Saturday, May 12, 2012

Stormwater Utility Fee

A stormwater utility fee is a revenue source currently being used by over 300 Florida cities to meet the challenges caused by stormwater runoff. Other communities throughout the Nation are considering the implementation of a stormwater utility fee. The fee provides a dedicated recurring source of funds for stormwater management improvements. The utility fee is based on the user fee concept in that the charge is based on the level of benefit received. In other words, the greater the stormwater impact by a property, the more that property will be charged. Because the stormwater utility fee is new to Northwest Florida, some frequently asked questions about the utility fee are provided below:

Q. What is a stormwater utility fee?
A. It is a fee assessed to property owners in the city that will provide additional revenue to improved stormwater management in the City of Pensacola.

Q. How is the fee assessed?
A. The fee is assessed based on the impact of stormwater generated from property located within the city limits. The impact is calculated based on the amount of impervious area (land area covered or paved) and this is shown as an Equivalent Stormwater Unit or ESU.

Q. What is an ESU?
A. It is the estimated amount of stormwater generated by impervious surfaces on each parcel of developed property. The ESU for Pensacola is 2,998 square feet (proposed FY 2012) or the amount of impervious area for the median single-family property.

Q. What is the charge per ESU?
A. The charge per ESU for the city will be the equivalent of $5.70 per month or $68.43 per year.  (proposed FY 2012)

Q. How will the stormwater utility fee be billed and collected?
A. The fee will be shown as part of the annual property tax bill issued in the fall. It will be paid to the tax collector as part of your normal property tax payment. For most people this would be a part of your mortgage payment.

Q. Is the stormwater utility fee a tax?
A. No. The fee is included on the property tax bill to reduce administrative costs thereby allowing more money collected to go directly to improving stormwater management.

Q. Will a small house pay the same as a large house?
A. No. There are small, medium, large, and extra large charge categories for single-family rates.

Q. Are commercial properties charged a fee?
A. Yes. Their charge will be calculated by dividing their total impervious area by 2.998 (1ESU) to establish their fee. Credits or bill reductions are available to properties that privately own and maintain stormwater treatment facilities. For more information on this, contact the City.

Q. What will the new money generated by the fee pay for?
A. The stormwater assessment will be used to pay for expenditures for operations and maintenance of stormwater facilities as a part of the Stormwater Management Program. Funds will pay for the repair or replacement of damaged drainage culverts and structures, and the re-grading and mowing of swales. The utility fee will also pay for the periodic adjustment and replacement of manholes and inlets where surrounding soils have subsided or damage has occurred. Many of these programs are a result of State and Federal regulations.

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