WQ0029635_Final Permit_20060327

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March 27, 2006
Earl Garrick
High Rock Lake Development, LLC
831 Mitchell Avenue
Salisbury, NC 28144
Dear Mr. Garrick:
Michael F. Fasiey, Governor
William G. Ross Jr., Secretary
North Carolina Department or Environment and Natural Resources
Alan W. Klimek, P.E. Director
Division of Water Quality
Subject: Permit No. WQ0029635
Sunset Pointe Residential
Subdivision
Wastewater Surface Irrigation
Rowan County
In accordance with your permit application received December 15, 2005, and subsequent
additional information received January 12, 2006, we are forwarding herewith Permit No. WQ0029635,
dated March 27, 2006, to High Rock Lake Development, LLC for the construction and operation of the
subject wastewater treatment and surface irrigation facilities.
This permit shall be effective from the date of issuance until February 28, 2011, and small be
subject to the conditions and limitations as specified therein. Please pay particular attention to the
monitoring requirements in this pernvt. Failure to establish an adequate system for collecting and
maintaining the required operational information will result in future compliance problems.
If any parts, requirements, or limitations contained in this permit are unacceptable, you have the
right to request an adjudicatory hearing upon written request within thirty (30) days following receipt of
this permit. This request must be in the form of a written petition, conforming to Chapter 150B of the
North Carolina General Statutes, and filed with the Office of Administrative Hearings, 6714 Mail Service
Center, Raleigh, NC 27699-6714. Unless such demands are made this permit shall be final and binding.
One set of approved plans and specifications is being forwarded to you. If you need additional
information concerning this matter, please contact Michelle McKay at [phone].
Sincere
Alan W. Klimek, P.E.
CC'. Rowan County Health Department
Mooresville Regional Office, Aquifer Protection Section
Donald Munday, PE
Technical Assistance and Certification Unit
APS Central Files
LAU Files No Carolina
Nturallq
Aquifer Protection Section 1636 Mail Service Center Raleigh, NC 27699-1636 Phone [phone] Customer Service
Internet: h2o.enr.state.nc.us 2728 Capital Boulevard Raleigh. NC 27604 FAX [phone]
An Equal OpporlunitylAtftrmative Action Employer— 50% Recycled/1 01Yo Post Consumer Paper

NORTH CAROLiINA
ENVIRONMENTAL MANAGEMENT COMMISSION
DEPARTMENT OF ENVIRONMENT AND NATURAL RESOURCES
RALEIGH
SURFACE IRRIGATION SYSTEM PERMIT
In accordance with the provisions of Article 21 of Chapter 143, General Statutes of North Carolina as
amended, and other applicable Laws, Rules, and Regulations
PERMISSION IS HEREBY GRANTED TO
High Rock Lake Development, LLC
Rowan County
FOR THE
construction and operation of a 75,000 gallon per day (GPD) surface irrigation treatment and disposal
facility consisting of a 1,500 gallon septic tank at each residence (102 four bedroom homes and 100 two
bedroom condos), four 20,000 gallon recirculation tanks with sixteen Advantex' AX-100 textile filters
capable of treating 5,000 GPD each (four pods per each tank), 3 flow splitter boxes with influent flow
meter located at the flow splitter boxes, UV disinfection, a 89,000 gallon pump tank with 298,4 GPM
pumps, a permanent auxiliary power source capable of powering all essential units, a 591,256 ft3 storage
pond with synthetic liner, 34.7 acres of drip irrigation area separated into 14 zones, to serve Sunset
Pointe Residential Subdivision (102 four bedroom homes, 100 two bedroom condos and 2,040 GPD for
amenities, with no discharge of wastes to the surface waters, pursuant to the application received
December 15, 2005, and subsequent additional information received by the Division, and in conformity
with the project plan, specifications, and other supporting data subsequently filed and approved by the
Department of Environment and Natural Resources and considered a part of this permit.
This permit shall be effective from the date of issuance until February 28, 2011, and shall be subject
to the following specified conditions and limitations:
I. PERFORMANCE STANDARDS
1. Upon completion of construction and prior to operation of this permitted facility, a certification must
be received from a professional engineer certifying that the permitted facility has been installed in
accordance with this permit, the approved plans and specifications, and other supporting materials. If
this project is to be completed in phases and partially certified, you shall retain the responsibility to
track further construction approved under the same permit, and shall provide a final certificate of
completion once the entire project has been completed. Mail the Certification to the Land
Application Unit, Division of Water Quality, 1636 Mail Service Center, Raleigh, NC 27699-1636.
2. The Mooresville Regional Office, telephone number [phone], shall be notified at least forty-
eight (48) hours in advance of operation of the installed facilities so that an in -place inspection can be
made. Such notification to the regional supervisor shall be made during the normal office hours from
8:00 a.m. until 5:00 p.m. on Monday through Friday, excluding State Holidays.

3. The surface irrigation facilities shall be effectively maintained and operated at all times so that there
is no discharge to the surface waters, nor any contamination of ground waters, which will render them
unsatisfactory for normal use. In the event that the facilities fail to perform satisfactorily, including
the creation of nuisance conditions or failure of the irrigation area to adequately assimilate the
wastewater, the Permittee shall take immediate corrective actions including those actions that may be
required by the Division of Water Quality, such as the construction of additional or replacement
wastewater treatment and disposal facilities.
4. The issuance of this permit shall not relieve the Permittee of the responsibility for damages to surface
or groundwaters resulting from the operation of this facility.
5. The residuals generated from these treatment facilities must be disposed in accordance with General
Statute 143-215.1 and in a manner approved by the Division.
6. Diversion or bypassing of the untreated wastewater from the treatment facilities is prohibited.
7. The following buffers shall be maintained:
a) 100 feet between wetted area and any residence or places of public assembly under separate
ownership,
b) 50 feet between wetted area and property lines,
b) 100 feet between wetted area and wells,
c) 50 feet between wetted area and drainageways or surface water bodies,
c) 50 feet between wetted area and public right of ways,
d) 100 feet between treatment/storage units and any wells, and
e) 50 feet between treatment units and property lines.
S. A leakage test shall be performed on the septic tank and dosing tank to insure that any exfiltration
occurs at a rate, which does not exceed twenty (20) gallons per twenty-four (24) hours per 1,000
gallons of tank capacity. The engineer's certification will serve as proof of compliance with this
condition.
9. If excavation into bedrock is required for the installation of the septic tanks, the pit shall be lined with
a 10 mil synthetic liner.
10. A sanitary tee and filter shall be installed on the effluent pipe of each septic tank. The Engineer's
Certification will serve as evidence that these specifications have been met.
11. The disposal system shall be connected to a rain or moisture sensor that shall 'indicate when
wastewater application is not appropriate in accordance with Condition 11(4) of this permit.
12. Upon the completion of site grading and shaping, an updated soil scientist site evaluation report shall
be submitted to the Aquifer Protection Section, Land Application Unit, 1636 Mail Service Center,
Raleigh, NC 27699-1636, for all drip field areas where the soil has been significantly altered by
grading, cutting or filling. This report shall include the area identified as a gully in Zone 6 and the
abandoned gravel road bed and road ditches which pass through Zones 1, 2, 10, 11, and 12. This
report shall specifically address, but not be limited to, soil features such as soil compaction and
saturated hydraulic conductivity of the least permeable layer, as well as any other properties that
might impact the soil's ability to accept drip irrigation water. The report shall also certify that the
significantly altered areas are capable of accepting the designed loading rate. The requested
information must be received and acknowledged in writing by the Aquifer Protection Section, prior to
the commencement of drip irrigation of wastewater on Zones 1, 2, 6, 10, 11, and 12.

II. OPERATION AND MAINTENANCE REOUIREMEI S
1. The facilities shall be properly maintained and operated at all times.
2_ Upon classification of the wastewater treatment and irrigation facilities by the Water Pollution
Control System Operators Certification Commission (WPCSOCC), the Permittee shall designate and
employ a certified operator to be in responsible charge (ORC) and one or more certified operator(s) to
be backup ORC(s) of the facilities in accordance with 15A NCAC 8G .0201. The ORC shall visit
the facilities in accordance with 15A NCAC 8G .0204 or as specified in this permit and shall comply
with all other conditions specified in these rules.
3. A suitable year round cover shall be maintained. The large scale harvesting of trees located within the
drip irrigation zones is discouraged and any cutting of trees must be done cautiously so as to
minimize damage to drip lines. Drip irrigation zones shall not be utilized while harvesting operations
are in progress. A comprehensive inspection of all drip lines in the harvested area must be
accomplished immediately following the conclusion of tree harvesting operations, and any needed
repairs completed promptly prior to the resumption of drip irrigation.
4. Irrigation shall not be performed during inclement weather or when the ground is in a condition that
will cause runoff
5. Adequate measures shall be taken to prevent wastewater runoff from the irrigation field.
6. The facilities shall be effectively maintained and operated as a non -discharge system to prevent the
discharge of any wastewater resulting from the operation of this facility.
7. The application rate shall not exceed a cumulative loading of 40.27 inches over any twelve (12)
month period at an instantaneous application rate not to exceed 0.30 inches per hour.
8. No type of wastewater other than that from Sunset Pointe Residential Subdivision shall be irrigated
onto the irrigation area.
9. No traffic or equipment shall be allowed on the disposal area except while installation occurs or while
normal maintenance is being performed.
10. Public access to the land application sites shall be controlled during active site use. Such controls
may include the posting of signs showing the activities being conducted at each site.
11. Freeboard in the storage pond shall not be less than two feet at any time.
12. A waste -level gauge, to monitor waste levels in the storage pond, shall be installed prior to operation.
This gauge shall have readily visible permanent markings indicating the maximum liquid level at the
top of the temporary liquid storage volume, minimum liquid level at the bottom of the temporary
liquid storage volume, and top of the dam elevations. Caution must be taken not to damage the
integrity of the liner when installing the gauge.
13. A protective vegetative cover shall be established and maintained on all earthen basin embankments
(outside toe of embankment to maximum pumping elevation), berms, pipe runs, erosion control areas,
and surface water diversions. Trees, shrubs, and other woody vegetation shall not be allowed to grow
on the earthen basin dikes or embankments. Earthen basin embankment areas shall be kept mowed or
otherwise controlled and accessible.

III. MONITORING AND REPORTING REQUIREMENTS
1. Any monitoring (including groundwater, surface water, soil or plant tissue analyses) deemed
necessary by the Division to insure surface and ground water protection will be established and an
acceptable sampling reporting schedule shall be followed.
2. Influent flow shall be continuously monitored and daily flow values shall be reported on Form
NDMR_
The Permittee shall install an appropriate flow measurement device consistent with approved
engineering and scientific practices to ensure the accuracy and reliability of influent flow
measurement. Flow measurement devices selected shall be capable of measuring flows with a
maximum deviation of less than 10 percent from true flow, accurately calibrated at a minimum of
once per year, and maintained to ensure that the accuracy of the measurements is consistent with the
accepted capability of that type of device. The Permittee shall keep records of flow measurement
device calibration on file for a period of at least three years. At a minimum, data to be included in
this documentation shall be:
a. Date of flow measurement device calibration
b. Name of person performing calibration
c. Percent from true flow
Plans and specifications for the flow measuring device shall be prepared by a licensed Professional
Engineer and submitted to the appropriate regional office 30 days prior to installation. The flow
measuring device shall be installed within 1 year of the date of this permit.
3. The effluent from the subject facilities shall be monitored by the Permittee at the point prior to
irrigation every March, July and November for the following parameters:
BOD5
TSS
NO2-NO3
Fecal Coliform
NH3 as N
TKN
pH
Total Phosphorous
4, The Permittee tracking the amount of wastewater disposed shall maintain adequate records. These
records shall include, but are not necessarily limited to, the following information:
a. Date of irrigation,
b. Volume of wastewater irrigated,
c. Field irrigated,
d. Length of time field is irrigated,
e. Continuous weekly, monthly, and year-to-date hydraulic (inches/acre) loadings for each field,
f. Weather conditions, and
g. Maintenance of cover crops.
5. Freeboard in the storage pond shall be recorded weekly.
6. Three (3) copies of all monitoring data [as specified in Conditions I1I(2) and III(3)] on Form NDMR-
1 and three (3) copies of all operation and disposal records [as specified in Conditions III(4) and
111(5)] on Form NDAR-1 shall be submitted on or before the last day of the following month. All
information shall be submitted to the following address:
Division of Water Quality
Information Processing Unit
1617 Mail Service Center
Raleigh, North Carolina 27699-1617
4

7. An annual representative soils analysis (Standard Soil Fertility Analysis) shall be conducted on each
irrigation field and the results maintained on file by the Permittee for a minimum of five years. The
Standard Soil Fertility Analysis shall include, but is not necessarily limited to, the following
parameters:
Acidity
Man anese
Potassium
Calcium
Percent Humic Matter
Sodium
Copper
pH
Zinc
Magnesium
Base Saturation (by calculation)
Phosphorus
Cation Exchange Capacity
Exchangeable Sodium Percentage
8. Noncompliance Notification:
The Permittee shall report by telephone to the Mooresville Regional Office, telephone number (704)
663-6040, as soon as possible, but in no case more than 24 hours or on the next working day
following the occurrence or first knowledge of the occurrence of any of the following:
a. Any occurrence at the wastewater treatment facility which results in the treatment of significant
amounts of wastes which are abnormal in quantity or characteristic, such as the dumping of the
contents of a sludge digester; the known passage of a slug of hazardous substance through the
facility; or any other unusual circumstances.
b. Any process unit failure, due to known or unknown reasons, that render the facility incapable of
adequate wastewater treatment such as mechanical or electrical failures of pumps, aerators,
compressors, etc.
c. Any failure of a pumping station, sewer line, or treatment facility resulting in a by-pass directly to
receiving waters without treatment of all or any portion of the influent to such station or facility.
d. Any time that self -monitoring information indicates that the facility has gone out of compliance
with its permit limitations.
Occurrences outside normal business hours may also be reported to the Division's Emergency
Response personnel at telephone number [phone], [phone], or [phone].
Persons reporting such occurrences by telephone shall also file a written report in letter form within
five (5) days following first knowledge of the occurrence. This report must outline the actions taken
or proposed to be taken to ensure that the problem does not recur.
IV. GROUNDWATER REQUIREMENTS
1. Well Construction
a. Prior to beginning waste disposal operations, three (3) monitor wells (MW-1, MW-2 and MW-3)
shall be installed to monitor groundwater quality one up gradient and two down gradient. The
wells shall be constructed such that the water level in the well is never above or below the
screened (open) portion of the well at any time during the year. Each monitoring well shall be
constructed in accordance with this permit, and the location shall be approved by the Mooresville
Regional Office prior to construction.
b. A North Carolina Certified Well Contractor, the property owner, or the property lessee according
to General Statutes 87-98.4(b) (2) must construct the wells. If a certified well contractor does not
perform the construction, the property owner or lessee, provided that they are a natural person,
must physically perform the actual well construction activities. All wells must be constructed
according to the North Carolina Well Construction Standards (15A NCAC 2C .0108) and any
local county rules.

c. The Mooresville Regional Office, telephone number [phone], shall be notified at least
forty-eight (48) hours prior to the construction of any monitoring well so that an inspection can be
made of the monitoring well location. Such notification to the regional groundwater supervisor
shall be made during the normal office hours from 8:00 a.m. until 5:00 p.m. on Monday through
Friday, excluding state holidays.
d. Within thirty (30) days of completion of all well construction activities, a certification must be
received from a professional engineer or a licensed geologist certifying that the monitoring wells
are located according to this permit.
2. Sampling Criteria
a. Monitor wells, MW-1, MW-2 and MW-3 shall be sampled initially after construction and prior to
waste disposal operations, and thereafter every March, July and November for the parameters
listed below. Prior to sampling the parameters, the measurement of water levels must be taken.
The depth to water in each well shall be measured from the surveyed point on the top of the
casing. The measuring points (top of well casing) of all monitoring wells shall be surveyed
relative to a common datum.
Water Level
Chloride
Total Organic Carbon (TOC)
Nitrate (NO3-N)
Fecal Coliforms
Total Ammonia Nitrogen (NH3-N)
. pH
Total Dissolved Solids (TDS)
Volatile Organic Compounds (VOC)
1 Sampled in November only
b. For Total Organic Carbon (TOC), if concentrations greater than 10 mg/1 are detected in any
down -gradient monitoring well, additional sampling and analysis must be conducted to identify
the individual constituents comprising this TOC concentration. If the TOC concentration as
measured in the background (up gradient) monitor well exceeds 10 mg/l, this concentration will
be taken to represent the naturally occurring TOC concentration. Any exceedances of this
naturally occurring TOC concentration in the down -gradient wells shall be subject to the
additional sampling and analysis as described above.
c. For Volatile Organic Compounds (VOCs) sampled in November, use only one of the following
methods:
1) Standard Method 6230D, Practical Quantitation Limit (PQL) at 0.5 µg /L or less
2) Standard Method 6210, PQL at 0.5 µg/L or less
3) EPA Method 9021, Low Concentration, PQL at 0.5 µg /L or less
4) EPA Method 8260, Low Concentration, PQL at 0.5 µg IL or less
5) Another method with prior approval by the Aquifer Protection Section Chief.
Any of the referenced methods used for VOCs must at a minimum, include all the constituents
listed in Table VIII of Standard Method 6230D. Any method used must provide a PQL of 0.5 µg
/L or less, which must be supported by laboratory proficiency studies as required by the DWQ
Laboratory Certification Unit. Any constituents detected above the Method Detection Limit
(MDL) but below the PQL of 0.5 ltg /L must be qualified (estimated) and reported.

3. Reporting and Documentation
a. All reports and documentation (GW-1, GW-30, GW-59) shall be mailed to the following address:
NC Division of Water Quality
Information Processing Unit
1617 Mail Service Center
Raleigh, NC 27699-1617
Updated blank formes (GW-1, GW-30, GW-59) may be downloaded from the following
website at http-.Hgw.ehnr.state.nc.us/ or requested from the address mentioned above.
b_ For the initial sampling of the well(s), the permittee shall submit a copy of the GW-1 Form (Well
Construction Record) with the Compliance Monitoring Form (GW-59) for each well to the
address listed above. Initial Compliance Monitoring Forms that do not include copies of the GW-
I form may be returned to the permittee without being processed. Failure to submit these forms
as required by this permit may result in the initiation of enforcement activities pursuant to NC
General Statutes 143-215.6A.
c_ The results of the sampling and analysis must be received on Form OW-59 (Groundwater Quality
Monitoring: Compliance Report Form) by the Groundwater Section (address listed above), on or
before the last working day of the month following the sampling month. The data of all
groundwater sampling analyses required by the permit conditions must be reported using the most
recent GW-59 form along with attached copies of the laboratory analyses.
d. Within sixty (60) days of completion of all monitoring wells, the permittee shall submit two
original copies of a scaled site map (scale no greater than 1"=100'); however, special provisions
may be granted upon prior approval for large properties. The map(s) must include the following
information:
1) The location and identity of each monitoring well.
2) The location of major components of the waste disposal system.
3) The location of property boundaries within 500 feet of the disposal area(s).
4) The latitude and longitude of the established horizontal control monument.
5) The elevation of the top of the well casing (which shall be known as the "measuring point")
relative to a common datum.
6) The depth of water below the measuring point at the time the measuring point is established.
7) The location of Review and Compliance boundaries.
8) The date the map is prepared and/or revised.
Control monuments shall be installed in such a manner and made of such materials that the
monument will not be destroyed due to activities that may take place on the property. Maps and
any supporting documentation shall be sent to the Groundwater Section as addressed in the
"Reporting / Documentation" above.
The permittee is responsible for the geographic accuracy of any rnap submitted, however
produced.
4. Applicable Boundaries:
a. The COMPLIANCE BOUNDARY for the disposal system is specified by regulations in 15A NCAC 2L,
Groundwater Classifications and Standards. The Compliance Boundary for the disposal system
individually permitted on or after December 30, 1983 is established at either 250 feet from the waste
disposal area, or 50 feet within the property boundary, whichever is closest to the waste disposal area. An
exceedance of Groundwater Quality Standards at or beyond the Compliance Boundary is subject to
remediation action according to 15A NCAC 2L .0106(d)(2).
7

b. The REVIEW BOUNDARY is established around the disposal systems midway between the Compliance
Boundary and the perimeter of the waste disposal area. Any exceedance of standards at the Review
Boundary shall require action in accordance with 15A NCAC 2L .0106(d)(1).
5. Additional Requirements:
a. Any additional groundwater duality monitoring, as deemed necessary by the Division, shall be provided.
V. INSPECTIONS
J. Adequate inspection, maintenance, and cleaning shall be provided by the Permittee to insure proper
operation of the subject facilities.
2. The Permittee or his designee shall inspect the wastewater treatment and disposal facilities to prevent
malfunctions and deterioration, operator errors and discharges which may cause or lead to the release
of wastes to the environment, a threat to human health, or a nuisance. The Permittee shall keep an
inspection log or summary including at least the date and time of inspection, observations made, and
any maintenance, repairs, or corrective actions taken by the Permittee. This log of inspections shall
be maintained by the Permittee for a period of three years from the date of the inspection and shall be
made available upon request to the Division or other permitting authority.
3. Any duly authorized officer, employee, or representative of the Division may, upon presentation of
credentials, enter and inspect any property, premises or place on or related to the disposal site or
facility at any reasonable time for the purpose of determining compliance with this permit; may
inspect or copy any records that must be maintained under the terms and conditions of this permit,
and may obtain samples of groundwater, surface water, or leachate.
VI. GENERAL CONDITIONS
This permit shall become voidable unless the facilities are constructed in accordance with the
conditions of this permit, the approved plans and specifications, and other supporting data.
2_ This permit is effective only with respect to the nature and volume of wastes described in the
application and other supporting data.
3. This permit is not transferable. In the event there is a desire for the facilities to change ownership, or
there is a name change of the Permittee, a formal permit request must be submitted to the Division
accompanied by an application fee, documentation from the parties involved, and other supporting
materials as may be appropriate. The approval of this request will be considered on its merits and
may or may not be approved.
4. Failure to abide by the conditions and limitations contained in this permit may subject the Permittee
to an enforcement action by the Division in accordance with North Carolina General Statute 143-
215.6A to 143-215.6C.
The issuance of this permit does not exempt the Permittee from complying with any and all statutes,
rules, regulations, or ordinances which may be imposed by other government agencies (local, state,
and federal) which have jurisdiction, including but not limited to applicable river buffer rules in 15A
NCAC 213 .0200, erosion and sedimentation control requirements in 15A NCAC Chapter 4 and under
the Division's General Permit NCGO10000, and any requirements pertaining to wetlands under 15A
NCAC 2B .0200 and 2H .0500.
6. The Permittee shall retain a set of approved plans and specifications for the life of the project.

7. The Perrnittee must pay the annual administering and compliance fee within thirty (30) days after
being billed by the Division. Failure to pay the fee accordingly may cause the Division to initiate
action to revoke this permit as specified by 15A NCAC 2H .0205 (c)(4).
8. The Permittee, at least six (6) months prior to the expiration of this permit, shall request its
extension. Upon receipt of the request, the Commission will review the adequacy of the
facilities described therein, and if warranted, will extend the permit for such period of time
and under such conditions and limitations as it may deem appropriate.
Permit issued this the 27"' day of March 2006
NORTH CAROLINA ENWRONNENTAL MANAGEMENT COMMISSION
/��-Alan W. Klimek, P.E., Director
Division of Water Quality
By Authority of the Environmental Management Commission
Permit Number WQ0029635

Permit No. WQ0029635
March 27, 2006
ENGINEER'S CERTIFICATION
Partial final
1, , as a duly registered Professional Engineer in the State
of North Carolina, having been authorized to observe (periodically, weekly, full time) the construction of
the project,
Project Name Location and County
for the Permittee hereby state that, to the best of my abilities, due care and diligence was used in the
observation of the construction such that the construction was observed to be built within substantial
compliance and intent of this permit, the approved plans and specifications, and other supporting
materials.
Signature
Date
Registration No.
10

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4
STATE OF NORTH CAROLINA
COUNTY OF Rowan Permit No.
DEVELOPER'S OPERATIONAL AGREEMENT
This AGREEMENT made pursuant to G.S. 143-215.1 (d 1) and entered into this 12th day of
December 2005, by and between the North Carolina Environmental Management Commission, an agency of
the State of North Carolina, hereinafter known as the COMMISSION; and High Rock Lake Development,LLC
, a corporation/general partnership registered/licensed to do business in the State of North Carolina, hereinafter
known as the DEVELOPER.
WITNESSETH:
I . The DEVELOPER is the owner of the certain lands lying in Rowan County, upon which it is erecting and
will erect dwelling units and other improvements, said development to be known as Sunset Pointe
(hereinafter the Development).
2. The DEVELOPER desires, to construct a wastewater collection system with pumps, wastewater treatment
works, and/or disposal facilities (hereinafter Disposal System) to provide sanitary sewage disposal to
serve the Development on said lands.
3. The DEVELOPER has applied to the COMMISSION for the issuance of a permit pursuant to G.S. 143-
215.1 to construct, maintain, and operate the Disposal System_
4. The DEVELOPER has created or shall create unit ownership in said dwellings units, other improvements
and lands through filing of a Declaration of Unit Ownership (hereinafter Declaration), pursuant to Chapter
47C or 47F of the North Carolina General Statutes.
5. The DEVELOPER has caused to be formed or will cause to be formed at the time of filing of the
Declaration, the Sunset Pointe Homeowner's Association (hereinafter Association), a non-profit
corporation organized and existing under and by the virtue of the laws of the State of North Carolina, for
the purpose, among others, of handling the property, affairs and business of the Development; of
operating, maintaining, re -constructing and repairing the common elements of the lands and
improvements subject to unit ownership, including the Disposal System; and of collecting dues and
assessments to provide funds for such operation, maintenance, re -construction and repair.
6. 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 DEVELOPER do hereby mutually agree as follows:
I . The DEVELOPER shall construct 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 DEVELOPER shall not transfer ownership and/or control of the Disposal System to the Association
until construction has been completed in accordance with the permit and approved plans, and the staff of
the Division of Water Quality has inspected and approved of the facilities. In order to change the name of
the permit holder, the DEVELOPER must request that the permit be reissued to the Association. The
request must include a copy of the Association Bylaws and Declaration.
3. The DEVELOPER 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
DEVELOPER's successor.
FORM: DEV 02/03 Page I of 2

4. The DEVELOPER 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.
5. The DEVELOPER 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 funds allocated for the facility and
shall be part of yearly budget.
6. In the event the common expense allocation and separate fund 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 provide that such special assessments can be made as
necessary at any time.
7. 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 DEVELOPER 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_
8. 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 DEVELOPER 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.
9. The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, 6, 7, and S above shall be conditions of any
permit issued by the COMMISSION to the DEVELOPER for the construction, maintenance, repair and
operation of the Disposal System.
10. A copy of this agreement shall be filed 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
Alan W. Klimek, P.E., Director
Division of Water Quality
(Date)
High Rock Lake Development, LLC
Name of DEVELOPER
BG� / l/I/li.2li I
Y•
(Signature)
Earl Garrick, Partner
Print Name and Title
(Date)
FORM: DEV 02/03 Page 2 of 2