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Act 57 Prohibits Authorities from Requiring a Tapping Fee when a Planning Module or Waiver Approval is Requested, then Billing for Service

Until now, some authorities required builders to pay tapping fees when capacity was committed and then began billing for service before construction began. Under Act 57, however, this will no longer be permitted. Instead, authorities will have two options. They may collect a tapping fee when the building permit is issued or when planning approval is granted. If they collect a tapping fee when the building permit is issued, they may collect a reservation of capacity fee that does not exceed 60% of the average sewer bill for a residential customer. If, however, they choose to collect the tapping fee when planning approval is granted, they cannot collect a reservation of capacity fee or any other similar fee.

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