HomeMy WebLinkAboutUTILITIES BILLING COLLECTION
Augusta Richmond GA
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Augusta Utilities Billing & Collection Policy
This document is intended as a resource to Augusta Utilities on the many issues
associated with water and sewer utility billings and collection practices. This document
does not include or substitute for accounting principles in accordance with accepted
standards, or for policies as established by the Augusta Richmond County Code.
Billing Procedures
Monthly service charges for water and sewer services generally consist of a monthly
demand charge based upon the size of a customer's water meter plus a volume charge
applied to the monthly water consumption. In addition, connection fees varying by water
meter size are charged to new customers connecting to the System. The water and sewer
rates to all customers within each class of service are uniform. Other than water service
provided to public parks, fire hydrants, and fire sprinklers, Augusta Utilities does not
provide any free water or sewer service. Augusta Utilities also charges commercial sewer
a surcharge for disposal of certain types of high strength wastewater.
Under Georgia Law, the Augusta Commission has the exclusive authority to establish
rates and charges for water and sewer service supplied by the system. The rates charged
for water and sewer service supplied by the Augusta Utilities are not subject to review or
approval by any federal or state regulatory body. The Augusta Commission establishes
the rates, which are subject to change at any time, as the Commission deems advisable.
The Augusta Commission established a uniform water and sewer rate schedule for the
Augusta Utilities System effective April 1, 1996, which it adjusted effective September 3,
1996. On March 18, 1998 the Commission approved an ordinance (#6023) to adjust rates
annually in accordance with the Consumer Price Index for the previous fiscal period
effective April 1, 1998, with an adjustment made on April 1 of each succeeding year.
Billing dates are established according to the cycle assignment for the location of the
meter. There are currently twelve billing cycles utilized by Augusta Utilities.
Customers are generally billed within two weeks of the meter reading. All bills and
written correspondence are mailed or delivered to the most recent mailing address on file
for the customer.
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New Accounts or Transfers
A meter service shall be required for each premise utilizing water provided by Augusta
Utilities. No person, whether owner or tenant, receiving water supplied from Augusta
Utilities through a meter approved for their premises shall supply any other, separate
premises with water. Any person supplying another with water in violation of Title 5 of
the Augusta Richmond County Code shall have his water turned off and will be subject to
other penalties as outlined in this policy and under Title 5.
Individuals who are requesting new service or a transfer of service to another location
must complete a new account application with Augusta Utilities, At a minimum
customers are required to supply the legal name, mailing address, previous address,
telephone numbers, picture identification, either a copy of the title or lease or a notarized
letter from the property owner indicating that the applicant is the primary resident of the
property for which services are being applied for, and any additional information as
required on the application for services. Augusta Utilities will retain a copy of the picture
identification along with the application, In addition, commercial applicants are required
to submit their federal identification number, or, as in case of small businesses without
federal identification, the name of the responsible party for the business (i.e., president,
owner, etc.) along with the personal identification for the responsible party. It is the
responsibility of each customer to provide revised application information to
Augusta Utilities as such information becomes available.
As per Title 5, Chapter 2, Section 12, "if water has been supplied to any premises, and
afterwards it shall be found that false representation has been made by such applicant,
or that water is being used in or upon the premises for purposes not set forth in the
application made for water supply to the premises, the water shall be shut off, and shall
remain shut off, until all unauthorized use of water has been stopped, and any sum
of money determined due for the use thereof has been paid. . 00"
Contract Meters
Augusta Utilities may provide meters for temporary services, such as those utilized by
contractors in the construction of new facilities. According to Title 5, Chapter 2, Section
10, "if furnished in any case by Augusta Richmond County, the cost of such meter shall
be collected from the party using the same before the use of water is permitted. The
care and repair of meters shall be at the expense of parties using the same." The cost of
the meter is applied to the account as a credit toward the cost of the meter, water usage,
or damages to the meter as warranted.
These meters are for temporary use and are generally returned to Augusta Utilities within
a few months. When returned, the meter is examined for damage and the meter is read to
determine consumption. The cost of the meter, which was credited to the account when
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collected, is applied to water usage (the monthly base charge plus consumption) and any
charges assessed due to the care and repair of the meter.
If the individual or company retains the meter for twenty-five (25) days or longer, the
party utilizing the meter must report the meter reading before the twenty-five (25)
days and monthly thereafter to Augusta Utilities. If usage is not reported, the customer
will be billed for minimum usage. Augusta Utilities personnel may verify the meter
reading and adjust the billing accordingly. Amounts billed will be subject to penalties,
fees, and other recourses as discussed in this document.
When the customer collects the meter from Augusta Utilities, it is required that the
location of the meter be reported. Any change in location of the meter must be
reported immediately to Augusta Utilities.
Ownership and Billing Adjustments Due to Leaks
Augusta Utilities installs, owns, and maintains all water service lines from the main to
and including the meter. Water service lines from the main to and including the meter
box may be installed by the customer's contractor, subject to payment of fees, inspection
and approval by Augusta Utilities. Customer lines from the meter to the building or
premises shall be installed, owned and maintained by the customer. No person other than
Augusta Utilities personnel shall renew any service or move any curb stop or meter, or
meter box, except by written permission of the Augusta Utilities Director. It is unlawful
for any person other than duly authorized employees of Augusta Utilities to turn on or
turn off service, or tamper with meters or curb stops, without permission. For additional
information related to ownership and usage of water and sewer lines, refer to Augusta
Richmond County Code Title 5.
If a leak occurs in a city-maintained line, the city is responsible for repairing the leak and
absorbing the cost of the lost water. Maintenance and repair of waterlines on private
property is the responsibility of the private landowner. The landowner or customer is
also responsible for any water lost due to leaks or breakage of their lines. Augusta
Utilities may adjust the customer's billing when the following conditions exist: a) the
customer had no prior knowledge of the leak, b) the customer promptly notifies Augusta
Utilities when made aware of the leak, c) water usage for that month is considerably more
than the average, d) the leak can be verified by Plumber's Certificate, and e) immediate
repair occurred. According to Title 5, Chapter 2, Section 50, no reduction shall be
made until a certificate from a licensed plumber is received certifying that repairs
have been made to water works, plumbing fixtures or piping upon or leading to the
property served by the meter whose reading furnishes the basis of an excessive water bill,
and that such repairs have been completed so that leaks no longer exist. In lieu of a
Plumber's Certificate, Augusta Utilities may accept a bill of sale for repair materials
together with a notarized statement from the owner that the leak has been repaired.
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If the leak can be verified and the customer has complied with the other provisions noted
the customer is charged for the average amount of water usage plus one-half of the
additional water usage for the period in question. In no case will an adjustment be
made for more than a two-month period or more than two adjustments allowed within
one year.
Late Payment and Discontinued Service Penalties
Payments are applied according to the oldest outstanding balance. The penalty date is
generally fifteen calendar days after the billing date. The penalty date is noted on the
billing received by the customer. A penalty of 10% of the outstanding balance is
applied on any outstanding balance remaining as of the penalty date, as per Augusta
Richmond County Code Title 5, Chapter 2, Section 49.
Customers not satisfying the outstanding balance, including penalty, by the penalty date
of the succeeding billing will have service discontinued until all arrears are paid. As
stated in Title 5, "the water will not be turned on until all arrears are paid together with a
delinquent fee of twenty-five dollars ($25.00) . . .."
The delinquent fee is added to the bill and a notice of shut-off date or proposed shut-off
date is either hand delivered to the customer's place of business or residence or posted on
the door.
Termination of service does not relieve the customer of the obligation to
pay all outstanding bills and charges. Where service has been discontinued for
lack of payment, meters are checked regularly to ensure that the meter is not tampered
with. All additional fees and penalties, including unauthorized usage penalties, are
applied as stated in this document. If a customer has been disconnected for thirty (30)
days and settlement of the account has not been made the residence will be reported to
the health department as a possible health hazard and the account will be finalized
and turned over to collections.,
For customers who are dependent upon life support (i.e., physically dependent upon
utilities to support life-sustaining equipment) Augusta Utilities may opt not to utilize
discontinuation of service. The customer must provide the following to Augusta Utilities,
along with an annual update: (1) certification from a ohvsician that the individual is
dependent upon life support, (2) evidence to support financial need, and (3)
documentation that the individual is resoonsible for the residence (i.e., title or lease in
individual's name). If approved by the Augusta Utilities Director, the account will be
noted as a life support account and amounts not collected will be written off against
revenues every six months. The residence will be assessed semi-annually to determine
whether a waiver should be continued. Augusta Utilities reserves the right to bill any
bills and charges that are not collected and impose penalties if at any time it is determined
that any information provided by the customer is insufficient to support the determination
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that the customer is dependent upon life support and is responsible for the billings to the
residence,
Returned Checks
A returned check is any check tendered to Augusta Utilities which is subsequently
dishonored by the drawee banle Returned checks are delivered to the Cashier when
returned from the bank. The Cashier reviews the account. In the instance of no prior
returned checks or when only one instance has occurred within the last year, the
customer's account is charged with the returned check and a returned check fee of
twenty dollars ($20.00) or five percent (5%) of the total check, whichever is greater.
A copy of the journal is maintained in the Returned Check Register and the customer's
account is flagged with a Returned Check (RC) "tickler." A notice is delivered to the
customer's business or residence by Augusta Utilities personnel indicating that the
customer has three business days to make full payment. Payment must be made by
cash, money order, or bank certified check. If payment is not made after three
business days have elapsed, service is discontinued until all arrears are paid and an
additional twenty-five dollar ($25.00) delinquent fee is charged to the account.
If a returned check is received in payment of a Delinquent account, which has been
previously cut off, water is cut off immediately when the notice is delivered to the
door and an additional twenty-five dollar ($25.00) delinquent fee is charged to the
account.
If a check is returned for a customer who has two instances of returned checks within
one year the account is flagged with "SPECIAL CONDITIONS - (BC) BAD
CHECKS" and no checks will be accepted on the account. The account must be paid
by CASH, MONEY ORDER, OR CASHIER'S CHECK for a minimum of one year.
At the end of one year, the account is evaluated for credit worthiness and the "BC"
designation removed to allow payment by check if the following conditions are met:
1. The customer has paid all billings and penalties in a timely manner.
2. Service has not been discontinued during the previous year due to nonpayment.
3. No charges have been assessed for unauthorized usage as stated in this policy.
Unauthorized Usage Penalties
Tampering with water meter - Where the water has been cut off due to nonpayment, but
is being received through tampering with the water meter, a fee of sixty-five dollars
($65.00) will be charged to the account in connection with the placement of a locking
device on the water meter. This fee will be in addition to any other fee previously
assessed.
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Tampering with locking device - Where a locking device place on a water meter has
been broken or otherwise made ineffective, a fee of one hundred five dollars ($105.00)
will be charged to the account in addition to any other fee previously assessed.
Unauthorized meter or "straight line" - Where a water meter has been removed and
water is being obtained through an unauthorized meter or "straight line," a fee of one
hundred twenty-five dollars ($125.00) will be charged to the account in addition to any
other fee previously assessed.
In addition to the above penalties, the responsible party may be cited with violation of
Augusta Richmond County Code Title 5, Chapter 2, Section 49, and subject to
punishment as provided in Title 1, Chapter 6, Section 1.
Quarterly Exception Report and Repayment Plan
In the month following each fiscal quarter (January, April, July, and October), the
Customer Service Division Head will submit the following reports to the Finance
Committee: (l) a Delinquent Accounts Report detailing all customers with balances
over 90 days in the system and (2) a Collections Report detailing all customers with
balances that have been submitted for collections. These reports will include, at a
minimum, the customer's name and the amount due Augusta Utilities.
Any customer who has a delinquent account of more than 90 days as of the date of the
adoption of this policy may submit a written repayment plan which clearly outlines the
customer's ability to pay and a schedule of payments which will bring the account
current, not to exceed six months, to the Augusta Utilities Director before the account
has been submitted to Collections. At a minimum, the customer must satisfy one-half of
the outstanding balance before a repayment plan can be considered. Although Augusta
Utilities may opt to waive penalties during the repayment period, the written payment
plan does not relieve the customer from paying applicable penalties that have been
applied to the account or from continued penalties assessed due to nonpayment or late
payment. Customers who have had two returned checks or any unauthorized usage are
ineligible to submit a written repayment plan.
If approved, the customer must make the scheduled repayments in addition to the current
billings for each subsequent month. The balance of the account must be completely
satisfied in no longer than six months. If the customer is late on any payment during
the repayment period or if an insufficient check is utilized to satisfy the account at any
time during the repayment period, service will be discontinued immediatelv.
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Delinquent Accounts - Collection
Collection of the customer's account is first initiated when it becomes delinquent. In the
initial phase of collection, Augusta Utilities utilizes late payment penalties and
discontinued service to enforce collection of outstanding amounts. Reasonable effort is
made to notify the customer through these procedures. If the customer has failed to
respond to these initial procedures, the debt shall be referred to an outside collection
agency for further action. Service will not be restored until the outstanding balance has
been satisfied.,
Accounts with ANY outstanding amounts due that are greater than 180 days will be
removed from the system and turned over to a Collection Agency. The Customer
Service division will maintain an updated, alphabetized listing, including the location and
amounts outstanding, of customers who have been turned over for collections. After the
account has been turned over to the Collection Agency, the customer must remit payment
of the outstanding balance directly to the Collection Agency. The customer may leave a
check or money order made payable to the Collection Agency with Augusta Utilities to
forward to the agency, but the debt will not be considered as settled until the Collection
Agency has indicated that the account has been satisfied.
Individuals who have failed to pay their delinquent account balance may be reported to
one or more nationally recognized credit reporting bureaus. The collection agency shall
be responsible for the initial report, and for all future status updates, Augusta Utilities
wiIJ deny service to customers who have a delinquent balance due either on an active
account or an account that has been turned over to collections.
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Collection Agencies
Augusta Utilities will select one or more qualified private collection agencies to assist in
the collection of delinquent water and sewer accounts, In order to be considered for
inclusion, the collection agency must agree to the conditions set forth in this policy. The
amount retained by any Agency for the collection of a debt shall be negotiated between
Augusta Utilities and the Agency. The Agency shall account for and remit to Augusta
Utilities the net proceeds of any amounts recovered at least once every thirty (30) days,
Augusta Utilities shall be provided with a written report, by month and fiscal year to date,
on collection activities including the following information with respect to each current
collection matter:
1. The number and dollar value of each debt to be collected, the name of the
individual, the account ID number, and the month in which the debt was received for
collection.
2. All amounts actually collected on each debt, or a statement that the debt was
adjusted or that a debt is uncollectible, if such is the case,
3. The date any lawsuit was filed for collection, and the date any judgement was
obtained against the debtor.
4. The average total debt balance of all accounts, dollar amount collected, recovery
rate, and commission percentage and amount. All figures shall be related to the
month in which the debt was received.
5. Other reports which Augusta Utilities may require,
Monies due Augusta Utilities shall be deposited and maintained in a non-interest bearing
trust account and must be remitted to Augusta Utilities within thirty (30) days of receipt
by the Agency. The Agency shall establish the trust account in the name of Augusta
Utilities, or insure that Augusta Utilities is identified in its bond agreement.
All debt assigned the Agency for collection by Augusta Utilities is subject to the terms
and conditions as set forth in this policy.
1. The Agency shall, at its own expense, employ legal counsel to handle litigation
necessary to collect the debt.
2. If litigation is filed, all costs associated with the litigation are the sole responsibility
of the Agency filing the litigation.
3. The Agency may not adjust or settle any debt so assigned without prior approval of
Augusta Utilities.
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4, Augusta Utilities must be notified within three (3) days of any threatened or actual
legal action naming the City of Augusta, Augusta Utilities, or any of its employees or
officers as party.
Any agency selected shall remain licensed under its respective occupational licensing
statutes or regulation during the term of it contract with Augusta Utilities. The Agency
shall at all times act in compliance with the provisions of the "Fair Debt Collection
Practices Act" and any applicable federal and state statutes.
Adopted By Augusta Richmond County Commission October 5, 1999.
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