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4.1. ERMUSR 02-12-2019 Elk River Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Tom Sagstetter—Conservation and Key Accounts Manager MEETING DATE: AGENDA ITEM NUMBER: February 12, 2019 4.1 SUBJECT: Customer Requested Manual Meter Reading ACTION REQUESTED: Approve the revised Service Policies Policy and amended 2019 Fee Schedule. BACKGROUND: ERMU staff met with a customer in August 2018 to discuss their concerns about the wireless communications that are required by the Automated Meter Reading (AMR) equipment.The AMR equipment is used to transmit their monthly water usage information from inside the building to a vehicle fitted with a radio receiver(collector).The customer was very interested in eliminating any radio frequency transmissions from inside their home. DISCUSSION: Based on the customer's requests, ERMU staff began evaluating options for customers requesting to have meters that are not equipped with AMR. The AMR meters use a radio signal to transmit relevant electric and water data for billing purposes to a specially equipped vehicle. If the meter does not have a transmitter or the transmitter is deactivated,the meters will have to manually be retrieved by a meter technician. In response to a customer request and a growing trend in the industry, ERMU explored the possibility and costs associated with converting to meter(s)that do not utilize radio signals to communicate information back to the data collector for the billing information system. ERMU staff has evaluated and determined that manual meter reading for electric and water meter(s) could be provided as long as the requesting customer pays the additional costs for the metering equipment and the monthly manual meter reading fee per the ERMU fee schedule. The customer requesting the manual meter reading option would be required to pay 100%of the incremental costs, including but not limited to: time and materials; electrical and plumbing contractors; landscapers; carpenters; and irrigation installers.The customer would also pay a manual meter reading fee per the ERMU Fee Schedule for both the electric service and the water service, if applicable. ATTACHMENTS: • Revised - ERMU Policy—A.1—Service Policies Policy • Amended - ERMU Policy—T.1—2019 ERMU Fee Schedule Page 1 of 1 34 Elk River Municipal Utilities A.1—Service Policies 1.0 Procedure for Applying for Service(for existing facilities) A) RESIDENTIAL SERVICE 1) The provision of utility service shall be contingent upon customer's compliance with these policy provisions as amended from time to time. 2) All applications for utility service made after the approved date of this policy must be made by telephone, in writing, electronically, or in person and the following information is required: a) Date service is required. b) Name of person(s)responsible for service. c) Social Security numbers and Date of Birth for all persons responsible for service. d) Telephone numbers,home and work. e) Mailing address,if different than service address. f) Garbage container size,if applicable. g) Deposit,if necessary per Deposit Policy. 3) All of the customer's previously incurred obligations or delinquent bills to the Elk River Municipal Utilities (ERMU)must be paid in full before a new service will be provided. 4) Any residence serviced by ERMU which has not applied for service as required by this policy, and complied with the requirements contained herein, shall be considered an unauthorized user of ERMU services and subject to immediate disconnect without notice. 5) A new application for service will be required any time a residence changes owners or occupants. 6) Identification suitable to ERMU may be required for any application for service. 7) Unoccupied rental properties and rental properties without a current ERMU account in the name of a tenant shall be billed in the name of the owner and the owner shall be liable for payment of charges. B) COMMERCIAL SERVICE 1) The provision of utility service shall be contingent upon customer's compliance with these policy provisions as amended from time to time. 35 2) All applications for utility service made after the approved date of this policy, must be made by telephone,in writing,electronically,or in person and the following information is required: a)Date service is required. b)Name of person(s)responsible for service. c)Social Security numbers and Date of Birth for all persons responsible for service,or guarantor form signed. d)Telephone numbers(s). e)Mailing address,if different than service address. f)Deposit,if necessary per Deposit Policy. g)Service Agreement. 3) All of the customer's previously incurred obligations or delinquent bills to ERMU must be paid in full before new service will be provided. 4) Any business serviced by ERMU that has not applied for service as required by this policy,and complied with the requirements contained herein,shall be considered an unauthorized user of ERMU services and subject to immediate disconnect without notice. 5) A new application for service and service agreement will be required any time a commercial property changes ownership,changes tenants,or a new or different person or business entity is requesting service to the property. 6) Identification suitable to ERMU may be required for any application for service. 7) Unoccupied commercial rental properties and commercial properties without a current ERMU account shall be billed in the name of the owner and the owner shall be liable for payment of charges. 2.0 Billing Due Dates A) ERMU has four billing cycles.Each cycle is billed one time per month.Bills are due on the due date specified on the bill,which will be approximately 20 days after the bill is generated. B) Bills are payable at the offices of ERMU located at 13069 Orono Parkway in Elk River during regular business hours,by mail,online,or in provided drop boxes 24 hours per day. Drop boxes are provided outside the ERMU office and beside the post office boxes located off Freeport Street,north of the post office. Drop box locations may be changed from time to time. Automatic payment plans are available with Bank Pay. 3.0 Penalties and Delinquent Notices A) Bills are considered late the next business day following the due date.A penalty of 10%of the original bill amount is added to the account.A Reminder Notice/Notice of Delinquency is generated the same day penalties are assessed.A grace period of up to 6 days may apply. B) Any check given in payment for services that is returned by the bank marked NSF (Non-Sufficient Funds),will be subject to a NSF fee per the ERMU fee schedule. The NSF fee will be added to the account. C) Customers will be subject to additional deposit requirements after having late payments. 36 4.0 Budget Plan A) Customers that have one year's worth of timely payment history at their current location can request to be put on a budget payment plan. B) Budget payments are due on the due date specified in the bill. C) Budget payments will be equal to 1/12 of the customer's prior years' average utility bill plus five percent. D) ERMU will review all accounts on an annual basis to ascertain the reasonableness of the budget under current rates or conditions of use of service,and the monthly payment will be adjusted accordingly. E) The following criteria must be met in order to qualify for and remain in the budget program: 1) Customer must submit a signed and dated application form for approval by ERMU. 2) Customer must have a payment history with ERMU of at least 12 consecutive timely payments. 3) Customer account status must be at a zero balance prior to starting a budget payment plan. 4) Budget payment plans will be cancelled,effective immediately,if any payment made is unable to clear the bank for NSF or any other reason. 5.0 Disputed Bills A)A customer who disputes the amount of their bill or is unable to pay the full amount of the bill due to temporary financial difficulties shall have the right to an informal conference with a Customer Service Representative in the ERMU office on business days,during normal working hours. Said employee shall have the authority to make arrangements with the customer on a deferred payment schedule of that bill,and shall also have the authority to review and recommend adjustments concerning the amount of their bill. 6.0 Customer Request for Manual Meter Reading' (Formatted:Line spacing: 1.5 lines A) A customer that receives electric and/or water service may request to have automated meter reading communication equipment on electric and/or water meter(s)disabled. B) The customer will be required to pay 100%of the cost,to disable and/or replace automated meter reading equipment,including but not limited to:time and materials;electrical and plumbing contractors;landscapers;carpenters;and irrigation installers.Customer will receive a credit for the cost of the standard meter.The customer and contracted professionals will be required to meet all applicable building and electric codes. C) The customer will be required to pay the Manual Meter Reading Fee per the ERMU fee schedule for both electric service and water service,if applicable.The Manual Meter Reading Fee will be applied monthly while enrolled for manual meter readings. D) The customer will not be eligible to participate in load management or efficiency programs that require radio or wireless communication from ERMU. 37 176.0 Customer Request to Disconnect A) Utility services may be disconnected upon a customer's request,provided that said customer has an application for service or service agreement with ERMU in his/her/their name and is an owner of the property for which disconnection is requested. I 8 0 Disconnection of Service with Notice A)With notice,ERMU may disconnect service to any customer for any reason stated below: 1)Failure of the customer to pay a bill for utility service. 2)Failure of the customer to meet ERMU's deposit and/or credit requirements. 3)Failure of the customer to make proper application for service and,if required, enter into a service agreement. 4)Customer's violation of any ERMU policies,rules and regulations. 5)Failure of the customer to provide ERMU reasonable access to ERMU's meters or other equipment and property(ERMU shall not allow more than two consecutive estimated billings). 6)Customer's breach of an agreement for service between ERMU and the customer. 7)When necessary for ERMU to comply with any order or request of any governmental authority having jurisdiction. 8) Issuance of repeat NSF check(s)in payment of a bill or required deposit. 9) Failure to pay all amounts due on an account,including any miscellaneous receivables invoice. 198.0 Notice of Disconnection of Service A) Except as otherwise provided in this Policy,ERMU shall,before disconnection, attempt to give the customer reasonable advance notice of such disconnection.The nature of the notice required and the period of time before disconnection shall be reasonable under the particular circumstances.Disconnection of service for any cause shall not release the customer from any previous obligation to pay for utilities or services received or amounts specified in the Utilities Service Policies,or any written contract with the customer. Should a disconnected customer fail to pay the outstanding bill within 30 days,the bill will be subject to collection procedures. I 109.0 Disconnection of Service without Notice A)Without notice,ERMU may disconnect service to any customer for any reason stated below: 1)In the event of an unauthorized use of,or tampering with,ERMU's equipment. 2)In the event of a condition determined to be hazardous to the customer,to the equipment,or to the public. I 110.0 Conditions for Reconnection of Service A) If a customer is placed on ERMU's list for disconnection,the ERMU disconnect/trip charge will apply and be due. B)Any customer,residential or commercial,who is in arrears before disconnection shall be required to post an additional deposit per the Deposit Policy. 38 C)Payment of all amounts due to ERMU,including disconnect/and reconnect trip charges,shall be made in full before service will be restored. D)Payment of all amounts required for reconnection must be made in the office or online.Only cash,money order,or credit cards will be accepted. There will be no payments collected by field staff. I 124.0 Hardship Case and Temporary Financial Difficulties A) ERMU Customer Service Representatives will make every effort to arrange reasonable and feasible deferred payment programs for customers with a legitimate financial difficulty. Size of the delinquent account,the time the bill has been overdue and other relevant credit factors presented by the customer will be considered. 1132.0 Cold Weather Rule/Extreme Heat Conditions A) ERMU abides by the Cold Weather Rule as stipulated in Minnesota statutes Section 216B.097. For customers meeting the qualification requirements of the Cold Weather Rule,ERMU will not disconnect service during the period between October 15th and April 15th B) ERMU abides by the Disconnections During Extreme Heat Conditions as stipulated in Minnesota statutes Section 216B.0975. ERMU will not disconnect service during an extreme heat condition as defined by the statute. 1143.0 Collection of Unpaid Accounts A)ERMU may employ any and all reasonable methods for collecting unpaid accounts, including assignment to collection agencies,or legal actions against the delinquent customer. If ERMU believes a customer is insolvent,is in financial difficulty or considering bankruptcy,ERMU may take appropriate action to secure payment of previous and present charges for services. Such action may include obtaining an adequate security deposit,collecting payment on a weekly basis or other such actions as may be deemed necessary and reasonable under the circumstances. B)ERMU may provide a list of unpaid fees,charges and costs charged to a property and unpaid for 30 days after the due date to the City Clerk with a request that the unpaid amounts be certified by the City Clerk to the County for collection with real estate taxes,as authorized by Minnesota Statutes and the City of Elk River Code of Ordinances. Adopted November 12,2002 Revised July 13,2010 Revised October 8,2013 Revised June 14,2016 Revised November 14,2017 Revised May 8,2018 Revised July 10,2018 Revised February 12,2019 39 Elk River Municipal Utilities 2019 Utilities Fee Schedule ELECTRIC New Residential Electric Connection-Developer-Lot with ERMU water service $475.00 New Residential Electric Connection-Developer-Lot without ERMU water service $575.00 New Residential Electric Connection-Builder $875.00 New Wire Footages over 200'(per foot) $4.00 New Service Frost Trenching(per foot) $5.00 New Commercial&Industrial Electric Connection 50% Service Upgrades or Additions for Existing Customers 100% Minimum Temporary Electric Service Fee-Existing Transformer $150.00 Minimum Temporary Electric Service Fee-Without Existing Transformer $500.00 Street Light-30'Decorative Pole with 6'Arm and Fixture $1,850.00 Street Light-23'Decorative Pole with Traditionaire Fixture $1,500.00 Security Light-Wood Pole with Fixture $975.00 Security Light-Existing Pole $125.00 Pole Attachment Fee(per pole) $6.50 Manual Meter Reading Fee(per month) $10.00 WATER Water Access Charge=Water Connection Charge+Water Availability Charge $3,764.00 Water Connection Charge(Per Plumbing Unit)-Builder $3,396.00 Water Availability Charge(Per Plumbing Unit)-Developer $368.00 Abandoned Water Service $2,500.00 Hydrant Water Sales-Rental(per week) $50.00 Hydrant Water Sales-Units(per 1000 gallons) $4.00 Deposit for 5/8"Hydrant Meter $150.00 Deposit for 2 1/2"Hydrant Meter $1,000.00 Private Hydrant Maintenance Program Monthly Fee $5.00 Manual Meter Reading Fee(per month) $10.00 ADMINISTRATIVE Administrative Fee for Continued Submission of Checks After No-Check Notice Given $20.00 Billable Cost of Materials Markup 15% Billable Labor Markup 55% Billable Vehicle/Equipment(per employee per hour) $30.00 Commerical Application Fee $20.00 Electric Service Disconnect/Trip Fee-Meter Technician $50.00 Electric Service Disconnect/Trip Fee-Line Crew $150.00 Water Service Disconnect/Trip Fee-Water Operator $100.00 Energy Audit $150.00 Meter Tampering Fee $250.00 Meter Testing Fee $50.00 NSF Fee $20.00 Penalty Amount 10% Photocopies(per page) $0.25 Red Tag Handling Fee $20.00 Watcr Shut Off Fcc $ 0 Adopted by the Utilities Commission on November 13,2018 under authority per Minnesota Statute 412.361-amended February 12,2019 40