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HomeMy WebLinkAboutErosion Control Study-1979,o 0 0 OCM LIBRARY .. SEa 17 pyj g a 40�7a 0� 40p�C^QDa C3�C^�da a 4 a 4 D �7 JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 • OCM LIBRARY JUL 9 1982 EROSION CONTROL STUDY TOWN OF TOPSAIL BEACH Mayor M. A. Boryk Commissioners W. E. Garrett Bill Godwin Kip Oppegaard M. A. Hargrove W. B. Best Town Clerk Cookie Tilghman July 1979 The preparation of this study was financed in part by 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 administered by the Office of Coastal Zone Management, National Oceanic and Atmospher— ic Administration. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 0 • FOREWORD Due to the rapidly increasing costs of beach protection projects and the reduction in support form State and Federal governments, local governments are searching for new methods of controlling beach erosion and generating revenues at the local level. Because of the public nature of the beach resource and the diversity of users and beneficiaries, equitable allocation of costs becomes difficuly. This study, while not providing any painless solutions, is intended to clarify the issues and evaluate the options available to the Town of Topsail Beach. Grateful appreciation for their assistance and cooperation in the preparation of this sutdy is extended to the following individuals: Cookie Tilgnman--Town Clerk, Spencer Rogers -NC Marine Resources Center, DNR&CD field office staff. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • • • C O N T E N T S 1.0 INTRODUCTION-------------------------------------------------- 1 1.1 Problems and Issues --- 1 1.2 Assumptions and Policies -------- --------------------- 1 1.3 Purpose and Methodology ---------------------------------- 2 2.0 SURVEYS AND INVENTORIES --------------------------------------- 3 2.1 Rates of Erosion ----------------------------------------- 3 2.2 Critical Areas ------------------------------------------- 4 2.3 Estimates of Property Values ---------------------_______ 5 3.0 FINANCING METHODS AVAILABLE TO LOCAL GOVERNMENTS -------------- 6 3.1 General Ad Valorem Taxes --------------------------------- 6 3.2 Special Assessments -------------------------------------- 6 3.3 Municipal Service Districts ------------------------------ 7 3.4 User Fees --- ---------- ---------------- ---------------- --- 8 3.5 Resort Taxes --------------------------------------------- 8 4.0 EVALUATION OF THE ALTERNATIVES ________________________________ g 5.0 COST AND REVENUE PROJECTIONS ---------------------------------- 10 5.1 General Ad Valorem Taxes --------------------------------- 10 5.2 Municipal Service District ------------------------------- 11 Special Assessments ______________________________________ 11 ResortTaxes --------------------------------------------- 12 CONCLUSIONS AND RECOMMENDATIONS ------------------------------------- 12 JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 • 1.0 INTRODUCTION 1.1 PROBLDIS AND ISSUES - In most areas of the country the words "erosion control" brings to mind pastoral settings and hardworking farmers, assisted by the Federal employees from the Soil Conservation Service, trying to retain their valuable topsoil. In coastal North Carolina the same words often evoke emotional debates that often reach a scalding.intensity. At issue are three central questions: First, should the state's beaches be protected; second, how should this protection be afforded; and, third, who should pay for this protection and in what proportions. It would be neither productive nor practical to examine the pros and cons of each of these issues in this plan. Literally, the lives and property of Town residents and visitors depend upon a strong dune and berm system and whether or not protection should be provided is not of issue at the local level. But the methods of protection, raising of revenues and allocation of costs are the most important subjects to be considered in the remainder of this plan. 1.2 ASSUMPTIONS AND POLICIES - To insure agreement on basic issues and eliminate questions outside the scope of this plan, the following assumptions and policies are made: 1) While the causes of erosion - the ocean's wind and waves cannot be stopped - the effects of these processes can be mitigated and corrected. 2) The most effective corrective measures and mitigation methods are those which are ecologically sound, consistent with State and Federal policies, and allocate costs most equitably among the users of the beach. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • i 3) The best method of correcting erosion damage (consistent with the policy in number 2 above) is through renourishment of the berm and dune system. 4) The best methods of mitigating and preventing damage from erosion (consistent with the policy in number 2 above) are land use controls and dune protection and maintenance. 5) The beach is a resource of statewide significance and the value of a healthy protective dune and berm system extends to users throughout the region and state. 6) Because of the uncertain and conflicting policies at the state and Federal level for assistance to local governments and the critical importance of protecting the dune and berm system, every effort must be made at the local level to generate funds for corrective and mitigating measures. 1.3 PURPOSE AND METHODOLOGY - Using the assumptions and policies just outlined, the major purpose of this plan is to recommend local methods for mitigating and correcting the effects of ocean erosion, and for raising local revenues for financing these corrective and mitigating measures. The plan methodology will be to inventory and survey erosion rates, critically eroded areas, property values, and non-resident users (Section 2.0); to analyze and evaluate alternative methods of generating local revenue (Sections 3.0 and 4.0 and 5.0), and to make recommendations based on this evaluation; to evaluate available methods of generating local revenues (Section 3.0). JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • 0 2.0 SURVEYS AND INVENTORIES The following surveys and inventories provide a base for estimating the costs of future erosion control and the potential revenues that may be generated from the alternative financing methods. Despite the extensive research and data gathering on coastal processes that has taken place since the passage of CAMA there is little specific current information on rates of erosion in most areas of the coast, including Topsail Beach. Although the information and data used is considered sufficient for the purposes of this study, the user is advised to exercise some caution and common sense in applying these estimates to other projects. 2.1 RATES OF EROSION - The most widely used source of beach erosion information in North Carolina is A Survey of North Carolina Beach Erosion by Air Photo Methods - 1973)published by NC State University Center for Marine and Coastal Studies. This survey uses aerial photographs over a 34 year time span to estimate average annual rates of change in the high water and dune lines of North Carolina's coast. The results of this survey for the Town of Topsail Beach is shown on the following tables. AVERAGE ANNUAL RATE OF CHANGE IN FEET PER YEAR 1938 to 1972 Dune line 0.1 accretion High water line 1.2 erosion 1966 to 1972 Dune line 4.5 accretion High water line 5.5 accretion JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 3 • • • SELECTED TIME PERIODS Dune Line High Water Line 1960 - 1966 3.7 accretion 1.5 erosion 1956 - 1960 0.9 accretion 2.6 erosion 1949 - 1956 6.2 erosion 0.3 erosion 1938 - 1949 0.6 erosion 4.4 erosion The information in these tables is not compiled so that trends can be easily measured or predicted; however, the general direction of change over the 34 year time span is one of slow erosion. The earlier years were periods of more rapid erosion and this rate slowed or was reversed in more recent times. The net result has been a relatively slow average rate of erosion up until 1972. Although there have been no measurements made since that time, several recent developments indicate that this trend may be changing. During recent storms breakthroughs occurred at several points in the dune system in the southern area of the island near New Topsail Inlet and several piers were either destroyed or severely damaged. Thus it would appear that the rate of erosion, particularly in the southernmost parts of the Town, is increasing and resulting in a definite threat to property. Confirmation of this trend will require comparisons of more recent aerial photos taken since 1972. This update is being conducted by the Fort Fisher Center for Marine Resources. 2.2 CRITICAL AREAS - There is only one area in the Town that is severely threatened at this time - the entire southern tip of the island from JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 4 • • • Smith Avenue to New Topsail Inlet. While the most immediate danger is to oceanfront homes and property, the possibility of a breakthrough in the dune system, as occurred during a recent storm, in the vicinity of Trout and Drum Avenues could result in the formation of a new inlet if connection was made to the canals to the south. This could result in the partial or complete destruction of approximately 70 homes and an additional 100 to 150 lots. Much of this erosion is probably the result of the natural migration of the inlet back to its earlier locations. An aerial photo history and description of the inlets potential range is shown in the Appendices. 2.3 ESTIMATES OF PROPERTY VALUES.- To determine the potential revenues that could be raised through the various financing methods, an inventory and estimate was made of the assessed values in the critical southern area and all of the oceanfront property. The total assessed value of all real property in the Town is $34,032,571 with personal property of $1,844,580. The estimated total value of all taxable oceanfront property is $12,794,863 or about $12,800,000. This figure was derived from the tax records of all properties on South Anderson and a sampling and projection of properties on North Anderson. Thus oceanfront properties account for approximately 38% of the Town's tax base and the revenue generated from advalorem taxes. Within the critical southern area total assessed land value is about $4,210,000 with improvement values of $2,682,000 and personal property of approximately $268,000. This is a total of about $7,160,000 in taxable property, or 20% of the Town's tax base in the critical southern area. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 5 C • 3.0 FINANCING METHODS AVAILABLE TO LOCAL GOVERNMENTS 3.1 GENERAL ADVALOREM TAXES - N.C. General Statutes 160A-491 clearly states that works or improvements which are designed for the control of beach erosion or for protection from hurricane floods and for the preservation of natural features which affords protection to the beaches may be financed by the levy of general advalorem taxes. While general advalorem taxes are the simplest to administer of all methods, they do not distribute the cost burden equitably since non-beachfront property owners must pay at the same rate as beachfront owners who benefit to a far greater extent. However, since all property owners benefit to some extent, this method represents one source for partial financing of renourishment projects. It is particularly important since it allows annual contributions without completion of the project or the commencement of services as required by special assessments or municipal service districts. 3.2 SPECIAL ASSESSMENTS - Section 160A-238 of the North Carolina General Statutes permits a city to make special assessments against benefitted property for the purpose of building or improving beach erosion or flood and hurricane protection works. Assessments may be based on frontage on the project or shoreline, area of land benefitted, or valuation of land (excluding improvements) benefitted. If either area or valuation methods are selected, benefit zones must be established by the Town council according to distance from the shoreline, distance from the project, elevation, and other relevant factors. While this method has the advantage JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 6 • r: of allocating costs directly to the property owner who benefits most, it has several drawbacks. First, since assessments cannot be made until project completion, there is no potential for accumulation to a capital reserve fund. Assessed property owners would probably be faced with a considerable single assessment. Second, only the land value without improvements may be assessed if the area of valuation method is used; thus the most critical contribution to the value of the property (and benefit) goes unassessed. The result is that many residential owners would pay the same rate as commercial owners and vacant lot owners would pay the same as either commercial or residential. Because of these limitations, the special assessment method should be relied upon as a supplement to other revenue raising methods. 3.3 MUNICIPAL SERVICE DISTRICTS.- The authority for the establishment of municipal service districts is set out in Article 23 of the N.C. General Statutes. Section 160A-536 of this Article provides that a city may define a service district to provide services or facilities to a greater extent than provided for the entire city for certain functions. One of these functions is beach erosion control and flood and hurricane protection works. After definition of the district, taxes may be levied in addition to those levied throughout the city to finance the additional services. Prior to adopting the resolution defining the district a report must be prepared containing a map of the district boundaries, a statement showing that the district is in need of the services to a demonstrably greater extent than the remainder of the city, and a plan for providing the services. Although the service district method has limitations for capital JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 7 • • while avoiding the administrative and political problems associated with user fees. However, previous attempts to pass either general or special legislation authorizing all or a few localities to levy such taxes have met with heavy opposition from resort interests as well as political leaders. Other states, such as Florida, permit a 2 percent tax on the rent of hotel and motel rooms and apartment houses as well as on food and beverages sold at retail for consumption on the premises. Such a tax effectively reaches primarily the non-resident and is a viable potential source of revenue which may also be accumulated in a capital reserve account. 4.O EVALUATION OF THE ALTERNATIVES As the preceding section illustrated, there are several methods that local governments may use to raise money at the local level for financing erosion control projects, but no single method will fairly distribute the costs among the various users and beneficiaries of such projects. Local efforts are further limited by the absence of needed legislation at the State level, particularly legislation allowing the imposition of resort taxes. General advalorem taxes require all property owners to contribute at equal rates thus imposing an inequitable burden on non-beachfront owners. Special assessments would impose all costs directly on shorefront owners if a frontage method were used with none of the burden absorbed by interior lot owners who benefit greatly from the protection of a strong dune and berm system. A further drawback is that special assessments cannot be made until project completion thus preventing capital accumulation; JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 9 0 • • accumulation since services must be provided within one year after establishing the district, it is an often overlooked and important method of raising revenues in a more equitable manner than special assessments or general advalorem taxes. This is so since the area to be taxed may extend over a much broader range than possible by special assessments thus distributing the costs more equitably. For example, a municipal service district may include interior lot owners who certainly benefit from renourishment projects but would not be assessed if only the frontage special assessment method was used. Further, service districts have greater potential for revenue raising since both the land and the structures can be taxed. 3.4 USER FEES - User fees are direct charges to users of the beach or other facilities. They are most useful in collecting revenues, and thus distributing costs, among non-resident visitors. While this method is attractive because of its apparent fairness in reaching the non-resident user, it is exceedingly complex and expensive to administer. This complexity and expense combined with the inevitable unfavorable political repercussions remove it from consideration as a feasible alternative for revenue raising. 3.5 RESORT TAXES - Under Section 160A-206 of the North Carolina General Statutes, a city has power to impose only those taxes authorized by act of the General Assembly, and resort taxes are not authorized. The importance of this taxing mechanism is that it is a method requiring a financial contribution for renourishment projects from non-resident users JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 8 • • • furthermore, assessments made on the basis of valuation cannot be made against improvements, which benefit the most from renourishment and projects. Municipal service districts permit greater flexibility than either general advalorem taxes or special assessments since they may be superimposed over any area that is in need of services to a demonstrably greater extent than needed in the remainder of the Town. They also have the potential for capital accumulation since any surplus may be kept in reserve. 5.0 COST AIM REVENUE PROJECTIONS Estimates of the possible levies or assessments that would be required under each of the financing methods requires some estimate of erosion rates and renourishment costs in measurable units. Due to the rapid changes in costs and unpredictable erosion rates, particularly in the southern area of Town, the estimates and projections mainly illustrate the possibilities under each financing method; comparison with actual experience in other areas of the coast indicates them to be reliable for this purpose. These estimating assumptions and calculations are shown in the Appendices. The southern critical area is used as a case example but the same procedures and methods could be applied to any other area that becomes threatened by severe erosion. 5.1 GENERAL ADVALOREM TAXES - Under the proposed fiscal year 1979 - 1980 budget, the total assessed value of taxable property is $36,134,448. At a tax rate of $0.34 per $100 of assessed value and a 95% collection rate, total advalorem taxes raised would be approximately $116,714 or $3,433 ■1 JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 10 • • per penny of valuation. Assuming an additional $0.02 tax per $100 of valuation, $6,866 could be raised for either immediate expenditure or investment in a capital reserve account. 5.2 MUNICIPAL SERVICE DISTRICT - If a municipal service district were superimposed over the entire defined critical area south of Smith Avenue, the approximate total assessed value of all taxable property in this area would be $7,160,000. (see Section 2.3). Each penny of levy would raise $716.00 in revenues (7,160,000 100 X $0.01); thus an additional $0.10 annual tax in this area would result in $7,160 in revenues. All of this revenue could be spent on maintenance or repair of the dune or a portion could be retained for investment in a capital reserve account. SPECIAL ASSESSMENTS - This method cannot be used until after project completion and should be used to absorb the balance of any costs or local share that may be due as matching funds. Benefitted property may be assessed on the basis of frontage, area benefitted, or valuation, without improvement, of land benefitted. The actual assessment against each property will depend upon the method chosen, the total project cost, and the share of the total project cost to be absorbed by this method. Assuming a local share of $100,000 for rebuilding of the dune and berm in the southern area, the total frontage from Smith Avenue to the last platted lot on Ocean Boulevard is 3,500 feet. This would result in a per foot assessment of $28.57 per front foot or $1,428.57 per lot with 50 feet of ocean frontage. If the valuation method were used there would be approximately $910,000 of land value to be assessed in this area. This JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 11 • • • would require an assessment of $10.99 per $100 of assessed valuation ($100,000 T 9100 = $10.99). Thus for a lot with $20,000 of tax value, the assessment would be $2,197.80 (20,000 : 100 X $10.99 = $2,197.80). RESORT TAXES - Although no general legislation currently exists that permits beach communities to levy a resort tax, the possibility of special legisla- tion for particular localities exists. Assuming taxable retail sales or rentals of $1,000,000 and the recommended 2% tax (see Appendices for sample ordinance), $10,000 in revenues would be realized with no additional tax burden on local property owners. Assuming the $100,000 required by the local government resort tax revenues could provide up to 10% of the total cost in any one year and the entire cost over a ten year period. CONCLUSIONS AND RECOMMENDATIONS Because of the high cost of beach renourishment projects and the reluctance at state and Federal levels to provide financial assistance, the Town of Topsail Beach, and other local governments, must develop maintenance and financing programs of their own. However, equitable distribution.of costs among the several users and beneficiaries of such projects is difficult, if not impossible under existing state enabling legislation, thus a fair allocation requires the use of several methods and the passage of required legislation by the General Assembly. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 12 0 0 U RECOMMENDATIONS 1) A municipal service district should be established in the critical southern area of the Town encompassing all of the area from Smith Avenue south to the inlet. Within this area an additional tax of no less than $0.10 per $100 of tax value should be levied to provide maintenance services to the districts dune and berm system. The boundaries of this area are shown on the Proposed Municipal Service District Map in the Appendices. 2) An additional $0.02 should be added to the Town's general ad valorem tax rate to provide funding for a Capital Reserve Fund (see Appendices for enabling legislation for Capital Reserve Funds). 3) The vegetation maintenance plan should be followed over the entire dune and berm system (the vegetation maintenance plan is included in the Appendices). 4) At the next session of the N.C. General Assembly, legislation should be introduced enabling the Town of Topsail Beach to enact a tax on resort related facilities and services (sample legislation is included in the Appendices). 5) The Town should request from the Army Corps of Engineers and other appropriate authorities that a benefit cost analysis be conducted of the feasibility of constructing a navigational jetty on the southern end of the island. 6) The Town should seek enabling legislation from the North Carolina General Assembly to enact a resort tax ordinance similar to the one included in the Appendices. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC Page 13 APPENDICES SUGGESTED RESORT TAX ORDINANCE FOR THE TOWN OF TOPSAIL BEACH LEGISLATIVE REFERENCES INLET HAZARD AREA RECOMMENDATIONS - NEW TOPSAIL INLET MIGRATION HISTORY OF NEW TOPSAIL INLET DUNE MAINTENANCE MANUAL COST ESTIMATES OF RENOURISHMENT PROJECTS PROPOSED MUNICIPAL SERVICE DISTRICT JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC INLET HAZARD AREA RECOMMENDATIONS Photographs used: 27 NEW TOPSAIL INLET Typical grid is # 13 and 14 NOTES: Navigable channel maintained by dredging, no major stabilization. Data since 1938 suggests a cubic southward movement; however, closer examination by means of triangulation station descriptions since 1914 reveals this apparent cubic trend to be a part of either a quartic or higher order function or a com- plex function consisting of a cyclic trancendental superimposed on another func- tion. In any case, the result is a series of periods of rapid movement followed by periods of little or no movement (-1000 / 1914; 1800 / 1933; 2300 / 1948; 3900 / 1958; 5200/1977 ). Total southward movement 1938-1977: 3200 feet. LEFT SIDE Undeveloped, no land access, moderate development potential. Complex movement makes normally used regression methods questionable. Recommended line as shown on map. i' RIGHT SIDE Medium development, high develop- ment potential. Minor groin and dune stabilization on ocean shoreline near inlet. Long feeder channel to the north would seem to make a breakthrough in that direction likely. Finger channels in banks at 2000 create a vulnerable area. Ridge data indicates northern terri- tory to be -3400. Complex movement and above con- ditions make normally used regres- sion methods questionable. Recommended line as shown on map. feet 90 00 8000 7000 6000 5000 4000 3000 2000 1000 0 • ob •,' C ? w NEW TOPSAIL INLET Typical movement (# 1 3) year N. 1949 1956 1966 - - . ,.r�^."+r.� ra.=w. two,. we �,.'++►.. - Air 2. APPROXIMATE SCALE �' = 3333 NEW TOPSAIL INLET �^t 1972 SUGGESTED RESORT TAX rRDINANCE FOR THE TowN of TOPSAIL BEACH AN ORDINANCE IMPOSING A RESORT TAX ON OCCUPANCY OF HOTEL ROOMS, AND APARTMENT HOUSES AND ON THE SALE OF ALCOHOLIC BEVERAGES, FOOD AND BEVERAGES WHEN SOLD FOR CONSUMPTION ON THE PREMISES, AND PROVIDING FOR THE COLLECTION THEREOF. Section 1: This ordinance shall be known as the Topsail Beach Resort Tax. Section 2: When used in this ordinance, the following terms shall mean n or include: a. "Person" - An individual, partnershp, society, association, joint stock company, corporation, estate receiver, trustee, assignee, referee, or any other person acting in a fiduciary or representative capacity, whether appointed by a court or otherwise and any combina- tion of individuals. • b. "Operator" - Any person operating a hotel, motel, apartment house, or restaurant serving food for consumption on the premises, and any premises licensed by the Town of Topsail Beach to sell bever- ages, beer, intoxicating liquors, wine for consumption on the premises in the Town of Topsail Beach including, but not limited to, the owner or proprietor of such premises, lessee, sub -lessee, mortgagee in possession, licensee or any other person otherwise operating such hotel, motel, apartment house, restaurant serving food for consumption on the premises, and any premises licensed by the Town of Beach to sell beverages, intoxicating liquors or wine for consumption on the premises. c. "Occupant" - A person who, for a consideration, uses, possesses or has -the right to use or possess any room or rooms in a hotel, motel or apartment house, under any lease, concession, permit, right of access, license to use or other agreement, or otherwise. d. "Guest" - Any person purchasing food, beverages, beer, intoxicating liquors, or wine for consumption on the premises of any restaurant, or premises licensed for the sale of beverages, intoxicating liquors, wine or beer. e. "Occupancy" - The use or possession, or the right to the use or possession of any room or rooms in a hotel, motel or apartment house, or the right to the use or possession of the furnishings or to • the services and accommodations accompanying the use and possession of. the said room or rooms. f. "Hotels and Motels" - Every building or other structure kept, used, maintained, advertised as or held out to the public to be a place where sleeping accommodations are supplied for pay to transient • or permanent guests or tenants, whether or not there be in connection with any of the same, any dining rooms, cafes or other places where meals or lunches are sold or served to guests. g. "Apartment House" - Any building or part thereof, where separate accommodations for four (4) or more families living independ- ently of each other are supplied to transient or permanent guests or tenants. h. "Room" - Any room or rooms of any kind, in any part or portion of a hotel, motel or apartment house which is available for or let out for use or possession for any purpose other than a place of public assembly. i. "Rent" - The consideration received for occupancy valued in money, whether received in money or otherwise, including all receipts, cash, credits and property or services of any kind or nature, and also any amount for which credit is allowed by the operator to the occupant, without any deduction therefrom whatsoever. j. "Sales Price" - The term "sales price" shall mean the retail sales price charged by the operator to a guest, consumer or to any person for each sale of food, beverages, intoxicating liquors or wine sold for consumption on the premises. k. "Return" - Any return filed or required to be filed as herein provided. 1. "Finance Director" — Means the Finance Director of the Town or his authorized Deputy. m. "Restaurant" - Any business or place for the serving of food or refreshments required by law to be licensed by the State of North Carolina or any premises licensed by the Town for the sale of intoxicat- ing liquor or wine. Section 3: IMPOSITION OF TAX: There is hereby levied and there shall be pa�tax of two percent 2a on the rent of every occupancy of a room or rooms in any hotel, motel or apartment house in the Town, and also upon the total sales price of all items of food, beverages, alcoholic beverages or wine or beer sold at retail for consumption on the premises of any restaurant as herein defined. Said tax shall constitute a debt owed by the occupant or guest to the Town which is extinguished only by payment to the operator or to the Town. The occupant or guest shall pay the tax to the operator of the hotel, motel, apartment house or restaurant at the time the rent or the sales price is paid. If the rent is paid in installments, a proportionate share of the tax shall be paid with each installment. The unpaid tax shall be due upon the occupant's ceasing to occupy space in the hotel, motel or apartment house. -L- Section 4: EXEMPTIONS: fir, tax shall be imposed upon: (a) Federal, state or governments, or any agency thereof. (b) Any non-profit religious, non-profit educational or non -profit -charitable institutions when engaged in carrying on the customary non-profit religious, non-profit educational or non-profit charitable activities. (c) No tax shall be paid on any transaction involving rent or sales price of less than fifty (61C) cents, nor on any rents collected under a written lease for a period longer than six (6) consecutive months. Section 5: OPERATOR'S DUTIES: Each operator shall collect the tax imposed bythis ordinance to t e same extent and at the same time as the rent or sales price is collected from every occupant or guest. No operator shall advertise or state in any manner, whether directly or indirectly, that the tax or any part thereof will be assumed or absorbed by the operator, or that it will not be added to the rent or sales price, or that if added, any part will be refunded except in the manner hereinafter provided. Section 6: REGISTRATION: Within 30 days after the effective date of this ordinance, or wit in 30 days after commencing business, whichever is later, each operator of any hotel, motel, apartment house or restaurant shall register said hotel, motel, apartment house or restaurant with the Town Finance Director and obtain from him a "Resort Tax Registration Certificate" to be at all times posted in a conspicuous place on the pre- mises. Said Certificate shall, among other things, state the following: (a) The name of the operator; (b) The address of the hotel, motel, apartment house or restaurant; (c) The date upon which the certificate was issued; (d) "This 'Resort Tax Registration Certificate' signifies the person named on the face hereof has fulfilled the require- ments of the Resort Tax Ordinance by registering with the Finance Director for the purpose of collecting from occupants or guests the Resort Tax and remitting said tax to the Finance Director. This certificate does not authorize any person to conduct any unlawful business in an unlawful manner, nor to operate a hotel, motel, apartment house or restaurant without strictly complying with all local applicable laws, including but not limited to those requiring a permit from any board, commission, department, or office of this Town. This certi- ficate does not constitute a permit." • This Registration Certificate shall not be assignable or trans- ferable and each new operator shall be required to'obtain a new Registration Certificate. -3- • Section 7: REPORTING AND REMITTING: Each operator shall, on or before the ast day of t e mont fo owing the close of each calendar month or at the close of any longer reporting period which may be established by the Finance Director make a return to the Finance Director on forms provided by the Finance Director, of the total rents or sales prices charged and received and the amount of tax collected. At the time the return is filed, the full amount of the tax collected shall be remitted to the Finance Director. The Finance Director may establish shorter reporting periods for any certificate holder if he deems it necessary in order to insure collection of the tax and he may require further information on the return. Returns and payments are due immediately upon cessation of business for any reason. All taxes collected by operators pursuant to the ordinance shall be held in trust for the account of the Town until payment thereof is made to the Finance Director. Section 8: PENALTIES AND INTEREST: (a) Original Delinquency: Any operator who fails to remit any tax imposed by this ordinance within the time required shall pay a penalty of 10 per cent of the amount of the tax in addition to the amount of the tax. (b) Continued Delinquency: Any operator who fails to remit the said tax on or before the thirtieth day following the date on which the tax • first became delinquent shall pay a second delinquency penalty of 10 per cent of the amount of the tax in addition to the amount of the tax and the 10 per cent perzlty first imposed. (c) Fraud: If the Finance Director determines that the nonpayment of any tax due under this ordinance is due to fraud, a penalty of 25 per cent of the amount of the tax shall be added thereto in addition to the penalties stated in subparagraphs (a) and (b) of this ection. (d) Interest: In addition to the penalties imposed, any operator who fails to remit any tax imposed by this ordinance shall pay interest at the rate of one-half of one per cent per month, or fraction thereof, on the amount of the tax, exclusive of penalties, from the date on which the tax first became delinquent until paid. (e) Penalties Merged with Tax: Every penalty imposed and such such interest as accrues under the provisions of this section shall become a part of the tax herein required to be paid. Section 9: FAILURE TO COLLECT AND REPORT TAX: DETERMINATION OF TAX BY FINANCE DIRECTOR: If any operator shall fai or refuse to cc ect said tax an to ma e, within the time provided in this ordinance, any report and payment of said tax or any portion thereof required by this ordinance, the Finance Director shall proceed in such a manner as he may deem best to obtain facts and information on which to base his estimate of the tax due. As soon as the Finance Director shall procure such facts and information as he is able to obtain upon which to base the assessment of any tax imposed by this ordinance and payable by any operator who has filed or refused to collect the same and to make such report and payment, he shall proceed to determine -4- and assess against such operator the tax, interest and penalties provided • for by this ordinance. In case., such determination is made., the Finance Director shall give a notice of the amount so assessed by serving it per- sonally or by depositing it in the United States mail, postage prepaid, addressed to the operator so assessed at his last known address. Such operator may within 10 days after the serving or mailing of such notice make application in writing to the Finance Director for a hearing on the amount assessed. If application by the operator for a hearing is not made within the time prescribed, the tax, interest and penalties, if any, determined by the Finance Director shall become final and conclusive and immediately due and payable. If such application is made, the Finance Director shall give not less than 5 days' written notice in the m nnFr prescribed herein to the operator to show cause at a time and place fixed in such notice why said amount specified therein should not be fixed for such tax, interest and penal- ties. At such hearing, the operator may appear and offer evidence why such specified tax, interest and penalties should not be so fixed. After such hearing the Finance Director shall determine the proper tax to be remitted and shall thereafter give written notice to the person in the manner pre- scribed herein of such determination and the amount of such tax, interest and penalties. The amount determined to be due shall be payable after 15 days unless an appeal is taken as provided in Section 10. The Finance Director may charge a reasonable fee for obtaining information which requires the ascertainment of amounts of any tax collected by the operator, or any pro -rations and any expenses entailed by the Finance Director in determining the pro -rations of any amount collected or due upon • any transfer. Section 10: APPEAL: Any operator aggrieved by any decision of the Finance Director wlvt�i respect to the amount of such tax, interest and penalties, if any, may appeal to the Finance Director by filing a notice of appeal with the Finance Director within 15 days of the serving or mailing of the determination of tax due. The Finance Director shall fix a time and place for hearing such appeal and the Finance Director shall give notice in writing to such operator at his last known address. The findings of the Finance Director shall be final and conclusive and shall be served upon the appellant in the manner prescribed above for service of notice of hearing. Any amount found to be due shall be immediately due and payable upon the service of notice. Section 11: RECORDS: It shall be the duty of every operator to keep all records as may-Fee necessary to determine the amount of tax due hereunder and shall preserve the same for a period of 3 years. The Finance Director shall have the right to inspect such records at all reasonable times. Section 12: REFUNDS: (a) Whenever the amount of any tax, interest or penalty has been overpaid or paid more than once, or has been erroneously or illegally collected or received by the Town under this ordinance, it may be refunded as provided in sub -paragraphs (b) and (c) of this section provided a claim • in writing therefor, stating under penalty of perjury the specific grounds upon which the claim is founded, is filed with the Finance Director within -5- • 3 years of the date of payment. The claim shall be on forms furnished by Finance Director. (b) An operator may claim a refund or take as credit against taxes collected and remitted the amount overpaid, paid more than once, or erroneously or illegally collected or received when it is established in a manner prescribed by the Finance Director that the person from whom the tax has been collected was not an occupant or guest; provided, however, that neither a refund nor a credit shall be allowed unless the amount of the tax so collected has either been refunded to the occupant or guest credited to rent subsequently payable by the occupant or guest to the operator. (c) An occupant or guest may obtain a refund of taxes overpaid, paid more than once, or erroneously or illegally collected or received by the Town by filing a claim in the manner provided in subparagraph (a) of this section, but only when the tax was paid by the occupant or guest directly to the Finance Director, or when the occupant or guest having paid the tax to the operator, establishes to the satisfaction of the Finance Director that the occupant or guest has been unable to obtain a refund from the operator who collected the tax. unless the claimant refund imantestablishes hispright aid nthereto der the byowritten recordvisions of s section entitlement thereto. s showing Section 13: OPERATOR'S CREDIT FOR COLLECTING TAX: For the purpose of compensating the operator as compensation for t e eeping of prescribed records and the proper accounting and remitting of taxes by him, such operator shall be allowed 2% of the amount due and accounted for and remitted to the Town in the form of a deduction in submitting his report and paying the amount due by him, and the Finance Director shall allow the said deduction of 2% of the amount of the tax to the person paying the same for remitting the tax in the manner herein provided and for paying the amount due to be paid by him; provided, however that the 2% allowance shall not be granted nor shall any deduction be permitted where the tax is delinquent at the time of payment or where there is a manifest failure to maintain proper records or make proper prescribed reports. Section 14: ACTIONS TO COLLECT: Any tax required to be paid by any occupant or guest under the provisions of this ordinance shall be deemed a debt owed by the occupant or guest to the Town. Any such tax collected by an operator which has not been paid to the Town shall be deemed a debt owed by the operator to the Town. Any person owing money to the Town under the provisions of this ordinance shall be liable to an action brought in the name of the Town of Wrightsville Beach for the recovery of such amount. Section 15: VIOLATIONS: PENALTIES: Any person, firm or corporation who shall violate or fail to comply— w th any of the provisions of this ordinance shall be punished by a fine of not more than $500.00, or be im- prisoned in the County Jail for not more than sixty (60) days, or both, in the discretion of the Court. violation. Each day such violation shall exist shall constitute a separate 10 Any operator or other person who fails or refuses to register • as required herein or to furnish any return required to be made, or who fails or refuses to furnish a supplemental return or other data required by the Finance Director, or who renders a false or fraudulent return or claim, shall be guilty of a violation of this ordinance and shall be punishable as aforesaid. Any person required to make, render, sign or verify any report or claim who makes any false or fraudulent report or claim with intent to defeat or evade the determination of any amount due required by this ordinance to be made, shall be guilty of a violation of this ordinance and shall be punishable as aforesaid. Section 16: SEVERABILITY: If any section, subsection, sentence, clause or phrase of t is ordinance is for any reason held to be invalid or unconstitutional by any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The Town hereby declares that it would have passed this ordinance and each section, subsection, sentence, clause and phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases hereof be declared invalid or unconstitutional. Section 17: TAXES CONSTITUTE SPECIAL FUND: The total receipts from the tax ere y impose and levied-shalle ept and maintained in a separate fund and shall in no event be transferred to the General Fund, and that the said fund shall be used for the restoration, renourishment, maintenance, and protection of the beach, dune and berm system and such other related costs associated with the protection of public or private property from the effects of wind, erosion, storm, or hurricane damage. Section 18: CONFLICTING ORDINANCES: That all ordinances or parts of ordinances in conflict herewith, b—e--an-U-We same are, hereby repealed. LEGISLITIuF PEFER.FIICFS Part 2. Capital Reserve Funds. § 1.59-18. Capital reserve funds. --Any local ic authority' may establish and maintain a capital lreserve(�fund for any purvernment or poses Cor which it may issue bonds. A capital reserve fund shall be established by resolution or ordinance of the governing board which shall state (i) the purposes for which the fund is created, (ii) the approximate periods of time during which the moneys are to be accumulated for each purpose, (iii) the approximate amounts to he accumulated for each purpose, and (iv) the sources from which moneys for each purpose will be derived. (1943, c. 593, ss. 3, 5. 1957, r. 863. s. 1: 1967, c. 1189: 1971, c. 780. s. 1.) § 159-19. Amendments. — The resolution or ordinance may be amended from time to time in the same manner in which it was adopted. Amendments may. among other provisions, authorize the use of moneys accumulated or to be accumulated in the fund for capital outlay purposes not originally stated. (19.1:3. C. 593. s. 7; 196'7, c. 1189; 1971. c. 790. s. 1; 197:1, c. 474, s. 14.) • § 159-20. Funding capital reserve funds. — Capital reserve funds may be funded by appropriations from any other fund consistent with the limitations imposed in G.S. 1.59-13(b). When moneys or investment securities, the use of which is restricted by law, come into a capital reserve fund, the identity of such moneys or investment securities shall he maintained by appropriate accounting entries. (1943, c. 593, s. 4; 1945, c. 464, s. 2; 1957, C. 863, s. 1; 1967, c. 1189: 1971, c. 780, s. 1; 1973, c. 474, s. 15.) § 160A-238. Authority to make assessments for beach erosion control and flood and hurricane protection works. -- A city may make special assessments, according to the procedures of this Article, against benefited property within the city for all or part of the costs of acquiring, constructing, reconstructing, extending, or otherwise building or improving beach erosion control or flood and hurricane protection works. Assessments for these projects may be made on the basis of: (1) The frontage abutting on the project, at an equal rate per foot of frontage; or (2) The frontage abutting on a beach or shoreline protected or benefited by the project, at an equal rate per foot of frontage; or (3) The area of land benefited by the project, at an equal rate per unit of area; or (4) The valuation of land benefited by the project, -being the value of the land without improvements as shown on the tax records of the county, at an equal rate per dollar of valuation; or (5) A combination of two or more of these bases. Whenever the basis selected for assessment is either area or valuation, the council shall provide for the laying out of one or more benefit zones according to the distance from the shoreline, the distance from the project, the elevation of the land, or other relevant factors. If more than one benefit zone is • established, the council shall establish differing rates of assessment to apply uniformly throughou t each benefit zone. (1973, c. 82LI, s. 7.) 160A-491. Powers in connection with beach erosion. —[All cities shall • have the power[ to levy taxes and appropriate tax or nontax funds for the acquisition, construction, reconstruction, extension, maintenance, improvement, or enlargement of groins, jetties, dikes, moles, walls, sand dunes, vegetation, or other types of works or improvements which are designed for the control of beach erosion or for protection from hurricane floods and for the preservation or restoration of facilities or natural features which afford protection to the beaches or other land areas of the municipalities or to the life and property thereon. (1971, c. 896, s. 5; c. 1159, s. 2.) AHTICI.F. !). Taxation. § 160A-206. General power to impose taxes. —A city shall have power to impose taxes only as specifically authorized by act of the General Assembly. Except when the statute authorizing a tax provides for penalties and interest, the power to impose a tax shall include the power to impose reasonable penalties for failure to declare tax liability, if required, or to impose penalties or interest for failure to pay taxes lawfully due within the time prescribed by law or ordinance. The power to impose a tax shall also include the power to provide for its administration in a manner not inconsistent with the statute authorizing the tax. (1971, c. 698, s. 1.) A wnctz 23. • Municipal Service districts. § 160A-05. Title; effective date. — This Article may be cited as "The Municipal Service District Act of 1973," and is enacted pursuant to Article V, Sec. 2(4) of the Constitution of North Carolina, effective July 1, 1973. (1973, c. 655, s. 1.) § 160A-536. Purposes for which districts may be established. — The city council of any city may define any number of service districts in order to finance, provide, or maintain for the districts one or more of the following services, facilities, or functions in addition to or to a greater extent than those financed, provided or maintained for the entire city: QJ Beach erosion control and flood and hurricane protection works; (2) Downtown revitalization projects; (3) Drainage projects; and (4) Off-street parking facilities. As used in this section "downtown revitalization projects" include by way of illustration but not limitation improvements to water mains, sanitary sewer mains, storm sewer mains, electric power distribution lines, gas mains, street lighting, streets and sidewalks, including rights-of-wa,y and casements therefor, the construction of pedestrian malls, bicycle paths, overhead pedestrian walk- ways, sidewalk canopies, and parking facilities loth on -street and off-street, and other improvements intended to relieve traffic congestion in the central city, improve pedestrian and vehicular access thereto, reduce the incidence of crime therein, and generally to further the public health, safety, welfare, and convenience by promoting the economic health of the central city or downtown area. Exercise of the authority granted by this Article to undertake downtown revitalization projects financed by a municipal service district shall not prejudice the city's authority to undertake urban renewal projects in the same area. (1973, c. 655, s. 1.) • § 160A-637. Definition of service districts. — (a) Standards. — The city council of any city %,av by resolution define a service district upon finding that a proposed district is In need of one or more of the services, facilities, or functions listed in G.S. 160A-536 to a demonstrably greater extent than the remainder of the city. § 160A-539. Consolidation of service districts. — (a) The city council may by resolution consolidate two or more service districts upon finding that: (1) The districts are contiguous or are in a continuous boundary; and • (2) The services provided in each of the districts are substantially the. same; or (3) If the services provided are lower for one of the districts, there is a need to increase those services for that district to the level of that enjoyed by the other districts. (b) Report. — Before the public hearing required by subsection (c), the city council shall cause to be prepared a report containing: (1) A map of the districts to be consolidated; (2) A statement showing the proposed consolidation meets the standards of subsection (a); and (3) If necessary, a plan for increasing the services for one or more of the districts so that they are substantially the same throughout the consolidated district. The report shall be available in the office of the city clerk for at least two weeks before the public hearing (c) Hearing and Notice. —The city council shall hold a public hearing before adopting any resolution consollilating service districts. Notice of the hearing shall state the date, hour, and place of the hearing and its subject, and shall include a statement that the report required by subsection (b) is available for inspection in the office of the city clerk. The notice shall be published at least once not less than one week before the date of the hearing. In addition, the notice shall be mailed at least four weeks before the hearing to the owners as shown by the county tax records as of the preceding January 1 of all property located within the consolidated district. The person designated by the council to mail the notice shall certify to the council that the mailing has been completed, and his certificate shall be conclusive in the absence of fraud. (d) Effective Date. — The consolidation of service districts shall take effect at the beginning of a fiscal year commencing after passage of the resolution of consolidation, as determined by the council. (1973, c. 655, s. 1.) • 4 160A-640. Required provision or maintenance of services. — (a) New District. — When a city defines a new service district, it shall provide, maintain, or let contracts for the services for which the residents of the district are being taxed within a reasonable time, not to exceed one year, after the effective date of the definition of the district. (h) Extended District. — When a city annexes territory for a service district, it shall provide, maintain, or let contracts for the services provided or maintained throughout the district to the residents of the area annexed to the district within a reasonable time, not to exceed one year, after the effective date of the annexation. (c) Consolidated District. — When a city consolidates two or more service districts, one of which has had provided or maintained a lower level of services, it shall increase the services within that district (or let contracts therefor) to a level comparable to those provided or maintained elsewhere in the consolidated district within a reasonable time, not to exceed one year, after the effective date of the consolidation. (1973, c. 655, s. 1.) § 160A-541. Abolition of service districts. — Upon finding that there is no longer a need for a particular service district, the city council may by resolution abolish that district. The council shall hold a public hearing before adopting a resolution abolishing a district. Notice of the hearing shall state the date, hour and place of the hearing, and its subject, and shall be published at least once not less than one week before the date of the hearing. The abolition of any service district shall take effect at the end of a fiscal year following passage of the resolution, as determined by the council. (1973, c. 655, s. 1.) § 160A-34t Taxes aatborised; rate limitation. — A city may levy Property taxes within defined service districts in addition to those levied • throughout the city, in order to finance, provide or maintain for the district services provided therein in addition to or to a greater extent than those financed, provided or maintained for the entire city. In addition, a city may allocate to a service district any other revenues whose use is not otherwise restricted by law. (b) Report. —Before the public hearing required by subsection (c), the city council shall cause to be prepared a report containing: • ( A map of the proposed district, showing its proposed boundaries; (y A statement showing that the proposed district meets the standards set out in subsection (a); and (3) A lan_for providing in the district one or more of the services listed in G.S. 16OA-536. The report shall be available for public inspection in the offic^ of the city clerk for at least four weeks before the date of the public hearing. (c) Hearing and Notice. — The city council shall hold a public hearing before adopting any resolution defining a new servic^ district under this section. Notice of the hearing shall state the date, hour, and place of the hearing and its subject, and shall include a map of the proposed district and a statement that the report required by subsection (h) is available for public inspection in the office of the city clerk. The notice shall be published at least once not less than one week before the date of the hearing. In additoln, it shall be mailed by first-class mail at least four weeks before the date of the hearing to the owners as shown by the county tax records as of the preceding January 1 (and at the address shown thereon) of all property located within the proposed district. The person designated by the council to mail the notice shall certify to the council that the mailing has been completed and his certificate is conclusive in the absence of fraud. (d) Effective Date. — The resolution defining a service district shall take effect at the beginning of a fiscal year commencing after its passage, as determined by the city council. (1973, c. 655, s. 1.) § 160A-638. Extension of service districts. — (a) Standards. — The city council may by resolution annex territory to any service district upon finding that: (1) The area to be annexed is contiguous to the district, with at least one eighth of the area's aggregate external boundary coincident with the existing boundary of the district; • (2) That the area to be annexed requires the services of the district. (h) Annexation by Petition. -- The city council may also by resolution extend by annexation the boundaries of any service district when one hundred percent (100%) of the real property owners of the area to be annexed have petitioned the council for annexation to the service district. (c) Report. — Before the public hearing required by subsection (d), the council shall cause to be prepared a report containing: (1) A map of the service district and the adjacent territory, showing the present and proposed boundaries of the district; (2) A statement showing that the area to be annexed meets the standards and requirements of subsections (a) or (b); and (3) A plan for extending services to the area to be annexed. The report shall be available fur public inspection in the office of the city clerk for at least two weeks before the date of the public hearing. (d) Hearing and Notice. — The council shall hold a public hearing before adopting any resolution extending the boundaries of a service district. Notice of the hearing shall state the date, hour and place of the hearing and its subject, and shall include a statement that the report required by subsection (c) is available for inspection in the office of the city clerk. The notice shall be published at least once not less than one week before the date of the hearing. In addition, the notice shall be mailed at least four weeks before the date of the hearing to the owners as shown by the county tax records as of the preceding January 1 of all property located within the area to be annexed. The person designated by the council to mail the notice shall certify to the council that the mailing has been completed, and his certificate shall be conclusive in the absence of fraud. (e) Effective Date. - The resolution extending the boundaries of the district shall take effect at the beginning of a fiscal year commencing after its passage, as determined by the council. (1973, c. 655, s. 1.) • Property subject to tax ation in 3 annexed to an existingdistrict is thasubject to taxation b newly established district or in an area Preceding January 1, J ' ProPert taxes ma Y the city as of the y not be levied within any district established pursuant to this Artie a in excess of a rate on each one hundred dollar (glpp �l Property subject to taxation which, when added to the rate levied city wide fo Purposes sub" value of Jett to the rate limitation, would exceed the rate limitation established in G,S,.160A_ r limitation is submitted to and that potion of the rate in excess of this residing within the district.-Anypproved referendum held of the shall be held and conducted as y a ma orit - qualified voters Article does not impair the authoritypursuant to this paragraph provided in G.S. 160A-2U9. assessments pursuant to Article 10 of this Chapter for works authorized h G'S• 16OA-491, and may be used in addition to that authority.,, , s. 1.) . ) 11973, c. F55, s. 1. j • 0 • • ESTIMATING ASSUMPTIONS In order to make a useful estimate of the possible levy or assessment that would be required under each of the methods previously discussed, some estimates must be made of erosion rates and the costs of renourishment. Due to the rapid changes in costs and the unpredictable erosion rates, particularly in the southern part of the Town, the estimating assumptions are useful mainly to illustrate the possibilities under each financing mechanism. However, the following rules of thumb have been found to be accurate enough for planning purposes. LOSS OF 1 CUBIC YARD OF SAND PER FOOT OF SHORELINE RECESSION COST OF RENOURISHMENT - $1.75 PER CUBIC YARD ANNUAL INFLATION RATE = 10% 70% FEDERAL SHARE, 20% STATE SHARE, 10% LOCAL SHARE Based on these assumptions and erosion rates in the area, the estimated cost of rebuilding the dune and berm to hurricane protection levels 5 years from now would approximate $1,000,000. Thus the 10% local share would be $100,000. JOHN J HOOTON ANO ASSOCIATES WILMINGTON, NC K� • DUNE MAINTENANCE MANUAL for the TOWN OF TOPSAIL BEACH Most research on dune creation and stabilization has focused on the critical areas extending 500-600 feet back from the high tide mark with elevations of 4-6 feet above mean sea level. The only plants that appear to be making substantial contribution in trapping and binding sand are perennial grasses; although some annuals such as sea rocket, Cakile edentula, and beach pea are temporarily effective. The frequent exposure to salt spray, which results from generally low elevation and absence of large dunes, appears to be a major factor discouraging the woody plants, such as yaupon,-myrtle, silverling, live oak, and red cedar. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • • • 3.1 AVAILABLE SPECIES At present there are four grasses growing on North Carolina's Outer Banks which show real promise in this critical zone. These are American Beachgrass, Ammophila Breviligulata, Sea Oats, Uniola paniculata, Running Beachgrass, Panicum�amarum, and Saltmeadow.Cordgrass, Spartina patens. Of these four American Beachgrass is the only one with ample planting stock available and which has been planted extensively on the foredunes. Experience to date indicates it is an excellent grass for this purpose. It is easily propagated in the nursery, can be transplanted with almost 100% survival, grows rapidly following transplanting and is capable of trapping and penetrating large quantities of sand. Since its indigenous range is north of the Virginia Capes, it is not as tolerant of hot dry weather as Sea Oats and Panicum amarum. However, it is very tolerant of salt spray and will withstand occasional flooding by salt water during cooler temperatures; but during hotter seasons (summer), it will readily succumb to high tides. No unusual insect or diseases have been observed on this species. Under favorable conditions, beachgrass spreads rapidly through the production of rhizomes and sporadic reproduction from seeds. The Sea Oat is widely distributed from Mexico to the Virginia Capes, and, on North Carolina's coast, is the principal vegetative species of unplanted dunes near the sea. It is an excellent sand catcher, but, unfortunately natural stands are frequently sparse, resulting in rapid accumulation of sand by individual plants and the growth of rough, hummocky dunes. However, where good stands occur, there is little difference between dunes formed with Sea Oats or those formed with beachgrass. Where these two grasses occur together, the Sea Oat will JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • 40 is normally occupy the "front line" nearest the surf, probably due to its higher tolerance for salt spray. Sea Oat has not been planted extensively for two reasons: 1) the absence of supplies of planting stock, and 2) the poor survival of plants following transplanting. While it is a desirable species for stabilization extensive use will probably have to await development of better propagation procedures. Under favorable conditions, the Sea Oat will produce heavy seed crops mostly in late spring. Since most plants are not firmly established until the end of the second seapon, percent survival of original seedlings is extremely low. Running Beachgrass is distributed naturally along the Outer Banks and appears to be increasing in some areas since livestock have been excluded. It is a good dune builder, having an extensive rhizome system and stiff stems and leaves; however, it does not appear to be as tolerant of salt spray as American Beachgrass and Sea Oats. Although it can be multiplied easily under nursery conditions, it is a slow starter when transplanted. While this species is promising, more knowledge of planting methods is necessary before it could be recommended for extensive use. Saltmeadow cordgrass probably represents the largest acreage of any plant on the Banks and is the principal occupant of grass on the flat and low dunes behind the foredunes. It is tolerant to salt water and high water tables and is well adapted to low living areas. However, it will tolerate only a slow sand buildings and is not drought tolerant. Thus, it should not be planted on dunes of any appreciable height or where sand movement is rapid. 3.2 TRAFFIC AREAS None of the above species is suitable for sites receiving heavy JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • • • traffic - vehicular or pedestrian. Around these types of areas (parking lots, walkways) a turf type grass is recommended. Two species are suited for this type of area - Bermuda grass, Cynodon dactylon, and knotgrass, Paspalum vaginatum. The Bermuda grass is more favorably recommended because of availability and previously successful plantings (it was used to stabilize Wright Memorial). Test plantings indicate that turf strain 419 is especially suitable to high traffic areas. The bermudas will tolerate a considerable amount of salt as spray or in the soil and moderate sand buildings. At least as much nitrogen, if not more, is required to maintain them in a healthy condition. They should be sprigged in early spring in order to insure establishment before excessive drying of the sand occurs; where irrigation is available planting can be done satisfactorily up to early summer. 3.3 _ AMERICAN BEACHGRASS Because of its availability, rapid growth characteristics, and excellent sand trapping capacity, American Beachgrass is the recommended primary species. However, its widespread use in monospecies plantings has resulted in the appearance of at least one disease, Marasmius blight, and one insect pest, Eriococcus carolinae. To'reduce the danger of plant destruction, it is highly recommended that diversity in the plant mixtures be established by interspersing Sea Oats and Running Beachgrass with the American Beachgrass. In view of the danger and environmental regulations restricting the use of insecticides, development of diverse stands of dune grass is the most effective method of protection. 3.3.1 PLANTING Dates - American Beachgrass has a fairly wide tolerance to planting JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 • • dates and it appears that it could be planted at any time between October and May. However, where full growth is desired November and March represent the limits with earlier dates preferred. Number of stems - The number of stems (culms) per planting hill will depend upon the objective of the planting for that particular area, the nature of the site and the rate of growth expected. Single stem plants may be justified in plantings on unexposed areas where little blowing sand is likely to be available but in more exposed locations where the object is to trap blowing sand much larger plants would be recommended. Generally, however, for first year plantings where rapid growth is desired on exposed, or protected areas, 3 to 5 stems per planting hill is recommended. Topping - There is no indication that topping or pruning results in any significant advantage in either regrowth or survival. However, if machine planting is to be used some pruning may make it easier to pass the stock through the machine. On the other hand, in critical areas where rapid sand accumulation is desired, unpruned tops may trap significant amounts of sand before the spring new growth emerges. Densities - On very critical areas plants should be spaced on 18 X 18 inch plots (2.25 square feet). This results in approximately 19,360 plants per acre. However, in less critical areas if there is adequate fertilization and timely planting spacing may be reduced to 24 X 24 inch plots (4 square feet) and provide vigorous growth and cover. Depth - The base of the plant should be at least 6 to 8 inches below the surface. The sand should be firmed up around the base by tramping with the foot (if hand planting) to avoid excessive drying out to anchor the plant against the wind. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 • Clay dipping - Dipping the plant roots in a clay slurry prior to shipping has been proven to be an effective and inexpensive method of protecting plants from dessication under dry conditions. While not necessary under favorable conditions, it can mean the difference between success and failure and is a precaution that should be taken in all orders. Thinning - Experiments with thinning of American Beachgrass stands show no appreciable effect on stand growth and development. 3.3.2 FERTILIZATION Research indicates that American Beachgrass responds most favorably to applications of nitrogen with little or no response to phosphorus or potash if the soil contains even moderate amounts of these elements. It appears that a fertilizer program consisting of 100-150 lbs. of nitrogen and 30-50 lbs. of phosphorus per acre per year will develop "full cover" (approximately the maximum growth for this species in the planted area) by the end of the third growing season. Time and Rate of Application - Best results will be obtained if a 30-10-0 mixture is applied in four separate applications during the months of April, June, August, and September. The September treatment appears to be the most important of the applications from the standpoint of rhizome production the following spring. Applications of approximately 33 lbs. are recommended for the first three periods and 50 lbs/acre for the September period. Maintenance Fertilization - Attempts to push past the "full cover" growth stage may have detrimental effects and a program of decreased fertilization should be followed after maximum growth is achieved. Under a fairly complete canopy recycling of nutrients would be considerable JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • 0 and there is evidence that fertilization can be discontinued entirely for a year with no serious effects. While this is not advisable it is recommended that for the third year only the April treatment be applied. For each year thereafter, applications may be adjusted up or down as growth warrants. 3.3.3 SUMMARY Recommended Species: American Beachgrass with Sea Oats and Running Beachgrass interspersed to assure diversity and reduce incidence of pest damage. Planting Dates: November to April with months November, December, January, and February recommended. Fertilization: First Year - Heavy nitrogen applications with mixture of 30-10-0 recommended in four equal applications of approximately 200 lbs. per acre per year between April 1-15, May 1-153, July 1-15, and September 1-15. Second Year - Same applications as first year. If especially good growth is achieved only two applications between April 1-15 and September 1-15. Third Year and thereafter - April 1-15 treatment and adjust up or down as growth warrants. Planting: 3 to 5 stems per planting hill, 6 to 8 inches deep covered and firmed to prevent dessication or wind blown. Spacing: 18 X 18 inches (2.25 square feet) in critical areas. 24 X 24 inches (4 square feet) in non -critical areas. Thinning and Pruning: Unnecessary Clay Dipping: Required for all orders. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 MAINTENANCE CALENDAR DULY - AUGUST Survey to locate areas needing replanting or additional fertilization. Check condition of signs and walkways and sand fences. SEPTEMBER 1-15 Refertilization with 30-10-0 pelletized at 200 lbs. per acre NOVENBER Order plants. JANUARY — MARCH Replant and fertilize bare areas at 18 X 18 densities for critical areas and 24 X 24 for stable areas. APRIL - MAY Make repairs to walkways, ramps, and sand fences. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • • COST AND SOURCES OF MATERIALS AMERICAN BEACHGRASS Church's Green House and Nursery Old Shore Road, Erma R.D. #1 Cape May, New Jersey 08204 For Hybrid Cape Variety Beachgrass $0.12 per plant to 1,000 plants 70 per 1,000 1,000 - 50,000 plants 65 per 1,000 50,000 and over A plant consisting of three culms (stems), tied 100 plants per bundle, with tops cut 16" - 18". Two to three weeks notice required for delivery. Mason -Lake Soil Conservation District 102 East Fifth Street Scottville, Michigan 49454 $25.00 per 1,000 plants (estimated delivery charges of $20.00/1,000) No delivery until spring with delivery of 10,000 plants per week. Van Pines, Inc. West Olive, Michigan 49460 For Dunegrass Amophilia arenaria 8" - 18" stolens $30.00/500 $50.00/1,000 D.M. Bryan Garner, North Carolina 772-4989 $30.00/1,000 plants plus delivery charges. For orders of 50,000 or more plants will deliver for net price of $25-30/1,000. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC • • FERTILIZER The only local source for mixture of 30-10-0 fertilizer in Wilmington is Pearsall and Company at 4022 Market Street, 762-0389. The price quoted was $200.00 per ton with two to three days at lead time and is available in pelletized form to reduce loss from wind. . SAND FENCING Allison Company, Charlotte, North Carolina 1-800-432-6052 4' slats 2" wide bound with wire with 2" centers (untreated "Canadian Cedar") $70.00/100f delivered to Wilmington area 6' "T" posts $2.75 each (recommended for easy installation) Recommend 10' - 12' spacing between posts - estimated labor 50 - 751/foot Contact - Vern Mauldwin SIGNS Art Sign Company - Wilmington - 762-6078 - Contact: Bob Brown #04 grade commercial aluminum signs with factory baked finish; 24" X 36" with one color on white approximately $15.00 each. SIGN POSTS 4 X 4 - 12 osmose treated pine Godwin Lumber Company - Wilmington $6.70 each JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC 0 r� i REFERENCES A Land Use Plan for the Town of Topsail Beach, NC, May 21, 1976. Regulation 15 NCAC 7H.0304, "AEC's Within Ocean Hazard Areas," as amended. Flood Insurance Rate Map - Town of Topsail Beach, Dept. of HUD, Federal Insurance Administration. Town of Topsail Beach Tax Rolls. Inlet Hazard Areas - The Final Report and Recommendations to the Coastal Resources Commission, Priddy, L. J., and Carraway, R., September 1978. N.C. Department of Natural and Economic Resources--N.C. Water Plan --Progress Report, Chapter 10, Coastal Erosion Draft, Raleigh, N.C., 1974. A Survey of North Carolina Beach Erosion by Air Photo Methods - 1973, Wahls, W.E., NCSU Center for Marine and Coastal Studies, Report No. 73-1, May 1973. JOHN J HOOTON AND ASSOCIATES WILMINGTON, NC PF,-NOSLD /M)WICIPLL :SLRVICFTASTIR,,kCT* - I IGT a w 1 � , v Co