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What does tapping fee mean? Does lateral fee include installation?

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What does tapping fee mean? Does lateral fee include installation?

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A tapping fee is a fee that is authorized through PA Code (Act 57 of 2003), that permits municipalities to recover some of the capital value of a water or sewer system through an up front fee to new connectors. It also provides for a “reimbursement’ component that when developers contribute to the cost of public infrastructure, the developer is reimbursed a portion or all of the tapping fee to help offset their costs. The agreement between the developers and the Township specifies the Township will charge a tapping fee and will provide reimbursement to the developers through the tapping fee. The Township will be receiving as a contribution $19.6 Million in contributed infrastructure (Phase I of the WWTF only) initially. In return will be reimbursing the developers $1.3 Million through the tapping fees. The cost of the individual laterals quoted at the meeting does include installation.

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