Terms Used In Louisiana Revised Statutes 33:7713

  • Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
  • Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
  • person: includes a body of persons, whether incorporated or not. See Louisiana Revised Statutes 1:10

A.  Boundaries.  The tapping fee shall apply to customers within the boundaries of the district known as the Consolidated Waterworks District No. 1 of Terrebonne Parish.

B.  Purpose.  The purpose of the tapping fee is to continue providing potable water at an affordable cost to customers who are unable to obtain water service in the manner required by the policy of the district.

C.  Governance of fee.  The board of commissioners is authorized to impose a tapping fee on any prospective district customer which shall be paid before water service will be allowed.  This tapping fee shall not exceed the actual cost as defined herein for the installation of an appropriate waterline as called for in the policy of the district, together with such fittings, hydrants, valves, and other appurtenances as may be required by the district, across the entire frontage of the property for which water service is sought.  Subdivision of the property in question after installation of the appropriate waterline shall not prevent the assessment of this charge against the first applicant for water service from the property so subdivided.  The tapping fee imposed shall be paid in full before water service will be allowed to any person on the property charged with the tapping fee.  In addition the land owner shall pay all appropriate fees and deposits before the institution of service.

D.  Fee imposition.  In order to be charged with a tapping fee as a condition to water service, the following conditions shall be met:

(1)  A landowner or developer seeking water service must be unable to obtain water service in the manner required by the policy of the district.

(2)  The landowner or developer seeking water service must construct a waterline of appropriate size and quality, together with all fittings, valves, hydrants, and appurtenances, across the entirety of the landowner’s or developer’s property where water service is sought and otherwise comply with all of the district’s policies.

(3)  The inability of the landowner or developer seeking water service to connect its property to the waterline determined by the district’s staff to be the nearest appropriate waterline available for service to the property in question must arise from the subdivision approval by local government procedure of the property upon which the tapping fee is to be charged without the subdivider being required to install the waterline or waterlines required by the district’s policy as a condition for approval of the subdivision.

(4)  The district, in its exclusive discretion, shall determine the availability of funds for use in the proposed project in light of its other obligations and projects.

(5)  The developer or subdivider shall make a reasonable, good faith effort, proven to the satisfaction of the district, to reach a conventional private agreement with the landowner or landowners identified as owning the property between the district’s waterline designated for connection and the developer or subdivider’s property.

(6)  Preparation of a professional estimate of the cost of the entire waterline project, together with an estimate of the proportionate share of the waterline across the property of the landowner or landowners identified as owning the property between the district’s waterline designated for connection and the developer or subdivider, approved by the staff of the district for compliance and reasonableness of cost estimate.  The cost of the preparation of the professional estimate shall exclusively be that of the proposed developer or subdivider.

(7)  Notice of both the intent to impose a tapping fee and the overall cost estimate and calculation of the proportionate share of the landowner or landowners shall be issued as provided herein.

(8)  The district shall not agree to pay more than the proportionate share of the landowner costs against whom a tapping fee is sought to be imposed as determined by the estimate approved by the staff of the district.

(9)  The district shall reserve the right to full disclosure of any and all construction activities, agreements, billing, cost estimates, and any and all other financial or construction aspects of any construction project where a tapping fee is to be assessed.  The district shall reserve the right to audit any appropriate records upon which actual expenditures are determined and to employ any expert it deems necessary to investigate and examine financial or construction aspects of the project.

(10)  The landowner against whom a tapping fee is sought may not be charged a tapping fee in excess of the estimate of proportionate cost or the sum actually paid by the district, whichever is lesser, together with an appropriate interest rate as set forth below.

E.  Costs.  A cost estimate shall be prepared in order to fairly and equitably arrive at a determination of the proportionate share of the overall construction project resulting in a tapping fee to be chargeable to any property for which water service is subsequently sought.  The cost estimate shall include the cost of all materials needed for the construction, including pipe, valves, fittings, water hydrants, and any and all other appurtenances deemed necessary under the district’s policies, the cost of its construction, labor, installation of any required components, and any associated engineering or legal fees arising from the project, including cost of right of way acquisition and other charges arising directly from the construction required in connection with the project in question.  The property upon which the tapping fee is to be assessed may not be charged with costs which are unique to other property, such as site, soil, or geographical conditions or other factors, which would increase the cost of construction over such area where the factors in question do not exist on the property upon which the tapping fee is sought to be charged.  Conversely, factors which increase the cost of construction on the area in question, such as site, soil, or geographical conditions, or other factors, may properly be considered in determining the cost of the improvements across the property upon which the tapping fee is sought to be imposed.  Interest may be charged at a rate to be determined by the district not to exceed the existing legal interest rate at the time of completion of construction.

F.  Servitudes and rights of way.  Nothing in this Section shall be construed as allowing the  Consolidated Waterworks District No. 1 of Terrebonne Parish to install waterlines without the necessity of obtaining all appropriate servitudes or rights of way prior to installation of waterlines on private property either through obtaining a conventional servitude or obtaining a right of way by expropriation or any other legally authorized procedure or method.

G.  Notice.  Notice shall be given according to the following:

(1)  To the landowner against whom a tapping fee is sought to be imposed of the intent of the district to consider imposing such tapping fee.  The district shall be entitled to rely upon the public records of Terrebonne Parish, Louisiana, and the current assessor’s rolls of Terrebonne Parish, Louisiana, in order to determine a proper address for the notice.

(2)  To the landowner against whom a tapping fee is sought to be imposed of the date, time, and location of the meeting at which the notice shall be considered.  Such notice shall be mailed at least fifteen days prior to the meeting.

(3)  To the landowner against whom a tapping fee is sought to be imposed within fifteen days of a meeting of the district at which the tapping fee policy of the district is deemed to be appropriate for implementation of the action taken by the board of commissioners.

(4)  To the landowner against whom a tapping fee is sought to be imposed forwarding a copy of the cost estimate required by this resolution and policy.

(5)  After completion of the construction in question, the landowner against whom the tapping fee policy is imposed shall be informed of the final cost determination of the proportionate share of said landowner for the waterline in question.  This notice shall further include a provision to the effect that the landowner shall not be allowed water service until the tapping fee amount set forth on the notice is paid in full.  This notice shall further be recorded in the conveyance and mortgage records of Terrebonne Parish, Louisiana.

Acts 2007, No. 248, §1, eff. July 6, 2007.