N.J. Admin. Code § 14:3-3.5

Current through Register Vol. 56, No. 8, April 15, 2024

Section 14:3-3.5 - Return of deposits, interest on deposits

(a) Each utility shall review a residential customer's account at least once every year and a nonresidential customer's account at least once every two years. If this review indicates that the customer has met the utility's standard requirements for establishing credit, the utility shall refund the customer's deposit.

(b) Upon closing an account, a utility shall refund to the customer the balance of any deposit remaining after the closing bill for service has been settled, including any interest required under this chapter.

(c) If the utility refunds a deposit in cash, the utility shall accept either the receipt for the deposit, or proof of the customer's identity, as proof of entitlement to the deposit.

(d) A utility shall pay the customer simple interest on any deposit established under this chapter at a rate equal to the average yields on new six-month Treasury Bills for the 12-month period ending each September 30. Said rate shall become effective on January 1 of the year following the 12-month period.

(e) The Board shall perform an annual calculation to determine the applicable interest rate for each year and shall notify the affected public utilities of the rate. The Board shall provide this rate to each utility, which shall post the rate on the utility's website.

(f) If a public utility holds a customer deposit during time periods during which different interest rates apply under (d) above, the utility shall apportion the interest on the deposit to reflect the amount of time the deposit was held under each rate.

(g) Interest payments on customer deposits held to secure residential accounts shall be made to the customer at least once during each 12-month period in which a deposit is held.

(h) When a utility refunds a deposit or pays a customer interest on a deposit under this section, the utility shall offer the customer the option of a credit to the customer's account or a separate check. In either case, the utility shall provide the full refund or payment within one billing period after the review required under (a) above is completed (in the case of a deposit under (a) above) or after the interest payment is due under (g) above, as applicable, unless other reasonable arrangements are made between the customer and the utility.

N.J. Admin. Code § 14:3-3.5

Repeal and New Rule, R.2008 d.119, effective 5/19/2008.
See: 39 N.J.R. 4077(b), 40 N.J.R. 2481(a).
Section was "Refusal to connect".
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2009.
See: 41 N.J.R. 322(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2010.
See: 41 N.J.R. 4570(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2011.
See: 42 N.J.R. 2999(b).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2013.
See: 44 N.J.R. 3087(c).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2014.
See: 45 N.J.R. 2410(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2015.
See: 46 N.J.R. 2288(b).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2016.
See: 47 N.J.R. 3063(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2017.
See: 48 N.J.R. 2640(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2019.
See: 50 N.J.R. 2269(a).
Public Notice: Notice of applicable interest rate on customer deposits effective for calendar year 2020.
See: 51 N.J.R. 1806(c).