Section 7 WSRA Evaluation Procedure

under "Direct and Adverse Effect" Standard

WORKSHEET

Introduction

Merit Network, Inc. (Merit) is proposing to build the Rural, Education, Anchor, Community and Healthcare — Michigan Middle Mile Collaborative Project (REACH-3MC II) (Project), a 1.263 mile long advanced fiber-optic network through underserved counties in Michigan's Upper and Lower Peninsulas with diverse paths to Wisconsin and Minnesota. The purpose of the project is to provide affordable high-performance fiber optic network services to unserved and underserved areas. The project is being funded through the American Recovery and Reinvestment Act (aka the federal stimulus package). An application for a Michigan DEQ wetland permit was submitted by Merit Network, Inc. (Andrea Kline) of Ann Arbor, Mi on Feb 09, 2012 (DEQ file number; 11-27-0030 P).

The project includes proposed crossings of three designated Wild and Scenic Rivers in the Hiawatha Nationa Forest (HNF); all crossings are located within existing disturbed road rights-of-way:

Carp River (M-123, Mackinac County; T.42N, R.5W, Section 2). The Carp River is classified as a Scenic Class River within the reach where the proposed crossing is located. It has outstanding remarkable values (ORVs) identified as recreation, fish, wildlife, botany/ecology, heritage and geologic.

• Sturgeon River (US-2, Delta County; T.40N, R.19W, Section 6). The Sturgeon River is classified as a Recreational Class River within the reach where the proposed crossing is located. It has ORVs identified as wildlife, botany/ecology, heritage and hydrology.

• Whitefish River, Delta County (T.41N, R.21VV, Section 28). The Whitefish River is classified as a Recreational Class River within the reach where the proposed crossing is located. It has ORVs identified as wildlife, heritage, scenic, fish and recreation.

Step /: Project Description: Briefly describe the situation that may prompt action. Include as appropriate:

o Project proponent: Merit Network, Inc. 1000 Oakbrook Drive, Suite 200 Ann Arbor, MI 48104-6794

Merit Network, Inc. (Merit) is a nonprofit broadband service provider owned and governed by twelve Michigan universities. Merit has built and run networks for community anchor institutions throughout the State of Michigan for 44 years, supporting the education and not-for-profit community.

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• Proposed Activity (see attached overall Michigan crossings map, township-level maps, summary table, aerial photo figures, and engineering drawings):

Merit is proposing to install 2-inch diameter plastic conduit and fiber optic cable under three Wild and Scenic Rivers in the HNF. All of the crossings would be installed using directional drilling methodologies and located in existing disturbed road rights-of-way. Directional boring is a trenchless installation method where a guided drill head is used to create a subsurface path for a flexible plastic conduit which is pulled through the bored opening when boring is complete. The fiber optic cable is then pulled or blown through the plastic conduit. The conduit would be installed a minimum of four feet below the bottom of the river channel. No vegetation clearing, open trenching, or permanent grade changes are proposed. All installation-related disturbances would be confined to the existing disturbed road right-of-way.

Ground disturbance is limited to two bore five-foot by five-foot pits that are excavated on either side of the river. Directional boring pits would be placed in upland areas set back a minimum of 25 feet from existing wetlands or stream banks. The bore pits would be backfilled immediately with the original soil materials after installation is complete. Backfill material would be compacted as necessary to prevent erosion and soil settlement. Restoration would include grading to restore original contours, installing erosion control devices as necessary, and seeding with a mix of species approved by the Forest Service.

Directional boring uses a bentonite/water mixture that is pumped down the drill stem to run the drill head, lubricate the drill pipe, maintain the bore hole, and remove bore cuttings. Bentonite is a fine clay that, when mixed with water, provides the necessary lubricant and operating fluid for the drilling process. There is the potential for a frac-out to occur during the boring process when drilling mud is released through the subsurface formation into the surrounding glacial drift and travels toward the surface,. However, the chances of one occurring are remote given the small size of the proposed conduit. Discharge from the entry and exit points of the bore would be contained by the upland bore pits, and potential frac-outs would be proactively identified through visual monitoring of the bore length for boring fluid discharge and monitoring of the boring pressure gauge for significant drops in pressure during the bore. The attached Frac-Out Contingency Plan outlines the steps to be taken if a frac-out does occur.

No changes to within-channel, riparian, or floodplain conditions and hydrologic or biological processes are proposed to Wild and Scenic Rivers within the HNF.

• Purpose:

The purpose of the project is to provide affordable high-performance fiber optic network services to community anchor institutions, homes and businesses in unserved and underserved areas of Michigan, Wisconsin and Minnesota. The project also creates opportunities to provide high-speed capabilities to four Native American tribes in the region.

• Geographic location: The entire Project location includes 29 counties in Michigan's Upper and Lower Peninsulas, eight counties in eastern and northern Wisconsin, and one county in northeastern Minnesota. The Project proposes three (3) crossings of Wild and

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Scenic Rivers within the HNF, including the following (see attached overall Michigan crossings map, township-level maps, summary table, and aerial photo figures):

o Carp River in Mackinac County (M-123 north of Burma Road, T.42N, R.5W, Section 2);

o Sturgeon River in Delta County (US-2 just east of National Forest Development Rd. 13, T.40N, R.19W, Section 6); and

o Whitefish River in Delta County (US-2 just east of U 25 Rd., T.41N, R.21W, Section 28.

• Duration: Fiber optic cable installation under each of the three proposed Wild and Scenic River crossings is expected to take no more than 1 to 2 weeks, depending on the length, depth, and geologic materials encountered.

• Magnitude/extent: All project-related disturbances would be limited to the installation phase, temporary and minor. No disturbance of the river channel, streambanks or riparian vegetation is proposed. All installation-related activities would be confined to the existing disturbed road rights-of-way.

• Relationship to past/future management activities: The proposed crossings comply with the Utility Corridor Standards and Guidelines outlined in the 2006 Forest Plan for Designated Wild and Scenic and Study Rivers. Specifically, the proposed fiber optic cable would be installed underground, within existing road rights-of-way, using directional drill methodology.

Future maintenance activities for the fiber optic cable would be conducted well away from the river crossings via permanent hand holes. Hand holes are three-foot by four-foot hard plastic bottomless casings that are installed every 1,800-2,500 feet, depending on the environment, to provide storage space for fiber slack and maintenance access. If it becomes necessary to replace the fiber optic cable, it would either be re-installed in the existing plastic conduit or by directional drilling as proposed for the original installation.

To determine if an in-depth Section 7 evaluation is necessary, answer the questions listed in A -F on the following pages and provide a brief explanation to support the conclusion. Define and document the time scale over which any identified effects are likely to occur.

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A. Describe any changes to within-channel conditions.

Would there likely be any discernable changes to channel location, geometry, slope, form, water quality, or navigation of the river? Also consider how likely within-channel changes affect ORVs.

Yes: ❑ No: El

Explain:

There would be NO CHANGES to within-channel conditions, as there would be no change to free flow within the rivers. All three crossings involve the underground installation of fiber optic cable encased in flexible conduit less than two inches in diameter via directional boring. Underground installation of fiber infrastructure would not involve surficial stream or river crossings by construction equipment. All construction-related disturbances associated with these river crossings would be limited to existing, previously-disturbed road rights-of-way and would be short-term and temporary. No vegetation clearing or placement of new permanent structures along the channel banks is proposed.

Soil erosion and sedimentation control (SESC) and Michigan Department of Environmental Quality (DEQ) permits would be acquired from the applicable local and/or state agencies, and permit requirements would be adhered to throughout the construction of the Project to protect water quality. There is the potential for a frac-out to occur during the boring process where drilling mud is released through the subsurface formation into the surrounding glacial drift and travels toward the surface. However, the chances of one occurring are remote given the small size of the proposed conduit. Discharge from the entry and exit points of the bore would be contained by the upland bore pits, and potential frac-outs would be proactively identified through visual monitoring of the bore length for boring fluid discharge and monitoring of the boring pressure gauge for significant drops in pressure during the bore. The attached Frac-Out Contingency Plan outlines the steps to be taken if a frac-out does occur.

NO CHANGES to channel location, geometry, slope, form, water quality, or navigation of the rivers are anticipated. Therefore, there is no potential for the Project to affect the rivers' ORVs that are related to within-channel conditions.

B. Describe any alteration to riparian or floodplain conditions.

Are there any meaningful changes to vegetation, soil compaction, exposure of bare ground, or bank stability or susceptibility to erosion?

Yes: ❑ No:

Explain:

Where directional bore pits are necessary, the bore pits would be placed in upland areas set back a minimum of 25 feet from existing wetlands or stream banks and backfilled immediately after the conduit is installed. Backfilling would be accomplished with a rubber-tired backhoe/loader, small dozers or by hand. Backfill material would be compacted to prevent erosion and soil settlement. In most cases, the native material excavated during installation would be placed back in the bore pit as backfill and compacted. Surface restoration would

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occur following installation of new conduits and backfilling of bore pits. Restoration would generally involve grading disturbed areas and reestablishing ground cover. In unpaved areas, restoration would include grading to restore original contours, installing erosion control devices if necessary, seeding with a mix of native species approved by the Forest Service, and mulching the disturbed soil surface, as necessary and allowed.

Temporary SESC measures, e.g. silt fence, would be installed before or upon commencement of the bore pit construction. The temporary SESC measures would be removed after the disturbed area has been permanently stabilized. Permanent SESC measures (soil compaction and surface restoration/seeding) for all disturbed areas shall be completed within five (5) calendar days after the disturbance (fiber optic installation) has been completed. Temporary SESC measures would be maintained until permanent soil erosion measures are in place, and the disturbed area is stabilized (i.e., disturbed area has established vegetation to ensure its resistance to soil erosion, sliding, or other earth movement).

In summary, the environmental impacts associated with the proposed crossings are anticipated to be relatively minor, short-term, and temporary. There would be NO MEANINGFUL CHANGES to vegetation, soil compaction, exposure of bare ground, or bank stability or susceptibility to erosion within the floodplain of the rivers. Therefore, there is no potential for the Project to affect the rivers' ORVs that are related to riparian or floodplain conditions.

C. Describe any alteration of upland conditions.

Are there any meaningful changes to vegetation, soil compaction, exposure of bare ground, drainage patterns, surface and sub-surface flows, or identified ORVs?

Yes: ❑ No:

Explain:

There would be minor, temporary changes to upland areas where the proposed bore pits would be located and in staging areas for equipment and materials. Bore pits would be backfilled with the original soil material, and all disturbed areas would be restored to their pre-construction contours and stabilized with seed and mulch. No vegetation clearing is proposed.

Soil erosion and sedimentation control (SESC) and Michigan Department of Environmental Quality (DEQ) permits would be acquired from the applicable local and/or state agencies, and permit requirements would be adhered to throughout the construction of the Project. Temporary SESC measures, e.g. silt fence, would be installed before or upon commencement of the bore pit construction. The temporary SESC measures would be removed after the disturbed area has been permanently stabilized. Permanent SESC measures (soil compaction and surface restoration/seeding) for all disturbed areas shall be completed within five (5) calendar days after the fiber optic installation has been completed. Temporary SESC measures would be maintained until permanent soil erosion measures are in place, and the disturbed area is stabilized (i.e., disturbed area has established vegetation to ensure its resistance to soil erosion, sliding, or other earth movement).

There would be NO MEANINGFUL CHANGES to vegetation, soil compaction, exposure of bare ground, drainage patterns, surface and sub-surface flows in uplands. No other upland changes are proposed as part of this Project. Bore pit locations would be most noticeable during the first

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few months following cable installation while vegetation is reestablishing. Given the very limited extent and temporary nature of these upland changes, the Project would not adversely affect the rivers' ORVs related to upland conditions, or identified ORVs.

D. Describe any on-site changes that will alter hydrologic or biological processes.

Are there any meaningful changes to the ability of the channel to change course, re-occupy former segments; inundate the floodplain; change the amount, timing, or pattern of channel flow; affect flood storage; affect biological processes such as fish spawning, amphibian/mollusk needs, and streamside vegetation?

Yes: ❑ No: El

Explain:

There would be NO CHANGES to the ability of the channel to change course, re-occupy former segments; inundate the floodplain; change the amount, timing, or pattern of channel flow; affect flood storage; affect biological processes such as fish spawning, amphibian/mollusk needs, and streamside vegetation, as all three crossings would involve the underground installation of fiber optic cable encased in flexible conduit less than two inches in diameter via directional boring. No changes to within-channel, riparian, or floodplain conditions and hydrologic or biological processes are proposed to Wild and Scenic Rivers within the Hiawatha National Forest. Directional drilling would be utilized to install the proposed fiber optic cable; no excavation of the river channel, banks or riparian area is proposed. Underground installation of fiber infrastructure would not involve surficial stream or river crossings by construction equipment. All construction-related disturbances associated with these river crossings would be limited to existing, previously-disturbed road rights-of-way and would be short-term and temporary. No vegetation clearing or placement of permanent structures along the channel banks is proposed. Therefore, there is no potential for the Project to affect the rivers' ORVs that are related to their hydrologic or biological processes.

E. Describe any magnitude and spatial extent of any off-site change.

Are there specific processes involved (such as water and sediment) that might be meaningfully influenced in other parts of the river system, what these changes might be, and the likelihood they would occur?

Explain: Yes: ❑ No: El

The use of directional drilling methodology limits the magnitude and spatial extent of off-site change. All installation-related disturbances would be confined to existing road rights-of-way. Proposed bore pits would be located in upland areas a minimum of 25 feet from the top of existing stream banks. No vegetation clearing is proposed. All disturbed areas would be restored to their pre-construction grades and stabilized with seed and mulch.

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There is the potential for a frac-out to occur during the boring process, where drilling mud is released through the subsurface formation into the surrounding glacial drift and travels toward the surface. However, the chances of one occurring are very, very small for the placement of a 2-inch diameter conduit. Discharge from the entry and exit points of the bore would be contained by the upland bore pits, and discharge along the bore line would be proactively identified through visual monitoring of the bore length for boring fluid discharge and monitoring of the boring pressure gauge for significant drops in pressure during the bore. The attached Frac-Out Contingency Plan outlines the steps to be taken if a frac-out does occur.

Given these precautionary measures, off-site changes to the river systems are highly unlikely, and adverse impacts to the rivers' ORVs are not anticipated.

F. Describe Effects to Management Goals.

Are there any meaningful effects to management goals relative to free flow, water quality, riparian area and floodplain conditions, ORV's and river classification?

Yes: ❑ No: Explain:

As discussed previously, the proposed fiber optic cable installation would comply with the Utility Corridor Guidelines for Designated Wild and Scenic and Study Rivers as outlined in the HNF 2006 Plan, No significant changes are expected to the free-flowing condition, water quality, riparian area and floodplain conditions as all river crossings would be conducted via directional drilling.

The Project is fully compatible with the following river classifications for the Carp, Sturgeon and Whitefish Rivers:

The Carp River is classified as a Scenic Class River within the reach where the proposed crossing is located. It has outstanding remarkable values (ORVs) identified as recreation, fish, wildlife, botany/ecology, heritage and geologic.

The Sturgeon River is classified as a Recreational Class River within the reach where the proposed crossing is located. It has ORVs identified as wildlife, botany/ecology, heritage and hydrology.

The Whitefish River is classified as a Recreational Class River within the reach where the proposed crossing is located. It has ORVs identified as wildlife, heritage, scenic, fish and recreation.

Effects to outstanding remarkable values:

Recreation: No effects are expected to the recreation values of the rivers as all crossings would be conducted via directional boring and would not change recreational boaters' access to or within the rivers.

Wildlife.' No effects are expected to the wildlife values of the rivers as all crossings would be conducted via directional boring and would not significantly change riparian or upland

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Prepared by:

District Ranger Review:

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Forest Supervisor Review:

Regional WrIester Review:

vegetation, water quality, or hydrologic or biological processes within the rivers and adjacent uplands.

Geologic: The project would not affect the geologic valuesof the rivers as all crossings would be

conducted via directional boring.

Botanical/Ecological: The project would not affect the botanical/ecological values of the rivers

as all crossings would be conducted via directional boring. The directional boring construction method was selected to minimize vegetation and ground surface disturbance. Vegetation recovery within the upland bore pit locations would be enhanced by the application of a seed mix approved by the Forest Service. Therefore, no significant adverse effects to botanicaUecological values are anticipated in upland areas. No within-channel or riverbank vegetation would be impacted, and, thus, no riparian botanical/ecological values would be impacted by the Project.

Fisheries: No effects are expected to the fisheries values of the rivers as all crossings would be

conducted via directional boring, and, thus, would involve no instream activities SESC measures and proactive frac-out monitoring would ensure that water quality and fish habitat are protected.

Heritage Resources: The project has been reviewed by the Michigan State Historic

Preservation Office which provided a clearance letter on July 18, 2011. No effects are anticipated to heritage resources of the rivers. No heritage sites are located within the proposed construction zones.

Scenic Resources: All of the crossings would be installed using directional drilling

methodologies and located in existing disturbed road rights-of-way. No disturbance of the river channel, streambanks or riparian vegetation is proposed. The proposed crossings comply with the Utility Corridor Standards and Guidelines outlined in the 2006 Forest Plan for Designated Wild and Scenic and Study Rivers.

Step 2: Section 7 Determination.

Based upon the above analysis, enough available Information has been provided to determine that under Section 7, the proposed project will not have a "direct and adverse effect" to the values (free-flow, wafer quality, or outstandingly remarkable values) for which the rivers were added to the National System.

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