Tennessee homeowner finds a septic tank in his yard despite years of sewer bills

Lynchburg, Tenn., homeowner Jim Dore says he was billed for sewer service even though his house was still draining into a septic tank in the yard.

After learning about the bill, Dore went to his local utility board seeking repayment for charges he believes should never have appeared on his account.

Here's what to know

According to The Moore County Observer, Dore took the issue to Lynchburg's Metro Utility Department after digging at his home at 385 Main St. showed the property was not connected to the public sewer system after all. He said he and his wife bought the house, and both the property paperwork and their monthly utility bills indicated public water and sewer service.

The problem surfaced during preparations for a 34-foot-by-24-foot outbuilding with a bathroom that Dore had been approved to place behind the house. Excavation crews hit underground piping and uncovered a septic tank. Dore then ran water through the house to see where it went and determined it wasn't flowing into the public system. 

"I just thought we were on city sewer," he told the board, per The Observer.

Dore said the utility could provide records back to 2022 showing about $4,600 in sewer fees, and he estimated the longer-term total at roughly $7,000 or $8,000. He also mentioned two additional sewer charges that appeared after the utility had already been notified that the house was not connected.

Board members later voted 4-0 to refund a little more than $1,000, covering sewer bills from April 2025 through September 2026, and to waive Dore's sewer tap fee when he connects to the public system.

More background

The case also raised a broader concern for MUD's new chairman, Greg Guinn. According to The Observer, County Attorney Bill Rieder told him the utility was not financially responsible because buyers are expected to confirm which utilities serve a property.

Guinn said the way sewer billing works may help explain how the charges were applied in the first place. Sewer fees are based on metered water use, and the system does not include a separate meter for wastewater leaving a home. "When we sell water, we don't have a meter for sewer," Guinn explained, per The Observer, meaning a sewer charge on a monthly bill doesn't necessarily confirm a home is physically connected.

Guinn said the discovery "really got me to wondering if there's others out there."

Members also discussed sewer rehabilitation work in the area overseen by an engineering firm. The Observer reported that the project involved camera inspections and included work in front of Dore's home. Guinn said MUD should have been alerted during that process if they had identified the missing connection.

What's being done?

Rather than refunding every past sewer charge, the board chose a starting point from which members believed the utility should assume responsibility; after discussing inspection footage from April 29, they selected April 2025 as that date.

MUD Office Manager Katie Goodwin will calculate the exact charges covered by the board's motion and prepare a written offer. The refund will come from the department's sewer revenue category and will include the two bills Dore questioned.

Utility Manager Ronnie Cunningham is expected to contact Dore, explain the board's decision, and ask whether he would prefer a check or an account credit. If Dore rejects the offer, Guinn said any further discussion would go through County Attorney Bill Rieder.

The board also agreed to waive Dore's sewer tap fee, and members said Cunningham and other department personnel should help him as he prepares to connect, The Observer reported. Dore has already ordered a grinder pump to move wastewater uphill into the sewer line, and Guinn raised the possibility of reviewing rehabilitation records to determine whether any other properties were missed.

Dore said the offer marked a change from the response he initially received. "This conversation is a lot better than the previous answer, which was no," Dore told board members.

Get TCD's free newsletters for easy tips, smart advice, and a chance to earn $5,000 toward home upgrades. To see more stories like this one, change your Google preferences here.