Utility Fees and Assessments

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Utility fees and assessments are critical components of construction projects, covering the costs of connecting to and using public utilities and infrastructure.

This category includes utility connections, easements, impact fees, meter installations, and permits related to public right-of-way that need to be addressed during your project.

Common Utility Fee Types
  • Impact Fees - Charges imposed by local governments to fund infrastructure improvements needed due to new development
  • Connection Fees - Costs for connecting to utility services such as water, sewer, gas, and electricity
  • Tap Fees - Specific charges for connecting to water and sewer systems
  • Meter Installation - Costs for installing utility meters for water, gas, and electricity
  • Easement Costs - Fees related to utility easements on or adjacent to the property
  • Public Right-of-Way Permits - Required for work that affects public streets or sidewalks
Key Considerations
Budgeting

Utility fees can represent a significant portion of the project budget. Early assessment and inclusion in cost estimates is crucial.

Timing

Many utility connections require advanced planning and coordination. Applications should be submitted early in the project timeline.

Coordination

Coordination with utility companies and local agencies is necessary to ensure timely installation and avoid construction delays.

Documentation

Maintain detailed records of all applications, permits, and fees paid for utility connections and services.

Complete List of Utility Fees and Assessments
# Utility Fee/Assessment Description Typical Timeline
1 Underground Utility Easements Legal rights for utility companies to access underground utilities on private property 4-8 weeks
2 Sewer Tap and Impact Fees Charges for connecting to municipal sewer systems and impact on infrastructure 2-4 weeks
3 Storm Drain Tap Fee Fee for connecting to municipal storm drainage systems 2-4 weeks
4 Storm Drainage Impact Fee for impact on stormwater management systems and water storage 2-4 weeks
5 Water Impact Fees Charges for impact on municipal water systems and infrastructure 2-4 weeks
6 Public Services Impact Fees Fees for impact on general public services and infrastructure 2-4 weeks
7 Utility Relocation Fees Costs for relocating existing utilities (electrical, sewer, gas) during construction 4-12 weeks
8 Transit District Fees Fees imposed by local transit authorities for development impact 2-4 weeks
9 Underground Transit Fees Fees related to underground transit systems near the property 2-4 weeks
10 Automatic Transfer Switch Fee Fee for electrical systems with automatic transfer capability 2-4 weeks
11 Water Meter Installation costs for water meters 2-4 weeks
12 Gas Connection Fees Costs for connecting to natural gas services including meter installation 3-6 weeks
13 Electric Connection Fees Costs for connecting to electrical services including meter installation 3-6 weeks
14 Cable Connection Fees Costs for installing data/cable infrastructure 2-4 weeks
15 Telephone Service Origination Fee Fees for establishing telephone service connections 2-4 weeks
16 Consumption Fees Advanced payment for utility consumption during construction 1-2 weeks
17 Sidewalk Closure Permits Permits required for temporary sidewalk closures during construction 1-3 weeks
18 Street Use Permits Permits for using public streets for construction activities 1-3 weeks
19 Street Lighting Assessment Fees for impact on or installation of street lighting 2-4 weeks
20 Traffic Impact Assessment Fees based on projected traffic impact of the development 4-8 weeks
21 "B" Permit Work Permit for work in public right-of-way 3-6 weeks
22 Joint-Trench Work Permits and fees for combined utility trenching work 3-6 weeks
23 Sewer Inspection Fee Fee for video inspection of existing sewer infrastructure 1-2 weeks
Utility Coordination Tips
Early Planning

Contact utility companies at least 6-12 months before construction begins to understand requirements, costs, and timelines.

Scheduling

Schedule utility work and inspections well in advance, as utility companies often have long lead times for service installations.

Site Planning

Consider utility requirements during site planning to ensure adequate space for equipment, access points, and easements.

Single Point of Contact

Designate one team member to coordinate all utility-related matters to ensure consistent communication and accountability.

Documentation

Maintain detailed records of all utility applications, approvals, and communications for reference and troubleshooting.

Budgeting

Include a contingency of 15-20% in the utility budget to account for unexpected fees, requirements, or delays.

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