8-3-4: RATES, DEPOSITS, BILLINGS AND DELINQUENCY:
A. Rates: The schedule of rates to be charged the consumers of electrical energy and culinary water, as well as the rate paid to consumers under the city net metering policy, shall be calculated from time to time in accordance with the requirements of the utility systems and the best interests of the community. Those rates shall be approved by the mayor and city council.
B. Unified Billing: The finance department will be responsible for the preparation and collection of all utility bills. A system of unified billing shall be utilized whereby charges for electric, water, sewer, drainage and garbage services are combined and billed on a monthly basis. All owners or occupants of premises in the city shall pay for electric and water services on a metered basis as used and for sewer, drainage and garbage on a flat fee basis, utilizing the person or firm designated as official scavenger and garbage collector for the city to collect appropriate garbage and rubbish upon such premises. Such composite billing shall issue in recognition of the public health consideration that all city residents shall not only avail themselves of but provide support for said services provided by the city. Rates charged shall be uniform and equal except that differentiation may be made between residential, commercial and industrial classes of users.
C. Failure To Pay For Municipal Services:
1. If any person shall fail or refuse to pay or have paid on his behalf the charges for any of the available municipal services, the city shall shut off either water or electric service, or both, to the premises occupied by that person. Discontinuance of a service shall be in addition to any other remedy available to the city.
2. Prior to termination of a service for nonpayment, the user of that service shall be given notice of shutoff at the address of the premises served or such alternate address as the user may have furnished for billing purposes. The notice shall inform the user of a right to appeal the shutoff whenever the user has a basis for contending that the billing is unjust or that there is not good cause for a shutoff. Upon request, a hearing before a three (3) person appeal board to be appointed by the city manager shall be held no sooner than four (4) days after receipt by the user of the notice and not less than twenty-four (24) hours before the cessation of any service. Request by the user for an appeal hearing shall be made within three (3) days after the receipt of notice as provided herein, or the right to appeal is considered to be waived.
3. In the event of a determination by the appeal board that the billing is just or that no good cause exists why service should not be terminated, a service charge in such amount as established by resolution of the city council shall be added to the billing to cover the city’s expenses in connection with the appeal.
D. Reconnection Fee: In the event it shall become necessary to cease water and/or electric service to premises by reason of the occupant’s failure to pay for any service billed pursuant to subsection B of this section, reconnection shall not thereafter be made for the account of that user until a fee in such amount as established by resolution of the city council has been paid as a service fee for reconnection in addition to the amount of the delinquent bill.
E. Deposits:
1. Required: Where residential premises served by utilities are leased by the user, the tenant thereof shall be required to post a deposit in such amount as established by resolution of the city council, guaranteeing payment of charges when due before services will be provided; commercial accounts shall post a deposit at least as great as the cost of utility services for a six (6) week period. All deposits shall accrue interest at an interest rate as determined from time to time by the director of administrative services and approved by city council on any unused portion thereof, and interest earned shall be paid to the user upon return of the deposit. If a portion or all of a deposit is used to pay delinquent charges, the user, upon request, shall be required to add a further deposit equal to the amount so used. If after three (3) years it has not been necessary to use any part of a leased residential premises deposit, the city may return the deposit and accrued interest on that residential account and not require further deposit unless there is a subsequent delinquency in the payment of a bill. If after two (2) years it has not been necessary to use any part of a commercial deposit, the city may return the deposit and accrued interest on that commercial account and not require further deposit unless there is a change of owner or subsequent delinquency in the payment of a bill.
2. New Account Where Preexisting Debt: Where application is made to open a new account which will benefit a user who still owes the city for utility service under an old account from which the user benefited, the application shall be rejected and service shall be refused until arrangements are made for payment of the prior indebtedness. It shall constitute an offense of strict liability for a user with outstanding indebtedness for utility service to knowingly permit an account to be opened in another name for utility service from which such user will benefit, and the user who engages in such a practice may be guilty of an infraction and, upon conviction, subject to penalty as provided in section 1-4-1 of this code. (Ord. 2016-01-003, 1-21-2016)