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Special Use Permit Application Package #360770.3 Public Utility Authority and the Lower Cape Fear Water & Sewer Authority, so they can confirm the plans for any new sand mining operations will not adversely affect the existing waterline(s) located on the subject property. 5. TRAFFIC IMPACT The ITE Trip Generation manual does not contain a land use code for Mining Operations. This proposal is for an expansion of an existing sand mine to help sustain the current level of available material. The day-to-day production and operation will remain the same, therefore no additional trips are expected to be generated by this expansion. Furthermore, in reviewing the current operational data from the sand mine, the trips generated are estimated to be well below the 100 peak hour trip threshold for a traffic study. Considering all the above, a TIA is not applicable for this proposal. 6. CRITERIA REQUIRED FOR APPROVAL OF A SPECIAL USE PERMIT 1. The use will not materially endanger the public health or safety if located where proposed and approved. The existing sand mine located on the adjacent property has been mined responsibly for years without endangering public health or safety. Because the subject property will be an extension of the existing mine, there will be no additional adverse effects to the area's water or air. The access to U.S. Hwy. 421 will be the same as the existing mine, no new curb cuts are required, and no additional traffic impact is anticipated. Any dewatering efforts, if necessary, will be accomplished by pumping to an existing pit either on site or on the adjacent property, with no expected discharge. All necessary state permits regarding soil erosion and sedimentation have been or will be obtained. Utilities and services will be connected to the existing mine on the adjacent property. 2. The use meets all required conditions and specifications of the Unified Development Ordinance. The use satisfies all conditions specified in the Zoning Ordinance, including the Section 4.3.5(C)(1) specifications applicable to high intensity mining. The lot size is well over one acre. All mining operations will be located more than 100 feet from any property line during dewatering (if any), although sand slurry and water may be moved from the subject property to the adjacent parcel with the existing operation site, and back again. The property is not classified as aquifer resource protection or watershed resource protection on the 2006 CAMA Land Classification Map. Any required state permits have been or will be obtained prior to commencement of the mining. 3. The use will not substantially injure the value of adjoining or abutting property, or that the use is a public necessity. The project aligns with the character of the immediate area. The use will not injure the value of adjoining property because those properties also are either engaged in and/or zoned for heavy industrial uses. This is not a new sand mine, but instead only an extension of the existing sand mine. The value of the surrounding property has not been harmed by the longtime operation 1 Farrell, Robert From:Joseph O. Taylor <jtaylor@murchisontaylor.com> Sent:Wednesday, December 20, 2023 10:08 AM To:Scott M. Holmes; Caleb M. Rash Subject:FW: water line exhibit Attachments:WATER LINE CROSSINGS.kmz; EXISTING WATER LINE CROSSING EXHIBIT.pdf From: Greg Wayne <gwayne@hdsilm.com> Sent: Wednesday, December 20, 2023 9:45 AM To: Joseph O. Taylor <jtaylor@murchisontaylor.com> Cc: jearp@brunswickforest.com Subject: water line exhibit Joe, aƩached is an exhibit that idenƟfies a porƟon of the raw water line route. There are hundreds of crossings along Hwy. 421 accessing all of the various businesses, etc. The waterline appears to be within the right of way along 421, but drives have been and will be constructed over the line in the future. I’ve also idenƟfied various crossings on the Brunswick County side of the river. A “kmz” file is also aƩached. If you have google earth on your computer and double click the file it will launch google showing the water line. It may or may not be helpful. Let me know if you need any changes, etc. thanks Greg A. Wayne, PLS Hanover Design Services, PA Land Surveyors, Engineers, Land Planners 1123 Floral Parkway Wilmington, N.C. 28403 Phone : 910-343-8002 Fax: 910-343-9941 This message (including any attachments) may contain confidential client information. The information is intended only for the use of the individual or entity to whom it is addressed. If you are not the addressee or the employee or agent responsible to deliver this mail to its intended recipient, you are hereby notified that any review, use, dissemination, distribution, disclosure, copying or taking any action in reliance on the contents of this information is strictly prohibited. 1 Farrell, Robert From:Caleb M. Rash <crash@murchisontaylor.com> Sent:Wednesday, December 20, 2023 2:52 PM To:Farrell, Robert Cc:Joseph O. Taylor; Scott M. Holmes Subject:FW: US 421 Raw Water Main Attachments:FW: water line exhibit; WATER LINE EXHIBIT 12-19-23.pdf ** External Email: Do not click links, open attachments, or reply until you know it is safe ** Robert, Included with this message are the following items regarding the 421 Sand Mine SUP application and discussions related to the waterline:  Attached exhibit showing the waterline easement crossing design mutually agreed upon by the engineers for the property owner (Hanover Design Services) and LCFWSA (McKim & Creed). The correspondence below provides further detail on the discussions between the engineers and our message to the CFPUA director. The parties would like this exhibit to be part of the SUP.  Attached email with exhibits showing the waterline along Hwy 421 and on the Brunswick County side. As the comments from our engineer indicate in that email, there are many existing crossings over that waterline. Of course, there will be no active mining near the waterline, only a single crossing fortified to prevent any risk to the waterline. The property owner and LCFWSA (the owner of the waterline and easement) have agreed to yearly inspections of the crossing by the engineers as a condition to the SUP. Thanks, Caleb Caleb M. Rash Attorney CRash@murchisontaylor.com 16 N. Fifth Avenue Wilmington, NC 28401 Phone: 910-763-2426 ext. 141 Direct: 910-218-7238 Facsimile: 910-763-6561 www.murchisontaylor.com CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. From: Joseph O. Taylor <jtaylor@murchisontaylor.com> Sent: Wednesday, December 20, 2023 11:59 AM To: Kenneth.Waldroup@cfpua.org Cc: Scott M. Holmes <sholmes@murchisontaylor.com>; Caleb M. Rash <crash@murchisontaylor.com>; jearp@brunswickforest.com Subject: US 421 Raw Water Main 2 Ken, Thank you for attending our community meeting for the 421 Sand LLC SUP request. As discussed at the meeting the engineering firms for the parties have agreed to a waterline crossing design, the final version of which we received this morning. Please see the attached exhibit detailing the waterline crossing mutually agreed upon by the engineering firms McKim & Creed and Hanover Design Services. As stated in the email below, we would also like the Waterline Crossing Exhibit to be part of the SUP. As we have discussed with Matt Nichols, we are willing to agree to a yearly inspection of the crossing by the engineers as being part of the SUP. Please give us any additional comments you may have upon review. Joe From: Tony Boahn <TBOAHN@mckimcreed.com> Sent: Wednesday, December 20, 2023 7:45 AM To: Greg Wayne <gwayne@hdsilm.com> Cc: Adam Grady <agrady@hdsilm.com> Subject: RE: US 421 Raw Water Main Greg – good morning. I think this all looks good and will recommend to the LCFWSA that I am in agreement with the changes made. I understand the aƩorney’s are discussing this and the LCFWSA a Ʃorney would like for this updated drawing to be included in the SUP applicaƟon package so it can all move forward without any objecƟons from them. I appreciate you working with us on this – if you have any quesƟons, just let me know. Thanks Tony *Please note address change to 16 North Fifth Avenue. <image001.jpg> Joseph O. Taylor, Jr. AƩorney at Law For vCard, click here. jtaylor@murchisontaylor.com 16 North FiŌh Avenue* Wilmington, NC 28401-4537 Direct: 910-218-7223 Phone: 910-763-2426 ext. 132 Facsimile: 910-763-3046 www.murchisontaylor.com *Our downtown office is located in the historic Knohl House, built circa 1860 in a Greek Revival style, and located near the Bellamy Mansion in Historic Downtown Wilmington, N.C. CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. IRS CIRCULAR 230 DISCLOSURE: To ensure compliance with requirements imposed by the Internal Revenue Service (IRS), unless specifically stated otherwise, any tax advice contained in this communicaƟon (including any aƩachments) was not intended or wriƩen to be used, and cannot be used by any taxpayer, for the purpose of (i) avoiding tax-related penalƟes that may be imposed on the taxpayer, or (ii) promoƟng, markeƟng or recommending to another party any tax-related maƩer addressed herein. 1 Farrell, Robert From:Scott M. Holmes <sholmes@murchisontaylor.com> Sent:Wednesday, January 31, 2024 2:06 PM To:Caleb M. Rash Subject:FW: 421 Sand Mine Approval from CFPUA and LCFWASA From: Scott M. Holmes <sholmes@murchisontaylor.com> Sent: Wednesday, January 31, 2024 1:44 PM To: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Cc: Matthew Nichols <matt@mattnicholslaw.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Thanks to you both as well. We will plan to talk with the County staff about the best way to incorporate the conditions. Best regards, Scott Scott M. Holmes | Attorney at Law | sholmes@murchisontaylor.com Murchison, Taylor & Gibson, PLLC | 16 North Fifth Ave* | Wilmington, NC 28401-4537 Direct 910.218.7240 | Office 910.763.2426 | Fax 910.763.3046 *Our downtown office is located in the historic Knohl House, built circa 1860 in a Greek Revival style, and located near the Bellamy Mansion in Historic Downtown Wilmington, N.C. CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. From: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Sent: Wednesday, January 31, 2024 1:33 PM To: Scott M. Holmes <sholmes@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Scott, We have received confirmation from both CFPUA and LCFWASA that both parties are amenable to the Conditions document as provided. Thank you for your cooperation and efforts in resolving this matter. Best, Nicolette Nicolette Fulton Deputy Authority Attorney Cape Fear Public Utility Authority o: 910-332-6656 | c: 910-473-4345 Email: Nicolette.Fulton@cfpua.org 235 Government Center Dr., Wilmington, NC 28403 www.cfpua.org 2 From: Scott M. Holmes <sholmes@murchisontaylor.com> Sent: Wednesday, January 31, 2024 11:26 AM To: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Cc: Matthew Nichols <matt@mattnicholslaw.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Nicolette, a few comments to the Conditions document are attached for review (clean and redlined). Please note it still remains subject to further review by our client. I believe these are mainly clarifications, but just let us know if there ZjQcmQRYFpfptBannerStart This Message Is From an External Sender This email originated outside of CFPUA. Do not click links or open attachments unless you recognize the sender and know the content is safe. If you have any doubt, report it to helpdesk. Report Suspicious ZjQcmQRYFpfptBannerEnd Nicolette, a few comments to the Conditions document are attached for review (clean and redlined). Please note it still remains subject to further review by our client. I believe these are mainly clarifications, but just let us know if there are any issues or questions. Best regards, Scott Scott M. Holmes | Attorney at Law | sholmes@murchisontaylor.com Murchison, Taylor & Gibson, PLLC | 16 North Fifth Ave* | Wilmington, NC 28401-4537 Direct 910.218.7240 | Office 910.763.2426 | Fax 910.763.3046 *Our downtown office is located in the historic Knohl House, built circa 1860 in a Greek Revival style, and located near the Bellamy Mansion in Historic Downtown Wilmington, N.C. CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. From: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Sent: Tuesday, January 30, 2024 11:43 AM To: Scott M. Holmes <sholmes@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Messrs. Taylor and Holmes, Please find attached our redlined edits to the proposed language provided Thursday evening. Please feel free to contact me should you have any questions or would like to discuss matters further. Best, Nicolette Fulton Nicolette Fulton Deputy Authority Attorney Cape Fear Public Utility Authority o: 910-332-6656 | c: 910-473-4345 Email: Nicolette.Fulton@cfpua.org 235 Government Center Dr., Wilmington, NC 28403 3 www.cfpua.org From: Scott M. Holmes <sholmes@murchisontaylor.com> Sent: Thursday, January 25, 2024 6:42 PM To: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Cc: Matthew Nichols <matt@mattnicholslaw.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Nicolette, we’ve been working to incorporate most of the concepts from the proposed language, but updating them based on discussions that have already occurred and the current status. A proposed revision is attached. Please note at this point, ZjQcmQRYFpfptBannerStart This Message Is From an External Sender This email originated outside of CFPUA. Do not click links or open attachments unless you recognize the sender and know the content is safe. If you have any doubt, report it to helpdesk. Report Suspicious ZjQcmQRYFpfptBannerEnd Nicolette, we’ve been working to incorporate most of the concepts from the proposed language, but updating them based on discussions that have already occurred and the current status. A proposed revision is attached. Please note at this point, although we have been working with their engineers to try and be accurate on this, the draft still remains subject to further review by our client. Please let us know once you’ve had a chance to take a look, and we’d be happy to discuss any matters further. Thank you, Scott Scott M. Holmes | Attorney at Law | sholmes@murchisontaylor.com Murchison, Taylor & Gibson, PLLC | 16 North Fifth Ave* | Wilmington, NC 28401-4537 Direct 910.218.7240 | Office 910.763.2426 | Fax 910.763.3046 *Our downtown office is located in the historic Knohl House, built circa 1860 in a Greek Revival style, and located near the Bellamy Mansion in Historic Downtown Wilmington, N.C. CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. From: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Sent: Wednesday, January 24, 2024 3:27 PM To: Scott M. Holmes <sholmes@murchisontaylor.com>; Joseph O. Taylor <jtaylor@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com> Subject: RE: 421 Sand Mine Scott, Please find proposed conditions attached for your review. Do not hesitate to contact me should you have any questions or wish to discuss matters further. Best, Nicolette Nicolette Fulton Deputy Authority Attorney Cape Fear Public Utility Authority 4 o: 910-332-6656 | c: 910-473-4345 Email: Nicolette.Fulton@cfpua.org 235 Government Center Dr., Wilmington, NC 28403 www.cfpua.org From: Scott M. Holmes <sholmes@murchisontaylor.com> Sent: Wednesday, January 24, 2024 3:04 PM To: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Cc: Joseph O. Taylor <jtaylor@murchisontaylor.com> Subject: RE: 421 Sand Mine Nicolette, just wanted to follow up on our conversation yesterday. Have you had any time to work on the proposed condition language? Just to verify, this is the language that already appeared in the SUP application (with the thought that perhaps ZjQcmQRYFpfptBannerStart This Message Is From an External Sender This email originated outside of CFPUA. Do not click links or open attachments unless you recognize the sender and know the content is safe. If you have any doubt, report it to helpdesk. Report Suspicious ZjQcmQRYFpfptBannerEnd Nicolette, just wanted to follow up on our conversation yesterday. Have you had any time to work on the proposed condition language? Just to verify, this is the language that already appeared in the SUP application (with the thought that perhaps it is already sufficient): >>In addition, and as discussed at the community meeting held by the property owner, the property owner is in agreement to have its engineers coordinate with engineers for the Cape Fear Public Utility Authority and the Lower Cape Fear Water & Sewer Authority, so they can confirm the plans for any new sand mining operations will not adversely affect the existing waterline(s) located on the subject property.<< Thanks, Scott Scott M. Holmes | Attorney at Law | sholmes@murchisontaylor.com Murchison, Taylor & Gibson, PLLC | 16 North Fifth Ave* | Wilmington, NC 28401-4537 Direct 910.218.7240 | Office 910.763.2426 | Fax 910.763.3046 *Our downtown office is located in the historic Knohl House, built circa 1860 in a Greek Revival style, and located near the Bellamy Mansion in Historic Downtown Wilmington, N.C. CONFIDENTIALITY NOTICE: The informaƟon contained in this message is legally privileged and confidenƟal informaƟon intended only for the use of the named recipient. If the reader of this message is not the intended recipient, you are hereby noƟfied that any review, retransmission, disseminaƟon or other use of, or taking any acƟon in reliance upon, this message is strictly prohibited. If you have received this e-mail in error, please noƟfy us immediately by return e-mail, delete all copies of this e-mail from all computers, and destroy any printed copies of this e-mail. From: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Sent: Wednesday, January 10, 2024 2:14 PM To: Joseph O. Taylor <jtaylor@murchisontaylor.com>; Scott M. Holmes <sholmes@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com> Subject: RE: 421 Sand Mine Good afternoon Joe and Scott, Matt and I had the opportunity to discuss this matter with our engineers. Would either or both of you be available for a Teams meeting tomorrow afternoon (after 2:30pm) or any time Friday? Best, 5 Nicolette Nicolette Fulton Deputy Authority Attorney Cape Fear Public Utility Authority o: 910-332-6656 | c: 910-473-4345 Email: Nicolette.Fulton@cfpua.org 235 Government Center Dr., Wilmington, NC 28403 www.cfpua.org From: Joseph O. Taylor <jtaylor@murchisontaylor.com> Sent: Wednesday, January 10, 2024 11:36 AM To: Nicolette Fulton <Nicolette.Fulton@cfpua.org>; Scott M. Holmes <sholmes@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com> Subject: RE: 421 Sand Mine Nicolette and Matt, good morning. Have you all had an opportunity to discuss with you engineers what would be a desired width of a new easement we would provide to you. It would be helpful to us and give us direction if you could share your ZjQcmQRYFpfptBannerStart This Message Is From an External Sender This email originated outside of CFPUA. Do not click links or open attachments unless you recognize the sender and know the content is safe. If you have any doubt, report it to helpdesk. Report Suspicious ZjQcmQRYFpfptBannerEnd Nicolette and Matt, good morning. Have you all had an opportunity to discuss with you engineers what would be a desired width of a new easement we would provide to you. It would be helpful to us and give us direction if you could share your thoughts as we discussed at the planning meeting. Our engineers continue to work on alternatives. Joe From: Nicolette Fulton <Nicolette.Fulton@cfpua.org> Sent: Thursday, January 4, 2024 9:56 AM To: Joseph O. Taylor <jtaylor@murchisontaylor.com>; Scott M. Holmes <sholmes@murchisontaylor.com> Cc: Matthew Nichols <matt@mattnicholslaw.com> Subject: 421 Sand Mine Messrs. Taylor and Holmes, Thank you for meeting with Mr. Nichols and I yesterday afternoon to discuss our concerns regarding the proposed 421 Sand Mine operation. During our conversation, there appeared to be some confusion as to when the concerns regarding how the proposed mining activities would negatively impact the stability of the waterline were initially raised. Please find attached the April 24, 2023 letter from LCFWASA to NC DEQ, September 25, 2023 letter from LCFWASA to NC DEQ, and Minutes from the November 14, 2023 Community Meeting, all of which detail the same concerns raised during yesterday’s meeting, specifically, confirmation that the new sand mining operations will not adversely affect the existing waterlines located on the property. Copies of the three documents are attached to this email. We have previously raised concerns that the operation of the Site, its vicinity to critical infrastructure (the 48-inch raw water main), and location in a flood-prone/disaster-prone area, constitute a direct and substantial physical hazard to public health and safety (the drinking water supply of the residents and businesses of New Hanover and Pender Counties). It is acknowledged that the engineer for LCFWASA, Tony Boahn, has met with engineers for the Applicant and determined that the crossing design presented by the Applicant’s engineer was sufficient. 6 Engineers for LCFWASA and CFPUA met to discuss the outstanding issue of how the Applicant’s proposed mining activities may negatively impact the stability of the waterline considering the Site’s location in a designated flood hazard area and the Site’s previous history. Consistent with the conditions set forth in both the April 24, 2023 letter from LCFWASA to NC DEQ and September 25, 2023 letter from LCFWASA to NC DEQ, the engineers for LCFWASA and CFPUA request a geotechnical report, sealed by a licensed North Carolina Professional Engineer. The geotechnical report would need to provide a side slope stability analysis focused on normal operations, and the side slope stability and potential erosion during major weather events. Including:  Side slope stability from the utility easement to the bottom of the mining excavation;  Maintenance of the side slope;  Side slope stability during and following major weather events similar to the 2018 Hurricane Florence, with a focus on how the utility easement and buffer areas will be protected and maintained;  Provide engineered solutions, as necessary, to protect the integrity and access of the utility easement, the buffer areas, and side slopes on both sides during all weather conditions; and  The geotechnical analysis should consider the existing 48-inch diameter water line and the future 54-inch diameter water line that will be installed in the existing easement. The future 54-inch water line will be located within 10 feet from the northern easement line. Please do not hesitate to contact me should you wish to discuss this matter further or have any questions. Best, Nicolette Fulton Nicolette Fulton Deputy Authority Attorney Cape Fear Public Utility Authority o: 910-332-6656 | c: 910-473-4345 Email: Nicolette.Fulton@cfpua.org 235 Government Center Dr., Wilmington, NC 28403 www.cfpua.org This email has been scanned for spam and viruses by Proofpoint Essentials. Click here to report this email as spam. This email has been scanned for spam and viruses by Proofpoint Essentials. Click here to report this email as spam. PROPOSED CONDITIONS The Property Owner, upon further discussion with the Cape Fear Public Utility Authority (“CFPUA”) and the Lower Cape Fear Water & Sewer Authority (“LCFWASA”), has agreed to the following additional conditions: 1. Haul Road/Crossing. The haul road and crossing that is to traverse over the LCFWASA Easement shall comply with the crossing design initially reviewed and approved on December 20, 2023 by engineers for CFPUA and the LCFWASA, subject to further revisions and further mutually agreed changes (including adjusting such plan to include the Buffer Zone as described below). 2. Buffer Zone. The Property Owner has volunteered to provide an additional buffer easement of 150 feet (the “Buffer Zone”) on the subject property beyond the existing 75 foot LCFWASA easement as it runs west to east, from the eastern edge of the 150’ CP&L/Duke easement over to U.S. Hwy 421, to maintain the safety and stability of the LCFWASA easement during both normal operations and major weather events. 3. Geotechnical Report & Coordination. Based on discussions with CFPUA and LCFWASA and their engineers, the Property Owner has already commissioned a geotechnical report from Engineering Consulting Services (ECS) regarding the side slope stability of the proposed mining basins, and requested a subsurface utility engineering survey of the existing water line. The geotechnical report will be sealed by a licensed NC Professional Engineer. The engineer performing the geotechnical report will coordinate with the engineers for CFPUA and the LCFWASA. A copy of the geotechnical report will be provided to both the CFPUA and the LCFWASA for their review. No excavation activity may proceed at the site until the geotechnical report and its subsequent recommendations have been received, reviewed, and accepted by all parties. The reports will take into account the Buffer Zone set forth above, placing the slope of any future mining basins an estimated 205 feet away from the existing water line. However, if these reports indicate more study is necessary, the Property Owner will expand the reports as reasonably necessary to further address the following: a. Expand the review of the side slope stability of the proposed mining excavation basins, with a focus on how the LCFWASA easements and buffer areas can be protected and maintained during and following major weather events. b. Provide additional detail regarding how the excavated slopes will be sufficiently stabilized to be protected from erosion or washouts that, during and following major weather events, could migrate towards the LCFWASA easement and current and future infrastructure within the easement. If stabilization requires any additional setback(s) to protect the LCFWASA easements beyond the Buffer Zone discussed above, the report shall include a designation of such additional setback, and the Property Owner will provide such additional setback if other proposed changes are not mutually agreed by LCFWASA and CFPUA. 4. Easement Protection. Property Owner will keep its employees informed about the water line and take reasonable action to protect the easement area from errant construction access except at the approved crossing discussed above. To achieve this purpose, the Property Owner will visibly mark the easement area. The Property Owner will maintain temporary protective construction fencing and/or barriers on both sides of the haul road where the haul road traverses the easement and within 50 feet from where the haul road crosses the easement. In addition, the Property Owner will provide signage at a regular interval. All fencing, barriers, markings, and signage shall be maintained by the Property Owner. 5. Infrastructure Access. Property Owner shall allow CFPUA and LCFWASA access to the LCFWASA Easement area, including any additional Buffer Zone(s). Subject to all applicable regulations and guidelines (including all State regulations and mining permit requirements) and also subject to Property Owner’s reasonable safety requirements, the Property Owner shall allow CFPUA and LCFWASA unrestricted access to the current 48” and future 54” water infrastructure for maintenance, repair, and installation of future infrastructure. In times of an emergency, such access shall also be permitted via the mine site access road if necessary, and Property Owner shall cooperate with CFPUA and LCFWASA in regard to reasonable steps requested to minimize or prevent any destabilization of the infrastructure. 6. Changed Conditions. The Property Owner shall give notice to the Executive Directors of the Cape Fear Public Utility Authority and the Lower Cape Fear Water & Sewer Authority or their designee of any planned significant change to the Property Owner’s mining operations if the change alters the excavation plans for areas adjacent to the easement area or Buffer Zone, or involves additional work or access over the easement area or Buffer Zone, at least 180 days before the change, so they can discuss any potential impacts. 7. Future Cooperation. The Property Owner, CFPUA and LCFWASA all acknowledge that protection of both the easement and its infrastructure and protection of landowner’s rights to use and enjoy their land are important for all parties involved and the community at large. As such, they will each reasonably cooperate with each other in regard to future changes to the infrastructure within the LCFWASA easement and also the Property Owner’s industrial activities, both of which are important to the overall development of the Cape Fear region.