A. Billing Periods; Time Of Payment: All users with less than one million (1,000,000) gallons of water usage per month shall be billed bimonthly. All users with more than one million (1,000,000) gallons of water usage per month shall be billed monthly. Billings for any particular billing period shall be made within thirty (30) days after the end of that billing period. Payments are due when the billings are made. Any payment not received within thirty (30) days after the billing is made shall be delinquent.
B. Late Payment Penalty: A late payment penalty of ten percent (10%) of the user charge bill will be added to each delinquent bill for each thirty (30) days of delinquency. When any bill is thirty (30) days in default, rendition of water and/or sewer service to such premises shall be discontinued until such bill is paid following due notice and opportunity for hearing.
C. Lien For Delinquent Charges:
1. The city shall have a lien upon the property receiving the sewer service for all delinquent rates and charges.
2. The city clerk shall certify within ten (10) days of the following dates, to the county treasurer for collection with and in the same manner as property taxes and to establish the property liens, all rates and charges which are delinquent over ninety (90) days on March 1, June 1, September 1 and December 1. (Ord. 86-3, 11-17-1986)
D. Deposit Required:
1. Residential: Residential customers shall be required to pay a deposit of one hundred dollars ($100.00).
2. Commercial: A deposit shall be required of all commercial customers. The amount of the deposit shall be determined as follows:
a. New Customers At Existing Accounts: The deposit shall be the same as the account's highest bill for any billing period within the last two (2) years. No deposit shall be less than one hundred dollars ($100.00).
b. New Commercial Accounts: The deposit shall be an amount determined by the public works director based on bills of existing similar type businesses.
c. Commercial Deposits: Commercial deposits of two hundred dollars ($200.00) or less shall be paid in cash.
d. Payment Of Deposits: Commercial deposits of more than two hundred dollars ($200.00) may be paid by either cash or by posting a utility payment bond approved by the city for the amount of the deposit, or by a letter of credit from the consumer's financial institution. Such letter of credit must be provided in a form dictated by the city.
e. Deposits By Bond: Deposits paid by securing a utility payment bond must be renewed annually and the amount for which the bond must be held will be reviewed and adjusted every two (2) years.
E. Deposit Refunded:
1. Any customer who has an excellent pay history (no more than 1 late payment and no disconnects) for their initial one year on service, shall have their deposit refunded.
2. If a customer does not meet the criteria listed above to have their deposit refunded, the deposit shall stay on file indefinitely to guarantee payment toward a final bill. Any customer who has a deposit on file at the time of approval hereof, and meets the requirements set out under subsection E1 of this section, shall have their deposit(s) refunded as expeditiously as possible.
F. Deposit Waived:
1. Anyone who has had a deposit refunded under the provisions of subsection E of this section and has not been off of service with the city of Knoxville for more than one year shall have their deposit fee waived. Commercial accounts shall not be eligible for deposit waivers.
2. Anyone starting service with the city of Knoxville for the first time or after being off of service for more than one year and can provide a letter of reference showing an excellent pay history with another utility within the previous twelve (12) months shall have their deposit fee waived. Commercial accounts shall not be eligible for deposit waivers.
3. Anyone returning to service with the city of Knoxville, who has arrears of any type with the city of Knoxville, shall not be eligible to have their deposit fee waived, regardless of meeting the criteria above. All arrears and the deposit must be paid in full prior to service being started.
G. Application For New Sewer Service:
1. Any person or business requesting to start a new sewer service must complete an application form. (Ord. 13-15, 12-16-2013)