Cities provide utility services such as water and sewer to
their residents. The city expects to be
paid for these. In the past few years
we’ve made it easier to pay these bills on line or even over the phone with a
credit card. Even with that, some individuals
fall behind. When they do, past due reminders
are sent out. We stop service for most past due users but some don't follow through with a payment plan or other issues get in the way of dealing with these bills. When the amount is
significant the council certifies the bill to taxes. Not only does the property owner get the bill
for unpaid services they also get an additional $50 added as a charge for
certifying to the tax rolls. Ignoring
the sewer bill may free up some short term funds but in the end it will cost
significantly more to go this route. Four
sanitary sewer bills were posted to the tax rolls for collection in this
manner.
The city also provides for the collection of Sewer
Availability Changes (SAC) fees with taxes.
A SAC fee is the charge that is made for the property owner’s share of
the Wastewater Treatment Facility, Lift Stations and Related Trunk
Facilities. One SAC fee is considered a
Residential Equivalent Unit. Each home
connected to the sewer system pays one SAC fee.
A commercial activity would pay a larger fee equal to the number of residential
equivalents the activity would generate.
The city has a policy where a property owner can certify the
SAC fee to the lot and pay over a period of up to 15 years with interest. One property owner selected to have his fee
assessed over one year and this too was certified to the tax roll for
collections.
Although cities have this authority to collect unpaid bills
by certification to taxes it becomes justified when you look at fairness to all
tax payers. In addition having the
ability as a property owner to pay over a period of time is also a benefit to
the owner. Certification to the tax rolls
is a useful tool.
