Public Notice ISSUED: 26 December 2017 EXPIRES: 26 January 2018

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1 SPONSOR: Carex Group, LLC Public Notice ISSUED: 26 December 2017 EXPIRES: 26 January 2018 REFER TO: MVP EJI SECTION:404 - Clean Water Act 1 WETLAND COMPENSATORY MITIGATION BANK PROPOSAL 2 SPECIFIC INFORMATION SPONSOR S ADDRESS: Carex Group, LLC c/o Tony Kaster 2720 Vagabond Lane N Plymouth, MN A copy of the prospectus for the proposed mitigation bank can be found by navigating to and selecting Cyber Repository and Prospectus PROJECT LOCATION: The project site is located in Section 34, Township 48 North, Range 27 West, Aitkin County, Minnesota The approximate UTM coordinates are Zone 15, N, E Latitude , Longitude BANK SERVICE AREA: The proposed bank service area is the Mississippi Headwaters Basin in Minnesota (Bank Service Area 5) DESCRIPTION OF PROJECT: The sponsor is proposing to develop the North The proposed bank site is approximately 160 acres in size, including upland buffer areas NEED AND OBJECTIVE OF PROJECT: As stated by the sponsor, the project would restore a shrubcarr plant community to the site Shrub wetlands are common to this region of the state and as a result, they are frequently impacted through both direct and indirect impacts from a variety of activities Restoring shrub wetland in this area would provide a potential source of compensation for functions lost as a result of future impacts to similar wetland plant communities The main objective of the project is to restore hydrology and native vegetation to the site which is currently in agricultural production and drained via a system of agricultural drainage tiles Historical hydrology would be restored by severing the existing tile drainage system that provides drainage to the site A review of historical aerial imagery indicates that the site was originally wooded prior to clearing The project would restore a shrub-carr plant community to the site The bank would result in the re-establishment/re-habilitation of approximately 148 acres of shrub-carr wetland and establish 5 acres of upland buffer ESTABLISHMENT, OPERATION AND MANAGEMENT: The sponsor proposes to restore historic wetlands by re-establishing shrub-carr on 141 acres of effectively drained agricultural land with hydric soils and re-habilitating shrub-carr on 7 acres of partially drained farmland Since the drainage ditch located along the eastern boundary of the proposed restoration will remain in service, the area in which the ditch removes wetland hydrology will be managed as upland buffer

2 Regulatory Branch (File No EJI) The site is currently drained by a series of drainage tiles spaced approximately 100 feet apart that run in an east-west direction and discharge into the ditch on the east end of the site Wetland hydrology would be restored by disrupting the existing drainage tiles on site with a backhoe to remove approximately 20 feet of drainage tile as close to the outlet as possible No structures such as berms, ditch plugs, or other water impoundment structures are anticipated to be needed to restore wetland hydrology to the site Restoration of vegetation would consist of both herbaceous and woody plants to create a shrub-carr wetland, as well as mesic prairie in the upland buffer area The installation of vegetation and any subsequent maintenance and management activities would be conducted by a contractor who specializes in restoration of native plant communities The wetland and buffer areas would be lightly disked and harrowed following crop harvest as needed to prepare the seed bed for planting native vegetation Application of herbicide may be needed to eliminate weed species Weather, site conditions, and regulatory approval will determine the timing of seeding A seed mix of native grasses, sedges, and wildflowers (species composition to be determined) will be seeded using a broadcast method In the event disruption of drainage tiles is delayed for wetland seeding, upland buffer seeding will occur at a later date Cuttings of native shrubs (species composition to be determined) would be planted at an adequate rate of stems per acre to ensure that the goal plant community of a shrub-carr is achieved The wetland and buffer will require regular management to become established and dominated by native and noninvasive vegetation Management will include both eliminating non-native and invasive vegetation along with creating ideal conditions for native plants to flourish Methods for invasive/nonnative species control may include hand pulling of weeds, mowing using a handheld brush cutter and/or spot application of herbicide through wick application or spot spraying Herbicides approved for use near or in water bodies would applied by a licensed applicator at the appropriate times to control specific species Large infestations of invasive plants would be treated with herbicide using a wick or spray application and repeated as necessary OWNERSHIP AND LONG-TERM MANAGEMENT: The project site is owned by Carex Group, LLC The project sponsor would continue to monitor and prescribe maintenance as needed to address any invasive plants or inadequate vegetation development The project sponsor proposes to enter into discussions with Minnesota Department of Natural Resources (MNDNR) to determine if the bank site could be integrated into the adjacent state forest land or if management objectives of the proposed bank could be synchronized with those of the adjacent state land A perpetual conservation easement would be placed over the site, which would be held in perpetuity by the Minnesota Board of Water and Soil Resources (BWSR) Two buildable lots were excluded from the proposed credit areas to facilitate the potential for onsite long term stewards of the wetland bank TECHNICAL FEASIBILITY AND QUALIFICATIONS: The tile lines currently draining the site can be easily disrupted to restore wetland hydrology without impacting adjacent land uses or adjacent landowners because adjacent properties are forested and not dependent on the tile drainage system Tony Kaster is the project lead and has 18 years of experience as a wetland scientist He has worked extensively as a consultant serving a variety of clients on a wide range of wetland related projects He has completed numerous wetland delineations throughout the upper Midwest, prepared many wetland mitigation plans and performed wetland monitoring on numerous wetland mitigation and bank sites Mr Kaster has a BA in Biology, and a MS in Water Resources Science and he is a certified Professional Wetland Scientist (PWS) through the Society of Wetland Scientists and a Certified Ecological Restoration Practitioner through the Society for Ecological Restoration Page 2 of 4

3 Regulatory Branch (File No EJI) ECOLOGICAL SUITABILITY: The location of the site within a largely forested landscape makes it an ideal candidate for wetland restoration The 160-acre site is currently an agricultural patch surrounded by forested areas to the west, north, and east Restoration of the site will result in a larger overall patch of habitat, reducing fragmentation and providing improved connectivity The surrounding forested land use will help maintain a high quality wetland plant community The proposed restoration plan would return the site to the hydrologic and vegetative conditions that existed prior to clearing and drainage of the site and be consistent with adjacent land uses Native plants, including herbaceous and shrub, would provide a two strata plant community The majority of the site is mapped as hydric soils in the County Soil Survey The exception are two areas mapped as Redby loamy fine sand, containing 10% hydric inclusions The LiDAR 2 foot contours indicated higher elevations in the northwest portion of the site, and lower elevations in the southeast The elevation data does not indicate higher elevations in the two locations mapped as Redby loamy fine sand, relative to the surrounding hydric soils It is presumed that the coarser textured soils are more readily drained However, the topography suggests that the Redby soil areas should be saturated along with the surrounding hydric soils Examination of the 1937 aerial imagery does not indicate a different plant community in the Redby soils as compared with the other areas at the site HYDROLOGY: The site is drained via a network of drainage tiles spaced 100 feet apart and draining from west to east The tile lines outlet to a roadside ditch on the east end of the site The ditch drains south to the southeast corner of the property and then east through a culvert under the road A roadside ditch is also present on the south side of the property, but is shallower and does not appear to provide significant drainage Disruption of the existing tile lines on the site will not result in loss of drainage to adjacent property None of the tile lines provide drainage for adjacent property Land to the north and west of the site is forested and not in agricultural production No drainage ditches will be filled or blocked by the project CURRENT LAND USES: The proposed project site is almost entirely an active agricultural field No existing structures exist on the site Drainage ditches and roads are present along the east and south property lines No utility lines are present on the property outside of the south and east property lines A small dugout pond is located on the west-central end of the property Three wetlands were identified within the agricultural production field by the sponsor after conducting a Level II wetland delineation The farmed wetlands are tilled and planted annually and were observed to contain a stunted crop of soybeans, along with annual weeds The wetland delineation report is attached to the prospectus Waukenabo State Forest, a Minnesota Department of Natural Resources State Forest, borders the north end of the site Land to the east and west of the site is also forested A game farm is located to the east of the site No agricultural land is immediately adjacent to the site as there is a road separating the site from the field to the south The site is located approximately 4 miles northwest of the Aitkin Municipal Airport COORDINATION WITH RESOURCE AGENCIES: This project has been coordinated with the following members of the Interagency Review Team (IRT) and other resource agencies: the Minnesota Department of Natural Resources, US Environmental Protection Agency, US Fish and Wildlife Service and the Board of Soil and Water Resources 3 FEDERALLY-LISTED THREATENED OR ENDANGERED WILDLIFE OR PLANTS OR THEIR CRITICAL HABITAT None were identified by the applicant or are known to exist in the permit area This application is being coordinated with the US Fish and Wildlife Service Any comments it may have concerning Page 3 of 4

4 Regulatory Branch (File No EJI) Federally-listed threatened or endangered wildlife or plants or their critical habitat will be considered in our final assessment of the described work 4 JURISDICTION This proposal is being reviewed in accordance with the practices for documenting Corps jurisdiction under Sections 9 & 10 of the Rivers and Harbors Act of 1899 and Section 404 of the Clean Water Act identified in Regulatory Guidance Letter HISTORICAL/ARCHAEOLOGICAL The Corps will review information on known cultural resources and/or historic properties within and adjacent to the project area The Corps will also consider the potential effects of the project on any properties that have yet to be identified The results of this review and the Corps determination of effect will be coordinated with the State Historic Preservation Officer independent of this public notice Any adverse effects on historic properties will be resolved prior to the Corps authorization of the work in connection with this project 6 PUBLIC HEARING REQUESTS Any person may request, in writing, within the comment period specified in this notice, that a public hearing be held to consider this application Requests for public hearings shall state, in detail, the reasons for holding a public hearing A request may be denied if substantive reasons for holding a hearing are not provided or if there is otherwise no valid interest to be served 7 REPLIES/COMMENTS Interested parties are invited to submit to this office written facts, arguments, or objections within 30 days of the date of this notice These statements should bear upon the suitability of the location and the adequacy of the project and should, if appropriate, suggest any changes believed to be desirable Comments received may be forwarded to the applicant A copy of the full prospectus submitted by the Sponsor is available to the public for review upon request Replies may be addressed to: Attn: Evan Ingebrigtson Regulatory Branch St Paul District Corps of Engineers East Gull Lake Drive Brainerd, MN Or, IF YOU HAVE QUESTIONS ABOUT THE PROJECT, call Evan Ingebrigtson at the Brainerd office of the Corps, telephone number To receive Public Notices by , go to: and add your information in the New Registration Box Enclosures Andrew Beaudet, Chief, Northwest Section Page 4 of 4

5 EJI Page 1 of 20 Site Location Miles Copyright: 2013 National Geographic Society, i-cubed Figure 1 - Site Location Map

6 EJI Page 2 of 20 Forest Pasture Forest Ag Field Forest Forest Ag Field Ag Field ,500 Figure 2 - Land Use Map

7 EJI Page 3 of th Pl th Ln Figure 3 - Existing Conditions Topographic Map (LiDAR)

8 EJI Page 4 of 20 Sago Muck Waukenabo fine sandy loam Redby loamy fine sand Waukenabo fine sandy loam Sago Muck Sago Muck Redby loamy fine sand Waukenabo fine sandy loam Figure - Aitkin County Soil Survey

9 EJI Page 5 of 20 Mud Bk Unknown DNR Minor Watershed Name Mud Bk Johnson Cr Willow R Willow R Ross L Mississippi R Unknown DNR Minor Watershed Name Unknown DNR Minor Watershed Name Mississippi R Dean Bk Unknown DNR Minor Watershed Name Ditch Site Location Unknown DNR Minor Watershed Name Rice R Fleming Bk Mississippi R unknown unknown Mississippi R Mississippi R unknown Copyright: 2013 National Geographic unknownsociety, i-cubed Miles Minor Watersheds_DNR Waterways Figure - Minor Watershed Map

10 EJI Page 6 of 20 St Louis River Pine River Redeye River Site Location Miss R-Grand Rapids Crow Wing River Miss R-Brainerd Kettle River Long Prairie River Rum River Snake River Miss R-Sartell Sauk River Miss R-St Cloud Major_Watershed_DNR 20 Miles Minor Watersheds_DNR Copyright: 2013 National St Geographic i-cubed CroixSociety, R-Stillwtr Figure - MDMor Watershed Map

11 EJI Page 7 of 20 Wetland C Wetland A Wetland B Wetland D Sample Points

12 EJI Page 8 of 20 Forest Pasture Forest Ag Field Forest Forest Ag Field Ag Field ,500 Figure -

13 EJI Page 9 of th Pl Easement 400th Ln Figure 9 - Proposed Easement

14 EJI Page 10 of 20

15 EJI Page 11 of 20 Legend Easement Veg_Type Mesic Prairie Shrub-Carr Figure 1 - Proposed Vegetation Conditions Map

16 EJI Page 12 of 20 Disrupt drainage tiles: Use backhoe to excvate and remove 20' of tile upstream of ditch outlet 420th Pl Tile Lines 400th Ln Figure 12 - Concept Plan

17 EJI Page 13 of 20 Symbol Tile Outlets Tile Lines Culverts Ditches 420th Pl 400th Ln Figure - Existing Conditions - Hydrology

18 EJI Page 14 of 20 Monitoring Wells Figure 1 - Monitoring Plan Map

19 EJI Page 15 of 20 NE_MN_Potential_Mitigation_Sites POTENT <all other values> High Low Medium None

20 EJI Page 16 of Aerial Photograph

21 EJI Page 17 of Aerial Photograph

22 EJI Page 18 of Aerial Photograph

23 EJI Page 19 of Aerial Photograph

24 EJI Page 20 of Aerial Photograph

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