ®Yes ^ No
Describe all impacts to isolated waters, and include the type of water (wetland or stream) and
the size of the proposed impact (acres or linear feet). Please note that this section only
applies to waters that have specifically been determined to be isolated by the USACE.
Both impact areas are isolated wetlands and they tota10.39 acre.
8. Pond Creation
If construction of a pond is proposed, associated wetland and stream impacts should be
included above in the wetland and stream impact sections. Also, the proposed pond should
be described here and illustrated on any maps included with this application.
Pond to be created in (check all that apply): ^ uplands ^ stream ^ wetlands
Describe the method of construction (e.g., dam embankment, excavation, installation of
draw-down valve or spillway, etc.): N/A
Proposed use or purpose of pond (e.g., livestock watering, irrigation, aesthetic, trout pond,
local stormwater requirement, etc.): N/A
Current land use in the vicinity of the pond: N/A
Size of watershed draining to pond: N/A Expected pond surface area: N/A
VII. Impact Justification (Avoidance and Minimization)
Specifically describe measures taken to avoid the proposed impacts. It may be useful to provide
information related to site constraints such as topography, building ordinances, accessibility, and
financial viability of the project. The applicant may attach drawings of alternative, lower-impact
site layouts, and explain why these design options were not feasible. Also discuss how impacts
were minimized once the desired site plan was developed. If applicable, discuss construction
techniques to be followed during construction to reduce impacts.
Page 9 of 13

The two proposed impacts are to small isolated wetlands whose contribution to the overall water
quality of receiving waters is most likely negligible. Reducing the impact on either or both of
these areas so that impacts would be below State notification thresholds would result in the
remaining wetlands being approximately 1 500 square feet in area. Such remaining wetlands
would arguably lose any existing functionality, not noticeably improve downstream water
quality and possibly become non-wetland as drainage and runoff is diverted into the proposed
stormwater system. It should also be noted that preservation and expansion of the existing
recreational facilities as required by the Town of Southport, has taken away several acres of
developable upland.
The project proposes avoidance of the 9 09-acre isolated wetland in the northern part of the
property An elevated wooden walkway will be constructed around this feature so that it can
become an amenity to the site. Track-mounted equipment and logging mats will be used during
construction to reduce the occurrence of rutting. Any ruts created will be returned to original
,grade using hand tools and seeded for temporary stabilization.
This large wetland will also be placed into a conservation easement. The easement document is
being prepared by attorneys at Rountree Losee & Baldwin, LLP. A copy of the draft easement
has been included and the final document will be forwarded to you once complete.
VIII. Mitigation
DWQ - In accordance with 15A NCAC 2H .0500, mitigation may be required by the NC
Division of Water Quality for projects involving greater than or equal to one acre of impacts to
freshwater wetlands or greater than or equal to 150 linear feet of total impacts to perennial
streams.
USACE - In accordance with the Final Notice of Issuance and Modification of Nationwide
Permits, published in the Federal Register on January 15, 2002, mitigation will be required when
necessary to ensure that adverse effects to the aquatic environment are minimal. Factors
including size and type of proposed impact and function and relative value of the impacted
aquatic resource will be considered in determining acceptability of appropriate and practicable
mitigation as proposed. Examples of mitigation that may be appropriate and practicable include,
but are not limited to: reducing the size of the project; establishing and maintaining wetland
and/or upland vegetated buffers to protect open waters such as streams; and replacing losses of
aquatic resource functions and values by creating, restoring, enhancing, or preserving similar
functions and values, preferable in the same watershed.
If mitigation is required for this project, a copy of the mitigation plan must be attached in order
for USACE or DWQ to consider the application complete for processing. Any application
lacking a required mitigation plan or NCEEP concurrence shall be placed on hold as incomplete.
An applicant may also choose to review the current guidelines for stream restoration in DWQ's
Draft Technical Guide for Stream Work in North Carolina, available at
http://h2o.enr.state.nc.us/ncwetlands/strmgide.html.
Page 10 of 13

1. Provide a brief description of the proposed mitigation plan. The description should provide
as much information as possible, including, but not limited to: site location (attach directions
and/or map, if offsite), affected stream and river basin, type and amount (acreage/linear feet)
of mitigation proposed (restoration, enhancement, creation, or preservation), a plan view,
preservation mechanism (e.g., deed restrictions, conservation easement, etc.), and a
description of the current site conditions and proposed method of construction. Please attach
a separate sheet if more space is needed.
Wetland mitigation to be provided by the North Carolina Ecosystem Enhancement Pro rg am.
The 9.09-acre isolated wetland that is being avoided will be preserved in a conservation
easement. The conservation easement document is being recorded by Jeff Lossee, Attorney
with Rountree, Losee & Baldwin, LLP. A draft cony of the conservation easement has been
included. A copy of the final conservation easement will be forwarded to you when
completed.
2. Mitigation may also be made by payment into the North Carolina Ecosystem Enhancement
Program (NCEEP). Please note it is the applicant's responsibility to contact the NCEEP at
[phone] to determine availability, and written approval from the NCEEP indicating
that they are will to accept payment for the mitigation must be attached to this form. For
additional information regarding the application process for the NCEEP, check the NCEEP
website at http://h2o.enr.state.nc.us/wrp/index.htm. If use of the NCEEP is proposed, please
check the appropriate box on page five and provide the following information:
Amount of stream mitigation requested (linear feet): N/A
Amount of buffer mitigation requested (square feet): N/A
Amount of Riparian wetland mitigation requested (acres): N/A
Amount ofNon-riparian wetland mitigation requested (acres): 0.39
Amount of Coastal wetland mitigation requested (acres): N/A
IX. Environmental Documentation (required by DWQ)
Does the project involve an expenditure of public (federal/state/local) funds or the use of
public (federal/state) land? Yes ^ No
2. If yes, does the project require preparation of an environmental document pursuant to the
requirements of the National or North Carolina Environmental Policy Act (NEPA/SEPA)?
Note: If you are not sure whether a NEPA/SEPA document is required, call the SEPA
coordinator at [phone] to review current thresholds for environmental documentation.
Yes ^ No ^
3. If yes, has the document review been finalized by the State Clearinghouse? If so, please
attach a copy of the NEPA or SEPA final approval letter. Yes ^ No ^
Page 11 of 13

X. Proposed Impacts on Riparian and Watershed Buffers (required by DWQ)
It is the applicant's (or agent's) responsibility to determine, delineate and map all impacts to
required state and local buffers associated with the project. The applicant must also provide
justification for these impacts in Section VII above. All proposed impacts must be listed herein,
and must be clearly identifiable on the accompanying site plan. All buffers must be shown on a
map, whether or not impacts are proposed to the buffers. Correspondence from the DWQ
Regional Office may be included as appropriate. Photographs may also be included at the
applicant's discretion.
1. Will the project impact protected riparian buffers identified within 15A NCAC 2B .0233
(Meuse), 15A NCAC 2B .0259 (Tar-Pamlico), 15A NCAC 02B .0243 (Catawba) 15A NCAC
2B .0250 (Randleman Rules and Water Supply Buffer Requirements), or other (please
identify N/A )? Yes ^ No
2. If "yes", identify the square feet and acreage of impact to each zone of the riparian buffers.
If buffer mitigation is required calculate the required amount of mitigation by applying the
buffer multipliers.
Zone* Impact
(s uare feet) Multiplier Required
Mitigation
1 3 (2 for Catawba)
2 1.5
Total
* Zone 1 extends out 30 feet perpendicular from the top of the near bank of channel; Zone 2 extends an
additiona120 feet from the edge of Zone 1.
3. If buffer mitigation is required, please discuss what type of mitigation is proposed (i.e.,
Donation of Property, Riparian Buffer Restoration /Enhancement, or Payment into the
Riparian Buffer Restoration Fund). Please attach all appropriate information as identified
within 15A NCAC 2B .0242 or .0244, or .0260. N/A
XI. Stormwater (required by DWQ)
Describe impervious acreage (existing and proposed) versus total acreage on the site. Discuss Stormwater
controls proposed in order to protect surface waters and wetlands downstream from the property. If
percent impervious surface exceeds 20%, please provide calculations demonstrating total proposed
impervious level. Stormwater will be treated through a combination of infiltration basins and wet
detention ponds as shown on the site plans. The ponds are designed to provide the storage
capacity for the 25-year storm as required by the City of Southport and fora 1.5-inch per hour
storm event as required b~WQ and 85% Total Suspended Solids removal. The stormwater
permit application is being_prepared by McKim & Creed Engineers, P.A.
Page 12 of 13

XII. Sewage Disposal (required by DWQ)
Clearly detail the ultimate treatment methods and disposition (non-discharge or discharge) of
wastewater generated from the proposed project, or available capacity of the subject facility.
Sewage disposal will be provided by the City of Southport through their wastewater treatment
facility A copy of the wastewater allocation letter from the City has been included.
XIII. Violations (required by DWQ)
Is this site in violation of DWQ Wetland Rules (15A NCAC 2H .0500) or any Buffer Rules?
Yes ^ No
Is this an after-the-fact permit application? Yes ^ No
XIV. Cumulative Impacts (required by DWQ)
Will this project (based on past and reasonably anticipated future impacts) result in additional
development, which could impact nearby downstream water quality? Yes ^ No
If yes, please submit a qualitative or quantitative cumulative impact analysis in accordance with
the most recent North Carolina Division of Water Quality policy posted on our website at
http://h2o.enr.state.nc.us/ncwetlands. If no, please provide a short narrative description: This
project is located partially in the City of Southport and partially in the ETJ of the City of
Southport thus ancillary commercial/municipal development to serve this residential
development is already in place There is anticipated future residential development on adjacent
parcels as an extension of this project which will have a similar development pattern as the
proposed phase Any such development will require additional stormwater treatment measures
and erosion control requiring approval from NCDENR and the City of Southport. The Cites
Southport will be~rovidin sg ewage treatment utilities to the property. No additional impacts to
wetlands or waters of the U.S. are anticipated.
XV. Other Circumstances (Optional):
It is the applicant's responsibility to submit the application sufficiently in advance of desired
construction dates to allow processing time for these permits. However, an applicant may
choose to list constraints associated with construction or sequencing that may impose limits on
work schedules (e.g., draw-down schedules for lakes, dates associated with Endangered and
Threatened Species, accessibility problems, or other issues outside of the applicant's control).
~~ l" Y~~~ ~/ 5~~"~
2 /~ ~~
Applicant/Agent's Signature Date
(Agent's signature is valid only if an authorization letter from the applicant is provided.)
Page 13 of 13

ATTACHMENTS
Agent Authorization
Site Figures
Wastewater Allocation Letter -City of Southport
USACE Approved Wetland Delineation Survey
Compensatory Mitigation Agreement - NCEEP
Draft Conservation Easement -Rountree, Losee & Baldwin, L.L.P
Scaled Site Plan -McKim & Creed Engineers, P.A.

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2 0 0 70 2 7 2
SCALE: NOT TO SCALE
CHECKED BY: LJB
DRAWN BY: PAM
DATE: 10-9-06
USGS TOPOGRAPHIC MAP
STEVENS PARK DEVELOPMENT
ME 9rfi AND MAPLE STREET
SOUTHPORT, NORTH CAROLINA
E
FIGURE
NUMBER
1
: 1061-06-276N

Project property
N
SCALE: NOT TO SCALE
CHECKED BY: LJB
DRAWN BY: PAM
DATE: 10-9-06
EXISTING CONDITIONS -CURRENT AERIAL
STEVENS PARK DEVELOPMENT
9TH AND MAPLE STREET
SOUTHPORT, NORTH CAROLINA
FIGURE
NUMBER
2

N
SCALE: NOT TO
CHECKED BY: LJB
DRAWN BY: PAM
DATE: 10-9-06
Note: Site plan drawing provided to S&ME by USDA Soil Conservation Service.
SOIL MAP FIGURE
STEVENS PARK DEVELOPMENT NUMBER
"' 9T" AND MAPLE STREET 3
ENVIRONMIE TALSERVIC S SOUTHPORT, NC
1061

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November 6, .2006
Mr. Rodney J. Hyson, J,r, .Managing Member
Cape .Fear Trading Group iV, IwLC
12D East Moore.Street
Southport, NC .28461.
Re: Wastewater Allocation -- Southport Crossing and .Stevens Park
Development Propos2ls
Dear Mr. Hysan: -,
On October 27, 2006, the lJtility Committee :authorized wastewater allocation #or
the above referenced projects contingent on the matters set forth herein. The
Committee agreed to allocate 40,000. GPp in Jarkuary, 2008 and another 40,000
GPD in January of 2009, The 4D,000 GPL~ allocated for each of those two years.
could be apportioned between the two developments based. tapan the priority
assigned to #hem by your .development group. Please be advised; however, that
as final plans fbr both developments haue not yet been received and approved
bythe City, .the commitment to allocate the above referenced flow should not be
construed as an endorsement of or acceptance of either the flow estimates
provided by you. nor the timing in which you. have indicated ;that flow would be
~7eeded. Those factors and .:others, including the ultimate .density of prapa$ed
developments will. be subject to final approval through the Planning Board and
Board of Aldermen in accordance with the s#andard development review process.
Further altctcation beyond that commi#ed above would be considered by the City
based .upon those development appravats and the actual need for flaw above
that which has been previously committed as demonstrated by the actual pace of
development realized. by that time.
Per City policy, anmexation of these sites is required in conjunction with. and as a
condition of the allocation of flow. Peti#ior7s for annexation should be received
not later than the point at .which wastewater extension permits are approved far
submission to the Division of Water Quality by the City (i.e., .lanuary of 2008 and
January of 2009).
Te hQid the reservation of allocation., a minimum of 50°!a of the required irnpaet
fees must be paid at the point the allc~catian is Cairimitted. As you tcnow, per the
City of Southport wastewa#er allocation '.requirements, was4ewater impact feFS far
residential development are based upon the approved density of a proposed
development Accordingly, as the ultimate densities ari; not yet krlpwn far the
201 ~, MOO'R~ S7R~ET • SOU7H>3©RT, NORTH CAROLINA 2$461
wunu nthrnien~dl~nnr4 nuns r L'7Fil''IhiF• rG1(11 dr,R7QfYt1 • FOX• ram ds~.7~rI!S

FEB-@2-2@@7 21:32 From:CAPEFEARI@9DAVIS To: 1888453@958 Page:2~2
r
above referenced projects, you should pay .the base rate of $20.00 per :gallon to
reserve the allocation commitment. Rerrtair-ing impact fees due the City will be
reconciled upon final approval of plans that define the ~iltmate :development
densities for bath projects.
As we have discussed, the City is .presently reviewing its existing infrastructure to
determine the 'impact these developments may have upon these. t'acilitieS.
Completion of this review is expected near-term; at that juncture, we will need to
meet with you and .your project engineers to .discuss the infrastructure
.improvements chat will. be .necessary to .allow for connection of these
developments to our utility systems in light of the present and anticipated future
demands an ahem.
If we may be of further assistance, please advise.
Sine ly,
~}
Robert Wt grant, Ai~P
Public Services Director
cc' Utility Committee
Rob Gandy, City Manager
Mike Isenlaerg, City,Attorney
Chad Hicks, Planning Director
Wayne Strickland, Building Inspector

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10-13-' t76 ~9 : 26 Ff30M-
T-246 F002 F-6t76
PROGRAM
October 12, 200b
Rod Hyson
Cape Pear Trading Group IV, LLC
303 N. Howe Street
5outhgort, idC 28461 2~ ~ 7 ~ 2 7 2
Project: Stevens Park County: Brunswick
The purpose of this letter is to notify you that the North Carolina Ecosystem l3nhaneemcnt Program (NC EEP} is willing to
accept payment for impacts associated with the above referenced pmject. Please note that this decision does not assure that
the payment will be approved by the permit issuing agencies as mitigation for project impacts. it is the responsibility of tht
applicant to contact Chest agencies to determine if payment to the NC 1313P twill be approved.
This acceptance is valid for six months from the date of this leuer. )(f vve have not received a copy of the issued 404
Permit/401 Certification within thus time frame, thus acceptance will expire. It is the applicant's responsibility to send
copies of the 4041401/LAMA permits to NC EEP, Qnce NC EEP receives a copy of the 404 Permit and/or the 40l
Certification an invoice will be issued and payment must be made.
Based on the information supplied by you the impacts that may require compensatory mitigation are summarized in the
following table-
River Basin Wetlands Stream Buffer Buffer
Cataloging (Acres) (Linter Fxt) zone 1 Zone 2
1Jnit (5q. Ft.) (Sq. Ft.l
]ti Arian rlon-Ri Arian Coastal Marsh Cold Cool 'I7V'arm
Cape tear 0 0.39 a a 0 tl U 0
a303a(>OS
Upon receipt of payment, EEP will tape responsibility for providing the compensatory mitigation for the perntitted impacts
up to a 2:1 ratio, (buffers, Zane L at a 3:1 ratio and Zone 2 at a 1.5:1 ratio). The type and amount of the compensatory
mitigation will be as specified in the Section 404 Permit and/or 4a1 Water Quality Certification, and/or CAMA Permit. The
mitigation will be performed in accordance with the Memorandum of iJnderstanding between the N. C. Department of
Environment and Natural Resources and the U. S. Army Corps of Engineers dated November 4, t998_
If you have any questions or need additional information, please contact Kelly Williams at [phone].
Sinctrtly,
t~ ~"
' am D. Gilmore, PE
cc: Cyndi l~aroly, Wttlands/4U1 Unit
Doug Huggett, Division of Coastal Management
Tracey Wheeler, USACE-Washington
T~yle Barnes, DWQ-Washington
Pile
R~st'oY' ... ~ ... PAD Du.~ Sta;L~ ~~~
~~~
North Carolina Ecosystem Enhancsment Program, 1652 Mail Service Center, Raleigh, NC 27699-1652 / 919-7i 5-t)47s / www_nCeep.net

DRAFT
STATE OF NORTH CAROLINA
COUNTY OF BRUNSWICK
DEED OF CONSERVATION EASEMENT
THIS DEED OF CONSERVATION EASEMENT ("Agreement") is made as of this
day of , 2006, by CAPE FEAR TRADING GROUP, IV, LLC, a
North Carolina limited liability company, having an address of , in
favor of a nonprofit corporation
having an address of ,Attn: (facsimile number
(hereinafter referred to as "Grantee").
[Alternate for easement in which a State is a joint grantee for a conservation project
promoting the public policy purpose of protecting water quality and/or drinking water
supplies: in favor of , a nonprofit corporation
having an address of ,Attn: (facsimile
number ) ("State"; State and Conservancy being collectively
referenced herein as "Grantee")].
WITNESSETH:
WHEREAS, Grantor is the sole owner in fee simple of certain property in Brunswick
County, North Carolina, more particularly described in "Exhibit A" attached hereto and by
reference made a part hereof (hereinafter referred to as the "Property"), [if applicable: together
with the access easement area described in Exhibit "A" attached hereto (the "Access
Drive")]; and South Lakeshore Drive and Stevens Park Blvd.
WHEREAS, the Property possesses natural habitat, scenic, open space, recreational,
educational and/or water quality/riparian values (hereinafter referred to collectively as
"Conservation Values") of great importance to Grantee, the people of
and County, North Carolina, and the
people of the State of North Carolina, and which are more particularly set forth below:

(_) the Property, if preserved in accordance with this Agreement, will provide the
following education and recreational opportunities for the general public: nature walk; and
(~ the Property provides an important habitat for a diversity of animal species in the
region of North Carolina including: birds; and
(~ the Property, if preserved in accordance with this Agreement, will protect a high
quality example of the pocosin community; and
(_) the Property, if preserved in accordance with this Agreement, will contribute to the
ecological viability of the conservation area; and
(___) the Property, if preserved in accordance with this Agreement, will provide for the
public's scenic enjoyment from Stevens Park Nature Conservatory in that the Property remains
relatively undisturbed in an area undergoing development, is a large tract totaling 9.83 acres and
contains fauna and is topographically consistent with North Carolina pocosin.
(~ the Property, if preserved in accordance with this Agreement, will maintain open
space, particularly 9.83 acres of forested land, marshes and wetlands.
(~ the United States of America, the State of North Carolina and the County of
Brunswick have adopted as conservation policies the improvement of water quality, and
protection of drinking water supplies and surface waters, through among other programs,
programs for prevention of erosion and sedimentation, prevention of loss or degradation of
wetlands, maintenance of riparian buffers along surface waters, watershed protection and
limitation of development in flood-prone areas; and
(~ The State of North Carolina has determined, as set forth in [describe
determination] that the Property, if preserved in accordance with this Agreement, will be
important in accomplishing the following conservation policies of the State [modify as
applicable to address review procedures undertaken by State, guidelines of State for
conservation easements that have been satisfied, State conservation easement programs
that have been satisfied, etc.], and
WHEREAS. the Conservation Values of the property are further documented in an
inventory of the relevant features of the Property dated May 2005, on file at the office of the
Grantee, said inventory consisting of reports, maps, photographs and other documentation (the
"Baseline Documentation"), which Baseline Documentation (i) is incorporated herein by
reference, (II) the parties agree provides an accurate representation of the Property at the time of
this conveyance and (III) is intended to serve as an objective information baseline for monitoring
compliance with the terms of this Agreement; and
[Adjust as necessary]WHEREAS, the Board of Directors of Grantee has approved
acceptance of the Property because it fulfills the requirements of the Grantee's adopted
Acquisition Criteria and provides significant Conservation Values; and
2

WHEREAS, Grantor intends that the Conservation Values of the Property be preserved
and maintained by and through this Agreement; and
WHEREAS, Grantor further intends, as owner of the Property, to convey to Grantee the
right to preserve and protect the Conservation Values of the Property in perpetuity; and
[Adjust if State is co-Grantee, or for other variations in the nature or purpose of the
Grantee]WHEREAS, Grantee is a publicly supported, tax-exempt non-profit organization,
qualified under Section (s) 501(c)(3) and 170(H) of the Internal revenue Code, whose primary
purpose is the preservation, protection and enhancement of land in its natural, scenic or open
space condition; the protection of riparian buffer areas watersheds, water quality and drinking
water supplies; and offering the public recreational and educational opportunities on
undeveloped land; and
WHEREAS, Grantee agrees by accepting this conveyance to honor the intentions of
Grantor stated herein and to protect in perpetuity the Conservation Values of the Property for the
benefit of this generation and generations to come;
NOW, THEREFORE, in consideration of the premises and the mutual covenants, terms,
conditions and restrictions contained herein, and pursuant to the laws of North Carolina and in
particular the Conservation agreement Act as set forth under N.C.G.S. Sections 121-34, et
seq., Grantor hereby voluntarily grants and conveys to Grantee a Conservation Easement in
perpetuity over the Property of the nature and character and to the extent hereinafter set forth
(hereinafter referred to as the "Easement"), [if applicable] together with an access easement over
the Access Drive as set forth below.
1. Purpose. As set forth in the recitals above, which recitals are incorporated herein
by reference, it is the purpose of this Agreement to assure that the Conservation Values will be
protected forever and to prevent any use of the Property that will significantly impair or interfere
and to prevent any use of the Property that will significantly impair or interfere with the
Conservation Values of the Property. Grantor intends that this Agreement will confine the use of
the Property to such activities as are consistent with the purpose of this agreement.
2. Rights of Grantee. To accomplish the purpose(s) of this Agreement, the
following rights are conveyed to Grantee:
To preserve and protect the Conservation Values of the Property;
3

ii. To enter upon the Property at reasonable times in order to exercise it rights
granted hereunder; to monitor Grantor's compliance with and otherwise enforce
the terms of this Agreement; and to [as applicable: protect and restore
wetlands, control non-native or invasive plants, maintain vegetative riparian
buffers, control animal populations at reasonable levels, improve water
quality, prevent erosion and restore damaged ecosystems and habitats]; [if
applicable; provided, however, that such entry shall be upon prior
reasonable notice to Grantor, and Grantee shall not unreasonably interfere
with grantor's use and quiet enjoyment of the Property as long as such use
does not interfere with the Conservation Values];
iii. To prevent any activity on or use of the Property that is inconsistent with the
purpose(s) of this Agreement and to require the restoration of such areas or
features of the Property that may be damaged by any inconsistent activity or use,
all pursuant to Section 6 below; and
iv. To use, improve and maintain the Access Drive to provide vehicular and
pedestrian access to and from the Property.
3. Prohibited use. Any activity on or use of the Property inconsistent with the
purpose(s) of this Agreement is prohibited by Grantor and Grantee. Wiithout limiting the
generality of the foregoing, the following activities on and uses of the Property are
expressly prohibited:
Any commercial or industrial use of or activity on the property other than
those related to Conservation Values and passive recreation, and other
than the exercise by Grantor of its rights under Section 4 below;
ii. The placement or construction of any buildings, structures, or other
improvements of any kind other than as permitted under Section 4 below;
iii. Any alteration of the surface of the land including, without limitation, the
excavation or removal of soil, sand, gravel, rock or sod except as
necessary in connection with the activities permitted under Section 4
below;
iv. Any use or activity that causes or is likely to cause significant flooding,
drainage problems, soil degradation or erosion, water quality degradation
or pollution of any surface or sub-surface waters;
v. Except as permitted in Section 4 below, the pruning, cutting down or other
destruction or removal of live trees;
4

vi. Except as permitted in Section 4 below, the removal of arty vegetation on
the Property located within feet of ;
vii. Dumping or other disposal of wastes, refuse and debris on the Property;
viii. The above ground installation of new utility systems (other than
replacement of existing systems) or extensions of Existing systems,
including, without limitation, water, sewer, power, fuel and
communication lines and related facilities, [if applicable; except as
permitted Section 4 below OR, provided that up to one (1) additional
corridor containing above ground utility lines may be established
across the Property if reasonably needed and such corridor is limited
in width to the extent reasonably practicable];
ix. Placement of any signs or billboards on the Property, except informational
signs and signs related to protecting the Property or Conservation Values;
x. The exploration for, or development and extraction of, minerals and
hydrocarbons by any surface mining method or any other method that
would impair or interfere with the conservation Values, of the Property;
and
xi. The legal subdivision of the Property [adjust or eliminate if property
will need to be subdivided].
4. Reserved Ri ts. Grantor reserves to itself, and to its successors and assigns, all
rights accruing from its ownership of the Property, including the right to engage in or permit or
invite others to engage in all uses of the Property, that are not expressly prohibited herein and are
not inconsistent with the purpose(s) of this Agreement. Without limiting the generality of the
foregoing, and notwithstanding anything to the contrary herein, the following rights are expressly
reserved by Grantor and may be exercised by Grantor and its successors and assigns [as
applicable]
To engage in and permit others to engage in recreational uses of the
Property that (i) do not involve the use of recreational off-road
motorized vehicles or equipment (other than motorized wheelchairs or
other equipment to assist persons with disabilities), and (ii) do not
damage the Conservation Values, the following recreational uses of the
Property being expressly permitted; walking, bicycling and animal or
plant observation; and enjoyment of adjacent water bodies;
ii. To construct boundary fencing, gates and boundary markers, and install
signage permitted under Section 3 above;
5

iii. To protect and restore wetlands, control non-native or invasive plants,
maintain vegetative riparian buffers, control animal populations at
reasonable levels, improve water quality, prevent erosion and restore
damaged ecosystems and habitats];
iv. To undertake selective cutting, thinning and prescribed burning or
clearing of vegetation, including harvesting trees for sales; apply
pesticides, herbicides and other agents for disease and pest control;
plant trees and undertake reforestation; maintain the capacity of the
Property to produce forest crops, close access to up to 90 percent of the
property at any given time where such work is being undertaken and
otherwise manage the timber and forest resources on the Property;
provided that (1) except in emergency or where not practicable, all of
such activities shall be undertaken in accordance with a Forest
Management Plan prepared incorporating Carolina Best
Management Practices for Forestry, as currently described and
approved by the Carolina Forestry Commission
[adjust language for desired BMPs] that will protect the Conservation
Values; (II) such forest Management Plan shall be subject to the
approval of Grantee, approval not to be unreasonably withheld, (III)
only 10% of cutting maybe done only once a year.
v. To construct temporary gravel roads to facilitate the activities allowed
under Section 4(d) above, and related temporary structures and
facilities, provided that (1) such roads and facilities shall be removed,
and the affected areas restored, upon completion of such activities; and
(II) no such roads or facilities shall be located within 10 feet of the
conservation line;
vi. To maintain, replace and repair any existing trials and roads on the
Property, and to construct, maintain, replace and repair new trials for
walking, bicycling or equestrian use, and up to one (1) additional
permanent road across the Property if needed to access other land of
Grantor that does not border on a public road that would provide
reasonably acceptable alternative access;
vii. To install, maintain, repair and replace underground utility lines across
the Property, provided that the surface of the areas disturbed by such
work shall be promptly restored by Grantor;
viii. To maintain, replace and repair all existing improvements and utility
lines on the Property; and
6

ix. In emergency, to take any action reasonably necessary to protect the
Property, human health or the environment.
5. Notice of Intention to Undertake Certain Permitted Actions. Grantor shall notify Grantee
in writing before undertaking or permitting any use of the Property under Section 4 above. The
purpose of requiring Grantor to notify Grantee prior to undertaking certain permitted activities,
as provided in Section 4, is to afford Grantee an opportunity to ensure that the activities in
question are designed and carried out in a manner consistent with this Agreement, Except in
emergency, Grantor shall notify Grantee in writing not less than twenty (20) days prior to the
date Grantor intends to undertake the activity in question. The notice shall describe, as
applicable, the nature, scope, design, location, timetable and any other material aspect of the
proposed activity in sufficient detail to permit Grantee to make an informed judgment as to its
consistency with this Agreement. [In emergency, such notice by Grantor shall be given as
soon as is reasonably possible and practicable, and Grantor may proceed immediately with
reasonable emergency measures OR In emergency, such notice by Grantor shall be given
as soon as possible, but not less than two (2) days prior to the date Grantor intends to
undertake the activity in question.]
a. Grantee's Objections. If Grantee does not notify Grantor in writing of objections within
(20) days after Grantor gives a notice under Section 5 above, Grantor shall be entitled to proceed
with the planned use. In emergency, Grantee shall provide any objections as promptly as
possible, and Grantor shall consider any such objections in good faith. Grantee may object only
upon a reasonable determination by Grantee that the action as proposed would be inconsistent
with this Agreement.
b. Arbitration. If a dispute arises between the parties concerning the consistency of any
proposed use or activity with this Agreement, Grantor agrees not to proceed with the use or
activity pending resolution of the dispute, and either party may refer the dispute to arbitration by
request made in writing to the other. Any such controversy that a party may refer to arbitration
as provided above shall be settled by arbitration administered by the American Arbitration
Association under its Commercial Arbitration Rules, and judgment on the award rendered by the
arbitrator(s) may be entered in any court having jurisdiction thereof. Such arbitration shall take
place in Charlotte, North Carolina, and shall be undertaken by a single arbitrator.
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6. Grantee's Remedies. If Grantee determines that Grantor is in violation of the
terms of this Agreement, Grantee shall give written notice to Grantor of such violation and
demand corrective action sufficient to cure the violation and, where the violation involves injury
to the Property resulting from any use or activity inconsistent with this Agreement, to restore the
portion of the Property so injured. If Grantor fails to cure the violation within thirty (30) days
after receipt of notice from Grantee, or under circumstances where the violation cannot
reasonably be cured within such period, fails to begin curing such violation within the thirty (30)
day period, or fails thereafter to continue diligently to cure such violation until finally cured,
Grantee may (but shall not be required to) bring an action at law or in equity in a court of
competent jurisdiction to enforce the terms of this Agreement, to enjoin the violation, ex parte as
necessary, by temporary or permanent injunction or both, and to require the restoration of the
Property to, as nearly as is reasonably possible, the condition that existed prior to any such
injury. If Grantee, in its reasonable discretion, determines that circumstances required
immediate action to prevent or mitigate significant damage to the Conservation Values of the
Property, Grantee may pursue its remedies under this paragraph without prior notice to Grantor
or without waiting for the period provided for cure to expire; Grantor agrees that Grantee's
remedies at law for any violation of the terms of this Agreement are inadequate and that Grantee
shall be entitled to the injunctive relief hereinabove described.
a. Costs of Enforcement. Any costs incurred by Grantee in successfully enforcing
the terms of this Agreement against Grantor, its successors or assigns, including, without
limitation reasonable costs of court and attorney's fees, and any reasonable costs of restoration
necessitated by Grantor's violation of the terms of this Agreement, shall be borne by Grantor.
b. No Waiver. Any forebearance by Grantee to exercise its rights hereunder in the event of
any breach of any term set forth herein by Grantor shall not be deemed or construed to be
a waiver by Grantee of such term or of any subsequent breach of the same or any other
term of this Agreement or of any of Grantee's rights. No delay or omission by Grantee in
the exercise of any right or remedy upon any breach by Grantor shall impair such right or
remedy or be construed as a waiver.
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c. Waiver of Certain defenses. Grantor hereby waives any defense of laches, estoppel or
prescription.
d. Acts Beyond Grantor's Control. Nothing contained in this agreement shall be construed
to entitle Grantee to bring any action against Grantor for any injury to or change in the
Property resulting from causes beyond Grantor's control, including, without limitation,
trespass, acts of third parties or Grantee, fire, flood, storm, and earth movement, or from
any prudent action taken by Grantor under emergency conditions to prevent, abate, or
mitigate significant injury to the Property, human health or the environment.
7. Public Access. Grantor Acknowledges and agrees that Grantee shall be permitted
to allow public access to the Property for the following purposes: walking, non-motorized
boating, biking. In connection therewith Grantee may construct and install the following
improvements on the Property: boardwalks and docks picnic areas and shelters, parking, signage,
trash receptacles (the "Grantee Improvements"). Grantee shall not construct or install any other
improvements on the Property without the prior written consent of Grantor [or if applicable,
make prohibition on improvements absolute]. Grantor shall have no obligation to prepare or
improve the property; the Easement being granted on the Property in its "AS IS" condition [As
applicable-applies only if Grantee seeks an easement that allows public access: all such
work shall be the responsibility of Grantee, and Grantee agrees at its expense to construct
and maintain the Grantee Improvements in attractive, good and safe condition. Grantee,
at its expense, shall also take all reasonable action required to control vandalism and
dumping of trash and litter by persons entering upon the Property pursuant to this
Agreement]. Grantee and its director, officers, employees, agents and contractors and the heirs,
personal representatives, successors and assigns of each of them, covenant not to sue Grantor for
any personal injury or property damage claims which they may have in the future related to or
associated with gaining access to the Property pursuant to this Agreement.
[ If applicable-applies only if Grantee seeks an easement that allows public access;
Grantee agrees that it will acknowledge Grantor's contribution of the Easement in all
interpretive displays and monuments and in all publicity, mailings and promotional
materials developed to encourage the appreciation of the Property. Notwithstanding the
public benefits intended and conveyed hereby, public access to the Property shall be
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controlled by Grantee in a manner that protects the Property as well as visitors to the
Property. In addition, Grantor may establish reasonable rules and regulations regarding
such access, which Grantee shall enforce. Nothing in this Agreement shall be construed to
preclude the right of the Grantor to allow public access to the Property in a manner that
does not result in degradation of the Conservation Values.]
8. Cost and Liabilities. Grantor retains all responsibility and shall bear all costs
related to the Property, excluding [as applicable: the Grantee Improvements; acts and
omissions of Grantee, and its members, directors, officers, employees, agents and
contractors; and act and omissions of persons entering the Property at the invitation of
Grantee. Grantee shall have all responsibility and bear all costs related to the Grantee
Improvements; acts and omissions of Grantee, and its and its members, directors, officers,
employees, agents and contractors; and acts and omissions of persons entering the property
at the invitation of Grantee]. Both Grantor and Grantee shall maintain adequate
comprehensive general liability insurance coverage for so long as they hold any interest in the
Property or the Easement. Each of Grantor and Grantee shall keep the Property free of any and
all liens arising out of any work performed for, materials furnished to, or obligations incurred by
it.
9. Taxes. Grantor shall pay before delinquency all property or other taxes,
assessments, fees, and charges of whatever description levied on or assessed against the Property
by a competent governmental authority (hereinafter referred to collectively as "Taxes")[If
Applicable; excluding any Taxes imposed upon, or incurred as a result of, the Grantee
Improvements, which Grantee shall pay prior to delinquency].
10. Hold Harmless. Grantor shall hold harmless, indemnify and defend Grantee and
its members, directors, officers, employees, agents and contractors from and against all
liabilities, penalties, costs, losses, damages, expenses, claims, demands or judgments, including,
without limitation, reasonable attorneys' fees, arising from or in any way connected with breach
of this Agreement by Grantor. Grantee shall hold harmless, indemnify and defend Grantor and
its shareholders, directors, officers, employees, agents and contractors from and against all
liabilities, penalties, costs, losses, damages, expenses, claims, demands or judgments, including,
10

without limitation, reasonable attorneys' fees, arising from or in any way connected with breach
of this Agreement by Grantee.
11. Extinguishment. If circumstances arise in the future that render the purpose(s) of this
Agreement impossible to accomplish, this Agreement may only be terminated or extinguished,
whether in whole or in part, by judicial proceedings in a court of competent jurisdiction, and the
amount of the proceeds to which Grantee shall be entitled, after the satisfaction of prior claims,
from any sale, exchange or involuntary conversion of all or any portion of the Property
subsequent to such termination or extinguishment, shall be determined, unless otherwise
provided by
Carolina law at the time, in accordance with Section 12 below.
Grantee shall use all such proceeds in a manner consistent with the conservation purposes of this
Agreement.
12. Proceeds. The Easement constitutes a real property interest immediately vested in
Grantee which, for the purposes of this Section 12, the parties stipulate to have a fair market
value determined by multiplying the fair market value of the Property unencumbered by the
Easement by the ratio of the value of the value of the Easement at the date of this Agreement to
the value of the Property, without deduction for the value of the Easement, at the date of this
Agreement. The values used to arrive at the fair market value of the Easement shall be those
values used to calculate the deduction for federal income tax purposes allowable by reason of
this Agreement, pursuant to Section 170(h) of the Internal Revenue Code of 1986, as amended.
For the purposes of this paragraph, the ratio of the value of the Easement to the value of the
Property unencumbered by the Easement shall remain constant[OR where not taking a
deduction: The Easement constitutes a real property interest immediately vested in
Grantee, which, for the purposes of this Section 12, the parties stipulate to have a fair
market value of percent ( %) of the fair market value of the Property (meaning
the land containing approximately 9.83 acres expressly defined to be the Property herein,
and not any other property of Grantor), For the purposes of this Agreement, the
percentage set forth above shall remain constant.]
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13. Condemnation. If the Easement or any other right or interest hereunder is taken,
in whole or in part, by exercise of the power of eminent domain, Grantee shall be entitled to
compensation in accordance with applicable law.
14. Assignment. The Easement and other rights and interests hereunder are
transferable, but Grantee may assign its rights and obligations hereunder only to an organization
that is a qualified organization at the time of the transfer under Section 170(h) of the Internal
Revenue Code of 1986 as amended (or any successor provision then applicable), and the
applicable regulations promulgated thereunder and authorized to acquire and hold conservation
easement under the Conservation Agreements Act as set forth under NCGS Section 121-34,
et seq., or any successor provision thereto. As a condition of such transfer, Grantee shall require
that the conservation purposes intended to be advanced hereunder shall continue to be carried
out.
15. Subsequent Transfers. Grantor agrees to incorporate by reference this Agreement
in any deed or other legal instrument by which it divests itself of any interest in all or a portion of
the Property, including, without limitation, a leasehold interest. Each of Grantor and Grantee
further agree to give written notice to the other of the transfer of any interest in the Property or
Easement at least thirty (30) days prior to the date of such transfer. The failure to perform any
act required by this provision shall not impair the validity of this Agreement or limit its
enforceability in any way. Grantor, and each subsequent owner of fee simple title to the
Property, shall be liable with respect to breaches of the obligations of the Grantor under this
Agreement during the period that it owns the Property only, and not otherwise. Grantee, and
each subsequent holder of this Easement, shall be liable with respect to breaches of the
obligations of the Grantee under this Agreement during the period that it holds the Easement
only, and not otherwise.
16. Estoppel Certificate. Upon request by Grantor, Grantee shall within thirty (30)
days execute and deliver to Grantor any reasonable document, including an estoppel certificate,
which certifies, to the knowledge of Grantee, Grantor's compliance with any obligation of
Grantor contained herein and otherwise evidences the status of the Easement.
17. Notices. Any notice, demand, request, consent, approval or communication that
either party desires or is required to give to the other shall be in writing and either sent by
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facsimile transmission, with evidence of successful transmission retained, or sent by U.S. Mail,
certified, return receipt requested, postage prepaid, addressed to the address or facsimile number
for the recipient set forth in the first paragraph of this Agreement, or to such other address or
number as either party from time to time shall designate by written notice to the other. Each
such notice or other communication shall be effective when sent if sent by facsimile, or two (2)
business days after deposit in the U.S. Mail if sent by mail.
18. Recordation. Grantee shall record this instrument in the Office of the Register of
Deeds for Brunswick County, North Carolina.
19. General Provisions.
i. Controlling Law. The interpretation and performance of this
Agreement shall be governed by the laws of the State of North
Carolina.
ii. Liberal Construction. Any general rule of construction to the contrary
notwithstanding, this Agreement shall be liberally construed to effect
the purpose(s) of this Agreement and the policy and purpose of the
statutes referenced in Section 14 above. If any provision in this
instrument is found to be ambiguous, an interpretation consistent with
such purposes that would render the provision valid shall be favored
over any interpretation that would render it invalid.
iii. Severability. If any provision of this Agreement, or the application
thereof to any person or circumstance, is found to be invalid, the
remainder of the provisions of this Agreement, or the application of
such provision to persons or circumstances other than those as to
which it is found to be invalid, as the case may be, shall not be
affected thereby.
iv. Entire Agreement. This instrument sets forth the entire agreement of
the parties with respect to the Easement and supersedes all prior
discussions, negotiations, understandings, or agreements relating to the
Easement, all of which are merged herein.
v. Amendment. If circumstances arise under which an amendment to or
modification of this Agreement would be appropriate, Grantor and
Grantee may amend this Agreement provided that no amendment shall
be allowed that will affect the qualification of this Agreement and
shall not affect its perpetual duration. Any such amendment or
modification must be executed by both Grantor and Grantee and shall
be recorded in the public registry of Brunswick County, North
Carolina.
vi. No Forfeiture. Nothing contained herein will result in a forfeiture or
reversion of Grantor's title in any respect.
vii. Successors. The covenants, terms, conditions and restrictions of this
Agreement shall be binding upon, and inure to the benefit of, the
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parties hereto and their respective successors and assigns and shall
continue as a servitude running in perpetuity with the Property.
Except as may be expressly provided herein, this Agreement creates
no rights in the general public.
viii. Termination of Rights and Obli ations. A party's rights and
obligations under this Agreement shall terminate upon the party's
interest in the Easement or Property to a party assuming its obligations
hereunder, except that liability for acts or omissions occurring prior to
transfer shall survive transfer. The Easement shall not be affected by
any such transfer.
ix. Executor Limitation. If Grantee shall cease to exist or to be a qualified
organization under Section 170(h) of the Internal Revenue Code of
1986, as amended, or to be authorized to acquire and hold
conservation easements under the statutes of the State of North
Carolina referenced in Section 14 above, and a prior assignment is not
made pursuant to Section 14 above, then Grantee's rights and
obligations under this Agreement shall become immediately vested in
such organization as a Court of competent jurisdiction shall direct
pursuant to North Carolina law and with due regard to the
requirements of an assignment pursuant to Section 14.
x. Captions. The captions in this instrument have been inserted solely for
convenience of reference and are not a part of this instrument and shall
have no effect upon construction or interpretation.
xi. Counterparts. The parties may execute this instrument in two or more
counterparts, which shall in the aggregate, be signed by both parties;
each counterpart shall be deemed an original instrument as against any
party who has signed it. In the event of any disparity between the
counterparts produced, the recorded counterpart shall be controlling.
TO HAVE AN TO HOLD unto Grantee, its successors and assigns forever.
IN WITNESS THEREOF, the parties hereto have subscribed their names and affixed
their seals the day and year first above written, all with authority duly given.
Grantor:
CAPE FEAR TRADING GROUP, IV, LLC
By: (SEAL)
Rodney J. Hyson, Sr.
Title: Manager
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Grantee:
By:
Name:
Title:
[CORPORATE SEAL]
Attest:
15

STATE OF NORTH CAROLINA
COUNTY OF NEW HANOVER
I , a Notary Public for said County and State, do
hereby certify that Rodney J. Hyson, Sr. of CAPE FEAR TRADING GROUP, IV, LLC, a North
Carolina limited liability company, personally appeared before me this day and acknowledged
the due execution of the foregoing instrument on behalf of the company.
WITNESS my hand and official seal, this day of
2006.
Notary Public
My commission expires:
STATE OF NORTH CAROLINA
COUNTY OF
This day of 2000, personally came before me
,who, being by me duly sworn, says that he is the President
of , a corporation, that the seal affixed
to the foregoing instrument in writing is the corporate seal of the company, and that the writing
was signed and sealed by him, in behalf of the corporation, by its authority duly given. And the
President acknowledged the writing to be the act and deed of the corporation.
(Official Seal)
Notary public
My commission expires:
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