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HomeMy WebLinkAboutOrdinance 409 - Utility Accounts, Rates and Providing for Collection of Delinquent ChargesCHAPTER IV – WATER & SEWER 409-0 ORDINANCE 409 UTILITY ACCOUNTS, RATES AND PROVIDING FOR COLLECTION OF DELINQUENT CHARGES .............................................................................................. 409-1 Section 409.01: PURPOSE AND POLICY ............................................................... 409-1 Section 409.02: DEFINITIONS...................................................................................... 409-1 Section 409.03: ACCOUNTS ......................................................................................... 409-1 Section 409.04: BILLING .............................................................................................. 409-1 Section 409.05: DISCONNECTION FOR NONPAYMENT ........................................ 409-2 Section 409.06: CERTIFICATION FOR COLLECTION WITH PROPERTY TAXES409-3 Section 409.07: DISCONNECTION OF CITY SERVICES-CUSTOMER REQUESTED .......................................................................................................................................... 409-4 Section 409.08: DISCONNECTION OF CITY WATER UTILITY-CITY DIRECTED .......................................................................................................................................... 409-4 Section 409.09: OTHER REMEDIES ............................................................................ 409-5 Section 409.10: SEVERABILITY AND VALIDITY .................................................... 409-5 CHAPTER IV – WATER & SEWER 409-1 ORDINANCE 409 UTILITY ACCOUNTS, RATES AND PROVIDING FOR COLLECTION OF DELINQUENT CHARGES Section 409.01. PURPOSE AND POLICY. The purpose of this Ordinance is to set and recover fees from users of the St. Joseph Utility System on an equitable basis to provide funds for the operation and maintenance, debt service, replacement and improvements to the Utility System operated by the City. Section 409.02. DEFINITIONS. Except as may otherwise be provide or clearly implied by context, all terms shall be given their commonly accepted definitions. For the purpose of this Ordinance, the following definitions shall apply unless the context clearly indicates or requires a different meaning. a. Account. A record of utility services used by each property and the periodic costs for those utility services. b. City. The City of St. Joseph County of Stearns, State of Minnesota c. City Utility System. Facilities used for providing public utility service owned or operated by the City or agency thereof, including sewer, street lighting, storm sewer, refuse and recycling, and water service. d. User. A property owner connected to the St. Joseph Utility System. e. Rural Residential User. A single-family residence in the 2019 annexation area zoned as rural residential whose neighborhood petitioned to join the City of St. Joseph’s refuse and recycling contracted services and allowed the rights and benefits of the contract. The Rural Residential User is not included in the other City of St. Joseph utilities until water and/or sewer services are extended to their properties. f. Utility Rate Schedule. A schedule of all utility rates and charges set by Ordinance, as Exhibit A, of the St. Joseph Code of Ordinances. Section 409.03. ACCOUNTS. All accounts shall be carried in the name of the property owner. The City shall not be responsible for sending utility statements to tenants. The property owner shall be liable for the sewer, street lighting, storm sewer, refuse and recycling, and water services whether he or she is occupying the property or not, and any unpaid charges shall be a lien upon the property. Section 409.04. BILLING. Street lighting, sewer, storm sewer, refuse and recycling, and water shall be billed on one bill as applicable to each account. All charges for street lighting, sewer, storm sewer, refuse and recycling, and water shall be due upon receipt and considered CHAPTER IV – WATER & SEWER 409-2 delinquent after the 15th day of the following month. If the 15th falls on a holiday or weekend, the first business day following the 15th is considered the due date of the bill. a. Bills shall be mailed to the customers bimonthly and shall specify the water consumed and the sewer, street lighting, refuse and recycling, and storm water charges in accordance with the current utility rate schedule. b. A late payment penalty as set out in the Utility Rate Schedule shall be assessed on all accounts with a past due balance greater than $4.99. An exception can be made for accounts with no penalty charges within the previous twelve (12) utility bills for the current owner and account. Penalties are only computed on service fees, not surcharges and taxes. Section 409.05. DISCONNECTION FOR NONPAYMENT. Water shall not be disconnected until notice and an opportunity for a hearing before the city council or an employee designated by the city council have been provided to the occupant and owner of the premises involved. a. If any bimonthly utility bill is not paid by the due date listed on the bill, a past due notice with a disconnection date will be mailed by first class mail to the property owner and shall state that if payment is not made within fifteen days of the mailing of the past due bill, water service to the premises will be disconnected for nonpayment. b. The past due bill and termination of service notice shall contain the address and telephone number of the official in charge of billing at city hall; the address and phone number shall be clearly visible and easily readable. c. The past due bill shall also state that any occupant or owner has the right to a hearing before the water service is disconnected. The owner or occupant may be represented in person and by counsel or any other person of his or her choosing. The owner or occupant may present orally or in writing his or her complaint to the city official in charge of utility billing. This official 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. d. If an occupant or owner request a hearing, the water shall not be disconnected or further penalized until the hearing process is complete. e. If a customer fails to pay and fails to request a hearing under this part, water service will be disconnected at the time specified in the notice, but not until the charges have been due and unpaid for at least 15 days. A notice of termination of services will be placed on the premise of the property by St. Joseph Public Works Department staff. The notice of termination must state the date water was terminated and the amount that is past due with the reconnection fee added to the account for the service address. The notice must contain information on how payments can be made to reconnect the water services and the address of where to make the payment. CHAPTER IV – WATER & SEWER 409-3 f. If the water service has been terminated for nonpayment, the occupant or owner must pay the reconnection fee as set out in the Utility Rate Schedule to reconnect the water services. In addition, if the owner or occupant requests to turn the water on after normal work hours, a two hour minimum call out for the maintenance staff to restore service will be charged in addition to the reconnection fee. Section 409.06. CERTIFICATION FOR COLLECTION WITH PROPERTY TAXES. Unpaid charges on utility accounts shall not be certified to the Stearns County Auditor until notice and an opportunity for a hearing have been provided to the owner of the premises involved. The notice shall be sent by first class mail and shall state that if payment is not made before the date of certification, the entire amount unpaid plus penalties will be certified to the Stearns County Auditor for collection as other property taxes are collected. The notice shall also state that the occupant may, before such certification date, attend or schedule a public hearing on the matter to object to the certification of unpaid utility charges. a. The owner of the property shall have the option of paying the balance due, including any and all penalties on the account until the certification date. After the certification date, payments will still be accepted until November 15 of the certification year and will include an assessment fee as identified in Appendix A of the St. Joseph Code of Ordinances. b. A hearing shall be held on the matter by the City Council. Property owners with unpaid utility charges shall have the opportunity to object to the certification of unpaid charges to be collected as property taxes are 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 property taxes in accordance with this ordinance, the City may certify the unpaid charges to the Stearns County Auditor for collection as other property taxes are collected. Additional penalties will not be charged on the past due balances once City Council determines the past due balances will be certified to the Stearns County Auditor. c. For each certification sustained, the property owner shall have the following options after the hearing: i. To pay the delinquent amount listed on the preliminary assessment roll, but without additional fees after the hearing, within thirty days of the hearing date. ii. To pay the certified delinquent amount thirty-one or more days after the hearing date, but before November 15 of the certification year, the past due balance plus the assessment fee as identified in Appendix A of the St. Joseph Code of Ordinances. CHAPTER IV – WATER & SEWER 409-4 iii. To pay the certified charges as billed to them the year following the certification year by the Stearns County Auditor on their property tax statement with a collection term of one year. d. Property owners may also request in writing to have unpaid balances certified to the Stearns County Auditor, waiving their right to a public hearing. The unpaid balances along with an assessment fee as identified in Appendix A of the St. Joseph Code of Ordinances will be certified to the Stearns County Auditor before November 15 and will be due and payable the following year at 0% interest rate with the property owner’s property taxes. Section 409.07. DISCONNECTION OF CITY SERVICES – CUSTOMER REQUESTED. Any City water service property owner desiring to discontinue the use of City water must make a request in writing to disconnect the service to city hall. The City staff will have the water service disconnected by authorized personnel. Refuse and recycling services may be suspended temporarily upon request in writing when a property is vacated the for an extended period of time greater than one month. a. No unauthorized person will disconnect the public water service. b. A fee, as identified in Appendix A of the St. Joseph Code of Ordinances, will be charged for disconnecting service. A separate fee will be charged for restoring services. c. Disconnection of water service shall not relieve the property owner from being billed for the minimum charges for all utilities available to the property as adopted by ordinance by the City Council. e. It is the property owner’s responsibility to inform City of St. Joseph staff of date changes for return dates, provide accurate contact information, and have a responsible adult available inside the property when water services are restored. Section 409.08. DISCONNECTION OF CITY WATER UTILITY – CITY DIRECTED. The Public Works Director, to protect the public health and safety and in order to protect the public water supply and/or private property, may order the City water service immediately disconnected to any property upon determining that any of the following conditions exist: a. The property is vacant; b. The property is unsecured; c. The property is determined to be uninhabitable or unsuitable for occupancy; d. Other utilities to the property providing heat and/or light have been shut off; e. The property has plumbing that is failing or unsafe; or CHAPTER IV – WATER & SEWER 409-5 f. That running water to the property create an unsanitary or unsafe condition to anyone who may enter the property. g. The property owner or occupant has refused access by authorized officials as authorized by this Section. Section 409.09. OTHER REMEDIES. In addition to any procedures or penalties provided for this ordinance if any person, firm or corporation fails to comply with any provision of this ordinance, the council or any city official designated by it may institute appropriate proceedings at law or at equity to procure payment and or enforce the provisions of this ordinance. Section 409.10. SEVERABILITY AND VALIDITY Subd. 1: If any section or subdivision of this ordinance shall be held invalid, the invalidity thereof shall not affect the validity of the other provisions of this ordinance, which shall continue in full force and effect. Subd. 2: This ordinance amendment shall be in full force and take effect from and after its passage and approval and publication as provide by law. New 07/2017 Amended 10/2024 Amended 06/2025