Santa Paula Municipal Code Ch. 55 Utility Billing

This chapter is adopted pursuant to the city's police powers; applicable provisions of the Cal. Gov't Code and Cal. Health & Safety Code, and is intended to conform with Cal. Public Utilities Code §§ 10001 et seq.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

For the purpose of this chapter, the following definitions shall apply unless the context clearly requires or indicates a different meaning.

CUSTOMER. Any person who makes application for utility service(s) and is responsible for payment of the utility bill.

DIRECTOR. The Finance Director of the city, or other person designated by the City Manager.

NEW CUSTOMER. Any customer who does not have a payment history established with the city within the previous 24 months.

PERSON. Any person, firm, association, organization, partnership, business trust, company or corporation, or any municipal, political or governmental corporation, district, body or agency, other than the city.

UTILITY. Refuse, sewer or water service, or any combination, provided by the city.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

Each customer desiring utility service must make written application in the form and manner prescribed by the Director. By applying for, and using, utilities, the customer agrees to be, and is, subject to the provisions of this chapter and all rules and regulations of the city.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

To avoid paying a security deposit, persons seeking to establish a utility service account must establish credit, which may be established upon qualifying under anyone of the following criteria:

(A) The applicant is a current utility customer with the city and has paid all bills for service without having been temporarily or permanently discontinued for nonpayment during a period of 12 consecutive months immediately before applying for a new utility account;

(B) The applicant was a utility customer with the city in the past two years and during the last 12 consecutive months that service was provided paid for all bills for the service without having been temporarily or permanently discontinued for nonpayment;

(C) The applicant owns the premises upon which the city is requested to furnish utility service; or is the owner of other local real estate. If the applicant is seeking to open a commercial account, the real estate must be owned by the business to which service would be provided;

(D) The applicant furnishes proof of prompt payment of rent or other credit obligation a guarantor in a form satisfactory to the city attorney to secure payment of utility service bills;

(E) The applicant provides proof of prompt payment of rent or other credit obligation; or

(F) The applicant otherwise establishes credit to the city's reasonable satisfaction.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03; Am. Ord. 1290, passed 2-19-20)

(A) The city may require a customer to deposit a sum of money with the city to guarantee payment of all utility charges.

(B) The Director may set the amount of the deposit up to three times the amount of the historic average monthly bill for the property served or for substantially similar property. The city must credit the amount of the deposit, without an interest payment, to the customer's account upon the discontinuance of any service and after applying the deposit to any outstanding customer utility bill(s). Any balance of the deposit then remaining with the city will be returned to the person making the deposit, without interest.

(C) Any applicant who is the property owner of record, or any applicant who has the written approval of the property owner of record, may choose to enter into a Lien Authorization Agreement, in the form and manner prescribed by the Director, in lieu of a cash deposit. By doing so, the applicant and/or the property owner of record agree that, pursuant to applicable Cal. Gov't and Cal. Health and Safety Codes, and upon the direction of the City Council, the city is authorized to collect and annually transfer to the County Auditor for inclusion on the next year's tax bill of the respective property owner any delinquent fee or charge imposed by the provisions of this chapter, including interest and penalties. Alternatively, an action in the name of the city may be commenced in any court of competent jurisdiction for the amount of any delinquent fees or charges and if legal action is brought by the city or its assignee to enforce collection of any amount charged and due under this chapter, any judgment rendered in favor of the city will include costs of suit incurred by the city or its assignee including reasonable attorneys fees.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

Utility customers must pay the service charges imposed by the city on a periodic basis determined by the Director. Utility bills are due and payable at the place or places designated by the city and are legal debts of the customer owing and payable to the city. Failure to receive a bill does not relieve the customer from the responsibility of paying charges and/or penalties. The payment for each current billing, if not received in the cashier's office on or before the nineteenth day following the date of presentation by the close of the business day, are delinquent. Postmarks will not be considered for the cancellation of delinquent charges.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

A penalty of 10% of the current delinquent charges applicable to a customer account will be imposed as of the date of delinquency if the delinquency date is a Saturday, Sunday, or holiday, the charge becomes delinquent at the close of the next regular business day. The city may also charge a discontinuance processing fee on a delinquent account.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

(A) The Director will review the accounts of customers who dispute charges within 30 days after receiving a bill or request additional time to pay a bill because of financial need, before the city terminates service. If an error is found after the review, the city will promptly correct the error and, if required and at the city's sole discretion, either credit the customer account or give the customer a refund.

(B) The review conducted by the Director will include consideration of whether to establish a payment plan for the customer to pay any unpaid balance of delinquent account over a reasonable time not to exceed 12 months. Unless otherwise required by this code, the city will not terminate service for customers fully complying with such a payment plan.

(C) Water bills must contain information regarding dispute resolution procedures set forth in this chapter.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

Any customer may request in writing, in the form and manner prescribed by the Director, an extension of the payment period of a bill asserted to be beyond the means of the customer to pay in full within the normal period for payment. The application for a repayment plan must be filed with the Director before the date and time of discontinuance of service as is stated on the discontinuance notice. The Director must review the request for extension of payment and consider the customer's ability to pay, past payment history, and the amount due, and may approve a repayment plan, not to exceed 12 months. Any customer whose request for a repayment plan has resulted in an adverse determination by the Director may appeal the determination within five days to the City Manager, or designee.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

Retroactive adjustments will be provided to a customer's utility bill when an error in customer billing has occurred. The maximum period for retroactive adjustments is 12 months before the date that the city is first notified in writing, in the form and manner prescribed by the Director, of the error. Any overpayment or under billing adjustments will be included as a credit or charge on the customer's future utility bill(s), unless other arrangements are requested by the customer and approved by the Director.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

Computations of the flat rate portion of any monthly service charges for less than a full billing cycle, is based on a daily rate. The daily rate will be determined by taking the monthly rate and dividing it by 30. The daily rate is carried to four decimal places. If a customer discontinues service and closes the customer's account, service charges will be computed at the applicable daily rate from the last billing date to the account closing date. Service charges for a new customer will commence on the account opening date. No proration will be made on short term utility service where the service is required for total periods of less than two months. These customers will be charged for two months service.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

(A) When calculating the charges for water, the city will not charge for water use that is less than 100 cubic feet per billing period. Water meters will ordinarily be read approximately every 30 days except for holidays and weekends. Meter readings may also be taken for any reasonable purpose, as determined by the Director, including, without limitation, change of customer or changes of meter size. If a meter cannot be read or if a meter has not registered or has registered incorrectly, the quantity of water used will be estimated based on the average consumption at the property or substantially similar property during a like period of time.

(B) Tampering with or breaking a meter or lock will result in assessment of a penalty consisting of a fixed amount plus expenses and other costs, as determined by the City Council.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

(A) The city will allow every customer at least 19 days from the date a bill was mailed to pay for utility services. The city will not discontinue service for nonpayment of a delinquent account unless the city first gives notice of the delinquency and impending discontinuance at least 15 days before the proposed discontinuance, by means of a notice mailed, postage prepaid, to the customer to whom the service is billed. The ten-day period will commence five days after the termination notice is mailed. The city will make a reasonable attempt to contact an adult person residing at the premises of the utility customer by telephone or personal contact at least seven days before any utility service is terminated. Whenever telephone or personal contact cannot be accomplished, the city will make a good faith effort to leave a notice of imminent discontinuation of residential service and a copy of this Policy in a conspicuous place at the service address at least 48 hours before discontinuance.

(B) The city will make available to its customers who are 65 years of age or older, or who are dependent adults as defined in Cal. Welfare and Institutions Code § 15610(b)(1), a third-party notification service. Should the customers designate a third-party, the city will attempt to notify a person designated by the customer to receive notification when the customer's account is past due and subject to discontinuance. The notification will include information on what is required to prevent discontinuance of service. The residential customer must make a written request for third-party notification on a form provided by the city, and include the written consent of the designated third party. The third-party notification does not obligate the third party to pay the overdue charges nor prevent or delay service termination.

(C) Every termination notice must include all of the following information:

(1) The name and address of the customer whose account is delinquent.

(2) The amount of the delinquency.

(3) The date by which payment or arrangements for payment is required in order to avoid discontinuance.

(4) The procedure by which the customer may initiate a complaint or request an investigation concerning service or charges.

(5) The procedure by which the customer can petition for bill review and appeal.

(6) The procedure by which the customer may request a deferred, reduced, or alternative payment schedule, including an amortization of the delinquent charges.

(7) The procedure for the customer to obtain information on the availability of financial assistance, including private, local, state, or federal sources, if applicable.

(8) The telephone number where the customer may request a payment arrangement or receive additional information from the city.

(D) No termination of utility service may occur without compliance with this section. Any service wrongfully discontinued must be restored without charge for the restoration of a service and a notation of the restoration must be mailed to the customer at his or her billing address.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03; Am. Ord. 1290, passed 2-19-20)

(A) No utility service will be discontinued by the city, by reason of delinquency, on any Saturday, Sunday, legal holiday, or at any time during which the business offices of the city are not open to the public. The city may not discontinue service for nonpayment of a delinquent account under any of the following situations:

(1) During the pendency of an investigation by the city of a customer dispute or complaint, or request for extension of the period for the payment of a bill;

(2) When a customer has been granted an extension of the period for payment of a bill, provided the customer keeps the account current as charges accrue in each subsequent billing period;

(3) On the certification of a primary care provider that service termination would be life threatening or pose a serious threat to the health and safety of the customer or a member of the customer's household and the customer is financially unable to pay for service within the normal payment period and is willing to enter into a repayment agreement with the city with respect to all charges that the customer is unable to pay before the delinquency.

(B) Service will be discontinued if payment has not been received or arrangements made to pay the delinquent bill for any account which is more than 60 days delinquent. If payment is not made within the specified time as identified above or for any other reason relating to nonpayment of an outstanding bill or charge, including, without limitation, checks returned for insufficient funds, credit card denial, or other, similar, type of payment problems, a service charge, in an amount determined by the City Council will be charged and due and payable with respect to each time service is processed for discontinuance.

(C) Except as provided in Cal. Public Utilities Code § 10009, where utility service is shut off, service will not be restored until all required payments (including, without limitation, arrearage, penalties, deposits and service charges) are paid in full. Service will be reinstated only during regular working hours and only after payment has been received or special payment arrangements were made with the Director.

(D) The City Council may, by resolution, adopt a policy for discontinuance of residential water service for nonpayment. Such policy may include, but may not be limited to, additional provisions concerning billing procedures, discontinuance of service, notification procedures, restoration of service, procedures to contest or appeal a water bill, extensions or other alternative payment arrangements, protections available to qualified low-income customers, procedures for becoming a customer of the city under specified circumstances, and related matters. To the extent a policy adopted pursuant to this section conflicts with any provisions of this chapter, the policy shall control.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03; Am. Ord. 1290, passed 2-19-20)

(A) On March 1 of each calendar year, the City Manager, or designee, will prepare a complete list of delinquent charges applicable to the service connection where the property owner is the customer for the period ending on January 31 of each calendar year.

(B) The city will give at least 45 days notice before the public hearing of the delinquencies to the customer to which each such delinquency relates.

(C) The City Council will schedule a noticed public hearing for its first meeting in May of each calendar year at which time delinquent charges together with penalties, will be placed on the equalized assessment roll for the fiscal year commencing on the July 1 following the conduct of the hearing for collection. Notice of the public hearing will be made in accordance with Cal. Gov't Code § 6066.

(D) Thereafter, the delinquent charges, together with penalties, will be collected in the same manner, by the same persons, and at the same time as, together and not separately from, general taxes collected on behalf of the city and other taxing authorities. The provisions of this section will only be applicable to delinquent charges where the customer is the land owner or has executed a Lien Authorization Agreement.

(E) Civil debt: All charges and penalties imposed pursuant to this chapter are civil debts owed to the city by the customer as to the account to which the charges and penalties apply.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

When the city furnishes service to residential occupants in a multi-unit residential structure, mobile home park, or permanent residential structures in a labor camp, as defined in Cal. Health & Safety § 17008, where the owner, manager, or operator is listed by the city as the customer of record, the city will make a good faith effort to give written notice to the residential occupants at least ten days before utility service termination regarding the utility account delinquency and utility service termination date. The notice will further inform the residential occupants that they have the right to become customers, to whom the service will then be billed, without being required to pay any amount which may be due on the delinquent account. The city is not required to make service available to the residential occupants unless each residential occupant agrees to the terms and conditions of service and meets the requirements of law. However, if one or more of the residential occupants are willing and able to assume responsibility for the entire account to the satisfaction of the Director, or if there is a physical means, legally available to the city, of selectively discontinuing service to those residential occupants who have not met the city's requirements, the city will make service available to those residential occupants who have met those requirements. Any residential occupant who becomes a customer of the city pursuant to this section whose periodic payments, such as rental payments, include charges for water service, where those charges are not separately stated, may deduct from the periodic payment each payment period all reasonable charges paid to the city for those services during the preceding payment period.

(Ord. 1023, passed 2-1-99; Am. Ord. 1071, passed 7-21-03)

The City Council approves proceeding with the implementation of a Santa Paula Community Choice Aggregation program within the city’s jurisdiction.

(Ord. 1277, passed 4-2-18)