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Wingate approves MOU permitting limited framing in Glenns II Phase 2 with no occupancy until fire-flow minimum met
Summary
The board approved an MOU with developer True Homes allowing limited framing in Glenns II Phase 2 (Map 3) but prohibited any Certificates of Occupancy until required fire flow of 750 gallons per minute is achieved; the agreement requires indemnification and insurance and is contingent on insurer and attorney review.
At the June 16 meeting the Wingate Board of Commissioners approved entering a Memorandum of Understanding with True Homes, LLC to permit limited home construction activities in Glenns II Phase 2 (Map 3), subject to review by the town's insurer, the North Carolina League of Municipalities and revisions by the town attorney.
The MOU text (Exhibit G) included multiple conditions: True Homes will cap framing activities at a maximum of 32 lots in Map 3 and will not begin framing on specified lots (52, 86, 105, 112). The agreement explicitly prohibits issuing Certificates of Occupancy for homes in Map 3 until fire flow meets or exceeds the town's minimum requirement of 750 gallons per minute (gpm). The MOU also states that True Homes accepts risk for construction undertaken while the fire-flow deficiency remains unresolved and includes indemnification language and insurance requirements (commercial general liability with limits of at least $1,000,000 per occurrence and $2,000,000 aggregate, and workers' compensation coverage). A copy of the MOU was entered into the record as Exhibit G.
Board members made clear the approval is conditional: the motion, made by Commissioner Johnny Lowery and seconded by Commissioner John Mangum, authorizes the town manager to execute the agreement only after additional reviews and any necessary revisions by counsel and the insurer. The motion passed unanimously.
Context: Glenns II Phase 2 previously failed multiple fire-flow tests showing flow below the 750 gpm standard; the developer and Union County Water have planned transmission-main connections and other measures to improve flows. The MOU states that True Homes will pursue technical improvements and that, as a back-up, it has designed an 8-inch connection to create a secondary loop feed to improve fire flow if the transmission main activation is delayed.
Next steps: The agreement is subject to insurer and attorney approval and does not permit occupancy nor create an obligation for the town to accept increased fire risk. The board's vote allows constrained construction activity to proceed while technical fixes are finalized.
