User Charges
Treatment Capacity Fees
A treatment capacity fee (TCF) will be assessed to all new connections to the sewer system. This fee is based upon the projected cost of wastewater treatment facilities, the capacity associated with these facilities and the number of equivalent residential units (ERUs) to be served by the facilities. The TCF is $2,000 per ERU. An ERU is defined based on water meter/service line size, i.e., all ¾ inch services are considered to be a single ERU. Customers would be allowed to pay the TCF in accordance with one of the following options.
One time payment
- One time payment of $2,000 per ERU. This payment will be billed separate from the water bill. The customers will be billed the week following connection and will be given 30 days to pay.
Treatment Capacity Fee Loan Program
- The Treatment Capacity Fee loan program is paid over a 10-year period at 4% interest. The monthly installment will be billed on the 1st of each month following connection.
Community Development Block Grant (CDBG)
- CDBG funding assistance is available to those meeting the income qualification requirements guidelines.
Common Questions Regarding Community Development Block Grants (CDBG)
Who is Eligible?
- Citizens that meet the income criteria set by HUD
- Owner occupied single family residences (Property cannot be held in Trust)
- Property must be your primary residence (You must bank and file taxes in Arizona)
What type of proof of income/ownership is required?
Proof of ALL INCOME, including but not limited to:
- Statement of benefits from Social Security, and
- Statement of retirement benefits, and
- Statement of all dividend income paid, and
- Statement of interest paid
- Two current paycheck stubs
Proof of Ownership:
- Copy of property tax, or
- Copy of property deed
Who's income must be listed on the application?
- Every person that resides in the home, regardless of family relationship
- You must provide proof of income for all members of the household, including minor children
Who cannot apply for this grant?
- Households that have a home based business
- Rental units
- Multi-family units
- Households that are over the income limit
- Homes that are in trust
Outside City Water Service Area
- Customers outside the Lake Havasu City water service area will be billed per their applicable wastewater service agreement.
MONTHLY BILLING
The most significant revenue source for repayment of the $463 Million sewer bond is a monthly user charge for service assessed to each connection account. Currently, user charge revenues are being collected from approximately 2,750 accounts. User charge revenue is expected to increase rapidly as the capital improvement program is undertaken and existing and new homes and businesses are connected to the sewer system. The typical bill for residential accounts is projected to be approximately $40 per month for years 2001-2005. After year 2005, the rate gradually increases every year until it reaches approximately $53 per month in year 2013.
The minimum monthly user charge of $37 will be assessed for those with a winter average of 714 c.f. of water consumption or less. The average is based on water consumption for three of the four winter months - Jan, Feb, Mar, April. The month with the highest consumption is discarded in the calculation of the average. The resulting winter average is the basis for the monthly charge between the months of May of that year and April of the following year. The average is recalculated annually. If a new home without a winter average is connected to sewer, it will be billed based on actual water consumption until a winter average is established. The minimum of $37 will also apply to these customers.
For those property owners who do not wish to sign the license agreement for property access, the responsibility becomes their own to provide a sewer lateral and close their septic tank. This connection must be made within 14 days after receiving notice that the sewer is available for connection. It will also be the property owner's responsibility to obtain proper inspection records of the lateral installation and tank closure. Property owners that chose to install their own lateral will still be required to pay the $2,000 capacity fee.