SAC is an acronym that stands for Sewer Availability Charge. It is a one-time fee that a local jurisdiction charges when a residential, commercial, industrial, or institutional property first connects to the regional wastewater (sewer) system. In the Twin Cities, where our headquarters is located, the Metropolitan Council is the entity that manages this system. Wastewater pipes and treatment plants are expensive. The council borrows money to build large enough facilities to serve current and future customers, and the SAC pays off the debt and helps provide long-term sanitary maintenance.
Local entities then pass the SAC on to individual businesses and property owners. They are required to pay upon connection and whenever their potential wastewater demand increases. The fee is often included in the cost of a building permit or license. If owners purchase a pre-existing structure from a company similar to their own, they will not likely have to pay a SAC because the previous owner would have already paid it. However, if the new business has a higher wastewater demand, they will be required to pay for the increase.
The number of SAC units paid depends on the potential wastewater demand of your business. A SAC unit is 274 gallons and currently costs about $2,500. A free-standing, single-family residence is often charged for one SAC unit.
We recently received the SAC for our Alpha B Restaurant jobsite in Bloomington. The city determined the project has a potential wastewater demand of four SAC units. However, the SAC could increase depending on which restaurant purchases the property upon completion and how they plan to use the facility.