Current through Register Vol. 48, No. 52, December 27, 2024
a
Intent: With the understanding that a utility and its customers must deal in
good faith with each other, this Section defines the process by which a utility
may protect itself and its ratepayers from persons seeking to use a pattern of
action to avoid payment for service used at a specific service
location.
b Conditions: Payment
avoidance by location (PAL) applies only when all the following conditions
occur:
1 a utility receives a new application
for service at a service location;
2 a former customer who was disconnected for
non-payment at the same service location still resides at the service location;
and
3 the utility has proof that
the new applicant for service also occupied the service location during the
time the previous customer's debt accrued.
c Exemption: Payment avoidance by location
shall not include new owners and/or new tenants at a service
location.
d Notification of PAL:
When a utility can demonstrate with evidence that a pattern of payment
avoidance is occurring by a person or persons at a location, in order to invoke
the protections of this Section, it shall provide the following notice:
1 The utility shall notify the person of the
PAL allegation using the same method of contact by which that person contacted
the utility.
2 The utility shall
notify the person of the PAL allegation in writing. The written notification
may be sent electronically if agreed upon by the utility and the person
receiving the notification.
3 The
notice shall be sent no later than two business days after the utility's
decision to invoke the protections available to it under this
Section.
4 The notice shall contain
a detailed description of the problem and the facts and evidence that the
utility has to support the PAL allegation.
5 The notice shall contain an explanation of
the steps that the person must take in order to dispute or remedy the
problem.
6 The notice shall contain
the toll free number and contact information for the utility and the toll free
number and contact information for the Commission's Consumer Services
Division.
7 A duplicate copy of the
notice shall be sent to the Commission's Consumer Services Division at the same
time it is sent to the person.
e Deposit: When a utility has proof that PAL
is occurring, it may require the applicant to provide a deposit under the
following conditions:
1 A deposit required
under this Section shall be equal to 1/3 of the estimated annual charges for
the premises.
2 The utility may
require payment of the deposit in full prior to service.
3 The deposit shall earn interest as
described in Section
280.40.
4 The deposit plus interest shall be refunded
as described in Section 280.40.
f Burden of Proof: It shall be the sole
responsibility of the utility to prove with evidence that PAL has occurred. The
person accused of PAL shall have the right to the full evidence possessed by
the utility and the opportunity to present information to refute the
allegations.
g Data Collection and
Maintenance: A utility that includes this Section as part of its practices
shall collect the following data on a monthly basis and maintain the data for
two years following its collection. The utility shall make the data available
to Commission Staff within 30 days after a request from Staff:
1 The total number of instances in which the
utility alleged that PAL occurred;
2 The total number of PAL instances in which
the utility denied service;
3 The
total number of PAL instances in which the utility required a deposit to begin
service;
4 The total number of PAL
instances in which the person successfully refuted the utility's evidence of
PAL;
5 The total number of PAL
instances in which the utility discovered that its evidence was inaccurate;
and
6 The total number of PAL
instances in which the person remedied the problem by payment of the arrearage
accrued for disconnection of the previous customer.
