Casa Grande Council evaluates water service disconnection agreement with Arizona Water Company

In the heart of Casa Grande, city officials gathered to address a pressing financial issue that has lingered for too long. Under the bright lights of the council chamber, discussions centered on a staggering $1.8 million in unpaid wastewater bills, primarily from residential accounts. This figure, described as conservative, highlights a significant challenge for the city, as it grapples with the reality that many residents, despite receiving monthly bills and late notices, have chosen not to pay.

The city has previously attempted to tackle this issue through a contract with a collections agency, but results fell short. However, a glimmer of hope emerged from the finance department's lien program, which has shown some success in recovering lost revenue. Yet, city officials are eager to explore additional strategies to ensure that this financial burden does not continue to grow.

One potential solution discussed is an agreement with Arizona Water Company, which would allow the city to disconnect water services for residents who are 90 days or more overdue on their wastewater bills. This measure aims to encourage timely payments by providing a clear consequence for non-compliance. The agreement stipulates that residents would receive ample notice before any disconnection occurs, ensuring they are fully aware of the situation.

The proposed agreement comes with associated fees, including a one-time establishment charge of $1,000, an annual fee of 50 cents per shared customer, and a disconnection fee of $100. These costs would primarily be passed on to delinquent customers, similar to late fees, rather than burdening the city’s budget.

Feedback from other municipalities that have implemented similar agreements, such as Buckeye and Sedona, has been overwhelmingly positive. Officials from these cities reported that the threat of disconnection prompted many residents to settle their debts proactively, often before any service was actually cut. This proactive approach not only helps recover lost revenue but also fosters a sense of fairness among residents who consistently pay their bills.

As Casa Grande moves forward, the next steps involve formalizing the agreement with Arizona Water and seeking approval from the Arizona Corporation Commission, which regulates utility disconnections. Once approved, a comprehensive outreach campaign will be launched to ensure all residents are informed about the new policy.

City officials are optimistic that this agreement will not only help recover overdue payments but also promote a culture of accountability among residents. As the meeting concluded, the council expressed a commitment to addressing this issue head-on, aiming to create a sustainable solution that benefits the entire community.