Impact Fee Administration

What is a WCR Letter?

A Wastewater Capacity Reservation (WCR) letter will:

• Determine if there are adequate and available wastewater and water utilities to serve the proposed development
• Identify the point of connection to the City's wastewater and water utilities
• Determine if impact fees are due

Please note that wastewater and water impact fees are not refundable for any reason, including failure to obtain a building permit or complete the project.

When do I submit a WCR application?

You, the property owner or authorized agent, must apply for a WCR letter if:

• You are proposing a new development
• You are adding to an existing development
• Converting an existing development
• Increasing occupancy within an existing development
• You are abandoning water well or septic system/private wastewater plant and proposing to connect to the City of Houston’s sewer and water facilities.
• You are remodeling (interior/exterior) an existing commercial development.
• You are requesting if capacity from the previous owner exists on the property
• When disconnecting from the community sewer and proposing a connection to the City’s sewer
• When needing Information on existing capacity at a site
• When proposing to connect to a privately built sewer
• When building in a Municipal Utility District (MUD)

Refer to Chapter 47 in the City of Houston Code of Ordinances.

How do I submit a WCR application?

You may submit a WCR application online via iPermits portal. Review the user guide for online applications for assistance.

You will need to provide a:

• Complete WCR Application
• Recorded deed
  • In lieu of a recorded deed, we will accept a County Tax Authority printout if the owner's information on the printout is consistent with the owner's information on the WCR application and the property is located within a platted subdivision.
  • Additional proof of ownership includes a general warranty deed, deed of trust, title insurance, title report, and city planning letter.
• County Tax Authority Printout 
• Survey or Site Plan
• Applicant Authorization Form 

Pay the application fee plus an administration fee. (View rates for vacant land) Please Note: If your proposed development of a structure is over 43,560 square feet the vacant land application fee scale will be used.

Please allow 7 business days for the request to be completed. Please direct all questions to 832.394.8888 or [email protected].

When does a WCR application require a high-impact review?

 A high-impact review is required when:

• When the service units exceed fifteen (15)
• Smaller than an 6-inch sanitary sewer line
• Larger than a 36-inch sanitary sewer line
• Served by a community sewer line
• Sewer line is located within the property
• Sewer line not fronting or in the easement of the property
• Not within City Limits
• Located within a HCMUD
• Smaller than a 4-inch water line
• Larger than a 20-inch water line
• Water line running through the property
• Water line not fronting or in the easement of the property
• Not within City Limits
• Located within a HCMUD

Please use GeoCortex to identify the above items.

Please allow 7 business days for the request to be completed. Please direct all questions to 832-394-8888 or [email protected]. 

When does a WCR application meet the requirements for expedited review?

The Expedited Reservation application procedure is designed to expedite receipt of a water and wastewater capacity reservation letter. To qualify for approval under this procedure, the proposed development:

• Cannot exceed fifteen (15) service units
• Must have an assigned address (i.e. not a 0 or vacant address), email [email protected] to obtain an address.
• Must be minimum 6-inch to maximum 36-inch sanitary sewer line fronting the property or in the easement, must not be served by a community sewer line, must be within City Limits and a line must “not” run through the property
• Must be minimum 4-inch water line but not 20-inch or larger fronting the property or in the easement, must be within City Limits and a line must “not” run through the property

What is a revision request?

A revision request application can be made if you believe your letter needs a change:

• Change the points of connection for wastewater and/or water
• Change of site address
• Change review of JRC or Community Sewer Requirements
• Request Private Water Well Connection
• Request Private Septic Connection

Note: the below requests require a new Wastewater Capacity Reservation (WCR) application to be completed and do not qualify as a revision request:

• Change of development
• Change of square footage, occupants, number of beds, number of bowls, number of carwashes, courts, lanes, machines, Hotel/Motel rooms, seats, number of services, number of mobile home spaces, number of stations, number of swimmers, number of toilets, number of units (apartments), number of recreational vehicles.
• Change of ownership
• Change of legal description
• Change of Impact Fees
• Expired Letter

Revision requests can only be made by the owner and/or agent of the original letter. If the agent has changed an updated Agent Authorization form must accompany this application.

All revision request application must be accompanied with:

• Copy of Wastewater Capacity Reservation (WCR) Letter
• Impact Fee Receipts (If Applicable)
• Utility Site plan & Survey
• Plan and Profile Drawings and City of Houston Drawing No. (for all points of connection requests)
• Additional documents needed to review your request (Joint Use Maintenance Agreement, Private or Public Easement Deeds, etc.)

Note: File sizes cannot exceed 5 MB

All revision request forms and attachments must be submitted to [email protected].

Please allow for 7 business days for the revision request to be completed. Revision requests will follow our standards of the current Infrastructure Design Manual. Please direct all questions to 832.394.8888 or [email protected].

What is a name transfer?

If impact fees were paid but development never occurred, the capacity may be transferred from one property owner to the new owner of the same site through a Name Transfer Application. You may submit the completed application and supporting documents via email to TransferApplications.&[email protected].

All name transfer applications must be notarized and signed by both the previous and current property owners, and accompanied with:

• Proof of ownership: a recorded deed, title report, title option or title insurance policy for the property.
• Copy of the Wastewater Capacity Reservation (WCR) Letter
• Impact Fee or Capital Recovery Charge Receipts
• Site plan of the land under consideration
• Processing fee in the form of a check or money order (Make payable to the City of Houston). Please contact 832.394.8888 or TransferApplications.&[email protected] for processing fee amount.

Upon completion of the transfer, a new Wastewater Capacity Application will be needed to be submitted.

Please allow for 7 business days for the request to be completed.

What is a site to site transfer?

If impact fees were paid but development never occurred, the capacity may be transferred to another site within the same wastewater treatment plant through a site to site transfer application.  You may submit the completed application and supporting documents via email to TransferApplications.&[email protected].

All site to site transfer applications must be accompanied with:

• >A site plan or survey indicating the dimensions of the property must be attached to the Wastewater Capacity Reservation Transfer Application when the site is:
  • Property is not located in a subdivision
  • Located on a portion of a lot or reserve in a subdivision; or
  • An acreage tract
• A title report less than thirty (30) days old must be submitted for the property from which capacity is to be transferred.
• Written approval of the transfer from any and all lien holders listed on the title report.
• Verification that the impact fees or capital recovery have been paid for the wastewater to be transferred.

Please contact 832.394.8888 or TransferApplications.&[email protected] for the processing fee amount.

Please use GeoCortex to identify your wastewater treatment plant.

Please allow for 7 business days for the request to be completed.

What is a shopping center letter?

A shopping center letter will depict all suites vacant or not and the total capacity for each suite. This letter will reflect if you have remaining capacity within the shopping center for your proposed development. If your site is located within a shopping center a WCR Shopping Center Application will need to be filled out. You may submit your completed request and supporting documents via email to TransferApplications.&[email protected].

You will need to provide a:

• Complete Shopping Center Application
• Recorded deed (In lieu of a recorded deed, we will accept a County Tax Authority printout if the owner's information on the printout is consistent with the owner's information on the WCR application and the property is located within a platted subdivision.)
• County Tax Authority Printout
• Survey or Site Plan
• Tenant Listing(include vacant and occupied spaces)
• Applicant Authorization Form (if applying online)
• Pay the application fee plus an administration fee. (View rates for vacant land) Please Note: If your proposed development of a structure is over 43,560 square feet the vacant land application fee scale will be used.

Please allow for 7 business days for the request to be completed. Please direct all questions to 832.394.8888 or [email protected].

What is a shopping center denial/approval letter?

If you believe the existing shopping center for your proposed development has excess capacity, or a previous shopping center letter and receipts have been issued, you may apply for a shopping center approval/denial letter through the submission of a Shopping Center Denial/ Approval Letter. You may submit the completed request and supporting documents via email to TransferApplications.&[email protected].

After the application, location, and additional information is analyzed, we will determine whether there is excess capacity existing at the indicated site. You will be notified by the email provided on the application whether there is excess capacity existing at the indicated site.

Please note: If we determine that there is not excess capacity at the location, you will need to submit a standard Wastewater Capacity Reservation (WCR) Application.

All shopping center approval/denial letters must be accompanied with:

• An existing Wastewater Capacity Reservation (WCR) shopping center letter
• Total square footage of shopping center
• Square footage of “each” space (vacant or occupied) along with occupancy load as applicable
• Tenant Listing (include vacant and occupied spaces)
• Site Plan
• Previous letter and receipts - if requesting shopping center letter for excess capacity on-site (existing shopping center/s only)

Please allow for 7 business days for the request to be completed. Please direct all questions to (832) 394-8888 or TransferApplications.&[email protected].

The number of service units attributable to a new development shall be determined by using the Land Use Equivalency Table.

Impact Fee Service Unit Equivalency Table

1.0 service unit is equal to 250 gallons per day

• For single-family residences that exceed 3,000 square feet, the additional amount is calculated at a rate of 0.0002 service units per square foot

Example calculations

The proposed development is the construction of a single-family residence that is 3,000 square feet.

3,000 square feet = 1.0 service unit

• Wastewater fee: 1.0 service unit x $1,830.24 per service unit = $1,830.24
• Water fee: 1.0 service unit x $2,553.11 per service unit = $2,553.11

The proposed development is an addition of 50 square feet to an existing 3,000-square-foot single-family residence.

50 square feet x 0.0002 service unit per square foot = 0.01 service unit

• Wastewater fee: 0.01 service unit x $1,830.24 per service unit = $18.30
• Water fee: 0.01 service unit x $2,553.11 per service unit = $25.53

The proposed development is the construction of a single-family residence that is 3,050 square feet.

3,000 square feet = 1.0 service unit
50 square feet x 0.0002 service unit per square foot = 0.01 service unit
Total service units: 1.0 service unit + 0.01 service unit = 1.01 service units

• Wastewater fee: 1.01 service units x $1,830.24 per service unit = $1,830.24
• Water fee: 1.01 service units x $2,553.11 per service unit = $2,553.11

What is an Impact Fee Exemption?

An impact fee exemption allows you to be exempt from paying impact fees for a single-family residence up to 3,000 square feet or one (1) service unit. There are qualifications that you must meet in order to be considered Impact Fee Exempt.

An approval of impact fee exemption at plan review does not permanently exempt the owner from paying impact fees at this location. If the home is sold for over the median exempt unit cost listed on the owners Impact Fee Exemption form, the owner listed will owe impact fees to the City of Houston.

Who qualifies for an Impact Fee Exemption?

Development of low and moderate-cost single-family housing can be considered for impact fee exemption. In order to qualify for this exemption, the house must be a single-family residence located within the City Limits having an initial purchase price as certified by the property owner that does not exceed the latest available 12-month listing for median price single-family housing in the city as published by the Real Estate Center at Texas A&M University.

If the initial purchase price exceeds this amount, the property owner making the certification shall pay the full amount of impact fees as calculated by Impact Fee Administration, located on the 3rd floor of the Houston Permitting Center. The owner is responsible for turning in the closing statement for each impact fee exemption.

Qualifications for Impact Fee Exemption

1. All impact fee exemption applicants must have a Wastewater Capacity Reservation (WCR) letter.
2. All impact fee exemption applicants must have uploaded Harris County Appraisal District (HCAD) documents into ProjectDox’s Utility Letters folder at time of plan submittal.
3. All impact fee exemption applicants must have uploaded the Impact Fee Exemption Form into ProjectDox’s Utility Letters folder at time of plan submittal.
4. Owner must be selling the property at the completion of building the single-family residence.
5. The single-family residence cannot exceed 3,000 square feet or one service unit.
6. Mobile homes do not qualify for Impact Fee Exemption.
7. Closing documents for the sale of the single-family residence must be turned in to Taps & Meters section within 10 business days from the sale of the home.

How do I apply for an Impact Fee Exemption?

All impact fee exemption documents will be uploaded into ProjectDox for review. The following required documents must be uploaded into the Utility Letters folder:

• Impact Fee Exemption Form – to be completed by the owner
• Harris County Appraisal District (HCAD) documents
• Wastewater Capacity Reservation (WCR) letter

Impact fees are paid to secure capacity for your development. The fee is based on the number of service units and the utility availability. Credits may be given for conversions or for the removal of existing development.

• Wastewater: $1,830.24 per service unit
• Water: $2,533.11 per service unit

Applications accepted as administratively complete prior to the close of business on Monday, June 30, 2026, will be processed under the previous rate of $1,830.24 per service unit for wastewater and $2,553.11 per service unit for water.

Please note: wastewater and water impact fees are not refundable for any reason, including failure to obtain a building permit or failure to complete the project for any reason.

The minimum application fee is $67.13 plus an administration fee for the first acre, and $33.56 for each additional acre. If your proposed development of a structure is over 43,560 square feet the vacant land application fee scale will be used.

The fee for Site-to-Site Transfers is $335.69 per transfer, and for Name Transfers is $13.42 per transfer.

Fee exemptions

Development of low or moderate-cost single-family housing is exempt from payment of impact fees. In order to qualify for this exemption, the house must be a single-family residence located within city limits having an initial purchase price as certified by the property owner that does not exceed the latest available 12-month listing for median price single-family housing in the city as published by the Real Estate Center at Texas A&M University. 

In the event the initial purchase price exceeds this amount, the property owner making the certification shall pay the city the full amount of the impact fee as calculated under this section. If publication of the median price for single-family housing is discontinued by the Real Estate Center at Texas A&M University, the mayor is authorized to select another publication to that lists the median price of single-family houses in the city.

Download the Impact Fee Exemption Form. This form and all required documents must be uploaded in ProjectDox in the Utility Letters folder at the time of plan submittal.

For your reference, all forms are listed below:

• Application Authorization Form (UA002)
• WCR Name Transfer Application (UA003)
• WCR Site to Site Transfer Application (UA004)
• Impact Fee Service Equivalency Table (UA005)
• Impact Fee Exemption Application (UA006)
• Revision Request Application (UA007)
• WCR Shopping Center Application (UA008)
• Shopping Center Denial/ Approval Letter (UA009)
• Tenant Listing Form (UA010)
• Application Fee Schedule (UA011)