07 NCAC 04R .0914         CERTIFICATIONS OF REHABILITATION

(a)  Owners who want rehabilitation projects for certified historic structures to be certified by the SHPO as being consistent with the "Standards for Rehabilitation" shall comply with the procedures listed in this Rule.

(1)           The proposed project work must be approved by the SHPO prior to undertaking rehabilitation work.  To initiate review of a rehabilitation project for certification purposes, an owner shall submit an application to the SHPO.  In all cases, documentation, including photographs adequate to document the appearance of the structure(s), both on the exterior and on the interior, and its site and environment prior to rehabilitation must accompany the application.  The social security or taxpayer identification number(s) of all owners must be provided in the application.  Other documentation, such as cleaning specifications, surveys of window conditions, or documentation of deterioration, may be required by the SHPO to evaluate rehabilitation projects.  Plans for any attached, adjacent, or related new construction must also accompany the application.  Because the circumstances of each rehabilitation project are unique to the particular certified historic structure involved, certifications that may have been granted to other rehabilitations are not specifically applicable and may not be relied on by owners as applicable to their projects.

(2)           A project does not become a certified rehabilitation until it is completed by the owner and certified by the SHPO.  The owner shall submit the request for final certification and provide the project completion date and a signed statement that the completed rehabilitation project meets the "Standards for Rehabilitation" and is consistent with project work previously approved. Also required in requesting certification of a completed rehabilitation project are costs attributed to the rehabilitation, photographs adequate to document the completed rehabilitation, and the social security or taxpayer identification number(s) of all owners.

(b)  A rehabilitation project for certification purposes encompasses all work on the interior and exterior of the certified historic structure(s) and its site and environment as determined by the SHPO, as well as related demolition, new construction or rehabilitation work which may affect the historic qualities, integrity or landscape features, and environment of the certified historic structure(s).  More specific considerations in this regard are as follows:

(1)           In order to receive certification, all elements of the rehabilitation project must meet the "Standards for  Rehabilitation."  Portions of the rehabilitation project not in conformance with the "Standards for Rehabilitation" shall not be exempted and certification shall be denied.  An owner undertaking a rehabilitation project shall not be held responsible for prior work not part of the current project and undertaken prior to January 1, 1998.  An owner undertaking a rehabilitation project shall not be held responsible for work that was undertaken by previous owners or third  parties, who have no business or immediate family relationship to the owner either at the time of the previous work or at the time the application is made.

(2)           If the SHPO has reason to believe that a project submitted for certification does not include the entire rehabilitation project subject to review hereunder, the SHPO may choose to withhold a decision on such a certification until such time as the proper scope of the rehabilitation project to be reviewed has been determined.  Factors to be taken into account by the SHPO in this regard include, but are not limited to, the facts and circumstance of each application and:

(A)          whether previous demolition, construction, or rehabilitation work irrespective of ownership or control at the time was in fact undertaken as part of the rehabilitation project for which certification is sought, and

(B)          whether property conveyances, reconfigurations, ostensible ownership transfers, or other transactions were transactions which purportedly limit the scope of a rehabilitation project for the purpose of review by the SHPO without substantially altering beneficial ownership or control of the property.  The fact that a property may still qualify as a certified historic structure after having undergone inappropriate rehabilitation, construction, or demolition work does not preclude the SHPO from determining that such inappropriate work is part of the rehabilitation project to be reviewed.

(3)           Conformance to the "Standards for Rehabilitation" shall be determined on the basis of the application documentation and other available information by evaluating the property as it existed prior to the commencement of the rehabilitation project.

(4)           For rehabilitation projects involving more than one certified historic structure where the structures are judged by the SHPO to have been functionally related historically to serve an overall purpose, such as a mill complex or a residence and carriage house, rehabilitation certification shall be issued on the merits of the overall project rather than for each structure or individual component.  For rehabilitation projects where there is no historic functional relationship among the structures, the certification decision shall be made for each separate certified historic structure regardless of how they are grouped for ownership or development purposes.

(5)           Demolition of a building as part of a rehabilitation project involving multiple buildings may result in denial of certification of the rehabilitation.  In projects where there is no historic functional relationship among the structures being rehabilitated, related new construction which physically expands one certified historic structure undergoing rehabilitation and, therefore, directly causes the demolition of an adjacent structure will generally result in denial of certification of the rehabilitation unless a determination has been made that the building to be demolished is not a certified historic structure.  In rehabilitation projects where the structures have been determined to be functionally related historically, demolition of a component may be approved, in limited circumstances, when: 

(A)          the component is outside the period of significance of the property;

(B)          the component is so deteriorated or altered that its integrity has been irretrievably lost; or

(C)          the component is a secondary one that generally lacks historic, engineering, or architectural significance or does not occupy a major portion of the site and persuasive evidence is present to show that retention of the component is not technically or economically feasible.

(6)           In situations involving the rehabilitation of a certified historic structure in a historic district, the SHPO shall review the rehabilitation project first as it affects the certified historic structure and second as it affects the district and make a certification decision accordingly.

(7)           In the event that an owner of a portion of a certified historic structure requests certification for a rehabilitation project related only to that portion of the structure, but there is or was a larger related rehabilitation project(s) occurring with respect to other portions of the certified historic structure, the SHPO's decision on the requested certification shall be based on review of the overall rehabilitation project(s) for the certified historic structure.

(c)  Upon receipt of a complete application describing the rehabilitation project, the SHPO shall determine if the project is consistent with the "Standards for Rehabilitation."  If the proposed project does not meet the "Standards for Rehabilitation," the owner shall be advised of that fact in writing and, where possible, shall be advised of necessary revisions, in the form of conditions, that will bring the proposed rehabilitation project into compliance with the Standards.

(d)  Once a proposed project has been approved, substantive changes in the work as described in the application must be brought promptly to the attention of the SHPO by written statement to ensure continued conformance to the  Standards.  The SHPO shall notify the owner in writing whether the revised project continues to meet the Standards.  Oral approvals of revisions are not authorized or valid.

(e)  Completed projects may be inspected by the HPO to determine if the work meets the "Standards for Rehabilitation."

(f)  If a completed rehabilitation project does not meet the "Standards for Rehabilitation," an explanatory letter from the SHPO or his/her duly authorized representative shall be sent to the owner.  If a property was not rehabilitated in conformance with the "Standards for Rehabilitation" and the nonconforming work appears to have resulted in the loss of the qualities for which the property or the district in which it is located was listed in the National Register, the SHPO, as administrator of the National Register program in North Carolina, shall notify the National Register of Historic Places in accord with the Code of Federal Regulations.

History Note:        Authority G.S. 105-130.42; 105-151.23;

Temporary Adoption Eff. January 1, 1998;

Eff. August 1, 1998;

Pursuant to G.S. 150B-21.3A, rule is necessary without substantive public interest Eff. July 26, 2015.