1. The utility shall collect connection charges in order that each connecting property shall bear its equitable share of the cost of the public water system and the utility’s share of the cost of any regional water supply system providing water supply to the utility.

2. Connection charges shall be paid:

3. Connection charges that have been paid as a result of prior development activities or through participation in an LID or ULID shall not be reassessed.

4. The utility may enter into contracts with property owners of single-family homes and with the owners of redevelopment projects that meet criteria specified by the utility for payment of connection charges over time instead of as a lump sum. The utility will charge interest at a rate set by the director or his/her designee on any outstanding debt covered by a payment contract. A contract shall be payable in full at the time of closing upon sale of the property.

1. The utility shall collect direct facilities charges from property owners that directly benefit from utility-built or privately built water service facilities, except property owners who previously paid their fair share through an LID or ULID. Facilities that may be covered in a direct facilities charge include, but are not limited to, lines built from the water main to the property line, fire hydrant assemblies, pump stations, reservoirs and distribution and transmission mains.

2. The direct facilities charge is the property owner’s equitable share of the established costs of the facilities he/she benefits from. The equitable share shall include interest charges applied from the date of construction acceptance of the facility until the property connects, or for a period not to exceed 10 years, whichever is less, at a rate commensurate with the rate of interest applicable at the time of construction of the facility to which the property owner is seeking to connect but not to exceed 10 percent per year; provided, that the aggregate amount of interest shall not exceed the equitable share of the cost of the facility allocated to such property owner.

3. The facilities’ costs shall be allocated to benefitting property owners based on the number of single-family equivalents. The director may, however, make such allocation based on front footage or other reasonably based methodology if the director determines that such alternate basis or methodology better assures equitable sharing of cost by all properties benefitting from the facilities.