Town council approved a change last week to utility accounts that would allow town staff to disconnect services to any customer that doesn't pay their bill after more than 30 days' receipt of that bill.
Terryl Allen, the town's director of corporate services, told council that while the problem of delinquent accounts has been corrected through the passage of a new bylaw in 2010 requiring all accounts be in owners' names, 15 per cent of accounts can sometimes be 30 days past due, which involves significant staff time and money being expended by the town in getting account owners to pay.
The new changes allow administration to disconnect utility services after sending out a subsequent month's bill noting the original amount is past due and a further seven business days after the subsequent bill was generated by staff.
Allen said about 125 accounts per month require staff to go to homes and place red door hangers on the doors indicating the water is about to be disconnected. This takes place after the customer doesn't respond to two arrears letters in consecutive months. The town conducts about seven to 10 disconnections per month.
“For the most part, the customers that use these four notices that their bills are due seems to be predominantly the same population of users each month. It appears they feel they can extend their bill payments as long as they possibly can as long as they react just before the threat of disconnection,” Allen wrote in a Request For Decision put before council.
“The Town of Olds continues to experience a great number of utility accounts each month that are not paid on time which necessitates a significant financial outlay and staffing cost each month to the town; these costs are in turn borne by all ratepayers,” Allen wrote.
In order to reconnect utilities, an account holder will have to pay any outstanding amounts, plus interest and a reconnection charge of $200.
Electronic billing will also be made available to customers after Jan. 1, 2013, by visiting www.olds.ca and filling out the electronic invoicing service agreement. E-bills can be mailed to an email address of a customer's choosing.
