SB 52 — Utilities, certain; pro rata reimbursements for installation.

SESSION ENROLLED VIRGINIA ACTS OF ASSEMBLY ––-- 2022 SESSION CHAPTER E629 An Act to amend and reenact § 15.2-2243 of the Code of Virginia, relating to installation of certain utilities;

R O [S 52] Approved LApril L11, 2022 Be it enacted by the General Assembly of Virginia:

E § 15.2-2243.

DA. land of the pro rata share of the cost of providing reasonable and necessary sewerage, water, andr of drainage facilities, located outside the property limits of the land owned or controlled by the subdivider or developer but necessitated or required, at least in part, by the construction or improvement of the subdivision or development;

however,A nolocality suchmay provide in its subdivision ordinance for payment shallby bea requiredsubdivider untilor suchdeveloper timeof asland of the pro rata share of the cost of providing reasonable and necessary sewerage, water, and drainage facilities, located outside the property limits of the land owned or controlled by the subdivider or developer but necessitated or required, at least in part, by the construction or improvement of the governing body or a designated department or agency thereof has established a general sewer, water, and drainage improvement program for an area having related and common sewer, water, and drainage conditions and within which the land owned or controlled by the subdivider or developer is locaBedlocated or the governing body has committed itself by ordinance to the establishment of such a program.

Su2hSuch regulations or ordinance shall set forth and establish reasonable standards to determine the proportionate share of total estimated cost of ultimate sewerage, water, and drainage facilities required to adequatelyeadequately serve a related and common area, when and if fully developed in accord with the adopted R comprehensive plan, that shall be borne by each subdivider or developer within the area.

In calculating the pollutant loading caused by the subdivision or development or the volume and velocity of storm water runoff, the governing body shall take into account the effect of all on-site storm water facilities or best management practices constructed or required to be constructed by the subdivider or developer and give appropriate credit therefor.

A locality that has adopted an ordinance pursuant to subsection A may also provide in its subdivision ordinance that, when adequate water, sewerage, or drainage facilities are not available to serve a proposed subdivision or development, the subdivider or developer of the property may be permitted to install reasonable and necessary water, sewerage, and drainage facilities, located on or outside the property limits of the land owned or controlled by the subdivider or developer but necessitated or required, at least in part, by the utility needs of the development or subdivision, including reasonably anticipated capacity, extensions, or maintenance considerations of a utility service plan for the service area.

The provisions of this subsection shall not be deemed to limit the authority of (i) localities that have not adopted an ordinance pursuant to subsection A or (ii) authorities established pursuant to the Virginia Water and Waste Authorities Act (§ 15.2-5100 et seq.) to establish policies for reimbursement or credits from connection fees or to other utility fund sources to subdividers and developers constructing water, sewerage, or drainage facilities.

The payments received shall be kept in a separate account for each of the individual improvement programs until such time as they are expended for the improvement program.

All bonds, payments, cash escrows,sescrows, or other performance guarantees hereunder shall be released and used, with any interest earned, as a tax of 2 credit on the real estate taxes on the property if construction of the facilities identified in the established water, sewer, and drainage programs is not commenced within 12 years from the date of the posting of of 2 the bond, payment, cash escrow, or other performance guarantee.