Kentucky American Water & LFUCG Sewer Tap Fees in Lexington (2026)

In Lexington, water and sewer come from two different providers. Kentucky American Water, a private utility regulated by the Kentucky Public Service Commission, supplies the water. The Lexington-Fayette Urban County Government (LFUCG) owns the sanitary sewers. For a new single-family home with a 5/8-inch water meter on a lot of 1/4 acre or less, the official charges come to $2,922.50: Kentucky American Water’s $1,223 tapping fee (tariff effective Dec. 16, 2025) plus LFUCG’s $1,699.50 sewer tap-on fee (Code Sec. 16-60, effective July 1, 2026). The caveat that matters most is lot size. LFUCG prices its sewer fee by the size of the lot, so the same house on a 1/2-acre lot pays $1,456.40 more for sewer. Lots in the 1996 Expansion Areas skip the tap-on fee and pay development exactions instead.

Lexington tap and connection charges at a glance

Kentucky American Water’s rows come from its PSC tariff (tapping-fee sheet effective December 16, 2025), which prices taps by meter size and lists only 5/8, 1 and 2 inches. LFUCG’s rows come from its Code of Ordinances: one sewer tap-on row per lot-size band, plus Capacity Assurance Program rows that developers usually pay once for a whole plan. Rows marked as not typical apply only in the situations their notes describe.

What a new Lexington house pays: worked example

Assumptions: one detached house, a 5/8-inch meter, a water main already in the street in front of the lot, and a lot outside the Expansion Areas. The sewer fee depends on lot size, so the table shows three common cases.

Published Lexington connection charges for one house, by lot size (sources: Kentucky American Water tariff, Sheet No. 32, LFUCG Code Sec. 16-60). Construction of the private lines is not included.

Larger lots cost more. The ordinance sets $6,315.81 for 3/4 to 1 acre and $8,015.29 above 1 acre, which puts a 1-acre-plus lot at $9,238.29 with the water tap. A 1-inch meter raises the water tap to $2,174, which is $951 more than the 5/8-inch meter in every case. If the house replaces an older building on the same lot, Sec. 16-61 gives a credit for the earlier use against the sewer fee. Kentucky American Water also charges a $28 activation fee on every new account, including the first account at a new house. It is an account charge rather than a connection charge, so it is left out of the totals above.

In the Expansion Areas, Sec. 16-61.1 exempts lots that pay development exactions (under Article 23C of the zoning ordinance) from the sewer tap-on fee. We could not find a current published exaction schedule, so we give no figure here; ask LFUCG for the amount on a specific lot.

What is not included in Lexington fees

Kentucky American Water’s tapping fee covers the company service line from the main to your line. LFUCG’s tap-on fee is only a charge for the right to connect; the ordinance puts the connection itself at the owner’s expense. These costs are extra:

• Water service line from the meter to the house: $30 to $150 per foot, about $50 typical, installed including the trench (national estimate). Under Rule 9.1 the customer installs this line to a point Kentucky American Water approves.
• Sewer lateral (building sewer) from the house to the public sewer: $50 to $250 per foot, about $100 typical, installed including the trench (national estimate).
• A water main extension, if no main runs past the lot. See “How and when you pay” below.
• Plumbing permit and inspection. A complete water service application includes a plumbing inspection; the permit fee is not tracked here.

For example, 60 feet of water line at $50 and 60 feet of sewer lateral at $100 add about $9,000 in private work. These are national benchmark figures, not Lexington quotes. See water service line cost and sewer lateral cost, and model your own lot here:

How and when Lexington fees are paid

• The water tap fee is due when you apply. The tariff requires the tapping fee on application. Services larger than 2 inches pay a cost-adjustable deposit instead and are billed at actual cost.
• Sewer comes first at the permit stage. Under LFUCG’s Capacity Assurance Program, which started July 3, 2013 under a federal consent decree, no tap permit or building permit is issued until the Division of Water Quality confirms there is sewer capacity. Since October 1, 2013, a building permit also needs written evidence that a sewer tap permit has been issued.
• Grandfathered lots skip the capacity application. Lots on a subdivision or development plan approved before July 3, 2013 do not need a Sewer Capacity Application. Other projects file one at the Tap-On Desk (125 Lisle Industrial Ave., Suite 180, 859-425-2400) with a $450 administrative fee. One application can cover every lot on a plan. LFUCG aims to answer within 10 calendar days, and projects without capacity can be waitlisted.
• Main extensions. Outside new subdivisions, Kentucky American Water extends a main free up to about three years of expected revenue from the new customers (never less than 50 feet of main per customer). You deposit any cost above that, and part of it can be refunded over 10 years as new customers connect. Subdivisions use separate extension deposit agreements.

Lexington vs. Louisville, Knoxville and Columbus

Louisville charges $1,825 in Louisville Water fees for a 3/4-inch service, but MSD has no flat sewer tap fee. It bills the construction cost plus $250, and developers pay its capacity charge. Knoxville‘s KUB publishes minimums of $1,000 for a water tap and $1,700 for a wastewater tap, or $2,700, close to Lexington’s small-lot total of $2,922.50. Columbus is higher at $5,780 for a 3/4-inch tap inside the city, mostly from capacity charges. Lexington’s total rises with lot size, so on a 1/2-to-3/4-acre lot it reaches $5,839.32, about the same as Columbus.

What could change in Lexington

LFUCG’s sewer tap-on fee is adjusted every July 1 by the consumer price index (Ord. No. 22-2015), so the amounts above apply from July 1, 2026, with new amounts expected July 1, 2027. The $450 Capacity Assurance Program fee dates from 2013; the ordinance makes it CPI-adjustable, but we found no adjusted amount published, so confirm it at the Tap-On Desk. Kentucky American Water’s tapping fees were set in PSC Case No. 2025-00122 (order dated December 16, 2025) and change only through a new PSC-approved tariff.

Electric line extensions by utilities regulated by the Kentucky Public Service Commission follow a statewide free-footage rule. See electric line extension free footage.

Lexington tap fee FAQ

More on Lexington and nearby cities

Compare Lexington with Louisville, Knoxville, Nashville and Columbus, or see the full tap fees by city table. Related guides: tap fee vs. impact fee, sewer connection cost, water meter installation cost and the utility connection cost calculator.

Official documents behind the Lexington figures

• Rates, Charges, Rules and Regulations for Furnishing Water Service, P.S.C. KY No. 11 (Tapping Fees, Sheet No. 32; New Account Activation Fee, Sheet No. 41; Rules 9 and 10), Kentucky-American Water Company, on file with the Kentucky Public Service Commission. Checked Sep 24, 2026.
• Code of Ordinances, Chapter 16, Article VI, Secs. 16-60 to 16-61.1 (tap-on or connection fees), Lexington-Fayette Urban County Government. Checked Sep 24, 2026.
• Code of Ordinances, Chapter 16, Article XIII, Secs. 16-303 and 16-304 (Capacity Assurance Program), Lexington-Fayette Urban County Government. Checked Sep 24, 2026.
• Capacity Assurance Program, including its FAQ and Sewer Capacity Application (Rev. 11/6/2013), LFUCG Division of Water Quality. Checked Sep 24, 2026.
• National cost estimates: Utility Cost Guide benchmark methodology.