The city of Kalama has adopted policies to work with its customers in order to collect past due accounts. The city is obligated to collect all moneys owed by all customers and if efforts to collect delinquent accounts fail, the city will take necessary actions to collect the debt which may include using collection agencies, small claims court, or placing a lien on the property. (Res. 510, 2007).

A. The city of Kalama will endeavor to permit payment arrangements by customers who are unable to pay their account in full due to financial difficulties or extenuating circumstances. As per Kalama Municipal Code Section 12.20.050, a number of factors will be considered in determining the deferred payment arrangements including but not limited to the following:
1. Size of the delinquent bill;
2. The length of time the bill has been unpaid;
3. The customer’s payment history;
4. The customer’s financial situation.
B. It shall be the policy of the city of Kalama to allow payment arrangements that will meet the needs of both the city and the customer. Payment arrangements on past due accounts will be allowed based upon the following policies:
1. Payment plans will be set up to insure that the delinquent bill is paid in full prior to the city issuing the next bill. Landlords will be notified of all payment arrangements made by tenants and will have the ability to nullify or alter said agreement;
2. Verbal payment arrangements will be accepted, provided the bill will be paid in full within fourteen days;
3. A signed payment agreement is required for arrangements that extend beyond fourteen days, balances that include more than one billing period, or arrangements that will extend beyond sixty days;
4. Payment plans may be set up to be weekly, biweekly, or monthly, provided the outstanding balance will be paid within sixty days;
5. All payment arrangements must be kept or the bill will become immediately due and disconnection of service will result;
6. Payment arrangements will be monitored on a weekly basis for compliance and monthly reports will be provided to the clerk-treasurer for review;
7. Bills over sixty days delinquent will be subject to immediate shut-off if scheduled payment is missed;
8. Any arrangements for outstanding balances beyond sixty days must be based upon special circumstances (i.e., large leak, billing error resulting in large balance, etc.) and will be subject to a written payment agreement.
C. In the event an account is delinquent and requires disconnection of services, the account will become subject to a lien on the property unless payments on the past due balance are being made. (Res. 510 § 1, 2007).

All accounts that are not paid within sixty days from the billing date become subject to collections. The city may enter into a payment agreement with the customer and provided all provisions of said agreement are met, no further action will be taken by the city. Late fees will continue to accrue during the period of the agreement. Service will only be restored upon completion of an agreement with the city for payment.
Once the provisions of a city payment agreement are not met, the account becomes subject to collection and immediate disconnection. The city will move forward with taking actions to collect the debt as allowed by state laws and city codes. All fees for collection shall be paid by the defaulting party. Service to the delinquent address will not be restored until the bill is paid in full along with the reconnection fee. Upon disconnection, all late fees will be suspended.
Any account that is six months (one hundred eighty days) past due or includes any portion of charges for three billing periods is subject to immediate lien. All fees for placing a lien on the property will be the responsibility of the customer and added to the lien. Fees for the reconnection of service will also be applicable. (Res. 510 § 2, 2007).

Should a delinquent account become uncollectible, either due to bankruptcy or other circumstances, the clerk-treasurer will present a resolution to the city council for authorization to write off the outstanding balance from the city’s books. (Res. 510 § 3, 2007).