1. PROPOSED BRUNSWICK COUNTY INTERBASIN TRANSFER PETITION REQUEST NOVEMBER 14, 2013

2. PROJECT DESCRIPTION

3. 24 MGD 6 MGD West Regional WWTP (6.0 MGD) Northeast Regional WWTP (1.65 MGD) Carolina Shores WWTP (0.53 MGD)

4. RECOMMENDATION NCDENR recommends that the EMC grant Brunswick County a transfer amount not to exceed 17 million gallons, calculated as a daily average of a calendar month, from the Cape Fear River Basin to the Shallotte and Waccamaw River Basins.

5. BASIS FOR DECISION FINDINGS OF FACT OF THE FACTORS TO BE CONSIDERED The EMC may grant a Petition in whole or in part, or deny it, and may require mitigation measures to minimize detrimental effects. In making this determination, the EMC is required to specifically consider: The necessity, reasonableness, and beneficial effects of transfer amount Detrimental effects on the source river basin The cumulative effect of uses on the source major river basin Detrimental effects on the receiving basin Reasonable alternatives to the proposed transfer Use of impounded storage Purposes and water storage allocations in a US Army Corps of Engineers multipurpose reservoir Compare the service area of the applicant to the locations of both the source and receiving basins? Any other facts or circumstances

6. (1)NECESSITY, REASONABLENESS, AND BENEFICIAL EFFECTS Brunswick County, through Brunswick County Public Utilities, provides water to more than 34,000 retail customers and 11 wholesale customers through its two water treatment plants (WTP). 30 million gallons per day (MGD) maximum capacity. Peak day demand has exceeded 80 percent capacity at least once annually since 2010. Since 2008, significant programs to encourage reductions in per capita water use. Raw water will be sourced from Lower Cape Fear Water and Sewer Authority (LCFWSA). LCFWSA 106 MGD intake EA received FONSI in August 2010.

7. (2)DETRIMENTAL EFFECTS ON THE SOURCE RIVER BASIN THE CUMULATIVE EFFECT OF USES ON THE SOURCE MAJOR RIVER BASIN Three OASIS hydrologic water quantity modeling scenarios: baseline condition (2003), 2030 future projected conditions, 2050 future projected conditions. Conclusion: percent difference from the incremental increased withdrawals at the lowest projected flows (5 th percentile) is 5 percent. No significant impacts to downstream flow. Similarly run water quality models demonstrated, no significant changes to existing pH and dissolved oxygen levels. No direct or indirect impacts to aquatic or terrestrial habitats or state and federally protected species are expected to occur. No direct or indirect impacts to hydroelectric power generation, navigation, or recreation are expected to occur.

8. (3) D ETRIMENTAL E FFECTS ON THE R ECEIVING B ASINS No additional water transfer is anticipated for the Waccamaw Basin; therefore, no indirect or cumulative impacts are expected. Growth in the Shallotte Basin is anticipated to be three to four times that of the existing land use. Mitigation measures to offset any secondary and cumulative impacts have been put into ordinance. Water Shortage Restrictions Pricing Signals Conservation/Efficiency Education Reuse

9. (4) A LTERNATIVES TO THE P ROPOSED T RANSFER New water supply source alternatives: Increase in IBT from Cape Fear River - Northwest WTP Expansion Development of new surface water supply Purchase of water from other suppliers in the basin Development of additional groundwater facilities Seawater desalination Utilizing existing water supply alternatives: Off-line storage reservoir of existing allotment of IBT water from Cape Fear Development of an Aquifer Storage and Recovery (ASR) system Further development of water conservation and reuse programs Return of Wastewater to the source basin No Action

10. (5) I MPOUNDMENT S TORAGE Not applicable. (6) M ULTIPURPOSE R ESERVOIR C ONSTRUCTED BY THE U NITED S TATES A RMY C ORPS OF E NGINEERS Not applicable. (7) W HETHER THE S ERVICE A REA OF THE A PPLICANT IS L OCATED B OTH IN THE S OURCE B ASIN AND THE R ECEIVING B ASIN Brunswick Public Utilities contains significant portions of the service area population within both the source and receiving basins; thereby, avoiding the removal or receipt of water in a basin not contained within the existing service area. (8) A NY O THER F ACTS OR C IRCUMSTANCES No other considerations at this time.

11. PROJECT TIMELINE November 2013 Determination by EMC September 2013 Public Hearing on Draft Petition June 2013 Draft Petition Submitted April 2013 Finding of No Significant Impact Issued July 2012 Draft Environmental Document Submitted April 2009 Four Public Meetings Conducted February 2009 Notice of Intent Submitted

12. RECOMMENDATION NCDENR recommends that the EMC grant Brunswick County an average daily transfer amount not to exceed 17 million gallons, calculated as a daily average of a calendar month, from the Cape Fear River Basin to the Shallotte and Waccamaw River Basins.

13. CONTACT INFORMATION HAROLD M. BRADY, PWS NCDENR - DIVISION OF WATER RESOURCES HAROLD.M.BRADY@NCDENR.GOV