Full Text
CITY OF ANAHEIM WATER RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.7.1 Anaheim, CA 92805 RULE NO. 7 DEPOSITS ISSUED BY: Effective: 05-01-17 by Resolution No.: 2017-069 Dated: 04-25-17 Dukku Lee Superseding Resolution No.: 2013-115 Dated: 07-23-13 General Manager A. GENERAL The Utility may assess two separate deposits to Customers, a Service deposit; and/or Diversion Deposit (as defined in Rule No. Service deposits shall be required when an Applicant or Customer is otherwise unable to satisfactorily meet the creditworthiness requirements set forth in Rule No. 6. The Utility will require Diversion Deposits as set forth in Rule No. 6. B. AMOUNT OF DEPOSIT 1. The amount of Service deposit required to secure payment or reestablish credit for Service is twice the estimated average bill or, in the case of a Customer, an amount equal to twice the Customer’s average bill. Notwithstanding the foregoing, the Utility may reduce the Service deposit amount for the Customer in the event of extenuating circumstances. A Service deposit shall not be less than the Minimum Deposit as set forth in Rule No. 23. For Diversion Deposits, the deposit shall be twice the amount of the estimated loss to the Utility resulting from the Diversion (as defined in Rule No. but in no case shall the amount be less than the Minimum Diversion Deposit as set forth in Rule No. 23. 2. If at any time the Utility determines that the amount of an existing deposit or the lack of a deposit, no longer equals the amount of deposit required, it may require the Customer to provide a deposit or an increase in the amount of the existing deposit. A reevaluation of the deposit amount will be triggered when a Customer has more than one occurrence of late payment, returned items (including, but not limited to, bad checks and reversed credit card charges), or Diversion. C. RETURN OF DEPOSIT 1. After a Customer closes their account, the Utility will use the Customer's Service deposit and/or Diversion Deposit to offset any unpaid account balance for Services provided. If any amount remains of the deposit or deposits after this offset, the Utility will refund the remaining balance to the Customer within a reasonable time; except the Utility shall not be required to refund any deposit where the cost to the Utility for processing such refund, which is determined to be five dollars exceeds the deposit balance. A Diversion Deposit will only be returned in accordance with this Rule No. 7-C.1. 2. For the Service deposit of a Customer who is billed the Utility will refund the Service deposit after the Customer has paid their Service bills to the Utility for twelve (12) consecutive billing periods, and before the bills become past due. If the Customer fails to meet these criteria, the Utility will review the Customer’s account every billing period to determine whether the above- described criteria have been met and, once the criteria have been met, the Utility will refund the deposit. For Rule No. 6 and this Rule No. 7 only, billing period means the one month period or portion thereof of Service that the Customer receives from the Utility. (Continued) ---PAGE BREAK--- CITY OF ANAHEIM WATER RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.7.2 Anaheim, CA 92805 RULE NO. 7 DEPOSITS ISSUED BY: Effective: 05-01-17 by Resolution No.: 2017-069 Dated: 04-25-17 Dukku Lee Superseding Resolution No.: 2013-115 Dated: 07-23-13 General Manager C. RETURN OF DEPOSIT (Continued) 3. For the Service deposit of a Customer who is billed every two months, the Utility will refund the Service deposit after the Customer has paid their Service bills to the Utility for six consecutive billing periods and before the bills become past due. If the Customer fails to meet these criteria, the Utility will review the Customer's account every billing period to determine whether the above- described criteria have been met and, once the criteria have been met, the Utility will refund the Service deposit. For Rule No. 6 and this Rule No. 7 only, billing period means the two month period or portion thereof of Service that the Customer receives from the Utility. 4. The Utility will refund the Service deposit after a Customer who is billed annually has timely paid their Service bills for two consecutive annual billing cycles and before the bills become past due. If the Customer fails to meet these criteria, the Utility will not refund the deposit. For every annual billing period after this review, the Utility will review the Customer's account to determine whether the above- described criteria have been met and, once the criteria have been met, the Utility will refund the Service deposit. For Rule No. 6 and this Rule No. 7 only, annual billing period means the one year period or portion thereof of Service that the Customer receives from the Utility. 5. If a Customer switches their billing period, the Utility will not refund a Service deposit until that Customer meets the requirements of the newly selected billing period. 6. At the Utility’s discretion and if a Customer meets the applicable requirements set forth above, the Utility may return the Service deposit to the Customer or the Utility may transfer the Service deposit to other accounts under the same Customer's name. 7. The Utility will only make refunds of deposits to that Customer's name appearing on the Customer's Utility account. D. INTEREST ON DEPOSITS There shall be no interest paid on deposits held by the Utility. E. ASSISTANCE WITH SERVICE DEPOSITS Customers requiring assistance with the payment of the Service deposit may request an extended payment plan to make the required payments to establish or reestablish Service. If the Customer fails to pay the deposit in accordance with the payment plan, the Utility may terminate the Customer's Service.