Rowan County Subdivision Bond

Rowan County North Carolina Subdivision Bond

In Rowan County, North Carolina, the Planning and Development Department requires developers to obtain a surety bond prior to receiving plat approval, ensuring that all public improvement elements of the subdivision will be completed prior to final inspection. For example, a subdivision plan may include sidewalks, stormwater drainage systems, and easements that the developer is responsible to build. The Subdivision Bond serves as a means of financial guarantee for Rowan County that all required improvements will be completed to the building quality standards of the Rowan County Subdivision Ordinance.

PURCHASE ROWAN COUNTY SUBDIVISION BOND

When you apply for your bond with Jet the application will take minutes through our streamlined process. Jet cuts out the middlemen who slow down the process and can cost you more in the form of fees and commissions. As a direct carrier, Jet will be your surety carrier throughout the project, and even help you defend against claims, should they arise.

How Is the Cost Determined for the Subdivision Bond?

The cost of the bond will depend on the bonding requirement, which is calculated by multiplying 1.25 times an estimated cost of the required improvements. The estimate must be conducted by a licensed engineer at the developer’s expense. 

The personal credit and potentially the financial strength of the developer can factor into the eligibility and price of the bond. Once approved, the bond cost is a small percentage of the bonding limit.

At Jet, you can count on a smooth, efficient process that gets you back to your business ASAP.

Can Jet File the Bond to Rowan County for Me?

Yes, Jet can! Once you purchase your bond, Jet will immediately ship the original bond to Rowan County’s Land Use and Environmental Services Agency for you. An electronic copy of the bond will immediately be emailed to you for your records as well.

Other carriers charge you shipping fees to send you the bond, and then leave shipment to Rowan County up to you at your expense. Not at Jet!

If you would like the original bond mailed directly to your location, then you can select that option at checkout. Please note the bond must be filed with Rowan County at the following address:

Rowan County
Department of Planning & Development
402 N Main Street
Suite 204 Salisbury, NC 28144

Can I Cancel My Subdivision Bond?

It is important to note that because the Subdivision Bond is considered continuous until released after final inspection, and that the bond cannot be cancelled at any time by the developer or Jet.

How Does a Developer Avoid Bond Claims?

In order to avoid a claim against the surety bond, developers need to comply with the Rowan County Subdivision Ordinance and complete the public improvement elements of their approved subdivision plan. This means that at the time of final inspection, three conditions must be met:

  1. Public improvement elements are completed
  2. Work is completed in accordance with the approved preliminary plan and the recorded map of the subdivision.
  3. All work conforms to the construction standards of the Subdivision Ordinance

Bond claims may arise when a developer abandons the project, departs from the approved subdivision plan in their actual construction, or does not meet regional construction standards, thereby requiring the county to complete (or repair) the project at their expense.

What Happens If I Get a Bond Claim?

If Rowan County Code Enforcement or site inspector finds that public improvements are incomplete, do not conform to the approved subdivision plan, or are inferior to the building industry standards, and the developer does not correct the fault, Rowan County may process a claim directly with Jet. To assess the validity of the claim, Jet will have 15 days to investigate the circumstances, and defend you as much as possible. 

If the claim is deemed valid, Jet must pay the claim up to the total amount of the bond, within 10 days of determining the amount. The surety acts as a line of credit, and the developer (the “principal”) is responsible for their actions (or failed actions) and must reimburse Jet for the amount paid.

What Is the Purpose of the Subdivision Bond?

The Subdivision Bond exists to provide a financial guarantee to Rowan County that subdivisions will be built in accordance with the county’s approved plans, and to the recognized building standards. The bond offers a means of financial guarantee to the County, ensuring that funding is available, should the county need to finish public improvements for a subdivision. Also, the bond offers an advantage to developers who wish to record their subdivision plat and sell real estate prior to project completion, and protects consumers by guaranteeing the quality of their subdivision.

How Does the Application Process Work With Jet?

Jet streamlines the application process, so you can apply for your bond hassle-free by providing some basic information about your business. Once you provide this information, we will evaluate your application and quickly get back to you.

As  bond limit become larger Jet may need the following additional information in order to provide your quote such as:

Once you pay your premium, your receipt and bond copy will be available to you.

PURCHASE ROWAN COUNTY SUBDIVISION BOND

When Does the Subdivision Bond Obligation for Rowan County End?

The Guarantee Bond is considered continuous until all required public improvements for a subdivision are completed. Liability for the developer and surety will be released once a project has conducted a successful final inspection and received release from the Rowan County Code Enforcement Department. 

Bonds are available from Jet in one-, two-, and potentially even three-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?

When building a subdivision in Rowan County, public improvements are the only element that requires a surety bond, however developers should ensure that 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.

Rowan County North Carolina Subdivision 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: