New applicant deposits
There is no cash deposit required for a new applicant if the applicant satisfies the following criteria:
Applicant has been a customer of any utility within the last two years, owes no outstanding bills for service rendered by any such utility, did not have during the last twelve consecutive twelve months that the service was provided more than two bills which were delinquent to any utility or, if service has been rendered fora period of less than twelve months, has not had more than one delinquent bill in such a period, and within the last two years did not have a service disconnected by a utility for non-payment of a bill for services rendered by that utility.
An applicant who has not been a customer of a utility during the previous two years shall be deemed creditworthy if he or she meets any two of the following three criteria:
Applicant has been employed by his or her present employer for two years.The applicant has been employed by his or her present employer for less than two years but the applicant has been employed by only one other employer during the past two years.Applicant has been employed by the present employer for less than two years and has no previous employment due to having recently graduated from school, university, vocational program, or has recently been discharged from military service.
Applicant either owns or is buying his or her home, or is renting a home or an apartment and has occupied the premises for more than two years.
Applicant has credit cards, charge accounts, or has been extended credit by a bank or commercial concern, unless a credit check shows that the applicant has been in default on any such account more than twice within the last twelve months.
If the applicant fails to establish that he or she is creditworthy pursuant to the above criteria, the applicant may be required to make a reasonable cash deposit.
Such deposit shall not exceed 1/6 of the estimated annual cost of service to be rendered to the applicant.If a deposit is greater than $70.00, the utility shall advise the applicant or customer that he or she may pay such deposit in equal installments payments over a period of no less than eight weeks; service shall be connected upon receipt by the utility of the first such payment.
If the utility denies service or requires a cash deposit as a condition of providing service, then it must immediately notify the applicant in writing stating the precise facts upon which the utility based its decision and provide the applicant with an opportunity to rebut such facts and show other facts demonstrating his creditworthiness.
Present customer deposit
The following criteria require a present customer to make a cash deposit:
The customer has been mailed disconnect notices for two consecutive months or any three months within the preceding twelve month period, or when the service has been disconnected for non-payment.
The amount of such deposit may not exceed an amount equal to 1/6 of the expected annual billings for the customer at the address at which service is rendered.
In the event the required deposit is in excess of $70.00, the utility shall advise the customer that he or she may pay such deposit in equal installment payments over a period of up to eight weeks, except where such deposit is required as a result of a disconnection of non-payment, in which case full payment of the deposit may be required prior to reconnection.
Interest upon deposits
Deposits held more than twelve months shall earn interest from the date of deposit at a rate of 6 percent per annum or at such other rate of interest as the Commission may prescribe following a public hearing.
The deposit shall not earn interest after the date it is mailed or personally delivered to the customer, or otherwise lawfully disposed.
Refunds of deposits
Any deposit or accrued interest shall be refunded along with a statement accounting for each transaction involving the deposit and interest, without request by the customer, upon satisfactory payment by the customer for a period of either nine successive months or ten out of any twelve consecutive months; provided that the customer did not make late payments for any two consecutive months, or upon the customer demonstrating his creditworthiness.
Following customer requested termination of service, the utility shall apply the deposit plus accrued interest to the final bill or upon specific request from the customer, the utility shall refund the deposit plus accrued interest within fifteen days after payment of the final bill.
A deposit may be used by the utility to cover any unpaid balance following disconnection.