Tap Fees Imposed by Special Districts

A tap fee is a fee that is paid by a developer or property owner in order to connect a property to a public water or sewer system. Current law allows the board (board) of any sanitation, water and sanitation, or water district (water district) to impose and set the amount of a tap fee.

The bill states that a board has a duty to provide water service if the water district has the capacity to do so. The bill also requires a board, in determining the amount of a tap fee, to:

• Ensure that the amount of the tap fee is reasonably related to the costs incurred by the water district in providing water service, which may include costs relating to the acquisition of water rights; and
• Take into consideration as supporting a reduced or proportional tap fee at least 2 of the following factors:
• Expected long-term water usage, both indoor and outdoor;
• The square footage of the unit;
• The presence of low-water-usage appliances, if applicable;
• The number of bedrooms and bathrooms; and
• The presence of graywater treatment works, if applicable.
  (Note: This summary applies to this bill as introduced.)