IUC encourages customers to seek utility bill assistance before moratorium on service disconnections ends April 1

Iowa’s annual winter moratorium regarding utility service disconnection will end on April 1. Utilities also will be allowed by law to resume service shutoffs on April 1. The end of the moratorium on disconnection of service for nonpayment often brings inquiries from customers who have been unable to keep up with their utility bills. To avoid disconnection, the Iowa Utilities Commission (IUC) encourages customers to review their utility’s disconnection policies and procedures and contact their utility immediately to avoid natural gas or electric service shut off and make payment agreements. 

The Low-Income Home Energy Assistance (LIHEAP) program assists thousands of Iowans with a portion of their heating bills every year. LIHEAP-qualified customers are also protected from utility service disconnection from November 1 through April 1 annually. To assist customers during this time of the year, remember:

• Customers can continue to apply for LIHEAP through April 30.
• Local community action agencies may offer additional resources.
• 211 Iowa is a resource for assistance with utility payments, housing, and other information that may provide financial relief. 

Disconnecting utility service:  

• For nonpayment of a customer’s bill, all Iowa utilities must provide written notice to a customer at least 12 days prior to disconnection. (Customers who have defaulted on a payment agreement may be disconnected with 24 hours’ notice.)
• Notice must include the reason for disconnection and the final date payment is due.
• Notice must include the “Customer Rights and Responsibilities” language from IUC rules in Iowa Administrative Code.
  • 199 IAC 19.4(15) Service Supplied by Gas Utilities
  • 199 IAC 20.4(15) Service Supplied by Rate-Regulated Electric Utilities
  • 199 IAC 27.4(2) Regulation of Electric Cooperatives and Municipal Electric Utilities
• If a customer’s rental unit is subject to disconnect, the utility must attempt to contact the landlord at least two days prior to the disconnection.

Methods for customers to avoid service disconnection with their utility:

• A utility must offer a reasonable payment agreement if the customer is not in default of a previous payment agreement.
• At a minimum, utilities must give the option of spreading payments evenly over at least 12 months. The first payment agreement may not ask for a down payment, but the second agreement can require the customer to pay the first month’s payment up front.
• A utility must grant the customer at least one late payment that is four days or less beyond the due date for payment.

Questions can be directed to IUC Customer Service staff at customer@iuc.iowa.gov.