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Exh 7BAGENDA ITEM #7B JANUARY 14, 2002 AGENDA ITEM: CITY OF ATLANTIC BEACH CITY COMMISSION STAFF REPORT First reading of Ordinance 80-O1-64 amending chapter 22 of the code of ordinances of the City of Atlantic Beach Florida. SUBMTTTED BY: Nelson Van Liere, Finance Duector DATE: December 3, 2001 BACKGROUND: As was reported at an earlier Commission lVleeting, the City currently has no authority to make special arrangements for customers regarding the payment of utility bills. Several other utilities have policies on adjustments, waivers and extensions with certain criteria for approval. In the past the only adjustments the City could make were those that were made to correct an error on the part of the City. The changes recommended give the authority to the City to approve adjustments, waivers or extensions under certain circumstances. The changes also give the authority to make special arrangements for the customers demonstrating that paying their utility bills on time creates a hardship, as may be the case with a customer on a fixed income. Also included in this code revision is a change in the requirement for the City to enter into an annual agreement with a social service agency to administer the "Atlantic Beach Cares" program. Instead, the Staff would prefer an on-EOing co~rtract with a provision whereby either party can cancel the agreement upon athirty-day written notice to the other. BUDGET The cost to implement these changes should be insignificant to the budget. RECOMMENDATION: Approve ordinance 80-O1-64 amending Chapter 22 ofthe City of Atlantic Beach Code of Ordinances. - i~ AGENDA ITEM #7B JANUARY 14, 2002 ORDINANCE NO. 80-01-64 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 22 UTILITIES, ARTICLE I, IN GENERAL; SECTION 22-3 VOLUNTARY COLLECTION PROGRAMfTRUST FUND TO ASSIST NEEDY WITH UTILITY BILLS, CHANGING REQUII2EMENTS ON THE CONTRACT FOR SERVICES; AMENDING SECTION 22- 4, AUTHORITY TO ADNST CHARGES IN APPROPRIATE CASES, ADDING .PROVISIONS TO EXTEND DUE DATES AND WAIVE PENALTY CHARGES IN APPROPRIATE CASES, UNDER CERTAIN CII2CUMSTANCES, AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City currently has an existing utility paymenf assistance program called "Atlantic Beach Cares" being administered by anot-for-profit agency by an annual contract, and WHEREAS,. the City finds it unnecessary to enter into a new contract annually and would prefer to enter into an on-going contract with a provision for cancellation by either party upon an advance 30-day written notification. WHEREAS, the City recognizes that from time to time circumstances arise that aze beyond the control of our customers causing them to be late in the payment of their utility bills. WHEREAS; it is not the intention of the City to create or add to circumstances that create a hazdship for any of its utility customers. WHEREAS; in the current code, no authorization exists allowing the city manager to waive or extend deadlines except in those circumstances involving some error on the part of the City. .WHEREAS; in order to accommodate customers with special needs, the granting of authority to the city manager to adjust due dates and charges under certain circumstances is necessary. WHEREAS; the requirements may include the customer signing a statement attesting to income limitations that create a hardship and presenting other evidence acceptable to the city manager as justification for special-consideration. WHEREAS; the City will considef all requests for special consideration and approve or deny them as deemed appropriate by the city manager. NOW, THEREFORE, BE IT ENACTED BY THE CITY COMMISSION ON BEHALF OF THE PEOPLE OF THE CTI'Y OF A TLANTIC BEACH, FLORIDA, that; AGENDA ITEM #7S JANUARY 14, 2002 1. Section 22-3 of the Code of Ordinances of the City of Atlantic Beach, Florida is hereby amended to read as follows: Sec. 22-3. Voluntary Collection Prograzrt~uxd to assist needy with utility bills. The director of finance shall ^°* ••~ ^ '~•^' a...a °^^'• ~°^^' ^°^~ *^ accept voluntary donations to be used to assist the needy to pay city utility bills. The city manager and mayer are is authorized e^^w~°~^'7eaz to contract with tie a social service agency ivhe ' to administer the city's "Atlantic Beach Cazes" program of assistance. All guidelines for the program will be set forth in a contract with the administering agency, such contract . will include a cancellation provision whereby either party maXterminate the contract upon a 30-day advance written notice to the other. 2. Section 22-4 of the Code of Ordinances of the City of Atlantic Beach, Florida is hereby amended to read as follows: Sec. 22-4 Authority to adjust or waive charges in appropriate cases (a) Right to Dispute. Every utility customer shall have the right to have any disputed or believed erroneous billing reviewed by an employee of the finance department who is empowered to adjust such billings for overchazging or charging for services not rendered. The finance director shall designate such employees to hear customer disputes and adjust bills to rectify any error and shall make at least one (1) such employee available to customers during regular office hours and such other times as the finance director deems necessary and appropriate. (~} Authority to adjust or waive chazees. The adjustment. will be made in those cases where the complaints aze well founded and adjustments are appropriate . The city may waive or assess late fees and service chazges when there is a reasonable basis to believe that the fees or service chazges have been assessed or not assessed in error. The city may also waive late fees when it apgeazs that the customer has made a reasonable effort to deliver payment in a timely manner or when that payment was Late due to circumstances beyond the control ofthe customer. `I"-°~ ^ ^°^'°-~°- ~° ,~ the susterne~ AGENDA ITEM #7B JANUARY 14, 2002 services at anytime during the month without ~enahy. The extension however (e~~ Terms of adjustment. metering, incorrect application of rate schedule fees and chaz¢es, or a mistake in b~7ling or in the billing and collection process, the amount so determined may be credited or back billed to the customer. The. adjustment shall be accomplished over a period not to exceed six (6) months, unless otherwise. directed by the finance director or his authorized representative and so noted on the account. If meter malfunctions aze caused by tampering or customer- inflicted damage, the back-billed period may be extended to the maximum period allowed by state statute. 3. This ordinance shall take effect immediately upon its adoption. Passed by the City Commission on first reading this day of December, 2001. Passed by the City Commission on second and final reading this day of January, 2002. John S. Meserve Mayor /Presiding Officer Approved as to form and correctness: ATTEST:. Alan C. Jensen, Esquire Maureen King, CMC City Attorney City Clerk in the household. The customer must attest that the only household income received is that of social securit~or disability income or that the total income of the household is lower than an amount considered a on verty income level