Utiltiy Notice of Intent to lien my property for tenant's unpaid bill in another city

[ultrarunner]

Here's a strange one that happened to me...

In 2005... one of my best tenants bought a home.

In 2011 they lost the home in foreclosure and contacted me looking to rent.

I was glad to have them back and all was well.

Here's the twist...

The home they owned in a nearby city is served by a regional water company that includes my city.

Apparantly, when they walked away from their home... they also walked away from a $385.00 water bill.

When they moved into my single family rental they started water service in their names.

Fast forward a year and I get a Notice of Pending Lien from the water district on my single family rental referencing a water account in another city???

After getting nowhere over the phone... I drive to water company headquarters and can not believe what they told me...

My tenant's previous delinquent water bill was transferred to her new account serving my rental.

With penalties, fees, interest, etc... the $385 bill totalled almost $600.

The water company intended to lien MY RENTAL PROPERTY for the tenants unpaid bill in another city since they have the right, according to them to attach a delinquent customer's bill anywhere in the district.

Once liened... the costs escalate greatly and is against my property!

Anyway, I met with the tenant and she said she owes the money and put in to cash out her vacation pay at 50 cents on the dollar to get it paid, about $750 including the $150 of her current bill at my home.

Took this all the way to the State and learned Municipal Utility Districts have a lot of leeway and are not bound by the Public Utility Commission!!!

Just another expample of property owners having a bulls eye or being in the cross hairs... not to mention the time it takes to deal with this non-sense.

And yes, she did pay it off in full.

Makes me yearn for the country life... well water, septic and far from the city!

 

[aczlan]

Thats nuts. If the property isnt in the tenants name or owned by them, how can they legally attach a lien to it?

Aaron Z

 

[ultrarunner]

The utilities got a bill passed holding the property owner ultimately responsible for utilities used should the person contracting the service not pay... which in and of itself is a huge injustice because the Utilities will not even discuss account status unless you are the person on the account or authorized by that person... reason stated is privacy laws.

In my city the fees come to $2 per day before a single drop of water is used...

In this case... 75% of the outstanding/delinquent bill was generated in another city and added to the 25% used at my property... washing, bathing, cooking and for the garden.

Just incredible at how convoluted things have become.

 

[ddb123]

I suppose I can understand utility companies getting tired of customers just leaving unpaid bills and the companies having no recourse, but this seems to be too far. What if the tenant refused to pay and just left the state, owing you rent and bills to the utility company? You would just be on the hook for their bills? What happens now if one of your tenants skips out on their bill?

 

[ultrarunner]

This is my first experience with this and I have the same questions.

Apparantly, the State had to pass another bill stating service could not be denied to a new "Tenant" if the previous tenant did not pay the bill... it was silent about property owner.

Much of this has to do with the foreclosure crisis so I'm led to believe.

I have water accounts for several multi-unit property in my name... just never occured to me I could be the responsible party for a contracted service at a single family home.

I guess phone, alarm, cable and internet are next?

It's not unheard of for people not to pay and then put the bill in the name of another family member and so on...

Garbage was having a huge problem that was solved by putting the burden on the owner... Waste Management will only bill the owner of record and service is mandatory... unpaid bills are paid by the city and the city places the lien...

 

[ddb123]

I see your location is Bay Area-Ca -- is that Canada or California?

 

[ultrarunner]

San Franciso-East Bay California...

 

[ddb123]

I see. Hmm, I was hoping this was Canada only! I'm glad you got it sorted out, but man, that is nuts. I already feel like I barely own my own property without stuff like this coming.

 

[ultrarunner]

If you want another shock... try building a single family home.

Fee for water meter hookup is $23,000

 

[stuckmotor]

I'm going to quit reading this thread. When I think about utility companies my blood pressure goes up.