Troy revists added deposit, other measures to curb electric bill nonpayments

Burned by unpaid bills, the City of Troy is vetting new application requirements for residents to obtain electrical service.

The Troy City Council last week spent more than an hour of its scheduled work session parsing several proposals meant to help correct what local officials described as a revolving door of bill nonpayments.

Options garnering broad support included installing a new deposit totaling the highest three months of recent use and requiring a credit check for applicants.

For those with low or no credit, a cosigner could be required.

“It’s just the cost of doing business,” Council member T.J. Boswell said in discussing whether the city should require credit checks.

City Clerk and Treasurer Tracy Rebo cautioned the council against increased deposit amounts, namely concerning moderate- and low-income residents. Some, she said, might not have any credit.

“I’m sorry,” Rebo said. “It’s just not going to work.”

Troy Power and Light Department Power Manager Clay Campbell said the deposit is meant as a safety net for the department, securing a comparatively small sum ahead of potential nonpayment.

The council, meanwhile, also appeared to support cutting off electrical service to a property after 30 days of nonpayment as a way to limit significant nonpayments.

Troy currently allows 60 days of nonpayment, any skipped bills ultimately being the responsibility of the property owner.

Of late, city staff said during the meeting, the current shutoff timeline is allowing some late electrical bills to balloon to upwards of $2,000 or more before service is disconnected.

Now researching individual proposals, city staff is drafting recommendations into a formal policy for review during a later meeting.

Officials at the meeting said the city has some 900 electrical users and sends out an average of 50 late notices to customers, monthly. Some who skip bills are often never seen again.