What is a Stormwater Utility (SWU)?

    Like utilities for water and sanitary sewer, a Stormwater Utility (SWU) is a fee-for-service approach to providing stormwater management services in the City of Fairfax.  Rate payers are charged a fee based on the stormwater runoff impact their respective properties generate. Runoff impact is based on the amount of impervious surface present on a parcel.  

    What are impervious areas?

    Impervious areas are surfaces composed of any material that significantly impedes or prevents natural infiltration of water into the soil. Impervious surfaces include, but are not limited to, roofs, buildings, streets, parking areas, driveways, and any concrete, asphalt, or compacted gravel surface. The impervious area measured for the SWU includes a property’s exterior impervious area (not floor area ratio), like what a bird would see from above.

    How does the city currently fund its stormwater management program?

    The city currently utilizes a real estate tax set-aside equivalent to $0.03 of the city’s real estate tax rate to fund the city’s Stormwater Fund. This tax-based set aside generates approximately $2 million per year and funds a wide range of capital projects for infrastructure maintenance, municipal stormwater permit compliance, environmental, and drainage improvement projects. The General Fund supports additional program expenses such as administrative and personnel costs, overhead, materials, and equipment.

    Why is the city considering the implementation of a SWU?

    In addition, the city’s view of stormwater management has transitioned to a more holistic approach, encompassing the value of community resilience, environmental stewardship, protection of property value, and incorporation of greener stormwater solutions to improve the quality of life that the city’s residents, businesses, and visitors experience daily.

    While the city has historically provided adequate stormwater management service, the provision of those services as well as meeting increasing stormwater management needs continues to require more resources, and as a result, increased levels of funding. Recent weather trends involve more frequent high-intensity storm events which stress the city’s drainage infrastructure, causing drainage and flooding issues.

    The city must also continue compliance programming to meet the conditions of the EPA-mandated Municipal Separate Storm Sewer System (MS4) Permit and associated commitments to reducing stormwater pollution entering the Chesapeake Bay. Projects designed to address these challenges continue to increase in both number and cost. The city’s storm sewer system continues to move through its life cycle and requires regular maintenance. The SWU will provide an adequate, dedicated funding source to support the city’s many stormwater program priorities, projects, and maintenance needs in an equitable manner, while also providing additional flexibility for financing larger projects, securing available grant funding, and extending the city’s stormwater management capabilities.

    Why is managing stormwater such a challenge?

    When precipitation falls on undeveloped land, it is primarily absorbed into the ground or slowly runs off the land through pervious surfaces like fields and forests. However, development results in impervious surfaces like rooftops, pavement, and walkways which prevent water from being absorbed and so it runs off at a much faster rate. This causes water quality and quantity issues in our drainage system, which includes local streams and water bodies.

    Unlike wastewater, which is treated before it is released back into the environment, stormwater runoff does not go through the city’s wastewater treatment system.  Regulations governing development and redevelopment activities now require that stormwater be managed for both quality and quantity control through Best Management Practices (BMPs) before being released into the city’s streams and waterways; however, many older properties do not have these stormwater management features. Because stormwater comes in unpredictable amounts at unpredictable times, these BMPs can only be designed to accommodate a certain capacity of runoff at any given time. In addition, these BMPs require regular maintenance in order to provide the water quality and quantity control benefits they were designed for, which adds to the community’s stormwater service needs.  

    Why is a SWU a more equitable way to pay for stormwater management service?

    Rather than basing stormwater management program funding on the value of a given property in the city, which does not have any consistent relationship to a property’s stormwater runoff impact, a SWU bases the fees charged to the amount of impervious cover on a parcel, which does represent a consistent relationship to a property’s stormwater runoff impact. The more impervious cover a parcel has, the larger the SWU fee charged. In addition, all properties*, including untaxed properties, are assessed a SWU fee, which broadens the city’s rate base from which to generate stormwater specific revenue and ensures that all properties that contribute to stormwater runoff impacts are paying their fair share toward the stormwater program. Finally, through the implementation of the SWU Fee Credit Program, property owners will have the opportunity to directly impact their respective SWU fees through potential credits for certain activities or practices that improve parcel stormwater runoff characteristics.  

    *A small number of property types are exempted by Virginia law, such as public rights-of-way, government-owned properties, and properties covered by their own MS4 permit. 

    What is the difference between a SWU and a tax?

    A SWU is based on a property’s stormwater runoff contribution to the storm sewer network and stream valleys the city operates, maintains, and protects.  A tax is based on a property’s value and is not based on a property’s stormwater runoff contribution.  

    When does the city propose to implement the SWU?

    As currently scheduled, the SWU has a target implementation date of January 1, 2022, with the first SWU fees assessed in May 2022, after the adoption of the city’s annual budget, and will run concurrent with the assessment of real estate taxes.

    How does the city propose to bill the SWU fee?

    The SWU fee will appear on property owners’ real estate tax bill as a separate line item. Real estate taxes are due in June and December of each year.

    What is the schedule for the city’s SWU development process?

    A schedule of upcoming meetings and milestones in the SWU development process is maintained on Engage Fairfax at www.engage.fairfaxva.gov. You can also sign up to receive updates about SWU development at this page.

    Which properties will be billed a SWU fee?

    All residential and non-residential properties in the city, including untaxed properties, will be billed a SWU fee unless specifically exempt under Virginia law.  Examples of untaxed properties include community/homeowner association properties, churches, and properties owned by non-profit organizations.

    Which properties are exempt from SWU fees by Virginia law?

    City properties and streets, properties that have obtained separate coverage under an MS4 permit (such as Fairfax County properties within city limits).

    Who will be responsible for the SWU fee?

    City properties and streets, properties that have obtained separate coverage under an MS4 permit (such as Fairfax County properties within city limits).

    How does the city propose to determine the SWU fee on each property?

    The city’s SWU development process includes an evaluation of the amount of impervious surfaces on each parcel. The city’s proposed billing unit is equal to 500 square feet of impervious cover. For every 500 square feet of impervious cover measured using the city’s Geographic Information System (GIS) and aerial imagery, one billing unit is assigned. The parcel’s impervious cover measurement is then assessed in multiples of 500 ft², rounded down to the nearest whole billing unit.  Please refer to the following examples that demonstrate the calculation method:

    Single family detached home:  Let’s say this parcel has a rooftop, driveway, walkways, and patio that total 3,200 sq. ft of impervious cover. Divide 3,200 sq. ft by the billing unit of 500 sq. ft [3,200/500 = 6.4], then ROUND DOWN to the nearest whole billing unit = 6 billing units

    Non-Residential:   Let’s say this shopping center has rooftops, drive aisles, parking area, and sidewalks that total 32,800 sq. ft of impervious cover.  Divide 32,800 sq. ft by the billing unit of 500 sq. ft [32,800/500=65.6], then ROUND DOWN to the nearest whole billing unit = 65 billing units     

    Will there be any way for me to reduce the SWU fee for my property?

    Yes, as part of the SWU development process, the city is also developing a SWU credit program, whereby property owners may be eligible to reduce their SWU fee in exchange for implementation of one or more creditable activities or practices from the SWU Credit Manual menu. More information on the SWU Crediting system will be available as the SWU development process continues.  

    What if I disagree with the calculation of my SWU fee? Will the city have a mechanism to review my SWU fee charge?

    Yes, the city will have an appeals process for any property owner who feels that the impervious surface calculation the city has captured for their property is not accurate. More information on the appeals process will be available as the SWU development process continues.

    Are there any other municipalities that charge a SWU Fee?

    Yes. Fee-based programs are promoted by the Environmental Protection Agency (EPA) and authorized by the Commonwealth of Virginia as a way of addressing shortfalls in water resources. Fee-based programs have been used since 1974, and there are currently more than 1,500 fee-based programs in the country and 28 fee-based programs in Virginia. In the surrounding area, D.C., Prince George's County, and the Cities of Alexandria, Falls Church, Manassas, and Manassas Park all have SWU fees in place.    

    Why should I pay for rain falling on my property?

    The actual amount of rain that falls onto a property, the number of times it rains, or how hard it rains has no direct impact on an owner’s utility fee.  

     

    Under a SWU, property owners will be charged a SWU fee to fund the necessary city operation and maintenance of its public stormwater system. With a SWU, property owners are charged a fee for the amount of impervious surface on their property, which correlates to the amount of runoff discharged from their property to the city’s stormwater management system. Property owners have control over the level of development on their properties, which directly impacts the runoff characteristics of each parcel.  

     

    If I live on top of a hill and I do not have drainage problems, why would I have to pay a SWU fee? Similarly, if I live on the edge of the city and water drains on my property away from streets and public drainage structures, or I live at the bottom of a hill and my property does not cause increased flooding from uphill, why would I have to pay a SWU fee? What if I live in a private community that maintains its own streets and storm drains?

     

    Providing for and addressing stormwater is a public service provided by the City of Fairfax. All buildings contain impervious surfaces (surfaces which prevent water from being infiltrated into the ground). Impervious surfaces on your parcel inevitably place a demand on the stormwater system. Stormwater runoff generated by any property must be controlled and conveyed once it leaves the property so that it does not create problems for others. Both the quantity of stormwater and the quality of stormwater impacts the city’s entire stormwater system. All property owners receive indirect benefits from a properly maintained and operated stormwater management system that serves the entire city.

     

    Stormwater management activities with broad benefits include keeping public streets drained and cleared, performing stormwater infrastructure maintenance and upgrades, reducing erosion and other pollutants that enter streams and waterways, protecting and restoring streams and other aquatic habitat areas and collecting and conveying stormwater safely through all parts of the city. A portion of the SWU fees also provide funding for compliance with federal and state regulations for water quality improvements; administration of the city’s stormwater management ordinance; public involvement and educational programs; and city response to public health and safety issues that benefit all property owners.

     

    Stormwater is an issue that extends far beyond your residence or business and a robust stormwater management program provides benefits to the overall community that you live, work, and play in.

     

    Who can I contact with questions about the SWU development process and associated fee structure?

    Contact the City of Fairfax Department of Public Works at 703-273-6073 or email stormwaterutility@fairfaxva.gov. You can also sign up for email updates from the city when news releases, public meetings, or other city communications on the SWU development effort are released at www.engage.fairfaxva.gov.