Chapter 03. Late Payment Charges
Regulation .01 Authorization to Impose Late Payment Charges.LinkCopy Citation
A.
Residential Customers and Residential Cooperatives.
(1)
Each gas, electric, gas and electric, or telephone company using late payment charge provisions, policies, or practices for residential customers and residential cooperatives, may be authorized to apply to bills not paid within 20 days after the date of rendition up to 1-1/2 percent of the net bill, and at the end of the first nominal billing interval after that, an additional charge to be made equal to 1-1/2 percent of any portion of the original amount which remains unpaid at the time, and at the end of the second nominal billing interval, an additional charge to be made equal to 2 percent of any portion of the original amount which remains unpaid at the time. The total of the charges should not exceed 5 percent of the original unpaid amount.
(2)
For residential customers and residential cooperatives, each gas, electric, gas and electric, or telephone company utilizing late payment provisions, policies, or practices authorized by this Commission shall apply the late payment charges to any bill or part of a bill not paid within 20 days calculated upon the net total cost less applicable taxes and, when applicable, the environmental surcharge.
B.
All Other Classes of Customers.
(1)
Each gas, electric, gas and electric, or telephone company using late payment charge provisions, policies, or practices for all other classes of customers not provided for in §A of this regulation, may be authorized to apply to bills not paid within 15 days after the date of rendition up to 1-1/2 percent of the net bill, and at the end of the first nominal billing interval after that, an additional charge to be made equal to 1-1/2 percent of any portion of the original amount which remains unpaid at that time, and at the end of the second nominal billing interval, an additional charge to be made equal to 2 percent of any portion of the original amount which remains unpaid at the time. The total of these charges may not exceed 5 percent.
(2)
For all other classes of customers not provided for in §A of this regulation, each gas, electric, gas and electric, or telephone company utilizing late payment provisions, policies, or practices authorized by this Commission shall apply the late payment charge to any bill or part of a bill not paid within 15 days calculated upon the net total cost less applicable taxes and, if applicable, the environmental surcharge.
C.
“Late payment charge” means an additional charge, over the net total cost of utility service provided, which is applied to any past-due bill under this regulation.
D.
Bill Extender Plan.
(1)
A gas, electric, gas and electric, or telephone company using late payment provisions, policies, practices, and charges shall establish and offer to a residential customer a bill extender plan to assist the customer receiving monthly Social Security benefits, supplemental security income, disability payments, or other financial aid through government-sponsored assistance programs which constitutes the main source of income within the customer's household.
(2)
The bill extender plan shall automatically extend a bill due date so that late payment charges are not incurred until:
(a)
Thirty days after the date of bill rendition;
(b)
A reasonable time following receipt of benefits or financial aid, as described in §D(1) of this regulation, by an eligible customer; or
(c)
As provided in the utility's tariff.
(3)
A utility customer shall request participation in the plan and provide adequate proof of eligibility.
Regulation .02 Repealed.LinkCopy Citation
Regulation .03 Tariff Provisions and Regulations Control.LinkCopy Citation
Each gas, electric, gas and electric, or telephone company utilizing late payment charge provisions, policies, or practices shall pursue the collection of these charges consistent with the tariff provisions of the respective utility and the regulations of this Commission.
Regulation .04 Practices to be Extended to Customers.LinkCopy Citation
Each gas, electric, gas and electric, or telephone company utilizing late payment charge provisions, policies, or practices shall extend to its customers the following practices in relation to the application of late payment charges:
A.
An allowance shall be made for conflicting governmental and company holidays;
B.
Consideration shall be given by the utilities for an extension of the due date when, within the discretion of the company, conditions warrant, such as hardship, claims of late delivery of bill, etc.
Regulation .05 Revised Tariff Pages.LinkCopy Citation
Each gas, electric, gas and electric, or telephone company shall file, when necessary, revised tariff pages implementing the provisions of this regulation.
Chapter annotations
Authority: Public Utilities Article, §§2-113, 2-121, 4-201, 4-503(a), 5-101, and 7-305, Annotated Code of Maryland
History: Effective date: June 30, 1976 (Order No. 61848)
History: Amended effective January 23, 1981 (8:2 Md. R. 117)
History: Regulation .01 amended effective August 16, 1982 (9:16 Md. R. 1608); November 18, 1985 (12:23 Md. R. 2223); July 31, 1995 (22:15 Md. R. 1120)
History: Regulation .01B adopted effective July 28, 1976 (Order No. 61869)
History: Regulation .01D adopted effective April 21, 1986 (13:8 Md. R. 903)
History: Regulation .01D amended effective April 20, 1998 (25:8 Md. R. 599)
History: Regulation .02 repealed effective July 20, 1992 (19:14 Md. R. 1285)
History: Regulation .03 amended effective July 31, 1995 (22:15 Md. R. 1120)
History: Regulation .04 amended effective November 18, 1985 (12:23 Md. R. 2223); July 31, 1995 (22:15 Md. R. 1120)
History: Regulation .05 amended effective July 31, 1995 (22:15 Md. R. 1120)