Authority Discusses Payment Plan for Tap-in Fees

To offer a payment plan or not to offer a payment plan—for the Municipal Authority, that remains the question.

The authority met Tuesday and discussed the issue of offering a payment plan for tap-in fees, although members took no action on the matter, saying more information still needed to be gleaned.

But several ideas were discussed—one of which would be to offer a payment plan for tap-in fees in hardship cases.

In those cases, Chairman Donald Gennuso said, residents would sign an agreement to make monthly payments in lieu of a lien being filed against the property.

However, if a payment is missed, the lien would be filed immediately.

The length of the payment plan as well as an associated interest fee still needed to be hashed out.

But board member Stephanie Lucchino disagreed, saying that while she did not oppose a payment plan that the board has a responsibility to lien properties for tap-in fees owed to protect bondholders and the authority’s finances.

She said not liening properties goes against the recommendation of the solicitor, and said that offering a payment plan instead would amount to “opening a can of worms.”

But authority Manager Dennis Bell said that a concern raised by at least one customer was that liens adversely affect credit scores—a factor the authority solicitor disagreed with.

The board ultimately decided to table the matter, as well as mull filing liens but waiving the associated fees in hardship cases.

Another subject that needed to be explored, members said, was how the authority would define what a hardship case is.

More discussion and possible action is expected at the April meeting.

The authority in January,

Numerous residents, he said, had complained about the matter.