Town of Olds administration has asked council to discontinue the town's temp-off practice, which allows snowbirds to remain connected to the water and sewer lines and not pay base rate fees while they are away.
Town administration has calculated that allowing residents to temp off has cost the town $12,000 so far.
“Once an account is open and a line goes to a residence or a business, the base rates should be charged, because we build those rates based upon the total infrastructure that is in place,” said Terryl Allen, director of corporate services.
“If we are not charging certain people for a certain number of months, the rates that are not being charged are picked up by other revenue sources or residents.”
Moreover, town administration has asked council to consider charging a fee for initial connection, and disconnection. The town presently only charges a reconnection fee of $50, which town administration considers outdated.
“The old bylaw used to have a clause in it indicating that we would charge for initial connection. Since 1992, that practice has kind of stopped,” said Allen.
“We just want to revisit that entire bylaw and make sure that it makes sense, whether we charge before, after, or for whatever service.”
Town administration brought the temp-off practice and the reconnection fee to council's attention at the policies and priorities meeting on Feb. 21 as part of a greater plan to review and amend the town's Waterworks, Sewers and Plumbing Bylaw. Although a number of new bylaws and bylaw amendments have been made over the years, the waterworks bylaw, which dates from 1992, remains in effect with a number of outdated clauses, practices and rates.
Besides the temp-off practice, town administration also wants to reduce the number of chances it gives to residents to pay their utility bills.
“We send out a bill on the 10th of the month. It is due by the first of the next month, but there are some people that know it is just a threat,” said Allen.
“If they do not pay, we will send them a letter telling them they have until the end of the month to pay. If they don't pay then, we put a red door hanger on their door.”
According to Allen, some residents take up to 90 days to pay their bills.
Late bills mean extra work for town employees, who have to monitor the accounts and send reminders to residents.
“If the customers still do not pay up, we have to prepare the red door hangers and somebody has to go put it on the door,” said Allen.
“It is a huge administrative burden.”
It is town administration's goal to make the process more efficient and to cut down on administrative costs.
“We just want to make sure we review the whole bylaw and make sure that we do have something that is effective and fair treatment to everybody,” said Allen.
Council asked Allen to bring the amended Waterworks, Sewers and Plumbing Bylaw to a regular council meeting in the next few months for review.
