Upland explores tax roll billing for $2 million in uncollected utility fees

During the City Council meeting on February 10, 2025, in Upland, California, officials discussed a significant proposed change to the billing method for utility services. This change aims to address the growing issue of uncollected utility fees, which have reached nearly $2 million due to various legislative measures and the impacts of the COVID-19 pandemic.

The proposed shift would allow the city to place unpaid utility fees directly onto property tax rolls, a move that could enhance collection efforts. This discussion was prompted by Senate Bill 998, enacted in 2018, which mandated that water service shutoffs be halted, coupled with state measures that prohibited late fees during the pandemic. As a result, many residents have accrued unpaid bills, leading to the current financial shortfall.

City officials emphasized the need for transparency and public engagement regarding this proposal. The council plans to hold a Public Works Committee meeting on April 8, 2025, to delve deeper into the implications of this change, including potential savings and disadvantages. Council members expressed concerns about the fairness of placing the burden of unpaid bills on residents who consistently pay their utility fees.

In addition to residential billing, there was a discussion about the possibility of extending this method to commercial properties. Currently, the proposal focuses on residential accounts, but council members indicated a desire to explore options for commercial billing as well, particularly in light of concerns about businesses potentially defaulting on payments.

The council also discussed the importance of informing the public about these changes. While a mailer may be too costly, they agreed to utilize social media to encourage community participation in the upcoming committee meeting.

Overall, the meeting highlighted the city's ongoing struggle with utility fee collection and the potential shift in billing practices as a means to address financial challenges. The council's commitment to transparency and public involvement will be crucial as they navigate this complex issue in the coming months.