Mich. Admin. Code R. 460.146

Current through Vol. 24-21, December 1, 2024

Section R. 460.146 - Payment plan procedures for residential and small nonresidential customers

Rule 46.

(1) A utility shall establish a policy to allow a residential or small nonresidential customer the opportunity to enter into a minimum of 2 documented payment plans for an amount owed to the utility that is not in dispute, if a customer claims an inability to pay in full.

(2) In negotiating a payment plan due to the customer's inability to pay an outstanding bill in full, the utility shall not require the residential or small nonresidential customer to pay more than a reasonable amount of the outstanding bill upon entering into the plan, and not more than reasonable installments until the remaining balance is paid. For purposes of determining reasonableness, the parties shall consider all of the following factors:

(a) The size of the delinquent account.

(b) The customer's ability to pay.

(c) The time that the debt has been outstanding.

(d) The reasons that the customer has not paid the bill.

(e) The customer's payment history.

(f) Any other relevant factors concerning the circumstances of the customer.

(3) A utility is not required to enter into more than 2 payment plans with a residential or small nonresidential customer who defaulted on the terms and conditions of such payment plan within the last 12 months.

(4) A utility shall document that a residential customer has been notified by telephone, other electronic media, or letter of all of the following:

(a) If a customer is seeking payment assistance from a social service agency, agreeing to this payment plan may prevent the customer from getting emergency assistance.

(b) That the customer needs to notify the utility if the customer is working with an agency.

(c) That a customer should not agree to the payment plan if he or she is not satisfied with it.

(d) If the customer has an unexpected loss or reduction of income after the payment plan is implemented, he or she may request a review and modification of the plan.

Mich. Admin. Code R. 460.146

2007 AACS; 2017 MR 22, Eff. 12/11/2017