STATE OF NORTH CAROLINA INTHE GENERAL COURT OF JUSTICE. COUNTY OF BRUNSWICK ‘SUPERIOR COURT DIVISION FILE NO. 17-CVS-2243 ‘TOWN OF LELAND, NC, snd H2GO BRUNSWICK REGIONAL WATER & SEWER, Plaine, TOWN OF BELVILLE, NC AFFIDAVIT oF Defendant, BOB WALKER INTERLOCAL RISK FINANCING FUND OF NORTH CAROLINA, Interienor, ob Walker, heing duly sworn, deposes and says the fllowing: 1, My name is Bob Walker. Iam over 21 years of age and I am competent to testify to the mates her 2. [provide this affidavit based on my personal knowledge, 3. Lam the Executive Ditector of H2GO Brunswick Regional Water & Sewer, Uhave served in that capacity at all mes referenced herein 4. As Bxecutive Director, Ihave been working with the current Board of H2GO since December of 2017, including reporting tothe Board at the regularly scheduled monthly meetings. 5, On or about December 13, 2017 1 was informed that Judge Lock granted the Town of Leland’s Motion for Preliminary Injunction which, among other things, enjoined construction of |the Reverse Osmosis Plant ("RO Plant”). On or about December 28%, 2017 | was informed that Judge Lock’s Order granting the Preliminary Injunetion had been filed withthe Court, 6. Upon learning of the injunction, 1 along with the project engineer proceeded to inform all project contractors to stop work on the plant in accordance with the injunction, At tht, time, there were eight wells nder construction, four of which were close to completion and four of| Which were inthe early stages of construction, 7. In January 0° 2018 the NC Department of Environmental Quality (*NC-DEQ”) informed H2GO"s project engineer that the wells for the Reverse Osmosis (*RO") Plant “cannot be left in a state of limbo, they need to be either completed or permanently abandoned”. A copy of this correspondence is attached hereto as Exhibit A. 8. Upon receiving this information from NC-DEQ, 1 consulted with the project engineer as to what H2GO could do to address the State's concems, 1 and the project engineer determined that the safest ccurse of action consistent with the injunetion was to finish and cap the {our wels close to completion and to abandon the other four wells, as two of those were mere pilot holes and the other two wells were in the early stages of being drilled. These four wells that were tobe abandoned were to be grouted with bentonite clay, not concrete, sous to enable them to be re- dlled in the future if needed. | advised the Board ofthis preferred course of action, ‘The Board authorized H2GO to proceed accordingly. 9. To my knowledge no Board member has directed me, staff or the RO Plant contractors to pour cement inthe wells or otherwise destroy the wells Likewise, to my knowledge, rho Board member has ditectod me, staff, or the RO Plant contractors to take any action that would ‘compromise the future constuction ofthe RO Plant. 10. With respect othe RO Plant site work contractor, [advised the Board tht allowing, the site contractor to bring the site to a buildable condition would be the best course of action and 2aminiize the site contactors claim forthe stoppage ofthe work, Thereafter, te Board authorized the site contactor to complete the site work es recommended, thereby making the propery more ‘valuable and useful for some purpose whether o not i was for constructing a RO plant 11, With respet 0 H2GOs contract with the RO equipment fabricator, H2GO had an outstanding purchase order fr the RO Plant equipment and was presented with the option of ether paying for and receiving the equipment or cancelling the order and paying 8 ponalty and other costs and fees associated with te cancellation, Purchasing. and shipping the equipment was more expensive than canceling the Order. I recommended the Board purchase the equipment and the Board authorized the purchase, ‘The equipment, valued at approximately $1.1 milion dollars, wes then purchased and shipped to H2GO and is presently stored in a secure warehouse leased by 1260. Further this affiant sayeth no This the 29 day of May, 2019. State of North Carolina County of Brunswick Bob Walker personally appeared before me and swore to the and subscribed the foregoing document in my presence onthe date indicated below. ‘Witness my hand and notarial seal this dhe 29" day of May, 2019. herve A Beng Notary Public My Commission Expires: October §, 20a