HomeMy WebLinkAboutResolution 2021-158 N.C.S. 9/20/2021 Resolution No. 2021-158 N.C.S. Page 1
Resolution No. 2021-158 N.C.S.
of the City of Petaluma, California
RESOLUTION TO ADOPT PETALUMA POLICY FOR COLLECTION AND DISCONTINUATION
OF RESIDENTIAL WATER SERVICE FOR NONPAYMENT
WHEREAS, the City of Petaluma (“City”) operates a public water system that supplies water to residential,
commercial, and industrial customers; and
WHEREAS, the California Legislature adopted Senate Bill 998, which was codified in California Health and
Safety Code Section 116900 and following and imposes new and expanded customer protections regarding
discontinuance of residential water service for nonpayment and related matters; and
WHEREAS, California Health and Safety Code Section 116906 requires each urban and community water
system, including the City, to have a written policy on discontinuance of residential service for nonpayment, and
such written policy must address specified subjects required by law; and
WHEREAS, the City desires to adopt a policy that complies with the requirements of Senate Bill 998, and
the requirements of existing laws, and also includes the City’s procedures and practices in connection with the
collection of delinquent accounts, including notifications, and the termination of water service; and
WHEREAS, such a policy is attached to this Resolution as Exhibit A; and
WHEREAS, the proposed action is exempt from the requirements of the California Environmental Quality
Act (CEQA) in accordance with CEQA Guidelines Section 15378, in that adopting a collection and residential
water discontinuation of service for nonpayment policy, which is mandated by Senate Bill 998, does not meet
CEQA's definition of a “project,” because the action does not have the potential for resulting in either a direct
physical change in the environment or a reasonably foreseeable indirect physical change in the environment, and
because the action constitutes organizational or administrative activities of governments that will not result in
direct or indirect physical changes in the environment; and
WHEREAS, because the City of Petaluma is mandated to comply with SB 998, the action also qualifies for
the “ministerial” exemption in CEQA Guidelines Section 15002(i)(1) which provides that “where the law requires
a government agency to act on a project in a set way without allowing the agency to use its own judgement, the
project is . . . ‘ministerial’ and CEQA does not apply;.”
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Petaluma as follows:
1. The above recitals are hereby declared to be true and correct and are incorporated into this resolution as
findings of the City Council.
2. The proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA)
in accordance with CEQA Guidelines Section 15378, in that adopting a collection and residential water
discontinuation of service for nonpayment policy, which is mandated by Senate Bill 998, does not meet
CEQA's definition of a “project,” because the action does not have the potential for resulting in either a direct
physical change in the environment or a reasonably foreseeable indirect physical change in the environment,
and because the action constitutes organizational or administrative activities of governments that will not
result in direct or indirect physical changes in the environment.
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Resolution No. 2021-158 N.C.S. Page 2
Because the City of Petaluma is mandated to comply with SB 998, the action also qualifies for the
“ministerial” exemption in CEQA Guidelines Section 15002(i)(1) which provides that “where the law requires
a government agency to act on a project in a set way without allowing the agency to use its own judgement,
the project is . . . ‘ministerial’ and CEQA does not apply.
3. The City of Petaluma’s Policy for Collection and Discontinuation of Residential Water Service for
Nonpayment (“Policy”), attached hereto and made a part hereof as Exhibit A, is hereby adopted in
accordance with the requirements of Senate Bill 998.
4. If any section, subsection, sentence, clause, phrase or word of this resolution is for any reason held to be
unconstitutional, unlawful or otherwise invalid by a court of competent jurisdiction or preempted by state
legislation, such decision or legislation shall not affect the validity of the remaining portions of this
resolution. The City Council hereby declares that it would have passed and adopted this resolution and each
and all provisions thereof irrespective of the fact that any one or more of said provisions be declared
unconstitutional, unlawful or otherwise invalid.
5. This resolution shall become effective immediately upon its adoption.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the
Council of the City of Petaluma at a Regular meeting on the 20th day of
September 2021, by the following vote:
Approved as to
form:
__________________________
City Attorney
AYES: Mayor Barrett; Vice Mayor Barnacle, Fischer; Healy; King; McDonnell, Pocekay
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST: ______________________________________________
City Clerk
______________________________________________
Mayor
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EXHIBIT A
City of Petaluma Policy for Collection and Discontinuation of Residential Water Service for
Nonpayment
This Policy for Collection and Discontinuation of Residential Water Service for Nonpayment (Policy)
provides information regarding the City of Petaluma’s (City) collection of delinquent account actions,
including notifications, fee assessments and discontinuation of service for residences. This Policy is
intended to comply with SB 998, the Water Shutoff Protection Act, codified in California Health and
Safety Code Section 116900 and following. This Policy is available to the public at the City Finance
Department located in City Hall at 11 English Street in Petaluma, California, or on the City website
at:______________________. A reference to this Policy will be included on all City water bills, late fee
notices, written disconnection notices, and notices of termination. The City’s Commercial Services
Department staff can be contacted by phone at (707) 778-4350 or in person at 11 English Street,
Petaluma, California to discuss options for averting discontinuation of water service for non-payment
under the terms of this Policy.
1.Payment for Residential Water Service: All charges shall become due and payable at the office of the
Finance Department upon presentation of the utility bill and shall become delinquent thirty (30) days after
the date of the bill. A late fee, as established in the Rate and Fee Schedule, will be applied to delinquent
charges.
At the request of the customer, the City will waive one late fee penalty per current calendar year.
If the balance on a bill is less than $30, it may be carried over and added to the next billing period without
being assessed a late fee or incurring further collection action.
2. Discontinuation Time Frame and Notifications: The City will not discontinue residential water service
for nonpayment until the account is delinquent for 60 days. No less than seven business days before
discontinuation of residential water service for nonpayment, the City will contact the customer on the
account by written notice. A written Notice of Payment Delinquency and Impending Discontinuation will
be mailed to the customer of the residence to which the service is provided.
If the customer’s address is not the address of the property to which residential service is provided, the
notice will also be sent to the address of the property to which residential service is provided, addressed to
“Occupant.” If the written Notice of Payment Delinquency and Impending Discontinuation is returned
through the mail as undeliverable, and the City is unable to make contact with the customer or an adult
occupying the residence by telephone, the City will post the Notice of Payment Delinquency and
Impending Discontinuation and this Policy at the delinquent address in a conspicuous place.
The written Notice of Payment Delinquency and Impending Discontinuation will include:
•Customer’s name and address
•Amount that is past due
•Date by which payment or payment arrangements are required to avoid interruption of service
•Description of the process to apply for an alternative payment arrangement
•Description of the process to dispute or appeal a bill
•Information on how to request a deferred payment or amortization
•Description of the process to have service restored
• City phone number and access to written collection Policy
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The notice will provide the following information to residential occupants in an individually-metered
residence and to occupants in a multi-unit complex served through a master meter:
•Residential Tenants/Occupants in an Individually Metered Residence – That they have the right to
become customers of the City without being required to pay the amount due on the delinquent
account, as long as they are willing to assume financial responsibility for subsequent charges for
water service at that address. In order for the amount due on the delinquent account to remain the
responsibility of the prior account holder, the tenant/occupant must provide verification of tenancy in
the form of a rental agreement or proof of rent payments.
•Tenants/Occupants in a Multi‐Unit Complex Served through a Master Meter – That they have the
right to become customers of the City without being required to pay the amount due on the delinquent
account, as long as they are willing to assume financial responsibility for subsequent charges for
water service at the addresses served by the master meter. If one or more of the occupants are willing
and able to assume responsibility for the subsequent charges for water service to the satisfaction of
the City, or if there is a physical means, legally available to the City, of selectively terminating
service to those occupants who have not met the requirements for service, the City will make service
available to the occupants who have met those requirements.
3.Alternate Payment Arrangements: The City will not discontinue residential service for nonpayment if
the customer is willing to enter into a Payment Plan. Any water customer who is unable to pay their bill
by the due date may request an alternative or amortized payment schedule plan from the Finance
Department by phone or at the counter of the City’s Commercial Services Department. A specific reason
is not required in order to request a payment plan, and Customer Services staff will not request a doctor’s
note or income verification. The customer may not request further alternative payment arrangements of
any subsequent unpaid charges while paying pursuant to a Payment Plan.
While agreement and adherence to the payments in a Payment Plan averts shutoff, the account will
remain in a delinquent status (calculated by the original payment due date) until all payments including
current charges have been satisfied.
Payment Plan terms are offered at the discretion of the Finance department but generally require a partial
down payment with the balance due in 60 days. Late fee penalties will be suspended during the Payment
Plan.
4.Final Notice of Intent to Disconnect Service: Residential service may be discontinued no sooner than 5
business days after City posts a final notice of intent to disconnect service in a prominent and conspicuous
location at the customer’s property under either of the two following circumstances: 1)The customer fails
to comply with the terms of a Payment Plan for delinquent charges for 60 days or more; or 2) The
customer, while subject to a Payment Plan for delinquent charges, does not pay current residential service
charges for 60 days or more. Customers that received a Final Notice of Intent to Disconnect Service will
not be entitled to any investigation, payment arrangement, or review by the City. The City will not
discontinue water service due to nonpayment on a Saturday, Sunday, or legal holiday.
5.Service Interruption Deadline: All delinquent service charges and associated fees must be received by
the City by close of business on the day specified in the written Notice of Payment Delinquency and
Impending Discontinuation. A customer who cannot pay the charges by the date specified may request an
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alternative payment arrangement as described in Section 3 of this Policy. Requests for alternative
payment arrangements must be received and resolved before the shut off date specified in the interruption
notice.
6.Disconnection of Water Service: The City will disconnect water service by locking or turning off the
meter. The customer will be charged a fee to re‐establish service regardless of whether the meter has
physically been turned off, as established in the Rate and Fee Schedule. The discontinuation notice will
provide the customer with information on how to restore residential service. Neither the City of
Petaluma, nor its officers, officials, employees, or representatives shall be liable or responsible for any
injury or damage that may result from the interruption of water service due to nonpayment of the bill for
the service provided. The City will report the number of annual discontinuations of residential service for
inability to pay on the City’s Web site and to the State Water Resources Control Board.
7.Re‐establishment of Service: All delinquent charges and associated fees must be paid in full, prior to
service being restored. The City will reconnect service as soon as practicable upon receiving payment of
all charges attributable to the termination of service. For same day restoration of service during normal
working hours (8:00 am – 4:30 pm), the payment must be received by 3:00 pm. Restoration of service
after 4:30 pm on business days will be charged an after‐hours fee as set forth in the City’s applicable Rate
and Fee Schedule. Service will not be restored after regular business hours unless the customer has been
informed of the after‐hours fee and paid all delinquent charges and fees owed by close of business the day
service is to be restored. Water service that is turned on by any person other than City personnel may be
subject to fines or additional charges or fees as established in the City’s applicable Rate and Fee
Schedule. Any damages that occur as a result of unauthorized restoration of service are the responsibility
of the customer.
8. Notification of Disposition of Returned Payments: A returned payment for water service or other
charges shall be assessed a fee as specified in the City’s applicable Rate and Fee Schedule. Further, when
there is a returned payment on an account, the account shall be returned to the City’s delinquency process
as though no attempt was made to pay the balance due. The City will make a reasonable, good faith effort
to notify the customer by door notice, phone, mail, or e-mail of the returned item and the account’s
delinquency status. The City may require all future payments on an account with a returned payment
within the past 12 months to be made in cash or with certified funds.
9. Returned Payment for Previously Disconnected Service: In the event a customer tenders a non‐
negotiable check or a disputed credit card as payment to restore water service previously disconnected for
non‐payment and the City restores service, the City may promptly disconnect service without providing
further notice. No notice of termination will be given in the case of a non‐negotiable check or fraudulent
credit card tendered for payment of water charges due to disconnected service. Any customer issuing a
non‐negotiable check or disputed credit card as payment to restore service turned off for non‐payment
will be required to pay cash or certified funds to restore future service disconnections for a period of 12
months from the date of the returned payment.
10. Other Remedies: In addition to discontinuation of water service, the City may pursue any other
remedies available in law or equity for nonpayment of water service charges, including, but not limited to:
securing delinquent amounts by filing liens on real property, filing a claim or legal action, or referring the
unpaid amount to collections. In the event a legal action is decided in favor of the City, the City will be
entitled to the payment of all costs and expenses, including attorneys’ fees and accumulated interest.
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11. Discontinuation of Water Service for Other Customer Violations: The City reserves the right to
discontinue water service for any violations of City ordinances, rules, or regulations other than
nonpayment for water services provided to the extent such violations are subject to discontinuation of
water service..
12. Requesting a Bill Review or Appeal: If customer disputes the customer’s water bill and exercises the
right to appeal the decision of the Director of Public Works or his or her designee to discontinue the
customer’s water service, the City will not interrupt water service for non‐payment while the appeal is
pending.
To initiate an appeal, a customer must notify the City in a writing sent to the Petaluma City Clerk’s
Office, located at 11 English Street, Petaluma, California 94952 that the customer disputes the correctness
of a bill or other City action under this Policy and request that the City Finance Director or her designee
review or investigate within fifteen (15) days from the date of disputed bill or any initial notice of service
interruption. If a customer believes a payment has been made but not recorded on their account, the
customer will be required to present a receipt, cancelled check or other satisfactory evidence to
substantiate the payment and enable the City to research the receipt of the payment. If the customer’s
dispute is not resolved by the Director of Finance, the customer will be notified within 60 days of the
customer’s notice of appeal of the date of an appeal hearing before a hearing officer in accordance with
Section 1.14.090(B) of the Petaluma Municipal Code.
13. Translations: Translations of this Policy in the languages listed in Section 1632 of the California Civil
Code are available at the Finance Department or City website.
Please visit our office or website for a translation of this Policy.
Visite nuestra oficina o sitio web para obtener una traducción de este politica.
请访问我们的办公室或网站，了解本政策的翻译。
Mangyaring bisitahin ang aming opisina o website para sa isang pagsasalin ng patakarang ito.
Vui lòng truy cập văn phòng hoặc trang web của chúng tôi để dịch bản chính sách này.
이 정책에 대한 번역은 저희 사무실이나 웹 사이트를 방문하십시오.
All written notices issued under this Policy will be available at the City Finance Department at 11 English
Street, Petaluma, California, 94952 or on the City website in English, Spanish, Chinese, Tagalog,
Vietnamese, Korean, and any other language spoken by ten percent (10%) or more of the residents in the
service area.
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