(A) One person may, at the town’s discretion, be named on the contract or permit application as the service owner. Applications for water service shall be in writing and be delivered in person at the business office of the town on a form provided by the town entitled “Application for Utility Service.”
(1) Any requirements of a cash deposit, connection or reconnection fee, or other fees, and/or credit worthy criteria, as provided in this chapter, shall be paid and/or submitted before any utility service will be rendered, including:
(a) Request for a permit to connect to the Water Utility;
(b) Request for tap on (curb stop) installation;
(c) Disconnections or reconnections for nonpayment, improper tampering or use, or vacation status;
(d) Owner or non-owner initiated discontinuance of service. A written request is required and must be completed using a form provided by the town, entitled “Request for Discontinuance of Service.” The form shall contain a release to be signed by any non-owner customer (if applicable) and the owner of the property. The customer is required to be present for any final readouts. All fees and charges not paid shall be due and payable on or before the due date reflected on the final bill; and
(e) Landlord Transfer Agreement.
(2) In order for utility service to be rendered to an applicant, owner, or non-owner, all prior accounts and amounts due or written off as bad debt regarding the applicant or in the applicant’s name must be paid, and any collection costs or legal fees paid to outside agencies or parties as a result of the applicant’s failure to pay must be reimbursed before a new account will be established for that applicant.
(3) Any request for service shall be made to the Water Utility no less than 72 hours in advance of the time service is desired, excluding non-business days. If the requested service involves construction, equipment installation, or special considerations, the request shall be made to the Water Utility no less than 45 days in advance of the time service is desired.
(B) Any customer requesting utility service at a different location than where that customer currently has, or previously had, service, shall be required to complete an application for utility service for that specific location on the form provided by the town, and to pay the deposit and following the procedures regarding the payment of deposit, as set forth in division (G) below, at the time that the customer submits the application in person at the business office of the town.
(C) When submitting the application for utility service, the applicant will be asked for proof of identification (driver’s license or state issued ID preferred). This is necessary to aid in the collection process, if necessary, and to eliminate possible falsification of customer information. The appropriate town personnel at the town’s business office will make a copy of the proof document and attach it to the application.
(D) If the applicant is not the owner of the property to which service is being requested (non-owner customer), the property owner or a properly authorized agent of the property owner shall sign the owner’s certificate section of the application. The signature of the owner must be notarized or signed in the presence of a representative of the town, who shall witness the application at the business office as provided therein. The signature of the application by an applicant is an acknowledgment that the applicant understands and agrees to the responsibilities, requirements, including, but not limited to, the payment and deposit requirements, set forth in Chapter 52 of the Town Code, and the applicant’s agreement to comply with the Town Code relevant to utility services.
(E) After reviewing the application for completeness, the town will determine the deposit required, if any, and review computer and/or other records to verify that the applicant has no previous history of being past due and for any previous account balances that may still be owed to the town. Upon payment of any required cash deposit, a receipt will be issued by the town to the applicant.
(F) Copies of the application for utility service form will be available at the business office of the town for use by potential applicants, property owners, non-owner customers, and those who are new construction homeowners.
(G) The following Deposit Requirement Schedule shall be applicable for all applicants for water utility service of the town:
Deposit Requirement Schedule | |
Customer Type | Amount |
Residential (Owner Occupied) | $50 |
Residential (Nonowner Occupied) | $50 |
Apartment houses, multiple dwelling units, mobile home courts, or business houses occupied by more than one business where each unit is not separately metered | Amount equal to the estimate cost of water to be used for a three-month period as determined by the Manager, or an amount equal to $50 times the total number of units |
Commercial, industrial, institutional, government | 15% of the active 12 months charges at the service address (including taxes), rounded to the nearest $100. If the service is at a new address, the 12 months charges will be estimated, based upon the type and size of the customer as compared to similar types and sizes of customers. Deposits are subject to periodic review, after which, the deposit may be adjusted to more accurately reflect the 15% requirement. |
(1) When a previously terminated account customer (nonowner or owner occupied) returns to establish a new account after a period of time has elapsed, and the prior account for utility service previously established a history of being past due with the Hagerstown Water Utility, the town may double the regular deposit amount as provided above, and any amounts due or written off as bad debts must be paid and any collection or legal fees paid to outside agencies must be reimbursed before a new account will be established.
(2) If an active account (nonowner or owner occupied) continually becomes or remains past due (determined by the application of three or more penalty charges against the account for late payment), or service has been disconnected due to nonpayment, a deposit equal to double the schedule established above may be required for continuation of or re-establishment of service.
(3) The owner occupied residential deposit is required as set forth in the schedule above before utility service will be rendered.
(a) The deposit may be waived, however, and the owner deemed creditworthy, if the owner applicant provides written confirmation from the owner’s preceding utility company or companies (with Hagerstown Water Utility also qualifying as a preceding utility company) that the owner is creditworthy, the confirmation covering a previous two-year period and verifying that the applicant:
1. Has been a customer of the previous utility(ies) within the past two years;
2. Is not past due on any bill at this time for service rendered by the previous utility(ies);
3. Within the past one year, did not have more than one bill which was delinquent to any utility; and
4. Within the past two years, did not have a service disconnected by any utility for nonpayment of a bill for services rendered by the utility.
(b) If the owner occupied applicant has not had service with any utility company within the past two years, he or she must make a deposit as set forth in the schedule above. After two years, the deposit may be refunded subject to the conditions set forth below in the division addressing refunds.
(4) The nonowner occupied residential deposit is required as set forth in the schedule above before utility service will be rendered. When a nonowner residential customer who is a current nonowner residential customer of the Hagerstown Water Utility moves to a new account (different location/address), a new Application for Utility Service shall be required. The previous deposit will normally be transferred to the new account, however, if the customer has developed a history of being past due, the old deposit shall stay with the old account and a new deposit shall be required for the new account. In this event, the deposit required on the new account may be double the regular deposit requirement. The old deposit will be applied to the current and final bills of the old account, and the balance, if any, will be refunded. If the old account is past due on the moving date, a new account will not be established until the old account is brought current. If the nonowner applicant fails to pay the old account in full the service will not be re-established until the property owner has paid the balance of the old account.
(a) If, after the final bill is prepared, the old deposit is not sufficient to cover the remaining charges of the old account and the old account becomes past due, the new account will be subject to service termination or disconnect as though the two accounts were one.
(b) When planning a move, the business office of the town should be given sufficient notice, the notice to be a minimum of three business days, so that services can be terminated on the planned date of vacating the premises.
(5) Commercial, industrial, and institutional accounts shall be required to pay a deposit before utility service will be rendered, the amount of which shall be determined by the above schedule. If an account continually becomes or remains past due (determined by the application of three or more penalty charges against the account for late payment), or service has been disconnected due to nonpayment, a deposit equal to double the amount determined by the above schedule will be required for continuation of or re-establishment of service. If an account is disconnected because of nonpayment, the deposit will be used to defray any or all of the existing balance. Upon re-establishing the required deposit balance (a surety bond may be required in order to cover the increased amount), the payment of reconnect charges and payment of any charges not covered by the deposit and/or surety bond, services will be restored. If a commercial, industrial, institutional, or government deposit is more than $200, the customer/applicant shall be allowed one of two options as follows.
(a) To make weekly installment payments until the total deposit requirement is paid in full. The first payment shall be at least $200 and installment payments shall not continue beyond eight weeks. Service shall be connected upon receipt of the first such payment, but may be terminated at anytime, without notice, upon failure by the applicant or customer to make the agreed upon installment payments and/or utility bill payments when due; or
(b) To provide an assigned surety bond from an approved underwriting company for the deposit requirement. Service shall be connected upon receipt of the surety bond.
(H) (1) Cash deposits will be applied to the customer’s final bill after which the balance, if any, will be refunded. Interest will not be paid on any part of the deposit. Any balance due from the customer after application of the deposit shall be due and payable on or before the date specified on the final bill.
(2) Residential owner-occupied cash deposits may be refunded after two years, if requested in writing, and, if the following conditions are met: within the 12 month period preceding the date of the request, the owner/occupant did not have more than one bill which became delinquent, and within the 24 months preceding the date of the request, the owner/occupant did not have service disconnected for non-payment. Non-residential surety bonds will be canceled and returned to the principal within a reasonable time after all final charges are paid.
(3) If the application of this chapter creates a refunded amount to be given to the customer, the Clerk-Treasurer is authorized to refund to a customer, without further act of Town Council, an amount not exceeding the amount of the full deposit of the customer.
(Ord. 4-1991, passed 12-30-1991; Am. Ord. 1-2005, passed 2-7-2005; Am. Ord. 1-2008, passed 1-22-2008; Am. Ord. 3-2009, passed 3-17-2009; Am. Ord. 10-2015, passed 11-16-2015) Penalty, see § 52.99