H344 - System Development Fees Update. (SL 2021-76)

Overview: S.L. 2021-76 does the following:

• Clarifies certain minimum standards incorporated into the generally accepted accounting, engineering, and planning methodologies used to calculate system development fees imposed by local governments for public water and sewer systems.
• Provides that the system development fee also applies to service provided under a wholesale arrangement between a water and sewer authority and a local governmental unit.
• Provides that water and wastewater public utilities are solely responsible for funding the income taxes due on taxable contributions made to the utility by a developer and that the taxes be recovered through the rate base over the life of the asset.

This act became effective July 2, 2021.