LAFOLLETTE UTILITIES

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Rules and Regulations

RULES AND REGULATIONS OF
LAFOLLETTE UTILITIES BOARD

302 North Tennessee Avenue
P.O. Box 1411
LaFollette, TN 37766
 (423) 562-3316 -- 1-800-352-1340 (423) 566-0580 fax

www.lub.org

    Rules and Regulations
  1. Application for Service.  Each prospective customer desiring service will be required to sign LaFollette Utilities Board’s (LUB) standard application for service contract, post a deposit, and pay the service connection charge.  If renting or leasing, a rent or lease receipt or agreement will be required.  If the applicant is the owner of the property, proof of ownership is required. If this location has had previous utility service, the name of the former tenant is required.  This application may be made in person, mailed, emailed or faxed by the prospective customer with two proofs of identity, and LUB may make a credit investigation.  Service may not be supplied by LUB to any applicant who is indebted to LUB unless payment is made of such indebtedness or satisfactory arrangements are made.
  2. Deposits.  Whether a deposit will be required prior to the establishment of residential service is based on a customer's credit rating through a third party utility credit rating service.  Deposit amount will not exceed two (2) times the highest bill at the location.  For residential customers requiring a deposit at locations that do not have a billing history, the highest bill amount for the location will be estimated on the 12-month average highest bill for the residential rate class.  The deposit amount will be based on the customer's credit rating as follows: 

    On-Line Utility Score/Rating

    Residential Deposit

    0-100 (green)

    $0

    101-250 (yellow)

    One time highest bill at location

    251-1000 (red)

    Two times highest bill at location

  3. Customers with residential hardships, as determined by LUB, may negotiate installment payments, but the deposit must be paid within 90 days from the date electric service commences.  The deposit may be refunded to residential customers after twenty-four (24) consecutive months in which all payments were made on or before the delinquent date and no checks were returned for insufficient funds.  Interest on deposits will be paid monthly at LUB's primary bank's passbook savings rate.  The interest will be credited to the customer's account each month.  Upon termination of electric service, the deposit balance plus any accrued interest will be credited to the customer's unpaid bill.  Deposit balance (including earned interest) is subject to review by the customer and LUB.  

    For general power customers, a deposit equal to twice the highest monthly bill at the location will be required of all general power customers.  Deposits for commercial/industrial customers going in a location that does not have a billing history will be estimated based on size of service and anticipated demand.  A letter of credit or indemnity bond may be substituted for a deposit.   

  4. Billing.  Bills will be rendered monthly and shall be paid at the office of LUB or at other locations designated by LUB.  Customers will receive a bill for service a minimum of 15 days prior to the due date.  Failure to receive a bill will not release the customer from said payment obligation.  Electric bills not paid by the due date will be assessed a 5% late fee charge.  Water bills will be assessed a 10% late fee charge.  Should bills not be paid by the due date specified on the bill, LUB may disconnect service based on the guidelines outlined in Number 4 below.  Should a delinquent date on a bill fall on a Saturday, Sunday or Holiday, the business day next following the delinquent date will be held as a day of grace for the delivery of payment.  Remittance received by mail after the delinquent date will not be subject to such additional charges if the incoming envelope bears the United States Postal Service date stamp of the due date or any date prior thereto. 
  5. Termination of Electric Service:  LUB may discontinue electrical service for the violation of any of the Schedule of Rules and Regulations or of the Schedule of Rates and Charges.  LUB may also discontinue electrical service to the Customer for the theft of services or the appearance of theft devices on the customer's premises, for safety reasons, or to be compliant with any state, city, or county regulations that require disconnection for safety reasons.  Any and all electrical services will be discontinued to customers with past due accounts except as provided in this rule.  Payment in full (including late fee charges) will be required before service is restored.  An additional deposit amount may also be required.  The termination of service by LUB for any reason stated in this rule does not release the customer from the obligation for any amounts due to LUB, including the payment of minimum bills as specified in contracts.   

    If payment is not received by the due date on the bill, LUB may discontinue service twenty (20) days after the due date.  LUB will attempt to notify customer by phone seven (7) days past the due date.  If payment is still not received, a separate written notice will be mailed, or a door hanger will be delivered to the residence, fourteen (14) days past the due date notifying the customer of the electric and/or water disconnection and the available rights and remedies to dispute the bill with LUB, including the Customer Service phone number, 423-562-3316 or 1-800-352-1340.  

    LUB evaluates weather conditions daily at www.weather.com for LaFollette, TN  37766.  In the event the forecasted temperature is not expected to exceed 32 degrees Fahrenheit (F), or is expected to be 98 degrees Fahrenheit (F) or above on that day, LUB will not disconnect service of residential customers for non-payment.  Where disconnection is postponed due to an extreme weather condition, the postponement will not extend beyond the extreme weather condition.   

    Upon LUB's approval of LUB's Medical Necessity Form, disconnection of service will be postponed for 30 days from the original scheduled disconnection date to allow customer time to make payment or alternative shelter arrangements.  The Medical Necessity Form must be completed by a medical doctor or nurse practitioner licensed to practice in the state of Tennessee, certifying that the disconnection of electric service would create a life-threatening medical situation for the customer or other permanent resident of the customer's household.  It is the responsibility of the customer to ensure that the Form has been approved by LUB.  A life-threatening medical condition does not relieve a customer of the obligation to pay for electric service, including any late fees incurred or other applicable charges.  LUB will only grant this postponement for termination 3 times in a 12 month period.  If full payment of the past due amount, including all late fees, is not received by the end of the 30 day postponement period, electric service will be disconnected without further notice.
  6. Point of Delivery.  The point of delivery is the point, as designated by LUB, on the customer's premises where service is to be delivered.  All wiring and equipment beyond this point of delivery shall be provided and maintained by the customer at no expense to LUB.  Point of delivery is further defined as the point where obligation ends for LUB to furnish and install conductor or equipment, and where obligation begins for the customer to furnish and install conductor or equipment.
  7. Customer's Wiring Standards.  All electrical wiring of the customer must comply to standards set forth by the National Electrical Code, State of Tennessee Division of Fire Prevention, or by local city or county codes.  A national code is superseded by the state or local codes if the national code is not as stringent, but in all cases the national code is the minimum acceptable standard.  All meter locations, for both underground and overhead services, must be approved by a representative of LUB.  LUB shall not be obligated to provide protective equipment for the customer's lines, facilities, or equipment, and the customer shall provide such protective equipment as necessary for the protection of their own property and operation.
  8. Inspections.  LUB will install electric services only after satisfactory inspection has been performed by an authorized representative of the Division of Fire Prevention, Department of Commerce and Insurance, State of Tennessee or local codes enforcement agency, whichever may apply.  Applications for such electrical inspections may be made at LUB's office.  However, such inspections or failure to inspect or reject shall not render LUB liable or responsible for any loss incurred or from property damages resulting from defects in installation, wirings, or appliances, or from violation of LUB rules or from accidents which may occur upon the customer's premises.
  9. Underground Services Lines.  Customers desiring underground service from LUB must bear the excess cost of incident thereto.  Specifications and terms for such construction will be furnished by LUB on request.
  10. Customer's Responsibility for LUB's Property.  All meters, service connections, and other equipment furnished by LUB shall be, and remain, the property of LUB.  As part of the consideration for service, each customer shall be LUB's bailee of such facilities.  In the event such facilities are interfered with, impaired in their operation or damaged by the customer, or by any other person, the customer shall indemnify LUB or any other person against death, injury, loss or damage resulting thereof, including but not limited to LUB's cost of repairing, replacing or relocating any such facilities.
  11. Right of Access.  LUB's identified employees shall have reasonable access to the customer's premises at all reasonable times with the purpose of reading meters, testing, repairing, removing, or exchanging, any or all equipment belonging to LUB.  Locked gates, weeds, and dogs are examples of inaccessible premises.
  12. Discontinuance of Service by LUB.  LUB may refuse to connect or may disconnect service with violation of any of its rules and regulations, for violation of any of the provisions of the schedule of rates and charges, the terms of the service application, or the contract with the customer.  LUB may discontinue service to the customer for the theft of current or for the appearance of current diversion on the premises of the customer.  Discontinuance of service by LUB for any causes as stated in this rule does not release the customer from their obligation to LUB for the payment of minimum bills as specified in the service application contract with the customer.
  13. Service Connection Charges.  All connections for new services, transfers of service, or reconnections of terminated services will require a payment of $30.00.  In addition, all delinquent amounts, trip charges and deposits must be paid or satisfactory arrangements made.  If at the customer's request, the connection is guaranteed to be completed on the same day that service application is made, the charge will be $50.00.   If after hours, the charge will be the current call-out rate.
  14. Collection Charges/Returned Check Charges/Meter Reading Rechecks.  If a trip is made to collect and/or terminate a delinquent account, there will be a $30.00 charge.  There will be a $30.00 charge for all checks returned to LUB.  There will be a $30.00 charge for a meter reread requested by the customer.  This fee will be refunded if the meter reading being checked was inaccurate.
  15. Termination of Contract by Customer.  Customers who have fulfilled their contract terms and wish to disconnect service must give at least three (3) months written notice to that effect, unless the contract specifies otherwise.  Notice to disconnect service prior to the expiration of the contract term will not relieve the customer from any minimum or guaranteed payment under any contract or rate.
  16. Temporary Services.  LUB will furnish temporary service to customers who request service on a temporary basis.  The cost of such service shall be $30.00.   This amount will cover the cost for the temporary connection and to transfer the service from temporary to permanent service.  An aid-to-construction charge according to LUB's Electric Service Policy may be required for services requiring more than 500 feet of line extension.
  17. Interruption of Service or Irregular Service.  LUB will use reasonable diligence to provide a regular and uninterrupted supply of electricity but shall not be liable for any loss, injury or property damage resulting from failure to supply electricity, interruption, delay in restoration, mechanical failure, single-phasing, voltage irregularity, fire, labor difficulties, riot, explosion, breakdown, external forces, flood, acts of God, or the public enemy.  LUB shall not be liable for any damage where the customer's wiring does not conform to applicable code or law.
  18. Shortage of Electricity.  In the event of an emergency or other condition causing a shortage in the amount of electricity for LUB to meet the demand on its system, LUB may, by an allocation method deemed equitable by LUB, fix the amount of electricity to be made available for use by the customer and/or may otherwise restrict the time during which the customer may make use of electricity and the uses which the customer may make of electricity.  If such actions become necessary, the customer may request a variance because of unusual circumstances including matters adversely affecting the public health, safety and welfare.  If the customer fails to comply with such allocation or restriction, LUB may take such remedial actions as it deems appropriate under the circumstances including temporarily disconnecting electric service and charging additional amounts because of the excess use of electricity.  The provisions of the Section entitled Interruption of Service or Irregular Service of this Schedule of Rules and Regulations are applicable to any such allocation or restriction.
  19. Voltage Fluctuations Caused by the Customer.  Electrical service must not be used in such a manner as to cause unusual fluctuations or disturbances to LUB's system.  LUB may require the customer, at their own expense, to install suitable apparatus which will reasonably limit such fluctuation.
  20. Additional Load.  The service connection, transformers, meters, and equipment supplied by LUB for each customer have defined capacity, and no additions to the equipment or load connected thereto will be allowed except by consent of LUB.  Failure to give notice of additions or changes in load, and to obtain LUB consent for same, shall render the customer liable for any damages to any of LUB's lines or equipment caused by the additional or changed installation.
  21. Standby and Resale Service.  All purchased electric service (other than emergency or standby service) used on the premises of the customer shall be supplied exclusively by LUB, and the customer shall not, directly or indirectly, sell, sublet, assign, or otherwise dispose of the electric service or any part thereof.
  22. Notice of Trouble.  The customer shall notify LUB immediately should service be unsatisfactory for any reason, or should there be any defects, trouble, or accidents affecting the supply of electricity.  Such notices, if verbal, should be confirmed in writing.
  23. Non-Standard Service.  The customer shall pay the cost of any special installation necessary to meet their peculiar requirements for service at other than standard voltages, or for the supply of closer voltage regulation than required by standard practice.
  24. Meter Tests.  LUB will, at its own expense, make periodical tests and inspections of its meters in order to maintain a high standard of accuracy.  LUB will make additional tests or inspections of meters at the request of the customer.  If tests made at the customer's request show that the meter is accurate within two percent (2%), slow or fast, no adjustment will be made in the customer's bill, and LUB's standard testing charge will be paid by the customer.  In case the test shows the meter to be in excess of two percent (2%) fast or slow, an adjustment shall be made in the customer's bill and the cost of making the test shall be borne by LUB.  The cost for such test is $30.00.
  25. Relocation of Outdoor Lighting Facilities.  LUB shall, at the request of the customer, relocate or change existing LUB-owned equipment.   The customer shall reimburse LUB for such changes at actual cost including appropriate overheads.
  26. Billing Adjusted to Standard Periods.  The demand charges and the blocks in the energy charges set forth in the rate schedules are based on billing periods of approximately one month.  In the case of the first billing of new accounts (temporary service, and other seasonal customers excepted) and final billings of all accounts (temporary service excepted) where the period covered by the billing involves fractions of a month, the demand charges and the blocks of the energy charge will be adjusted to a basis proportionate with the period of time during which service is extended.
  27. Scope.  This Schedule of Rules and Regulations is a part of all contracts for receiving electric service from LUB and applies to all service received from LUB, whether the service is based upon contract, agreement, signed application, or otherwise.   A copy of this Schedule of Rules and Regulations, together with a copy of LUB's Schedule of Rates and Charges which was approved in a public LUB Board of Director's meeting, shall be kept open to inspection at the LUB office located at 302 N. Tennessee Ave., La Follette, TN  37766, or at www.lub.org.  Furthermore, LUB will provide information regarding rates, rate actions, service practice policies, and guidelines to customers via the website - www.lub.org .  A customer will also receive such information upon application for electrical service and at any time upon request.  Upon request by the customer, LUB will provide the 12-month history of a customer's usage and billing data for the prior 12-month period. 
  28. Revisions.  These rules and regulations may be revised, amended, supplemented, or otherwise changed from time to time, without notice.  Such changes, when effective, shall have the same force as the present rules and regulations.
  29. Conflict.  In case of conflict between any provision of any rate schedule and the Schedule of Rules and Regulations, the rate schedule shall apply.
  30.                 Revision effective 08/01/2015

    If you have an unresolved issue or complaint regarding your electric service account that cannot be resolved by LaFollette Utilities (LUB), TVA may be able to help.  Click this link to learn more:   www.tva.com/complaintresolution