Section 460.109. Deposit for new customer.

(1) A utility may require a deposit as a  condition   of  providing service to a new customer if any of the following provisions apply:

(a)  At the time of the request for service, the applicant has a delinquent bill with any electric or gas provider that accrued within the last 6  years and that remains unpaid and is not in dispute.

(b)   The applicant misrepresents his or her identity or credit standing.

(c)   The applicant fails to  provide  positive  identification  information upon request at the time of applying for new service.

(d)  The applicant requests service for a location at which he or she does not reside.

(e)   The applicant engaged in unauthorized use of utility service within the last 6 years, provided that the finding of unauthorized use of utility service was made after notice and an opportunity for a hearing and is not  in dispute.

(f)  Within the past 3 years, the applicant lived in a residence with a person who accrued a delinquent account for electric or gas service to the shared residence, during the time the applicant lived there, which remains unpaid and is not in dispute, and the person with the delinquent account now resides with the applicant. The utility shall advise  the applicant  of  the process by which the applicant can refute this claim.

(g)The applicant has sought relief under federal  bankruptcy  laws  within the last 6 years.

(2)   Notwithstanding any of the provisions of subrule (1) of this rule, a utility shall not require a deposit as a condition of providing service to a new customer if any of the following provisions apply:

(a)     The department of human  services  or  its  successor  agency  is responsible for making payments to a utility on behalf of the applicant.

(b)   The applicant secures a guarantor who is a customer in good standing with the utility.

(c)   The applicant is 65 years of age or older and has a satisfactory payment history for the past 3 years with any gas or electric provider.

History: 2007 AACS.