§ 61.07. Customer deposits.

(a)

Establishment of credit.

(1)

Before rendering water or wastewater service, the city shall require an applicant for service to satisfactorily establish credit, but such establishment of credit shall not relieve the customer from complying with the city's rules for prompt payment. Credit will be deemed so established if:

a.

The applicant pays a deposit in the form of cash, money order, cashier's check, credit card, or other form acceptable to the city; or

b.

The applicant for service furnishes an irrevocable letter of credit from a bank or a surety bond, in form and content and otherwise acceptable to the city.

(2)

Any deposit received by the city shall be held in a non-interest bearing account. Deposits will not be refunded until the customer has timely paid (without any late charges) all charges for water or wastewater services for a period of 36 consecutive months. Any deposit to be refunded will be applied to the next bill issued and shall be a credit against any charges due.

(3)

A deposit may not be transferred except when a request is made to transfer the deposit to a surviving spouse's name, or other designee. Transfers to a designee other than a surviving spouse must be approved by the Utility Systems Director.

(b)

Amount of deposit. The amount of initial deposit shall be the following according to customer class and meter size:

	Customer deposits
Customer class	Water	Wastewater
Residential single family:	$   50.00	$    90.00
Residential multi-family:
Per unit (when master metered)	10.00	40.00
Nonresidential:
5/8 × ¾"	50.00	125.00
1"	95.00	275.00
1½"	150.00	925.00
2"	425.00	1,175.00
3"	500.00	1,400.00
4" and above	Two months estimated bill

 

(c)

Additional water and/or wastewater deposit. The city may require a new deposit (where previously waived, returned, or forfeited) based on meter sizes as outlined in subsection 61.07 (b), and/or an additional deposit in the amount of $150.00 in order to secure payment of utility bills as the result of the following:

(1)

If more than two (2) checks are returned as uncollectable within a 12-month period;

(2)

If the customer's service has been shut off for non-payment of service charges more than three (3) times in any 12-month period;

(3)

If the customer has received stolen water and/or wastewater services as the result of tampering or an illegal connection;

(4)

If, in the discretion of the city, there is a documented pattern or risk that would cause the city to reasonably believe there is a likelihood of potential non-payment.

Additional deposits shall be made in the form of cash, money order, cashier's check, credit card, or other form acceptable to the city. Additional deposits maybe eligible for refund pursuant to subsection 61.07 (a)(2).

The city shall provide the customer with reasonable written notice of any additional deposit requirement not less than 30 days before it is due where such request or notice is separate and apart from any bill for service.

(Ord. 94-44, passed 9-26-94; Am. Ord. 95-70, passed 11-27-95; Am. Ord. 02-34, § 1, passed 4-22-01; Am. Ord. 02-103, § 1, passed 9-23-02; Am. Ord. 03-121, § 1, passed 10-13-02; Am. Ord. 07-145, § 1, passed 10-22-07; Am. Ord. 08-35,§ 1, passed 5-12-08; Am. Ord. 12-48, § 6, passed 9-24-12; Ord. No. 16-03, § 1, 4-11-16)