ORD 1982-32 - Utility DepositsORDINANCE NO. 82-32
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HUNTSVILLE,
TEXAS, ESTABLISHING A CONNECTION CHARGE AND MAKING OTHER
PROVISIONS AND FINDINGS RELATED THERETO.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS,
that:
Section 1: Chapter 17, Water and Sewer, of the Code of Ordinances of
the City of Huntsville, Texas, is hereby amended by the repeal of a
Section 17-12, deposits or bonds to secure payment of utility service
bills, as presently constituted, and by the adoption of a new Sec. 17-12
that shall read:
Sec. 17-12. Connection Charges; deposits or bonds to secure
payment of utility service bills.
(a) A $lb.UD connection fee shall be made for any new service
application or changes in existing service applications.
(b) The utility office supervisor shall require any applicant for
water, sewer or sanitation service to post a deposit or bond to secure
payment of utility service charges.
(1) Any firm, corporation or commercial account applying for water
service shall deposit with the City of Huntsville as security for the
payment of future charges, a sum equal to one and one-half (1 1/2) times
the average estimated monthly utility service charge for the premises
for which utility services are requested. Past accounts from previous
customers at the same location, or accounts of a comparable usage
factor, may be used in arriving at the estimated monthly charge for
determining the amount of deposit or bond.
(2) Any person applying for residential water, sewer and garbage
Service shall place with the city a sum of sixty dollars ($60.0O) for a
utility deposit.
(3) Upon the sale or transfer of property, or change in customer
Or occupancy of any premises served by city water service, no water,
Sewer or sanitation service shall be furnished to the new owner,
customer or occupant of such premises unless and until such deposit as
required by this section is paid. Any person, firm or corporation who
fails to notify the City of Huntsville of a change in ownership, title
Or occupancy of premises resulting in a different person or entity
having responsibility for the payment of utility service charges shall
be subject to immediate discontinuance of utility service unless and
until the previous customer's account is finalized and the deposit
called for herein is made.
(4) A utility deposit shall not be required for the interim period
(three (3) months maximum) that a rent house is being prepared for
occupancy, provided that the owner has current residential service.
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(5) A blanket deposit equal to the cumulative average monthly
utility service charge shall be required for a residential customer with
multiple accounts. Any multiple dwelling unit with more than five (5)
units shall require a separate commercial deposit.
(6) Any customer that is put on the "cut -off" list (a customer
that has not paid the two (2) months' prior bills and is about to
receive a third month's billing) more than twice in one year shall be
required to increase their deposit to the average amount due at
"cut -off" date. Failure to pay the increased deposit would result in
discontinuance of service.
(c) No person shall attempt to avoid any payment under this chapter by
changing names on an account. The city may transfer a delinquent
payment from one customer account to another account of that customer.
Utility service cannot be discontinued for delinquency in payment for
utility service by a previous occupant.
(d) Every applicant who previously has been a city utility customer and
whose service was discontinued for nonpayment of bills or has terminated
service without paying a bill shall be required to pay all amounts due.
(e) Utility deposits will be refunded upon termination of service
provided that the customer has fully satisfied all charges due the city.
(f) Security for payment of utility service charges may be made by cash
deposit with the city, approved bond or approved certificate of deposit
assigned to the City.
Section 2: This Ordinance shall become effective immediately upon its
passage by City Council.
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PASSED FIRST READING THIS 14th day of October, 1982.
PASSED SECOND READING THIS 2nd day of NOVEMBER , 1982.
APPROVED THIS 2nd day of NOVEMBER , 1982.
THE CITY OF HUNTSVILLE
BY
William
ATTEST:
DeShaw, City Secretary
APPROVED AS TO FORM:
Scott Bounds, City Attorney
. Nash, Mayor