Bill to cap liens for unpaid water and sewer bills is amended to only apply to residential property

February 25, 2020

SB 826 (McDougle) proposes a dollar limit on the lien a locality may place on real estate for unpaid water and sewer bills of tenants or lessees.  Under current law such lien may be “up to three months of delinquent water and sewer charges.” The bill proposes to cap that amount at $300. After passing the Senate, the bill was amended in the House Counties, Cities and Towns Committee to limit its application to only residential properties. The purpose of the amendment was to address concerns regarding potential reduction in revenues that may result in a fiscal liability to meet debt obligations for capital improvements to water and sewer systems.

The amended bill is on the House floor this week for consideration.

VACo Contact: Joe Lerch, AICP

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