JEA Capacity Fee Prepayment Program

October 2021

As a community-owned utility in a growing region, JEA is committed to keeping up with that growth and continuing to drive economic growth. We are dedicated to improving the lives of Northeast Florida residents and understand the barriers around affordable housing and the need to provide financial stability and security for Jacksonville families. 

JEA has worked during the last several months to develop solutions related to capacity fees that work for all stakeholders. We’re sensitive to the impact of increasing capacity fees on the development community. However, JEA is obligated to recover costs. JEA sewer and water capacity fees have remained unchanged during the past 15 years while labor and capital costs have grown significantly. Implementing these fees will allow JEA to add capacity, support growth and foster economic development.

JEA will be moving forward with the following plans for its new plant capacity fee implementation:

• Plant capacity fee increases will start April 1, 2022.
• The increases will take the total rate for water and sewer capacity fees in steps from $1,954 now to $7,103 by April 1, 2023 for a new home
• If an application is submitted prior to the increase effective date, the developer has 90 days to be ready for service to qualify for the previous capacity fee. 
• Allow prepayment as a nonrefundable deposit for any commercial or master-meter multi-family project that has submitted a complete plan package to JEA by Feb. 1, 2022, and any residential project that shows an approved building permit by Feb. 1, 2022. This will require an agreement and the deposit will be held for 5 years, through April 1, 2027, transferrable under certain conditions. This is a one-time courtesy allowance to offset the impact.

Questions

Have any fee increases been implemented yet?

Yes, the tap and meter fees and large commercial water rates have taken effect. The capacity fees have not.

Why can't the increases be spread out over a three-year period?

We’re sensitive to the impact of increasing capacity fees on the development community. However, JEA is obligated to recover costs. JEA sewer and water capacity fees have remained unchanged during the past 15 years while labor and capital costs have grown significantly. Implementing these fees will allow JEA to add capacity, support growth and foster economic development in Jacksonville.

Stretching the recommended increases out over a longer period of time would perpetuate costs not being recovered and necessitate immediate additional increases following the phased-in increases.

What is the reason for the capacity fee increases?

JEA is increasing water and sewer capacity fees for the first time in 15 years. By adopting these adjustments, JEA is being proactive in planning for the future with investment in infrastructure, as required by ordinance and policy. Capacity fee adjustments are not rate changes, and they will not directly affect customers’ monthly bills. Capacity fee increases will not impact the large majority of JEA customers, as these fees are predominately for sewer and water infrastructure needs and labor during new construction.

Why such a big increase and why not over a longer period of time?

The adjustments will be phased in so that builders can budget appropriately. In hindsight, it would have been best if JEA had made adjustments on a more regular basis as growth has been significant in recent years. That’s a good thing, and we are part of the economic engine in Northeast Florida. With growth, JEA has to be prepared to serve our community and that comes with a cost and a need to recover costs. Our plan matches up with needed revenue compared to capacity we need to add.

Going forward, JEA’s leadership will aim to assess fees more regularly to keep up with inflation and increasing costs versus waiting years before doing so. We will continue to be transparent about any changes and will keep customers informed in advance of making decisions.

How will these increases affect the ability for builders to deliver affordable housing in Northeast Florida?

At JEA, we understand that affordable housing is crucial and improves the quality of life in our community, providing financial stability and security for Jacksonville families. We are working to minimize the impact to customers so that we can continue to support economic growth in Northeast Florida. We will continue to evaluate our fees and the costs of service.

What are the new fees?

Plant Capacity Fee increases would start April 1, 2022 and eventually take the total rate for water and sewer capacity fees in steps from $1,954 now to $7,103 by April 1, 2023 for a new home. This start date has been deferred by six months from the original plan to help accommodate developers and builders’ ability to plan and budget appropriately. It is the first increase in those fees in at least 15 years.

Meter fees are charges for setting a new meter and tap fees recover the cost to connect a customer to the utility water and sewer system in an established area. For a typical residential service, meter fees are increasing $97.60, water tap fees are increasing $750, and sewer tap fees are increasing $6,477. These fees have also not been updated in many years.

1. Access Sages Step 2 (project availability number required).
2. Select the “Capacity Fee Prepayment Agreement” tile.
3. Complete the application. Indicate if this is for a Residential OR Commercial/Multi-Family Agreement.

Residential:

• Indicate the services and meter sizes you want to have included in the Agreement.
• Provide the lot numbers, addresses and building permit numbers to be included in the Agreement.

Commercial:

• Indicate the services and flows you want to have included in the Agreement

4. Upload issued building permits for all lots (residential applications only).
5. Submit your application.
6. JEA will review your request to ensure we have all required documents and your project meets qualifying criteria (intake process).
7. Once verified, JEA will issue you a Capacity Fee Prepayment Agreement with the applicable amount due with payment options. (view samples: Residential and Commercial/Multi-Family). Agreements cannot be altered-they are issued as is.
8. Remit your signed agreement with payment to JEA by April 1, 2022. Payment options include electronic check payment at jea.com or by mail, phone, in person or wire transfer. Signed agreements should be uploaded into the Sages program. 
9. Your signed agreement will be uploaded in Sages and can be found in the “files” section within the blue bar menu, for your reference.

If you or your colleagues need additional assistance or have questions, JEA will host online training sessions each Wednesday from December 8, 2021 to February 9, 2022 at 10 AM. 

If you are not able to attend the training sessions or have questions, please contact Deanna Davis, Development Manager, at 904-665-8451.

How-To Videos

(video playlist entails how-to's for Residential, Commercial, and how to submit agreement)

Capacity Fee Prepayment Agreement Q&A Sessions

Wednesdays from 10:00 to 11:00 AM
12/8/2021
12/15/2021
12/22/2021
1/5/2022
1/12/2022
1/19/2022
1/26/2022
2/2/2022
2/9/2022

WebEx Meeting Information
https://jeameeting.webex.com/join/davidl 
Access Code: 473 296 177
 
Tap to join from a mobile device (attendees only):
+1-904-900-2303,,473296177## United States Toll (Jacksonville)  
+1-415-655-0001,,473296177## US Toll  

Join by phone:
+1-904-900-2303 United States Toll (Jacksonville)  
+1-415-655-0001 US Toll  
Access code: 473 296 177  
  
Join from a video conferencing system or application:  
Dial davidl@jeameeting.webex.com
You can also dial 173.243.2.68 and enter your meeting number.    
 
Need help? Go to https://help.webex.com 

1. I have multiple parcels/buildings on my project that will have separate water/sewer/irrigation services to each area.  Can I put all associated project services on on one agreement?

No. Please indicate on the application the meter sizes for the water and the irrigation as needed so we can ensure the minimum fees are being noted for the services per building/parcel.  As a result of this, you will need a separate agreement for each parcel/building as applicable.  If you have questions or need clarification please reach out to Deanna Davis 904-665-8451.

2. Where do I apply?

SagesGov program, Step 2.  Select “Capacity Fee Prepayment Agreement” tile.

3. What Information do I need to apply?

Residential:

• Project availability number
• All lots, addresses and building permit numbers to be included under the terms of the Agreement
• All services (water, sewer, and/or irrigation) to be included under the terms of the Agreement 
• Service Size of the meters to be included under the terms of the Agreement
• PDF copies of each building permit (you will upload these within the application process)

Commercial:

• Project availability number
• All lots, addresses and building permit numbers to be included under the terms of the Agreement
• All services (water, sewer, and/or irrigation) to be included under the terms of the Agreement 

4. How long will it take JEA to respond to my application?

Applications will be responded to in the order in which they are received.  Turn-around time will be solely dependent upon the volume of applications received.

Goal Response Times:

• Application Intake Response: 5 Business Days
• Agreement generated and transmitted to you for execution: 15 Business Days

5. Does each individual Availability Number (Development) require a separate Application?

Yes, if a Developer/Builder has multiple developments or projects they would be required to submit a separate application for each Availability number.

6. Can I get multiple Agreements under one Application?

No, every Application will receive one Agreement (Defined Project based on the attached legal description, Exhibit A).

7. Can I group lots together under one application? 

Yes, builders may group as many lots as needed as long as they are located in the same development (i.e. all lots shall have the same Availability Number).  Please read question # 8 regarding transferability.

8. If my project gets cancelled, can I get a refund?

No, refunds are not permissible under this program.

9. Can I transfer pre-payment to a different lot? 

No. Transfers to alternative sites or projects descriptions are not permissible under this program.

10. If I sell my project or if my project changes ownership, can the prepayment be assigned to the new owner?

Yes. If a project is sold or changes ownership, pre-payment may be assigned to the new owner. Prepayments will only be assigned in whole, no partial assignments will be permitted.

11. What if my flow changes, how are the new fees calculated?

Additional project flows will be charged at the capacity fee rate in effect at the time of new service application.  Reduction in flow will not result in a credit or refund.

12. Do I have to prepay for all the flow associated with my project, as noted in my project availability letter, or can I opt to prepay for less?

You may choose to pay for all of the flow associated with your project, or only certain portions. In your application, you will detail the services and flow for which you are prepaying. Once your application is signed and your prepayment is made, those services and flow details cannot be changed or modified.  

13. The agreement came back with a page for Exhibit A (Development).  What is that and who supplies it?

You will provide this Exhibit A.  This is a property description of the lots and/or parcels you have included in your agreement. You will include this as part of the signed Agreement you upload into Sages prior to April 1, 2022.

14. What do I provide for the property description for Exhibit A?

This can be either the legal description of your project (entire property) of you could also include your recorded plat. You will provide this when you upload your signed agreement to Sages at the back end of your document. 

15. Do you have any training sessions to help me with this process?

Yes, we have the following training options:

a) WebEx Training Sessions 
b) Residential Application Process How-To Video
c) Commercial Application Process How-To Video
d) Notification and Uploading Signed Agreement How-To Video

16. How do I make a payment to my JEA account?

In the Sages Help Menu, there is a Step-by-Step guide walking you through making a payment to your JEA account.

17. I still have questions, who can I talk with to get answers?

a. Application and Sages process: Deanna Davis 904-665-8451, davidl@jea.com
b. Payments: Janie Smalley 904-665-4147, smaljk@jea.com

18. What are the capacity fees increasing to and when will those increases take place?

*Potable & reclaimed water considered the same for irrigation

Water Plant Capacity Fees for Residential and Commercial

Effective Date	4/1/2022	10/1/2022	4/1/2023
Charge per gallon
$/gal	$2.83	$3.76	$4.68
Water and Irrigation Services (capacity fee charges at the time of application)
3/4"	$566.00	$752.00	$936.00
1"	$707.50	$940.00	$1,170.00
1 1/2"	$849.00	$1,128.00	$1,404.00
Water Service (capacity fee charges at the time of application)
3/4"	$707.50	$940.00	$1,170.00
1"	$849.00	$1,128.00	$1,404.00
1 1/2"	$1,273.50	$1,692.00	$2,106.00
Irrigation Service (capacity fee charges at the time of application)
3/4"	$636.75	$846.00	$1,503.00
1"	$919.75	$1,222.00	$1,521.00
1 1/2"	$4,380.00	$6,024.00	$7,671.00

 

Sewer Plant Capacity Fees for Residential and Commercial

Effective Date	4/1/2022	10/1/2022	4/1/2023
Charge per gallon
$/gal	$14.60	$20.08	$25.57
Sewer
3/4"	$2,920.00	$4,016.00	$5,114.00
1"	$3,650.00	$5,020.00	$6,392.50
1 1/2"	$4,380.00	$6,024.00	$7,671.00