PRINTER'S NO. 322
No. 285 Session of 2007
INTRODUCED BY FERLO, FONTANA, EARLL, WASHINGTON, C. WILLIAMS,
LOGAN AND RHOADES, MARCH 9, 2007
REFERRED TO CONSUMER PROTECTION AND PROFESSIONAL LICENSURE,
MARCH 9, 2007
AN ACT
1 Amending Title 66 (Public Utilities) of the Pennsylvania
2 Consolidated Statutes, further providing for payment
3 agreements.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Section 1405 of Title 66 of the Pennsylvania
7 Consolidated Statutes is amended to read:
8 § 1405. Payment agreements.
9 (a) General rule.--The commission is authorized to
10 investigate complaints regarding payment disputes between a
11 public utility, applicants and customers. The commission is
12 authorized to establish payment agreements between a public
13 utility, customers and applicants within the limits established
14 by this chapter.
15 (b) Length of payment agreements.--The length of time for a
16 customer to resolve an unpaid balance on an account that is
17 subject to a payment agreement that is investigated by the
18 commission and is entered into by a public utility and a
1 customer shall not extend beyond:
2 (1) Five years for customers with a gross monthly
3 household income level not exceeding 150% of the Federal
4 poverty level.
5 (2) Two years for customers with a gross monthly
6 household income level exceeding 150% and not more than 250%
7 of the Federal poverty level.
8 (3) One year for customers with a gross monthly
9 household income level exceeding 250% of the Federal poverty
10 level and not more than 300% of the Federal poverty level.
11 (4) Six months for customers with a gross monthly
12 household income level exceeding 300% of the Federal poverty
13 level.
14 (c) Customer assistance programs.--Customer assistance
15 program rates shall be timely paid and shall not be the subject
16 of payment agreements negotiated or approved by the commission.
17 (d) Number of payment agreements.--Absent a change in income
18 or other significant change in circumstances, the commission
19 shall not establish or order a public utility to establish a
20 second or subsequent payment agreement if a customer has
21 defaulted on [a previous] an initial payment agreement ordered
22 or established by the commission. A public utility may, at its
23 discretion, enter into a second or subsequent payment agreement
24 with a customer.
25 (e) Extension of payment agreements.--If the customer
26 defaults on a payment agreement established under subsections
27 (a) and (b) as a result of a significant change in circumstance,
28 the commission may reinstate the payment agreement and extend
29 the remaining term for an initial period of six months. The
30 initial extension period may be extended for an additional six
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1 months for good cause shown.
2 (f) Failure to comply with payment agreement.--Failure of a
3 customer to comply with the terms of a payment agreement shall
4 be grounds for a public utility to terminate the customer's
5 service. Pending the outcome of a complaint filed with the
6 commission, a customer shall be obligated to pay that portion of
7 the bill which is not in dispute and subsequent bills which are
8 not in dispute.
9 Section 2. This act shall take effect in 60 days.
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