WQ0029635_More Information (Requested)_20191104

ROY COOPER
Governor
MICHAEL S. REGAN
Secretary
LINDA CULPEPPER
Director
SHANE WOLFORD — PRESIDENT
SUNSET POINTE ON HIGH ROCK HOA, LLC
522 SUNSET POINTE DRIVE
SALISBURY, NORTH CAROLINA
Dear Mr. Wolford:
NORTH CAROLINA
Environmental Quality
November 4, 2019
Subject: Application No. WQ0029635
Additional Information Request
Sunset Pointe Subdivision WWTP
Wastewater Irrigation System
Rowan County
Division of Water Resources' Central and Regional staff has reviewed the application package
received August 23, 2019. However, additional information is required before the review may be
completed. Please address the items on the attached pages no later than the close of business on December
4, 2019
Please be aware that you are responsible for meeting all requirements set forth in North Carolina
rules and regulations. Any oversights that occurred in the review of the subject application package are
still the Applicant's responsibility. In addition, any omissions made in responding to the outstanding items
in Sections A and B, or failure to provide the additional information on or before the above requested date
may result in your application being returned as incomplete.
Please reference the subject application number when providing the requested information. All
revised and/or additional documentation shall be signed, sealed and dated (where needed), with two paper
copies and one electronic copy submitted to my attention at the address below.
If you have any questions regarding this request, please do not hesitate to contact me at (919) 707-
3659 or [e-mail]. Thank you for your cooperation.
Sincerely,
Erick Sat <�ers, Engi er
Division of Water Resources
cc: Mooresville Regional Office, Water Quality Regional Operations Section (Electronic Copy)
Permit Application File WQ0029635
North Carolina Department of Environmental Quality I Division of Water Resources
512 North Salisbury Street 1 1617 Mail Service Center I Raleigh, North Carolina 27699-1617
919.707,9000

Mr. Shane Wolford
November 4, 2019
Page 2 of 2
A. Operational Aereements:
1. In accordance with 15A NCAC 02T .0115(c), both an executed Operational Agreement and a copy
of the Articles of Incorporation, Declarations, and By-laws shall be submitted to the Division with
the permit application if the applicant is a Home Owner's Association. A renewed Home Owners'
Association Operational Agreement (FORM: HOA) was not received in the application. Please
execute and return the attached form.
B. General Comments:
The regional reviewer noted that there is discussion of adding a restaurant, which has yet to be
constructed, to this system. Please note that if this wastewater source is added, a major modification
of the permit must be submitted in accordance with 15A NCAC 02T .0504 for the increased
permitted flow. This application would include, but is not limited to, a water balance, engineering
plans, engineering calculations, specifications, and an operation and maintenance plan. Due to the
fact that this is restaurant, it shall be demonstrated that the treatment system will not be inhibited
by fats, oils, and greases (FOG) produced during food preparation. An oil/grease disposal plan shall
also be submitted.
The Permittee will also need to be designated as a privately owned public utility by the North
Carolina Utilities Commission (hereby referred to as "the Commission") in accordance with 15A
NCAC 02T .0115(a)(1) and 15A NCAC 02T .0504(g) if it accepts compensation from the owners
of the restaurant for wastewater sewerage and treatment. Currently the Permittee is not regulated
as a public utility under the Commission because they are a lawfully constituted Homeowner's
Association serving their residential development. However, providing wastewater service to
another entity for compensation would designate this facility as a privately owned public utility,
and the Commission would need to authorize it to hold a utility franchise. Proof of this would either
be provided by a Certificate of Public Convenience and Necessity, or a letter from the
Commission's Water and Sewer Division Public Staff stating an application for a franchise has
been received and the service area is contiguous to an existing franchised area or that franchise
approval is expected.

STATE OF NORTH CAROLINA
COUNTY OF
Permit No.
OPERATIONAL AGREEMENT
This AGREEMENT made pursuant to G.S. 143-215.1 (dI) and entered into this day of
, by and between the North Carolina Environmental Management
Commission, an agency of the State of North Carolina, hereinafter known as the COMMISSION; and
a non-profit corporation organized
and existing under and by virtue of the laws of the State of North Carolina, hereinafter known as the
ASSOCIATION.
WITNESSETH:
The ASSOCIATION was formed for the purpose, among others, of handling the property, affairs and
business of the development known as
(hereinafter the Development); of operating, maintaining, re -constructing and repairing the common
elements of the lands and improvements subject to unit ownership, including the wastewater collection
system with pumps, wastewater treatment works, and/or disposal facilities (hereinafter Disposal System);
and of collecting dues and assessment to provide funds for such operation, maintenance, re -construction
and repair.
2. The ASSOCIATION desires, to construct and/or operate a Disposal System to provide sanitary sewage
disposal to serve the Development on said lands.
3. The ASSOCIATION has applied to the COMMISSION for the issuance of a permit pursuant to G.S. 143-
215.1 to construct, maintain, and/or operate the Disposal System.
4. The Development was created subject to unit ownership in the dwellings units, other improvements and
lands through filing of a Declaration of Unit Ownership (hereinafter Declaration), pursuant to Chapter
47C of the North Carolina General Statutes.
5. The COMMISSION desires to assure that the Disposal System of the Development is properly
constructed, maintained and operated in accordance with law and permit provisions in order to protect the
quality of the waters of the State and the public interest therein.
NOW, THEREFORE, in consideration of the promises and the benefits to be derived by each of the parties
hereto, the COMMISSION and ASSOCIATION do hereby mutually agree as follows:
The ASSOCIATION shall construct the Disposal System and/or make any additions or modifications to
the Disposal System in accordance with the permit and plans and specifications hereafter issued and
approved by the COMMISSION, and shall thereafter properly operate and maintain such systems and
facilities in accordance with applicable permit provisions and law.
2. The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
and appurtenances thereto are part of the common elements and shall thereafter be properly maintained
and operated in conformity with law and the provisions of the permit for construction, operation, repair,
and maintenance of the system and facilities. The Declaration and Bylaws shall identify the entire
wastewater treatment, collection and disposal system as a common element, which will receive the highest
priority for expenditures by the Association except for Federal, State, and local taxes and insurance.
FORM: HOA 11-17 Page 1 of 2

3. The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
will be maintained out of the common expenses. In order to assure that there shall be funds readily
available to repair, maintain, or construct the Disposal System beyond the routine operation and
maintenance expenses, the Declaration and Association Bylaws shall provide that a fund be created out of
the common expenses. Such fund shall be separate from the routine maintenance fund allocated for the
facility and shall be part of the yearly budget.
4. In the event the common expense allocation and separate fund(s) are not adequate for the construction,
repair, and maintenance of the Disposal System, the Declaration and Association Bylaws shall provide for
special assessments to cover such necessary costs. There shall be no limit on the amount of such
assessments, and the Declaration and Bylaws shall be provided such that special assessments can be made
as necessary at any time.
5. If a wastewater collection system and wastewater treatment and/or disposal facility provided by any city,
town, village, county, water and sewer authorities, or other unit of government shall hereinafter become
available to serve the Development, the ASSOCIATION shall take such action as is necessary to cause the
existing and future wastewater of the Development to be accepted and discharged into said governmental
system, and shall convey or transfer as much of the Disposal System and such necessary easements as the
governmental unit may require as condition of accepting the Development's wastewater.
6. Recognizing that it would be contrary to the public interest and to the public health, safety and welfare for
the ASSOCIATION to enter into voluntary dissolution without having made adequate provision for the
continued proper maintenance, repair and operation of its Disposal System, the ASSOCIATION shall
provide in the ASSOCIATION Bylaws that the ASSOCIATION shall not enter into voluntary dissolution
without first having transferred its said system and facilities to some person, corporation or other entity
acceptable to and approved by the COMMISSION by the issuance of a permit.
7. The ASSOCIATION shall not transfer, convey, assign or otherwise relinquish or release its responsibility
for the operation and maintenance of its Disposal System until a permit has been reissued to the
ASSOCIATION's successor.
The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, 6, and 7 above shall be conditions of any
permit issued by the COMMISSION to the ASSOCIATION for the construction, maintenance, repair and
operation of the Disposal System.
9. A copy of this agreement shall be fled at the Register of Deeds in the County(ies) where the Declaration
is filed and in the offices of the Secretary of State of North Carolina with the Articles of Incorporation of
the Association.
IN WITNESS WHEREOF, this agreement was executed in duplicate originals by the duly authorized
representative of the parties hereto on the day and year written as indicated by each of the parties named below:
FOR THE ENVIRONMENTAL
MANAGEMENT COMMISSION
Linda Culpepper, Interim Director
Division of Water Resources
Name of ASSOCIATION
By:
(Signature)
Print Name and Title
(Date) (Date)
FORM: HOA 11-17
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