Modesto Municipal Code Ch. 6 Collections of Public Utilities Charges

* Prior history: Former Ch. 6, was added by Ord. 2875-C.S., and Ord. 2956-C.S., amended by Ord. 2955-C.S., Ord. 2993-C.S., Ord. 3068-C.S., Ord. 3133-C.S., and Ord. 3363-C.S., and replaced by Ord. 3370-C.S.

The Finance Director or a designee shall be in control of collections of all moneys due the City for utility service charges including water, sewer and storm drain services under the general direction of the City Manager. The Finance Director shall pay the same into the City Treasury and account for the same in the same manner as sums paid into the Treasury and accounts for other funds received in an official capacity.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

An advance deposit for utility services, as may be established from time to time by resolution duly adopted by the Council, shall be required for each service based solely on credit worthiness of the consumer; except that if the Finance Director is of the opinion that a larger deposit is required in order to protect the interests of the City, the Director may require a deposit that does not exceed twice the estimated average periodic bill or three (3) times the estimated average monthly bill. Said advance deposit shall not be required upon proof of credit worthiness satisfactory to the Finance Director.

Said advance deposit may be applied toward the nonpayment of the utility services charges upon delinquency and subsequent scheduling for disconnection of services for nonpayment, at the time of discontinuance of service or upon reaching credit worthiness satisfactory to the Finance Director. If said deposit is applied to a delinquent account, service shall not be resumed on such account until such time as the deposit is replaced to the satisfaction of the Finance Director.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Owners of real property shall be responsible for utility services charges for said services used on their premises, although payments will be accepted from tenants. In case payments are not in accordance with this chapter, the services may be disconnected and shall not be restored until the delinquent charges, including any reconnection fee, and costs of collection, including reasonable attorney's fee, shall have been paid; except where a new owner of record or a new tenant has taken up residence since the delinquent charges were incurred.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Charges for water shall be charged to every service connected to the municipal water system and shall commence upon expiration of construction water period or installation of a meter.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Charges for water delivered through a meter shall be paid to the City in accordance with rates and charges as established by the Council from time to time by resolution and on file in the office of the City Clerk and the Public Works Director. Charges for water delivered to a parcel located outside of the boundaries of the City, but otherwise within the City's Sphere of Influence, shall be one hundred twenty-five (125) percent of the otherwise applicable rate. Charges for water delivered to a parcel located outside of the boundaries of the City, and not located within the City's Sphere of Influence shall be one hundred fifty (150) percent of the otherwise applicable rate. The increased water rates for parcels located outside the City shall apply to parcels that connect to the City's water system after January 1, 2024. The increased water rates for parcels located outside the City shall not apply to parcels located within County islands or for which the City has an obligation to provide water service because the City took over the role of water purveyor from the prior purveyor. Charges for metered service will be due and payable upon presentation of the bill, and no advance or partial payments of such charges will be accepted by the City without consent of the Finance Director.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

(Ord. No. 3776-C.S., § 1, effective 1-11-24)

Charges for water delivered from an unmetered service shall be paid to the City in accordance with rates and charges as established by the Council from time to time by resolution and on file in the office of the City Clerk and the Public Works Director. Charges for unmetered service will be due and payable upon presentation of the bill, and no partial payments of such charges will be accepted by the City without consent of the Finance Director.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Excessive water utility users as determined pursuant to the Water Shortage Contingency Plan adopted from time to time by City's Council shall be subject to accelerated metering in accordance with that Plan.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Water used from a fire hydrant shall be metered when practicable, as determined by the Public Works Director, with the meter to be provided by the City. Unmetered water shall be charged at the metered rate, based upon City estimates of the quantity of water use, and such estimates shall be conclusive. The charges shall be in accordance with a schedule approved by the Council from time to time by resolution.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Each person owning property within the sewer district shall pay a sewer service charge to the City in accordance with rates and charges as established by the Council from time to time by resolution and on file in the office of the City Clerk and the Public Works Director. In the case of common areas for multi-dwelling complexes, such as laundromats, offices, recreation rooms and pool areas each unit shall be charged as a dwelling unit. Charges for sewer service to properties shall commence upon completion or occupancy of a building, whichever date shall occur first.

On premises served with City water, the charge for sewer service shall be added to the charge for water service and payment of the total amount must be made in accordance with this chapter.

On premises not served with City water, the billing of services shall be made insofar as practicable in accordance with provisions of this chapter relating to charges for flat rate water service; or if not practicable, they shall be as determined by the Finance Director.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

The City of Modesto is implementing activities to improve the environmental quality of storm water by decreasing the amount of organic material, dirt, toxins and pesticides that enter the system. Each person owning property within the City limits shall pay a storm drainage sewer surcharge to the City in accordance with rates and charges as established by the Council from time to time by resolution and on file in the office of the City Clerk and the Public Works Director. The surcharge is based on the size and intensity of use of property and shall go to pay the costs of improving the storm water generated by the property. The surcharge shall be added to the charge for sewer service and payment of the total amount shall be made in accordance with this chapter.

The Council shall have the power to establish, by agreement or resolution, the rate or rates to be charged and the method of collecting the surface water runoff sewer surcharge for properties outside the City limits for those properties which discharge into the City's storm drain system.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

All places or premises within the City shall have sufficient containers to hold all garbage generated, produced or accumulated on the place or premises during a one (1) week period in accordance with Chapter 5 of Title 5.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

(a) Maximum charges to classes of customers, for example, residential, commercial and industrial customers, for garbage service may be established by Council from time to time by resolution and placed on file in the office of the City Clerk and Parks, Recreation and Neighborhoods Director.

(b) Below maximum charges for garbage service shall be as determined by the collector for each customer class and shall not be subject to City review and mediation.

(c) The Council may impose a separate solid waste recycling program charge. If such a charge is imposed, it shall be added to the charge for garbage service collected by collector and transmitted to the City. The method of accounting for the amount of such recycling program charges collected by the collector and the time and manner of transmitting them to the City shall be as determined by the Finance Director.

For residential premises receiving water/sewer bills, charges for garbage service may appear on the same bill.

For nonresidential and residential premises not connected to the municipal water/sewer systems, the collector shall bill and collect all garbage service charges, including any recycling charge. Recycling charge shall be accounted for and transmitted to the City as determined by the Finance Director.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

(Amended by Ord. 3499-C.S., § 1, effective 2-14-09)

In addition to all other provisions and requirements of this chapter, the Council may, from time to time by resolution, establish additional rules and regulations concerning the collections of moneys that may become due the City for utility service charges including water, sewer and storm drain services. These provisions shall apply to all persons using said services in the City regardless of whether any person using said services shall have a contract for utility services with the City. Failure to comply with any provision, requirement, rule or regulation under this chapter shall be unlawful and may be punishable as an infraction.

(a) Bills for unmetered utility services shall be issued on a monthly basis for utility services in the month immediately preceding the billing cycle in which they are issued. The utility bills are due and payable upon presentation; and if they are not paid at the end of the cycle in which they are billed, they shall be considered delinquent. If they are delinquent for more than ten (10) days and a delinquent notice pursuant to Sections 10009 and 10009.1 of the Public Utilities Code issued by the Finance Director has been delivered to the user or posted on the premises, a delinquent charge shall be added to the regular service charges; and water/sewer service shall be subject to being disconnected. If the water/sewer service is disconnected because of nonpayment, the water/sewer service shall not be reconnected until the amount of the delinquent bill, including the delinquent charges and an additional charge for reconnection, is paid except where a new owner has acquired title or a new tenant has taken up residence since the delinquent bill was incurred. In case of a previous tenant leaving a delinquent bill, the City may require that subsequent service be furnished under the name of the owner of real property or his/her agent. The delinquent charge and reconnection charge shall be in accordance with a schedule approved by the Council from time to time by resolution.

(b) Bills for metered utility services shall be issued for the month immediately preceding the date of the meter reading and shall be due and payable upon presentation. If the utility bills are not paid at the end of the cycle in which they are billed, they shall be considered delinquent, and the same procedure and charges as for unmetered service shall apply.

(c) The utility service charges herein specified will be charged against vacant or untenanted buildings unless notice of the vacancy and a request for the discontinuance of service is made to the office of the Finance Director.

(d) All unpaid accounts for utility services delivered at any premise shall be a lien against the real property.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

(a) The Finance Director or designee (Director) shall have the discretion to write-off utility service charges that the Finance Director deems uncollectible or refund utility service charges of any type.

(b) In order to receive a refund, a City-utility customer must:

(1) File a sufficient claim within two (2) years of the questioned payment on a form provided by the Director, unless waived by the Director;

(2) Satisfy the Director both: (i) that the refund is appropriate, and (ii) that the claimant was the utility user of record who paid the funds subject to refund;

(3) Refunds may be requested either in cash or account credit.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

Only Sections 11-6.11 and 11-6.12, above, and this section of Chapter 6, shall apply to garbage collectors.

(a) The City may contract with any collector to provide garbage invoice services for compensation, but the City shall not use its police powers or other authority to assist any collector with bill collection.

(b) Service recipients ("customers") shall ultimately be responsible for garbage service charges, deposits, penalty charges, and associated administrative charges, if any, for services to their premises. The following billing/collection procedures shall apply:

(1) Billing for all garbage services including services for prorated (less than one (1) month) periods, shall be monthly or bimonthly, and upon completion of the first month's garbage service in the event billing is bimonthly. Licensees shall give thirty (30) days' written notice to customers, and sixty (60) days' written notice to the City of Modesto prior to changing their billing cycle from monthly to bimonthly or from bimonthly to monthly.

(2) Each collector may collect a deposit equivalent to two (2) months' service charge from a service recipient prior to directing its billing to them. The collector shall credit the account of any customer in the full amount of the deposit, in the event the customer shall not have been issued more than two (2) notices as provided in subsection (b)(3) of this section, within eighteen (18) months of initiation of service.

(3) In the event a customer fails to pay a collector's bill, tendered in accordance with the foregoing, within thirty (30) days after that bill is mailed to them, the collector shall be obligated to do the following:

(i) Mail notice of the delinquency to the customer, which notice will include an administrative charge, sufficient to defray the cost of the notice to the collector, as established from time to time by the City Council. The notice shall include a statement that the delinquent sum is immediately due and is subject to a penalty fee if there are unpaid charges still owed to collector sixty (60) days after the original billing date. The notice shall also state that collector may discontinue service if there are unpaid charges still owed sixty (60) days after the original billing date.

(ii) Collector is not required to continue to provide service to any customer whose service has been discontinued due to nonpayment.

(iii) Collector is not required to start or restart service to any customer whose service has been discontinued due to nonpayment until such time as all previous charges, penalty fees, administrative charges and appropriate deposit are paid or other arrangements have been agreed to between the collector and the customer.

(Amended by Ord. 3370-C.S., § 2, effective 12-23-04)

(Amended by Ord. 3499-C.S., § 1, effective 2-14-09)