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Billing and Collection The City issues a combined utility bill to each of its customers for water, sewer, and solid waste collection services (the City acts as the billing and collection agent for Recology of San Mateo County, a private company that performs solid waste collection services under a franchise agreement with the City). The City bills its utility customers on a bi-monthly basis for residential customers and a monthly basis for commercial customers. Sewer service charges for Kensington Square SMD and Oak Knoll SMD are paid to the City bi-annually. Sewer service charges for Edgewood SMD are paid annually to the City. The utility bills are due and payable within 30 days of the bill date. If not paid within 30 days, the utility bill is delinquent, a 10 -day reminder notice is mailed to the customer and assessed a 1.5% interest charge, and if still unpaid 40 days after the initial bill has been issued, a 7 -day notice is mailed indicating that water will be shut off if the bill remains unpaid and another 5% interest charge is assessed. If the utility bill continues to be unpaid after the 5% interest charge, utility services will be disconnected until payment is made. The reconnection fee ranges from $20 to $100 if paid during business hours, $320 if paid after business hours. The following table shows a five-year history of reserve amounts available for sewer utility bill payment delinquencies. Table A7 Redwood City - Sewer Bill Allowance for Bad Debt* 2012-13 2013-14 Amount $44,624 $30,528 % of Revenue 0.16% 0.11% 2014-15 2015-16 2016-17 $60,688 $24,953 $24,953 0.19% 0.07% 0.07% * A reserve for delinquent payments, estimated and adjusted annually based on previous and outstanding delinquent payments. Source: City of Redwood City A-8