System Development Charges Clause Samples
The System Development Charges clause defines the fees imposed on developers or property owners to cover the costs of expanding or upgrading public infrastructure, such as water, sewer, or transportation systems, necessitated by new development. Typically, these charges are calculated based on the size or type of the project and are collected at the time of permit issuance or prior to construction. The core function of this clause is to ensure that the financial burden of infrastructure improvements required by new developments is fairly allocated, preventing existing residents from bearing these additional costs.
System Development Charges. Greeley shall commence payment to Evans of the monthly SDC associated with each new sanitary sewer tap, as described in section 5 above, upon its receipt of a sanitary sewer plant investment fee from that customer. Greeley shall provide a monthly report to Evans summarizing all new sanitary sewer taps installed in the Greeley ▇▇▇▇▇▇▇▇ Draw Service Area and associated SDCs due, and remit payment to Evans for SDCs due within thirty (30) days after receipt from Evans of the invoices described in section 9.2 below.
System Development Charges. Collectively, the Water System Development Charges and the Wastewater System Charges. Tap: The physical connection to Rangeview’s Water or Wastewater Systems which is authorized by sequentially numbered Water and/or Wastewater Tap Licenses issued by Rangeview for the same.
System Development Charges. Greeley shall pay to Evans the following system development charges for general sanitary sewer treatment services provided pursuant to section 3 above, until the Greeley ▇▇▇▇▇▇▇▇ Draw Sanitary Sewer Lift Station is constructed and operational. System development charges are not refundable.
5.1 For each new sanitary sewer tap installed in the Greeley ▇▇▇▇▇▇▇▇ Draw Service Area and served by Evans pursuant to section 3 above, Greeley shall pay to Evans a monthly system development charge (“SDC”) in the amount of 4.17 percent (i.e., one- twelfth of one-half) of the plant investment fee charged by Evans for sanitary sewer customers outside its own city limits at the time such tap is installed.
5.2 Greeley shall be responsible for the monthly SDC payments described in section 5.1 above only until the Greeley ▇▇▇▇▇▇▇▇ Draw Sanitary Sewer Lift Station is constructed and operational, and only up to a maximum of twelve (12) monthly SDC payments for each new sanitary sewer tap installed in the Greeley ▇▇▇▇▇▇▇▇ Draw Service Area and served by Evans (i.e., a total maximum amount for each tap equal to one-half of the plant investment fee charged by Evans for sanitary sewer customers outside its city limits at the time such tap is installed).
5.3 In the event that the Greeley ▇▇▇▇▇▇▇▇ Draw Sanitary Sewer Lift Station is not constructed and operational within five (5) years from the execution of this Agreement, Greeley shall be responsible for twelve (12) additional monthly SDC payments to Evans for each new sanitary sewer tap installed in the Greeley ▇▇▇▇▇▇▇▇ Draw Service Area and served by Evans (i.e., a total maximum amount for each tap equal to the entire plant investment fee charged by Evans for sanitary sewer customers outside its city limits at the time such tap is installed).
System Development Charges. 12.1 Milliken shall pay to Greeley an annual system development charge (“SDC”) when the metered water delivered to Milliken in any year exceeds the acre-feet delivered in the base year. Payment of the SDC will create a new base year delivery volume. No SDCs will be due in subsequent years for metered delivery equal to or less than the new base year delivery volume. Payments of the SDC will occur in twelve monthly increments following the calendar year in which the exceedance occurs. In no case shall SDCs be refunded. ▇▇▇▇▇▇▇▇’▇ current base year volume at the time this Agreement is executed (September 2021) is 442.1 acre-feet.
12.2 The SDC due shall be a percentage of the then-current Inside the City Greeley ¾- inch tap plant investment fee (expressed in $/acre-feet), to be multiplied by ▇▇▇▇▇▇▇▇’▇ consumption in acre-feet of water metered in excess of the base year delivery. The SDC percentage is calculated as follows: the typical Milliken single-family customer benefits from 75% of Greeley Water System. To express Greeley’s plant investment fee in terms of $/acre-feet, the average annual inside-the-City residential demand, as used in the annual update of the Greeley rate model, is divided into the plant investment fee.
System Development Charges. Subject to Section 3.03 and 3.04 herein, the District agrees to adopt by District resolution, as part of the District’s System Development Charge, the components of the City’s system development charge, applicable to the District, as established by legally adopted City ordinance for replacements and improvements to the sewage treatment plant and outfall system. However, no portion of the City’s SDC collected by District from District customers shall be expended by City for any expenses for the City's sewage collection system, except for that portion of the system described in Section 5.0. All SDC's collected by the District from District customers and sent by District to the City shall be accounted for and shall be dedicated for expansion of the Wastewater Treatment Plant capacity and for debt service associated with past Treatment Plant capacity expansion. The improvement fee portion of the City’s SDC may only be used to pay for capacity expansion projects and the reimbursement portion of the City’s SDC shall only be used to pay for eligible debt service and other eligible expenses and these amounts shall be accounted for by the City.
System Development Charges. Substantial customer growth over time requires expansion of the MWC transmission and treatment facilities to meet the additional demand for water. The MWC evaluated revenue generating alternatives for funding these noted facilities and established Water System Development Charges (SDCs) and supporting methodology in 1994 to provide an equitable method of financing future MWC transmission and treatment expansions. These charges were developed in accordance with ORS 223.297 to 223.314. MWC has adopted a Resolution to enact SDCs. The SDCs, reviewed and/or updated yearly in accordance with adopting Resolution No. 774, provides the mechanism for all new customers of any city to pay a fair amount for their proportionate share of the cost of this expansion and thereby minimize the financial impact to existing users. This method of financing applies evenly and at the same amount to all new customers receiving water service whether they are direct MWC customers or are served by one of the Wholesale Other City Customers who receive water from MWC. The MWC shall make the final decision on whether to increase/decrease/maintain or abolish the use of SDCs to fund future MWC plant expansion. Resolutions or ordinances of the MWC, WHOLESALE OTHER CITY CUSTOMER, additional Wholesale Other City Customers, and Wholesale Water Districts shall be enacted to confirm that decision. SDCs are collected by MWC and/or WHOLESALE OTHER CITY CUSTOMER pursuant to conditions such as whenever a new water service connection is installed or whenever an existing service is enlarged. SDCs shall not be returned once collected and paid. All SDCs collected by WHOLESALE OTHER CITY CUSTOMER will be held in a separate account and forwarded to MWC along with an accounting of the number and sizes of the services installed. WHOLESALE OTHER CITY CUSTOMER shall provide a copy of the section within the annual WHOLESALE OTHER CITY CUSTOMER audit that shows accounting of MWC SDCs collected during the audited year. MWC shall in-turn provide WHOLESALE OTHER CITY CUSTOMER an annual accounting of all SDCs collected. MWC utilizes a utility basis for determining the water usage rate it charges its WHOLESALE OTHER CITY CUSTOMER. Under this rate analysis, WHOLESALE OTHER CITY CUSTOMER is required to pay a return on investment for its share of the facilities paid for by MWC. In all rate actions, facilities funded by SDCs shall not be included in the return on investment portion of the rate analysis. MWC shall render...
System Development Charges. 12.1 ▇▇▇▇▇’ current base year delivery volume as of the date of this Agreement is 2,766.41 acre-feet. ▇▇▇▇▇ shall pay to Greeley a system development charge (“SDC”) in the event that the total volume of metered water delivered by ▇▇▇▇▇▇▇ to ▇▇▇▇▇ in any year pursuant to this Agreement exceeds the then current base year delivery volume. After ▇▇▇▇▇ incurs an SDC, its base year delivery volume shall be increased by the amount it exceeded the previous volume to create a new base year delivery volume. No SDCs will be due in subsequent years for metered delivery equal to or less than the new base year delivery volume. Payment of any SDCs incurred shall be made by ▇▇▇▇▇ in twelve (12) equal monthly installments, beginning in January, immediately following the calendar year in which the exceedance occurs. In no case shall SDCs be refunded.
12.2 The SDC rate to be paid by ▇▇▇▇▇ under this Agreement shall be calculated using a formula based on three values: 1) The then current Greeley Inside the City residential ¾-inch tap plant investment fee (“PIF”), 2) the then current Greeley Inside the City annual average residential demand and (3) the approximate percentage the Greeley Water System that benefits ▇▇▇▇▇. To express the SDC rate in terms of $/acre-foot, the then current Greeley Inside the City PIF will be divided by the then current average annual residential demand (expressed in acre-feet), and then multiplied by 75%, which is the approximate percentage of Greeley’s Water System that benefits ▇▇▇▇▇.
System Development Charges. ECCWD acknowledges that WMU, through City, has adopted a schedule of System Development Charges (SDCs) to recover certain costs associated with serving growth and to protect the ratepayers of both WMU and ECCWD from rate increases necessary to serve growth. A
System Development Charges. (1) The Authority is hereby empowered to levy and collect Water System Development charges and Sewer System Development Charges, for capital improvements and debt service on such capital improvements as hereinafter specified, and adopt a schedule of payment of said system development charges, within the boundaries of the Authority, under any of the following conditions:
(A) Whenever a property owner or its authorized representative connects an existing structure to the System or portion thereof owned or operated by the Authority;
(B) Whenever a property owner or its authorized representative applies for a building permit and prior issuance of a building permit to alter an existing structure previously connected to the Water System and/or the Sewer System, where such alteration increases the potential demand on the System; or
(C) Whenever a property owner or its authorized representative applies for a building permit and prior to issuance of a building permit to construct a structure on property which according to an adopted plan is scheduled in the future to be connected to a system owned or operated by the Authority even though the property owner or his representative may receive interim water and/or interim sewer service from a source other than the Authority.
(2) Except as otherwise provided by the resolution authorizing issuance of bonds or other obligations of the Authority, Water System Development Charges shall not be transferred or used for any purpose other than capital improvements for raw water supplies, capital improvements for treatment, water treatment facilities, water transmission mains, storage facilities, pumping facilities, lift stations, distribution, collection, and reclaimed lines, and related facilities required to provide new connections by new customers and for payment of debt service on public obligations issued to finance any such capital improvements. Capital improvements which are designed to benefit existing customers of the Authority shall not be paid for with funds from this account.
(3) Except as otherwise provided by the resolution authorizing the issuance of bonds or other obligations of the Authority, Sewer System Development Charges shall not be transferred or used for any purpose other than capital improvements for sewage treatment and disposal facilities, sewage transmission facilities, and related facilities required to provide new connections by new customers and for payment of debt service on public obligations iss...