City of Asheville to discontinue capital fee on utility bills

capital fee illustration


City of Asheville water customers may see public notices about the outcome of a class action lawsuit involving the City’s capital fee collected as part of the combined utility statement.


In 2016, a North Carolina Supreme Court decision declared that certain “impact fees” charged by municipalities and utility authorities were illegal.  As a result, many cities throughout North Carolina were sued as part of class action lawsuits to recover these impact fees.  One of these lawsuits was filed against the City of Asheville.  Although the City denies any of its fees were illegal, the City reached a settlement in this matter with the plaintiff.   This settlement must now be approved by the Court, which can only occur after the publication of certain public notices.  


These public notices are being published to provide the community with information about the lawsuit and their respective rights.  This is intended only to provide customers receiving City water with information about the proposed settlement and their legal options regarding it.  No action is required by the customer, nor will their service be disrupted in any way. 


In compliance with the terms of the settlement, the City will be discontinuing the collection of a capital fee on customers’ combined utility statement by July 1.  Although this change will result in a decrease in revenue for the City of Asheville, the City will continue to provide safe and reliable water service to our customers and to maintain and service our water distribution system.