Bill paying may have its rewards

Customers in good standing with the city of Brooksville might catch a break similar to their Hernando County counterparts as officials consider a measure to refund utility deposits.

City officials are working on creating a policy that would refund a $150 deposit for utilities if the customer has a good payment history of two years.

Officials would define a good customer as someone without late payments, returned checks or disconnections of service. If someone was refunded their deposit and then became delinquent later on, they would be required to resubmit their deposit and the two-year period would begin again.

According to a memo from City Finance Director Steve Baumgartner and interim Department of Public Works Director Richard Radacky, the policy would have a minimum impact on the city budget. Currently, the city doesn't earn revenue from the utility deposits and the interest earnings are passed to customers annually by crediting their utility bills.

Joe Stapf, Hernando County utility director, said county property owners receive a refund of their $100 to $200 deposits after a year in good standing. Water and sewer deposits are $100 each and some pay only for water.

The county also refunds the interest collected on the deposits as well. If a customer misses a payment or no longer becomes in good standing, Stapf said the year cycle begins again for them to again garner a refund.

"We don't offer refunds for tenants who rent," Stapf said. "We can always put a lien on a property and collect a debt as a last resort and that makes property owners more diligent about paying bills, but tenants can always skip out and we have no way to track them."

Renters also pay $25 more for water deposits, totaling $225 for water and sewer.

During the Brooksville City Council meeting earlier this week, council members questioned whether stipulations should be placed to only include property owners and not tenants who rent. Other issues raised included whether the city should require credit checks.

"We recognize that deposits have been collected and retained since the 1930s," Baumgartner and Radacky's memo states. "Therefore, if our utility customers have good payment history, we certainly agree and encourage council to refund those deposits."