Development activity usually requires either a Completion or Correction Period Performance guarantee during the course of a project. A performance guarantee, as defined by G.S. 160A-372, must be used when posting a financial guarantee; acceptable forms include Irrevocable Standby Letter of Credit, Cash Financial Guarantee Information Record or Infrastructure Completion Bond.
Completion Performance Guarantee
A Completion Performance Guarantee is for guaranteeing anything that has not been installed at the time of plat recording or at issuance of a building’s certificate of occupancy. The developer's representative must submit the following documents sealed by a NC Professional Engineer to the project's field service technician:
- A written estimate calculated at 1.25 times the estimated cost of the uninstalled items
- Vicinity map
- Schedule for completion
The estimate will be reviewed and approved by the Technician.
Once approved, the developer submits the corresponding performance guarantee to the Technician Supervisor. This performance guarantee will be released when all items are completed and a Total Acceptance Letter is issued by the Town at which time the performance guarantee will be returned.
Correction Period Performance Guarantee
Developers must submit a Correction Period Performance Guarantee for all public infrastructure improvements (example; water, sewer, street, etc.) constructed by the project that will be accepted for total maintenance at the end of the correction period (one (1) year from the issuance of the Warranty Letter). This applies only to projects not requiring a Completion Performance Guarantee as outlined above.
- The developer’s representative must submit an estimate of quantity using the current unit prices below and a vicinity map for review and approval to the project’s infrastructure field service technician.
- The financial guarantee is then submitted to the Inspections & Permits Department, Infrastructure Division for review and approval prior to submitting original.
The performance guarantee will be released upon issuance of the Total Acceptance Letter.
Current Unit Prices:
Streets (covers all streets and related improvements):
$20/Square Yard of road installed (back to back street width, times length, divided by 9, regardless of road size)
Greenway Trails and Structures (bridges, walkways, pedestrian culverts and related improvements):
$10/Square Yard for both asphalt and concrete trail
Bridges, board walks, pedestrian culverts or structural improvements @ ½ the cost
Water Line (4” and up) @ $ 12.00 / LF
Sanitary Sewer Line (8” and up) @ $ 12.00 / LF
Force main (4” and up) @ $12.00 / LF
Reclaim Water Line @ $12.00 / LF
Pump Stations @ ½ Construction Cost