Sec. 12.11. Performance Guarantees

12.11.1. Filing of Performance Guarantees

A. Applicability

1. A performance guarantee, as described below, shall be for the completion of required improvements if landscaping, recreational facilities, committed elements Elements, Commitments., or required infrastructure including but not limited to stormwater The flow of water which results from precipitation and which occurs immediately following rainfall or snowmelt., streets, sidewalks, or water and sewer improvements, has not been completed in accordance with the approved construction drawings, site plan An accurately scaled development plan that shows existing conditions on a site as well as depicting details of proposed development., or plat A map, chart or plan of a tract or parcel of land which is to be or which has been, subdivided. as applicable.

2. For a project requiring multiple guarantees, a single guarantee may be posted in lieu of multiple guarantees. This allowance shall not apply to guarantees required for erosion The wearing away of land surface by the action of wind, water, gravity or any combination thereof. control and stormwater The flow of water which results from precipitation and which occurs immediately following rainfall or snowmelt. control measures.

B. Amount

1. The responsible department shall require a performance guarantee in the amount of 125% of the reasonable estimated cost to complete the infrastructure or other improvement calculated as of the time the performance guarantee is issued, as determined by the applicable director or designee.

2. Any extension of the performance guarantee necessary to complete required improvements shall not exceed 125% of the reasonably estimated cost of completion of the remaining incomplete improvements still outstanding at the time the extension is obtained, as determined by the applicable director or designee.

C. Timing

The applicable department director or designee shall specify when a performance guarantee shall be submitted.

12.11.2. Form and Conditions of Performance Guarantee

A. Form

A performance guarantee may be in the form of a surety bond, letter of credit, or other form of guarantee that provides equivalent security to a surety bond or letter of credit.

B. Conditions

A performance guarantee shall be conditioned upon the performance of all work necessary to complete the specified improvements and the delivery of all necessary encroachment When used in reference to Sec. 8.4, Floodplain and Flood Damage Protection Standards, the advance or infringement of uses, fill, excavation, buildings, permanent structures or development into a floodplain, which may impede or alter the flow capacity of a floodplain. agreements, with said performance and delivery to be done by a specified completion date as allowed per NCGS § 160D-804.1.

C. Release of Guarantee

The performance guarantee shall be returned or released, as appropriate, in a timely manner upon the acknowledgment by the City or County that the improvements and conditions for which the performance guarantee is being required are complete.

D. Extension

If the improvements are not complete and the current performance guarantee is expiring, the performance guarantee shall be extended, or a new performance guarantee issued, for an additional period limited to the duration necessary to complete required improvements. A developer Pursuant to NCGS 160D-102, any of the following: a. The construction, erection, alteration, enlargement, renovation, substantial repair, movement to another site, or demolition of any structure. b. The excavation, grading, filling, clearing, or alteration of land. c. The subdivision of land as defined in G.S. 160D-802. d. The initiation or substantial change in the use of land or the intensity of use of land. shall demonstrate reasonable, good faith progress toward completion of the required improvements that are the subject of the performance guarantee or any extension.

12.11.3. Issuance of Certificate of Compliance

For required improvements other than infrastructure, if the responsible department director or designee determines the completion of the improvement prior to issuance of a certificate of compliance A statement, signed by an administrative officer, setting forth that a building, structure, or use complies with this Ordinance and Building Codes and that the same may be used for the purposes stated on the permit. is not practicable, and sufficient justification for the delay has been shown, certificates of compliance may be issued if an adequate performance guarantee is provided. In such event, the requirements for performance guarantees within this section shall apply.