(A) Penalties. After an account has been delinquent for ten days, a late payment penalty of 10% shall be assessed on all accounts.
(B) Procedures for shut-off for nonpayment. Except as otherwise provided by M.S. § 216B.097 (The Minnesota Cold Weather Rule) and any other state or federal law or regulation controlling shut-off procedures for municipal utilities, the following procedures shall apply. When a proposed shut-off is the result of non-payment of the utility bill:
(1) A written notice shall be mailed to the customer no more than one day after the utility account becomes delinquent. In the event that the property served by the utility is occupied by someone other than the owner thereof, notices shall be sent to both the owner and the occupant of the property. The notice shall state the total amount due, which may include other utility charges provided by city, the date by which the account must be paid to avoid shut-off (20 days after the account becomes delinquent), and the title, address and phone number of the individual to contact to discuss the situation. The notice shall also state which service(s) will be shut-off. The notice shall also notify the customer of the procedure for administrative appeal of the proposed shut-off, as is explained with more specificity hereinafter.
(2) If the account remains unpaid as of the close of business on the shut-off date designated in the notices, the utilities shall be shut-off, unless the customer has filed a timely appeal which is pending or which has resulted in a ruling in favor of the customer. Shut-offs for non-payment shall take place only during business hours on Mondays through Thursdays.
(3) Any notices required by this chapter shall be sent by first-class mail to the last known address of each recipient.
(C) Nonpayment related shut-off. The city, in addition to all other legal remedies, may terminate the service agreement and discontinue utility services, or suspend delivery of service, for any default or breach of the service agreement or violation of ordinance by customer, but no such termination or suspension will be made by Commission or city without five days written notice, excluding Sundays and legal holidays, to customer, stating with particularity the manner in which the service agreement or ordinance has been violated, except in cases of unlawful or unauthorized used. A standard tampering fee in addition to the cost of repairs to the equipment will be collected. Failure to act pursuant to this section, or to resort to any other legal remedy, shall not affect the Commission's or city's right to resort to any such remedies for the same or any future default or breach by customer.
(D) Reconnection. After a shut-off has occurred in accordance with this chapter, the customer may request reconnection of utility services by making payment at the City Clerk-Administrator-Treasurer's Office of all delinquent amounts owed by the customer on all utility accounts (including late payment penalties) and a reconnection fee for utility services to be reconnected. If other city run utility services have been shut-off, additional reconnection fees may apply. In the event that shut-off was for reasons other than delinquency, all circumstances leading to the breach and default shall be remedied and the reconnection fee paid. The reconnection fee shall be set forth in the ordinance establishing the fee schedule. The customer shall also complete a new service application and pay the required deposit.
(E) The Minnesota Cold Weather Rule. The Minnesota Cold Weather Rule applies from October 15 to April 15. The rule prevents a municipal utility from disconnecting a residential unit during this time frame if the disconnection affects the primary heat source and if the following conditions are met:
(1) The customer has declared an inability to pay on forms provided by the utility or is receiving energy assistance;
(2) The household income of the customer is less than 50% of the state median income; and
(3) The customer’s account was current for the billing period immediately prior to October 15 or the customer has entered into a payment schedule that considers the financial resources of the household and is reasonably current with payments under that schedule.
(4) The Commission will comply with all other mandates and requirements of the Minnesota Cold Weather Rule.
(F) Waiver of liability. The city, its agents, employees and representatives shall not be responsible or liable for any damages or claims incurred as a result of the disconnection of services whether voluntary or involuntary.
(G) Certification for collection with taxes.
(1) The City Clerk-Administrator-Treasurer shall have the authorization to file utility liens in compliance with all statutes of the state relating to utility liens and collections, including but not limited to the original and amended versions of M.S. §§ 366.102, 415.01, and 444.075. Except in cases where the City Clerk-Administrator-Treasurer becomes aware of a pending sale of property or other circumstances which make prior approval impracticable, the city and/or Public Utilities Commission shall consider and approve the lien. If the City Clerk-Administrator-Treasurer files a lien for delinquent utilities prior to city or Public Utilities Commission approval, he or she shall notify the city or Commission at its next regular meeting that a lien has been filed. The requirements concerning notice to customer and/or property owner shall be fulfilled at the time of the filing of the lien.
(2) Delinquent utility charges as of October 31 of each year shall be certified by the City Clerk-Administrator-Treasurer, who shall prepare a list of delinquent charges each year. Except as provided hereinabove, unpaid charges on utility accounts shall not be certified to the County Auditor until notice and an opportunity for a hearing has been provided to the owner of the premises involved. The notice shall be sent at least ten days before hearing scheduled before the City Council. The notice shall be sent by first class mail and shall state that if payment is not made before the date of certification, the entire amount unpaid plus penalties will be certified to the County Auditor for collection as other taxes are collected. The notice shall also state that the occupant may, before such certification date, attend or schedule a hearing on the matter to object to certification of unpaid utility charges. The date of the meeting at which the City Council will certify unpaid charges for collection as other the taxes. In the event that the delinquency involves rental property, notice shall be sent to the non-occupying owner and the tenant.
(3) The owner of the property shall have the option of paying the balance due on the account until the date the notice of the certification hearing is mailed. After the date the notice of certification hearing is mailed, payments will be accepted but will include unpaid penalties.
(4) Before November 14 of each year, a hearing shall be held on the matter by the City Council. Property owners with unpaid utility charges shall have the opportunity to object to the certification of unpaid charges to be collected as taxes are collected. If, after the hearing, the City Council finds that the amount claimed as delinquent is actually due and unpaid and that there is no legal reason why the unpaid charges should not be certified for collection with taxes in accordance with this chapter, the city may certify the unpaid charges to the County Auditor for collection as other taxes collected. Certification shall not preclude the city or its agents from recovering delinquent charges and interest under any other available remedy and shall not preclude the disconnection for late payment provided hereunder.
(H) Procedure following certification hearing. For each certification sustained, the property owner shall have the following option after the hearing:
(1) To pay the delinquent amount listed on the preliminary roll, but without additional interest after the hearing, within ten days of the hearing.
(2) To pay the certified delinquent amount after the hearing date, but before the county certification deadline, with interest at the rate set in the adopted rate schedule, accrued beginning on the eleventh day following the hearing date through the date of payment.
(3) To pay the certified charges as billed to them by Grant County on their property tax statement with a collection term of one year.
(I) Final certification. Fifteen days after the hearing, but no later than November 29, the certified roll, minus any payments, shall be delivered to the Grant County Auditor.
(Ord. passed 8-4-08)