HomeMy WebLinkAboutTA25-02 BOC Staff Report and Proposed Amendments
STAFF REPORT FOR TA25-02
TEXT AMENDMENT REQUEST
REQUEST SUMMARY
Case Number: TA25-02
Request:
To amend Section 4.4.4, Section 6.3.2, Section 2.3, and Section 11.7 of the New Hanover County
Unified Development Ordinance (UDO) related to Accessory Dwelling Units, performance
guarantees, and non-conforming signs.
Applicant: Subject Ordinances:
New Hanover County Unified Development Ordinance (UDO)
Purpose & Intent
The key intent of this amendment is to update the UDO to ensure it complies with recent changes
to the North Carolina General Statutes.
BACKGROUND
Since the completion of the Unified Development Ordinance (UDO) Project in November 2020, staff
have been regularly bringing forward amendments to code provisions as part of ongoing efforts
to ensure that the tools of the ordinance remain up to date, are clear to all users of the code, and
continue to work the way they are intended.
During the legislative short session in 2024, the General Assembly made changes to laws related
to planning and development regulations as part of Session Law 2024-45 and 2024-49 which
require updates to the Unified Development Ordinance (UDO). Specific changes related to planning
and development include
1. Adding a statewide standard review process and timeline for accepting and releasing
performance guarantees for development.
2. A definition for “on-premises advertising” with new protections to allow the relocation or
reconstruction of legal non-conforming signs on the same property without needing to be
brought to current standards.
The proposed amendments also include a modification to the standards for Accessory Dwelling Units
that staff have identified as in conflict with General Statute provisions related to structures built to
the single-family residential building code. Local governments are not allowed to regulate building
materials for these types of structures, and the current language prohibiting the use of shipping
containers as building materials is not in line with those requirements and not enforceable.
The amendment concepts were presented to the Planning Board at their February 6, 2025 meeting
and are being brought forward for a public hearing because the updates are legally required to
ensure the county’s ordinances are up to date.
As a note, all amendments are discrete, and the Board may move forward with only some of them
without impacting other proposed provisions, however it should be noted the proposed changes are
the minimum necessary to meet state statutory requirements.
PLANNING BOARD RECOMMENDATION
The Planning Board considered the proposed amendment at their March 6, 2025 meeting. At the
public hearing, no one spoke in support of or in opposition to the proposed amendments. The
Planning Board stated the amendments were required due to changes to state law and were
necessary for the ordinance to stay up to date.
The Planning Board voted unanimously (5-0) to recommend approval of the maintenance
amendments. The Planning Board found the amendments to be CONSISTENT with the purpose and
intent of the 2016 Comprehensive Plan because it provides up-to-date zoning tools. The Planning
Board also found recommending APPROVAL of the amendments reasonable and in the public
interest because it provides for clear and effective ordinance standards consistent with state
requirements.
STAFF RECOMMENDATION
Staff concurs with the Planning Board’s recommendation and suggests the following motion:
I move to APPROVE the proposed amendment to the New Hanover County Unified Development
Ordinance to update the ordinance to meet the requirements of the North Carolina General
Statutes. I find it to be CONSISTENT with the purpose and intent of the 2016 Comprehensive Plan
because it provides up-to-date zoning tools, I also find APPROVAL of the proposed amendment
reasonable and in the public interest because it provides for clear and effective ordinance
standards consistent with state requirements.
Subject Articles and Sections
Section 4.4 Accessory Use and Structure Standards
o 4.4.4.A Accessory Dwelling Unit (ADU)
Section 6.3 Improvements
o Section 6.3.2 Guarantees of Improvements
Section 2.3 Definitions and Terms
Section 11.7 Nonconforming Signs
o Sections 11.7.1 – 11.7.4
PROPOSED AMENDMENT
The proposed text amendment is attached, with red italics indicating new language and
strikethrough indicating text that is to be removed.
Article 4: Uses and Use-Specific Standards
Section 4.4, Accessory Use and Structure Standards
4.4.4 Standards for Specified Accessory Uses and Structures
A. Accessory Dwelling Unit (ADU)
Detached accessory dwelling units shall be allowed in districts where permitted by right subject
to the following standards:
17. Mobile homes, RVs, shipping containers, and manufactured homes shall not be
permitted as accessory dwelling units.
Article 6: Subdivision Design and Improvements
Section 6.3, Improvements
6.3.2 Guarantees of Improvements
Final plats of a subdivision shall be approved by the Planning and Inspections Land Use
Department after the subdivider has complied with one of the following requirements:
A. The subdivider has installed all required improvements in accordance with the provisions of
this Ordinance; or
B. Except in the case of Minor Subdivisions, the subdivider of an approved preliminary project
in which the total cost of required improvements and administration does not exceed
$8,000,000.00 (the “Surety Limit”), provides a financial guarantee in-lieu of constructing
improvements. The surety limits stated in this section shall be adjusted periodically in
accordance with an appropriate established index approved by the County Attorney.
1. The financial guarantee shall take one of the following forms, at the election of the
subdivider:
a. A surety bond issued by any company authorized to do business in North
Carolina;
b. A letter of credit issued by an financial institution licensed to do business in North
Carolina;
c. Another form of guarantee that provides equivalent security to a surety bond or
letter of credit.
2. A financial guarantee may be deposited in escrow with an escrow agent acceptable to
the County, provided the subdivider shall file with the County Engineer an agreement
between the escrow agent and the subdivider guaranteeing the following:
a. The escrow account shall be held in trust until released by the County and shall
not be used or pledged by the subdivider in any other matter during the term
of the escrow; and
b. If the subdivider fails to complete the required improvements, the escrow agent
shall, upon notification by the County and submission by the County to the escrow
agent of an engineer’s estimate of the amount needed to complete the required
improvements, immediately either pay to the County the funds estimated to
complete the required improvements, up to the full balance of the escrow
account, or deliver to the County any other instruments fully endorsed or
otherwise made payable to the County.
3. The amount of the financial guarantee shall not exceed 125 percent of the reasonably
estimated cost of completion at the time the guarantee is issued. Any extension of the
financial guarantee necessary to complete required improvements shall not exceed 125
percent of the reasonably estimated cost of completion of the remaining incomplete
improvements still outstanding at the time the extension is obtained.
4. Conditions and stipulations to plat approval under this section are as follows:
a. The subdivider shall furnish a bona-fide estimate of the required improvements
for verification by the County Engineer. Upon the County Engineer’s
determination that the estimate furnished is reasonable, the subdivider shall
deposit with the County the surety bond, letter of credit, or other guarantee, as
applicable, in the amount of the estimate determined reasonable by the County
Engineer.
b. In the event the subdivider obtains a surety bond or letter of credit as its form
of financial guarantee, such financial guarantee shall be issued by a company
authorized to do business in North Carolina.
c. Financial guarantees in the form of a surety bond, letter of credit, or cash security
may be reduced by the County Engineer if a portion of the required
improvements have been installed, inspected, and approved. An addendum or
amendment to the original surety bond or letter of credit shall be required.
5. Inspection: The County shall conduct an inspection of the improvements subject to a
performance guarantee within 30 days of a written request received from a developer and
advise the developer whether the improvements are completed to the required
specifications. In the event the County and developer disagree whether a required
improvement is completed to the specifications of the County, the developer may obtain a
certification under seal from a licensed professional engineer that the required
improvements have been completed to the specifications of the County.
6. Release: The performance guarantee shall be returned or released, as appropriate within
30 days upon the acknowledgement by the County that the improvements for which the
performance guarantee is being required are complete or upon receipt of a certification
under seal from a professional engineer that the required improvements have been
completed to the specification of the County.
7. Coverage: No performance guarantee may be required for maintenance of any
improvement once the improvement is completed to the specifications of the County or upon
receipt of a certification under seal from a professional engineer that the required
improvements have been completed to the County’s specifications.
Article 2: Measurements and Definitions
Section 2.3, Definitions and Terms
Sign, On-Premises Advertising
A sign visible from any local or State road or highway that advertises activities conducted on the
property upon which it is located or advertises the sale or lease of the property upon which it is located.
On-premises Advertising signs include all other defined sign types except Outdoor Advertising Signs.
Article 11: Nonconforming Situations
Section 11.7 Nonconforming Signs
11.7.1 Determination of Nonconformity
Existing signs which do not conform to the specific provisions of Section 5.6, Signs, and the other
requirements of this Ordinance may be eligible for the designation “nonconforming” provided that:
A. The Building Safety Director determines that the sign is properly maintained and does not
in any way endanger the public; and
B. The sign has a valid permit or variance approval or complied with all applicable laws on
August 6, 2001.
11.7.2 Replacement and Relocation of Nonconforming Signs
A. Notwithstanding any County development regulation to the contrary, a lawfully erected on-
premises advertising sign may be relocated or reconstructed within the same parcel so long as
the square footage of the total advertising surface area is not increased, and;
B. The sign complies with the local development rules in place at the time the sign was erected,
and;
C. The construction work related to the relocation of the lawfully erected on-premises advertising
sign shall commence within two years after the date of removal.
D. The County shall have the burden to prove that the on-premises advertising sign was not lawfully
erected.
11.7.23 Loss of Nonconforming Status
A nonconforming sign may lose its nonconforming designation if:
A. The sign is removed and is not relocated or replaced in accordance with Section 11.7.2 within
24 months of removal; or
B. The structure of the sign is altered in any way except towards compliance with this Section
5.6, Signs, and the other requirements of this Ordinance. This does not refer to change of
copy or normal maintenance.
11.7.34 Maintenance and Repair of Nonconforming Signs
Nonconforming signs are subject to all requirements of this Ordinance regarding safety,
maintenance, and repair. However, if the sign suffers more than 50 percent appraised
damage or deterioration;, it shall be removed and brought into conformance with Section
5.6, Signs, and the other requirements of this Ordinance.