HomeMy WebLinkAbout1972-0815 - Ordinance - 04/24/1972ORDINANCE NO. 815
AN ORDINANCE PROVIDING FOR NEW REQUIREMENTS FOR DEPOSITS FOR UTILITY
F SERVICES; PROVIDING FOR REFUNDING DEPOSITS; PROVIDING A SAVINGS CLAUSE;
PROVIDING CATCHLINES; PROVIDING FOR REPEAL OF ORDINANCE NO. 36; AND PRO-
VIDING FOR AN EFFECTIVE DATE
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE STATION,
TEXAS:
SECTION I. Deposits Required for Electric and Water Utility Service.
Any person, firm or corporation desiring utility service from the City of College Station,
Texas, shall be required as a prerequisite for such service to furnish a utility security
deposit equal to the amounts outlined in this ordinance.
SECTION II. Classification of Consumers. The consumers who obtain electricity
from the power distributing system owned by this city, and /or water from the water
distribution lines owned by this city, and who use such utility service(s) for commercial
or dome stic purposes, shall be classed for purposes of determining the amount of ad-
vances or deposits as consumers of the following types.
A. Home - owners - consumers residing within the boundaries of the utility
distribution system of this city, who own their place of residence;
B. Tenants or non -home owners;
C. Contractors;
D. Commercial and Industrial Consumers;
E. Multiple - dwelling Complexes - where units are not individually metered
and where monthly kilowatt demand exceeds 15 kw;
F. Landlords or Agents - non - residents contracting for electric and /or
water service on a temporary basis.
SECTION III. Residential Service.
Item 1. Minimum Deposit Required. On and after the effective date of
this ordinance, classes A. and B. domestic consumers shall, as a condition for ob-
taining connections for electricity and /or water, or, of continuing such connections if
they have already been made, make a deposit with the City of College Station, in the
following minimum amount for each connection desired:
Minimum electric deposit - - -- $15. 00
Minimum water deposit - - - - -- $10.00
Item 2. Air Conditioning Load As Factor. An additional deposit shall be
required of domestic consumers requesting service where said connection makes available
to the consumer the extra load that would be required by use of air conditioning equipment.
The minimum additional deposit shall be $15.00.
Item 3. Class A. Domestic Consumers. Class A. domestic consumers
(home- owners residing within the boundaries of the utility distribution system of this
city), who present sufficient proof of a good- credit rating, may request permission to sub-
stitute an acceptable guarantee of payment in lieu of the cash deposit. The type of guarantee
to be made by Class A. consumers, shall be provided by the City of College Station and
shall be a standard form gtaranteeing payment to the city for all services rendered. A
record of failure to pay utility statements by the due date shall be deemed just cause to
' require a cash deposit instead of any other type of guarantee.
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Ordinance No. 815 Page 2
SECTION IV. Commercial and Industrial Consumers.
a Item 1. Deposit Required. On and after the effective date of this ordinance
an application for connection of electricity and /or water service for use in connection with
any business establishment or commercial enterprise, shall be granted only after a deposit
has been made with the city, in an amount sufficient to cover the estimated consumption of
electric current and /or water for an average eight weeks' period. The estimate of such
probable consumption shall be made by the Superintendent of Utilities, or his deputy.
Item 2. Provision for Posting A Bond. The cash deposit will not be exacted
from a Class D. consumer (commercial or industrial consumer) who presents a bond in
the amount of the deposit required of said consumer. To be acceptable to the City of
College Station, the bond must follow the standard form outlined in this Ordinance. All
bonds shall be renewed every two years. A consumer whose bond expires or is revoked,
shall be required to render the aforementioned cash deposit upon the date said bond
becomes ineffective.
Item 3. Connections May Not Be Furnished. In no event shall utility connections
be furnished to any Class D. consumer who has neither made a cash deposit nor posted an
acceptable bond.
SECTION V. Multiple - dwelling Complexes.
Item 1. Deposit Required. On and after the effective date of this ordinance
an application for connection of electricy and /or water service for use by a Class E. con-
sumer (a multiple - dwelling complex where housekeeping units are not individually metered),
shall be granted only after a deposit has been made with the City of College Station, in an
amount equal to the deposit schedule outlined in Section III, Items 1. and 2. , of this Ordinance,
times the number of housekeeping units in each multiple - dwelling complex.
Item 2. Provision for Posting a Bond. The cash deposit will not be exacted
from a Class E. consumer (multiple - dwelling complex) who presents a bond in the amount
of the deposit required of said consumer. To be acceptable to the City of College Station,
the bond must follow the standard form outlined in this Ordinance. All bonds shall be re-
newed every two years. A consumer whose bond expires or is revoked, shall be required
to render the aforementioned cash deposit upon the date said bond becomes ineffective.
Item 3. Connections May Not Be Furnished. In no event shall utility con-
nections be furnished to any Class E. consumer who has neither made a cash deposit nor
posted an acceptable bond.
SECTION VI. Contractors.
Item 1. Deposit Required. On and after the effective date of this Ordinance,
any Class C. consumer, including all contractors, as a condition for obtaining connections
for electricity and /or water, shall make a deposit with the City of College Station in an amount
sufficient to cover the estimated electricity and water which will be consumed during the
course of the construction being undertaken by the said contractor. The term "construction"
shall include the work performed upon any new or existing building, structure, cr street,
including additions to same, and remodeling, repairing, demolishing, etc... To determine
the amount of the deposit, the estimate of such probable consumption shall be made by
the Superintendent of Utilities, or his deputy. In no case shall a deposit be less than
$20. 00 (twenty dollars).
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Ordinance No. 815
Page 3
Item 2. Provision for Posting a Bond. The cash deposit will not be exacted
from a Class C. consumer (contractor) who presents a bond in the amount of the deposit
required of said consumer. To be acceptable to the City of College Station, the bond must
follow the standard form outlined in this Ordinance. All bonds must remain in force during
the time the contractor is performing his job within the boundaries Cf the utility distribution
system of this city, and for an additional sixty days after completion of the construction, to
allow for complete settlement of accounts.
Item 3. Connections May Not Be Furnished. In no event shall utility connection(s)
be furnished to any Class C. consumer who has neither made a cash deposit nor posted an ac-
ceptable bond.
SECTION VII. Landlords or Agents Desiring Temporary Service.
Item 1. Deposit Required. On and after the effective date of this Ordinance,
Class F. consumers shall, as a condition for obtaining connections for electricity and /or
water, or, of continuing such connections if they have already been made, make a deposit
with the City of College Station. The connections mentioned in Section VII of this Ordinance
are understood to be only temporary connections, as the service is to be used for purposes
of cleaning, repairing, painting, remodeling, or showing rental property, said service(s)
to be rendered to landlords who do not reside within the boundaries of the utility distribution
system of this city, or to the agent(s) therefor. The required deposit for each connection
desired shall be as follows:
Minimum electricity deposit - - -- $10.00
Minimum water deposit --------- $10. 00
SECTION VIII. Bonds and Guarantees.
Item 1. Form for Bond. Whenever a consumer contracts for service (s)
by presenting a bond instead of the customary cash deposit, as outlined in Sections IV.,
V., and VI. of this Ordinance, the following form is to be used:
Know All Men By These Presents, that ,
as Principal and as Surety, are held and firmly
bound unto the City of College Station, an incorporated city existing under the laws of the
State of Texas, as Obligee, in the full sum of ($ ),
lawful money of the United States of America, for payment whereof well and truly to be
made we bind ourselves, our heirs, executors, administrators, successors, and assigns,
jointly, and severally, firmly be these presents.
Whereas, the said has required the
said City of College Station to furnish electricity and /or water to the said
and PROMISE to pay for the same upon the rendition of bills
therefore from time to time and without exacting the required customary deposit and
which the said City of College Station is willing so to do upon being idemnified against
any loss on account thereof:
Now, therefore, the condition of the above obligations is such that if the above
bound, shall well and truly pay or cause
to be paid unto the said City of College Station all bills upon respective rendition thereof,
for the furnishing of electricty and /or water from time to time as aforesaid, together with
all interest, costs, and other penalties which may accrue by reason of the furnishing of
said electricity and /or water and all in accordance with the rules and regulations of said
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Ordinance No. 815
Page 4
City of College Station, then this obligation shall be void and of no effect, otherwise to
be and remain in full force and virtue for two (2) years from date and subject to renewal.
Provided Further, that the Surety may cancel this bond by written notice
served by mail to the City of College Station and stating therein the effective date of such
cancellation, which date shall be not less than thirty (30) days after receipt of such notice
by the City of College Station.
Any surety herein must be approved by the Superintendent of Utilities of
College Station, or his deputy, prior to acceptance of this bond by the City of College
Station.
Principal
Surety
Signed and dated the day of
, 19
Item 2. Acceptance of Bond. Any surety named in a bond must be approved
by the Superintendent of Utilities or his deputy prior to acceptance of the bond by the City
of College Station.
Item 3. Guarantees Other Than Bonds. Consumers may arrange with the
City of College Station to place on file a certification of guarantee of payment instead of
a cash deposit. Said certification must be made by a reputable financial organization who
shall upon request provide evidence of financial responsibility and stability. The guarantee
may be cancelled only by written notice, and the effective date of any cancellation shall be
not less than ten days after the City receives such notice. Each certification of guarantee
of payment presented must be approved by the Superintendent of Utilities or his deputy
prior to acceptance of the guarantee by the City of College Station. The following form is
to be used:
CERTIFICATION OF GUARANTEE OF PAYMENT
TO: THE CITY OF COLLEGE STATION
COLLEGE STATION, TEXAS
We, the
undersigned, understand that you have been asked to furnish utility service (s) to
at
So that the required customary deposit shall not be exacted from the said
we,
guarantee the payment of any and all bills for
electricity, water, sewage and garbage disposal, together with any penalties or fees
which may accrue from the furnishing of such service (s), not to exceed a total of
$ , ( ).
Any cancellation of this guarantee shall be by written notice, and the
effective date of such cancellation shall be not less than ten days after certified re-
ceipt of such notice by the City of College Station.
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Ordinance No. 815 Page 5
Signed:
(by)
(title)
Signed and dated the day of 19
SECTION IX. Refund of Deposits. A deposit or advance by a consumer is for the pro-
tection of the city against loss. In the event a consumer ceases to be a user of electric
power and /or water from the distributing systems owned by this city, either voluntarily
or for failure to pay his bill, there shall be deducted from his deposit or advance, what-
ever amount, if any, he owes the city, including any penalties or fees, and the remainder
of the deposit or advance shall be refunded to him. This provision is not to be construed,
however, that the consumer is limited in his liability to the city in the amount of his
deposit only.
SECTION X. Deposit Requirements as Minimum. The deposit requirements as contained
in Sections III., IV., V., VI., and VII. of this Ordinance are hereby intended to be minimum
deposits only, and may be raised when, in the judgment of the Superintendent of Utilities or
his deputy, such a raise is deemed to be a necessity.
SECTION XI. Penalty. Any person, firm, or corporation who shall manipulate or cause
the manipulation of any part whatsoever of the electrical and /or water distribution system
of the City of College Station, for the purpose of connecting to said distribution system to ob-
tain electric current and /or water without the knowledge of the City of College Station, and
in violation of the provisions of this Ordinance, shall upon conviction thereof be fined not
less than $25.00 (twenty -five dollars) nor more than $100.00 (one hundred dollars). Each
day that such violation occurs shall constitute a separate offense.
SECTIONXII. Saving Clause. In the event any section, subsection, sentence, clause, or
phrase of this Ordinance shall be declared or adjuged invalid or unconstitutional, such
adjudication shall in no way or manner effect any other section, subsection, sentence, clause
or phrase of this Ordinance, but all of the rest hereof shall be in full force and effect just
as though the section, subsection, sentence, clause or phrase so declared or adjudged
invalid or unconstitutional was not originally a part thereof.
SECTION XIII. Catchlines. The catchlines of the sections of this Ordinance immediately
following each section number, or subsection letter or number, are intended as mere catch-
words to indicate the contents of this section or subsection and shall not be deemed as taken
to be titles of such section, nor as any part of the section, nor, unless expressly so pro-
vided, shall they be so deemed when any of such section, including the catchlines, are
amended or re- enacted.
SECTION XIV. Repeal of Inconsistent Ordinances. Ordinance No. 36 and parts of all
other Ordinances inconsistent or in conflict with the provision of this Ordinance shall
be and the same are hereby repealed.
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SECTION XV. Effective Date. It is hereby ordained that this Ordinance shall take
effect immediately upon its passage and approval.
PASSED, ADOPTED AND APPROVED this 24th day of April, 1972.
APPROVED:
Mayor
ATTEST:
City Secretary