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DEPARTMENT OF THE ARMY PERMIT

Permittee: Gertrude J. Prior
Coral World (V.I.) Inc.
6450 Estate Smith Bay
St. Thomas, USVI 00802

Permit No: SAJ-1976-89037 (SP-JCM)

Issuing Office: U.S. Army Engineer District, Jacksonville

NOTE: The term "you" and its derivatives, as used in this permit, means the permittee
or any future transferee. The term "this office" refers to the appropriate district or
division office of the U.S. Army Corps of Engineers (Corps) having jurisdiction over the
permitted activity or the appropriate official of that office acting under the authority of the
commanding officer.

You are authorized to perform work in accordance with the terms and conditions
specified below.

Project Description:

Construction of a new dolphin enclosure at Coral World Ocean Park (Coral World) for
the purpose of public viewing of dolphins. The enclosure will cover approximately 1.72
acres (ac), including the structures and in-water areas. The dolphin enclosure will
measure approximately 300 ft by 250 ft supported by 114 new 12- to 16-inch (in)
diameter concrete piles. Various sections of the enclosure will have grated decking,
especially on the west side (because the east side will be used for vehicular access in
the event of an emergency and for maintenance activities so a more solid structure is
needed to drive on). Six of the piles will be driven into hard bottom, which will require
socketing. The remaining 108 piles will be driven using a vibratory hammer. Coral
World proposes the installation of 3-4 piles per day with a total of 65 days required to
complete the installation of all the piles. All pile installation will be done from a barge.
The barge will also be used during construction of the enclosure.

The main dock surrounding the enclosure will be 12-ft-wide with an elevation of 3.5 ft
above mean high tide. The dock will have concrete framing and grated walkways to
allow for light penetration. A double row of fencing will be installed under the dock that
will extend to the sea floor to prevent the dolphins from escaping. A wave barrier will be
attached to the fencing to reduce wave action within the enclosure. Smaller pens will be
constructed within the enclosure for medical purposes and to isolate dolphins, as
needed. Service pen docks will be 5-ft-wide with an elevation of 1.5 ft above mean high
tide. A gate will be installed along the seaward-most side of the enclosure to allow boat
access necessary for maintenance and potentially for allowing dolphins access to open
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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water for training. An existing pier will remain at the site for docking of boats used for
maintenance of the enclosure as needed.

Public access to the dolphin habitat will be via a 6-ft-wide boardwalk along the shoreline
south of the staff roadway that is being improved as part of the upland portion of the
project. Seating and interaction platforms will be constructed along the western portion
of the main dock while the eastern portion will include vehicular access to the staff dock
in case of emergency situations and for maintenance. The facility will house up to 10
dolphins on a permanent basis and up to 18 animals on a temporary basis once
operations (including a captive breeding program) are fully underway. Animals
produced through the captive breeding program will be sent to other facilities once they
are mature enough.

Coral World will establish a 40-ft buffer or “no access” zone around the enclosure
demarcated by a buoy line to prevent unauthorized access to the enclosure. In addition
to this buoy line, Coral World proposes the installation of 3 information buoys, 2 of
which will be located near Coki Point and 1 of which will be located on Turtle Rock. The
buoys will indicate that there are shallow waters containing corals in order to reduce the
number of vessel strikes these areas receive from motorized vessels, including jet skis.
These buoys are meant to offset some of the project impacts to elkhorn and staghorn
coral critical habitat and ESA-listed corals by protecting areas containing ESA-listed
corals and coral habitat from boating impacts. Coral World also proposes the
installation of 2 mooring buoys in Water Bay to the west of the proposed enclosure in
areas where seagrass beds have been impacted by anchoring of recreational vessels.
The installation of these mooring buoys is meant to offset impacts to seagrass from the
construction of the dolphin enclosure. All buoys will be anchored with helical screw
anchors and buoy lines will be designed to ensure they do not drag on the bottom.

The work described above is to be completed in accordance with the 29 pages of
drawings (Attachment 1), as well as the additional attachments affixed at the end of this
permit instrument.

Project Location: The project site is located at Water Bay on the north shore East
End, St. Thomas.

Directions to site: From Charlotte Amalie, take Highway 38 to the North Shore
heading towards Redhook. Turn left on Route 388, Coral World is at the end of the
road.

Approximate Central Coordinates: Latitude: 18.348800° North
Longitude: -64.864535° West
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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Permit Conditions

General Conditions:

1. The time limit for completing the work authorized ends on October 18, 2021 .
If you find that you need more time to complete the authorized activity, submit your
request for a time extension to this office for consideration at least one month before the
above date is reached.

2. You must maintain the activity authorized by this permit in good condition and in
conformance with the terms and conditions of this permit. You are not relieved of this
requirement if you abandon the permitted activity, although you may make a good faith
transfer to a third party in compliance with General Condition 4 below. Should you wish
to cease to maintain the authorized activity or should you desire to abandon it without a
good faith transfer, you must obtain a modification of this permit from this office, which
may require restoration of the area.

3. If you discover any previously unknown historic or archeological remains while
accomplishing the activity authorized by this permit, you must immediately notify this
office of what you have found. We will initiate the Federal and State coordination
required to determine if the remains warrant a recovery effort or if the site is eligible for
listing in the National Register of Historic Places.

4. If you sell the property associated with this permit, you must obtain the signature
and the mailing address of the new owner in the space provided and forward a copy of
the permit to this office to validate the transfer of this authorization.

5. If a conditioned water quality certification has been issued for your project, you
must comply with the conditions specified in the certification as special conditions to this
permit. For your convenience, a copy of the certification is attached if it contains such
conditions (Attachment 2).

6. You must allow representatives from this office to inspect the authorized activity at
any time deemed necessary to ensure that it is being or has been accomplished in
accordance with the terms and conditions of your permit.

Special Conditions:

1. This permit does not authorize any discharges of dredged or fill material into
waters of the United States.
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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2. Reporting Address: The Permittee shall submit all reports, notifications,
documentation and correspondence required by the general a n d special conditions
of this permit to the following addresses:

For the Corps:

a. For standard mail: José J. Rivera, Project Manager, U.S. Army Corps of
Engineers, Regulatory Division, Enforcement Section, 4400 PGA Blvd. Suite 500, Palm
Beach Gardens, FL 33410.

b. For email: CESAJ-ComplyDocs@usace.army.mil (not to exceed 10 MB).

The Permittee shall reference permit number SAJ-1976-089037 (SP-JCM), on all
submittals.

For the National Marine Fisheries Service:

a. For standard mail: NOAA Fisheries Service, Southeast Regional Office,
263 13th Avenue South, St. Petersburgh, FL 33791.

b. For e-mail: nmfs.ser.esa.consultations@noaa.gov; and
lisamarie.carrubba@noaa.gov.

3. Commencement Notification: Within 10 days from the date of initiating the
work authorized by this permit, the Permittee shall provide a written notification of the
date of commencement of authorized work to the Corps.

4. Self-Certification: Within 60 days of completion of the work authorized by this
permit, the Permittee shall complete the attached “Self-Certification Statement of
Compliance” form (Attachment 3) and submit it to the Corps. In the event that the
completed work deviates in any manner from the authorized work, the Permittee shall
describe the deviations between the work authorized by this permit and the work as
constructed on the “Self-Certification Statement of Compliance” form. The description
of any deviations on the “Self-Certification Statement of Compliance” form does not
constitute approval of any deviations by the Corps.

5. Agency Changes/Approvals: Should any other agency require and/or approve
changes to the work authorized or obligated by this permit, the Permittee is advised a
modification to this permit instrument is required prior to initiation of those changes. It is
the Permittee’s responsibility to request a modification of this permit from the Corps.
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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The Corps reserves the right to fully evaluate, amend, and approve or deny the request
for modification of this permit.

6. Assurance of Navigation and Maintenance: The Permittee understands and
agrees that, if future operations by the United States require the removal, relocation,
or other alteration, of the structures or work herein authorized, or if in the opinion of
the Secretary of the Army or his authorized representative, said structure or work
shall cause unreasonable obstruction to the free navigation of the navigable waters,
the Permittee will be required, upon due notice from the Corps of Engineers, to
remove, relocate, or alter the structural work or obstructions caused thereby, without
expense to the United States. No claim shall be made against the United States on
account of any such removal or alteration.

7. Posting of Permit: The Permittee shall have available and maintain for
review a copy of this permit and approved plans at the construction site.

8. Biological Opinion: This permit does not authorize the Permittee to take an
endangered species. In order to legally take a listed species, the Permittee must have
separate authorization under the Endangered Species Act (ESA) (e.g., an ESA Section
10 permit, or a BO under ESA Section 7, with “incidental take” provisions with which you
must comply). The enclosed NMFS Biological Opinion (BO) (Attachment 4) contains
mandatory terms and conditions to implement the reasonable and prudent measures
that are associated with “incidental take” that is also specified in the BO. Authorization
under this permit is conditional upon compliance with all of the mandatory terms and
conditions associated with incidental take of the enclosed BO, which terms and
conditions are incorporated by reference in this permit. Failure to comply with the terms
and conditions associated with incidental take of the BO, where a take of the listed
species occurs, would constitute an unauthorized take, and it would also constitute
noncompliance with this permit. The NMFS is the appropriate authority to determine
compliance with the terms and conditions of its BO, and with the ESA.

9. The Permittee shall immediately notify the Corps and NMFS if at any time the
authorized project exceeds the amount or extent of incidental take anticipated in the
attached Biological Opinion issued by NMFS for this project on June 1, 2016
(Attachment 4).

10. Sea Turtle and Smalltooth Sawfish Conditions: The authorized work shall be
completed in strict observance of the attached NMFS’s Sea Turtle and Smalltooth
Sawfish Construction Conditions, dated March 23, 2006 (Attachment 5).
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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11. Vessel Strike Avoidance: The authorized work shall be completed in strict
observance of the attached NMFS’s Vessel Strike and Avoidance Measures and
Reporting for Mariners, revised February 7, 2008 (Attachment 6).

12. Turbidity Barriers: Turbidity barriers shall be installed around all pile
driving/socketing activities. The barriers shall be installed to within 1 ft of the sea floor
where pile-driving activities will take place. Where socketing will be used to install piles,
the curtains will extend to the sea floor. The turbidity barriers shall remain in place and
be maintained until the authorized work has been completed and all suspended and
erodible materials have been stabilized. Monitoring for sea turtles will be done to
ensure no entanglement or entrapment of animals occurs during deployment of turbidity
barriers. Turbidity barriers shall be removed upon stabilization of the work area.

13. The Permittee shall implement the attached Environmental and Water Quality
Monitoring Plan (Attachment 7).

14. Surveys and samplings to establish the baseline for the Environmental and
Water Quality Monitoring Plan (Attachment 7) will extend for two months prior to any in-
water construction in order to characterize existing conditions.

15. The Permittee will provide copies of the monitoring reports for the Environmental
and Water Quality Monitoring Plan (Attachment 7) to the Corps and NMFS for five years
after the completion of project construction.

16. The Permittee shall coordinate with the DPNR as appropriate to ensure that the
monitoring requirements of the Environmental and Water Quality Monitoring Plan
(Attachment 7) are incorporated as appropriate into the requirements of the operation
TPDES permit for the park and that the corresponding monitoring and reporting
continue for the life of the project.

17. The Permittee shall implement the attached Acoustic Mitigation Plan (Attachment
8).

18. The Permittee shall implement the attached Habitat Lighting Plan (Attachment 9).

19. All construction related to the work authorized in this permit shall be limited to
daylight hours only.

20. The Permittee shall implement the attached Coral Transplant and Benthic
Mitigation Program (Attachment 10).
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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21. The three information buoys and the two mooring buoys to be installed as part of
the Coral Transplant and Benthic Mitigation Program (Attachment 10) will have helical
anchors and their tackle will have floats to ensure there is no dragging on the sea floor.
As stated in the Coral Transplant and Benthic Mitigation Program (Attachment 10), the
Permittee will be responsible for the long term maintenance of these buoys and will be
responsible for removal of the buoys if they will not continue to be maintained. Coral
World shall inspect and maintain the moorings periodically, at least once a year, and
immediately after any large storm events to ensure that they buoys, tackle and
anchoring remain in good condition. If the Permittee removes the buoys, additional
compensatory measures to offset the project impacts to coral and seagrass may be
necessary. The Permittee shall coordinate with the Corps and NMFS to determine
which additional measures might be necessary, if any.

22. Copy of all data collected as part of any pre-constructions surveys, as well as
during the implementation of the attached Coral Transplant and Benthic Mitigation
Program (Attachment 10), Environmental and Water Quality Monitoring Plan
(Attachment 7), and Acoustic Mitigation Plan (Attachment 8) shall be submitted to the
Corps and NMFS, to the addresses identified above in Special Condition 2.

23. Mitigation Release: The Permittee’s responsibility to complete the required
mitigation, as set forth in permit will not be considered fulfilled until mitigation success
has been demonstrated and written verification has been provided by the Corps. A
mitigation area which has been released will require no further monitoring or reporting
by the Permittee; however the Permittee, Successors and subsequent Transferees
remain perpetually responsible to ensure that the mitigation area(s) remain in a
condition appropriate to offset the authorized impacts in accordance with General
Condition 2 of this permit.

24. Site Protection Instrument: The Permittee shall place a covenant in its
submerged land use lease with the DPNR, protecting the seagrass and corals
transplant site and prohibiting its future alteration during the operation of the Coral
World Park, including anchoring or mooring therein. Documentation evidencing the
execution of this covenant shall be provided to the Corps within 180 days from the date
of this permit.

25. Financial Assurance: To ensure that the above described mitigation and
monitoring is successful, the Permittee will secure a performance bond in the amount of
$282,000.00, which is the estimated cost of the mitigation program and subsequent
monitoring throughout the implementation and monitoring period.
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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a) No later than 30 days prior to the initiation of the work authorized by this
permit, a copy of the draft financial assurance instrument shall be provided to the Corps
for review and approval.

b) A copy of the executed financial assurance instrument shall be provided to
the Corps before initiation of the authorized work.

Further Information:

1. Congressional Authorities: You have been authorized to undertake the activity
described above pursuant to:

(X) Section 10 of the Rivers and Harbors Act of 1899 (33 U.S.C. 403)

( ) Section 404 of the Clean Water Act (33 U.S.C. 1344)

( ) Section 103 of the Marine Protection, Research and Sanctuaries Act of 1972 (33
U.S.C. 1413)

2. Limits of this authorization.

a. This permit does not obviate the need to obtain other Federal, State, or local
authorizations required by law.

b. This permit does not grant any property rights or exclusive privileges.

c. This permit does not authorize any injury to the property or rights of others.

d. This permit does not authorize interference with any existing or proposed
Federal projects.

3. Limits of Federal Liability. In issuing this permit, the Federal Government does not
assume any liability for the following:

a. Damages to the permitted project or uses thereof as a result of other permitted
or unpermitted activities or from natural causes.

b. Damages to the permitted project or uses thereof as a result of current or future
activities undertaken by or on behalf of the United States in the public interest.
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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c. Damages to persons, property, or to other permitted or unpermitted activities or
structures caused by the activity authorized by this permit.

d. Design or construction deficiencies associated with the permitted work.

e. Damage claims associated with any future modification, suspension, or
revocation of this permit.

4. Reliance on Applicant's Data: The determination of this office that issuance of this
permit is not contrary to the public interest was made in reliance on the information you
provided.

5. Reevaluation of Permit Decision: This office may reevaluate its decision on this
permit at any time the circumstances warrant. Circumstances that could require a
reevaluation include, but are not limited to, the following:

a. You fail to comply with the terms and conditions of this permit.

b. The information provided by you in support of your permit application proves to
have been false, incomplete, or inaccurate (see 4 above).

c. Significant new information surfaces which this office did not consider in
reaching the original public interest decision.

Such a reevaluation may result in a determination that it is appropriate to use the
suspension, modification, and revocation procedures contained in 33 CFR 325.7 or
enforcement procedures such as those contained in 33 CFR 326.4 and 326.5. The
referenced enforcement procedures provide for the issuance of an administrative order
requiring you comply with the terms and conditions of your permit and for the initiation of
legal action where appropriate. You will be required to pay for any corrective measures
ordered by this office, and if you fail to comply with such directive, this office may in
certain situations (such as those specified in 33 CFR 209.170) accomplish the
corrective measures by contract or otherwise and bill you for the cost.

6. Extensions: General Condition 1 establishes a time limit for the completion of the
activity authorized by this permit. Unless there are circumstances requiring either a
prompt completion of the authorized activity or a reevaluation of the public interest
decision, the Corps will normally give favorable consideration to a request for an
extension of this time limit.
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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When the structures or work authorized by this permit are still in existence at the time
the property is transferred, the terms and conditions of this permit will continue to be
binding on the new owner(s) of the property. To validate the transfer of this permit and
the associated liabilities associated with compliance with its terms and conditions, have
the transferee sign and date below.

_______________________________________ ____________________
(TRANSFEREE-SIGNATURE) (DATE)

_______________________________________
(NAME-PRINTED)

_______________________________________
(ADDRESS)

______________________________________________________
(CITY, STATE, AND ZIP CODE)
PERMIT NUMBER: SAJ-1976-89037 (SP-JCM)
PERMITTEE: Coral World (V.I.) Inc.
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Attachments to Department of the Army
Permit Number SAJ-1976-89037 (SP-JCM)

1. PERMIT DRAWINGS: 29 pages, dated October 2016

2. WATER QUALITY CERTIFICATION: Specific Conditions of the water quality
permit/certification in accordance with General Condition number 5 on page 2 of this DA
permit. 3 pages.

3. SELF-CERTIFICATION FORM: 1 page, Self-Certification Statement of Compliance.

4. NMFS Biological Opinion (BO) issued on June 1, 2016

5. SEA TURTLE – SAWFISH CONDITIONS: 1 page, Sea Turtle and Smalltooth
Sawfish Construction Conditions, revised March 23, 2006

6. VESSEL STRIKE AVOIDANCE MEASURES: 2 Pages, Vessel Strike Avoidance
Measures and Reporting for Mariners, revised February 2008.

7. Environmental and Water Quality Monitoring Plan, Revised July 2016

8. Acoustic Mitigation Plan, Acoustic Impact Minimization and Protected Species
Protection Plan, Revised June 2016

9. Habitat Lighting Plan, Coral World Dolphin Habitat Lighting Plan

10. Coral Transplant and Benthic Mitigation Program, July 2016