Sewer Connection Financing

Sanitary Sewer Connection Fees Policy For Existing Households (Policy No. BL-9)

In order to enhance public health and environmental protection through the connection of existing residences to public sanitary sewer, this policy is enacted.

This policy shall apply to any single-family residence that, at the time this policy goes into effect, is occupied and is not connected to public sanitary sewer. Within one (1) year of notification by Hartselle Utilities that sanitary sewer becomes available to that residence, (the public sewer bounds the property on either side of a public right of way or utility easement), the following terms and conditions shall apply:

  1. The applicant will be the property owner of the residence for which sewer connection is requested and will also be the account holder with Hartselle Utilities.
  2. Hartselle Utilities will waive the sewer tap fee.
  3. Hartselle Utilities will finance the cost of installing the service line and any plumbing modifications necessary in order to connect the residence to the public sewer. If a grinder pump or septic tank effluent pump and force main service line are necessary to connect the residence to the public sewer, the cost of the pump and force main are also eligible for financing.
  4. An application for financing will be made with Hartselle Utilities. The applicant will sign a credit check authorization form.  The applicant will be responsible for reimbursing Hartselle Utilities for the cost of the credit check.  Acceptable credit worthiness to determine qualification for this program will be based on generally accepted lending criteria and the applicant’s payment/credit history with Hartselle Utilities.  Additionally, Hartselle Utilities reserves the right to refuse financing due to poor payment history.
  5. Financing for the items listed in item no. 3, above, will be for up to one hundred twenty (120) months. The monthly payment will be included on the applicant’s utility bill in equal installments, up to one hundred twenty (120), one (1) per month, and will be subject to Hartselle Utilities’ bill payment requirements and applicable penalties. The monthly payment will begin thirty (30) days from the date the disbursement is made by Hartselle Utilities to the homeowner and contractor jointly (see item no. 10, below).
  6. The financing interest rate will be the current Wall Street Journal Prime Rate plus two (2) percent with a minimum rate of six (6) percent.
  7. Financing will also require completion of an appropriate Universal Commercial Code (UCC-1) Financing Statement. The applicant will be responsible for reimbursing Hartselle Utilities for the cost of filing the UCC-1 Financial Statement.
  8. Hartselle Utilities will NOT be responsible for the installation, repair, replacement or maintenance of the service line or pump (if applicable).  The installation of these items will be performed by others under contract with the homeowner, and under the authority of the City Building Inspector.  If a pump is required, the operating characteristics of the pump must meet Hartselle Utilities requirements in order to insure successful operation with Hartselle Utilities’ receiving sewer line.
  9. For any residence connecting to public sewer, all connections to the existing onsite treatment system shall be severed and plugged to prevent the entry of all surface and underground water into the public sewer.
  10. Approved customer costs (as listed above) will be disbursed to the homeowner and contractor jointly after the following have been provided to Hartselle Utilities:
    1. Notification of inspection and acceptance by the City of Hartselle Building Inspector of the customer’s service line and any plumbing modifications or other installations necessary to connect the residence to the public sewer.
    2. A contractor’s invoice for the cost of connecting the residence to the public sewer, bearing the homeowner’s written acceptance, presented to Hartselle Utilities by the homeowner.
  11. The approved applicant will be required to sign an Installment Contract Agreement/Promissory Note.
  12. The minimum amount per customer for financing is $1,000.00 and the maximum is $15,000.00, without the Board’s prior approval.
  13. In the event the property is sold the loan will become due and payable in full.

Effective Date : June 22, 2015, Originally Adopted By Board : July 21, 2003

For more information, please contact Customer Service at (256) 773-3340.