es/ie/2e09 98:53... 9198390757 os: SOGNSERVATION + PAGE a1 fine North Carolina Department of Environment and Natural Resources Division of Water Quality Beverly Eaves Perdue -., Coleen H. Sulins : Dee Freeman Governor Director Secretary April 13, 2009 Alissa Bierma Larry Baldwin Upper Neuse Riverkeeper Lower Neuse Riverkeeper 112 South Blount Street 1307 Country Club Road Suite 103, “New Bera, NC 28562 Raleigh, NC 27601 Heather Jacobs Deck David Meiryman Pamlico Tar Riverkeeper “Catawba Riverkeeper 108 Gladden Street 421 Minuet Lane PO Box 1854 Suite 205 Washington, NC 27889 Charlotte, NC 28217-2784 Dear Ms, Bierma, Mr. Baldwin, Ms. Deck, Mr. Mertyman; ‘Thank you for your letters daied March 4 and March 10, 2009 to Secretary Freeman conceming assignment of nutrient and buffer offset credits and: the validity of the EBX buffer bank credit award, The Secretary forwarded your letter to Bill Gilmore, Director of the NC Ecosystem Enhancement Program (EEP), and me to answer. As you know, the Division of Water Quality agreed in writing to allow nutrient offset credits from the _EBX bank site. We have met with representatives from another private banker (Restoration Systems) who also expres ith this decision, As aresult of that meeting, I sent a letter Mr. Steve Levitas (who represents Restoration Systems) stating our position on the matter (see attached letter). The letter states that the Division will begin an in-depth internal review of the underlying issue (often called “additionality”) over the riext few months in coordination with'the Corps of Engineers and US Environmental Protection Agency. Jn the meantime, we will not approve any similar crediting until that review is complete and the results receive public review and comment through our 401 Water Quality Certification Mailing List. With respect to future EEP-related actions, we have discussed thie matter with EEP staff with respect to our conclusion that these credits from the EBX site are legally legitimate credits. Please note that DENR cannot comment on an aetive Request for Proposal for mitigation. 167M Sev Cntr, Ral, Nom Ca Loca: SY2 alton St RA, Now ne : Pon e160: N00 FAK 9Y8EU SP Cobre ee: A7-36740 Carolina het vance on laturallt sae Oona nape iy ‘February 16, 2009 toe5/1e/20a3 e2:53 s19839a767 (CONSERVATION PAGE a2 Alissa Bierma Larry Baldwin ‘April 13, 2009 : 7 Page 2 of 2 ‘Thank you again for your concems. Once this npw policy is developed, we will make certain that you receive a draft copy of it for your review and comment before it becomes final, Please call John Domey at 919-733-9646 of my staff or Suzanne Klimek of the EEP program at 919-715-1835 if yowhve any questions. Sincerely yours, ectetary Dee Freeman Bill Gilmore, EEP Pete Peterson, EMC — WQC ‘Matt Matthews, DWQ 7 John Domey, DWQ Suzanne Klimek, EEP Eric Kulz, DWQ Norton Webster, EBX