Residential Capacity Charges

This fee, known as a capacity charge, is only incurred when connecting a property to the regional sewer system or increasing the number of dwellings on your property. Capacity charges ensure all customers pay their share of the capital costs associated with maintaining, improving, and/or expanding the sewer system due to the increase in flow.

Monterey One Water Residential Capacity Charge
Fiscal Year 2023-2024
$6,056.15 per dwelling

The capacity charge described above is collected by Monterey One Water. Please check with the city in which you are looking to build or expand your usage to determine if additional capacity fees are assessed by your city, in addition to those assessed by M1W.

Rate Determination

The capacity charge is adjusted annually every July 1st. The same percent as the annual change in the December Construction Cost Index (CCI) for San Francisco of the prior year based on changes in the Engineering News-Record.

Sewer Connection Permit

In addition to the payment of the capacity charge, a Sewer Connection Permit issued by Monterey One Water is required to connect to the regional sewer system. Please complete the following form and return it to the Monterey One Water Customer Service Team:

Residential ConstructionCharges Determination Form (PDF)
Residential Construction in the city of MarinaCharges Determination Form - Marina (PDF)

Issuance Requirements

  •  Account must be paid current on all parcels owned by the owner/applicant in order to obtain a connection permit
  • The residential capacity charge is due and payable at the time of application for the connection permit
  • Applicants must obtain a connection permit before receiving a building permit
  • Sewer connection permits expire 12 months after the date of issuance or upon expiration of the building permit for that project, whichever occurs first
  • If a connection permit expires, the capacity charge, less a $150.00 processing fee, will be refunded to the party who paid the charge
  • The date the project receives a final completion notice (unless occupancy occurs prior to that date) will be the date used for the first billing of the Agency’s regular bi-monthly user fees

Demolition Credits

Credit for demolition will be given using the charge in effect at the time of payment. Only buildings demolished after July 1, 1977 will receive the credit. Users receiving credit for existing facilities are required to provide the Agency with a copy of the demolition permit or other confirmation from the city.

A summary of capacity fee information can be found on the Sewer Capacity Charges Pursuant to Agency Ordinances - Residential (PDF).