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6.23.4 OPERATION AND MAINTENANCE OF STRUCTURAL BMPs <br />(DETENTION PONDS) <br />a) Posting of Financial Security <br />All stormwater control structures shall be conditioned on the posting of <br />adequate financial assurance for the purpose of maintenance, repairs or <br />reconstruction necessary for adequate performance. Financial assurance shall <br />be in the form of one of the following: <br />1. Security Performance Bond or Other Security <br />The permit applicant shall obtain either a performance bond from a <br />surety bonding company authorized to do business in North Carolina, an <br />irrevocable letter of credit or other instrument readily convertible into <br />cash at face value payable to Orange County or placed in escrow with a <br />financial institution designated as an official depository of Orange <br />County. The bond or other instrument shall be in an amount equal to <br />1.25 times the total cost of the stormwater control structure, as <br />estimated by the applicant and approved by the County Engineer. The <br />total cost of the stormwater control structure shall include the value of all <br />materials such as piping and other structures; seeding and soil <br />stabilization; design and engineering; and, grading, excavation, fill, etc. <br />The costs of the stormwater control structure shall not be prorated as <br />part of a larger project, but shall be costed as a separate project. <br />Upon default of the permit applicant to complete and /or maintain the <br />stormwater control structure as spelled out in the performance bond or <br />other security, the County may obtain and use all or any portion of the <br />funds necessary to complete the improvements based on an <br />engineering estimate. The Board shall return any funds not spent in <br />completing the improvements to the owning entity. <br />2. Cash or Equivalent Security Deposited After Release of the <br />Performance Bond <br />The permit applicant shall deposit w ith O range C ounty e ither c ash o r <br />other instrument approved by the County Attorney that is readily <br />convertible into cash at face value. The cash or security shall be in an <br />amount equal to fifteen (15) percent of the total cost of the stormwater <br />control structure or the estimated cost of maintaining the stormwater <br />control structure over a ten (10) year period, whichever is greater. The <br />estimated cost of maintaining the stormwater structure shall be <br />consistent with the approved operation and maintenance plan or manual <br />provided by the developer under Article 6.23.4b2. The amount shall be <br />computed by estimating the maintenance cost for twenty -five (25) years <br />and multiplying this amount by two -fifths or 0.4. <br />Upon default of the owning entity to maintain, repair and, if necessary, <br />reconstruct the stormwater control structure in accordance with the <br />Operation and Maintenance Agreement, the County shall obtain and <br />use all or any portion of the cash security to make necessary <br />improvements based on an engineering estimate. Such expenditures of <br />funds shall only be made after exhausting all other reasonable remedies <br />6 -35 <br />