PSC 134.061(11) (11) Review. The utility shall not continue to require a cash deposit for a residential account unless a deposit is permitted under the provisions of sub. (4) or (10).

PSC 134.061(12) (12) Method of refund. Any deposit or portion thereof refunded to a residential customer shall be refunded by check unless both the customer and the utility agree to a credit on the regular billing, or unless sub. (14) applies.

PSC 134.061(13) (13) Refund at termination of service. On termination of residential service, the utility shall credit the deposit, with accrued interest, to the customer’s final bill and return the balance within 30 days of issuing the final bill.

PSC 134.061(14) (14) Arrearages. An arrearage owed by a [residential] customer may be deducted from the customer’s deposit under the following conditions:

PSC 134.061(14)(a) (a) Except as provided in par. (c), a deposit may be used by the utility only to satisfy an arrearage occurring after the deposit was made.

PSC 134.061(14)(b) (b) If the utility deducts an arrearage from a customer deposit, it may require the customer to bring the deposit up to its original amount. Failure of the customer to do so within 20 days of mailing a written request for payment is ground for disconnection.

PSC 134.061(14)(c) (c) When a deposit is refunded to the customer, the utility may first deduct any arrearage owed by the customer, whether the arrearage arose prior to or after the date of the deposit.

PSC 134.061(15) (15) Applicability. The provisions in subs. (2) and (3) are not applicable to deposits or guarantees made in connection with the financing of extensions or other equipment.

PSC 134.061 History History: Cr. Register, January, 1975, No. 229, eff. 2-1-75; am. Register, November, 1980, No. 299, eff. 12-1-80; renum. (7) to (14) to be (8) to (15), cr. (7), Register, April, 1985, No. 352, eff. 5-1-85; emerg. cr. (2) (c), am. (4) (a) and (5), eff. 10-25-88; r. and recr. Register, October, 1989, No. 406, eff. 11-1-89.

PSC 134.0615 PSC 134.0615 Deposits for commercial and farm service.

PSC 134.0615(1) (1) Deposit request. If the credit of an applicant for commercial or farm service has not been established satisfactorily to the utility, the utility may require the applicant to post a deposit. The utility shall notify the applicant within 30 days of the request for service as to whether a deposit will be required. The 30-day period shall begin from the date the applicant provides all requested relevant information to the utility. If no request for a deposit is made within this period, no deposit shall be required, except under the provisions of sub. (5). If a request for a deposit is made, the applicant must be given at least 30 days to provide payment, or guarantee, or to establish an installment payment agreement.

PSC 134.0615(2) (2) Considerations for deposit. In determining whether an applicant for commercial or farm service has satisfactorily established its credit, the utility shall inform the customer that it will consider any or all of the following factors, if provided by the customer, before requiring a security deposit:

PSC 134.0615(2)(a) (a) Credit information from credit reporting services.

PSC 134.0615(2)(b) (b) Letter of credit from a financial institution or another utility.

PSC 134.0615(2)(c) (c) Applicant’s business characteristics, such as type of business, length of time the applicant has operated, the applicant’s business experience and knowledge, and estimated size of the applicant’s bills.

PSC 134.0615(2)(d) (d) Assets of the business.

PSC 134.0615(2)(e) (e) The financial condition of the business, as indicated in a financial statement.

PSC 134.0615(3) (3) Installment payment agreement. A commercial or farm customer or applicant for commercial or farm service of which a deposit is requested shall have the right to receive service under an installment payment agreement.

PSC 134.0615(4) (4) Guarantee terms and conditions.

PSC 134.0615(4)(a) (a) The utility may accept, in lieu of a cash deposit for new or existing commercial or farm service, a contract signed by a guarantor satisfactory to the utility whereby payment of a specified sum not exceeding the cash deposit requirement is guaranteed. The term of such contract shall be for no longer than 2 years, but it shall automatically terminate after the commercial or farm customer has closed its account with the utility, or at the guarantor’s request on 30 days’ written notice to the utility.

PSC 134.0615(4)(b) (b) On termination of a guarantee contract, or whenever the utility deems the amount of surety insufficient, a cash deposit or a new or additional guarantee may be required on 20-day written notice to the customer. The service of a customer who fails to comply with these requirements may be disconnected on 8 days’ written notice, subject to the establishment of an installment payment agreement.

PSC 134.0615(4)(c) (c) The utility shall mail the guarantor copies of all disconnect notices sent to the customer whose account he or she has guaranteed, unless the guarantor waives such notice in writing.

PSC 134.0615(5) (5) Existing commercial or farm service.

PSC 134.0615(5)(a) (a) The utility may require an existing commercial or farm customer to furnish a deposit if the customer has not made prompt payment of all bills within the last 24 months, or if the customer has the ability to pay for the utility service but, during the cold weather disconnection rules period, had an arrears amount incurred during that period that was 80 days or more past due.

PSC 134.0615(5)(b) (b) When the utility requests a deposit of an existing commercial or farm customer, the customer shall have 30 days to provide the deposit, guarantee, or to establish an installment payment agreement.

PSC 134.0615(6) (6) Written explanation.

PSC 134.0615(6)(a) (a) A utility shall provide a written explanation of why a deposit or guarantee is being required for commercial or farm service. The explanation shall include notice of the customer’s right to appeal any deposit request or amount required under this section to the public service commission.

PSC 134.0615(6)(b) (b) The utility shall inform the customer at the time a deposit is provided that if, after 12 months of utility service, the deposit amount is greater than necessary based on actual consumption, the customer may request refund of the difference between the 2 amounts.

PSC 134.0615(7) (7) Refusal or interruption of service. Commercial or farm service may be refused or disconnected for failure to pay a deposit request, subject to the rules pertaining to disconnection and refusal of service.