Texas Administrative Code
Title 16 - ECONOMIC REGULATION
Part 2 - PUBLIC UTILITY COMMISSION OF TEXAS
Chapter 26 - SUBSTANTIVE RULES APPLICABLE TO TELECOMMUNICATIONS SERVICE PROVIDERS
Subchapter B - CUSTOMER SERVICE AND PROTECTION
Section 26.27 - Bill Payment and Adjustments
Universal Citation: 16 TX Admin Code § 26.27
Current through Reg. 50, No. 13; March 28, 2025
(a) Dominant certificated telecommunications utility (DCTU).
(1) Bill due date. The bill provided to the
customer shall include the payment due date, which shall not be less than 16
days after issuance.
(A) The issuance date is
the postmark date on the envelope containing the bill or the issuance date on
the bill if there is no postmark or envelope.
(B) Payment for service is delinquent if not
received at the DCTU or at the DCTU's authorized payment agency by close of
business on the due date.
(C) If
the sixteenth day falls on a holiday or weekend, then the due date shall be the
next work day after the sixteenth day.
(2) Penalty on delinquent bills for retail
service. A DCTU providing any service to the state, including service to an
agency in any branch of government, shall not assess a fee, penalty, interest,
or other charge to the state for delinquent payment of a bill.
(3) Billing adjustments.
(A) Service interruptions. In the event a
customer's service is interrupted other than by the negligence or willful act
of the customer, and it remains interrupted for 24 hours or longer after being
reported and after access to the premises is made available, an appropriate
refund shall be made to the customer.
(i) The
amount of refund shall be:
(I) determined on
the basis of the known period of interruption, generally beginning from the
time the service interruption is first reported; and
(II) the refund to the customer shall be the
proportionate part of the month's flat rate charges for the period of days and
that portion of the service facilities rendered useless or
inoperative.
(ii) The
refund may be made by a credit on a subsequent bill.
(B) Overbilling. If charges are found to be
higher than authorized by the DCTU's tariffs or the terms and conditions of
service, an appropriate refund shall be made to the customer.
(i) The refund shall be made for the entire
period of the overbilling.
(ii) If
the overbilling is corrected within three billing cycles of the initial bill in
error, interest is not required to be paid on the overcharge.
(iii) If the overbilling is not corrected
within three billing cycles of the initial bill in error, interest shall be
paid on the amount of the overcharges. The minimum interest to be paid shall be
based on the rate set by the commission on or before December 1 of the
preceding calendar year, compounded monthly, and accruing from the date of
payment or the initial date of the bill in error.
(iv) The refund may be made by a credit on a
subsequent bill, unless the customer requests otherwise.
(C) Underbilling. If charges are found to be
lower than authorized by the DCTU's tariffs or terms and conditions of service,
or if the DCTU failed to bill the customer for service, then:
(i) The customer may be backbilled for the
amount that was underbilled for no more than six months from the date the error
was discovered unless underbilling is a result of theft of service by the
customer.
(ii) Service may be
disconnected if the customer fails to pay charges arising from an
underbilling.
(iii) If the
underbilling is $50 or more, the DCTU shall offer the customer a deferred
payment plan option for the same length of time as that of the underbilling. A
deferred payment plan need not be offered to a customer whose underpayment is
due to theft of service.
(iv)
Interest on underbilled amounts shall:
(I)
not be charged unless such amounts are found to be the result of theft of
service by the customer; and
(II)
not exceed an amount based on the rate set by the commission on or before
December 1 of the preceding calendar year, compounded monthly, and accruing
from the day the customer is found to have first tampered with, bypassed, or
diverted service.
(4) Disputed bills. If there is a dispute
between a customer and a DCTU about any bill for DCTU service, the DCTU shall:
(A) investigate and report the results to the
customer; and
(B) inform the
customer of the complaint procedures of the commission in accordance with
§
26.30 of this title (relating to
Complaints), if the dispute is not resolved.
(5) Notice of alternative payment programs or
payment assistance. When a customer contacts a DCTU and indicates inability to
pay a bill or need of assistance with payment, the DCTU shall inform the
customer of all alternative payment options and payment assistance programs
available from the DCTU, such as payment arrangements, deferred payment plans,
and disconnection moratoriums for the ill, as applicable, and of the
eligibility requirements and application procedure for each.
(6) Payment arrangement. A payment
arrangement is any agreement between the DCTU and a customer that allows the
customer to pay the outstanding bill after its due date but before the due date
of the next bill.
(A) A payment arrangement
may be established in person or by telephone.
(B) If the DCTU issued a suspension or
disconnection notice before the payment arrangement was made, that suspension
or disconnection shall be suspended until after the due date for the payment
arrangement.
(C) If a customer does
not fulfill the obligations of the payment arrangement, the DCTU may suspend or
disconnect service after the later of the due date for the payment arrangement
or the suspension or disconnection date indicated in the notice in accordance
with §
26.28 of this title (relating to
Suspension or Disconnection of Service), without issuing an additional
notice.
(7) Deferred
payment plan. A deferred payment plan is any written agreement between the DCTU
and a customer that allows a customer to pay an outstanding bill in
installments that extend beyond the due date of the next bill.
(A) The terms of a deferred payment plan may
be established in person or by telephone, but must be put in writing to be
effective.
(B) The DCTU shall offer
a deferred payment plan to any residential customer, including a guarantor of
any residential customer, who has expressed an inability to pay all of the
bill, if that customer has not been issued more than two suspension or
disconnection notices during the preceding 12 months.
(C) Every deferred payment plan shall provide
that the delinquent amount may be paid in equal installments over at least
three billing cycles.
(D) When a
residential customer has received service from its current DCTU for less than
three months, the DCTU is not required to offer a deferred payment plan if the
residential customer lacks:
(i) sufficient
credit; or
(ii) a satisfactory
history of payment for service from a previous DCTU.
(E) Every deferred payment plan offered by a
DCTU:
(i) shall state, immediately preceding
the space provided for the customer's signature and in boldface type no smaller
than 14 point size, the following: "THIS IS A BINDING CONTRACT" followed by "If
you are not satisfied with this contract, or if agreement was made by telephone
and you feel this contract does not reflect your understanding of that
agreement, contact the utility immediately and do not sign this contract. If
you do not contact the utility, or if you sign this agreement, you may give up
your right to dispute the amount due under the agreement except for the
utility's failure or refusal to comply with the terms of this agreement."
(I) In addition, if the customer and the DCTU
representative or agent meet in person, the DCTU representative shall read the
preceding statement to the customer.
(II) The DCTU shall provide information to
the customer as necessary in accordance with §
26.26 of this title (relating to
Foreign Language Requirements) to make the preceding statement understandable
to the customer;
(ii)
may include a 5.0% penalty for late payment but shall not include a finance
charge;
(iii) shall state the
length of time covered by the plan;
(iv) shall state the total amount to be
paid;
(v) shall state the specific
amount of each installment;
(vi)
shall allow the DCTU to disconnect service if a customer does not fulfill the
terms of the deferred payment plan;
(vii) shall not refuse a customer
participation in such a program on the basis of race, nationality, religion,
color, sex, marital status, income level, or source of income and shall not
unreasonably refuse a customer participation in such a program on the basis of
geographic location;
(viii) shall
be signed by the customer and a copy of the signed plan shall be provided to
the customer; and
(ix) shall allow
either the customer or the DCTU to renegotiate the deferred payment plan, if
the customer's economic or financial circumstances change substantially during
the time of the plan.
(F) A DCTU may disconnect a customer who does
not meet the terms of a deferred payment plan.
(i) The DCTU may not disconnect service until
a disconnection notice in accordance with §
26.28 of this title has been
issued to the customer indicating that the customer has not met the terms of
the plan.
(ii) The DCTU may
renegotiate the deferred payment plan agreement before disconnection.
(iii) No additional notice is required if the
customer:
(I) did not sign the deferred
payment plan;
(II) is not otherwise
fulfilling the terms of the plan; and
(III) was previously provided a disconnection
notice for the outstanding amount.
(8) Residential partial payments. Residential
service payment shall first be allocated to basic local telecommunications
service.
(b) Nondominant certificated telecommunications utility (NCTU).
(1) Application: Only paragraphs (3), (5) and
(6) of this subsection apply to a deregulated company holding a certificate of
operating authority or to an exempt carrier under PURA §52.154.
(2) Bill due date. The bill provided to the
customer shall include the payment due date, which shall not be less than 16
days after issuance.
(A) The issuance date is
the postmark date on the envelope containing the bill or the issuance date on
the bill if there is no postmark or envelope.
(B) Payment for service is delinquent if not
received at the NCTU or at the NCTU's authorized payment agency by close of
business on the due date.
(C) If
the sixteenth day falls on a holiday or weekend, then the due date shall be the
next work day after the sixteenth day.
(D) If the due date shown on the bill falls
on a holiday or weekend, an NCTU shall include a statement on the bill or in
the terms and conditions of service that informs the customer that the due date
is extended to the next work day.
(3) Penalty on delinquent bills for retail
service. An NCTU providing any service to the state, including service to an
agency in any branch of government, shall not assess a fee, penalty, interest,
or other charge to the state for delinquent payment of a bill.
(4) Billing adjustments.
(A) Overbilling. If charges are higher than
the NCTU's tariff, schedule, or price list terms and conditions of service, or
a customer-specific contract, an appropriate refund shall be made to the
customer:
(i) The refund shall be made for
the entire period of the overbilling.
(ii) If the overbilling is corrected within
three billing cycles of the initial bill in error, interest is not required to
be paid on the overcharge.
(iii) If
the overbilling is not corrected within three billing cycles of the initial
bill in error, interest shall be paid on the amount of the overcharges. The
minimum interest to be paid shall be based on the rate set by the commission on
or before December 1 of the preceding calendar year, compounded monthly, and
accruing from the date of payment or the initial date of the bill in
error.
(iv) The refund may be made
by a credit on a subsequent bill, unless the customer requests
otherwise.
(B)
Underbilling. If charges are found to be lower than authorized by the NCTU's
tariff, schedule, or price list, terms and conditions of service, or a
customer-specific contract, or if the NCTU failed to bill the customer for
service, then:
(i) The customer may be
backbilled for the amount that was underbilled for no more than six months from
the date the initial error was discovered unless underbilling is a result of
theft of service by the customer.
(ii) Service may be disconnected if the
customer fails to pay charges arising from an underbilling.
(iii) If the underbilling is $50 or more, the
NCTU shall offer the customer a payment plan option for the same length of time
as that of the underbilling. A payment plan need not be offered to a customer
whose underpayment is due to theft of service.
(iv) Interest on underbilled amounts shall:
(I) not be charged unless such amounts are
found to be the result of theft of service by the customer; and
(II) not exceed an amount based on the rate
set by the commission on or before December 1 of the preceding calendar year,
compounded monthly, and accruing from the day the customer is found to have
first tampered with, bypassed, or diverted service.
(5) Disputed bills. If
there is a dispute between a customer and an NCTU about any bill for NCTU
service, the NCTU shall:
(A) investigate and
report the results to the customer; and
(B) inform the customer of the complaint
procedures of the commission in accordance with §
26.30 of this title if the dispute
is not resolved.
(6)
Notice of alternative payment programs or payment assistance. When a customer
contacts an NCTU and indicates inability to pay a bill or need of assistance
with payment, the NCTU shall inform the customer of any alternative payment
options and payment assistance programs available to the customer.
(7) Residential partial payments. Residential
service payment shall first be allocated to basic local telecommunications
service.
(c) NCTU implementation. NCTUs shall implement this section no later than March 1, 2001.
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