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Learned something about Utilities Today

BossHog | Posted in General Discussion on June 19, 2006 06:22am

I have a rental house, and had a tenant move out. They were supposed to be there until the end of the month, but left last week. (At least the rent is paid until the end of the month)

Today I had someone over there cleaning carpets when the power company stopped by and shut the power off.

I called the power company, and they said they can’t transfer it back to my name unless I call them. And the renter didn’t tell me they had asked to have the power cut off.

Even though the guy that cut the power off is still in town, they won’t send him back to have the power turned on. Company policy is that work orders can’t be executed the same day they’re processed.

They told me I have to have a signed contract with them for rental properties in order to NOT have the power cut off. And I get to pay a fee for reconnecting the service.

I’m sure you pro rental guys like Tim Mooney already knew this, but it was all new to me. Just thought it might help out someone else who might face this situation someday….

The breakfast of champions is not cereal, it’s the opposition. [Nick Seitz]

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  1. Stray | Jun 19, 2006 07:06pm | #1

    Yeah this can be a pain.  I have the agreement set up for my utility to put it in my name automatically.  I'd rather have it that way as opposed to not knowing about it. 

    For one, it lets you know if a tenant skipped out of town in the middle of the night.  Also, it keeps your pipes from freezing in the winter when the utilities get cut.

    My utility will even send me a CC on notices threatening to cut utilities due to non payment by my tenants (If they're not paying utilities they're probably not able to pay the rent too....).

    My lease says they have to keep utilities on for the legnth of their lease term.  So in your example if they move out early, even though rent is paid up, they also are liable for keeping utilities active.  If you have a similar clause, you can deduct the utility bill from their security depost refund check.  It gets less clear cut if you're taking posession back and doing work in there (ie using the utilities).

    A vacant apartment does use utilites.  Refrig, pilot lights, smoke detection, minimum heat in winter, etc...  Plus just the "fees" portion of the monthly bill (ie meter surcharge or whatever).

    A pain for they carpet guy no doubt.  What's that crap about not doing it same day as the request?  That's pure BS IMO.  Best of luck.

     

    Ithaca, NY  "10 square miles, surrounded by reality"

    1. User avater
      BossHog | Jun 19, 2006 07:37pm | #3

      I had a thought after I made the original post - If I sign their "landlord" contract, I wonder if that makes me liable for the utilities if the tenant doesn't pay them? That would be what I'd exect out of a utility company. Guess I'll have to read the fine print on the contract when they mail it to me...
      Leadership is the initiation and direction of endeavor in the pursuit of consequence. Anything else is criticism from janitors. [Royal Alcott]

      1. Stray | Jun 19, 2006 09:03pm | #5

        If the tenant requested a disconnect, and you request a reconnect....you are certainly liable for the uitlity costs ocurring after the reconnect. 

        No way they can get you for utilities left unpaid by the tenant (I wouldn't think...read carefully as you sugggest!)

        I'd rather be stuck with a month's worth of utilities than frozen pipes.  Besides, that's what the security dep[osit is for anyways...

        It's alwasy such a joy working with the utility company...They're the only game in town and they certainly know it!Ithaca, NY  "10 square miles, surrounded by reality"

        1. RobWes | Jun 20, 2006 12:29am | #6

          We had a tenant that was forced out. The phone company had already shut off the service to her. When we went to place the utilities back into our name they replied no can do without full payment of the amount due.

          For now on the bills stay in our name and paid by us. We send a copy to the renter and expect payment in full. If they don't pay then the plan is to start proceedings ASAP.

          We don't pay games anymore.

          1. caseyr | Jun 20, 2006 05:59am | #8

            Similar deal, renter moved out and hadn't paid the last couple of months of the electric bill. While I was cleaning the place, the power was shut off for non payment (I hadn't checked and assumed that I could get by with two days before I had the power turned off while a new renter was found). The power company said no power to the place unless all past due amounts to that address were paid, plus a recommenct fee, no matter whose name the bills were in. Fortunately, in the S.F. Bay area people don't generally use a lot of electricity, so the past due was only about $50 plus the reconnect charge.

          2. Stray | Jun 20, 2006 03:05pm | #10

            "When we went to place the utilities back into our name they replied no can do without full payment of the amount due."

            Wow, I find that hard to swallow.  My gut reaction is that it's a good tactic for the utility (helps their collections dept out), but of questionable legal standing.  The service agreement is between the tenant and the utility. 

            I wonder, if pressed by a lawyer or under small claims court, whether it would stand up.  any lawyers out there?

            You could also check with a local landlord association (lots of folks have dealt with this before you I imagine).

            I live in a college town and I think the utility is used to high turnovers and delinquency.  They seem perfectly happy to get a new account going to have a new paying customer.Ithaca, NY  "10 square miles, surrounded by reality"

          3. brownbagg | Jun 20, 2006 04:01pm | #11

            here all work orders are handled tha same day. they work till its done. Alot of power turn on, simple meters swaps are within a hour. On a apartment, I went up to the power office, couple miles up the road to fill out the paperwork and power was on when i returned home, about a hour time.

          4. BryanSayer | Jun 20, 2006 04:48pm | #12

            If you go the route of keeping the utilities in your name, you should check with your lawyer about the wording of your contract, particularly in regard to partial payments. You may want to specify that money goes first to the utility bill so that all unpaid money (if that happens) is declared as rent so that you have standing to attempt to collect.

          5. User avater
            BillHartmann | Jun 20, 2006 06:48pm | #13

            Slightly off topic.My uncle used to be treasure for what then was a small rual water district.If they had somebody behind in payments they would work with them.But if no results and they had to shut off the water they scheduled it for 4pm Fridays. That was after the partime office staff left and closed the office.So that they would have to wait until monday to pay and get it turned back on.

      2. fab4beck | Jun 20, 2006 07:55am | #9

        I have a rental property here and I have the contract signed for utilities to stay on after they move and they even have called me if the tenants aren't paid up to see if I wanted the utilities left on of course I told them "no, I was in the process of getting them evicted anyway" but when the utilites are switched in my name they usually read the meter to end there billing and start mine so I don't get there bill left for me. Which in my opinion I like the contract idea myself.

        Scott

  2. User avater
    CapnMac | Jun 19, 2006 07:07pm | #2

    but it was all new to me

    Well, in my town, it would be completely different.  And then, different from that, in the abutting city next door, too.

    In my town, the Electric U is a privately-owned Public Utility.  They do not permit "split" utility contracts, per se.  (This has to do with how the Utility also bills for City-provided services such as w/s & garbage collection all on one bill.) 

    Now, a property owner can pick up just the water & garbage for rental units (which can be good in the winter, to prevent problems with frozen pipes, or running faucets, etc.)  The owner can also take out electrical coverage, and pay the deposit, then have the renter "co-sign" for the bills--this can prevent problems with renters not having the $175-$250 deposit, and means the rental can be shown, "lit" as they say locally in the trade (dark units are harder to move, as are ones w/o working a/c).  (If the account is more than 3 years old, and is not in arrears, the deposit is paid back--good for owners, not seen much by renters.)

    Go over to College Station, and it's an entirely different set of rules.  But, that's a muni Utility, too.  They have "landlord" utilities arrangements, but it has to be 5 or more units.  CSE waits a month before pulling meters, as that reduces the workorders from renters/owners.  BTU will pull the meter the day the customer says to stop the juice--but, you can get an "after hours" service call, if you have a signed & documented service contract that was supposed to start on the day in question.

    Occupational hazard of my occupation not being around (sorry Bubba)
  3. davem | Jun 19, 2006 08:11pm | #4

    when a tenant gives notice, i call entergy and tell them to read the meter on the termination date, then switch the bill to me. if they forget and terminate service, it's usually by putting insulators on the plugs on the back of the meter. i cut the seal, pull the insulators and reconnect it myself. then i call entergy, and tell them to bill me for anything past the tenant's cutoff. they never complain about the broken seal

    1. JamesDuHamel | Jun 20, 2006 04:46am | #7

      i cut the seal, pull the insulators and reconnect it myself. then i call entergy, and tell them to bill me for anything past the tenant's cutoff. they never complain about the broken seal

      You are very lucky. Entergy's official policy is to pull the meter if they find a broken seal (if THEY didn't break it).

      Here, if they have a record of a service call in which the service was terminated, and they find the broken seal (and active meter) WITHOUT an official "turn on"  service call record, they terminate service. If it happens more than once, they file criminal charges.  After the storm, they have been getting really gung ho about it.

      It really all depends on the Troubleshooter (part of the Line  Department), and Meter department personnel whether or not they do anything, or just ignore it. James DuHamel

      He who dies with the most toys.... Still dies!

      "For what will it profit a man if he gains the whole world, and loses his soul?" MARK 8:36

      http://www.godsfreemusic.com

      1. User avater
        CapnMac | Jun 20, 2006 07:01pm | #14

        department personnel whether or not they do anything, or just ignore it.

        No lie.  Entergy supplies parts of College Station (to no rhyme or reason); said city has many college students, who will occasionally be too poor to pay their bills, and can vanish faster than yesterday's clouds.  If the Meter people see a busted tag on a running meter, they get the Line/Service people out.  The meter comes clean off, and a glass blank goes up in it's place.  Property owner then must appear, in person, with proof of ownership, and proof of inancial responsibility, to plead their case to be granted another meter.

        Not terribly out of line, really, the "maintenance" guy who spins the meter back into its socket rarely ever is qualified to do so (other than never having been crispy-fried "yet" . . . )

        BTU is odd, though--the service guys don't care a whit about tags, they'll pop them off left right and center.  The tricky part is making sure a copy of the service call goes over to Metering (though, the readers generally figure out when it's 6-7 meters in a row).Occupational hazard of my occupation not being around (sorry Bubba)

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