The City of Asheville, North Carolina requires developers pulling a permit for construction that disturbs more than five acres of land to furnish an Erosion Surety Bond (Sedimentation Bond) to ensure that an unfinished development can be restored to state erosion, sedimentation, and revegetation standards. Jet Insurance Company provides this bond as a fiscal guarantee to the City of Asheville should the contractor create monetary damages to the City.
At Jet we cut out the middleman and handle everything regarding your City of Asheville Erosion Control Bond; from offering a great quote, filing your bond, and defending you against invalid claims, Jet has got your back.
The City of Asheville ErosionControl Bond can cost as low as $100, but will typically be more due to the size of projects. Bond prices can widely vary depending upon the state engineer’s required bond limit.
Other factors such as personal credit of the business owner and years of experience influences the price, and for higher bond limits above $15,000 some personal and business financials may be required.
The bond limit can vary widely depending on the size and scope of the contractors project. When applying for a permit, a state engineer will review the project details and calculate the required bond limit based on the potential impact of the land disturbance.
The City of Asheville Erosion Control Bond, sometimes referred to as a permit sedimentation or re-vegetation bond, provides financial assurance for the City of Asheville if a development is not completed, or causes various environmental problems, and the City has to step in to revegetate and bring the land up to a certain standard that controls erosion and prevents off-site sedimentation.
The State of North Carolina, hand-in-hand with the intentions of the National Clean Water Act (CWA), establishes construction regulations to mitigate erosion and sedimentation from land disturbance that adversely affects the local watershed. The City of Asheville is responsible to ensure that work performed in their jurisdiction adheres to the state erosion control and sedimentation so that water utility departments can be healthy and efficient, and local habitats maintain a healthy ecosystem. The bond is a financial tool the City uses that involves a third party like Jet to protect against damages from construction/development projects.
Yes! Jet will file the original bond with the City of Asheville on your behalf right away after purchase. A copy of the bond and receipt will be provided to you electronically for your records as well. If you have to file the bond yourself just make that request at checkout and the bond form should be mailed to the following address:
City of Asheville
Development Services Department
PO Box 7148
Asheville, NC 28802
Jet streamlines the application process so you can apply for the bond hassle-free by simply providing some basic information about your business. Once the information is submitted, we will be able to quickly provide you with a quote.
As bond limits become larger, Jet may need additional information in order to provide a quote such as personal and business financial statements, erosion control measures, and the engineers estimate. We will quickly review the information to offer a quote for bonding.
The City of Asheville Erosion Control Bond is only needed one year from the issuance of the permit, unless the development lasts longer. Additional premium is required to continue the bond beyond the first year.
At Jet, we can extend the bond with just a simple payment. For those who paid in full, payment can be made online, over the phone, or via mail.
The City of Asheville will file a claim against the bond in the event that the development is left incomplete and the City must take over to get the land in compliance with state regulations. Avoiding a claim is as easy, or as hard, as completing the development without any detrimental hitches that end the project. Of course complications that cause a development to cease could cause major financial issues not just for the developer, but the City as well; that may lead to civil actions and/or a claim on the bond.
If the bond claim is valid then Jet is obligated to pay out to the City of Asheville. While Jet always does the best to protect you from bond claims, the City of Asheville Erosion Control Bond is cut and dry with claims and will payout in the case that development stops midway without plans to finish. The Erosion Bond is a last line of defense financially for the city in a worst case scenario where they need to step in and bring the land in development up to North Carolina State erosion regulations.
Surety bonds are not like general liability insurance, you are obligated to reimburse the insurance company for paid claims. It’s possible that in a scenario where the development ends, you could reimburse the City of Asheville for the cost of bringing the land up to erosion and sedimentation standards, or do that action yourself, but like we stated before, those options might not be possible because the cause of a bond claim results from a failure to complete development and thus result in problems beyond the developers financial capabilities that avoiding a bond claim is no longer possible. It is best then to take proactive steps to ensure the success of the development and properly follow your erosion and sedimentation control plan.
The State of North Carolina has various licensing requirements for contractors in the field, and developers should be aware of the licenses and associated surety bonds. Other North Carolina construction bonds can be found by clicking here.