§ 20-32. Minimum advanced security payment; meter rate; service charges; consumption charges; minimum use; interest on minimum advanced security payment.  


Latest version.
  • (a)

    Advanced security payments, base rates and conservation rates for consumption charges for use of the city's water system for services within the city's service area shall be established and amended by resolution adopted by the city council. A base rate for consumption charges shall be established along with a conservation rate for gallons exceeding the base. The rates set forth in the resolution adopted by the city council shall not apply to or in any way limit pass-through charges for water consumption as said charges are defined below.

    The city will require a real estate settlement statement, warranty deed or property tax bill as proof of ownership from utility customers claiming ownership status.

    The minimum charge per month for water shall be the amount of the service delivery charge plus the consumption charge for the first one thousand (1,000) gallons times the number of units. The service delivery charge for a nonresidential master meter account (meter serving more than one (1) unit) shall be computed at the five-eighths ( 5/8 ) by three-quarters (¾) size rate times the total number of units served.

    (b)

    The increase or decrease in the charges for the consumption of water within the city's service area shall automatically pass-through to the customers on a cent-for-cent basis equal to the adjustment charged to the city by the City of Daytona Beach.

    The additional charge levied under this section shall be known as a pass-through charge. In determining whether a proposed increase is an increase to the base rate or a pass-through charge, the following definitions shall apply:

    Base rate charge shall be the rate established in the schedule above.

    Pass-through charge shall be equal to the amount of any increase or decrease in the contract rate for water charged to the city by the City of Daytona Beach pursuant to the contract providing for rendition of water and sewer treatment service between the City of Daytona Beach and the City of South Daytona, executed June 1, 1994, as amended. The pass-through charges shall be automatically billed to the customers on a cent for cent basis equal to the adjustment from Daytona Beach, which includes both the true-up to actual cost for the previous year and the projected rate from for the next year. The adjustment shall automatically occur on June 1, 2008 and automatically on the same date each year thereafter without action by the city council. Beginning June 1, 2008, the pass-through of the Daytona Beach adjustment shall be identified separately on each customer's bill and shall be adjusted annually based on the pass-through charge from Daytona Beach. Pass-through adjustments shall be rounded to the nearest cent.

    (c)

    The city council hereby authorizes an annual adjustment to the water service delivery charge, the minimum charge for the first one thousand (1,000) gallons or part thereof and the consumption charges equal to the Consumer Price Index (CPI) for the Southeast Region For All Consumer Goods as published by the U.S. Bureau of Labor and Statistics for the twelve (12) months ending on the March 31 prior to the effective date of the annual increase. The annual CPI increase will first go into effect on June 1, 2003 and shall be automatically adjusted annually on the same date without further action of the city council. Beginning June 1, 2008, the Daytona Beach pass-through charge shall be a separate line item on the customer's bill and the CPI adjustment shall not be applied to this pass-through charge. The CPI adjustment shall be applied to the base rate as of June 1, 2007, as adjusted in the future.

    (d)

    The city shall, at all times, maintain and collect rates and charges for water distribution and sewage treatment at least equal to the rates charged by the City of Daytona Beach.

    (1)

    The minimum advanced security payment for meters shall be subject to periodic evaluation by the city. Water bills for accounts which have been disconnected for nonpayment two (2) times in any twelve-calendar-month period shall be subject to such evaluation. If the minimum advanced security payment of any of these accounts is less than the average uncollected balance for the six-month period preceding the evaluation, an additional minimum advanced security deposit payment shall be required for the account before reconnection. The amount of the minimum advanced security payment plus the additional minimum advanced security payment shall be equal to the amount of the average of the three (3) months with the highest uncollected balance during the six-month evaluation period.

    (2)

    Minimum advanced security payments on any account, regardless of meter size, shall not be transferable to another person or party, with the exception of a spouse, sibling or child.

    (3)

    If a person desires to relocate within the city, and the current utility account is in good standing, the deposit may be transferred to the new location.

    (4)

    In the event that the property is a rental or lease property, regardless of the number of units or whether the property is residential or commercial, and the rental property is determined to be a problem property as defined below, the city may require all future utility accounts for all rental property of the owner in the city to be in the owner's name without reference to or acknowledgement of the tenant. An owner may request the problem property designation be removed, thereby allowing future tenants to put utility accounts in the tenants' name, if there are no accounts shutoff for non-payment in any of the owner's rental properties in the city for a period of up to two (2) years. In the event that utility service to a property is discontinued for any reason, service shall not be restored to the property until all delinquent and current charges are paid except as required by F.S. § 180.135 (1988).

    (5)

    A problem property is hereby defined as a rental property or complex at which utility service has been discontinued for non-payment during a twelve-month period a number of times exceeding five (5) per cent of the total potential complex, but in no event shall the number of terminations be less than two (2) times during a twelve-month period. For example, a rental property with one hundred (100) rental units shall be deemed a problem property if there are six (6) or more utility account terminations for non-payment during a twelve-month period.

    (6)

    If an account becomes delinquent due to non-payment on an account not in the owner's name, the owner of that property shall be notified of potential discontinuation of utility service in a timely manner. Tenants shall consent in writing to the city providing this notice to the property owner when the account becomes delinquent and to share the tenant's payment history to third parties upon request.

    (7)

    A person providing an advanced security payment for a property not in their name shall provide the city with lease agreement documentation in order to establish proof of residency and the need for utility service in their name.

    (e)

    Each multifamily rental property in the city will have a one-time minimum advanced security payment not assigned to any specific meter. Such minimum advanced security payment shall be reviewed periodically, and appropriate adjustments will be made in the amount required, but in no case will the minimum advanced security payment amount to less than one hundred dollars ($100.00).

    (f)

    The rental property management will notify the city when they wish to have utilities provided to a vacant residential unit for cleaning purposes. The rental property management or owner will be billed for water and sewer used, but in no case will the amount be less than the minimum billing for one (1) month.

    (g)

    Interest on advanced security payments will be calculated at the end of each month for all accounts with deposits on file. The interest rate shall be based on the average annual interest rate of return used by the state board of administration for the most recent twelve (12) months ending July 31st. The interest shall be calculated as simple interest and there will be no daily prorating of interest. During the September billing cycles the interest that has accrued through the end of August will be applied to customers' accounts in the form of a credit against the billing. When a customer account is final prior to the September billing and the security deposit is refunded, all calculated interest on the account, as provided above, shall be applied as a reduction on the final bill of the respective utility account.

    (h)

    Residential properties located within the city limits that are not connected to the city's water supply system shall pay a minimum security deposit in the amount of forty dollars ($40.00) for stormwater utility fee and refuse collection.

(Ord. No. 86-22, § 1, 9-16-86; Ord. No. 88-04, 4-12-88; Ord. No. 89-24, 9-13-89; Ord. No. 90-14, § 1, 6-26-90; Ord. No. 91-03, § 1, 5-14-91; Ord. No. 95-05, § 1, 4-25-95; Ord. No. 95-24, § 1, 11-14-95; Ord. No. 96-03, § 1, 3-26-96; Ord. No. 96-21, § 1, 11-12-96; Ord. No. 99-06, § 1, 5-11-99; Ord. No. 02-02, § 1, 4-9-02; Ord. No. 02-13, § 1, 9-9-02; Ord. No. 08-05, § 1, 4-8-08; Ord. No. 13-11, § 1, 11-12-13)