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Mecklenburg County Land Use and Construction Bond
The County of Mecklenburg Land Use and Environmental Services Agency (LUESA) requires property owners or their contractors performing construction work in the county to post a surety bond to ensure full payment of all permits and fees associated with a project. The Land Use and Construction Bond has minimum dollar values of $2,000 for work in the City of Charlotte only, $1,000 for the work in the County only, or $2,000 for work in both. The bond value is calculated at the estimated total permit fees required by a project.
At Jet, we help you buy your bond faster and at a better price, by cutting out the middleman in the surety industry. Jet is a direct carrier, which means we provide you the bond you need, without the brokers, agents, or their commissions.
How Much Does the Mecklenburg Land Use and Construction Bond Cost?
At Jet the Mecklenburg County Land Use and Construction Bond cost starts as low as $100. The rate can vary depending on the total permit cost of the project and the contractor/property owner credit score. At a minimum, the bond limit must be $2,000 for work performed in the City of Charlotte, or $1,000 for work performed only in the rest of the county (excluding Charlotte).
Below are examples of the Land Use and Construction Bond rates for contractors and property owners with preferred credit scores. If the total permit fees exceed $25,000, Jet will need business and personal financial statements in order to provide a quote and at the best price available.
| Bond Limit | Annual |
|---|---|
| Less than $25,000 | $100-125 |
| $25,000 and up | $125 or higher |
Jet offers the Mecklenburg County Land Use and Construction bond at a low rate and with a streamlined application that gets you the bond you need as fast as possible.
Can Jet File the Land Use and Construction Bond For Me?
Yes, Jet will mail an original copy of the bond directly to Mecklenburg County Land Use and Environmental Services Agency. In the case that the bond needs to be filed immediately, LUESA allows the contractor or property owner to initially post their bond based on a signed and sealed copy submitted electronically via fax or email. Take note that LUESA must receive the original bond within five business days for the bond to remain in force.
Jet can ship the bond directly to LUESA on your behalf, or ship the bond to you. Other carriers will ship the bond to you (at your expense), then require you to ship it to LUESA (again, at your expense). Not with Jet!
If you decide to ship the bond yourself, remember that it must be mailed to the following address and filed with LUESA within five business days:
County of Mecklenburg
Land Use and Environmental Services Agency
P.O. Box 1400
Charlotte, NC 28201-1400
How Do I Cancel the Land Use and Construction Bond for Mecklenburg County?
All you need to do is notify Jet with your request to cancel, and Jet will process the cancellation and return any unearned premium. Other carriers retain a minimum earned premium, providing no refund even if the bond is in place for only a day!
The bond remains active until 30 days after the surety notifies LUESA of the cancellation. Jet must take those 30 days into account when calculating the refunded premium amount.
Additionally, because the Land Use and Construction Bond covers permit fees incurred during a construction project, the bond is only cancelled once all outstanding permit fees have been paid to the County of Mecklenburg. In other words, the bond is only cancelled once the contractor or property owner has no outstanding balance with LUESA, and 30 days have passed since cancellation notice.
How to Avoid a Bond Claim
Mecklenburg County’s Fee Ordinance requires any person or company planning to engage in construction to first post a bond that covers the total permit fees and other charges associated with the project. So, the most important thing a contractor or property owner can do is to simply pay the relevant permit fees for their project. This amount can be estimated on the County’s website, and prior to issuing building permits, LUESA will ensure that the contractor or property owner has a sufficient bond amount to cover the total permit fees for the project.
Secondly, the bond exists to cover charges that accrue for violations of local ordinances in the course of the project such as: violations regarding building code, subdivision matters, storm water control, soil erosion and sediment control. A contractor can significantly decrease their chances of seeing a claim against their bond if they simply adhere to the relevant regulations for the work they are performing and avoid violations and excessive inspection visits.
LUESA will resort to a claim on the bond only after the fees and charges for a project are 90 days past due, and the contractor is unable or unwilling to pay. A contractor or property owner in Mecklenburg County can avoid a claim on their bond by paying their balance with LUESA on time, at the conclusion of the project.
What Happens If a Claim Is Filed on My Bond?
Notify Jet right away if you expect a claim against your bond. Jet will do what other surety carriers won’t: investigate every claim to assess its validity. Other carriers use agents and brokers who disappear once they have sold the bond. If a claim comes, it will be left with a carrier (who you have never spoken with) to resolve.
Once Jet has investigated and determined the claim is valid we are obligated to make payment to LUESA to resolve the issue up to the bond amount purchased by the contractor. The principal (the contractor or property owner) will then be responsible to pay back the Surety (Jet) for that amount.
Why Is the Land Use and Construction Bond Required by the County of Mecklenburg?
Mecklenburg County’s Land Use and Environmental Services Agency exists to protect the public interest by ensuring environmental stewardship and economic vitality, including code enforcement. The Land Use and Construction Bond is LUESA’s way to establish a credit account with contractors and property owners for the permit fees required for their projects. Establishing a credit account with LUESA allows contractors to get started on their projects without having to pay the total estimated permit fees upfront. Also, it ensures a source of payment for other charges stemming from violations of the building environmental codes.
For any project in Mecklenburg County, LUESA will assess the total permit cost based on scope of the project, then ensure prior to permit issuance that the contractor or property owner has secured a sufficient bond amount. (Contractors and property managers can also estimate the total permit cost of the project using LUESA’s permit estimating tool.)
How Does the Application Process Work With Jet?
Jet streamlined the process so you can apply for your bond completely online in minutes by providing some basic information and payment. Once you have completed Jet’s online process, the original bond will be mailed to LUESA for filing. A copy of the bond and a receipt will be emailed to you immediately.
PURCHASE MECKLENBURG COUNTY LAND USE AND CONSTRUCTION BOND
Are There Other Bonds That Are Needed?
Contractors performing work in Mecklenburg County must also adhere to the State of North Carolina’s bonding requirements for their respective trades. Check out other North Carolina construction bonds by clicking here.
