To provide PEC’s members an option to pay in advance for electricity.
II. Policy Content:
To establish a procedure to properly administer charges, enroll members, and address various scenarios for PEC’s PrePaid Metering (PPM) program.
A. Enrolling in and Removal from PPM
- Eligibility for PPM
Any self-contained, single phase Residential or General Service account with a 240 volt, 30 amp, 3-wire meter with ability to communicate remotely is eligible for PPM with the following exceptions:
- Locations where an occupant has a condition considered life threatening without electric service are not eligible for PPM. Members are required to sign the PPM Agreement acknowledging this statement and agreeing to notify PEC should any occupant meet this criterion in the future.
- Accounts participating in PEC’s Loan Programs are not eligible for PPM.
- Members requesting to enroll in PPM must have the means to check their account balance through PEC’s online payment portal or by telephone.
- New Service Applicant
- New applicants who wish to participate in PPM may do so by completing a PPM Agreement in addition to the standard Agreement for Permanent Electric Service.
- Deposit and/or cosigner requirement will be waived.
- New applicants will be required to post “$50/$50/50%”
- $50.00 Connect Fee. Connect fee will be applied toward the Minimum Credit Balance if remote disconnect/connect sleeve already installed at the location where service will be established.
- $50.00 Minimum Beginning Credit Balance (includes $5.00 Membership Fee).
- 50% of an Uncollectable Amount or balance on member’s prior, inactive account(s) must be paid prior to reconnection. The remaining 50% will be placed in the PPM arrears account.
- After enrollment, 50% of each PPM payment will be applied toward any arrears amount until said amount is $0.00.
- Existing Members
Members meeting Eligibility requirements may join PPM as follows:
- Member must sign PPM Agreement.
- Member must post “$50/$50/50%”
- $50.00 Connect fee. Connect fee will be waived if a remote
disconnect/connect sleeve is already installed at the location
where service will be established.
- $50.00 Minimum Credit Balance.
- 50% of Past Due Usage. “Past Due Usage” is defined as any amount previously billed which is still due after the most recent due date. For example, any balance owed after the 10th of any given month would be considered “Past Due Usage.”
- Any usage billed and not yet due as well as any usage from prior billing through date/time of application for PPM will be calculated and placed in arrears.
- $50.00 Connect fee. Connect fee will be waived if a remote
- Any existing deposit plus interest will be applied to the PPM Reconnection Fees, Past Due Usage, and PPM account.
- If member who has been disconnected for nonpayment applies for PPM, any existing deposit plus interest will be applied toward amount for which member was disconnected and toward the reconnection fee, with the remainder being applied toward the PPM account.
- Members requesting to be removed from PPM and placed on regular monthly billing must post a security deposit equal to 2 months average bill for the service location with a minimum as established by Terms & Conditions of Service 201, II, C, 1, b, have a cosigner, or a satisfactory credit report if member owns service location.
- PEC may charge a $50.00 trip fee if the meter must be changed to accommodate the member’s request.
B. PPM Billing
- PPM accounts adhere to established Cooperative rates.
- Usage will be calculated on a daily basis using the account’s rate schedule.
- Should the meter fail to communicate a proper reading, an estimated reading will be calculated and applied until the true reading is communicated, at which time the account will be adjusted for any differences.
- Any charges billed on a monthly cycle will be prorated and billed daily. Such charges include but are not limited to the Minimum Monthly Charge (base charge), Minimum Monthly Bill, Security Light Rental Fees, and PowerShield Fees.
- Once all necessary data is received for regular monthly billing, a “true up” will occur to accurately bill PPM accounts.
- Each PPM account will be billed an additional $6.00/month for Transaction Fees, with a total of up to $6.00 eligible to be credited back during “true up” according to III, D, 2 below, prorated daily.
- If applicable, Security Light KWH revenue charges will be billed at “true up.”
- To offset potential changes in account balances due to “true up,” a $10.00 charge will be prorated throughout the month and then credited back at “true up.”
- Late fees are not applied to PPM accounts.
C. PPM Account Notifications
- PPM members with Internet access do not receive paper bills.
- PPM members may check account balance at their convenience through the following methods:
- PEC’s Pay-by-Phone System.
- PEC’s Smarthub site.
- PEC will automatically notify members when their PPM credit balance reaches $20.00 or below, or below a threshold established by the member. Notification will be made by one or more of the following methods, which will be determined by the member during PPM application:
- Electronic Mail
- Automated Telephone Call
- In addition, members may select to receive notifications via cellular phone text message.
- Members are responsible for notifying PEC should their methods of contact change.
- Automatic notifications will not be sent between the hours of 9:00 pm – 7:00 am.
D. PPM Payments
- 50% of each payment made toward a PPM account will be applied toward any arrears balance, if applicable.
- Members are encouraged to remit payment toward their PPM account once per month and will receive credit toward Transaction Fees during “true up” based on the following schedule:
- 1 payment made/month = $6.00 credit (Full refund)
- 2 payments made/month = $4.00 credit toward Transaction Fee
- 3 payments made/month = $2.00 credit toward Transaction Fee
- 4+ payments/month = $0.00 credit toward Transaction Fee
- Payment may be made through PEC’s Smarthub site, PEC’s Pay-by-Phone System, or in person. Payments mailed, made through pay sites or online bill pay will be applied upon receipt.
- Energy Assistance Pledges
- Notations of pledges of Energy Assistance will be placed on account by Collections Manager.
- If Energy Assistance is being pledged specifically on an arrears amount, the Collections Manager will monitor and apply as such.
- If Energy Assistance is being pledged otherwise, 50% of the payment will be applied toward any arrears balance.
- Energy Assistance will be applied toward the PPM balance once physically received at PEC’s office.
- Only pledges for Energy Assistance from a State or other government agency will prevent an account from being disconnected or initiate a reconnect.
E. Disconnection/Reconnection of PPM Accounts
- Accounts with a balance of $0.00 or less will be reviewed each weekday
morning, exclusive of legal holidays, by a PEC representative for accuracy
- Service will not be disconnected on weekends nor during inclement
weather, in accordance with Terms & Conditions of Service 401, III, C, 1.
- Once a payment has been made to bring the account to a credit balance, the
service will be reconnected automatically.
- Returned Checks
- Check payments returned unpaid will result in a $30.00 returned check fee and will be applied toward the member’s PPM balance.
- If returned check plus fee results in a balance owing, the member will be notified and given 24 hours to post payment resulting in a PPM credit balance. Failure to do so will result in disconnection.
- “Payment by Check” option will be removed after 2 returned checks within a 12-month period.
- Services disconnected for seven (7) consecutive days will be closed with a final notice mailed to the member.
- No charge will be made for Disconnection or Reconnect, unless a trip to the member’s location is required as a result of the member’s delinquency.
It will be the responsibility of the Sr. Vice President of Administrative Services and the Director of Member Services to properly administer these provisions.
Approved by the Board of Trustees
- Effective Date: June 28, 2012
- Revised Date: November 29, 2012
- Revised Date: March 28, 2019