May 10, 2002 Mrs. Jean Hayton, City Recorder City of Lake City 195 South Main Street, P.O. Box 66 Lake City, Tennessee 37769 Re: Wastewater Service Disconnect Policy Dear Mrs. Hayton The purpose of this letter is to outline a strategy for disconnecting wastewater service as the result of non payment of wastewater fees. I have reviewed the problem of disconnecting wastewater service for non payment of fees with legal counsel and would like to point out that any strategy that you may choose may involve some level of risk. You and the board may be negatively criticized for disconnecting an individual=s wastewater service where there are children or elderly people involved or some other hardship. Someone may legally challenge your action to disconnect the service or you may be sued for the action. We did not find any legal opinions that would specifically authorize you to disconnect the service for non payment, nor did we find any opinions that require you to continue to provide the service free of charge. We think that if you give reasonable notice for the disconnection of service your city will be in a better position if challenged. One strategy that you may want to consider is giving the customer refusing to pay the monthly wastewater fee a ninety (90) days notice that states that the fees have not been paid and service will be discontinued at the end of ninety (90) days unless they are paid. The notice can state that the customer may request a hearing before the board if there is some legitimate reason why the fee should not be paid. If the customer refuses to pay or does not pay, he should make other provisions for wastewater disposal. Send a copy of the notice to the county health officer and the county executive. If the fees remain unpaid disconnect the service. It is important that you treat every customer who does not pay the same way, that the amount of the fees unpaid not be in dispute, and that you not let the unpaid wastewater fees remain unpaid for long periods of time before taking action. I recommend that you review any strategy for disconnecting wastewater with your city attorney prior to any disconnection. Please let me know if you have questions or comments. Sincerely Ron Darden Municipal Management Consultant Cc. Mrs. Melissa Ashburn, Legal Consultant