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STATE OF NORTH CAROLINA

AGREEMENT
COUNTY OF BRUNSWICK

THIS AGREEMENT made this _____ day of _____________________, 2018 by the

TOWN OF LELAND, NC ("Leland"), a municipal corporation having a place of business in

Brunswick County, NC; H2GO BRUNSWICK REGIONAL WATER AND SEWER ("H2GO"),

a sanitary district organized under Part 2 of Article 2 of Chapter 130A of the North Carolina

General Statutes and having a place of business in Brunswick County, North Carolina; and

BISHOPS RIDGE, LLC (“Developer”) whose address IS 7923 Reunion Drive, Wilmington, NC

28411.

W I T N E S S E T H:

WHEREAS, Developer intends to develop a residential subdivision on property located in

Brunswick County off of Hazels Branch Road and having an address of 15 LD Smith Lane NE,

Brunswick County, NC, such development to be known as Bishops Branch (the "Development");

and

WHEREAS, Developer has discussed with Leland his desire to have the Development

annexed into Leland and to secure sewer service for the Development from Leland; and

WHEREAS, Leland has indicated its intention to annex the Development into the Town

and to provide sewer service to the Development and has initiated the process of constructing the

necessary infrastructure to accept and transport sewer from the Development (the "Leland sewer

facilities"); and

WHEREAS, Developer is desirous of moving forward with construction of the

Development before construction of the Leland sewer facilities are completed; and

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WHEREAS, all permits for installation of sewer within the Development will be issued in

the name of Leland and upon completion of the sewer system within the Development in a manner

acceptable to Leland, the sewer system will be dedicated to Leland by the Developer; and

WHEREAS, Leland intends to accept the dedication of the sewer system for the

Development when such system is completed in a manner acceptable to Leland ; and

WHEREAS, H2GO is willing to accept sewer flow from the Development until such time

as Leland completes construction of the Leland sewer facilities; and

WHEREAS, the parties hereto enter into this Agreement in order to memorialize their

understandings and agreements regarding the provision of sewer service to the Development.

NOW, THEREFORE, in consideration of the mutual covenants set forth herein and other

good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the

parties hereto agree as follows:

1. Recitals. The recitals set forth hereinabove are incorporated herein by reference

and made a part of this Agreement.

2. Acceptance of Sewer by H2GO. H2GO agrees to accept up to a maximum of

25,000 gallons per day of sewer from the Development. The sewer will be pumped from the

Development to a manhole owned by H2GO, the location of which will be designated by H2GO.

The sewer will then gravity flow from the manhole through a line owed by H2GO to H2GO’s

Stoney Creek lift station. The necessary facilities to measure the flow and transport the sewer

from the Development to the manhole described above are referred to herein as the "temporary

facilities". The Development may begin pumping sewer to the H2GO Stoney Creek lift station at

such time as the temporary facilities have been installed to the reasonable satisfaction of H2GO

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and in accordance with H2GO’s standards and specifications for sewer connections and all

required permits and certifications have been issued.

3. Construction and Maintenance of Temporary Facilities. Developer shall be

responsible for constructing the temporary facilities. Once the temporary facilities are completed

in a manner reasonably acceptable to Leland and H2GO, Developer will transfer ownership of the

temporary facilities to Leland and from and after such transfer, Leland will be responsible for

maintenance of the temporary facilities.

4. Time Period for Acceptance of Sewer by H2GO. H2GO agrees to accept sewer

from the Development until such time as the Leland sewer facilities are constructed and

operational, the necessary connections to transport the sewer from the Development to the Leland

sewer facilities have been installed, and all required permits and certifications have been secured

by Leland.

5. Payments Due H2GO.

A. Leland shall be responsible for paying any system development fee assessed

by H2GO in connection with H2GO's acceptance of sewer from the Development. H2GO agrees

that at such time as the sewer from the Development is accepted by Leland and the temporary

connection is removed by Leland from the H2GO manhole, H2GO will refund to Leland any

system development fee paid by Leland to H2GO pursuant to the terms of this Agreement.

B. Leland shall be responsible for the payment of any treatment charges levied

by H2GO in connection with the sewer from the Development at the standard rates assessed by

Brunswick County Public Utilities for bulk sewer treatment. In order to measure the sewer flow

from the Development, a meter will be installed prior to the manhole described in paragraph 2

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above. The cost of installation of such meter shall be paid by Developer during construction of

the temporary facilities.

6. Developer Agreements.

A. In consideration of the actions to be taken by Leland as described herein,

Developer agrees that it will submit a complete petition for voluntary annexation of the

Development into the Town of Leland on or before ________________.

B. At such time as the temporary facilities are completed to the reasonable

satisfaction of H2GO and Leland and according to required permits, Developer will take all

necessary steps to transfer ownership of the temporary facilities to Leland.

C. At such time as the Leland sewer facilities are completed but before Leland

accepts any sewer from the Development, Developer shall repay Leland any system development

fee paid by Leland to H2GO as described in paragraph 5 above.

D. The obligations of Developer as described in subparagraphs (B) and (C)

above are conditions precedent to the obligation of Leland to accept any sewer from the

Development upon completion of the Leland sewer facilities.

7. Amendments. This Agreement shall not be modified or otherwise amended except

in writing signed by the parties.

8. Governing Law. This Agreement and the duties, responsibilities, obligations and

rights of respective parties hereunder shall be governed by the laws of the State of North Carolina.

9. Severability. If any section, subsection, paragraph, sentence, clause, phrase, or

portion of this Agreement is for any reason held invalid, unlawful, or unconstitutional by any court

of competent jurisdiction, such portion shall be deemed severable and such holding shall not affect

the validity of the remaining portions hereof.

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10. Reference. Use of the masculine includes feminine and neuter; singular includes

plural; and captions and headings are inserted for convenience of reference and do not define,

describe, extend or limit the scope of intent of the Agreement.

11. Entire Agreement. The Agreement constitutes the entire understanding of the

parties.

12. Binding Effect. The Agreement shall be binding upon the heirs, successors,

assigns, agents, officials, employees, independent contractors, and subcontractors of the parties.

SIGNATURES ON NEXT PAGES

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IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed the

day and year first above written.

TOWN OF LELAND

By: __________________________________________
Mayor

ATTEST:

(SEAL)
________________________________________
Town Clerk

APPROVED AS TO FORM:

________________________________________
John C. Wessell, III, Town Attorney

This instrument has been preaudited in the manner required by the Local Government Budget and
Fiscal Control Act, this the ______ day of _________________________, 2018.

________________________________________
Finance Officer, Town of Leland

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H2GO BRUNSWICK REGIONAL

WATER AND SEWER

By: _________________________________________
Chairman

ATTEST:

(SEAL)
________________________________________
Clerk

APPROVED AS TO FORM:

________________________________________
Attorney for H2GO Brunswick Regional
Water and Sewer

This instrument has been preaudited in the manner required by the Local Government Budget and
Fiscal Control Act, this the ______ day of _________________________, 2018.

________________________________________
Finance Officer, H2GO Brunswick Regional
Water and Sewer

BISHOPS RIDGE, LLC

__________________________________(SEAL)
Charles C. Poindexter, II, Manager

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