City of Raleigh $26.2 Million Capital Facilities Fees Settlement, Who Qualifies, How Much You Could Receive and Key Deadlines

If you paid a water or sewer capital facilities fee to the City of Raleigh, North Carolina, between January 12, 2016 and June 30, 2018, you may be owed money from a $26,235,749.27 class action settlement. There is no claim form. Eligible people and businesses are paid automatically from the City’s payment records if the court gives final approval and they do not opt out. The opt-out and objection deadline is November 23, 2026, and the final approval (fairness) hearing is set for December 14, 2026.

Official settlement website: https://raleighcffsettlement.com/ (Angeion Group, settlement administrator, 1-844-430-4361)

The key distinction: This settlement covers specific water and sewer capital facilities fees, also called capacity or impact fees, usually paid by builders and developers when connecting new construction. Paying an ordinary monthly Raleigh water or sewer bill does not, by itself, make you eligible.

The City denies wrongdoing. It agreed to settle after losing in the trial court, at the North Carolina Supreme Court on class certification, and at the Court of Appeals on the merits. The settlement is proposed and still needs final court approval before any payments go out.

Raleigh Capital Facilities Fees Settlement: Quick Facts

Item	Details
Case name	Wardson Construction, Inc., et al. v. City of Raleigh
Case number	19-CVS-010860-910
Court	General Court of Justice, Superior Court Division, Wake County, North Carolina
Defendant	City of Raleigh
Settlement amount	$26,235,749.27 (gross common fund)
Who is eligible	Anyone who paid water or sewer capital facilities fees to the City of Raleigh from January 12, 2016 through June 30, 2018
Estimated payment	About 105% of principal fees paid, if all requested fees, awards and costs are approved (an estimate, not a guarantee)
Official settlement website	https://raleighcffsettlement.com/
Claim form	None. No claim form is required. Payments are calculated from the City’s records.
Opt-out deadline	November 23, 2026 (postmark)
Objection deadline	November 23, 2026 (postmark)
Final approval hearing	December 14, 2026 civil session, Wake County Courthouse, 316 Fayetteville Street, Raleigh (confirm time and format on the official website)
Settlement administrator	Angeion Group
Administrator contact	1-844-430-4361; [email protected]
Administrator mailing address	City of Raleigh CFF Settlement, 1650 Arch Street, Suite 2210, Philadelphia, PA 19103
Class counsel	James R. DeMay, J. Hunter Bryson and Daniel K. Bryson, Bryson Harris Suciu DeMay PLLC
Status	Preliminarily approved; awaiting final approval

The $26.2 million is the gross fund, not what any one person receives. Court-approved attorneys’ fees, service awards and administration costs come out first.

What Is the Raleigh Capital Facilities Fees Lawsuit About?

Capital facilities fees are charges a city collects to help pay for expanding water and sewer capacity. They are different from regular monthly bills for water use or sewer service. A builder might pay one when connecting a new development to the system.

Two Raleigh homebuilders, Wardson Construction, Inc. and Homequest Builders, Inc., sued the City on August 12, 2019. They argued that the fees collected between January 12, 2016 and June 30, 2018 went beyond what the City was legally allowed to charge under North Carolina law, including N.C.G.S. § 160A-314 and the City’s Charter, and asked for refunds with 6% interest. The City denied the claims and defended the case for years.

Date	Event
August 12, 2019	Lawsuit filed in Wake County Superior Court
April 12, 2022	Judge denies the City’s motion to dismiss
July 20, 2022	Court of Appeals denies the City’s petition for review
December 1, 2022	Judge denies the City’s motion for judgment on the pleadings
September 16, 2024	Judge certifies the class and enters summary judgment for the plaintiffs, with a principal award of $16,484,400 plus 6% interest
March 20, 2026	North Carolina Supreme Court affirms class certification
July 15, 2026	Court of Appeals affirms the summary judgment ruling
August 18, 2026	Settlement Agreement dated

This is not an early-stage case based on unproven allegations. It follows years of rulings in favor of the plaintiffs and the class. As of July 15, 2026, the City’s total liability under the judgment was $26,235,749.27, the same amount the City agreed to pay into the settlement fund, so the settlement does not discount the judgment.

How Is the $26.2 Million Made Up?

Component	Amount
Capital facilities fees collected from the class	$16,477,509.40
Interest at 6% from each payment through September 16, 2024	$7,352,975.87
Interest from September 17, 2024 through July 15, 2026	$2,405,264.00
Total	$26,235,749.27

Note on two figures: The settlement papers recite $16,484,400 as the principal in the 2024 judgment and $16,477,509.40 as fees collected in the later breakdown. The gross total of $26,235,749.27 is stated consistently. Individual awards are calculated from each member’s payment records, so neither principal figure should be read as every member’s amount.

Who Is Eligible for the Raleigh Settlement?

The settlement class includes all natural persons, corporations and other entities that, at any time from January 12, 2016 through June 30, 2018, paid water or sewer capital facilities fees to the City of Raleigh under its Schedule of Fees and Code of Ordinances. Earlier reporting put the potential class at up to 735 members, though the final number may differ.

• Homebuilders and developers: Those that paid qualifying fees for developments in the class period may be eligible.
• Construction companies and contractors: Eligible if they actually paid the covered fees.
• Other businesses and organizations: Corporations and other entities are expressly included.
• Individuals: Natural persons who paid the fees are also included.
• Successor businesses: The agreement lets the Administrator correct payee names for mergers, name changes, dissolutions and successors.
• Regular utility customers: Paying ordinary monthly bills does not establish eligibility. The question is whether you paid the specific capital facilities fees.

Eligibility turns on who made the qualifying payment, as shown in the City’s records, not simply who owns the property today. If you are unsure, contact the Administrator at 1-844-430-4361 or [email protected] and ask specifically about capital facilities fees paid during the class period.

How Much Will Class Members Get?

There is no fixed payment. The notice estimates that, if the court approves all requested fees, service awards and costs, each class member will receive roughly 105% of the principal capital facilities fees they paid. That is an estimate. As a rough check, it is consistent with the fund size: after the maximum fee request and service awards come out, about $17.4 million would remain before administration costs, compared with about $16.5 million in principal fees.

The agreement sets out the formula. Each member has a Claim Amount: the fees paid, plus 6% interest from the date of each payment through September 16, 2024, plus interest at the legal rate from September 17, 2024 through August 1, 2026. After court-approved deductions, the Administrator divides what remains pro rata across Claim Amounts. A member who paid twice as much gets about twice the payment.

Example (illustration only): If a business paid $10,000 in covered fees, the 105% estimate would suggest about $10,500. The real amount depends on the final approved deductions and the Administrator’s records.

What comes out of the fund first?

Item	Proposed treatment
Attorneys’ fees and expenses	Up to one-third of the fund (about $8.75 million); the City will not oppose a request up to that cap; the judge decides the actual amount
Service awards	Up to 25,000eachforWardsonConstructionandHomequestBuilders(50,000 total), subject to court approval
Administration costs	Notice, Administrator fees and payment of awards
Class member payments	Whatever remains after approved deductions

The court may award less than requested. Maximum amounts are not final approved amounts.

Do I Need to File a Claim?

No. The Administrator calculates each person’s Claim Amount from the City’s payment records, and class members who do not opt out will be mailed a check at their last known address. The agreement allows the Administrator to name as payee the person or business that originally paid the fee and to update names and addresses for mergers, name changes and successors.

If your business changed names, merged, dissolved or was acquired, or if someone else should receive the money, you or your authorized representative can submit a written payee designation. Disputes go first to the Administrator and, if needed, to the court. If your address has changed, update it with the Administrator through the official website or by mail, and include your Notice ID if you have one. Do not pay anyone to file a claim. No paid application is required.

When Will Payments Go Out?

No payment date has been set. The sequence in the agreement is:

1. The court holds the Fairness Hearing on December 14, 2026 and decides on final approval.
2. Once the time to appeal has passed, or any appeal is resolved, the settlement reaches Final Judicial Approval.
3. The City pays the full amount into the fund within 10 days after Final Judicial Approval.
4. The Administrator calculates awards and mails checks after the court approves the fee, service award and cost deductions.

An objector’s appeal can delay payments until it ends. The 10-day funding window does not mean checks arrive in 10 days.

Cash your check promptly. Checks not cashed within 180 days of issuance are paid to the City of Raleigh’s water and sewer enterprise fund. The Administrator must send a reminder at least 30 days before that period ends. If a check never arrives, first verify your contact details with the Administrator.

Raleigh Settlement Key Dates

Event	Date
Exclusion (opt-out) deadline	November 23, 2026
Objection deadline	November 23, 2026
Class counsel’s fee application due	At least 7 days before the Fairness Hearing
Objector’s statement of intent to appear	At least 14 days before the Fairness Hearing
Final approval (Fairness) hearing	December 14, 2026 civil session, Wake County Superior Court
Payment	After final approval and any appeals; no date set

The exact hearing time and whether it will be in person or by WebEx should be confirmed on the official settlement website.

What Are My Options?

Do nothing. You stay in the class, get paid your share if the settlement is finally approved, and give up the right to sue the City over capital facilities fees paid in the class period.

Opt out. You keep your right to sue the City on your own but receive no payment from this settlement. You must send a signed written request with your name, address and a valid telephone number, clearly stating you want to be excluded, postmarked on or before November 23, 2026, to the address in the official notice. Nobody can opt out for someone else except as the law allows. If you have your own case or are thinking of opting out, speak with a lawyer promptly.

Object. If you stay in the class but think the settlement, the fee request or the service awards are unfair, you can object in writing. Objecting does not remove you from the class, and you generally remain eligible for payment and bound by the settlement if it is approved. The objection must be postmarked by November 23, 2026 and served on the Administrator, class counsel and the City’s counsel. It must:

• Carry the title “Objection to Class Settlement in Wardson Construction, Inc., et al. v. City of Raleigh, Wake County Case No. 19-CVS-010860-910”
• State the specific reasons, with legal support and evidence
• Include your name, address and personal signature
• Identify other class settlements where you or your lawyer have objected
• Identify any attorneys with a financial interest in the objection
• Say whether you plan to appear at the Fairness Hearing, in person or through counsel

The agreement also lets the parties take discovery from objectors, including a deposition, before the hearing. An objection not made in the required way generally cannot be raised later.

Objecting vs. opting out: Objecting tells the court why the deal should not be approved. Opting out removes you from the class entirely.

What Am I Giving Up by Staying In?

If the settlement is finally approved, every class member who has not opted out releases the City and its council members, officers, employees, attorneys, insurers, agents and successors from “All Claims.” That covers any known or unknown claim arising from the payment of capital facilities fees to the City during the class period, including claims for refunds, damages and interest.

The release does not cover claims to enforce the settlement, claims by people who validly opted out, or claims that do not arise from the same facts. If you have a related dispute, read the full release in the Settlement Agreement.

Does the City Admit Wrongdoing?

No. The agreement says the City does not admit liability or wrongdoing and settled to avoid the expense, burden and risk of more litigation. At the same time, the courts did rule against the City, and the amount being paid equals the judgment with interest, so this is not a compromise on the amount.

Laws and Court Rules Behind the Settlement

N.C.G.S. § 160A-314. This statute lets North Carolina cities set rates, fees and charges for public enterprises such as water and sewer service. The plaintiffs argued Raleigh’s capital facilities fees exceeded the authority this statute and the City’s Charter allow.

N.C. Public Water and Sewer System Development Fee Act (N.C.G.S. Chapter 162A, Article 8, §§ 162A-200 et seq.). Enacted in 2017, this law sets rules and limits for system development fees charged by local governments. Whether and how it applies to fees paid in 2016 to 2018 is a question for the court record and is not something this article decides.

North Carolina Rule of Civil Procedure 23 (N.C.G.S. § 1A-1, Rule 23). This governs class actions in North Carolina courts. Class members get notice, the court must approve any settlement of a class action, and the court reviews whether it is fair, reasonable and adequate. That is the purpose of the Fairness Hearing.

Interest. The judgment included 6% interest on the fees through September 16, 2024, and then interest at North Carolina’s legal rate (N.C.G.S. § 24-1) afterward.

Taxes. Settlement payments may have tax consequences, especially for businesses that deducted or capitalized the original fees. Ask a tax professional how your payment should be reported.

Frequently Asked Questions

What is the City of Raleigh capital facilities fees settlement? 

A $26,235,749.27 class action settlement over water and sewer capital facilities fees the City collected from January 12, 2016 through June 30, 2018.

Is the Raleigh $26.2 million settlement real? 

Yes. The case is Wardson Construction, Inc., et al. v. City of Raleigh, No. 19-CVS-010860-910, and the official website publishes the agreement, notice and case documents.

Who qualifies? 

People and entities that paid water or sewer capital facilities fees to the City of Raleigh from January 12, 2016 through June 30, 2018.

Do Raleigh residents who paid monthly water bills qualify?

 Not simply because of ordinary utility bills. The settlement covers specific capital facilities fees.

Do I need to submit a claim form?

 No. The Administrator determines each share from the City’s records.

How much will I receive? 

There is no fixed amount. The notice estimates about 105% of principal fees paid if all requested deductions are approved, with the final amount based on the formula and court-approved deductions.

What is the deadline to opt out or object? 

November 23, 2026. Both must be postmarked by that date.

Can I object and still get paid?

 Yes. Objecting does not remove you from the class.

When is the final approval hearing?

 December 14, 2026 civil session at Wake County Superior Court. Confirm the time and format on the official website.

When will checks arrive?

 No date has been set. Checks go out after final approval and after any appeals end or the time to appeal expires.

Who is the settlement administrator? 

Angeion Group: 1-844-430-4361, [email protected], or 1650 Arch Street, Suite 2210, Philadelphia, PA 19103.

What if my business changed names or was acquired?

 The Administrator can update payee names and the agreement allows a written payee designation. Contact the Administrator before checks go out.

What happens to uncashed checks? 

Checks not cashed within 180 days go to the City of Raleigh’s water and sewer enterprise fund.

Who are the class attorneys?

 James R. DeMay, J. Hunter Bryson and Daniel K. Bryson of Bryson Harris Suciu DeMay PLLC. Class members do not pay them directly; court-approved fees come out of the fund.

Has the court approved the settlement? 

Only preliminarily. Final approval is still pending.

Related Reading

• How To Spot Fake Class Action Settlement Notices? Complete Consumer Guide
• Raging Waters Processing Fee Settlement, Check If You Qualify (Velazquez v. Festival Fun Parks, LLC, No. 24STCV20667)
• $2.4M Capital One FCRA Settlement, Automatic Payments For Deceased Reporting Victims (Final Approval March 2026)

Sources

1. Official City of Raleigh CFF Settlement website, administered by Angeion Group. https://raleighcffsettlement.com/
2. Notice of Proposed Class Action Settlement. https://angeion-public.s3.amazonaws.com/www.raleighcffsettlement.com/docs/Notice%20of%20Proposed%20Class%20Action%20Settlement.pdf
3. Settlement Agreement dated August 18, 2026, Wardson Construction, Inc., et al. v. City of Raleigh, No. 19-CVS-010860-910 (Wake Cty. Super. Ct.). https://angeion-public.s3.amazonaws.com/www.raleighcffsettlement.com/docs/Settlement%20Agreement.pdf
4. Important Documents page (complaint and preliminary approval order). https://raleighcffsettlement.com/important-documents
5. Contact the Settlement Administrator. https://raleighcffsettlement.com/contact
6. Wardson Construction, Inc. v. City of Raleigh, No. 115A25 (N.C. Mar. 20, 2026) and No. COA25-416 (N.C. Ct. App. July 15, 2026), as described in the Settlement Agreement.
7. N.C.G.S. § 160A-314; N.C.G.S. Chapter 162A, Article 8 (§§ 162A-200 et seq.); N.C.G.S. § 1A-1, Rule 23; N.C.G.S. § 24-1.
8. Carolina Journal, “Appeals Court rules against Raleigh in $16M developer fee dispute” and “Raleigh appeals water, sewer fee rulings at NC’s top two courts.”
9. Milberg PLLC, “Judgment Against City of Raleigh in Capacity Facilities Fees Class Action Lawsuit” (September 26, 2024).

Editorial note: This proposed settlement remains subject to final court approval. Always confirm deadlines, hearing details and instructions on the official settlement website or with the Administrator before acting. This article is not affiliated with the settlement administrator, class counsel or the City of Raleigh. It is general legal information, not legal advice, and the author is a legal content researcher, not a practicing attorney. If you have questions about your rights, speak with a licensed attorney.