HomeMy WebLinkAbout03 - Continuous Utility Service AgreementsCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item No. 3
May 9, 2006
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Administrative Services Department
Glen Everroad, Revenue Manager, 644 -3141
everroad @city.newport- beach.ca.us
SUBJECT: Continuous Utility Service Agreements
ISSUE:
Should the City provide an option for property owners to maintain utility services
following the close of service by a tenant?
RECOMMENDATION:
Staff recommends Council introduce the
Section 14.12.140 authorizing continuous
customers.
DISCUSSION:
proposed amendments to Municipal Code
service agreements for water and sewer
Newport Beach Municipal Code Section 14.12.140 provides that when a water utility
customer requests to discontinue water service the City shall read the meter, provide
the customer a closing bill and shut off water to the premises. Section 14.12.085
requires an application for water service be submitted by a new customer and a fee
($35) for establishing water service in a new customer's name. This section also
provides that property owners are responsible for all water charges at their premises.
The City processes an average of 250 requests for water service discontinuance each
month. The majority of these requests are made by tenants vacating the premises. In
order to meet Municipal Code requirements, property owners desirous of maintaining
water service between tenants (for landscape, cleaning, etc.) must complete an
application and pay the establishment fee.
Continuous Service Agreement
May 9, 2006
Page 2
Other utilities (e.g. gas & electric service) have developed "continuous service
agreements ", executed with property owners, which authorize the utility to put the
service in the name of the property owner upon a tenant's notice to discontinue service.
The Revenue Division and City Attorney's Office have developed a form agreement to
provide continuous water and sewer service.
The proposed ordinance revisions would authorize the execution of a continuous
service agreement between the City and property owners. Utilities has reviewed and
approved the proposed changes.
Environmental Review:
None required
Public Notice:
Notice of the ordinance
Alternatives:
Council may elect to not amend Municipal Code to authorize continuous service
agreements.
Prepared by: Submitted by:
Axe x�j
Glen'E r bad / Revenue Manager
Attachments: Proposed Ordinance
Dennis Danner / Administrative Services
Director
ORDINANCE NO. 2006-
AN ORDINANCE OF THE CITY COUNCIL Of= THE
CITY OF NEWPORT BEACH AMENDING SECTIONS
14.12.085 and 14.12.140 OF TITLE 14 OF THE
NEWPORT BEACH MUNICIPAL CODE,
PERTAINING TO WATER RATES AND CHARGES
NOW THEREFORE, the City Council of the City of Newport Beach, California,
HEREBY ORDAINS as follows:
SECTION 1: Section 14.12.085 of Chapter 14.12 is amended to read as follows:
14.12.085 Establishing Service.
A. When establishing an account the customer shall pay a fee of thirty -five
dollars ($35.00) to establish water service in the customer's name at the
property. The fee shall be payable upon application for water service.
B. An application for water service, as provided by the Revenue Division of
the Administrative Services Department, shall be used for the purpose of
establishing water service into a new customer's name. Property owners
may enter into a continuous service agreement which will authorize the
transfer of water service into the name of the property owner upon a
tenant's notice to discontinue service. Property owners shall be
responsible for all water service charges at their premises. Water service
will not be established in the name of a customer other than the property
owner without the written authorization of the owner, or the owner's
authorized representative.
C. Upon application and payment of an establishment fee, the water will be
turned on_
D. A customer's newly established service may be discontinued for
nonpayment of a bill for services previously rendered to the customer at
any location served by the City provided such bill is riot paid within fifteen
(15) days after mailing of a notice of discontinuance of water service
stating that present service will be discontinued for nonpayment of such
bill for prior service.
SECTION 2: Section 14.12.140 of Chapter 14.12 is amended to read as follows:
14.12.140 Customer Request for Service Discontinuance.
A. Whenever a customer desires to discontinue service, the customer shall
give not less than two working days (forty -eight (48) hours) written notice
thereof to the Revenue Division of the Administrative Services
Department.
B. In accordance with such notice, the City shall read the water meter,
prepare a closing statement of all unpaid bills for water furnished by the
City to the customer up to that time and unless a current continuous
service agreement with the property owner is in place, shut off the water to
the premises. If the customer has a deposit with the City, the
Administrative Services Department will return the balance, after
deducting any unpaid charges.
SECTION 3: If any section, subsection, sentence, clause or phrase of this
ordinance is, for any reason, held to be invalid or unconstitutional, such decision
shall not affect the validity or constitutionality of the remaining portions of this
ordinance. The City Council hereby declares that it would have passed this
ordinance, and each section, subsection, clause or phrase hereof, irrespective of
the fact that any one or more sections, subsections, sentences, clauses and
phrases be declared unconstitutional.
SECTION 4: The Mayor shall sign and the City Clerk shall attest to the passage of
this ordinance. The City Clerk shall cause the same to be published once in the
official newspaper of the City, and it shall be effective thirty (30) days after its
adoption.
SECTION 5: This ordinance was introduced at a regular meeting of the City
Council of the City of Newport Beach, held on the _ day of 2006,
and adopted on the _ day of 2006, by the following vote, to wit:
AYES, COUNCILMEMBERS
NOES, COUNCILMEMBERS
ABSENT COUNCILMEMBERS
ZINTSTO
ATTEST:
CITY CLERK
FAus ers\cat\s h a red\da\sh a red\O rd in a nce\ 14.12. doc
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