5/26/1987 - Laserfiche WebLink

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1987 BOOK the deposit once_a customer has established a good credit rating. The Chairman believed it was unfair to keep someone's deposit for 30 months without paying any interest. Commissioner Wheeler agreed with Chairman Scurlock, but Director Pinto explained that when a government owns a utility, the taxpayers end up paying for the deadbeats. He also pointed out that recent legislation prohibits us from going after owners of rental units and allows us only to go after the renters themselves. Our only recourse is to go to court, and that becomes a utility expense. Director Pinto argued that if the County did pay interest, it would reduce the revenue in the utility rate structure. The customers have to pay for any losses incurred by this utility; it really is not a stockholders' situation. Our current loss situation is less than 50. Chairman Scurlock felt that the onus for establishing good credit should be on the customer, and if he cannot, then he must pay a deposit; however, if he is able to establish very good credit, he should get his deposit back earlier. Director Pinto argued that tracking the deposits would pose some difficult, and felt that if we go ahead with that policy, we must realize that we have to make up for any losses incurred by deadbeats. Commissioner Wheeler suggested a compromise of returning the deposit earlier, and Chairman Scurlock emphasized that he just wanted the Commission to explore the possibility, because this requirement has been creating some bad public relations, and he pointed out that public relations is an important part of the utility business. He pointed out that the City of Vero Beach pays interest on their deposits. Commissioner Bird agreed with Director Pinto in that it would be very difficult to track the deposits, and Commissioner Bowman felt it was a question of whether the cost of tracking the deposits would offset the cost of the public relations. 38 _ M