WQCS00030_More Information (Received)_20241009

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h CITY of -C'11
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NORTH CAROLINA
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• • Box 1111 Statesville, NC 28687
5090
Serial PUD/062
1 October 2024
NC Department of Environmental Quality
Division of Water Resources
Mooresville Regional Office
Attn: Mr.Andrew Pitner,P.G.,Regional Supervisor
610 East Center Ave., Suite 301
Mooresville NC 28115
Subject: Plan ofAction: Revisions to City of Statesville Sewer Regulatory Review Process
Reference:NOV 2024-PC-0504
Enclosure: (1)Plan of Action Water/Sewer Projects Regulatory Compliance
(2)Water Sewer Regulatory Tracking
Dear Mr.Pitner:
The attached addresses the circumstances concerning the recent Notice-of-Violation(reference),and
the detailed corrective action plan requirement contained therein. Point of contact is the undersigned at
phone[phone],or email [e-mail].
Sincerely,
William E.Vaughan,DPA,PE
Public Utilities Director
Cc: Mr. Scott Harrell,PE,Assistant City Manager

City of Statesville
Plan of Action Water/Sewer Projects Regulatory Compliance
October 2024
References: (a)NCAC Title 15A, Subchapter 18C
(b)NCAC Tital 15A, Subchapter 02T
(c) City of Statesville Unified Development Code(UDC)
Background
Several recent events concerning the pro forma processes(references)required by State
statute concerning the administrative review and certification of public water and sewer utilities
indicate that reviews of City processes and procedures are required. The base cause for the citied
violations is temporal and overlapping and include personnel turnover(including City, developer,
and design engineers),gaps in communication, lack of understanding of regulations,and
misperceptions amongst developers related to the City's planning process and approvals
(specifically, a conflating of planning approvals with parallel water and sewer approval processes
by the State).
Discussion
Concurrent Processes
The City planning processes are controlled by the City Unified Development Code(UDC).
Specifically, the Technical Review Committee(TRC) consisting of representatives of Planning,
Public Works(Engineering, Streets, Sanitation),Electrical,Public Utilities(water and sewer),
and Fire Departments,review submittals for compliance with the UDC.The TRC reviews the
following information: zoning, specific lot measurements, site data,parking, landscaping,street
data,stream buffer,FEMA regulations, soil erosion control and grading plan,utilities and
services,sanitary sewer, stone drainage,water, and electricity.
Water and Sewer Projects.
Reviews of water and sewer projects for technical sufficiency occur in multiple, coordinated
locations. These include the Engineering and Utilities Departments(including the subordinate
Water and Sewer Maintenance Division). The Utilities Department coordinates application data
requirements with a developer's design engineer. Engineering and Utilities Department reviews
are to assure compliance with City water specifications(DEQ pre-approved serial 20-00101)and
sewer specifications as well as with State regulations(references [a] and [b])and good
engineering practice.
Misperceptions
The recent events centering on failure to submit plans and specifications (i.e.,the application
processes) for State regulatory review are indicative of developer and design engineers
conflating TRC approval processes with State regulatory processes(albeit City technical reviews
include assessment of plan and specification compliance with State technical parameters).
Inquiries into causes revealed that the City did self-regulate in the past.This condition has not
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existed since at least 2006.Adding to the confusion involved is the City, since that date,having
coordinated applications with developers as the applicant by virtue of the proposed systems
attaching to the City's utilities(with ultimate donation of the asset to the City). This process was
heretofore understood by the design engineer-firms-of-record. However,the current economic
development tempo has inserted many new firms into the utility construction process.Also,those
that had previously worked with the City for many years also experienced a turnover of key
personnel known to the City. This, in conjunction with a period of high turnover within the City
Planning, Utilities,and Engineering Departments created an ideal condition for a"process void."
Process Improvements
The acquisition of new utility assets is key to the City's economic development. The
following programming/planning quality assurance gates are proposed.
TRC
Within the planning process(TRC)a pro forma comment for each submittal will be"Proof of
water and sewer regulatory application submittal are required for final TRC approval." Review
comments provided to developers will clearly note that the TRC process is not equivalent to the
State regulatory approval process.
On-lure Tap Application
The City has recently implemented an on-line tap application process. Within the on-line tap
application process,Tine City will establish a section for developers to apply for attachment to
our utility. This serves as an initial notification that a construction project is ready to start. The
application would also require attachment of the state approval for construction documents.Also,
this would trigger formal,documented inspections by the City that continue our
inspection/oversight responsibility(i.e., specification compliance)due to eventual acceptance of
the assets in the City system.
Central Project Tracking
The Public Utilities Department(PUD)has established a project tracking spreadsheet for both
water and sewer project regulatory tracking. The PUD will update the spreadsheet as documents
are processed and received.The spreadsheet will be centrally located on the City server and all
parties will be able to review the status of projects to ensure other administrative processes(such
as certificates of occupancy,other City approvals) are not adjudicated prematurely.
Applicant Status
The City is assessing the efficacy of changing policy concerning the project application
process, whether the developer or the City. The current process of executing the regulatory
documents as the"Applicant"does accommodate the fact that the City does not otherwise have a
"formal"asset transfer process(with paperwork,etc.) outside of the approval to operate letters
from the State. However,possible regulatory issues, as recently demonstrated, when
administrative procedures,etc., are not properly executed would devolve to the developer as
applicant.This is predicated on the fact that, for other than a City project, the construction is
private-the City does not have privacy of contract with the construction agent(albeit due to
future city acceptance of the project,our specifications are used by the designer and a City
inspector is involved). This points to the developer as being the correct applicant.The State's
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transfer process referenced in the regulatory documents project transfer to the City upon
attachment to the City utility infrastructure.
Conclusion
The following process changes will be implemented to improve compliance with State
regulations for the construction of water and sewage systems.
• Proof of water and sewer regulatory application submittal to the State as part of the City
TRC approval process.
• An on-line application process to attach new construction to existing City utilities.
• Central project tracking to accommodate back-checks for other processes(such as the
issuance of certificates of occupancy).
• Possible procedural change regarding"Applicant,"whether the City or developer,to
assure coordination with City staff and TRC approvals (places the onus for compliance
on the developer).
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