(Cape Coral) This week 60,000 people will get letters in the mail explaining their payment options for the Cape Coral Utility Expansion Project. But the packets are leaving some confused.

Nearly 3,000 people in the area called Southwest 6-7in Cape Coral have to pay for water, sewer and irrigation. The 20-30,000 people who live or own property North of Pine Island are paying for water lines only.

This packet many received today contains all of their payment options.

Option 1: Pay off the assessment in full later this year.
This is the cheapest way to go because you don't pay interest. If you live North of Pine Island Road, there's an added incentive: This option gives you a 20% discount, saving you more than $1,000.

Option #2: Pay the fee over 20 years.
The first payment would begin in November 2011 if you live in the SW 6-7, and in 2012 if you live in the North 1-8. Of course, this plan includes interest.

Property owners will automatically be enrolled in Option #2, the annual payment plan, unless they sign up for one of the other options. Under Option 2, you can pay the balance off in full at anytime.

Option#3: The deferred payment option.
With this option you don't pay anything for ten years. However, the interest compounds over that time so in the end, this will cost you the most.

City leaders say if you can, pay the fee off now so you ultimately pay the least.

Still confused? You're not alone.

There are informational meetings scheduled so you can ask questions about your options, some of which are geared toward hardship cases.

For more information call the City of Cape Coral at 239-242-3851.