Section R14-2-211. Termination of Service

A.      Nonpermissible reasons to disconnect service. A utility may not disconnect service for any of the reasons stated below:

1.        Delinquency in payment for services rendered to a prior customer at the premises where service is being provided, except in the instance where the prior customer continues to reside on the premises.

2.        Failure of the customer to pay for services or equipment which are not regulated by the Commission.

3.        Nonpayment of a bill related to another class of service.

4.        Failure to pay for a bill to correct a previous underbilling due to an inaccurate meter or meter failure if the customer agrees to pay over a reasonable period of time.

5.        A utility shall not terminate residential service where the customer has an inability to pay and:

a.         The customer can establish through medical docu- mentation that, in the opinion of a licensed medical physician, termination would be especially danger-

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ous to the health of a customer or a permanent resi- dent residing on the customer’s premises, or

b.        Life supporting equipment used in the home that is dependent on utility service for operation of such apparatus, or

c.         Where weather will be especially dangerous to health as defined or as determined by the Commis- sion.

6.        Residential service to ill, elderly, or handicapped persons who have an inability to pay will not be terminated until all of the following have been attempted:

a.         The customer has been informed of the availability of funds from various government and social assis- tance agencies of which the utility is aware.

b.        A third party previously designated by the customer has been notified and has not made arrangements to pay the outstanding utility bill.

7.        A customer utilizing the provisions of subsection (A)(4) or (A)(5) above may be required to enter into a deferred payment agreement with the utility within 10 days after the scheduled termination date.

8.        Disputed bills where the customer has complied with the Commission’s rules on customer bill disputes.

B.       Termination of service without notice

1.        In a competitive marketplace, the Electric Service Pro- vider cannot order a disconnect for nonpayment but can only send a notice of contract cancellation to the cus- tomer and the Utility Distribution Company. Utility ser- vice may be disconnected without advance written notice under the following conditions:

a.         The existence of an obvious hazard to the safety or health of the consumer or the general population or the utility’s personnel or facilities.

b.        The utility has evidence of meter tampering or fraud.

c.         Failure of a customer to comply with the curtailment procedures imposed by a utility during supply short- ages.

2.        The utility shall not be required to restore service until the conditions which resulted in the termination have been corrected to the satisfaction of the utility.

3.        Each utility shall maintain a record of all terminations of service without notice. This record shall be maintained for a minimum of one year and shall be available for inspection by the Commission.

C.      Termination of service with notice

1.        In a competitive marketplace, the Electric Service Pro- vider cannot order a disconnect for nonpayment but can only send a notice of contract cancellation to the cus- tomer and the Utility Distribution Company. A utility may disconnect service to any customer for any reason stated below provided the utility has met the notice requirements established by the Commission:

a.         Customer violation of any of the utility’s tariffs,

b.        Failure of the customer to pay a delinquent bill for utility service,

c.         Failure to meet or maintain the utility’s deposit requirements,

d.        Failure of the customer to provide the utility reason- able access to its equipment and property,

e.         Customer breach of a written contract for service between the utility and customer,

f.         When necessary for the utility to comply with an order of any governmental agency having such juris- diction.

2.        Each utility shall maintain a record of all terminations of service with notice. This record shall be maintained for one year and be available for Commission inspection.

D.      Termination notice requirements

1.        No utility shall terminate service to any of its customers without providing advance written notice to the customer of the utility’s intent to disconnect service, except under those conditions specified where advance written notice is not required.

2.        Such advance written notice shall contain, at a minimum, the following information:

a.         The name of the person whose service is to be termi- nated and the address where service is being ren- dered.

b.        The utility tariff that was violated and explanation thereof or the amount of the bill which the customer has failed to pay in accordance with the payment policy of the utility, if applicable.

c.         The date on or after which service may be termi- nated.

d.        A statement advising the customer to contact the utility at a specific address or phone number for information regarding any deferred payment or other procedures which the utility may offer or to work out some other mutually agreeable solution to avoid termination of the customer’s service.

e.         A statement advising the customer that the utility’s stated reason for the termination of services may be disputed by contacting the utility at a specific address or phone number, advising the utility of the dispute and making arrangements to discuss the cause for termination with a responsible employee of the utility in advance of the scheduled date of ter- mination. The responsible employee shall be empowered to resolve the dispute and the utility shall retain the option to terminate service after affording this opportunity for a meeting and con- cluding that the reason for termination is just and advising the customer of his right to file a complaint with the Commission.

3.        Where applicable, a copy of the termination notice will be simultaneously forwarded to designated third parties.

E.       Timing of terminations with notice

1.        Each utility shall be required to give at least five days’ advance written notice prior to the termination date.

2.        Such notice shall be considered to be given to the cus- tomer when a copy thereof is left with the customer or posted first class in the United States mail, addressed to the customer’s last known address.

3.        If after the period of time allowed by the notice has elapsed and the delinquent account has not been paid nor arrangements made with the utility for the payment thereof or in the case of a violation of the utility’s rules the customer has not satisfied the utility that such viola- tion has ceased, the utility may then terminate service on or after the day specified in the notice without giving fur- ther notice.

4.        Service may only be disconnected in conjunction with a personal visit to the premises by an authorized represen- tative of the utility.

5.        The utility shall have the right (but not the obligation) to remove any or all of its property installed on the cus- tomer’s premises upon the termination of service.

F.       Landlord/tenant rule. In situations where service is rendered at an address different from the mailing address of the bill or where the utility knows that a landlord/tenant relationship

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exists and that the landlord is the customer of the utility, and where the landlord as a customer would otherwise be subject to disconnection of service, the utility may not disconnect ser- vice until the following actions have been taken:

1.        Where it is feasible to so provide service, the utility, after providing notice as required in these rules, shall offer the occupant the opportunity to subscribe for service in his or her own name. If the occupant then declines to so sub- scribe, the utility may disconnect service pursuant to the rules.

2.        A utility shall not attempt to recover from a tenant or con- dition service to a tenant with the payment of any out- standing bills or other charges due upon the outstanding account of the landlord.

Historical Note

Adopted effective March 2, 1982 (Supp. 82-2). Amended by an emergency action effective August 10, 1998, pursu- ant to A.R.S. § 41-1026, in effect for a maximum of 180 days (Supp. 98-3). Emergency amendment replaced by exempt permanent amendment effective December 31, 1998 (Supp. 98-4). Amended to correct subsection num- bering (Supp. 99-4). Amended by exempt rulemaking at 6

A.A.R. 4180, effective October 13, 2000 (Supp. 00-4).

Note

Editor’s Note: The following Section was amended under an exemption from the Attorney General approval provisions of the Arizona Administrative Procedure Act (State ex. rel. Corbin v. Arizona Corporation Commission, 174 Ariz. 216 848 P.2d 301 (App. 1992)), as determined by the Corporation Commission. This exemption means that the rules as amended were not approved by the Attorney General.