(A) For the purpose of providing revenue to assist in the financing and to more equitably distribute the cost of the construction of necessary additions to the water system, it is hereby determined and declared necessary to provide for the establishment, exaction and regulation of a water capacity charge as hereinafter determined, with such charge to be in addition to any and all other fees which may be imposed with respect to the said water system.
(B) The funds received from the collection of such charge, as it is herein authorized, shall be deposited daily with the town who shall credit them to a special fund from which the Council may take appropriations for the payment of the cost and expense of the construction of the water system, wells, pump stations and appurtenances and for the payment of the cost and expense of extensions to or the enlargement of same.
(C) The Department Director shall be and is hereby authorized and directed to charge and collect a water system capacity charge whenever:
(1) A water system agreement has been executed by the parties;
(2) Application is made for the issuance of a water permit to provide water service to a new structure;
(3) At the time an existing structure is enlarged or its use changes; and
(4) When an existing structure is removed and a new structure built and reuse is made of an existing water service or a new water service is constructed, where such property is or will be tributary, directly or indirectly to any water system built by the town.
(D) Credit for any existing structure which has a use change or for an existing structure enlarged or removed may be applied against the system capacity imposed in the amount of the original structure charge up to, but not more than, the current charge.
(Prior Code, § 17-2-2) (Res. 01-06, passed - -2001; Ord. 09-36, passed - -2009)