State’s New Water Systems Fees Will Impact Businesses

The state Department of Public Health will assess new fees on certain water systems, including many Connecticut businesses.
DPH is implementing fees to offset decreases in federal grant funding for implementing and enforcing the Federal Safe Drinking Water Act.
The fees will apply to Community Public Water Systems and Non-Transient Non-Community Public Water Systems.
Non-transient systems regularly serve at least 25 of the same individuals, including businesses, daycare centers, and schools.
Community systems regularly serve at least 25 residents, including apartment and condominium complexes.
Non-transient systems will be assessed a $125 annual fee, as will community systems with less than 50 service connections.
Community systems with 50 to 99 service connections face a $150 annual fee, while community systems with 100 or more service connections will face a $2.57 per-service connection fee that may be passed to customers on a pro-rata basis.

Retroactive Fees

The fees are for the fiscal year that runs from July 1, 2018 through June 30, 2019.
Affected businesses can expect to receive an invoice from DPH on or before Jan. 1 with payments due by March 1.
Historically, the U.S. Environmental Protection Agency has been the primary funding source for state drinking water programs.
But due to the federal funding decrease, the new fee—the Safe Drinking Water Primacy Assessment—is now required to cover the outstanding balance, capped at $2.5 million for fiscal year 2019.
DPH officials anticipate fees will need to rise in future years.
The agency has announced it will hold a hearing later this fall to get public comments on how future fees should be calculated and processed.

For more information, contact CBIA’s Michelle Rakebrand (860.244.1921) | @MRakebrand