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5314-92i ORDINANCE NO. 5314-92 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, RELATING TO UTILITIES; AMENDING SECTIONS 50.04 AND 50.05, CODE OF ORDINANCES, RELATING TO UTILITY DEPOSITS, TO PROVIDE FOR THE PAYMENT OF INTEREST ON DEPOSITS AND THE METHOD OF CALCULATING AND CREDITING INTEREST ON UTILITY DEPOSITS; PROVIDING A METHOD FOR DETERMINING DEPOSITS FOR RESIDENTIAL PREMISES WITH NO PRIOR CONSUMPTION HISTORY; PROVIDING AN EFFECTIVE DATE. BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF CLEARWATER, FLORIDA: Section 1. Sections 50.04 and 50.05, Code of Ordinances, as amended by Ordinances 4951-90, 499390, 4994-90, 5015-90, 5058-90, and 5062-90, are further amended to read: Sec. 50.04. Application for service. (d) Conditions precedent to final acceptance of application: (1) No application for utility service shall be finally accepted from any applicant who is delinquent on any utility charges, until such time as the charges are paid. In cases where the premises is rental property, the tenant is the customer, and the tenant has left owing unpaid utility charges, the account will be finaled and the deposit, including any interest earned thereon, will be applied to the unpaid charges. Owners and tenants who have incurred delinquent utility charges shall be listed in an uncollected final bill listing to be maintained by the utility customer support division. An application for utility services shall not be accepted from airy person listed in the uncollected final r' bill listing until the unpaid charges are paid. Sec. 50.05. Deposits, fees, charges and other rates. (b) Deposits for service. (1) Water. F. 1 3 t Af 40 a. Domestic water service. Each meter service shall be secured by a minimum deposit of thirty dollars ($30.00) or three times the minimum monthly charge or three +4 times the average monthly bill for domestic water service, whichever is greatest greater. b. Lawn water service. Each lawn meter service shall be secured by a minimum deposit of thirty dollars ($30.00) or three times the minimum monthly charge or three times the average monthly bill for lawn water service, whichever is greatest greater. C. Temporary potable service. Temporary potable service shall be secured by a deposit according to the following table: Less than 1" meter $ 80.00 1" meter 160.00 1 1/2" meter 500.00 2" meter 900.00 3" meter 1,250.00 4" meter 2,500:00 d. Temporary nonpotable service. Temporary nonpotable water or "hydrant meter" service shall be secured by a minimum deposit of five hundred dollars ($500.00) plus an amount sufficient to cover the cost'of water consumed and any other charges incurred. Such service will be provided by a temporary meter on a fire hydrant. Charges will be at the same rate as for a two-inch lawn meter. The final bill shall be for a sum equal to the minimum charge, the cost of water consumed, and a twenty-five dollar ($25.00) service charge. e. Domestic water service, one week maximum. Domestic water service for s 2 not more than seven consecutive days, upon application by property owner or the owner's agent, shall be secured by a deposit of sixty-five dollars ($65.00). f. Domestic water service, three day maximum. Domestic water service for not more than three consecutive days, upon application by property owner or the owner's agent, shall be secured by a deposit of forty dollars ($40.00). (2) Gas. Each meter service shall be secured by a minimum deposit of twenty dollars ($20.00) or three 4-34 times the average monthly bill for gas service, whichever is greater. (3) Solid waste. Each customer shall be secured by a minimum en dollar ($10.90) deposit of three times the minimum monthly-charge or three (3) far solid waste collection service, wh4eheT? .-ater. (4) Wastewater collection. Each customer shall be secured by a minimum ten dellap deposit of three times the minimum monthly charge or three i 4-3? times the average monthly bill for wastewater collection service, whichever is greater. (5) Deposits of cash equivalents to guarantee payment of bills. Commercial deposits in excess of one thousand dollars ($1,000.00) may be made by a surety bond written by an insurance company authorized to do business in the State of Florida, or through furnishing a letter of credit from a bank, by making an assignment to the city of a savings and loan investment certificate or passbook, or a commercial bank savings or time deposit certificate, the form for which shall be approved by the city attorney. (6) Housing authorities. A housing authority created pursuant to Chapter 421, Florida Statutes, may fulfill deposit requirements for the agency or tenants of the agency by letter of agreement to be financially responsible for the required depositor portion thereof. (7) Determination of average monthly bill. For the purpose of determining the amount of any deposit based upon the average monthly bill, the ?. average monthly bill shall be determined according to actual consumption at the premises, regardless of changes in ownership or occupancy of the premises, during t 3 3/.I/ -- 9,2- F?02 7.2 the preceding 12 twelve(12--} months of actual consumption. For new remises without a prior service history, the deposit for each service shall initially be the specific amount required above or three times the minimum monthly charge, whichever is greater. At the end of the first six months of service an average monthly bill for all services shall be dete_rmined_ according to consumption at the premises -during- the first- six months of service and the deposit shall be recalculated. If the recalculated de osit is less than 90 percent of the deposit paid- by_ the customer,- the^difference _ between- the deposit maid and the recalculated deposit shall be credited to the account:-provided, however, that the total deposit retained by the city shall be not less than the sum of the specific amounts required above or three times the minimum monthly charges, whichever is greater, for each service. If the recalculated deposit is greater than 110 percent of the deposit aid b the customer, the difference between the deposit paid and the recalculated deposit shall be char_"d against the account._ (8) Recalculation of deposits. a. The amount of a required deposit may be reviewed and adjusted based upon actual consumption at the end of dur-ing the customer's initial six months of service or most recent 12 months of service, upon request of the customer. b. The city may increase the deposit requirement on any account to three 4 times the current monthly average bill at any time should that account be in arrears, or if the customer has presented a subsequently dishonored check for payment or has had more than two 4-2} past due reminders in any consecutive 12 twelve (1-2} month period. (9) Refund of deposits. The deposit for a residential or community service organization account with an individual meter shall be returned after two continuous years of good account experience. For the purpose of this paragraph 4 .r„ ?:. r'ttF ? :?f: " :?rts'?,+t:rir Pq.`?.g;?-?.'i$'=i.? ?1' st...,,?•t' rt,?...i., t . ;i ? ,j?s.. '.) . and for paragraph (10) below, "good account experience" means not'more than two past-due reminders in any twelve-month period, no disconnection of service for nonpayment, no dishonored checks, no evidence of meter tampering, and no evidence of fraudulent use of the utilities system. (10) deposit requirement exemption. Except for temporary service, an applicant for service to a residential or community service organization account with an individual meter shall be exempt from the deposit requirement if the applicant presents written verification from a public utility that the applicant has had good account experience during the most recent 12-month twely ^9f+t period, or the last 12'-month twelve Ffle period of service by the public utility if occurring within the preceding 24 twee feu-r- months. However, if the account should at any time be in arrears, or if the customer should receive more than two past-due reminders in any 12-month twelye mVIFttF period or present a subsequently dishonored check, or in the event of meter_tamperino or fraudulent use of the utilities system by the customer, the city may require a deposit in the amount required for a new account. 11 Interest on deposits. Interest on deposits held b the city shall accrue beginning as of October 1 1992. The interest rate shall be an index rate established as of October I each Year, and the index rate shall remain in effect through the next Se tember 30. The index rate shall be the three-"month average of two-year Treasury security yields for the period from Jul 1-through September 30 immediate) preceding the fiscal year in which the index rate is applicable. Interest accruing from October 1, 1992, ,throucgh September 30, 1993, ,shall be the three-month avers e of two-year Treasury security yields for the period from Jul 1 through September 30, 1992. Thereafter, the index rate shall be annual) recalculated and effective from October 1 throe h tile following September 30. 5 ,!5-31 V - 9CO- "M p w Annual payment will occur as a credit posted to the customer's account commencing with the first bill rendered on or after October 1 1993.-and-each October 1 thereafter. A customer who posts a deposit after October 1 1 92 will receive interest calculated from the deposit-date and credited to the account on each October 1 for as long-as the city retains the_deposit._ A customer who terminates service or whose service is terminated will receive a pro-rated interest credit to the termination date on the final bill. A customer who _qualifies. for a de osit refund will receive a .-pro-rated interest credit to the refund date. Notwithstanding the fore win an interest payment or deposit refund in an amount less than one dollar 1.00 MU-be-paid in cash but shall not be mailed. Section 2. This ordinance shall take effect immediately upon adoption, subject to approval by the court of the settlement agreement, including this ordinance, and the entry of final judgment in F. Wallace Pone, Jr. v. City of Clearwater, Case No. 90-1062-Civ-T-99A (M.D. Fla.). Provided, however, that the entitlement to interest pursuant to this ordinance shall not extend to any utility system customer who elects to be excluded from participation in the settlement of said case. PASSED ON FIRST READING PASSED ON SECOND AND FINAL READING AND ADOPTED AS AMENDED Attest: Cynt to E. Gou eau, City Merk November 5, 1992 December 3, 1992 Rita Garvey Mayor-Commissioner Approved as to form and correctness: M. A. Gal rait , r., ity Attorney 6