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14 <br />When the customer goes off service payment arrangements are available. <br />However, any charges remaining at final bill day 39 (up to the guaranteed <br />amount) are transferred to the guarantor, regardless of arrangements. <br />Release of Guarantor due to Guarantee Establishing Good Pay Record <br />The guarantor is released when the customer achieves no more than two arrears <br />and no disconnection activity within twelve consecutive months. The system will <br />generate a letter to the guarantor, notifying them of their release. <br />How Would a Regional Help Agency be Set Up to Act as Guarantor for <br />Customers? <br />A specific non-utility account would be set up for the Help Agency on PSNC <br />Energy's customer information system. This account would be used to document <br />the accounts being guaranteed and to bill the guarantor if any of the guaranteed <br />accounts go off service without full payment on the account. This account will not <br />incur any charges, other than the agreed amounts of guarantor arrangements. <br />To guarantee a customer's account, an 'Agreement in Lieu of Deposit' form must <br />be signed by the agency's designated representative and mailed or faxed back to <br />PSNC Energy. (PSNC Energy Receivables Management/PO Box 1398/Gastonia, <br />NC 28053-1398 or fax: 704-810-3306) The agreement will remain in effect for <br />the life of the service unless the guaranteed customer is able to establish credit <br />by means of a good pay record (no more than two arrears and no disconnection <br />activity within twelve consecutive months of service). <br />C. OWASA <br />OWASA is the public, non-profit water and sewer agency that serves the <br />Carrboro-Chapel Hill area. OWASA's nine-member Board of Directors is <br />appointed by the elected governing boards of Carrboro, Chapel Hill and Orange <br />County. <br />OWASA began serving the community in February 1977 when the University and <br />the two Towns sold their water and wastewater assets to OWASA. <br />In addition to State law regarding water and sewer authorities, OWASA is subject <br />to the terms of purchase and sale agreements with the University and the Towns, <br />and the OWASA Bond Order, which in part: <br />¦ Limit OWASA's services to water and sewer-related operations and projects. <br />¦ Prohibit OWASA from providing free service. <br />¦ Require OWASA set rates and fees based on the cost of our various services. <br />14