Bill > H298

This bill modifies the existing law regarding system development fees for water and wastewater services, specifically creating a new provision that allows local governmental units to offer installment payment plans for nonresidential new developments with water flow rates between 325 and 2,500 gallons per day. Under this new provision, localities can spread the system development fee payments over a maximum of three years from the time of building permit application or service connection, with the installment plan accruing interest at a rate set by the Secretary of Revenue. System development fees are charges imposed by local governments to help fund infrastructure improvements necessitated by new development, and this bill aims to provide more flexible payment options for smaller nonresidential projects. The bill becomes effective immediately upon becoming law and applies to system development fees imposed from that date forward, potentially helping businesses manage the upfront costs of infrastructure-related fees by allowing them to pay over time.

Budget and Finance, Government Affairs, Housing and Urban Affairs

https://www.ncleg.gov/BillLookUp/2025/H298