HomeMy WebLinkAboutReso 65-19 Utility Bill Payment Extension PolicyRESOLUTION NO. 65-19
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF MORRO BAY, CALIFORNIA,
ADOPTING A UTILITY BILL PAYMENT EXTENSION POLICY FOR UTILITIES
THE CITY COUNCIL
City of Morro Bay, California
WHEREAS, The City of Morro Bay charges a ten (10) percent penalty on late utility payments;
and
WHEREAS, the City of Morro Bay charges a "tag notice fee" forthedelivery ofturn-off notices to
customers address; and
WHEREAS, the City of Morro Bay locks off water due to non-payment until such time as the
accounts minimum balance is paid; and
WHEREAS, staff recommends the City Council adopt the proposed Utility Bill Payment
Extension Policy to formalize a policy for consistent administrative application by staff.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro Bay, California,
that the "Utility Bill Payment Extension Policy" as documented in Exhibit A, attached hereto and
incorporated herein, is hereby approved.
PASSED AND ADOPTED by the City Council of the City of Morro Bay at a special meeting
thereof held on the 9th day of July 2019, by the following vote:
AYES:
NOES:
Headding, Addis, Davis, Heller, McPh
JOHP� HL�(DFDING, Mayor
ATTEST:
p1� Soo,
DANA SWANSON, City Clerk
Resolution No. 65-19
Exhibit A
f�
COUNCIL POLICY
Utility Bill Payment Extension Policy
Policy Statement
The City of Morro Bay (City) Public Works Department, Water and Sewer Divisions, are
responsible for the collection and treatment of wastewater for over 5,000 customers within City
limits, and delivery of potable water to a similar number of customers.
The City Council sets legislative financial management policies, as recommended by staff and
advisory committees. This Payment Arrangement Policy is designed to resolve an outstanding
balance on a Customer's account in a timely manner under qualifying circumstances.
Purpose
The Utility Bill Payment Extension Policy establishes a mechanism and authority for aiding with
payment of an outstanding balance that the Customer is not able to pay by the due date.
Definitions
Outstanding Balance —any balance on a utility account that has not been paid by the due date.
Penalty —ten percent (100M of the unpaid, past -due balance on a utility account, assessed the first
day of the month following due date.
an
Notice —fee charged for the physical posting of shut-off notices at the customer's location.
Shut off due to non-payment —physical turning off of the -water and locking of the meter by a
Technician due to non-payment.
Utility Bill Payment Extension
The City bills utility customers monthly for water and sewer services. Any account with an
outstanding balance after 60 days is subject to shut off.
ry
• A payment extension must be requested
customer can request the extension by
information the City has on the account.
payment extension.
by the primary account customer. The prima
phone or in person and must verify personal
An associated customer may not request a
• If a payment extension is requested and approved the customer will avoid a penalty, tag
notice or shut off if one of those falls in the extension period.
• The payment extension can be for no more than 5 business days (i.e. if customer calls in on
a Friday the next following Friday is the longest the extension that can be given, absent
official holidays).
2019 Page 1 Utility Bill Payment Extension. Policy
Resolution No. 6549
Exhibit A
® If the payment extension due date commitment is not met, the account will not be eligible
for another payment extension for a 24-month period.
® An account can be approved for two payment extensions in a 12-month period.
• A payment extension will be approved as long as it is requested by the primary customer, is
not the third request within a 12-month period and a previous payment extension
commitment has not been broken in the past 24-month period.
This policy applies to all customers of the City of Morro Bay who have a utility billing account with
the city. The Finance Department is responsible for the administration and enforcement of this
policy.
2019 Page 2 Utility Bill Payment Extension Policy