Landlord Information

Perkasie Electric is a municipal owned and maintained electric company. This offers the electric company specific benefits when it comes to rental properties.

State legislation known as the Municipal Claims and Liens Act allows municipal utilities to hold property owners responsible for tenant debt. This could include action against the landlord for the amount due for service provided at the owner's property which could be in the form of a municipal claim lien.

Perkasie Borough takes every avenue open to them to collect from the tenant, however there are times when payment is requested from the landlord.

Procedures taken to help protect Perkasie Borough and the property owners include:

Security Deposits

The Borough requires a security deposit of $200 for properties with electric heat and $100 for properties with any other form of heat for any new account opened. If the new customer can show that he/she had excellent credit with the previous electric utility, the security deposit requirement is waived.

The security deposit may be required at a later time if the customer's payment history reflects a drastic negative change in the customer's payment habits. This is usually associated with electric disconnect for non-payment.

Electric Disconnect

Disconnection of electric service occurs when an account becomes 40 to 45 days past due. Notice is given prior to shut-off to allow the customer a chance to pay the delinquent account and avoid shut off.

This procedure is only used from April 15 though November 1 for residential properties. Electric disconnects during the winter months may caused freezing water pipes and other complications associated with the cold weather, so shut off is not used as a means for collection of past due residential accounts other than the time frame stated above.

Using a Collection Agency for Past Due Final Electric Accounts

Once a person moves from the residence the account becomes "final." If a final bill should become delinquent, two additional notices are sent to the account holder. If no payment is made, the account is sent to a collection/reporting agency that attaches the debt to the debtors credit report as well as begins collection procedures.

In cases where there is no information available to follow the debtor to his/her next location, payment is requested from the property owner. The necessary information for collection is a forwarding address and social security number. Additional information that helps track a past due customer is employment information, current phone number, driver's license number and birth date. If after one year collection efforts are unsuccessful, the landlord will be asked to pay the bill.

Payment for past due final business accounts are requested from the landlord after past due notices are sent with no response from the business owner. Collection agencies cannot attach the credit reports of the owners for business debt.

When a rental property is sold, all past due accounts are called in for payment at settlement. This includes landlord accounts, current tenant accounts and unpaid final electric accounts.

In order for a landlord to minimize his/her risks associated with the payment of tenant electric accounts, we recommend that you take measures to screen tenants. Screening can include obtaining credit references and retaining adequate security deposits. Some landlords have the electric bills remain in their names and collect from the tenant each month to insure payment of these bills.

Perkasie Borough will mail duplicate bills and disconnect notices belonging to the renter to a landlord for a yearly fee of $10 for the first year and $5 for every year thereafter. Please call 215-257-5065 to establish this service.

Information about tenant accounts may also be obtained from time to time if requested in writing to Perkasie Borough Electric, PO Box 96, Perkasie, Pa. 18944-0096.

Any questions or comments can be made by phone, mail or e-mail.

Related Documents

2007 Landlord Letter
(PDF format)