NJ - South River, Utilities Billing Problems Dissatisfies Town

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SOUTH RIVER: Firm dissatisfies town on utilities billing

Published in the Home News Tribune 4/03/00

By BETH ROSENBERG STAFF WRITER

A company South River officials brought in to handle the billing of borough electric and water customers isn't living up to expectations.

In recent months, some residents have complained at Borough Council meetings that bills are incorrect, delinquent notices are not being sent out properly and when they call Associated Utility Services of Moorestown to complain they are treated rudely.

The borough, which operates its own electric and water utilities, is nearing the end of the first year of a three-year contract it signed with AUS.

'It hasn't been as receptive to the customers as we would have liked,' borough Administrator Charles Kolakowski said. 'It certainly hasn't been flawless.'

And while he wouldn't elaborate on possible solutions to the problems, Kolakowski said the borough is 'exploring a lot of different options.'

Because the borough may have to take legal action to deal with contractual issues, Kolakowski said he was unable to talk about these options.

Kolakowski did say that borough officials and AUS representatives have had ongoing meetings on how to improve the system, and the council is aware of the situation.

Kolakowski said there have been billing problems with changes to accounts not always made in a timely manner, or payments not posted quickly.

'Any complaints of that nature aren't good,' he said.

Gary Prettyman, president of the utility billing division for AUS, said he thinks his company is doing a good job for the borough. He acknowledged, however, that there were problems when AUS first took over the monthly billing for the approximately 4,500 water customers and 6,500 electric customers in South River.

The borough pays AUS $1.20 for each bill it sends. Approximately 11,000 bills are sent each month.

Prettyman said some of the problems with the alleged late posting of payments may simply be a case where the bill and the check cross each other in the mail.

'That happens a lot everywhere,' he said, adding that checks are posted to accounts as they are received.

As for the delinquency notices, Prettyman said the company just began a new system of generating these notices, and have started sending them to customers who are the most overdue on their bills.

Prettyman said he received a letter from the borough in September putting AUS on '40-day notice,' but it was vague and did not elaborate on what exactly that meant. He wrote to the borough asking for more details, but never received a response, he said.

Kolakowski said he could not comment on the letter, but said there have been meetings between the two groups since that time.

'Things were clarified as to what we were looking for,' Kolakowski said.

Mayor Robert Szegeti said he is concerned about the problems and hopes they can be resolved.

Councilman Shawn Haussermann said he continues to support the idea of hiring a firm to handle the billing, but added, 'I'm not sure we've got the right company.'

Haussermann said AUS was the only company that bid on the contract. He suggested possibly checking with other companies to see if there is any interest in the work.

Szegeti said hiring a firm to do the work is less expensive than hiring borough employees to do the job.

There were three retirements from the borough's utility department in the first six months of the AUC contract, and no layoffs were needed to consolidate the department.

'We thought we'd be able to provide a better service at the same or less money,' he said.

1 dissatifies Questn 1 its Questn 1 their Questn 4 there--------------------------------------------------------------- ELECTRIC, WATER CUSTOMERS Firm dissatisfies town on billing SOUTHRIVER By BETH ROSENBERGSTAFF WRITER

A company South River officials brought in to handle the billing of borough electric and water customers isn't living up to expectations.

In recent months, some residents have complained at Borough Council meetings that bills are incorrect, delinquent notices are not being sent out properly and when they call Associated Utility Services of Moorestown to complain they are treated rudely.

The borough, which operates its own electric and water utilities, is nearing the end of the first year of a three-year contract it signed with AUS.

'It hasn't been as receptive to the customers as we would have liked,' borough Administrator Charles Kolakowski said. 'It certainly hasn't been flawless.'

And while he wouldn't elaborate on possible solutions to the problems, Kolakowski said the borough is 'exploring a lot of different options.'

Because the borough may have to take legal action to deal with contractual issues, Kolakowski said he was unable to talk about these options.

Kolakowski did say that borough officials and AUS representatives have had ongoing meetings on how to improve the system, and the council is aware of the situation.

Kolakowski said there have been billing problems with changes to accounts not always made in a timely manner, or payments not posted quickly.

'Any complaints of that nature aren't good,' he said.

Gary Prettyman, president of the utility billing division for AUS, said he thinks his company is doing a good job for the borough. He acknowledged, however, that there were problems when AUS first took over the monthly billing for the approximately 4,500 water customers and 6,500 electric customers in South River.

The borough pays AUS $1.20 for each bill it sends. Approximately 11,000 bills are sent each month.

Prettyman said some of the problems with the alleged late posting of payments may simply be a case where the bill and the check cross each other in the mail.

'That happens a lot everywhere,' he said, adding that checks are posted to accounts as they are received.

As for the delinquency notices, Prettyman said the company just began a new system of generating these notices, and have started sending them to customers who are the most overdue on their bills.

Prettyman said he received a letter from the borough in September putting AUS on '40-day notice,' but it was vague and did not elaborate on what exactly that meant. He wrote to the borough asking for more details, but never received a response, he said.

Kolakowski said he could not comment on the letter, but said there have been meetings between the two groups since that time.

'Things were clarified as to what we were looking for,' Kolakowski said.

Mayor Robert Szegeti said he is concerned about the problems and hopes they can be resolved.

Councilman Shawn Haussermann said he continues to support the idea of hiring a firm to handle the billing, but added, 'I'm not sure we've got the right company.'

Haussermann said AUS was the only company that bid on the contract. He suggested possibly checking with other companies to see if there is any interest in the work.

Szegeti said hiring a firm to do the work is less expensive than hiring borough employees to do the job.

There were three retirements from the borough's utility department in the first six months of the AUC contract, and no layoffs were needed to consolidate the department.

'We thought we'd be able to provide a better service at the same or less money,' he said.

http://www.thnt.com/news/backstories.pl?paper=2&id=262449

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