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  • Mona City discusses solutions to collect overdue utility bills


By Myrna Trauntvein
Times-News Correspondent


Mona needs an outside company to help them collect overdue utility bills because the city secretary is too soft-hearted.
As a result of the conversation, the city council will make certain that the city policy is written so that it can be enforced and will also consider finding a new entity to perform notices and shut-offs for the city.
Michelle Dalton, city secretary, said that the city audit, to be presented at the next council meeting, will show that the delinquent accounts are very high.
"It is hard for me to shut off past due accounts," said Dalton. "I am too big a sucker. I am not a good person for the job."
Arriving at a home where there were small children made it difficult for her to shut off services.
This is the highest number of past due accounts they city has had, she said.
However, said Everd Squire, city finance director, the city had a problem with past due accounts for many years.
"It has been a recommendation of the auditor for many, many years that something needs to be done about collections," said Squire.
"I would like to see us go to an outside entity to perform this service," said Jeff Smith, council member.
Nephi may be willing to help with that. Dalton said she had talked to the city treasurer and was told that he notifies the department heads, after proper notice is given, and they do the work of turning off the utilities.
The treasurer said that there was also a way to turn off utilities at the computer.
"He sends a letter out to past due accounts," said Dalton.
If an outside entity were to perform the service, then Dalton could just hand those who had their services disconnected a card telling them who to contact and that would be the end of her need to be pressured.
Mona does not have the power that Nephi does. For example, Mona residents get their electricity from Rocky Mountain Power. That company does its own billing and performs its own cutoffs. In Nephi, the city can turn off the electric service and that gets more notice from the past due customer.
She can only turn off natural gas service and culinary water service. Usually, she cuts of the natural gas but that is not effective in the summertime. Very few really miss it until winter comes and so they do not rush to take care of the problem.
Shutting off the water results in a sanitation problem because the sewer quits working at that residence. One of the biggest parts of individual city utility user charges comes from the sewer service.
She said that more than $20,000 was owed the city from accounts that were over 90 days in arrears.
The city does charge a reconnect fee to restore the natural gas service.
It is not those renting property who are causing the big problem. Although landlords, under city rulings, are responsible for any unpaid utility fees, those landlords get a copy of what their renters are paying for utilities and any back due amounts.
"Those behind in payments owe amounts from a high of $1,300 to $500," she said.
Everd Squire, city finance director, said that Greg Ogden, CPA, and the independent auditor for the city, had sent out 84 letters to those who are overdue on their accounts. He had received four responses.
"Of the 558 utility customers in Mona, 143 are past due," said Squire. "Greg Ogden's recommendation is to enforce our shut-off policy."
Squire said that his response was that he and Dalton would get the council involved in finding a solution.
Some people came in, when they got behind, and worked out contracts to pay back the overdue amount. Some of those people were already on equal-pay contracts (they pay a set amount each month, summer and winter).
"If they are behind in their payments they should not be allowed to be on the equal pay program," said Frank Riding, council member.
Approximately 10 people have left town owing utility money and have left no forwarding address. Those accounts have been turned over to a collection agency.
If the city does decide to hire an outside entity, said Allen Pay, city water superintendent, "they need to be somebody who knows what they are doing."
Nephi City requires a deposit for all new customers to help offset the costs of any delinquent users. They also charge a reconnection fee.
However, said Dalton, having a connection fee would only help for new customers.
Jonathan Jones, council member, said he thought that, if someone were disconnected from service, they should not only have to pay a reconnection fee but should also have to pay a deposit.
"I like the idea of a deposit," he said. "I would like to see us have a solution to this problem in two weeks when the auditor comes."
A few, up to 12 users, are repeat offenders and go through having their gas disconnected and reconnected several times and all of the accounts were at least 60 days past due. By the time the customer receives a notice that they are past due, they have already not paid for 30 days and then they are given another 30 days to make payment. They get a notice of shut-off on their bill.
Pay said that when he used to do the job, their were "door knockers" who would go around and post a notice on the door. Residents of the community disliked that approach.
"I think all utilities—water and gas—should be shut off," said Pay.
"Would it make a difference if the notices were mailed (separately from the bill)?" asked Greg Newton, mayor.
Robert Williams said that when he worked for Pleasant Grove, they posted a notice on the door. The city, and the other residents, were actually paying the bills for those who did not pay.
"I think our policy needs to be revamped," said Molli Graham, council member.
Jones said he wondered if Nephi was too close an entity to actually perform the shut-offs for Mona, if they would agree to do so.
"With all the newcomers to Mona," said Mills, "I don't think that Nephi is too close. People from there used to know the old timers here. With all the newcomers, like me, that has changed."