Security Deposits

Image of Piggy Bank​
When opening a new LCU account, customers may be required to pay a security deposit for water and/or sewer service. Deposits earn annual interest, which is credited to the customer’s account each September or upon account closure, whichever comes first.
To learn more about security deposits, click on the expandable sections below.

Deposit Fees

Residential Accounts

Meter Size Water Deposit Sewer Deposit
​Single-Family
​$70
​$125
​Multi-Family​$56 X Units
​$100 X Units
​Recreational Vehicles​$28 X Units​$50 X Units

Commercial Accounts

Meter Size ​​Water Deposit ​​Sewer Deposit
​5/8"​$70​$125
​3/4"​$105​$187.50
​1"​$175​$312.50
​1.5"​$350​$625
​2"​$560​$1,000
​3"​$1,120​$2,000
​4"​$1,750​$3,125
​6"​$3,500​$6,250
​8"​$5,600​$10,000
​10"​$10,150​$18,125

Waving Deposits

Deposits for single-family residential accounts may be waived if the customer meets one of the following conditions:

  1. Previous Account with LCU
    • The customer maintained an account with LCU within the last two years, meeting all of the following criteria:
      • Services were provided for 12 consecutive months.
      • Service was not disconnected due to a delinquent unpaid balance during this period.
      • No more than two late charges were assessed for past-due balances.
  2. Reference Letter:
    • The customer provides a letter of reference from a previous utility provider (gas, water, or electric) confirming:
      • Services were provided within the last two years.
      • The account maintained a good payment history during the last 12 months of service.
  3. Enrollment in LCU Programs:
    • The customer enrolls in LCU’s monthly autopay program and paperless billing within 20 calendar days of starting their new account. Failure to subscribe to both programs within this timeframe will result in a guarantee deposit being billed for each service address.
Important Note:
While deposits may be waived during the initial application process, LCU reserves the right to bill a deposit to the customer’s account at a later date if the account becomes delinquent.

Credits/Refunds

Security deposits will be credited to a customer's account for both residential and commercial accounts if all the following conditions are met:
  • The customer has maintained 23 months of continuous service.
  • The customer has not submitted a dishonored payment.
  • The customer has incurred no more than two late payments.
  • The customer’s service has not been disconnected for non-payment.
  • The customer has not tampered with their water meter.
If service is terminated before completing 23 months of continuous service, the security deposit will be applied as a credit to the final bill. Any remaining credit balance will be refunded to the customer.

Refund Process
  • Refunds are issued through the Lee County Finance Department, with a processing time of 2 to 4 weeks from the regular billing date.
  • No employee of LCU, Lee County, or any contract operator for LCU is authorized to directly disburse funds to customers. Refund transactions must strictly adhere to LCU’s established policies and procedures.
  • Refunds of less than $5 will not be automatically issued unless the customer submits a written request.
By following these guidelines, LCU ensures proper, legal, and efficient handling of deposit refunds.

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