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Owner accounts are exempt from the deposit requirements of this section.

(1) Deposits Required on Initial Service. At the time of application for utility service, the Director shall require an applicant for City utility services to deposit with the City an amount of money to be held as security for the payment of all bills and claims for such utility service. Such deposit shall be an amount equivalent to three times the base fees for all services applicable to an occupied unit at the service location (excluding City irrigation system service), the total to which an additional water consumption factor amount as specified in PMC 3.35.150 will be added if the location is served by the City domestic water system. Applicable surcharges to outside City service rates shall also apply to the deposit calculation. A customer shall make a deposit or satisfy the credit policy described in subsection (2) of this section before utility services will be provided.

(2) Deposit Waiver. Accounts opened prior to February 28, 2013, and for which the deposit was waived shall continue to be waived until the account is closed or until such time as required by subsection (3) of this section to be paid.

(a) The account has been assessed a disconnect process collection fee.

(3) Deposits on Continued Service. Any utility customer that has a tenant account that was opened prior to February 28, 2013, shall pay a deposit at the then current rate if the customer has:

(a) Within a 12-month period, had two or more defaulted or delinquent payments; or

(b) The customer, having filed bankruptcy, requested continuing utility services by making the deposit as adequate assurance of payment for utility services, or in such other deposit amount as the Bankruptcy Court may order;

(c) The account has been assessed a disconnect process collection fee.

(4) Interest on Deposits. Deposits collected under this section shall not bear interest.

(5) Refund of Deposit. The deposit, or any portion thereof not utilized for the payment of charges required by this chapter may:

(a) Be refunded to the customer upon termination of utility services; or

(b) Upon termination of utility services at one location, be transferred to a new utility customer service location within the City. [Code 1970 § 3.200.040.]