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Title 3 . Commerce, Community, and Economic Development
Chapter 52 . Telecommunications
Section 420. Deposit requirements

3 AAC 52.420. Deposit requirements

(a) A utility's electric service deposit payment and refund procedures, if any, must be set out in its effective tariff and must conform to the provisions of this section.

(b) A utility may require a separate deposit for each meter installed. The amount of a deposit required by the utility may not exceed the higher of two times the estimated average monthly bill at that location or two times the average monthly bill of that customer class.

(c) A utility shall refund a deposit for residential electric service within 90 days if the applicant is able to meet either of the following requirements:

(1) the applicant has previously established a good payment record with the utility by, for example, receiving service from the utility at another location within the past two years without delinquency in payment during the last 12 consecutive months of service; or

(2) the applicant provides a letter or other written verification from the electric utility that last provided comparable service to the applicant, stating that the applicant was not delinquent in payment for the last 12 consecutive months of service at the prior location.

(d) A utility shall issue to an applicant a written receipt for the amount of the deposit and a description of the utility's terms and conditions in its effective tariff for the refund of deposits. The utility may not require a customer to produce a deposit receipt in order to receive a refund of the deposit that is reflected on the utility's records.

(e) A utility's deposit policy must require refund of deposits and accrued interest within 30 days after the earlier of

(1) 12 months' continuous service, if the customer has not been past due in the payment of utility bills more than twice, has not been delinquent in the last six months, and is not past due at review; or

(2) termination of service, to the extent the amount held exceeds any balance due the utility for electric service and late fee for that account, including accrued finance charges.

(f) A utility may institute or adjust a deposit for an established customer consistent with 3 AAC 52.420(b) if the customer becomes delinquent in payment.

(g) A utility shall provide deferred payment deposit arrangements in cases of residential customer economic hardship.

History: Eff. 1/1/87, Register 100

Authority: AS 42.05.141

AS 42.05.151

AS 42.05.291

AS 42.05.301

AS 42.05.361


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Last modified 7/05/2006