92-2803 Ordinance
ORDINANCE NO.
92-2803
AN ORDINANCE OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING
MIAMI BEACH CITY CODE CHAPTER 45, ENTITLED "WATER", AMENDING
SECTION 45-11, ENTITLED "PAYMENT OF BILL" BY RAISING THE FEE
CHARGED BY THE CITY FOR DISHONORED CHECKS TO EITHER (1) THE
BANK CHARGE TO THE CITY FOR A DISHONORED CHECK PLUS AN
ADMINISTRATIVE CHARGE OF TWENTY-FIVE PERCENT (25%) OF THE
BANK CHARGE, WITH THE MINIMUM ADMINSTRATIVE FEE TO BE FIVE
DOLLARS ($5), OR (2) FIVE PERCENT (5%) OF THE CHECK AMOUNT,
WHICHEVER IS GREATER; PROVIDING FOR REPEALER, SEVERABILITY
AND AN EFFECTIVE DATE.
WHEREAS, in collecting its utility bills, the City has been
receiving numerous payment checks which are returned by banks without
payment to the city; and
WHEREAS, banks charge the City a fee for processing dishonored
checks; and
WHEREAS, the City incurs other administrative costs in processing
dishonored checks; and
WHEREAS, Miami Beach City Code section 45-11 currently provides
for imposition of a charge of five dollars ($5) or five percent (5%)
of the check amount, whichever is greater, for returned payment
checks; and
WHEREAS, the City commission believes that the costs resulting
from returned payment checks should be borne by the makers of such
checks and not by the other citizens of the city of Miami Beach.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA:
SECTION 1.
That Section 45-11, of Miami Beach City Code Chapter 45, entitled
"Water" is hereby amended to read as follows:
Sec. 45-11. Payment of bills.
(a) Payment of all bills and accounts of the public works
department must be made to the city cashier in the city
finance department.
(b) All water and sewer bills, except those rendered to
the Army or to any federal agency, shall be paid within
fifteen days from the date of the bill. Bills rendered to
the Army or any federal agency shall be paid within forty-
five days from the date of bill.
A ten percent penalty
shall be added to all water bills, except those rendered to
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days from the date of bill. A ten percent penalty shall be
added to all bills rendered to the Army or any federal
agency if not paid within forty-five days from the date of
the bill.
(c) The date payment is actually received by the cashier
of the finance department, regardless of the postmark date,
shall be taken as date of payment for all remittances by
mail for bills and accounts due.
(d) No abatements or deductions on metered service
charges shall be made or allowed, except for errors, in
meter readings on which such charges are based, or
inaccuracies in the registration of any meter or in the
event of error on the part of the public works department in
the making of any charge or in the amount thereof, and then
only provided claim for such abatement or deduction is made
in writing within ten days after the date of the rendition
of the bill or account in dispute.
(e) No abatements or deductions on any bill, account or
charge rendered or made by the public works department for
any service or purpose other than metered service, shall be
made or allowed, unless and only when claim for such
abatements or deductions is made in writing within ten days
after the date of the rendition of the bill or account in
dispute.
(f) Dishonored Returned payment checks will be
automatically presented to the banks for collection a second
time when practicable and if then returned for whatever
reason, the account will be charged a fee in the amount of
either (1) the charqe paid bY the city to the bank returninq
the check plus an additional twentY-five percent (25%) of
the bank charqe for the city's administrative expenses.
provided that the administrative fee shall not be less than
five dollars ($5), minimum of fi'..c dollaro or, ill five
percent of the amount of the check, whichever is greater.
(g) Notwithstanding any other provisions of this chapter,
prior to cut-off service, the finance director or his
designated agent shall mail and/or hand deliver a notice of
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cut-off of services to the owner, resident or occupant to
present their dispute to the finance director or his
designated agent.
Notice of cut-off shall automatically
become final on the date and time of such hearing in the
event that said owner, resident or occupant fails to appear.
(h) The city finance director may direct billing to issue
one itemized water and sewer bill, where practicable, for
all water meters billed to a given owner or consumer on a
given parcel of property or properties.
In addition, the
finance director may direct, where practicable, that the
appropriate charges for garbage and waste fees be included
on any bill rendered for water and sewer charges. The
combined bills are subject to all provisions set forth in
chapters 45 and 14A of the Code of the City of Miami Beach.
SECTION 2.
REPEALER.
All Ordinances or parts of Ordinances in conflict herewith be and
the same are hereby repealed.
SECTION 3.
SEVERABILITY.
If any section, subsection, clause or provision of this Ordinance
is held invalid, the remainder shall not be affected by such
invalidity.
SECTION 4.
EFFECTIVE DATE.
This Ordinance shall take effect on the
26th
day of
September
, 1992.
PASSED and ADOPTED this 16th day of
September
, 1992.
ATTEST:
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CITY CLERK
1st reading 9/2/92
2nd reading 9/16/92
FORM AP~nr;VED
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CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
CITY OF 1\l11AMI BEACH
COMMISSION MEMORANDUM NO.
TELEPHONE: (305) 673-7010
FAX: (305) 673-7782
~70~2-')~
OFFICE OF THE CITY MANAGER
FROM:
Mayor Seymour Gelber and
Members of the City Commission
Roger M. Caotto 0 III ~ J--
City Manager tl~y
DATE: September 16, 1992
TO:
SUBJECT:
An Ordinance amending the City Code Chapter 45 "Water", Section 45-11
"Payment of Bill" by increasing the charge for dishonored checks
Administrative Recommendation:
The Administration recommends that the City Commission adopt this Ordinance on
second reading after the public hearing for September 16, 1992.
Back~round:
Over the past several years the City has experienced an increase in the number of
returned (dishonored) checks from customers of the water system. The City is charged a fee
by the bank for each of these returned items of $15.00 and also incurs add:,tional costs in
the administrative time to process and collect these returned checks. The processing time
required is substantial and as the volume of returned checks has reached 600 annually.
Analysis:
The current City Code Section 45-11(t) provides for a charge of a minimum of $5.00 or 5%
of the amount of the check, whichever is greater. The proposed amendment provides for
a fee equal to the amount that is charged by the bank to the City for returned checks plus
an additional 25%, with a minimum of $5.00 for this additional amount, or 5% of the check
amount, whichever is greater. This change will produce a minimum of a $15.00 increase in
the charge for returned checks from our customers and, with the current volume, it would
produce a minimum of $9,000.00 annually. This amount will be sufficient to defray the
administrative costs associated with the handling of returned checks.
Conclusion:
City Code Section 45-11(f) should be amended to provide a mechanism to recover
the City's direct and administrative costs associated with the processing of returned checks
from our water customers.
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AGENDA
ITEM
R-3-~)
q-IG-92-
DATE