TAPPING FEES

Water and sewer tapping fees legislation, passed the General Assembly in December of 2003 (Senate final vote 48-1, House 175-21). The governor signed HB 51on December 30, 2003, which became Act 57-2003 (pdf). This act amends Act 203-1990 which governs municipal authorities in charging tapping fees, and, by reference, tapping fees for other local government units providing water and sewer service.

HISTORY/BACKGROUND

This legislation is a result of extensive negotiations for the three years between PMAA and the PA Builders Association, other interested parties, and legislators. Negotiations began in 2000 with a drafted amendment to a bill dealing with the Municipality Authorities Act. At that time, the two associations were not in agreement on the amendment changing tapping fees. Realizing the many court cases and challenges on this issue, legislators charged the two groups to work together to update Act 203 in order to establish conformity and consistency in the law. PMAA and the PA Builders Association each formed workgroups, including several members who were involved ten years prior in the Act 203 negotiations, to complete the task.

Overview

An overview in lay terms of Act 57 is provided in Tapping Fees: A Step-By-Step Look at the New Legislation (pdf). This article, published in the February 2004 issue of The Authority magazine, follows the changes to tapping fees law. In addition, PMAA held tapping fees workshops throughout the state educating members of the changes in the law and commonly asked questions and answers are provided in Qs & As on Tapping Fees (pdf). See below for a sample resolution.