I got my C&R about 4 years ago. First, I checked with the Wake Co. Sheriff office and they said the sheriff was the CLEO. Then I checked with Cary, and they said the Cary police chief was it. I decided to go with the sheriff. Just mail a photocopy of the application along with a cover letter. All you are doing is notifying them as required -- the CLEO does not have to "approve" anything.
As for the bound book -- I used the one available from RK Enterprises (805-687-1416), which only cost $7.50 at the time. The BATF requires certain info to be logged, but you don't have to buy a fancy book to do it in.
That was it -- got the license in several weeks, sent signed copies to various dealers for their files, and then started blowing money on old rifles. Great fun!
Note: be sure to make photocopies of your new license first, then sign the copies in blue or other non-black ink. Keep your unsigned original in a safe place.