Sussex County to offer limited-time amnesty program for delinquent sewer, water users

Georgetown, Del., Dec. 15, 2009: Sussex County is about to give delinquent sewer and water customers a chance to come clean, and save some green in the process, too.

County officials announced Tuesday, Dec 15, 2009, details of an amnesty program to collect nearly $1.8 million in back sewer and water fees from approximately 5,100 delinquent accounts. Those accounts represent about 8 percent of the County’s 66,000 sewer and water customers.

The limited-time offer will be extended to delinquent account holders on their first quarterly bills for 2010, which will be issued in January and February.

Under the program, a delinquent account holder would have to pay the total amount due in sewer fees by a given deadline to qualify for a 50-percent forgiveness in interest penalties. As an example, a customer owing $1,100 in back sewer fees over two years would be assessed a 1-percent-a-month penalty, equaling $130, for a total bill of $1,230. By settling the debt during the amnesty period, the customer would save $65 in interest penalties.

“This is a unique, limited opportunity for those customers who are behind on their payments to bring their accounts back in to good standing,” said Patricia Faucett, director of the County’s Utility Billing division. “Hopefully, the chance to have half the interest removed will be just enough of a nudge to get those debts settled before more severe penalties are imposed.”

County Council in September approved a set of policy changes aimed at recovering millions of dollars in taxes and fees owed to the County government. Tuesday’s announcement details how the County plans to move forward in collecting the sewer and water portion of those delinquencies. A separate amnesty program for back taxes is still in the works.

Ms. Faucett said her office already works with individuals who are behind on their sewer and water bills by offering payment plans to those who qualify. The amnesty period, however, is an incentive to delinquent account holders to settle their debts before facing stiffer penalties.

In January, the County will bring on a full-time collections manager to coordinate recovery of delinquent payments that go unpaid. Sussex County already works to collect back taxes and sewer and water payments by using letters, making telephone calls and placing liens on properties in which payment is overdue. Eventually, tax sales are held for properties in delinquency, an option the County will use with its new collections manager to settle debts.

County leaders said that before taking that final step, the amnesty program will offer delinquent account holders a ray of hope, and one last chance.

“I believe it’s compassionate to extend a grace period for delinquent accounts during these difficult economic times,” County Council President Vance Phillips said. “But respect also has to be extended to those users who have faithfully paid their bills on time. For those who ignore this window of opportunity, please understand that we will use all legal means to recover what is owed to ‘the people’ and do what we must to keep the sewer districts on solid fiscal ground.”

Details of the sewer and water amnesty program, including deadlines and payment methods, will be enclosed in the January and February quarterly bills to delinquent customers, Ms. Faucett said.

For additional information, contact the Utility Billing office at (302) 855-7871.

###