PROPOSED RULEMAKING
[52 PA. CODE CH. 56]
[L-960114]
Standards and Billing Practices
[26 Pa.B. 2908] The Pennsylvania Public Utility Commission (Commission) adopted a proposed rulemaking to clarify, simplify and remove excessive and burdensome requirements from parties dealing with the Bureau of Consumer Services. The proposed changes redefine the term ''dispute'' to allow a more in-depth investigation of an initial inquiry by a utility and provide for a deadline for filing disputes. The proposed changes account for increased reliability in metering devices reducing the frequency of required actual readings. The proposed changes remove the administrative burdens imposed: (1) where less than $25 is involved; (2) where a customer breaks a payment agreement; (3) where a customer is satisfied with the utility's resolution of a dispute; or (4) where a personal contact is required. The proposed changes eliminate the use of composite credit groups. The proposed changes eliminate regulations which are in conflict with other regulations. The proposed changes require customers to attempt to resolve disputes with their utility before they file a complaint with the Pennsylvania Public Utility Commission. The contact persons are Kathryn G. Sophy, Assistant Counsel, Law Bureau, (717) 772-839 and Louis Sauers, Bureau of Consumer Services, (717) 783-6688.
Executive Summary
On June 3, 1995, this Commission published an Advance Notice of Proposed Rulemaking (ANPR) in the Pennsylvania Bulletin inviting public comments, 25 Pa.B. 2188. The ANPR generated numerous constructive comments from interested parties. The Commission reviewed all the comments and has incorporated many of them into this revised proposed rulemaking.
The comments illuminated the need to evaluate and update the procedures set forth in Chapter 56. After careful and meticulous review of Chapter 56, the Commission approved proposed changes designed to clarify, simplify and remove excessive and burdensome requirements from parties dealing with our Bureau of Consumer Services.
Section 56.2 has been revised to allow a utility to call a customer back or to allow contact with more than one utility employe without escalating the matter to the level of a ''dispute.'' The chapter has been revised to require less frequent actual meter readings, to remove the use of composite credit groups and to revise utility recordkeeping requirements.
Chapter 56 has been revised further to modify the requirements associated with termination of service. The revisions clarify when a utility may terminate service and what steps are required to be taken before termination may occur.
Finally, § 56.211 has been modified to require customers to attempt to resolve their disputes with their utilities before bringing their complaints to the Commission.
Regulatory Review
Under section 5(a) of the Regulatory Review Act (71 P. S. § 745.5(a)), the Commission submitted a copy of these proposed amendments on June 11, 1996, to the Independent Regulatory Review Commission (IRRC) and to the Chairpersons of the House Committee on Consumer Affairs and the Senate Committee on Consumer Protection and Professional Licensure. In addition to submitting the proposed amendments, the Commission has provided IRRC and the Committees with a copy of a detailed Regulatory Analysis Form prepared by the Commission in compliance with Executive Order 1996-1. A copy of this material is available to the public upon request.
If the Committees have objections to any portion of the proposed amendments, they will notify the Commission within 20 days of the close of the public comment period. If IRRC has objections to any portion of the proposed amendments, it will notify the Commission within 30 days of the close of the public comment period. The notification shall specify the regulatory review criteria which have not been met by that portion. The Regulatory Review Act specifies detailed procedures for review, prior to final publication of the amendments, by the Commission, the General Assembly and the Governor of any objections raised.
Public Meeting held
February 8, 1996Commissioners present: John M. Quain, Chairperson, concurring and dissenting in part--statement follows; Lisa Crutchfield, Vice Chairperson; John Hanger, concurring and dissenting in part--statement follows; David W. Rolka, concurring and dissenting in part--statement follows; and Robert K. Bloom, concurring and dissenting in part--statement follows
Proposed Rulemaking Order By the Commission:
By Order entered May 23, 1995, we issued an ANPR to review and rescind all obsolete and excessive rules and regulations at Docket No. L-950103. The advance notice was published in the Pennsylvania Bulletin on June 3, 1995, 25 Pa.B. 2188, and a 60-day comment period set.
In addition to the many useful suggestions received from our own Bureau of Consumer Services, we received comments from several utilities which point to the need to evaluate and update the procedures contained in Chapter 56. We are setting forth proposed changes which we believe will clarify, simplify and remove excessive and burdensome requirements from the parties dealing with our Bureau of Consumer Services.
Our review of Chapter 56 was careful and meticulous. We are well aware of our duty to ensure that the quality of utility service remain high while not crippling the efforts of the utility companies to collect amounts due to them.
What follows is a summary of the proposed changes to which we invite comments from any interested party. In addition to the specific modifications set forth in this Preamble, the Commission is very interested in receiving comment from parties on whether Chapter 56 adequately provides for the special circumstances of customers with disabilities. Specifically, the Commission requests comment on the following questions. Do the procedures and standards in Chapter 56 adequately serve and provide sufficient protections for customers with disabilities? Are current regulations adequate or are more specific requirements necessary? For instance, are the proposed amendments adequate to serve the hearing impaired? Should braille notices be required for the visually impaired? Is in-person customer contact necessary to convey the required information to customers with certain disabilities? Interested parties are encouraged to address these and related questions, and to give concrete suggestions for specific revisions to Chapter 56 which the Commission should incorporate to better address the special needs of Pennsylvanians with disabilities.
Chapter 56. Standards and Billing Practices for Residential Utility Service
§ 56.2. Definition of ''dispute.'' The definition is amended to allow a utility to call a customer back without the matter being classified as a dispute and to define an initial inquiry so as to permit contact with more than one utility employe.
§ 56.2. Definition of ''utility.'' This definition is expanded to specifically claim Commission jurisdiction over the employes or agents of a utility.
§ 56.12. Meter reading; estimated billing; ratepayer readings. The new language allows gas, water and electric utilities which use remote reading devices to do an actual reading every 5 years instead of every 2, which reflects the increasing reliability of meters used in each utility field. To balance the chance that any underbilling discovered may be proportionately higher, language is added to require that the utility comply with the requirements of § 56.14.
§ 56.14. Previously unbilled utility service. To remove an unfair administrative burden for utilities when less than $25 is involved, this section now requires that companies comply with § 56.14 only if the billing or rebilling exceeds otherwise normally estimated bills by at least 50% and $25, whichever is greater.
§ 56.33. Composite credit group; cash deposits; third-party guarantors. Composite credit groups are eliminated as an option to payment of a deposit.
§ 56.35. Payment of outstanding balance. Under the proposed language, a utility must maintain account records in accordance with § 56.202.
§ 56.53. Refund of deposit. Paragraph (3) is eliminated to remove the use of composite credit groups.
§§ 56.61--56.65. Composite credit groups. These sections have been eliminated to remove the use of composite credit groups.
§ 56.91. General notice provisions. This section is changed to reflect proposed changes to § 56.93.
§ 56.93. Personal contact. The proposed language changed the actions constituting personal contact to a more efficient and less burdensome approach for the utilities.
§ 56.95. Deferred termination when no prior contact. New language in this section incorporates the definition changes in section § 56.93.
§ 56.97. Procedures upon ratepayer or occupant contact prior to termination. This section is modified to provide that the authorized utility employe explain the reasons for the proposed termination, how to avoid termination, and the medical emergency procedures before discussing a settlement or payment agreement.
§ 56.101. Limited notice upon noncompliance with report or order. Language is altered to eliminate the distinction between mediation and other than mediation formal complaints and to allow the use of limited notice on a restricted basis during the nonwinter period whenever a customer breaks a payment agreement entered after the company issued a 10-day notice.
§ 56.114. Length of postponement; renewals. Language is added to allow a ratepayer to renew a medical certification only twice in situations when the ratepayer is not fully meeting the obligation under § 56.116 to equitably arrange to make payment on all bills.
§§ 56.121--56.126. Termination at residential dwellings where service is in the name of the landlord. These sections are eliminated in light of the specific requirement in 66 Pa.C.S. §§ 1523--1528.
§ 56.140. Follow-up response to inquiry. This section is added to provide that a utility may not terminate service during the period that a customer is awaiting a response to an inquiry which does not yet fall into the category of ''dispute.''
§ 56.142. Time for filing a termination dispute or informal complaints. Language is added to eliminate the possibility that a dispute may be filed with the representative of the utility company when that representative shows up to terminate service. Disputes must be filed prior to that time.
§ 56.151. General rule and § 56.152. Contents of the utility company report (Utility company dispute procedures) The section reflects the general change that if a customer is satisfied with the dispute resolution the company does not need to provide all of the information in § 56.152. If, however, the customer is not satisfied, then the company would adhere to the current full requirements at § 56.152.
§ 56.162. Informal complaint filing procedures. The list of requested information now includes the telephone number of the complainant.
§ 56.191. General rule. (Restoration of service) This section is modified to allow companies to require the catch-up amount on a payment agreement or, if conditions warrant, request a higher amount for restoration of service.
§ 56.202. Record maintenance. This section is modified to require that a company which seeks to recoup an outstanding balance of a bill must maintain records for that period of time covering the accrual of the unpaid debt.
§ 56.211. Informal complaints. This section is modified so as to require customers to attempt to resolve disputes with their utility providers before bringing their complaints to the Bureau of Consumer Services.
In proposing these changes, we believe that our efficiency as a regulatory agency will be enhanced. We are eliminating those sections which no longer serve a useful purpose and we are modifying others to promote the ease of application as well as fairness. We encourage those affected by these changes to file comments.
Accordingly, under sections 501, 504, 505, 506, 1301 and 1501 of the Public Utility Code, 66 Pa.C.S. §§ 501, 504, 505, 506, 1301 and 1501, and the Commonwealth Documents Law (45 P. S. § 1201 et seq.), and the amendments promulgated thereunder, we shall institute a rulemaking proceeding to accomplish the objectives described in the body of this order. Therefore,
It is Ordered That:
1. A rulemaking proceeding is hereby instituted at this docket.
2. The Commission's regulations are hereby proposed to be amended by:
(a) adding § 56.135
(b) deleting §§ 56.61--56.65 and 56.121--56.126
(c) amending §§ 56.2, 56.12, 56.14, 56.33, 56.35, 56.53, 56.91, 56.93, 56.95, 56.97, 56.101, 56.114, 56.142, 56.151, 56.152, 56.162, 56.191, 56.202 and 56.211
3. The Secretary shall submit this order and Annex A to the Office of Attorney General for approval as to legality.
4. The Secretary shall submit this order and Annex A to the Governor's Budget Office for review of fiscal impact.
5. The Secretary shall submit this order and Annex A for informal review by the designated standing committees of both houses of the General Assembly, and for informal review and approval by the Independent Regulatory Review Commission.
6. The Secretary shall deposit this order and Annex A with the Legislative Reference Bureau for publication in the Pennsylvania Bulletin. Interested persons may submit written comments, an original and 10 copies, to John G. Alford, Secretary, Pennsylvania Public Utility Commission, and shall have 30 days from the date this order is published to submit comments.
7. A copy of this order shall be served upon all persons who submitted comments in this rulemaking proceeding.
JOHN G. ALFORD,
Secretary
Statement of Chairperson John M. Quain I respectfully dissent from the Motions offered today by my colleagues which delete sections from the Law Bureau's recommendation regarding this rulemaking.
It was my hope that this Commission could have gained some important perspectives by at least publishing these sections for comments. Unfortunately, that input will not be possible at this time.
Many of these recommendations, in fact, were suggested and supported by the Bureau of Consumer Services for the purpose of soliciting comments on whether modifications to our procedures are appropriate.
Statement of Commissioner John Hanger Some of the proposals put forth in this proposed Rulemaking go far beyond the intended limited purpose of this Rulemaking to eliminate obsolete or excessive regulations. Indeed, some of the proposals would have reduced or eliminated basic consumer protections at a time when reductions in LIHEAP funding already make safe and affordable utility service difficult to maintain for hundreds of thousands of Pennsylvanians.
Such overreaching changes are not necessary, and fortunately a majority of this Commission has rejected the most overreaching proposals. Pennsylvania gas and electric utilities are not experiencing a worsening collections problem at this time. Although the dollar amount of gas residential debt rose by 28% from 1990 to 1994, gas rates and revenues also increased by 28% over the same period. Gas industry residential debt as a percent of revenues actually decreased from 6.72% in 1990 to 6.67% in 1994. In the electric industry, residential debt decreased from 7.15% of revenues in 1992 to 6.67% of revenues in 1994. Both industries experienced a 5% decrease in gross residential billings written off as uncollectible from 1992 to 1994. These modest improvements have come at a time of large reductions in the availability of energy assistance dollars.
In such circumstances, this Commission should not be cutting back on its commitment to consumer services. Yet, Bureau of Consumer Services (BCS) staffing has been reduced from 61 to 52 during the last year. About 90% of all consumer calls to the BCS concerning payment arrangements are from low-income households. Because of inadequate staffing, only about 13% of all incoming calls are even answered. Just imagine the outcry if this Commission only answered 13% of incoming calls from utilities!
The facts indicate that BCS is a well run Bureau efficiently and fairly doing a great deal of work with tight resources. Fortunately, Chapter 56 provides sound standards and procedures, making such performance possible. No major changes in Chapter 56 are needed at this time. While most of the proposals for major changes have been rejected by a majority of this Commission, I strongly dissent from the following proposals which have been included because they seriously undermine the health and safety of hundreds of thousands of Pennsylvanians without justification.
The Law Bureau has proposed expanding the definition of ''utility'' in § 56.2 to include ''employes or agents'' of the utility in order to claim Commission jurisdiction over a utility's employes, contractors and agents. Several utilities in recent years have hired outside contractors to perform activities required under Chapter 56 despite current language in our regulations which specify that ''employes'' must perform Chapter 56 functions. Thus, the proposed changes do not expand Commission jurisdiction over outside contractors at all. To the contrary, the proposed changes provide a stamp of approval for the hiring of outside contractors.
This Commission recently has settled cases with three utilities concerning numerous Chapter 56 violations by contractors hired by the utilities to perform required Chapter 56 functions. Chapter 56 contains vital consumer protections. Proper implementation of Chapter 56 requires well-trained personnel who are directly under the control of the utility. Experience shows that outside contractors have not been able to perform certain Chapter 56 functions effectively. At this point, the record of violations by personnel who are not utility employes mandates opposition to any modification of the existing language in § 56.2. The proposal also should not be included in this rulemaking because it is a policy decision which is presently being addressed by this Commission in other ways.
I agree in part to the changes to the definition of ''dispute'' in § 56.2. Presently, most utilities categorize an inquiry as a dispute if it appears to be a dispute at the end of the first customer contact. While this practice is not mandated by existing regulations, the proposed Rulemaking changes the definition of ''dispute'' to clearly permit a utility, with the consumer's agreement, to end the phone call without deciding whether or not a dispute exists. This is intended to provide an opportunity for utility personnel to investigate the matter and respond to the customer with appropriate information. At that point in time, the matter can properly be characterized as a dispute or not. This change is useful, and I support it.
However, the additional proposed language goes too far in that it could permit a customer to be bounced around from employe to employe, receive inconsistent responses from different employes, or permit utilities to negotiate results by passing the call on to supervisors. The customer could be thoroughly confused. The proposed language makes the definition of dispute less clear, and could encourage substantial customer service problems. I dissent from this proposal.
The proposed changes require a customer to attempt to resolve a matter with the utility prior to contacting the Bureau of Consumer Services for assistance. While this proposal is not onerous in most cases, neither is it necessary. BCS routinely encourages potential complainants to seek to resolve differences with the utility before accepting a complaint. BCS turned away over 4400 potential disputes in 1995, requiring utility contact first. Only 2% of electric cases and 1% of gas cases accepted by BCS involved situations in which the customer did not first seek resolution with the utility. Additionally, a complainant indicated that attempts to resolve the matter with the utility first but the utility indicated that it had no record of any contact characterized as a dispute in 8% of electric cases and 6% of gas cases.
BCS has been extremely effective in resolving disputes. Historically, less than 2% of all cases handled by BCS have been appealed as Formal Complaints before an Administrative Law Judge. Such a record documents that both utilities and consumers have been quite satisfied with the results from BCS. No changes are needed since the vast majority of BCS contacts involve prior attempts to resolve the matter with the utility and BCS voluntarily encourages such contacts. When BCS does take a case, it successfully resolves them expeditiously and cost-effectively. BCS participation is consistent with this Commission's policies discouraging litigation and encouraging mediation and alternative dispute resolution. There is no problem here that needs to be solved.
The proposed changes to these sections are designed to make it easier for a utility to terminate service. The changes to §§ 56.93 and 56.95 make personal contact unnecessary at the time of termination if personal contact had previously been made during the 3 day notice. The proposed changes to § 56.101 allow a utility to begin the termination process with a 3 day notice, skipping the 10 day notice, when the customer has broken an existing payment arrangement.
The present regulations provide great flexibility and balance to enable utilities to collect past due amounts, prevent terminations, and complete service terminations when necessary. Gas and electric utilities terminated 118,000 customers in 1993 and 85,000 customers in 1994. Electric terminations increased 21% from 1992 to 1994. Peco Energy more than doubled the number of customers terminated in a single year, from 1992 to 1993. The facts indicate that the procedural safeguards in Chapter 56 do not prevent utilities from terminating service when they seek to do so. Loss of service creates a significant health and safety crisis for the household involved, as well as for the public. Each termination notice or customer contact provides an opportunity to collect arrearages and prevent terminations. Eliminating such steps eliminates these opportunities as well. Existing safeguards should not be eliminated without facts demonstrating that it is necessary and not counter-productive to do so.
While I do not now disagree with the proposed changes to § 56.191, I will review the comments concerning these changes carefully. The proposed changes to § 56.191 give a utility greater flexibility in demanding higher restoration payments than a catch-up of amounts due under an existing agreement. A reasonable reconnection fee already is required. While higher restoration amounts are appropriate for non-low-income customers who have been terminated for non-payment of bills despite adequate income to do so, utilities must use a great deal of common sense in not demanding higher restoration payments from low-income customers. It would be tragic if requiring excessive restoration amounts precluded service or payment of reasonable portions of existing arrearages. The revision as drafted requires consideration of such factors. Are additional specifications useful?
Fiscal Note: 57-171. No fiscal impact; (8) recommends adoption.
Annex A
TITLE 52. PUBLIC UTILITIES
PART I. PUBLIC UTILITY COMMISSION
Subpart A. PRELIMINARY PROVISIONS
CHAPTER 56. STANDARDS AND BILLING PRACTICES FOR RESIDENTIAL UTILITY SERVICE
Subchapter A. PRELIMINARY PROVISIONS § 56.2. Definitions.
The following words and terms, when used in this chapter, have the following meanings, unless the context clearly indicates otherwise:
* * * * * Dispute--A grievance of a ratepayer or occupant about a utility's application of a provision covered by this chapter, including [but not limited to] subjects such as credit determinations, deposit requirements, the accuracy of meter readings or bill amounts or the proper party to be charged. A utility, with the consent of the ratepayer or occupant, may offer to review pertinent records or other information and call back the ratepayer or occupant with a response to the inquiry. If, at the conclusion of an initial inquiry or, when applicable, a follow-up response, the ratepayer or occupant indicates satisfaction with the resulting resolution or explanation, the contact [may] will not be considered a dispute. An initial inquiry is defined as the complete process even if it involves more than one utility person during the initial contact.
* * * * * Utility--A public utility, its employes or its agents, or a municipality, subject to Commission jurisdiction, which provides electric, gas, steam heat, [sewer] wastewater or water service.
Subchapter B. BILLING AND PAYMENT STANDARDS § 56.12. Meter reading; estimated billing; ratepayer readings.
Except as provided in this section, a utility shall render bills based on actual meter readings by utility company personnel.
* * * * * (5) Remote reading devices for water, gas and electric utilities. A utility may render a bill on the basis of readings from a remote reading device under the following conditions:
(i) When a gas, electric or water utility uses readings from a remote reading device to render bills, the utility shall obtain an actual meter reading at least once every [3] 5 years to verify the accuracy of the remote reading device. If the ratepayer of record at the dwelling changes during the 5-year period between actual meter readings, the utility shall make a bona fide attempt to schedule an appointment with the departing ratepayer and, if necessary, the new occupant, to secure an actual meter reading.
[(ii) When a gas or electric utility uses readings from a remote reading device to render bills, the utility shall obtain an actual meter reading at least once every 2 years to verify the accuracy of the remote reading device.
(iii) Where] (ii) When the actual meter reading establishes that the customer was underbilled due to an error in the registration of the remote reading device, the utility may [not] render a bill for the uncollected amount [and may not recover a loss resulting from this underbilling in subsequent rate proceedings unless there is evidence that the underbilling resulted from tampering with the remote reading device]. If the rebilling exceeds the otherwise normal estimated bill by at least 50% and at least $25, the utility shall comply with § 56.14 (relating to previously unbilled utility service).
* * * * * § 56.14. Previously unbilled utility service.
When a utility renders a make-up bill for previously unbilled utility service resulting from utility billing error, meter failure, leakage that could not reasonably have been detected or loss of service, or four or more consecutive estimated bills and the make-up bill exceeds the otherwise normal estimated bill by at least 50% and at least $25:
* * * * *
Subchapter C. CREDIT AND DEPOSITS STANDARDS POLICY
PROCEDURES FOR NEW APPLICANTS § 56.33. Composite credit group; cash deposits; third-party guarantors.
If an applicant does not establish [his] credit under § 56.32 (relating to credit standards), the utility shall provide residential service when one of the following requirements is satisfied:
[(1) Composite credit group. The applicant becomes a member in good standing of a composite credit group as defined in § 56.61 (relating to general rule) with which the utility has entered into an agreement.
(2)] (1) ***
[(3)] (2) ***
* * * * * § 56.35. Payment of outstanding balance.
A utility may require, as a condition of the furnishing of residential service to an applicant, the payment of any outstanding residential account with the utility which accrued within the past 4 years for which the applicant is legally responsible and for which the applicant was billed properly. In addition, the utility shall maintain account records in accordance with § 56.202 (relating to record maintenance). However, any such outstanding residential account with the utility may be amortized over a reasonable period of time. Factors to be taken into account include [but are not limited to] the size of the unpaid balance, the ability of the applicant to pay, the payment history of the applicant, and the length of time over which the bill accumulated. A utility may not require, as a condition of the furnishing of residential service, payment for residential service previously furnished under an account in the name of a person other than the applicant unless a court, district justice[,] or administrative agency has determined that the applicant is legally obligated to pay for the service previously furnished. Examples of [such] situations include a separated spouse or a cotenant. This section does not affect the credit rights and remedies of a utility otherwise permitted by law.
CASH DEPOSITS § 56.53. Refund of deposit.
A cash deposit shall be refunded under the following conditions:
* * * * * [(3) Member of composite credit group. When a ratepayer becomes a bona fide member of a composite credit group, the utility shall refund any cash deposit plus accrued interest unless the ratepayer requests that it be transferred to the credit group.]
[(4)] (3) ***
[(5)] (4) ***
[(6)] (5) ***
COMPOSITE CREDIT GROUP DEPOSITS § 56.61. [General rule] (Reserved).
[A utility shall enter into an agreement with a composite credit group that can demonstrate its ability to meet the deposit requirements of the members of the group.
(1) Composite credit group. A composite credit group is a group, association, corporation or similar body with 25 or more members formed for the purpose of, among other things, providing a composite cash deposit for its members in lieu of individual cash deposits from each applicant or ratepayer who is a bona fide member of the group. A composite credit group shall designate a person to represent that group to the utility and shall provide the utility with an address and telephone number where that person may be contacted during business hours. Communications received from that representative by the utility shall be binding upon the group.
(2) Unilateral termination prohibited. A utility may not unilaterally terminate a composite cash deposit arrangement, so long as the group maintains a composite cash deposit determined in accordance with § 56.62 (relating to maximum composite cash deposit).
(3) Discontinuance of cash deposit arrangement. When a composite cash deposit arrangement is discontinued, the utility shall:
(i) Apply an applicable portion of the composite cash deposit to the accounts of the individual members of the group in accordance with § 56.52 (Reserved) and return the remainder of the composite deposit to the representative of the group.
(ii) Notify the individual members of their obligation to place an individual cash deposit, join another composite credit group or provide a third-party guarantor in accordance with §§ 56.41--56.43 (relating to procedures for existing ratepayers).]
§ 56.62. [Maximum composite cash deposit] (Reserved).
[Initially, the maximum composite cash deposit requested by the utility may not exceed 50% of the aggregate deposit requirements of the individual members. Thereafter, composite cash deposit requirements shall be adjusted at the request of either the utility or the group to be not greater than twice the average monthly assessment against the composite cash deposit of the group, to compensate for nonpayment of utility bills of the individual members.]
§ 56.63. [Written authority to become a member of a group] (Reserved).
[A utility may not apply a composite cash deposit to a past due bill of a ratepayer unless it has received prior written authority from the group to include the individual ratepayer or applicant as a member of the group.]
§ 56.64. [Renewal of authority] (Reserved).
[A utility shall require of the group a written renewal of authorization in the following circumstances:
(1) Application of composite case deposit to more than two billing periods. Prior to the application of a composite case deposit to the payment of the bills of a member for more than two billing periods, each renewal of authorization shall entitle the utility to apply the composite cash deposits to the bills of the individual for two billing periods.
(2) Reconnection of service. Whenever service is reconnected following a termination of service.
(3) Refusal to renew authority. Where renewal of authority is refused, a utility shall provide service to the individual ratepayer in accordance with the provisions of § 56.65 (relating to service without continued group membership).]
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