Annexation Feasibility Report-1988

Tow
su
�a
OF
i �L
LEACH
ANNEXATION
FEASIBILITY
REPORT
TALBERT, COX AND ASSOCIATES, INC.,
AN ESPEY, HUSTON COMPANY
DECEMBER, 1988
PROPERTY OF
DIVISION OF COASTAL MANAGEMENT
PLEASE DO NOT REMOVE

TOWN OF SUNSET BEACH
ANNEXATION FEASIBILITY REPORT
DECEMBER 1988
PREPARED BY
SUNSET BEACH PLANNING BOARD
Richard Good, Chairman Walter Hoff
Schuyler Bramley Peter Infante
Channing Coppage Mary "Chance" Scrantom
AND
Linda J. Fluegel, Town Administrator
TECHNICAL ASSISTANCE PROVIDED BY
Kenneth Weeden, AICP
TALBERT, COX AND ASSOCIATES, INC.,
AN ESPEY, HUSTON COMPANY
The preparation of this document was financed in part
through a grant provided by the North Carolina Coastal
Management Program, through funds provided by.the Coastal
Zone. Management Act of 1972, as amended, which is admini-
stered by the Office of Ocean and•Coastal Resource Man-
agement, National Oceanic and Atmospheric Administra-
tion.

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SUNSET.BEACH ANNEXATION FEASIBILITY REPORT
TABLE OF CONTENTS
Page
PREFACE
1
I.
INTRODUCTION
4
II.
STATUTORY_QUALIFICATIONS
4
A. Declaration of Policy (G.S. 160A-33)
4
B. Authority to Annex (G.S. 160A-34)
5
C. Prerequisites to Annexation; Ability to Serve;
Report and Plans (G.S. 160A-35)
6
D. Character of Area to be Annexed (G.S. 160A-36)
•9
E. Qualifications Summary
12
III.
SERVICE PLANS AND COSTS
14
A. Sunset Beach's Existing Services
14
B. Service Plans
16
C. Revenue Impact
19
D. Cost vs. Revenue Assessment
20
IV.
FINANCIAL PLANS
22
V.
SUMMARY AND CONCLUSION
23

APPENDICES
Appendix # Subject
1 Resolution of Consideration
2 March 17, 1988 Consultant's Memo
3 April 28 Consultant's Report
4 Revenue Impact Worksheet
5 Procedures for Annexation
LIST OF TABLES
Table #
Subject
1
Qualifications Summary-160A-36(c)
2
Population and Land Use Summary
3
Annexation: Services Cost Summary
4
Service Requirement Summary and
Cost: Area 1
5
Service Requirement Summary and
Cost: Area 2
6
Annexation: Revenue Impact
Assessment
7
Revenue vs. Cost Summary
MAPS
Map #
Subject
1
Location Map
2
Annexation Study Area Boundaries
3
Area 1: Sea Trails -Sugar Sands
4
Area 2: Oyster Bay
Page
24
25
28
29
30
Page
12
13
17
19
20
21
Page
1.
Attached
Attached
Attached
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SUNSET BEACH, NORTH CAROLINA
ANNEXATION FEASIBILITY REPORT
PREFACE
For several years, Sunset Beach has witnessed continuing urban
development beyond the Town limits and within its extraterritorial
jurisdictional boundary. As these areas have developed, they have
begun to take on more and more the character of municipal areas
and to require normal municipal services. For example, the Town
of Sunset Beach currently provides water service to a large por-
tion of its extraterritorial area.
In order to promote long-term coordinated growth management in the
greater Sunset Beach environs, as well as efficient and economical
extension of necessary municipal services, the Town of Sunset
Beach has considered annexing certain developing areas contiguous
to its existing Town limits, in accordance with North Carolina
General Statutes.
In December 1987, the Town of Sunset Beach formally adopted a
"Resolution of Consideration" in accord with North Carolina Gener-
al Statutes (N.C.G.S.) 160A-37(l), defining an area generally
under consideration for annexation (see Appendix 1). From this
broad area, which included the entirety of the Town's then desig-
nated extraterritorial jurisdiction, three "pre -study" areas were
selected by the Sunset Beach Planning Board. The qualifying cri-
teria for annexation, according to the State statutes, were
applied to each study area with the assistance of a planning con-
sultant. In March 1988, the consultant presented the results of
the pre -study, which showed that none of the three areas, as ini-
tially outlined, met the qualifications criteria (see Appendix 2).
0
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UThe Planning Board decided to update the land use data used in
determining the "developed for urban purposes" standards in order
to find out if new information would affect the original quali-
fying criteria for the- initial three areas. Additionally, the
aPlanning Board directed the consultant to divide Area 1 (the Sea
Trail and Sugar Sands area) into two sub -areas for the study.
DThis distinction called for separating the mobile home section
from the single-family conventional dwellings.
0 In April, 1988, after all of the land use information had been
updated, and
the second analysis by the consultant was completed,
the
initial
Areas 2 and 3 remained virtually unchanged. This
meant that the
chances for annexing any parts of those two areas
awere
greatly
diminished, if not totally unfeasible at that time.
The
two major inhibitors to qualifications for annexation were:
a(1)
lack of
adequate "development for urban purposes," i.e., too
many
vacant
as opposed to developed lots; and (2) difficulty in
meeting the contiguity requirements, i.e., one -eighth of the total
external boundary of the separate areas coinciding with the
a existing Town limits. on the other hand, the initial Area 1,
which consisted almost exclusively of the Sea Trail and Sugar
Sands developments, did meet the basic qualifying standards for
aannexation as a single area.
aHowever, when Area 1 was divided into two sub -areas, designated as
"A" (mobile home area) and "B" (conventional dwellings), only sub-
area "A" met the qualifying criteria (see Appendix 3). The Town
Planning Board then directed the consultant to proceed with a
feasibility analysis, including service requirements and financial
analysis, for Area 1 only. Three simultaneous analyses were to be
conducted, i.e., Area 1 as a single area, as well as sub -areas "A"
aand "B."
n In July, 1988, the Consultant met with the Planning Board and Town
U Board of Commissioners in a joint work session to present the
a results of the analysis for the three areas. The presentation
showed in detail the annexation qualifications of Area 1 and Sub-
2

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areas "A" and "B", along with the required services and related
costs. Again, it was shown that Area 1, as a whole, met the stat-
utory requirements for annexation, as did Sub -area "A". Sub -area
r, "B", however, did not.
At their regular Board Meeting in August, 1988, the Sunset Beach
Board of Commissioners decided that the final Annexation Feasibil-
ity Report should only address Area 1 as a whole, with no separate
analysis for any sub -areas. Additionally, the Board requested the
Consultant to prepare an analysis of the annexation feasibility
a for the Oyster Bay condominium development, which is a small por-
tion of the initial study Area 3.
aThis final report will, therefore, address the annexation qualifi-
cations and related fiscal and service impacts of Area 1 and the
aOyster Bay area.
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I. INTRODUCTION
This "Annexation Feasibility Report" for the Town of Sunset
Beach, North Carolina, was prepared in accordance with North
Carolina General Statutes 160A-35, "Prerequisites to Annexa-
tion; Ability to Serve; Report and Plans." The report refers
to a substantially developed areas currently contiguous to
the Town limits of Sunset Beach and known in this report and
attached maps as the following:
° Area 1: Sea Trail - Sugar Sands
° Area 2: Oyster Bay
Every effort was put forth in an attempt to assure that this
report is in conformity with the legal requirements of the
u North Carolina General Statutes pertaining to annexation by
(� cities of less than 5,000 people. (North Carolina G.S. 160A-
L 33-35)
The report was prepared by a planning consultant, Talbert,
Cox & Associates, Inc., with guidance from the Town of Sunset
Beach Planning Board, and generous assistance from the Town's
administrative -staff. Technical assistance was also provided
by Mr. Jake wicker of the North Carolina Institute of Govern-
ment, Chapel Hill, North Carolina.
II. STATUTORY QUALIFICATIONS
A. DECLARATION OF POLICY
160A-33 - "It is hereby declared as a matter of
State policy:
(1) That sound urban development is essential to the
continued economic development of North
Carolina;
(2) That municipalities are created to provide the
governmental services essential for sound urban
4

development and for the protection of health,
safety and welfare in areas being intensively
used for residential, commercial, industrial,
institutional and governmental purposes or in
areas undergoing such development;
(3) That municipal boundaries should be extended in
accordance with legislative standards applicable
throughout the State, to include such areas and
to provide the high quality of governmental ser-
vices needed therein for the public health,
safety and welfare;
(4).That new urban development in and around munici-
palities having a population of less than 5,000
persons tends to be concentrated close to the
municipal boundary rather than being scattered
and dispersed as in the vicinity of larger muni-
cipalities, so that the legislative standards
governing annexation by smaller municipalities
can be simpler than those for large municipali-
ties and still obtain the objectives set forth
in this section;
(5) That areas annexed to municipalities in accor-
dance with such uniform legislative standards
should receive the services provided by the
annexing municipality in accordance with G.S.
160A-35(3)."
By adoption of this report, the Town Commission of Sunset
Beach explicitly adopts and embraces the above North
Carolina State Declaration of Policy.
B. AUTHORITY TO ANNEX
160A-34 - "The governing board of any municipal-
ity having a population of less than 5,000
persons according to the last federal decennial
census may extend the corporate limits of such
municipality under the procedure set forth in
this Part."
According to the 1980 Census of Population and Housing,
Characteristics of the Population, Number of Inhabitants,
North Carolina, prepared by the Bureau of the Census,
U.S. Department of Commerce, the Town of Sunset Beach
had a year-round population of 304. Thus, the governing
board of the.Town of Sunset Beach, i.e., the Sunset Beach
5

Board of Commissioners, has the authority to extend the
corporatelimitsof the Town of Sunset Beach under the
procedure set forth in this Part.
C. PREREQUISITES TO ANNEXATION; ABILITY TO SERVE; REPORT AND
PLANS
160A-35 - "A municipality exercising authority under
this Part shall make plans for the extension of ser-
vices to the area proposed to be annexed and shall,
prior to the public hearing provided for in
G.S. 160A-37, prepare a report setting forth such
plans to provide services to such area. The report
shall include:
(1) A map or maps of the municipality and adjacent
territory to show the following information:
a. The present and proposed boundaries of the
municipality. .
b. The proposed extensions of water mains and
sewer outfalls to serve the annexed area, if
such utilities are operated by the munici-
pality. The water and sewer map must bear
the seal of a registered professional engi-
neer or a licensed surveyor.
(2) A statement showing that the area to be annexed
meets the requirements of G.S. 160A-36.
(3) A statement setting forth the plans of the muni-
cipality for extending to the area to be annexed
each major municipal service performed within
the municipality at the time of annexation.
Specifically, such plans shall:
a. Provide for extending police protection,
fire protection,- garbage collection and
street maintenance services to the area to
be annexed on the date of annexation on sub-
stantially the same basis and in the same
manner as such services are provided within
the rest of the municipality prior to annex-
ation. A contract with a rural fire depart-
ment to provide fire protection shall be an
acceptable method of providing fire protec-
tion. If a water distribution system is not
available in the area to be annexed, the
plans must call for reasonably effective
fire protection services until such time as
waterlines are made available in such area
M

under existing municipal policies for the
extension of waterlines.
b. Provide for extension of water mains and
sewer lines into the area to be annexed so
that property owners in the area to be
annexed will be able to secure public water
and sewer service, according to the policies
in effect in such municipality for extending
water and sewer lines to individual lots or
subdivisions. If the municipality must, at
its own expense, extend water and/or sewer
mains into the area to be annexed before
.property owners in the area can, according
to municipal policies, make such connection
to such lines, then the plans must call for
contracts to be let and construction to
begin on such lines within one year follow-
ing the effective date of annexation.
C. Set forth the method under which the munici-
pality plans to finance extension of ser-
vices into the area to be annexed.
(4) A statement of the impact of the annexation on
any rural fire department providing service in
the area to be annexed and a statement of the
impact' of the annexation on fire protection and
fire insurance rates in the area to be annexed,
if the area where service is provided is in an
insurance district designated under G.S. 153A-
233, a rural fire protection district under
Article 3A of Chapter 69 of the General
Statutes, or a fire service district under Arti-
cle 16 of Chapter 153A of the General Statutes.
The rural fire department shall make available
to the city not later than 30 days following a
written request from the city all information in
its possession or control, including but not
limited to operational, financial and budgetary
information, necessary for preparation of a
statement of impact."
1. This report, "Annexation Report for the Town of Sun-
set Beach," October, 1988, is the report required by
North Carolina G.S. 160A-35.
2. The map of the present and proposed boundaries of the
Town of Sunset Beach, relative to each area proposed
for annexation, are presented on Map 2, attached.
7

3. Water service is already currently provided to both
of the -proposed annexation areas by the Town. This
water service is already provided on substan-
tially the basis and in the same manner . . . as
provided within the rest of the municipality." In
some parts of the Town and in the annexation study
areas, there are currently no fire hydrants. How-
ever, the Town has already made plans to upgrade the
water service both within the Town and in the extra-
territorial area (including the study areas indepen-
dent of this annexation report). Centralized sewer
service is not currently provided within the present
Town limits and the Town has no plans for the provi-
sion of centralized sewer, either within the Town or
in the proposed annexation areas.
4. The general land use pattern of each proposed annexa-
tion area is also depicted on Map 2, attached.
5. The areas proposed for annexation by the Town of Sun-
set Beach meet the requirements of North Carolina
G.S. 160A-36 in that they are contiguous or adjacent
to the current Town limits, and are in whole or in
part developed for urban purposes. A discussion of
the qualifications of each area is included under the
subsection "Character of the Area to be Annexed,"
below.
6. The Town's plans for the extension of police, sanita-
tion (garbage collection), street maintenance ser-
vice, street lighting service, and mosquito control
to each area are presented beginning on page 14,
herein. Fire protection is currently being provided

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areas- by the Sunset Beach Volunteer Fire Department.
The residents within the current Town limits, the
Town government, and residents in the proposed annex-
ation area currently make annual contributions to the
Volunteer Fire Department. This procedure will con-
tinue after the annexation becomes effective.
7. The method(s) under which the Town of.Sunset Beach
�J
plans to finance the extension of services into
each
area is discussed on page 22.
8. The proposed annexations will have no impact on
any
rural fire department since fire protection is
cur-
rently being provided and will continue to be
pro-
vided by the Sunset Beach Volunteer Fire Department.
No other rural fire department is, or will
be,
involved. Fire protection will remain at
the
existing pre -annexation level.
D. CHARACTER OF AREA TO BE ANNEXED
N.C.G.S. 160A-36 -
"(a) A municipal governing board may extend the
municipal corporate limits to include any area
a (1) Which meets the general standards of sub-
section (b), and which meets the require-
ments of subsection (c).
(b) The total area to be annexed must meet the fol-
0 lowing standards:
(1) It must be adjacent or contiguous to the
�( municipality's boundaries at the time the
annexation proceeding is begun.
(2) At least one eighth of the aggregate exter-
nal boundaries of the area must coincide
with the municipal boundary.
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(3) No part of the area shall be included within
the boundary of another incorporated munici-
r pality."
1. No part of Area 1 or Area 2 currently lie within the
0 boundaries of another incorporated municipality.
Each area is contiguous or adjacent to the Sunset
Beach Town limits for at least one -eighth (12.5%) of
their respective total external boundaries, as sum-
marized below:
a Area 1 i e. Sea Trails -Sugar Sands has a total
A . r g
Q external boundary of 31,220 LF with 9,890 LF con-
tiguous to the current Town limits, for a total
contiguity of 32%. (See Map 3, attached.)
b. Area 2, i.e., Oyster Bay has a total external
boundary of 6,400 LF with 3,640 LF contiguous to
the current Town limits, for a total contiguity
0 of 57%. (See Map 4, attached.)
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North Carolina
G.S.
160A-36,
continued, states:
"(c) The area
to be
annexed
must be developed for
(� urban purposes. An area developed for urban
�( purposes is defined as any area so developed
that at least sixty percent (60%) of the total
number of lots and tracts in the area at the
time of annexation are used for residential,
commercial, industrial, institutional or govern-
mental purposes, and is subdivided into lots and
rj tracts such that at least sixty percent (60%) of
the total acreage, not counting the acreage used
at the time of annexation for commercial, indus-
trial, governmental or institutional purposes,
consists of lots and tracts five acres or less
in size."
u 1. In accordance with 160A-36(c), above, the proposed
areas qualify as being developed for urban purposes,
as summarized in Table 1 on page 12.
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2. The methodology for producing the above calculations
is as -follows: Acreage for each area was estimated
based on the use of a standard drafting tool, i.e., a
planimeter. A drafting "wheel" was employed in the
measuring of the external and contiguous boundaries,
based on the scales of existing Town maps.
N.C.G.S. 160A-36, continued, states:
"(d) In fixing new municipal boundaries, a muni-
cipal governing board shall, wherever prac-
tical, use natural topographic features such
as ridge lines and streams and creeks as
boundaries, and use streets as boundaries.
1. In fixing the boundaries of the proposed areas, a
combination of factors were considered, including the
following:
a. Creeks and streams;
b. Parcel or lot lines, wherever practical, while
attempting to avoid splitting parcels/lots in the
area(s); and
C. Streets and road rights -of -way were also used as
boundaries.
11

TABLE 1: Qualifications Summary - 160A-36(c)
PART 1: LAND USE
Minimum
Required
A-1
A-2
--
° Total No. Lots/Tracts:
1,000
118*
--
° Total No. "Developed":
641
98
60%
° Percent Developed:
64.1%
83.0%
--
° Total Vacant:
359
20
--
° Percent Vacant:
35.9%
17.0%
PART 2: SUBDIVIDED
TRACTS
A-1 A-2
° Total "Undeveloped"
-- Acreage: 117.0 7.85
° Acreage of Undeveloped
Lots/Tracts, 5 Acres
-- or Less: 101.2 7.85
60% ° Percent Lots/Tracts,
5 Acres or Less: 86.5% 100%
Calculations by Talbert, Cox & Associates
*This includes a 96-unit condominium complex. Each unit is
considered as a separate "lot" or "tract."
12

TABLE 2: Population and Land Use Summary, Areas 1 and 2
Population A-1 A-2
Estimated No. Occupied House-
holds: **288 98+
Estimated Avg. HH Size: *2.0 2.0
Estimated Population: 576 196+
Land Use A-1 A-2
Total
Residential
Units:
647
98
Total
Commercial
Units:
3
0
Calculations by Talbert, Cox & Associates,.Inc.
* Taken from Sunset Beach Land Use -Plan Update, 1986
**Based on Percent of Year -Round Units in Extraterritorial Area, taken
from Sunset Beach Land Use Plan Update, 1986
+ Oyster Bay is an absentee investor -owner condominium complex, with no
permanent year-round residents. In planning for services impacts, the
"maximum" peak occupancy was utilized.
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III. SERVICE PLANS AND COSTS
The State's annexation statutes require that a municipality
which exercises its authority to annex by its•own initiation,
must plan for the extension of municipal services into the
area(s) to be annexed so that on the date of annexation,
these services are . . on substantially the same basis and
(� in the same manner as such services are provided within the
rest of the municipality prior to annexation."
Specifically, the statutes address the following services:
water, sewer, police protection, fire protection, garbage
collection, and street maintenance services to the area to be
annexed. All of these and other relevant municipal services
currently provided by the Town of Sunset Beach are discussed
below.
A. SUNSET BEACH'S EXISTING SERVICES
1. Water: The Town of Sunset Beach provides centralized
water services within all of its corporate limits and
to most of its extraterritorial jurisdiction --
including the proposed annexation areas. The Town is
connected to the Brunswick County water system, and,
according to the 1986 Land Use Plan Update, the sup-
ply of water should be more than adequate to serve
the area. Since the Town of Sunset Beach is already
providing.water service to the study area on "sub-
stantially the same basis" as the rest of the Town,
subsequent annexation will not result in a change in
water service or water rates. Currently, water
customers, both inside and outside of the corporate
limits, pay the same rates. In some parts of the
Town and in the extraterritorial area, there are no
fire hydrants. However, the Town has already made
plans and set aside funds to upgrade the water ser-
14

vice, both within and outside of the corporate
limits, independent of the Annexation Report.
2. Sewer: Centralized sewer service is not one of the
services currently provided by the Town of Sunset
Beach. The Town has no plans to provide this ser-
vice, either within the Town or the extraterritorial
area.
3. Police: Sunset Beach does provide police services
for all of its corporate limits through five full-
time officers. Some portions of the extraterritorial
area are also currently patrolled by the Sunset Beach
Police Department. However, if Area 1: Sea Trail -
Sugar Sands is annexed, one additional full-time
officer and one fully -equipped patrol car will be
required. For Area 2: Oyster Bay, no additional
personnel or equipment will be necessary.
4. Fire Protection: Fire protection is currently being
provided to both the Town of Sunset Beach and to each
of the annexation study areas by the Sunset Beach
Volunteer Fire Department. The residents within the
current Town limits and in the extraterritorial area
(including the annexation study areas), along with
the Town government, make annual financial contribu-
tions to the Volunteer Fire Department. Annexation
would not change this policy. Therefore, there would
be no additional cost to the Town if annexation were
to take place.
5. Sanitation -Trash Collection: Currently, Sunset Beach
provides garbage collection within the Town limits
only and through a Town -employed staff. The Town
utilizes its own trucks and equipment. Should Area
1: Sea Trail -Sugar Sands be annexed, then two addi-
15

tional full-time sanitation workers will be needed,
but no additional equipment.
6. Street, Maintenance: The Town of Sunset Beach pro-
vides basic street maintenance service within its
Town limits, including patching repair and very minor
paving. Area 1: Sea Trails -Sugar Sands contains an
additional 8.4 miles of paved streets, which will
require maintenance. Area 2: Oyster Bay is current-
ly served primarily by a private paved road. This
road will remain private if the area is annexed.
7. Street Lighting: Street lighting is also a service
supported by the Town of Sunset Beach for residents
within the corporate limits. The Town does not actu-
ally provide the lamps, but does pay the electric
bill. A local utility company, Brunswick Electric
Membership Corporation (BEMC), provides all of the
street lamps. Should either or both study areas be
annexed, BEMC would again provide the street lamps,
and the Town would pay the electricity costs.
8. Mosquito Control: With partial assistance from State
grants, the Town provides spraying for mosquito con-
trol during the mosquito season. Spraying would also
be done in both Areas 1 and 2, should they be
annexed.
B. SERVICE PLANS
All of the services described above that are provided by
the Town of Sunset Beach will also be provided to both
Areas 1 and 2, if either or both are annexed by the Town,
according to the need for the particular service.
1. Service Costs: In order to provide the above -
described services to the proposed annexation areas,
16

the Town will have to incur certain costs. Some
costs -will be initial one-time "capital" expenditures
for equipment, such as a new police car and police
equipment. Other costs will be recurring or annual
"operations" costs, i.e., for salaries, services, or
maintenance. These costs are summarized below in
Table 3, with more explanatory details in Tables 4
and 5, which follow:
TABLE 3: Annexation: Services Cost Summary
- AREA 1 - - - - AREA 2 - -
Item
Capital
Annual
Capital
Annual
Water
-0-
-0-
-0-
-0-
Sewer
-0-
-0-
-0-
-0-
Police
$13,325
$19,230
-0-
315
Fire Protection
-0-
-0-
-0-
-0-
Sanitation
-0-
21,623
-0-
100
Street Lighting
-0-
7,200
-0-
-0-
Mosquito Control
-0-
13,800
-0-
'
$ 690
Street Maintenance -0-
6,500
-0-
-0-
Subtotal
$13,325
$68,353
-0-
$1,105
Total
$81,678
$1,105
Source: Town Clerk's Office: Calculations
by
Talbert,
Cox & Associates,
Inc.
17

TABLE 4: Service Requirement Summary and Costs:
AREA 1 - Sea Trail -Sugar Sands
Service
1. Police: One additional full-time
officer plus uniform and
equipment; one additional
patrol car, fully equipped.
Cost: $32,555.00
2. Fire: Same as existing: no addi-
tional cost.
3. Sanitation: Two additional full-time per-
sons, no new equipment; minor
increase in maintenance and
operations cost.
Cost: $21,623.00
4. Water: Same as existing: no addi-
tional costs without paid
tap -on fee.
5. Street New lamps provided by
Lighting: Brunswick Electric Member-
ship.
Annual Electricity Bill:
$7,200.00
6. Street
Maintenance:
7. Mosquito
Control:
TOTAL COST:
Capital:
Total 8.4 additional road
miles of paved streets.
Cost: $6,500.00, estimated
annually.
Spraying twice per day, four
days per week, for 23 weeks
Cost: $13,800.00
$81,678.00
$13,325.00 (police car,
uniform, equipment)
Annual/Opera-
tional: $68,353.00
Source: Town Clerk's office
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TABLE 5: Service Requirement Summary and Costs:
AREA 2 - Oyster Bay
Service
1. Police: No additional personnel or
equipment required; minor
increase in operations.
Cost: $315.00
2. Fire: Same as existing: no addi-
tional cost.
3. Sanitation: No additional personnel or
equipment; minor increase in
operations.
Cost: $100.00
4. Water:
Same as existing: no addi-
tional costs; area is cur-
rently served by Town water.
5. Street No additional cost to Town;
Lighting: streets are private and Town
does not provide lighting for
private streets.
6. Street No additional cost; streets
Maintenance are to remain private.
7. Mosquito Spraying 23 weeks @ $30/week.
Cost: $690.00
TOTAL COST: $1,105.00
Capital: $ -0-
Annual/Operational: $1,105.00
Source: Town Clerk's office
C. REVENUE IMPACT
Should the Town of Sunset Beach proceed with annexation
of either one, or both, of the annexation study areas,
there will be an impact upon the Town's revenues. The
purpose of this section of the report is to present an
assessment of the major revenue sources which might be
affected by the annexations. The single most important
source of revenue from annexation is from ad valorem tax
collections. Also, in Brunswick County, several inter-
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governmental revenue fund sources are based on the muni-
cipalities' -ad valorem base. Among these are intangible
taxes, and sales and use taxes. Other revenues antici-
pated to increase as a result of annexation include
franchise taxes, State street aid (Powell Bill funds),
and mosquito control funds. The information provided in
Table 6, below, is to give some indication of potential
revenues from annexations. Notice Table 6, below:
TABLE 6: Annexation Revenue Impact Assessment
Source
1. Ad Valorem
2. Intangibles
3. Sales and Use
4. Franchise Taxes
5. Tax Refunds
6. State Streets, Aid
7. Mosquito Control
Total
Area 1
$ 35,858
(21,471,731)
595
6,680
2,800
3,744
6,900
Area 2
Total:
Areas 1 & 2
$ 14,520
$50,378
(8,694,660)
241
836
2,705
9,385
1,134
3,934
N/A
3,744
345
- 7,245
$ 56,577 $ 18,945 $75,522
Source: Projections by Talbert, Cox & Associates
As Table 6 depicts, the estimated gross annual revenues
from Area 1 (Sugar Sands -Sea Trail) would be $56,577.00,
and $18,945.00 from Area 2 (Oyster Bay). (Additional
information, i.e., a Revenue Impact Worksheet, is shown
in Appendix 4.)
D. COST VS. REVENUE ASSESSMENT
Since annexations involve both costs and revenue an
(�
indication of the economic feasibility of the decision by
be by
L!
the Town can provided comparing the estimated costs
with the estimated revenues. Table 7, below, presents a
cost/revenue summary, considering the -first -year costs
(including capital expenditures) and annual costs (recur-
ring operational costs only). It should be noted that
0 20

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these are projections based on current circumstances.
j Factors could occur which would necessarily alter these
projections. However, the summary in Table 7 indicates
that Area 2, because of higher revenue potential and
lower service cost, has a higher degree of current
economic and financial feasibility than Area 1.
TABLE
7: Revenue vs. Cost
Summary
Area 1
Area 2
Total
Total
Total
First -Year Cost
First -Year Revenue
$81,678
56,577
$ 1,105
18,945
$82,783
75,522
Cost:
Revenue Difference
(25,101)
17,840
(7,261)
Total
Annual Costs
68,353
1,105
69,458
Total
Annual Revenue
56,577
18,945
75,522
Cost:
Revenue Difference
(11,776)
17,840
6,064
Source: Projections by Talbert, Cox
& Associates, Inc.
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IV. FINANCIAL PLANS -
All of the necessary urban services to be extended to the
study areas, if annexed by Sunset Beach, will be financed by
revenues from the Town's General Fund, and where applicable,
with assistance from intergovernmental revenues. (See
Revenue Worksheet in Appendix 4.)
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V. SUMMARY AND CONCLUSIONS
This report has attempted to present an analysis of the qual-
ifications for annexation under the State statutes for towns
under 5,000 population, when the action is initiated by the
town. Both of the areas under study, i.e., Area 1: Sea
Trail -Sugar Sands, and Area 2: Oyster Bay, have additional
development potential. In Area 1, as Table 1, page 12,
shows, there are 360 vacant lots and tracts, while Area 2 has
20.vacant lots and tracts. With the presence of centralized
water currently available to both areas, continual develop-
ment, i.e., urbanization, is likely. As development con-
tinues, although the tax base will expand, an expansion of
n services will also be required.
U
This report meets all of the basic requirements of N.C. Gen-
eral Statutes 160A-35. However, a detailed description of
L� the metes and bounds of the study areas will need to be pre-
pared and incorporated into the report as an appendix after
the _Town makes a decision on which, if any, area to annex.
The metes and bounds description, which can be verbally des-
cribed, would need to be included in the official "Resolution
of Intent" to annex and in the required Notice of Public
Hearing.
(� Additional information on the actual required "Procedures for
u Annexation," as taken from the General Statutes, is attached
to this report as Appendix 5. —
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APPENDIX 1
0 RESLOUTION # 87.12.7-3
RESOLUTION IDENTIFYING AREA AS BEING
UNDER CONSIDERATION FOR ANNEXATION
a
BE IT RESOLVED by the Town Council of the Town of
Sunset Beach as follows:
0
1. That pursuant to G.S. 160A-37(i), the following
Q described area is hereby identified as being under considera-
tion for future annexation by the Town of Sunset Beach, under
the provisions of Part 2, Article 4A, of Chapter 160A of the
General Statutes of North Carolina:
a"All of that certain area as shown on the map
entitled "Area .Under Consideration for Annexation -
December 7, 1987" filed in the Town Hall of
0 Sunset Beach."
2. That a copy of this Resolution shall be filed
awith the Town Clerk.
Adopted this 7th day of December, 1987.
0 TOWN OF SUNSET BEACH
Q(MUNICIPAL SEAL)
ATTEST:
T6wil Clerk
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BY :
Ma or
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APPENDIX 2
lJ M E M O R A N D U M
TO: Sunset Beach Planning Board
FROM: Ken Weeden, Project Plannerqg
U
DATE: March 17, 1988
SUBJECT: Preliminary Annexation Feasibility Report
0 TCA #1586-701
This is to provide you with a preliminary report on the annexation
P Y Y P
feasibility of the three general areas to which I was directed.
U The feasibility was assessed according to N.C. General Statutes
U 160A-36, "Character of Area to be Annexed," which states, in
part: _
160A-36:
"(a) A municipal governing board may extend the
municipal corporate limits to include any area
(1) Which meets the general standards of sub-
section (b), and which meets the
requirements of subsection (c).
(b) The total area to be annexed must meet the fol-
lowing standards:
G
(1) It must be adjacent or contiguous to the municipality's boundaries at the time the
annexation proceeding is begun.
a (2) At least one eighth of the aggregate exter-
nal boundaries of the area must coincide
with the municipal boundary.
a (3) No part of the area shall be included within
the boundary of another incorporated munici-
pality."
1. No part of Areas 1, 2, or 3 currently lies within the
boundaries of another incorporated municipality.
All three areas are contiguous or adjacent to the
Sunset Beach Town limits for at least one -eighth
(12.5%) of their respective total external
L.t boundaries, as summarized below:
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MEMORANDUM
Page 2
a. Area 1 has a total external boundary of 25,700
LF with 10,700 LF contiguous to the current Town
limits, for a total contiguity of 41.6%. (See
map.)
b. Area 2 has a total external boundary of 17,900 LF
with 10,100 LF contiguous to the current Town
limits, for a total contiguity of 56.4%. (See
Map.) -
C. Area 3 has a total external boundary of 20,400 LF
with 5,700 LF contiguous to the current Town
limits, for a total contiguity of 27.9%. (See
Map.)
North Carolina G.S. 16.OA-36, continued, states:
(c) The area to be annexed must be developed for
urban purposes. An area developed for urban
purposes is defined as any area which is so
developed that at least sixty percent (60%)
of the total number of lots and tracts -in
the area at the time of annexation are used
for residential, commercial, industrial,
institutional or governmental purposes, and
is subdivided into lots and tracts such that
at least sixty percent (60%) of the total
acreage, not counting the acreage used at
the time of annexation for commercial,
industrial, governmental or institutional
purposes, consists of lots and tracts five
acres or less in size." _
1. In accordance with 160A-36(c), above, none of the
three proposed areas qualify as being developed for
urban purposes, as summarized in the table on the
following page:
North Carolina 160A-36, continued, states:
(� "(c) In fixing new municipal boundaries, a muni-
cipal governing board shall, wherever prac-
tical, use natural topographic features such
as ridge lines and streams and creeks as
boundaries, and if a street is used as a
boundary, include within the municipality
land on both sides of the street and such
outside boundary may not extend more than
200 feet beyond the right-of-way of
street." (Revised 1983)
KW/pd
26

AREAS ANNEXATION FEASIBILITY SUMMARY (160A-36c)
Total
Lots/Tracts
Area 1 1,112
Area 2 184
Area 3 229
*Developed and Percent
573 - 51.5%
32 - 17.4%
59 - 25.8%
Minimum
Required
668 (95)
111 (79)
138 (170)
*Lots used for residential, commercial, government, or recreation-
al purposes
This information is based on analysis of the 1986 existing land
use map and consultation with the Sea Trail Corporation. Unless a
substantial number of lots have been developed within the last
year, the Town may have to significantly reduce the area(s) under
study or wait until there is sufficient development for annexa-
tion.
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a2�i& w.
SUNSET BEACH
ANNEXATION FEASIBILITY STUDY: Report No. 2
April 28, 1988
Area I revised: The calculations for
Area 1 have been
revised according to
new data provided by the Town
Hall and
Planning Board,
as follows:
Total
Minimum
Lots/Tracts
*Developed
and Percent
Required
Area 1 1,117
757
67.8%
670 (+87)
Area "A" 937
662
70.7%
562 (+100)
Area "B" 180
95
52.8%
108 (-13)
*Lots used for residential, commercial, government, or recreational purposes
Please note that Areas 2 and 3 remained virtually unchanged. Area 2 has only
three additional developed lots.
28

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APPENDIX 4
REVENUE IMPACT WORKSHEEr
Source
1987
Ad Valorem
Factor
Other
Factors
Area 1
Area 2
Zbtals .
Areas
1 & 2
1. Ad Valorem
$136,865,284
N/A
N/A
$ 35,858
$ 14,520
$50,378
(21,471,731)
(8,694,660)
2. Intangibles
3,790
.0000277
-
595
241
836
3. Sales and Use
42,587
.0003111
-
6,680
2,705
9,385
4. Franchise Taxes
17,847
.0001304
-
2,800
1,134
3,934
5. Tax Refunds
823
N/A
-
--
--
--
6. State Streets, Aid
19,493
N/A
6.50
3,744
N/A
3,744
person
7. Mosquito Control
4,573
N/A
-
6,900
345
7,245
$ 56,577
$ 18,945
$75,522
0 Sources Calculations based on factors provided by the Brunswick County Finance Office
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§ 16OA-37. Procedure for annexation.
(a) Notice of Intent. — Any municipal governing board desiring to annex
O
territory under the provisions of this Part shall first pass a resolution stating
the intent of the municipality to consider annexation. Such resolution shall
describe the boundaries of the area under consideration and fix a date for a
public hearing on the question of annexation, the date for such public hearing
to be not less than 45 days and not more than 90 days following passage of the
resolution.
(b) Notice of Public Hearing. — The notice of public hearing shall:
hearing.
(1) Fix the date, hour and place of the public
(2) Describe clearly the boundaries of the area under consideration, and
include a legible map of the area.
(3) State that the report required in G.S. 160A-35 will be available at the
office of the municipal clerk at least 30 days prior to the date of the
a
public hearing.
Such notice shall be given by publication in a newspaper having general
circulation in the municipality once a week for at least two successive weeks
prior to the date of the hearing. The period from the date of the first publication
to the date of the last publication, both dates inclusive, shall be not less than
eight days including Sundays, and the date of the last publication shall be not
more than seven days preceding the date of public hearing. If there be no such
newspaper, the municipality shall post the notice in at least five public places
be
within the municipality and at least five public places in the area to annexed
30 days to the date hearing. In be
r prior of public addition, notice shall
mailed at least four weeks prior to date of the hearing by first class mail,
postage prepaid to the owners as shown by the tax records of the county of all
freehold interests in real property located within the area to be annexed. The
person or persons mailing such notices shall certify to the governing board that
fact, and such certificate shall become a part of the record of the annexation
proceeding and shall be deemed conclusive in the absence of fraud. If the notice
before hearing,
is returned to the city by the postal service by the tenth day the
a copy of the notice shall be sent by certified mail, return receipt requested, at
least seven days before the hearing. Failure to comply with the mailing
requirement of this subsection shall not invalidate the annexation unless it is
shown that the requirements were not substantially complied with.
If the governing board by resolution finds that the tax records are not
adequate to identify the owners of some or all of the parcels of real property
the it in lieu to those
within area mayy of the mail procedure as parcels where
the owners could not be so identified, post the notice at least 30 days prior to
U
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the date of public hearing on all buildings on such parcels, and in at least five
other places within the area to be annexed. In any case where notices are
placed on property, the person placing the notice shall certify that fact to the
D
governing board.
(c) Action Prior to Hearing. — At least 30 days before the date of the public
hearing, the governing board shall approve the report provided for in G.S.
160A-35, it to the the
and shall make available public at office of the municipal
clerk. In addition, the municipality may prepare at summary of the full report
for
public distribution. In addition, the city shall post in the office of the city
clerk at least 30 days be core Iliv public hcarillg a legible map of the area to be
annexed and a list of the persons holding; fi-vehold interests in property in the
area to be annexed that it has identified.
(d) Public Hearing. — At the public hearing a representative of the
municipality shall first make an explanation of the report required in G.S. 160A-
3.5. Following
such explanation, all persons resident or owning property in the
Q
territory described in the notice o public hearing, and all residents of the
municipality, shall be given ar, opportunity to he heard.
(e) Passage of the Annexation Ordinance. —The municipal governing board
D
shall take into consideration facts presented at the public hearing and shall
have authority to amend the report required by G.S. 160A-35 to make changes
in the for be long
plans serving the area proposed to annexed so as such changes
the G.S. 160A-35. At held
meet requirements of any regular or special meeting
(�
no sooner than the tenth day following the public hearing and not later than
90 days following such hearing, the board shall have
public governing author-
ity to adopt an ordinance extending the corporate limits of the municipality to
include all, or such part, of the area described in the notice of public hearing
D1983
Appendix 5
I-97
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1-98 which meets the requirements of G.S. 160A-36 and which the governing board
has concluded should be annexed. The ordinance shall:
(1) Contain specific findings showing that the area to be annexed meets
the requirements of G.S.160A-36. The external boundaries of the area
to be annexed shall be described by metes and bounds. In showing the
application of G.S.160A-36(c) and (d) to the area, the governing board
may refer to boundaries set forth on a map of the area and incorporate
same by reference as a part of the ordinance.
(2) A statement of the intent of the municipality to provide services to the
area being annexed as set forth in the report required by G.S.
160A-35.
(3) A specific finding that on the effective date of annexation the munic-
ipality will have funds appropriated in sufficient amount to finance
construction of any water and sewer lines found necessary in the
report required by G.S. 160A-35 to extend the basic water and/or
sewer system of the municipality into the area to be annexed, or that
on the effective date of annexation the municipality will have author -
it to issue bonds in an amount sufficient to finance such construction.
Ifyauthority to issue such bonds must be secured from the electorate
of the municipality prior to the effective date of annexation, then the
effective date of annexation shall be no earlier than the day following
the statement of the successful result of the bond election.
(4) Fix the effective date for annexation. The effective date of annexation
may be fixed for any date not less than 40 days nor more than 400 days
from the date of passage of the ordinance.
(f) Effect of Annexation Ordinance. — From and after the effective date of
the annexation ordinance, the territory and its citizens and property shall be
subject to all debts, laws, ordinances and regulations in force in such
municipality and shall be entitled to the same privileges and benefits as other
parts of such municipality. Real and personal property in the newly annexed
territory on the January 1 immediately preceding the beginning of the fiscal year
in which the annexation becomes effective is subject to municipal taxes as
provided in G.S. 160A-58.10. If the effective date of annexation falls between
June 1 and June 30, and the effective date of the privilege license tax ordinance
of the annexing municipality is June 1, then businesses in the area to be annexed
shall be liable for taxes unposed in such ordinance from and after the effective
date of annexation.
igi Simultaneous .-annexation Proceedings. — If a municipality is considering
the annexation of two or more areas which are al: adjacent to the municipal
boundary but are not adjacent to one another. it may undertake simultaneous
proceedings under authority of this Part for the annexation of such areas.
(h) Remedies for Failure to Provide Services. — If, not earlier than one year
from the effective date of annexation, and not later than 15 months from the
effective date of annexation, any person owning property in the annexed
territory shall believe that the municipality has not followed through on its
service plans adopted under the provisions of G.S. 160A-35(3) and 160A-37(e),
such person may apply for a writ of mandamus under the provisions of Article
40, Chapter I of the general Statutes. Relief may be granted by the judge of
superior court
(1) If the municipality has not provided the services set forth in its plan
submitted under the provisions of G.S. 160A-35(3)a on substantially the
same basis and in the same manner as such services were provided
within the rest of the municipality prior to the effective date of
annexation, and
(2) If at the time the writ is sought such services set forth in the plan
submitted under the provisions of G.S. 160A-35(3)a are still being
provided on substantially the same basis and in the same manner as
on the date of annexation of the municipality.
Relief may also be granted by the judge of superior court
(1) If the plans submitted under the provisions of G.S. 160A-35(3)c require
the construction of major trunk water mains and sewer outfall lines and
(2) If contracts for such construction have not yet been let.
If a writ is issued, costs in the action. including a reasonable attorney's fee
for such aggrieved person, -,hall be charged to the municipality.
1983
31

a
(i) (Effective with Respect to All Annexations Where Resolutions of Intent
Are Adopted July 1, 1984.) No intent be
on or after resolution of may adopted
under subsection (a) of this section unless the city council (or a planning agency
created or designated under either G.S. 160A-361 or the charter) has, by resolu-
tion adopted at least one year prior to adoption of the resolution of intent,
identified the area as being under consideration for annexation. The area
described under the resolution of intent may comprise a smaller area than that
identified by the resolution of consideration. The resolution of consideration
may have a metes and bounds description or a map, shall remain effective for
Q
two years after adoption, and shall be filed with the city clerk.
0) (Effective with Respect to All Annexations where Resolutions of Intent
Are Adopted on or after July 1, 1984.) Subsection (i) of this section shall not
apply to the annexation of any area if the resolution of intent describing the
area and the ordinance annexing the area both provide that the effective date
a
of the annexation shall be at least one year from the date of passage of the
annexation ordinance.
§ 160A-37.1. Contract with rural fire department.
(a) If the area to be annexed described in a resolution of intent passed under
G.S. 160A-37(a) includes an area in an insurance district defined under G.S.
153A-233, a rural fire protection district under Article 3A of Chapter 69 of the
a
General Statutes, or a fire service district under Article 16 of Chapter 153A of
the General Statutes, and a rural fire department was on the date of adoption
of the resolution of intent providing fire protection in the area to be annexed,
then the city (if the rural fire department for
Q
makes a written request a good
faith offer, and the request is signed by the chief officer of the fire department
and delivered to the city clerk no later than 15 days before the public hearing)
is required to make a good faith effort to negotiate a five-year contract with the
rural fire department to fire in the area to be
provide protection annexed.
(b) If the area is a rural fire protection district or a fire service district, then
an offer to pay annually for the term of the contract the amount of money that
the tax rate in the district in effect on the date of adoption of the resolution of
intent would generate based on property values on January 1 of each year in
'a
a
the area to be annexed which is in suchdistrict is deemed to be a good faith
offer of consideration for the contract.
(c) If the area is an insurance district but not a rural fire protection district
or fire service district, then an offer to pay annually over the term of the
a
contract the amount of money which is determined to be the equivalent of the
amount which would be generated by multiplying the fraction of the city's
general fund budget in that current fiscal year which is proposed to be
expended for fire protection times the tax rate for the city in the current year,
and multiplying that result by the property valuation in the area to be annexed
which is served by the rural fire department is deemed to be -a good faith offer
Provided
of consideration for the contract; that the payment shall not exceed
the equivalent bf fifteen cents (150 on one hundred dollars ($100.00) valuation
a
of annexed property in the district according to county valuations for the
current fiscal year.
(d) Any offer by a city to a rural fire department which would compensate
the rural fire department for revenue loss directly attributable to the annex-
ation by paying such annually for five years, is deemed to be a good faith offer
of consideration for the contract.
(e) Under subsections (b), (c), or (d) of this section, if the good faith offer is
for first responder service, an offer of one-half the calculated amount under
those subsections is deemed to be a good faith offer.
(f) This section does not obligate the city or rural fire department to enter
into any contract.
(g) The rural fire department may, if it feels that no good faith offer has been
a
made, appeal to the Local Government Commission within 30 days following
the passage of an annexation ordinance. The rural fire department may apply
to the Local Government Commission for an order staying the operation of the
annexation ordinance pending the outcome of the review. The Commission
1983
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1-100 may grant or deny the stay in its discretion upon such terms as it deems proper,
and it may permit annexation of any part of the area described in the ordinance
concerning which no question for review has been raised, provided that no
other appeal under G.S. 160A-38 is pending.
(h) The Local Government Commission may affirm the ordinance, or if the
Local Government Commission finds that no good faith offer has been made,
it shall remand the ordinance to the municipal governing board for further
proceedings, and the ordinance shall then not become effective unless the Local
Government Commission finds that a good faith offer has been made.
(i) Any party to the review under subsection (h) may obtain judicial review
in accordance with Chapter 150A of the General Statutes. .
§ 16OA-37.2. Assumption of debt.
(a) If the city has annexed any area which is served by a rural fire depart-
ment and which is in an insurance district defined under G.S. 153A-233, a
rural fire protection district under Article 3A of Chapter 69 of the General
Statutes or a fire service district under Article 16 of Chapter 153A of the
General Statutes, then upon the effective date of annexation if the city has not
contracted with the rural fire department for fire protection, or when the rural
fire department ceases to provide fire protection under contract, then the city
shall pay annually a proportionate share of any payments due on any debt
(including principal and interest) relating to facilities or equipment of the
rural fire department, if the debt was existing at the time of adoption of the
resolution of intent, with the payments in the same proportion that the as-
sessed valuation of the area of the district annexed bears to the assessed
valuation of the entire district on the date the annexation ordinance becomes
effective.
(b) The city and rural fire department shall jointly present a payment
schedule to the Local Government Commission for approval and no payment
may be made until such schedule is approved.
§ 160A-38. Appeal. — (a) Within 30 days following the passage of an
annexation ordinance under authority of this Part, any person owning property
in the annexed territory who shall believe that he will suffer material injury by
reason of the failure of the municipal governing board to comply with the
procedure set forth in this Part or to meet the requirements set forth in G.S.
160A-36 as they apply to his property may file a petition in the superior court of
the county in which the municipality is located seeking review of the action of
the governing board.
(b) Such petition shall explicitly state what exceptions are taken to the
action of the governing board and what relief the petitioner seeks. Within five
days after the petition is filed with the court,'the person seeking review shall
serve copies of the petition by registered mail, return receipt requested, upon
the municipality.
(c) Within 15 days after receipt of the copy of the petition for review, or
within such additional time as the court may allow, the municipality shall
transmit to the reviewing court
(1) A transcript of the portions of the municipal journal or minute book in
which the procedure for annexation has been set forth and
(2) A copy of the report setting forth the plans for extending services to
the annexed area as required in G.S. 160A-35.
(d) If two or more petitions for review are submitted to the court, the court
may consolidate all such petitions for review at a single hearing, and the
municipality shall be required to submit only one set of minutes and one report
as required in subsection (c).
(e) At any time before or during the review proceeding, any petitioner or
petitioners may apply to the reviewing court for an order staying the operation
of the annexation ordinance pending the outcome of the review. The court may
grant or deny the stay in its discretion upon such terms as it deems proper, and
it may permit annexation of any part of the area described in the ordinance
concerning which no question for review has been raised.
1983
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(f) The court shall fix the date for review of annexation proceedings under I-101
this Chapter, which review date shall preferably be within :30 days following
a
the last day for receiving petitions to the end that review shall be expeditious
and without unnecessary delays. The review shall be conducted by the court
without a jury. The court may hear oral arguments and receive written briefs,
and may take evidence intended to show either
(1) That the statutory procedure was not followed or
(2) That the provisions of G.S. 160A-35 were not met, or
(3) That the provisions of G.S. 160A-36 have not been met.
(g) The court may affirm the action of the governing board without change,
or it may
(1) Remand the ordinance to the municipal governing board for further
proceedings if procedural irregularities are found to have materially
prejudiced the substantive rights of any of the petitioners.
(2) Remand the ordinance to the municipal governing board for
amendment of the boundaries to conform to the provisions of G.S.
160A-36 if it finds that the provisions of G.S. 160A-36 have not been
met; provided, that the court cannot remand the ordinance to the
municipal governing board with directions'to add- area to the
municipality which was not included in the notice of public hearing
and not provided for in plans for service.
(3) Remand the report to the municipal governing hoard for amendment of
the plans for providing services to the end that the provisions of G.S.
160A-35 are satisfied.
If any municipality shall fail to take action in accordance with the ecurt's
instructions upon remand within three months from receipt of such
instructions, the annexation proceeding shall be deemed null and void.
(h) Any party to the review proceedings, including the municipality, may
appeal to the Court of Appeals from the final judgment of the superior court
under rules of procedure applicable in other civil cases. The appealing party may '
apply tothe superior court for a stay in its final determination, or a stay of the
annexation ordinance, whichever shall be appropriate, pending the outcome of
the appeal to the Court of Appeals; provided, that the superior court may, with
the agreement of the municipality, permit annexation to be effective with
respect to any of the area concerning which no appeal is being made and
part
into the
which can be incorporated the city without regard to any part of area
concerning which an appeal is being made.
(i) If part or all of the area annexed under the terms of an annexation
ordinance is the subject of an appeal to the superior court, Court of Appeals or
Supreme Court on the effective date of the ordinance, then the ordinance shall
be deemed amended to make the effective date with respect to such area the date
of the final judgment of the superior court. Court of Appeals or Supreme Court,
whichever is appropriate, or the date the municipal governing board completes
action to make the ordinance conform to the court's instructions in the event of
remand.
a§
160A-39. Annexation recorded. — Whenever the limits of a municipality
are enlarged in accordance with the provisions of this Part, it stall be the duty
of the mayor of the municipality to cause an accurate map of such annexed
territory, together with a copy of the ordinance duly certified, to be recorded in
the uffice of the register of deeds of the county or counties in which such
territory is situated and in the office of the Secretary of State.
§ 160A-40. Authorized expenditures. — Municipalities initiating
annexations under the provisions of this Part are authorized to make
expenditures for surveys required to describe the property under consideration
or for any other purpose necessary to plan for the study and/or annexation of
unincorporated territory adjacent to the municipality. In addition, following
final passage of the annexation ordinance, the annexing municipality shall
have authority to proceed with expenditures for construction of water and
sewer line: and other capital facilities and for any other purpose calculated to
bring services into the annexed area in a more effective and expeditious
manner prior to the effective (Ledo of annexation.
0 34

0
I-102 Definitions. The following
§ 160A-41. — terms where used in this Part
shall have the following meanings, except where the context clearly indicates a
different meaning:
(1) "Contiguous area" shall mean any area which, at the time annexation
procedures are initiated, either abuts directly on the municipal
boundary or is separated from the municipal boundary by a street or
street right-of-way, a creek or river, the right-of-way of a railroad or
other public service corporation, lands owned by the municipality or
some other political subdivision, or lands owned by the State of North
Carolina.
(2) "Used for residential purposes" shall mean any lot or tract five acres or
less in size on which is constructed a habitable dwelling unit.
§ 160A-42. Land estimates. — In determining degree of land subdivision
for purposes of meeting the requirements of G.S. 160A-36, the municipality
shall use methods calculated to provide reasonably accurate results. In
determining whether the standards set forth in G.S. 160A-36 have been met on
appeal to the superior court under G.S. 160A-38, the reviewing court shall
accept the estimates of the municipality:
a
(1) As to total area if the estimate is based on an actual survey, or on
county tax maps or records, or on aerial photographs, or on some
other reasonably reliable map used for official purposes by a
governmental agency unless the petitioners on appeal demonstrate
that such estimates are in error in the amount of five percent (5%) or
more.
(2) As to degree of land subdivision, if the estimates are based on an
actual survey, or on county tax maps or records, or on aerial
a
photographs, or on some other reasonably reliable source, unless the
petitioners on appeal show that such estimates are in error in the
amount of five percent (5%) or more.
H 160A-43, 160A-44: Repealed by Session Laws 1983, c. 636, s. 27, effec-
tive June 29, 1983.
a
Part :3. Annexation by Cities of 5,000 or More.
§ 160A-45. Declaration of policy. — It is herehy declared as a matter of
State policy:
(1) That sound urhan development is essential to the continued economic
development of !north Carolina;
(2) That municipalities are created to provide the governmental services
essential for sound urhan development and for the protection of
health, safety and welfare in areas being intensively used for
a
residential, commercial, industrial, institutional and governmental
purposes or in areas undergoing such development;
(3) That municipal tx)undaries should he extended in accordance wit'
legislative standards applicable throughout the State, to include such
a
areas and to provide the high quality of governmental services needed
therein for the public health, safety and welfare;
(4) That new urban development in and around municipalities having L
population of 5,000 or more persons is more scattered than in and
around smaller municipalities, and that such larger municipalities
have greater difficult• in expanding municipal utility systems anti
other service facilities to serve such scattered development, so that the
legislative standards governing annexation by larger municipalities
must take these facts into account if the objectives set forth in this
section are to he attained;
(5) That areas annexed to municipalities in accordance with such uniform
legislative standards should receive the services pprovided by the
annexing municipality in accordance with G.S. 160A-47(3).
§ 160A-46. Authority to annex. — The governing board of any municipality
having a population of 5,000 or more persons according to the last federal
decennial census may extend the corporate limits of such municipality under
a
the procedure set forth in this Part.
1983
35

411111
row
Nil NO
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IN
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INTRA_C0
ASTAL wAT
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She preparation of this document was �✓
flnaneed in part through a grant
provided by the North Carolina
Coastal Management Program, through
funds provided by the Coastal lone
Management Act of 1972, as amended,
which is add nistared by the Office
of Ocean and Coastal Resource
Management, Motional Oceanic and
Atmospheric Administration.
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