COLDWATER, MI (WTVB) – The Coldwater City Council approved the introduction of an ordinance Monday night which would place liens on the property of Coldwater Board of Public Utility customers who have delinquent accounts.
CBPU Director Paul Beckhusen said the ordinance would not be unique as other cities in Michigan have this policy in place.
He says unpaid bills have cost the utility $30,000 to $40,000 a year from residential shut offs.
That amount doubled when the state enacted legislation that prevents utilities from shutting off people in the winter time.
The CBPU has also been left holding the bag when large industrial customers go bankrupt. Beckhusen said 70 percent of their electric revenue comes from commercial and industrial plants. Officials claim the cost from unpaid bills eventually goes back to the customers.
In other business, the Council formally approved a contract agreement with City Manager Keith Baker. The contract calls for a starting annual salary of $107,000.
