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RES-2022-019RESOLUTION NO.2022- 019 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM MODIFYING THE RATES, RULES AND REGULATIONS, WHICH DO NOT MATERIALLY INCREASE RATE -RELATED REVENUES, FOR THE SALE AND DISTRIBUTION OF WATER AS ADOPTED BY RESOLUTION NO. 72R-600 AND MOST RECENTLY AMENDED BY RESOLUTION NO. 2021-012 AND DETERMINING THAT SAID ACTIONS ARE EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA) PURSUANT TO PUBLIC RESOURCES CODE SECTION 21080(B)(8) AND SECTIONS 15061(B)(3) AND 15273(A) OF TITLE 14 OF THE CALIFORNIA CODE OF REGULATIONS. WHEREAS, the City of Anaheim ("Anaheim") maintains a water production, transmission, and distribution system for the distribution of water to residents and businesses of Anaheim and has adopted Water Rates, Rules and Regulations for the sale and distribution of water; and WHEREAS, the Anaheim Municipal Code authorizes the City Council of Anaheim ("Anaheim City Council") to approve reasonable Water Rates, Rules and Regulations for water services, which are provided by the Anaheim Public Utilities Department ("APU'); and WHEREAS, APU is a publicly owned utility, but nonetheless strives to operate like a business and continuously seeks opportunities to minimize administrative and fiscal burdens while remaining in a position to maintain service reliability and high industry standards; and WHEREAS, in support of the foregoing, APU staff reviewed and recommends modifications to Rule No. 11 of the Water Rates, Rules and Regulations; and WHEREAS, it is reasonable and appropriate to modify the Water Rates, Rules and Regulations, as set forth in Attachment A, to enhance service to customers by providing faster response times to requests for connection and disconnection; and WHEREAS, the Public Utilities Board considered the requirements of the California Environmental Quality Act (CEQA) and found that the proposed modifications to the Water Rates, Rules and Regulations, as set forth in Attachment A, come within Public Resources Code section 21080(b)(8) and Title 14 of the California Code of Regulations, sections 15061(b)(3) and 15273(a). Thus, these modifications are exempt from CEQA; and WHEREAS, based on the findings hereinabove made, the Public Utilities Board recommended that the Anaheim City Council determine that the modifications to the Water Rates, Rules and Regulations are exempt under CEQA, Public Resources Code section 21080(b)(8) and Title 14 of the California Code of Regulations, sections 15061(b)(3) and 15273(a); and WHEREAS, based on the findings hereinabove made, the Public Utilities Board recommended that the Anaheim City Council adopt the findings of the Public Utilities Board with respect to the matters contained herein and adopt the modifications to the Water Rates, Rules and Regulations, as set forth in Attachment A, which are on file with the Office of the City Clerk; and WHEREAS, the Anaheim City Council has considered the evidence and concurs with the findings of the Public Utilities Board as set forth hereinabove. NOW, THEREFORE BE IT RESOLVED by the Anaheim City Council as follows: The findings set forth herein are hereby adopted by the Anaheim City Council. 2. The Anaheim City Council hereby determines that, in accordance with CEQA and the State CEQA Guidelines, the modifications to the Water Rates, Rules and Regulations, as set forth in Attachment A, are exempt from CEQA pursuant to Public Resources Code section 21080(b)(8) and sections 15061(b)(3) and 15273(a) of Title 14 of the California Code of Regulations, because it can be seen with certainty that there is no possibility that the proposed modifications will have a significant effect on the environment as the modifications are primarily administrative in nature. 3. The Anaheim City Council hereby adopts the modifications to Rule No. 11 of the Water Rates, Rules and Regulations, as set forth in Attachment A. These modifications shall be effective March 1, 2022. 4. The Anaheim Public Utilities General Manager is hereby authorized and directed to prepare, promulgate, publish, and implement changes to the Water Rates, Rules and Regulations as set forth herein. Pi THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 15 day of February , 2022, by the following roll call vote: AYES: Mayor Sidhu and Council Members O'Neil, Diaz, Ma'ae, Moreno, Valencia and Faessel NOES: None ABSENT: None ABSTAIN: None CITY OF ANAHEIM OF THE CITY OF ANAHEIM A T CITY CLEYK OF THE CITY OF ANAHEIM 144784 Attachment A Water Rates, Rules and Regulations Rule No. 11, effective March 1, 2022 CITY OF ANAHEIM Utilities Financial Services 201 S. Anaheim Blvd. Anaheim, CA 92805 A. Ell WATER RATES, RULES AND REGULATIONS RULE NO. 11 DISCONTINUANCE AND RESTORATION OF SERVICE PAST DUE BILLS OR SUMMARY BILLS Page No. 3.11.1 Bills or Summary Bills rendered will be considered past due if not paid within fifteen (15) business days of the bill or Summary Bill issuance date. NONPAYMENT OF BILLS When a bill or Summary Bill for Service has become past due and an overdue notice and final notice have been issued, Service may be discontinued if the bill or Summary Bill is not paid within the time required by such notice. Any Customer who contests billed consumption, and has initiated a complaint or requested an investigation in accordance with Rule No. 10, shall not have Service discontinued for nonpayment during the pendency of an investigation by the City of the Customer's dispute or complaint provided the Customer also keeps current the account for Services as charges accrue in each subsequent billing period. Services shall not be discontinued for nonpayment for any Customer complying with an amortization agreement entered into with the City, provided the Customer also keeps current the account for Services as charges accrue in each subsequent billing period. If in a landlord/residential tenant relationship a landlord is responsible for payment of the water utility bill and the Service is through a master Meter, the Utility shall not terminate residential occupant's (i.e., tenant) Service during the pendency of an investigation by the Utility of a Customer dispute or complaint, even if the Customer does not keep current the account for Services or if the Customer has been granted an extension of the period for payment of a bill. Services to a residential Customer will not be discontinued for non-payment when the Customer has established to the satisfaction of the City that such termination would be especially dangerous to the health of the Customer or a full-time resident of the Customer's household. Certification from a licensed physician, public health nurse, or a social worker may be required by the City. The City shall make available to Customers, upon request, information regarding agencies and/or organizations that may provide financial assistance. If in a landlord/residential tenant relationship a landlord is responsible for payment of the water utility bill and the Service is through a master Meter, the Utility shall not terminate residential occupant's (i.e., tenant) Service if a public health or building officer certifies that termination would result in a significant threat to the health or safety of the residential occupants or the public. (Continued) ISSUED BY: Effective: 03-01-20 by Resolution No.: 2020-020 Dated: 02-11-20 Dukku Lee Superseding Resolution No.: 2017-069 Dated: 04-25-17 General Manager CITY OF ANAHEIM Utilities Financial Services 201 S. Anaheim Blvd. Anaheim, CA 92805 WATER RATES, RULES AND REGULATIONS RULE NO. 11 DISCONTINUANCE AND RESTORATION OF SERVICE B. NONPAYMENT OF BILLS (Continued) Page No. 3.11.2 3. If a bill or Summary Bill is past due as set forth in Section A above, a Customer's Service may be discontinued for nonpayment of a bill or Summary Bill for Service previously rendered to the Customer at any location served by the Utility provided the Utility first gives a notice of discontinuance to the Customer at least ten (10) business days prior to the proposed discontinuance. Such ten-day period shall not commence until five (5) business days after the mailing of the notice. However, in no case shall residential Service be discontinued for nonpayment until payment has been delinquent for at least sixty (60) calendar days. No less than seven (7) business days before discontinuation of residential Service for nonpayment, the Utility shall contact the Customer named on the account by telephone or provide written notice. Notwithstanding the foregoing, residential Customers, who are delinquent under the terms of an amortization agreement, shall be subject to disconnection procedures required by State law. 4. If a Customer is receiving more than one Service, any or all Services may be discontinued when any Service, regardless of location, is discontinued for nonpayment. However, residential Service will not be discontinued because of nonpayment of bills or Summary Bills for other Classes of Service. The Utility shall not terminate residential occupant (i.e., tenant) Service if a delinquent account relates to another property owned, managed, or operated by the Customer. 5. Under no circumstances may Service be discontinued for nonpayment of a bill or Summary Bill to correct previously billed incorrect charges for a period in excess of the preceding three months, unless such incorrect charges have resulted from the Customer not abiding by the applicable Tariff Schedules. 6. On any Saturday, Sunday, legal holiday recognized by the City of Anaheim, or at any time during which the business office of the City is not open to the public, Service will not be discontinued on those days by reason of delinquency in payment for Services. 7. The Utility may offer an amortization agreement if a residential Customer meets certain State law requirements, and any such agreement shall contain terms consistent with that State law. C. UNSAFE EQUIPMENT AND SERVICE DETRIMENTAL TO OTHER CUSTOMERS The Utility may refuse or immediately discontinue Service to a Customer if the Utility determines (1) that any part of their plumbing or other equipment, or the use thereof, is unsafe or in violation of applicable laws, ordinances, rules or regulations of public authorities, or (2) that any condition or use existing upon the Customer's Premises is detrimental to the Utility's facilities or impairs the ability of the Utility to provide Service to its Customers. The Utility shall not provide Service or continue Service until the conditions described in (1) and (2) of the previous sentence no longer exist. The Utility may provide written or telephonic notice prior to discontinuation of Service when the Utility determines circumstances allow for such notice. The Utility does not assume any responsibility for inspecting or repairing the Customer's plumbing or other equipment or any part thereof and assumes no liability therefor. The Utility will not provide Service to any equipment, the operation of which will be detrimental to the Service of the Utility or its other Customers, and will discontinue Service to any Customer who continues to operate such equipment after having been given written or telephonic notice by the Utility to cease doing so. (Continued) ISSUED BY: Effective: 03-01-20 by Resolution No.: 2020-020 Dated: 02-11-20 Dukku Lee Superseding Resolution No.: 2017-069 Dated: 04-25-17 General Manager CITY OF ANAHEIM Utilities Financial Services 201 S. Anaheim Blvd. Anaheim, CA 92805 WATER RATES, RULES AND REGULATIONS RULE NO. 11 DISCONTINUANCE AND RESTORATION OF SERVICE Page No. 3.11.3 D. FRAUD The Utility may refuse or discontinue Service if the Utility determines the acts of the Customer or the conditions upon their Premises indicate (1) an intent to defraud the Utility, or (2) the occurrence of a Diversion. A fee will be collected for the investigation of acts of fraud and/or Diversion as set forth in Rule No. 23 provided, however, that said fee shall not limit Customer's liability for any fraud or other Diversion. The Utility may provide written notice prior to discontinuation of Service when the Utility determines circumstances allow for such notice. E. FAILURE TO ESTABLISH OR REESTABLISH CREDIT If, in its sole discretion, the Utility provides Service before an Applicant establishes creditworthiness, the Utility may discontinue Service consistent with the Rates, Rules and Regulations if the Applicant fails to establish creditworthiness and provide security in accordance with Rule No. 6-A. If a Customer fails to reestablish their creditworthiness or provide security in accordance with Rule No. 6-B, the Utility may discontinue Service in accordance with the Rates, Rules and Regulations. F. NONCOMPLIANCE Except as otherwise expressly provided in this Rule No. 11, the Utility may discontinue Service for a Customer's noncompliance with the Rates, Rules and Regulations if, after at least five (5) business days written notice to the Customer, the Customer has not corrected the noncompliance as required by the notice. The Utility may dispense with the giving of such notice in the event the Utility determines the existence of dangerous conditions or other circumstances that require the immediate discontinuation of Service. (Continued) ISSUED BY: Effective: by Resolution No.: Dated: Dukku Lee Superseding Resolution No.: 2020-020 Dated: 02-11-20 General Manager CITY OF ANAHEIM Utilities Financial Services 201 S. Anaheim Blvd. Anaheim, CA 92805 WATER RATES, RULES AND REGULATIONS RULE NO. 11 DISCONTINUANCE AND RESTORATION OF SERVICE G. CUSTOMER'S REQUEST FOR PERMANENT SERVICE DISCONTINUANCE Page No. 3.11.4 When a Customer desires to terminate Service, the Customer shall give the Utility not less than two (2) business days notice of their intention, and provide (1) the date on which the Customer wishes the termination to become effective, and (2) the address to which the closing 13#1 or Summary Bill is to be mailed. Should a Customer request accelerated discontinuation of Service, the Utility may accommodate the Customer's request provided that resources are available. A Customer is responsible for all Service furnished at the Customer's Premises until two (2) business days after receipt of such notice by the Utility or until the date of termination specified in the notice, whichever date is later. H. CUSTOMER'S REQUEST FOR TEMPORARY SERVICE DISCONTINUANCE Where the use of water is seasonal or intermittent, no adjustment will be made for a temporary reduction of usage. Any Customer who resumes Service within twelve (12) months must pay all charges that would have been billed had Service been continuous. I. RESTORATION - RECONNECTION CHARGE Prior to restoring Service that has been discontinued for nonpayment of bills or Summary Bills or for failure to otherwise comply with the Rates, Rules and Regulations, the Customer shall pay a reconnection charge for each incident in which the Service(s) was disconnected. In the event that the Utility determines that the Customer is not at fault, including situations such as a payment being lost in the mail or other such situations, the Utility in its sole discretion may waive the reconnection charge. If Service(s) has been restored illegally or damaged due to tampering, the Customer shall compensate the Uthy for all damage incurred by the Utility prior to reconnection. The Customer remains responsible for all damage incurred by the Utility whether or not Service is reconnected. If the Customer makes a request to expedite the restoration or reconnection of Service, the Utility may accommodate the Customer's request after the Utility's regular restoration or reconnection hours to the extent resources are available. In such cases, an additional charge will be assessed on the Customer in the amount set forth in Rule No. 23. REQUEST FROM RESIDENTIAL OCCUPANT [TENANT] TO BECOME CUSTOMER If a landlord in a landlord/residential tenant relationship is responsible for the payment of the water utility bill and the account is in arrears, the residential occupant (i.e., tenant) shall have the right to become the Customer without being required to pay the amount due on the landlord's delinquent account. In order for the Utility to make Service available, the residential occupant (i.e., tenant) must agree to the terms and conditions of Service. K. REMOTE DISCONTINUANCE AND RESTORATION The Utility may discontinue or restore Service remotely through electronic means when available, provided that proper notice is given to the Customer no less than two (2) business days in advance. L. STATE LAW Should there be a conflict between this Rule No. 11 and State law, as amended from time to time, State law shall govern, except to the extent that the provisions of this Rule are more favorable for the Customer or residential occupants of a detached Single -Family Dwelling or Multi -family Accommodation. ISSUED BY: Effective: by Resolution No.: Dated: Dukku Lee Superseding Resolution No.: 2020-020 Dated: 02-11-20 General Manager CLERK'S CERTIFICATE STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss. CITY OF ANAHEIM ) I, THERESA BASS, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the original Resolution No. 2022-019 adopted at a regular meeting provided by law, of the Anaheim City Council held on the 15th day of February 2022 by the following vote of the members thereof: AYES: Mayor Sidhu and Council Members O'Neil, Diaz, Ma'ae, Moreno, Valencia, and Faessel NOES: None ABSTAIN: None ABSENT: None IN WITNESS WHEREOF, I have hereunto set my hand this 16th day of February, 2022. CITY C RK OF THE CITY OF ANAHEIM (SEAL)