(A) Definitions. For the purpose of this subchapter, the following definitions shall apply unless the context clearly indicates or requires a different meaning.
ACCOUNT. A record of utility services used by each property and the periodic costs for those utility services.
UTILITY RATE SCHEDULE. A schedule of all utility rates and charges set by ordinance of the city.
WATERWORK SYSTEM. Water and sewer transmission pipes, lines, fixtures, meters and all necessary equipment and appurtenances owned or operated by the city utility system or agency thereof, for the purpose of providing water and sewer services for public or private use.
(B) (1) Accounts. All utility accounts shall be carried in the name of the property owner. The property owner shall be liable for water and sewer services supplied to his or her property, whether he or she is occupying the property or not, and any unpaid charges shall be a lien upon the property.
(2) Required information. The owner, occupant, or person in charge of any premises shall supply the city with such information as it may reasonably require relating to use of water, use of sewer, or rates. Willful failure to provide such information, willful falsification of such information, or willful failure to comply with any requirement or order issued pursuant to this section constitutes a violation of this section.
(C) Billing. Water and sewer service shall be billed on one bill as applicable to each account. Water and sewer charges shall be due on or before the date set forth on the utility billing statement, provided that in the event such due date is a Saturday, Sunday, or legal holiday, water and sewer charges shall not be due until the following business day. All bills shall be mailed to customers and specify the water consumed and sewer charges in accordance with the current fee schedule set by ordinance of the City Council.
(D) Utility rate schedule.
(1) The water and sewer rate schedule shall be adopted annually by ordinance of the City Council.
(2) Water and sewer rates to consumers located outside the corporate limits of the city, shall be at a higher rate than consumers located inside the corporate limits of the city.
(3) Bills shall be mailed to the customers monthly and shall specify the water consumed and the sewer, water, and refuse service charges in accordance with the rates referred to in § 33.01.
(E) Delinquent accounts.
(1) Penalties.
(a) Water and sewer charges shall be delinquent if not paid on or before the due date set forth on the bill, provided that in the event such due date is a Saturday, Sunday, or legal holiday, charges shall not be delinquent until after the following business day. A 10% penalty shall be applied to the past due principal portion of the delinquent account.
(b) Where satisfactory arrangements for payment of a delinquent account have not been made, the city may, after the procedural requirements of this chapter have been complied with, discontinue service to a delinquent customer by shutting off the water to the property.
(c) When water service to a property has been discontinued, service shall not be restored except upon the payment of all delinquent charges including a disconnect and reconnect fee as set in with the current fee schedule set by ordinance of the City Council or once a certification to the tax roll is made.
(2) Non-sufficient funds.
(a) In the event a non-sufficient fund (NSF) check is received, a letter will be mailed to the property owner notifying them of the NSF check. The property owner has 5 days from the date of the letter to submit full payment by means of cash, money order or certified check. If full payment is not received in 5 days, water service shall be discontinued subject to the disconnection procedure.
(b) The property owner shall be subject to an NSF fee as provided in accordance with the current fee schedule set by ordinance of the City Council.
(c) Once the account is current, the property owner shall be allowed to submit future payments by means of a personal check. If the property owner submits a second NSF check to the city within 6 months of the previous NSF check, the city shall not accept a personal check for a period of 6 months. After 6 months of payments by cash, money order, or certified check, and the account remains in good standing, the city shall accept personal checks from the property owner.
(3) Shut-off for nonpayment.
(a) Once an account is 60 or more days past due, the property owner is subject to a water service shut-off for nonpayment.
(b) Water shall not be shut off until a notice and an opportunity for a hearing before the City Council have been provided to the occupant and owner of the property involved.
(c) A notice shall be mailed by first class mail and shall state that if payment is not made within 10 days of the mailing of the shut-off notice, the water service to the property shall be shut off for nonpayment.
(d) The notice shall also state that the occupant or property owner has the right to a hearing before the water service is shut off. The property owner or occupant may be represented in person and by counsel or any other person of his or her choosing. The property owner or occupant may present orally or in writing his or her complaint to the City Administrator. The City Administrator shall be authorized to order continuation of the customer's service and shall have the authority to adjust the customer's bill or enter into a mutually agreeable payment plan.
(e) If a property owner or occupant requests a hearing, the water shall not be shut off until the hearing process is complete.
(f) If a customer fails to pay and fails to request a hearing under this part, service shall be shut off on the date specified in the notice.
(4) Certification for collection with taxes.
(a) Unpaid charges on water and sewer accounts shall not be certified to the Blue Earth County Auditor until notice and an opportunity for a hearing have been provided to the owner of the property involved. The notice shall be sent by first class mail and shall state that if payment is not made before the date for certification, the entire amount unpaid plus penalties will be certified to the Blue Earth County Auditor for collection as other taxes are collected. The notice shall also state that the property owner may, before such certification date, attend or schedule a hearing on the matter to object to certification of unpaid water and sewer charges.
(b) The owner of the property shall have the option of paying the balance due on the account until the date the notice of certification hearing is mailed. After the date of the notice of certification hearing is mailed, payments shall still be accepted but will include unpaid penalties.
(c) A hearing shall be held on the matter by the City Council. Property owners with unpaid water and sewer charges shall have the opportunity to object to the certification of unpaid charges to be collected. If, after the hearing, the City Council finds that the amounts claimed as delinquent are 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 section, the city may certify the unpaid charges to the Blue Earth County Auditor for collection as other taxes are collected.
(d) For each certification sustained, the property owner shall have the following options after the hearing:
1. To pay the delinquent amount listed on the preliminary roll, but without additional interest after the hearing, within 10 days of the hearing date.
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 him or her by Blue Earth County on his or her property tax statement with a collection term of 1 year.
(5) Cold weather rule.
(a) Cold weather rule, residential customers. The cold weather rule as per M.S. § 216B.097, as it may be amended from time to time, is in effect October 15 to April 15 of each year for residents using water as their main heating source. The city shall not disconnect water service for a residential customer if discontinuation affects the primary heat source for the residential unit if the customer meets all of the following conditions:
1. The household income of the customer is at or below 50% of the state median household income.
2. A customer enters into and makes reasonably timely payments under a payment agreement that considers the financial resources of the household.
3. A customer receives referrals to energy assistance, weatherization, conservation, or other programs likely to reduce the customer's energy bill.
4. Disconnection occurs during October 15 and through April 15.
5. The customer has declared inability to pay on forms provided by the city.
6. The household income of the customer is less than 185% of the federal poverty level, as documented by the customer to the city.
7. The customer's account is current for the billing period immediately prior to October 15; or the customer has entered a payment plan and is reasonably current with payments under the payment plan.
8. The burden of showing that the disconnection would affect the primary heat source for the residential unit is on the resident and can be met by permitting the City Building Inspector to inspect the residence's heating source to verify that it is the type of heating source contemplated by this division.
(b) Required notices to resident under cold weather rule disconnection of service. The cold weather rule as per M.S. § 216B.097, as it may be amended from time to time, is in effect October 15 to April 15 of each year for residents using water as their main heating source.
(c) Required notices to resident under cold weather rule disconnection is necessary. If a residential customer must be involuntarily disconnected between October 15 and April 15 for failure to comply with the provision of this chapter, the disconnection must not occur on a Friday or on the day before a holiday. Further, the disconnection must not occur until at least 10 days after the notice required in this section has been mailed to the customer or 10 days after the notice was personally delivered to the customer. If the customer does not respond to a disconnection notice, the customer must not be disconnected until the city staff investigates whether the residential unit is actually occupied. If the unit is found to be occupied, the city must immediately inform the occupant of the provisions of this section. If the unit is unoccupied, the utility must give 10 days' written notice of the proposed disconnection. If, prior to disconnection, a customer appeals a notice of involuntary disconnection, as provided by the city's established appeal procedure, the city must not disconnect until the appeal is resolved.
(F) Extending service outside corporate city limits.
(1) No portion of the cost of extending municipal utility services to consumers outside of the corporate limits of the city shall be paid for by the city. Persons located outside the city limits requesting utility service shall make application to the city. The City Clerk shall submit such application to the City Council for action. Only water and wastewater service may be provided outside of the corporate limits of the city. Water service shall not be supplied without wastewater service and wastewater service shall not be supplied without water service.
(2) Requirements.
(a) All utility mains, pipes and accessories for such connections shall be installed by the consumer at his or her own expense and shall conform to the established standards for material and installation methods as provided for and determined by the city from time to time. All waterwork systems installed and laid out on city street or public property within the city shall become the property of the city after the same has been installed. Said installation shall be maintained by the consumer under the direction and in accordance with the regulations of the city, and after obtaining a permit from the city. Failure on the part of the consumer to repair or maintain any such waterwork system shall be deemed grounds for shutting off the utility. The utility shall not be turned on until the waterwork system is compliant with the regulations of the city, and any fee provided in accordance with the current fee schedule set by ordinance of the City Council has been paid to the city.
(b) The City Council may grant utility service to consumers outside the city on such conditions as it may deem reasonable and in the public interest. Such rights may be granted for a definite period of time, and if not granted for a period of time, extension outside of the city limits may be terminated when deemed for the best interest of the city, upon a 1-year written notice from the city to the consumer.
(c) In the event annexation proceedings have been commenced by a petition of the owners and filed with the Municipal Board or by resolution or ordinance of the city and filed with the Municipal Board, the water and wastewater charges paid from the date the annexation proceedings were commenced, shall be changed to the rates of the corporate city limit users upon the final annexation of the customer's property to the city.
(3) Water during construction. A tap may be granted and installed to supply water for construction by special approval from the City Council. At the time of the contractor or property owner obtaining the building permit, the water billing account will be established. The billing will be in the name of the person obtaining the building permit. The person obtaining the building permit will be billed for the cost of service for water.
(G) Meters. All water usage shall be measured by meters and such meters shall be installed by or under the direction of the city. Locations of meters shall be subject to the approval of the city. All meters shall be obtained from the city. The owner or consumer shall be held responsible for the care of the meter and will pay for all damage caused to meters by himself or herself, his or her agent, or the occupants of the premises.
(Ord. 238, passed 5-1-2006; Am. Ord. 2009-5, passed 12-7-2009; Am. Ord. 2019-02, passed 9-3-2019)