Cottonwood Shores more than triples utility tap fees
Staff photo by Maci Cottingham
Cottonwood Shores is raising water and sewer tap fees for new construction, with new residential rates starting at $7,800 per connection, more than triple the previous $2,100 charge.
City officials said the increase follows an in-house audit that found the city had been under-charging for utility connections. According to City Manager J.C. Hughes, the review showed it costs about $7,745 to install a single tap, leaving a significant gap between actual costs and what developers were previously paying.
These price changes only apply to new construction and will not impact existing homes.
Unlike most nearby cities, Cottonwood Shores does not charge impact fees, which are commonly used to help fund improvements to municipal infrastructure by charging developers per utility connection needed for their project.
While the city’s tap fees were previously comparable to those of surrounding communities, other cities generate more total revenue by also charging impact fees, an option the city is evaluating for the future.
The base charge of $7,800 applies to a residential ¾ inch water line or a 2 inch sewer line. The tap fee increases proportionally based on the size of the utility lines.