Huntersville Land Development Bond

Huntersville North Carolina Land Development and Maintenance Bond

In the Town of Huntersville, North Carolina, the Land Development Services Division requires developers to obtain a surety bond for the following scenarios in their projects:

  1. Construction Bonds: Required when a development project requires public improvements such as trees, landscaping, streets and sidewalks, etc. and the developer wishes to record the plat or receive a Certificate of Occupancy (CO) prior to completion of all improvements.
  2. Maintenance Bonds: Required when roadways and Best Management Practice (BMP) devices are complete, but the majority of the rest of the development is not. The bond covers maintenance expenses incurred by the Town during the one or two years following completion.

PURCHASE HUNTERSVILLE LAND DEVELOPMENT BOND

This bond provided by Jet Insurance Company serves as a means of financial guarantee from developers to the Town of Huntersville that all required improvements will be completed, on time and to the town’s standards, and that all completed road and BMP work has adequate financial coverage for maintenance.

How Is the Cost Determined for the Land Development Bond?

The cost of the bond will be a small percentage of the total bonding amount, which is determined by estimating the cost to complete all required improvements. This estimate must be generated by the developer’s certified engineer or contractor and approved by the town’s Land Development Division. The town provides a Bond Estimate Form Spreadsheet which developers may use based on the itemized costs of the improvements. The town staff then reviews that estimate for adequate coverage of all plan elements.

Once the bonding amount is determined, the bond cost with Jet can be delivered. The bond can be purchased for as little as $100, based on the amount of the bonding requirement. The personal credit and potentially the financial strength of the developer can also factor into the eligibility and price of the bond. With Jet, you get the benefit of working directly with the underwriter determining the eligibility and rate on the bond.

Can Jet File the Bond With the Town of Huntersville for Me?

Most certainly! Once you purchase your bond, Jet will immediately ship the signed and sealed original version of the bond to Huntersville’s Land Development Division for you. An electronic copy of the bond will also be emailed to you for your records.

If you would like the original bond mailed directly to your location, then you can select that option at checkout. Developers may request this in order to send the bond with other paperwork to the town. Please note the bond must be filed with the city at the following address:

Town of Huntersville
Attn: Bond Administrator
105 Gilead Road, Ste 300
Huntersville, NC 28078

Can I Cancel the Land Development Bond?

Unfortunately, no. The Land Development Bond is continuous until released after the final inspection of all improvements by the Town of Huntersville, so the developer or Jet cannot cancel the bond at any time.

How Does a Developer Avoid Bond Claims?

Developers can avoid a claim against their Land Development Bond by delivering on their commitment to the Town of Huntersville: that is, comply with building standards and all applicable codes, and finish the improvements in the plan on time. This means that when the completed work is inspected:

  1. All public improvement elements are complete, matching the approved preliminary plan and the final map of the subdivision
  2. All work passes final inspection by Huntersville’s Land Development staff

For construction bonds, if the developer has not completed the improvements in the time specified in the bond or departs from the approved subdivision plan in their actual construction, the Town of Huntersville may draw upon the Land Development Bond to either complete or repair the improvements.

For maintenance bonds, Land Development staff may file a claim against the surety bond if the completed (or uncompleted) road work or BMP installation requires maintenance, forcing the Town of Huntersville to pay for such maintenance.

What Happens If I Get a Bond Claim?

If the City of Winston-Salem Engineering Department finds discrepancies during their final inspection, and the developer is unable or unwilling to

Suppose the town’s Land Development staff discovers discrepancies in the final inspection and the developer is unwilling to rectify them, or the project is abandoned entirely. In that case, the town may process a claim directly with Jet. Per the terms and conditions of the bond, Jet will have fifteen days to investigate the validity of the claim, in which Jet will defend you to the best ability. 

If the claim is deemed valid, Jet is obligated per the bond agreement and Town Engineering Standards and Procedures Manual (ESAPM) to pay the claim up to the bond's penal sum. It is important to note that the surety acts as a line of credit in this respect, and the developer is responsible for upholding their contractual obligation and must reimburse Jet for the amount paid out for their inability to do so.

What Is the Purpose of the Land Development Bond?

Jet provides the Land Development Bond for developers to furnish the Town of Huntersville with a financial guarantee for public improvements built in its land development projects. This ensures that subdivisions will be built to the standards of the ESAPM and in a timely manner. The bond ensures the Town of Huntersville will be reimbursed, should the city need to finish public improvements on behalf of the developer, or perform maintenance on their work in the period following construction.

The bond also offers an advantage to developers who wish to record their subdivision plat and receive certificates of occupancy prior to project completion, and at the same time protects consumers by guaranteeing the quality of their subdivision.

How Does the Application Process Work With Jet?

One of our underwriters will review your initial online application which only takes minutes to complete. The underwriter may need more information such as financial statements, project specifications, and funding details based on the size of the bond required. 

Once approved, you will receive an email with a link to purchase the bond online. With payment made you will receive a copy of the bond and the original will be sent out in the mail.

PURCHASE HUNTERSVILLE LAND DEVELOPMENT BOND

When Does the Land Development Bond Obligation End?

Pursuant to the ESAPM, the Land Development Bond can be written for a minimum of six months, to a maximum of two years, and is continuously in force until released by the Town of Huntersville Bond Administrator.

For Construction Bonds, the  Bond Administrator will release the developer and Jet once a final inspection is performed and all improvements pass inspection.

For Maintenance Bonds, liability is released once the end of the bonding period is reached. Maintenance bonds have typical minimum time periods of one to two years depending upon the improvement.  

Bonds are available from Jet in one, and two-year increments. The bond will need to be renewed if the project extends past the original purchase term.

Are There Other Bonds That a Developer Needs?

The bonding requirements for a developer in the town of Huntersville are encompassed by the Land Development Bond (construction and maintenance categories), so no other bonds are required by the Town.

Developers should however double-check to ensure their contractors adhere to the State of North Carolina’s various licensing requirements and the associated surety bonds. Check out other North Carolina construction bonds by clicking here.

Huntersville North Carolina Land Development and Maintenance Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: