(a) Collection regulations. The director is authorized to promulgate regulations and procedures, not in conflict with this code, the city charter, or applicable state or federal laws or regulations, concerning the collection of charges for service and the handling of customer accounts, receipts, and reports.
(b) Authority for payment substations and payment service companies. The director is authorized to provide substations operated by the department at convenient locations for the general public to pay charges, or the director may negotiate contracts with private persons for the operation of:
(1) payment substations; or
(2) payment service companies, including but not limited to, telephone (interactive voice response) payment services, Internet (on-line) payment services, and payment service agents.
(c) Terms of private contracts. A private substation contract or a payment service contract must be for a fixed term and must contain conditions agreed upon by the parties; except, that each contract must include the collection regulations and procedures promulgated by the director as a part of the conditions. A private substation contract or a payment service contract must be executed by the city manager and approved as to form by the city attorney.
(d) Contract security. All substation contractors and payment service contractors shall provide a surety or guaranty bond payable to the city in an amount, not less than $1,000, that is satisfactory to the director. The bond must secure against loss or disappearance, for whatever reason, of funds collected by the contractor for payment of charges and must generally secure performance under the contract. In lieu of a bond, the director may accept a cash deposit, or an unconditional letter of credit drawn on a state or federally-chartered lending institution.
(e) Convenience charge for payment substations. A private payment substation is authorized to collect a convenience charge, not to exceed $1.00, on each bill collected, which charge may be retained by the substation as a cost of service.
(f) Convenience charge for on-line payment services. The director may collect a convenience charge, not to exceed $1.00, on each bill collected on- line, which charge will be retained by the water utilities department of the city as a cost of service.
(g) Convenience charge for payment service agents. A payment service agent is authorized to collect a convenience charge, not to exceed $1.00, on each bill collected, which charge may be retained by the payment service agent as a cost of service.
(h) The collection and payment regulations and procedures provided for in this section apply to:
(1) charges established under this chapter; and
(2) charges established under other city ordinances that the director has been authorized to collect by the city manager or the city council. (Ord. Nos. 19201; 25385; 26135)