This methodology collects an additional SDC for existing capacity in 8-inch pipes that was previously collected through a connection fee pursuant to Salem Revised Code (SRC) Chapter 21. This approach eliminates a disincentive to infill development that had occurred under SRC Chapter 21, by distributing costs to all development rather than a limited number of infill projects.
Two common types of area-based fees are used in conjunction with development projects: (1) temporary access fees are authorized pursuant to SRC 200.080; and (2) reimbursement district fees are authorized pursuant to SRC 200.350. These area-based fees are generally collected over and above SDCs. As a result, not all growth costs are attributed to SDCs in order to prevent duplication of funds from area-based fees.
In general, water/wastewater SDCs do not directly affect water/wastewater utility rates. However, a number of infrastructure projects are dual-funded by both utility rates and SDCs because the projects benefit both existing and future users. These dual-funded projects can provide a substantial cost savings for each fund in comparison to the cost of projects with only one fund source.