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Staff recommends phasing out informal seasonal utility shutoff program for residential customers
Summary
Staff told council the informal seasonal-shutoff policy, used by about 250 accounts, reduces readiness-to-serve revenue by roughly $40,000 annually; recommendation is to stop new enrollments over six months while exploring options to charge readiness fees or modify rate structures.
Assistant Director Jason Chandra briefed council on the city’s informal seasonal shutoff program for residential customers (used largely by seasonal residents or "snowbirds"). Chandra said the program is currently not codified in ordinance, allows customers to pause service up to six months, and is used by about 250 accounts (less than 1% of the customer base). He said the readiness-to-serve flat fee is about $33 per month and staff estimates lost revenue of roughly $40,000 per year tied to the program; staff also noted the administrative workload and potential for mistakes in the manual processing of shutoffs.
"The recommendation here is that we would eliminate this practice over the next 6 months," Chandra told council; staff proposed not adding new seasonal-shutoff accounts after March 1 and allowing current enrolled accounts to close out naturally. Councilmembers raised consumer-safeguard questions (for example, how property owners can avoid interior water leaks while away) and suggested options such as requiring customers who request shutoffs to keep the readiness-to-serve charge or charging owners during vacancy periods. Staff said they will evaluate these options in the next rate-study cycle and will proceed with outreach and policy clarifications.
