Deferred water and sewer charges in Maryland are long-term assessments that recover the cost of building public water and sewer mains serving your property. In the Washington Suburban Sanitary Commission territory covering Montgomery and Prince George’s counties, they’re known as front foot benefit charges, and they appear on your annual property tax bill for 30 years. The charge is tied to the property, not the owner, so it passes to whoever holds title until the balance is paid off.
How the Charge Is Calculated
WSSC bases the charge on your property’s classification and the length of frontage along the water or sewer main. For a standard residential lot, you multiply the front footage by the applicable rate. WSSC’s proposed base rates are $4.00 per foot per year for water and $6.00 per foot per year for sewer, billed annually over 30 years.1WSSC Water. Notice of Public Hearing on Front Foot Benefits Proposed Rates and Charges A lot with 80 feet of frontage served by both water and sewer would owe roughly $800 per year across the full 30-year term.
The statute includes adjustments for unusual lot shapes. For irregularly shaped lots, WSSC uses a frontage measurement it considers reasonable and fair. For corner lots under two acres in a residential subdivision, the charge applies to only one side unless the lot fronts on two parallel streets. For adjacent lots owned by the same person in the same block, WSSC may use continuous frontage across all of them regardless of which streets they face.2Maryland General Assembly. Maryland Public Utilities Code 25-204 – Imposition of Benefit Charges
WSSC also assesses separate deferred house connection charges for properties that connect to the mains. For 2026, those annual rates range from $202.06 for an unimproved water connection to $909.25 for an improved sewer connection, likewise spread over 30 years.3WSSC Water. Front Foot Benefit Charge
WSSC’s authority to impose these charges comes from Section 25-204 of the Maryland Public Utilities Article. Once construction begins, or within 12 months after a project is completed, WSSC must impose the benefit charge on each property that abuts the new main, calculated according to the approximate construction cost and the frontage along the street or easement.2Maryland General Assembly. Maryland Public Utilities Code 25-204 – Imposition of Benefit Charges Other Maryland counties and sanitary districts use their own structures under Maryland Environment Code Section 9-662, but WSSC’s front foot benefit charge is the version most Maryland homeowners encounter.4Maryland General Assembly. Maryland Environment Code 9-662 – Service and Usage Charges for All Projects
How You Pay and How to Pay It Off Early
Front foot benefit charges appear on your annual property tax bill, and the 30-year payment period matches the maturity of the bonds that financed the construction. You can pay the balance in full at any time.3WSSC Water. Front Foot Benefit Charge Paying it off eliminates years of annual charges, which can be worthwhile if you plan to stay in the home or want a cleaner title for a future sale.
Because the amount shows up on the property tax bill, missing it carries the same consequences as missing property taxes. Late payments trigger interest and penalties. If a mortgage lender escrows your taxes, it may already be collecting and paying the assessment for you, but confirm that directly. Not every escrow account captures front foot benefit charges, and finding out after a missed payment is an expensive surprise.
When Charges Can Be Suspended
Section 25-205 of the Public Utilities Article allows WSSC to suspend the charge under specific conditions:
- If WSSC determines a property cannot actually obtain service from the sewer pipe on which a charge would be based, the sewer charge is suspended.
- If a property cannot connect to the water main because extending an improved sewer system isn’t reasonably feasible and the county health department wouldn’t approve a septic system for the water use, the water charge is suspended.
- If a home already has a functioning well or septic system, the front foot benefit charge for the nearby water main or sewer is suspended until the owner actually requests service.5FindLaw. Maryland Code Public Utilities 25-205 – Exemption or Suspension of Benefit Charges
When a suspension ends because circumstances change, say you connect to the sewer after years on a septic system, WSSC reclassifies the property and imposes the benefit charge at the rate and for the period that would have applied when the charge was originally suspended. You don’t get credit for the years the charge was paused. The full 30-year obligation starts running from that point forward.
Buying or Selling a Home With Deferred Charges
Deferred water and sewer charges must be disclosed when residential property changes hands, but not under the statute most people would guess. Section 10-702 of the Real Property Article, the standard residential disclosure form, covers the physical condition of the home: roof, plumbing, insulation, pest damage, and similar defects.6Maryland General Assembly. Maryland Real Property Code 10-702 – Single Family Residential Real Property Financial encumbrances like deferred infrastructure charges aren’t on that form.
The disclosure obligation comes from Section 14-117. For an initial sale of improved residential property, the purchase contract must state the estimated cost of any deferred water and sewer charges the buyer may inherit. Prince George’s County initial sales carry particularly detailed requirements: the contract must state the existence of the assessment, the annual amount, how many payments remain, the total balance including interest, the collection entity’s contact information, the interest rate, the estimated payoff, and a statement confirming that prepayment is allowed without penalty.7Maryland General Assembly. Maryland Real Property Code 14-117 – Disclosure of Deferred Water and Sewer Charges
For resales of property served by public water or wastewater facilities with deferred charges established by a recorded covenant, the contract must include a specific notice form identifying the assessment amount, payment schedule, payoff contact, and the fact that the charge is a contractual obligation rather than a county-imposed fee. That distinction matters because buyers sometimes assume the county will negotiate on these charges, when in fact they’re locked in by the original development agreement.7Maryland General Assembly. Maryland Real Property Code 14-117 – Disclosure of Deferred Water and Sewer Charges
Buyers frequently ask sellers to pay off the remaining balance as part of the negotiation. Sellers aren’t legally required to agree, but clearing the charges can make a property more attractive. Some mortgage lenders require resolution before closing. If the charges stay in place, they’re typically prorated on the settlement statement.
Are Deferred Water and Sewer Charges Tax Deductible?
Homeowners often assume that because the charge appears on the property tax bill, it’s deductible as a real estate tax. It isn’t. IRS Publication 530 specifically lists assessments for local benefits, including water and sewer system construction, as items you cannot deduct. Instead, you add these amounts to the cost basis of your property, which reduces your taxable gain if you sell.8Internal Revenue Service. Publication 530 – Tax Information for Homeowners
There is one partial exception. If any portion of your assessment covers maintenance, repair, or interest charges rather than the original construction cost, that portion may be deductible. You’d need to show which part of the charge covers maintenance or interest versus construction. If you can’t break it out, you can’t deduct any of it.8Internal Revenue Service. Publication 530 – Tax Information for Homeowners WSSC’s billing format doesn’t always make that separation obvious, so keep records and talk to a tax professional before claiming anything.
What Happens If You Don’t Pay
Unpaid front foot benefit charges are treated like unpaid property taxes. The Tax-Property Article defines “tax” broadly to include any charge that by law is a lien against real property, including interest, penalties, and service charges.9Maryland General Assembly. Maryland Code Tax-Property 14-801 – Definitions That puts unpaid assessments on the same collection path as delinquent property taxes.
Maryland law requires county tax collectors to sell tax lien certificates to recover delinquent amounts. At a tax lien sale, a third-party buyer purchases the right to collect the debt plus additional fees and interest. If the homeowner still doesn’t pay after the sale, foreclosure can follow. Collectors may withhold a property from sale when the total taxes, interest, and penalties come to less than $250 in a given year, but once the balance crosses that floor, the property is eligible for the annual tax lien auction.
If you’re falling behind, contact your county finance office or WSSC before the situation escalates. Hardship programs and alternative payment arrangements may be available, and negotiating early is far cheaper than recovering from a tax lien sale.
Disputing a Charge
Your first chance to challenge a front foot benefit charge comes before it’s finalized. When WSSC imposes the charge, the written notice must include the time and place of a hearing where you can contest it.2Maryland General Assembly. Maryland Public Utilities Code 25-204 – Imposition of Benefit Charges That is the most effective moment to raise objections, whether about how your frontage was measured, how your property was classified, or whether your lot should qualify for a suspension under Section 25-205. Bring your property survey, a plat map, and any documentation showing the actual frontage or existing well and septic service.
If the initial hearing doesn’t resolve the issue, an administrative appeal to the local water authority or county finance department is the next step. Bring billing records, property documents, and any correspondence showing the basis for your dispute. If administrative channels fail, judicial review is available. Maryland courts will examine whether the assessment followed statutory requirements, whether proper notice was given, and whether the charge is proportionate to the benefit your property received.
Owners who can point to a specific miscalculation or notice failure have the strongest grounds for relief. Challenges built on general disagreement with the amount rarely succeed. If you’re facing a potential tax lien sale over disputed charges, get legal help quickly. Once a lien is sold, reversing the process becomes significantly more expensive and complicated.