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HomeMy WebLinkAbout08/25/2026 03.A. Discussion About Utility Billing Practices r- ---<;TT;s'r\ 'b BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 3.A. For Meeting of: August 25, 2026 ITEM TITLE: Discussion About Utility Billing Practices SUBMITTED BY: Craig Warner, Director of Finance & Budget *Anabel Chavez, Utility Customer Services Manager SUMMARY EXPLANATION: ITEM BUDGETED: N/A STRATEGIC PRIORITY 24-25: A Resilient Yakima RECOMMENDATION: ATTACHMENTS: Utility Billing Discussion Presentation (1) 08-25-26.pptx 2 . ,,,,,,„z, :_ Hi nfYakima:+ram Utilities \\ .„...„ _,, ..2„.......,...„,__ Billing Collection Process \ /4.Anabel Chavez, Utility Services Manager Craig Warner, Director of Finance & Budget 3 Utilit " Billie & Collection _ _ No Action Needed by Council Tonight Motion made by Councilman Glenn to discuss the Utility Billing process Share Current Practices Review Issues Discussion of Potential Solutions Steps Moving Forward 4 Utility Billing & Collection Process Background The Utility Billing Department bills for the following services: ' Water Wastewater I Refuse Irrigation Stormwater (currently billed through the County with property taxes) 5 Consumption Based Billing Water/Sewer/Refuse Non-Consumption Based Billing Irrigation & Stormwater (not included in totals below) 33,000 Accounts Billed Bi-monthly Multi-Million Dollars Billed 930 Accounts (or 2.8%) Eligible for Shut-Off 525 Accounts Late on Most Recent Bill 16,500 Bills sent Monthly 16,000 Payments Received Monthly 6 Residential, Commercial & Industrial Billing Bi-Monthly Billing — All utilities, except Stormwater Allow Tenant Accounts — Rental/Leased Properties ' Owner Responsibility — Unpaid Tenant Accounts Deposits — Required for tenants and owners with prior delinquencies Water Shutoffs — Prohibited During Heat Alerts RCW 35. 21. 302 (1) Miscellaneous Billing — DYBID, Airport, Fire Inspections 7 Meter Replacement Project "Ghost" Meters Deposit shortfalls City will need to assume Stormwater Billing in 2027 Uncollectable Accounts Penny Elimination 8 Utility Billing Software — Cayenta Aging system Significant Custom Modifications Required High Costs for Custom Modifications Integration with other software systems difficulties Expanding E-Billing and Auto Pay options Budget Billing Limitations Significant System Bugs 9 Improvement Consi , Monthly billing process (Pasco) Discounts for E-Billing and Auto Pay Update Deposit Policy Replace Utility Billing Software Tenant Accounts yes or no? 10 ‘1 Community Outreach (Survey) Billing Frequency Billing Delivery Options Payment Options Discussion with Community Stakeholders 11 What is Stormwater Utility? Stormwater is Not Irrigation Rain & Snowmelt Runoff — from rooftops, paved streets, highways & parking lots Carries Pollutants — oil, fertilizers, sediment & waste into the storm drains and rivers Stormwater does NOT go through the wastewater treatment plant Stormwater fee is collected from each & every developed property (YMC 7.80. 120) Stormwater is required by RCW 90.48 12 Storm Ai What is the Issue? Stormwater has historically been collected through Yakima County's annual property tax billing The County's new billing system will no longer support this process tt �� The City needs a New billing method for 2027 City Code will need to be updated accordingly 13 Potential Solutions Work with Utility Billing Software to determine the best billing solution the current software can provide. Like Irrigation Billing, could be split into 6 bi-monthly billings. R Bring options back to Council soon to discuss the best path forward. Clearly communicate how this change will impact our customers. 14 Thank - 101 15