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HomeMy WebLinkAboutAgenda Report - March 4, 1992 (59)1"1 CITY OF LODI I TITLE: Rblic Hearing tD Consider Changing the Lodi Municipal Code to Authorize the City to Colt Late. Ebes for Delinquent Utility Bills � MELTM DATE: March 4, 1:992 PREPARED BY: Finance Director RECOMMENDED ACTION: That trc City Council, following a public hearing on the matter, adopt the attached Ordinance entitled "An Ordinance of the Lodi City Council Amending Lodi Municipal Code Chapter 13.0-4— Service Generally" and consider for adoption the attached Resolution entitled "A Resolution of fte Lodi City Council Setting a Labe Fee for Delinquent Utility Bills" at the appropriate time. BACKGROUND WMRMATiON: At a ft& Sleeve Session on December 10, 1991, the City Council whewed sscveral proposals made by staff to encourage the timely payment of the City's utility bills. One proposal made vias to impose and collect a fee for late or delinquent payment of utility bills, Based on the dinoction given by Council on December 10, 1941, this matter has been scheduled for public hearing March 4, 1492, FUNDING: None H. D. Flynn Finance Director Attachments: Utility Fees and Deposits Policy Draft Ordhw= Draft Resolution CC: City Attomey Electric Utility Director Public Works Director APPROVED. A THOMAS A. PETERSON 9CV@wd P&OW City Manager CC -1 RESOLUTION NO. 92-41 A RESOLUTION OF THE LODI CITY COUNCIL SETTING A LATE FEE FOR DELIOUENT UTILITY BILLS WHEREAS, it is the policy of the City Council that the enterprise activities (water, sewer, electric, saW waste) of the City be efficiently managed and bad on sound economic principles by following pnident btgness per; and WH1 ' it is thepoliq of the City Council to encourage customers to pay utility bills or.a timely basis and to discourage deliquent utility bills; and WMMFAS, it is the policy of the City Council that City staff will be sensitive 1D customer hardships cr other unusual circumstances that preclude timely payment of utility bills. NOW, ji tEFORE, BE IT RESOLVED by the Lodi City Council that the following late fees for ddigna Why bllh is approved and that the Director of Finance may waive gees feu when in his opinion a customer has presented reasonable evidence of financial hardship or convincing information that timely payment could not have been expected: -t First Second Third Final Dated: Amount utility Rate Only Utility Rate Only utility Rate plus $10 late charge utility Rate plus $25 ]-JE charge I hereby certify that Resolution No. 92-41 was passed and adopted by the City Comncil of the City of Lodi in a regtnlar meeting held by the following vote: Ayac Council Members - Noes: Council Members - Abatnt: Council Members - Alice M. Reimche City Clerk a Ab CITY OF LODI - FINANCE DEPARTKE24" F UTILITY kXES AND DEPOSITS POLICY RATES, FEES, AND DEPOSITS The City of Lodi will provide reliable and cost effective utility services to its customers. In accomplishing this goal, utility operations will be efficiently managed and based on sound economic principles, which in part means, Mowing prudent business practices and setting equiW ie service rates, few, and deposits. As such, rates, fees, and deposits will be based on the cost of service, encourage eonscsvati-on, promote timely cumin Vr paymw s, and will be sensitive to customer needs, capacity to pay, and the comic health of the community. Mrs AMON OF SERVICE:A,ND DELINQUENCY DEPOSITS All applicants for utility services will establish credit by depositing in advance tte amount of a monthly see charge. Such deposits vin be either credited to the customer's rtguIar bill or closing bill. following one. yrar of satisf wUxy payment history or by agreeing to attend a utility conservation class (electrical, gas, water, sewer, garbage) approved by the City. After establishing good credit with the City, d^pasits for rcw or additioral accents will not be mqui-red, The Finance Director may waive ibe iratiA deposit for ;rrit b al and oarmerc al customers to promote economic stability and cmuercial. growth; t owcrer, a deposit will be required from tl ese customers whose account is closed for failure to pay pdw to rCOMMM*q services. NEW SERVICE DEPOSIT CLASS INSIDE C TTY OUTSIDE CITY Residential $ 50 $ 8 0 Mobile Home Park 1,200 1.800 Group 1 120 180 G rau p 2 through 5 2,200 3,300 RESWRATION-RECONNECTION CHARGE A zesW Mion-recondxxWoncharge will be paid by customers prior to restoring and re -connecting City ljdUtus for non-payment as pmvaded below: During normal working hours: $33 Wee -kends, holidays, and after normal work hours: • $48 . ALso the charge to be levied for new service connections after nomuil worm hours, on holidays and weekoemb. DELINQUENT CHARGES (not to be implemented until approved by Council) A delinquent charge of $10 after 60 days (third bill) and $25 after 90 days (closing or final bill) shall be applied to all past due accounts until sealed for nonpayment or until no prior month charges are outstanding. a The E mme Dbector may waive delinquent charges in whole or pmt to promote goodwill va#li City customtrs vyh n requested by a customer for reasons of hardship cr timely payment could nit have been reasonably expected based on personal considerations. CUSTOMER ASSISTANCE At the time utilities are ditconramd £ca: non-payment and reinstatement of services is requested by a c ustonw, the Finance Dimtor may negotiate a one-time repayment schedule for up to six months for those cum who can demonstrate their ability to pay. Normally a repayment schedule will be established when a City customer can demonstrate financial hardshipduc to the recent loss of employment or other unusual hardship conditions. In all other cases the City will refer customers to appropriate assistance agencies such as 'Reach Program" offered by. ft Salvation Army and 'Energy Crises Intervention Program' offered by Sart Joaquin County Department of Ageing. 2 ORDINANCE NO. 1543 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LO D I MUNICIPAL CODE CH A I'' TR 13.04 - "SERVICE GENERALLY" BE IT ORDAINED BY TEE WDI CITY COUNCIL AS FOLLOWS: SECTION 1. Lodi Municipal Code Chapter 13.04 is hereby amended as follows: (Parts removed frons the existing code are in slriheM and additions �) Ciwpter 13.4, SERVICE GENERALLY Suc1ic ns: 13.04.010 Definitims 13 -04 -MO APPUcafim frr service or discontinuance 13.04.030 Bill payment and delinquency 13.04.040 Connecdm generally 13.04.050 C.onr ion charges 13.04.060 Apartn* is and flats 13.04.070 Restriction or interruption 13.04.080 Connection or reconneeti'ai by plumbers 13.04.094 Right of acs for inspection 13.04.100 Pipe and facility maintenance 13.04.110 Service only to contracted premises 13.01.320 Hill a4ustnent 13 04.130 Low income. ad}ushnents 13.04.030 Bill payment and delinquency. A Payment. All bills for the semens en u mtmte d in this chapter art due and payable upon rece* thereof, at Ov fina of departrnent, City H31, Lodi, California, and become del-:nqutnt twenty days a{),er the postmark date of the bill. B. Delinquency. The diro= of finance shall send notice of delinquent bills, and if all delinquent charges for 3exvice are i" paid within ten days ager mailing this notice, then the director of finance may discontinue all eervioe furnished to the customer by the city, the custerner shall be given ft opportunity io be heard as toany ,,ss#}uMT&nt cf any bill. The htaring shallbe held (More the di i tor of fire= of his designee. In the vent of a discontinuance of service, as providad in this sub -section, the dire-.ar of ftra = may requi m as a condition prudent to the resumption of serrice that the customer pay 1. TU amount cf the delinquent biil, 2. The ow4 io the city of discontinuing and resuming ser nee, and 3. A deposit in an amo in t not ex cued i ng the este mated amount of charges for two months' sc rvice. 60 C. Closing Bills. Closing bills arc due on the date on which service is discontinued. (Ehd. 1333 del (9)(A); prkw code & 2-39) SEC17ON 2. All ordinances and parts cf ordinances in conflict herewith are repealed insofar as such conflict may exist: SECTION 3. This ordinance shall be published one time in the "Lodi News Sentinel,` a daily newspaper of gmad chtukfim pciaied and ptibluW ori the City of Lodi and shall be in force and take effect tirty days from and a1%- its pasge and approval. Approved this day of JAMES W. PINKER7jfJN, JR. Mayor Attest ALICE M. City Clerk State of California County of San Joaquin, ss. I, Alice M. Reimhe, City Clerk of the City of Lodi, do hereby Certify that ordinance Pb. 1543 was introduced at a regular meting of the City 0-,u i.l of tie City of Lodi held i 1&rc h 4, 1992 and was thereafter passed, adapted and ordezed to print a t a regular meeting of said Council held , 1992 by the following vote: Ayes: Council Members - Noes: Coe=d Meters - Absent: Council Members - Abstain: Council. Menbers - I further certify that Ordinance No. Mayor on the date of its passage pursuant to law. Approved as to Form HCBRY W. McNAIT City Attorney e•81 a+ • at 1543 was approved and signed by the and the sane has been pwblishec3 ALICE M. �iE C it y Clerk RESOLUTION NO. 92-41 A RESOLUTION OF THE LODI CITY COUNCIL SETTING A LATE FEE FOR DELINQUENT UTILITY BILLS WHEREAS, it is the policy of the City Council that the enterprise activities (water, sewer, electric, and solid waste) of the City be efficiently managed and based on sound economic principles by following prudent business practices; and WHEREAS. it is the policy of the City Council to encourage customers to pay utility bills on a timely basis and to discourage delinquent utility bills; and WHEREAS, it is the policy of the City Council that City staff will be sensitive to customer hardships or other unusual circumstances that preclude timely payment of utility bills. NOW, THEREFORE, BE IT RESOLVED by the Lodi City Council that the following late fees for delinquent utility bills is approved and that the Director of Finance may waive these fees when in his opinion a customer has presented reasonable evidence of financial hardship or convincing information that timely payment could not have been expected: Bill Amou n t First Utility Rate Onlv Second Utility Rate Only Third Utility Rate plus $10 late charge Final Utility Rate plus $25 late charge BE IT FURTHER RESOLVED by the Lodi City Council that this Resolution will be effective concurrent with the effective date of Ordinance No. 1543. ' Dated: March 4, 1992 1 hereby certify that Resolution No. 92-41 was passed and adopted by the City Council of the City of Codi in a regular meeting held March 4, 1992 by the following vote: Ayes: Council Members - Hinchman. Pennino. Sieglock, Snider and Pinkerton (Mayor) Noes: Council Members - None Absent: Council Members - None &a A. Alice M. RoweA) che City Clerk RES9241/TXTA.02J o« CITY OF L:OT10E OF PUBLIC HEARING Date: March 4, 1992 CARNEGiE FORUM 305 West Pine Street, Lodi Time: 7:30 p.m. For Information regarding this Public Hearing Please Contact: All" M. Relmahe City Clark Telaplrorw: 333.6M NOTICE OF PUBLIC HEARING March 4, 1992 NOTICE S HEREBY GIVEN that on Wednesday, at the hour of 7:30 p.m., or as soon thereafter as the matter may be heard, the City Council will conduct a public hearing to consider the following matter: a) introduction of an ordinance entitled, 'An Ordinance of the Lodi City Council Amending Lodi Municipal Code Chapter 13.04 - 'Services Generally"' which ordinance would amend the Lodi Municipal Code to authorize the City to impose and collect late fees for delinquint utility bills. All interested persons are invited to present their views and comments on this matter. Written stat5ments may be filed with the City Clerk at any time prior to the hearing scheduled herein, and oral statements may be made at said hearing. If you challenge the subject matter In court, you may be limitedto raising only those Issues you or someone else raised at the Public Hearing described in this notice or in written correspondence delivered to the City Clerk, 221 West Pine Street, at or prior to the Public Hearing. By Order Of the Lodi City Council: Alice M. Reir the City Clerk Dated: February 5, 1992 Approved as t form: � L � Bobby W. McNatt City Attorney