Nevada County Picayune and Gurdon Times Newspaper Archive

Cycle Three's Past Due Numbers Climb To 122 Accounts

Problems with delinquent utility accounts continue in the City of Prescott.

June's third billing cycle showed 122 overdue accounts, with this being up from May's 96 past due billings.

In addition, the amount owed rose by $2,811.62 during the billing cycle. In May the amount owed for the third cycle was $182,614.56, while the June figures are $185,426.18.

Of the past due accounts, 22 are 60 days late, with 11 being 90 or more days overdue.

Granted, the third billing cycle does have the defunct Nevada County Hospital account on it, with the electricity usage continuing to keep the structure from completely falling in.

There are six accounts owing more than $1,000, including one residential account with a balance due of $1,578.98. This account was shown in May as being more than 90 days late, but wasn't listed as such for June, nor had the entire bill been paid, though some had been paid on it. In May, the amount owed was $1,646.18.

On the list provided by the city, 24 accounts owe less than $100, with the least amount owed being $17.06.

There is another residential account owing more than $1,000, at $1,390.54 and being showed as more than 90 days overdue. According to the city's information, this account balance rose by approximately $100 in a month, with nothing being paid against it.

For the entire month, the city is owed $245,266.74 for the usage of electricity. Of this, $151,010.96 is owed on the hospital account. Still, even without what is owed by the hospital, the city is has $94,215.78 in overdue accounts.

Along with this, there were 303 accounts in the three billing cycles reported as being past due.

The problem is, nothing seems to be being done to alleviate this situation, as the city is apparently ignoring ordinance 6 of 1984.

This ordinance established electrical, water and sewer deposit amounts, service charges and created procedures to regulate these utilities.

Under article III  Termination of Service, section 19 gives the provisions under which accounts can be cut off.

The provisions include failure to pay delinquent accounts for the service; failure to comply with terms and conditions of a settlement agreement or delayed payment agreement; failure to pay any appropriate charges associated with the provision of service; and abandonment of premises being served.

Section 21 of the ordinance does allow customers the right to pay any delinquent account any time prior to it being terminated.

If the full amount can't be paid at one time, an agreement can be reached between the customer and city for a payment plan, or the city can grant an extension, depending on the circumstances involved.

The ordinance also gives the city the right to place a lien against property where charges for utility services remain unpaid. "Whenever a statement for utility services remains unpaid for 60 days after it has been rendered the City may file a statement of lien claim."

In addition, the city can foreclose on the lien, with the property sold and proceeds going to pay off the debt, and the remainder going to the property owner.

The City of Prescott, therefore, is not following the law it approved when the ordinance was passed.

Prescott Mayor Howard Taylor has said some of the commercial accounts are handled on a quarterly basis by the companies involved. This, he explained, is why some commercial accounts become 90 days past due.

However, no explanation has been forthcoming as to why residential accounts have been allowed to rise above $1,000 and be more than 90 days late.

David Schoen, an attorney with the Arkansas Municipal League, said it would be up to the Prescott City Council to initiate enforcement of the 1984 ordinance.

The council, he said, has the ultimate authority over the city.

However, he added, individuals can consult with their private attorneys to try and get the city to enforce its ordinance.

Or, Schoen added, they can use the political process themselves by attending council meetings and voicing their concerns, talking with their aldermen, filing petitions asking the city to enforce the ordinance or run for office themselves.