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Article 7: Subdivisions <br /> Section 7.4: Improvements and Performance Guarantees <br /> <br /> <br />Orange County, North Carolina – Unified Development Ordinance Page 7-7 <br /> <br />improvements have recently been inspected and certified as being compliant with federal, <br />state, and local regulations. <br />(D) Officers of the property owner’s association shall review and sign the said document <br />confirming the association’s obligation in the perpetual maintenance of all improvements <br />and facilities for which responsibility is being assumed. <br />(E) Said document shall, upon execution, be recorded with the Orange County Register of <br />Deeds, at the expense of the subdivider/developer, as formal recognition that <br />maintenance responsibilities have been assumed by the property owner’s association. <br />(F) The Planning Department shall not release the subdivider/developer of maintenance <br />responsibilities, or authorize the release of performance guarantees, until this process is <br />completed. <br />7.4.8 Maintenance Guarantees – Public Roads <br />(A) Maintenance guarantees shall be required for the purpose of ensuring that roads that are <br />to be dedicated to the public are properly maintained, free from defects, between the time <br />of construction and the time of formal acceptance for maintenance by the North Carolina <br />Department of Transportation. <br />(B) A maintenance guarantee shall be in place before any required performance guarantee is <br />released or before any building permits are issued for subdivisions containing public road <br />improvements. <br />(C) Maintenance guarantees for public road facilities shall stipulate that the <br />subdivider/developer will maintain all required public road improvements, drainage <br />improvements, and sedimentation and erosion control improvements to the standards of <br />this Ordinance until the public road improvements are added to the state-maintained road <br />system. The guarantee shall also state that the subdivider/developer will be responsible <br />for correcting any defects that may arise during the maintenance period and shall remove <br />temporary sedimentation and erosion control measures. <br />(D) Maintenance guarantees shall be in the form of a performance bond, irrevocable letter of <br />credit, or cash escrow account and shall conform to the following: <br />(1) The amount of the guarantee shall be at least 15% of the total cost of <br />constructing the public road improvements (excluding the costs of clearing and <br />rough grading). <br />(2) The estimated cost of the required improvements must be itemized and certified <br />by the applicant’s licensed professional engineer or licensed professional <br />surveyor, if the surveyor was the original preparer of the plans for the <br />subdivision. <br />(3) In the case of minor subdivisions, the subdivider’s licensed professional engineer <br />or licensed professional surveyor may provide the itemized cost estimate. <br />(4) Cost estimates must be based on industry norms within Orange County. <br />(5) The Planning Director or Planning Board may require a higher guarantee amount <br />when deemed necessary to address higher potential correction costs due to the <br />subdivision’s size and site characteristics, but in no event may the amount <br />exceed 25% of estimated construction costs. <br />(E) The guarantee shall have a term of two years and shall provide an option for annual <br />renewal if the subdivider/developer has: <br />(1) Arranged for County inspection of the improvements, <br />(2) Submitted to the County an acceptable estimate of the costs necessary to correct <br />any deterioration or defects discovered by the inspection, and <br />(3) Increased the amount of the security by the amount of said estimate. <br /> 53