(A) The city may require from a user of its water service a deposit in an amount not to exceed the estimated cost of water to be furnished for one year, which estimate will be made by the Waterworks and Sewerage Department. If the deposit is not made in the amount and within the time fixed, the water service shall be turned off and discontinued.
(B) The deposit shall be held by the city as a fund to guarantee the payment for all water furnished and, where default in payment has been made, to apply all or any part of the deposit towards the payment of all amounts due and unpaid.