(A) Each new demand on the town’s water and/or sewer system uses a portion of the remaining capacity of the town’s water and/or sewer treatment facilities. In anticipation of this need, the town has previously constructed water and sewer treatment facilities in anticipation of increased demand.
(B) The system development fee shall be paid by:
(1) All new customers to the town’s water and/or sewer system that place an additional demand on said existing system, and
(2) By all existing customers to the town’s water and/or sewer system that place an additional demand on said existing system through an expansion or a modification of an existing structure.
(C) In the event a customer has a septic system and is required by the town to connect to the town’s sewer system, said customer shall not be required to pay the sewer tap fee.
(D) In the event a customer has a private well and is required to connect to the town’s water system, such customer shall not be required to pay the water tap fee.
(E) The amount of the system development fee shall be set by the Town Council in accordance with appropriate general statutes. The master schedule of fees is maintained in the Clerk’s office.1
(F) All system development fees collected by the town from customers that place additional demands on the town’s water and/or sewer systems shall be placed in the town’s Utility Capital Development Fund and shall be appropriated for charge or assessment for service, including service provided pursuant to a wholesale arrangement between a water and sewer authority organized under G.S. Article 1 of Chapter 162 A and a local governmental unit, imposed with respect to new development to fund costs of capital improvements necessitated by and attributable to such new development, to recoup costs of existing facilities which serve such new development, to recoup costs incurred by a local government unit to purchase capacity in, or reserve capacity supplied by, capital improvements or facilities owned by another local governmental unit, or combination of those costs, as provided in this article. The term includes amortized charges, lump-sum charges, and any other fee that functions as described by this definition regardless of terminology. The term does not include any of the following:
(1) A charge or fee to pay the administrative, plan review, or inspection costs associated with permits required for development.
(2) Tap or hookup charges for the purpose of reimbursing the local governmental unit for the actual cost of connecting the service unit to the system.
(3) Availability charges.
(4) Dedication of capital improvements on-site, adjacent, or ancillary to a development absent a written agreement providing for credit or reimbursement to the developer pursuant to G.S. §§ 153A-280, 153A-451, 160A-320, 160A-499 or Part 3A of Article 18, Chapter 153A or Part 3D of Article 19, Chapter 160A of the General Statutes.
(5) Reimbursement to the local governmental unit for its expenses in constructing or providing for water or sewer utility capital improvements adjacent or ancillary to the development if the owner or developer has agreed to be financially responsible for such expenses; however, such reimbursement shall be credited to any system development fee charged as set forth in G.S. § 162A-207(c).
(6) A charge or fee paid by one local government unit to another local government unit for capacity in, or reserve capacity supplied by, capital improvements or facilities.
(G) The water and or sewer tap fee shall be paid by:
(1) All new customers to the town’s water and/or sewer system that place an additional demand on said existing system; and
(2) By all existing customers to the town’s water and/or sewer system that place an additional demand on said existing system through an expansion or a modification of an existing structure.
(H) Each new physical connection to the town’s water and/or sewer system include but are not limited to costs of installing a tap, service lines, meters, excavation, and paving costs to these users.
(I) In the event a customer has a septic system and is required by the town to connect to the town’s sewer system, said customer shall not be required to pay the sewer tap fee.
(J) In the event a customer has a private well and is required to connect to the town’s water system, such customer shall not be required to pay the water tap fee.
(K) The amount of the water and/or sewer tap fee shall be set by the Town Council. The master schedule of fees is maintained in the Clerk’s office.
(L) All water and/or sewer tap fees collected by the town from customers that place additional demands on the town’s water and/or sewer systems shall be placed in the town’s Water and Sewer Reserve Fund and shall be appropriated for the connection of the new user, as well as the maintenance, repair, and payment upon the existing system of water and sewer lines. 2
(1989 Code, Title III, Ch. 30, § 2-5) (Ord. passed 7-10-1990; Ord. passed 8-14-2006; Ord. passed 2-10-2009; Ord. 2024-0113, passed 5-14-2024)
Editor's note:
1 Division (E) amended by resolution August 14, 2006.
2 § 51.029 amended by resolution December 13, 2016.