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Operating Rules - Chapter 2 - Licenses and Conditions for Water Service

CHAPTER 2 – LICENSES AND CONDITIONS FOR WATER SERVICE


2.01     Application of this Chapter.    This Chapter describes the conditions necessary to obtain permanent water service, either potable or nonpotable, to premises located within the Combined Service Area.  This Chapter does not deal with water provided by Denver Water under fixed amount contracts with entities outside the Combined Service Area.

2.01.1  General Conditions.

a.  License Required.  No person or entity may obtain or use water directly or indirectly from Denver Water system without a properly issued and currently valid license.  A license entitles a particular premises to obtain and use water from the Denver Water system or a Distributor water system.

b.  Compliance with License Terms.  Licenses are usable only in accordance with the terms of the license and grant the right to use water only on the licensed premises and only for the purposes specified in the license.  No water user at any licensed premises shall supply or permit water to be used on any other premises without the permission of Denver Water.  Licenses for some uses such as water fountains and irrigation will be subject to restrictions under Chapter 14 – Water Conservation – of these Rules.

c.  No Private Redistribution.  Redistribution of Denver Water’s potable or non-potable water by anyone other than Denver Water is prohibited.  However, this section does not prohibit arrangements for allocation, collection or reimbursement of water charges between or among occupants of a licensed premises, including submetering. 

d.  No Transfer of License.  Licenses attach to the licensed premises only.  Licenses are not affected by changes in the ownership of the licensed premises.  Licenses for water service cannot be transferred from one premises to another.

e.  No Transfer of Ownership of Water.  Neither the issuance of a license nor the use of water thereunder shall constitute a relinquishment by Denver Water of title to or dominion or control of any water or water right.  No act, circumstance or condition of use or service shall be deemed to constitute a conveyance or operate to create in a licensee any vested or proprietary right to water.

f.  Denver Water Authority.  Notwithstanding the issuance of a license, Denver Water reserves the full power and authority to determine all matters concerning the control and use of water from the water system.

g.  Licenses Required Outside Denver.  A license is required for each premises using water from the Denver Water system within the Combined Service Area, regardless of whether it receives service inside Denver or outside Denver and whether it receives potable or nonpotable water.

2.01.2  Eligibility for Service.

a.         Inside Denver.  All property inside the corporate boundaries of the City and County of Denver as the same may exist from time to time shall be eligible to receive water service from Denver Water upon compliance with these rules and payment of such fees and charges as may be applicable and necessary to extend Denver Water’s system to the property concerned.  The timing and method for extending or providing service shall be at the sole discretion of Denver Water.

b.         Outside Denver. Only those properties outside of Denver located within the Combined Service Area shall be eligible for a water supply license from Denver Water.  Eligibility for service in such included areas shall be conditioned upon the approval of the Distributor, compliance with the rules and procedures of the Distributor and Denver Water and payment of such fees and charges as may be assessed by the Distributor and Denver Water.

c.         Water Facilities Required.  Eligibility for water service does not mean that Denver Water is obligated to extend or modify its existing facilities.  Any required extension, modification, replacement or relocation of Denver Water facilities shall be at the expense of the applicant for a license or the person or entity creating the need for such modifications.  Denver Water will decide in its sole discretion the extent and costs of any necessary changes to the water system.

2.02     Standard Service License.  Denver Water will issue standard metered service licenses for potable or nonpotable metered service.  Licenses are not issued for private systems, although such systems may receive water pursuant to contract.

2.02.1  Activation.  Any license for metered service must be activated within two (2) years from the date of the license.  Failure to activate as required will result in cancellation of the license under Rule 2.12.1.  Activated service occurs when all of the following conditions have been satisfied.

a.         All charges have been paid.

b.         The tap to the water main has been made and the meter pit or vault has been installed.

c.         The service line has been installed from the distribution main to a point five feet past the meter pit or vault.

d.         A meter has been set, and the meter and service line have been inspected and approved in accordance with Denver Water’s Engineering Standards in effect at the time of inspection.

e.         All necessary backflow prevention devices have been installed.

f.          The first placement of concrete for the building foundation has been completed, as evidenced by documentation of an inspection of concrete pouring by the appropriate regulatory agency; however, this condition shall not apply to licenses issued only for irrigation or water fountains.

2.02.2  Water Conservation Limitation.  If the license application involves a licensed premises of one acre or more; irrigation of turf; use for a decorative water feature; or the filling of a lake or pond, the applicant must also comply with the requirements of Chapter 14 of these Rules.

2.02.3  Continuous Metering Required.  Once activated, the water service must be metered at all times unless the water service is physically disconnected, or the licensee has made other arrangements with Denver Water.

2.03     Fire Protection License.  Denver Water may issue a license for use of water for private (licensee-owned) fire protection service only.  Denver Water assumes no obligation for adequacy of private fire protection service. 

2.03.1  Conditions for Issuance of Fire Protection License

a.          The applicant shall have secured a license for fire protection water service from Denver Water, the local fire department and, if applicable, the Distributor.  Licenses for licensee-owned fire hydrants are issued only in extraordinary circumstances and with approval of Denver Water’s Director of Engineering. Private fire sprinkler systems shall be installed at the expense of the licensee at such locations as may be designated by the licensee and approved by the appropriate Fire Department and Denver Water.  An advance cash deposit may be required as a condition of maintaining such service

b.         Water taken under a fire protection license may only be used for fire suppression.  Any other use of water, except routine testing, shall be deemed unauthorized use of water, which may result in suspension or revocation of the licenses for the licensed premises.

c.          If the water for fire protection service is to be supplied through the same service line used to supply water for other purposes, then all water use shall be metered.

d.         At the discretion of Denver Water, the licensee may be required to install on the fire service line an approved detector check valve equipped with a meter that will detect and record usage of water at flow rates lower than those used for fire protection.

2.04     Auxiliary License.  Denver Water may issue a license for a back up or emergency tap to premises such as hospitals or prisons which require full time water service.  Auxiliary licenses may be issued without payment of additional System Development Charges.  Auxiliary taps may not be used to increase the volume of regular water service above historic levels unless authorized by Denver Water.  The taps may be maintained in an operational or non-operational status, and are governed by all other Rules and Engineering Standards.

2.05     Stub-In Permit

2.05.1  Stub-In Tap Installed Prior to Meter Setting.  Denver Water may issue a stub-in permit to allow installation of a service pipe prior to setting a meter.  Issuance of a permit will be contingent upon payment of all applicable fees, as defined in Rule 2.07.5.  A stub?in shall include a tap, a valve at the property line and all fittings and pipe necessary to extend the service pipe to the valve from the tap on the main.  Use of water from a stub?in before the meter is set is prohibited.  Any use of water from a stub?in shall cause the permit to be canceled.  Stub?ins shall be valid only for the time period stated on the permit and any written extensions granted by Denver Water.

2.05.2  Conversion Required.  If, within the time period stated in the stub-in permit, the stub-in is not converted to a Standard Service License by payment of the SDC, participation charges and other applicable fees, then the permit shall be cancelled without refund of any fees paid.  When a stub-in permit is cancelled, Denver Water may, in its discretion, disconnect the stub-in at the main.

2.05.3  Compliance with Standards.  Prior to activation of a stub-in, the stub-in and all appurtenances must be brought into compliance with the then-current Operating Rules and Engineering Standards of Denver Water.  If necessary, the stub-in will be excavated and modified or relocated as necessary to obtain full compliance.

2.05.4 Stub-In Bailout. Stub-ins purchased between January 1, 2004 and December 31, 2008 that have not been converted to a Standard Service License as of December 31, 2008 have until December 31, 2011 to be converted to a Standard Service License without payment of additional stub-in charges.

2.06     Requirements for Obtaining a License.

2.06.1  General Requirements.

a.         Eligibility.  In order to receive a license for water service, the premises must be eligible for service from Denver Water as specified in Rule 2.01.2.

b.         Main Accepted.  No license shall be issued or System Development Charge accepted, until the main on which the tap will be installed to serve the particular premises has been approved for use by Denver Water, and the appropriate agency has tested and approved the use of the main as evidenced by a certificate of acceptance issued by that agency.  This provision does not apply if construction plans for water facilities approved by Denver Water require the installation of the tap during the main installation process.

c.         Separate Licenses.  Each independent structure requiring water service, whether or not under common ownership, shall be individually licensed, tapped and metered, unless Denver Water, in the exercise of its reasonable discretion, determines that other means are more suitable or the licensed premises includes an Auxiliary Dwelling Unit as defined by City and County of Denver ordinance or an equivalent zoning regulation in areas served by Distributors.  For the purpose of this Section, structures shall be considered to be independent if they do not have a common foundation, walls, and roof.

d.         Single Tap for Each License.  Each structure on a licensed premises should be served by a single tap, unless Denver Water in the exercise of its reasonable discretion determines that other means are more suitable.

e.         Multiple Licenses for Single Premises.  Denver Water may require an additional license, tap, service line and meter for the same premises for fire protection service or for separate irrigation-only service.

f.          Required Information.  A Water Supply License shall be issued only upon completion by the applicant or the applicant’s agent of a supply license form providing the following information:

(1)        Description of the licensed premises to be served under the license, by reference to a land survey, or recorded plat acceptable to Denver Water.

(2)        Statement of the purpose for which the water is to be used.

(3)        An acknowledgment and agreement by the licensee that use under the license must comply with all provisions of the license, applicable law and the Operating Rules and Engineering Standards of Denver Water.

(4)        An agreement on the part of the applicant to pay a System Development Charge, and such other rates, tolls, fees, charges, or combinations thereof as are established pursuant to these Operating Rules.

(5)        An agreement that any charge due is a charge against the premises and that water service may be discontinued whenever any charge is past due.

2.06.2  License for Service from a Distributor.  Denver Water will not issue a license for water service from a Distributor Water System unless the following conditions have been satisfied:

a.         The applicant is eligible for service and has a signed Denver Water Supply License from the Distributor.

b.         Denver Water has been authorized, in writing, by the Distributor to make service connections to the Distributor’s facilities.

c.         The applicant has complied with such reasonable conditions of service, including payment of charges, as may be imposed by the Distributor.

2.06.3  Tap Allocations.  Except as may otherwise be provided in a Water Service Agreement or Distributor’s Contract, licenses for standard metered service will only be accepted within the limits of any allocation of taps adopted by Denver Water.  Allocated taps shall not be sold, traded or conveyed from one Distributor to another.

2.06.4  Common Service for Individual Units.  An individual unit within an independent structure is not generally required to have separate water service.  If an owner of an individual unit within an independent structure requests a separate water service, all costs of providing separate water service shall be borne solely by the owner.

2.06.5  Separate Service Required.  If a dispute arises between owners of individual units within an independent structure, or between owners of independent structures supplied through a common service pipe, regarding compliance with the Board’s rules or failure to pay charges due, Denver Water may require separate water service.  If Denver Water requires separate water service in order to provide separate bills for each unit or structure, it shall notify the owners of each individual unit or independent structure by means of written or posted notice, pursuant to ordinance.   Such notice shall provide that the owners must arrange for the installation of separate water service for each unit or structure within 30 days of such notice.  If the owners of the individual units or structures fail to comply within the specified time, Denver Water may, in its discretion, install the separate water services and bill each owner an appropriate share of the costs of such installation.  If any owner fails to pay the apportioned share of the costs of installation by the due date on the bill, Denver Water may suspend water service for nonpayment under Rule 2.10, or may assess a lien against the property pursuant to ordinance.

2.07     System Development Charge.

2.07.1  Payment of SDC Required.  Effective January 1, 1973, Denver Water will not issue a standard metered service license without prior payment of an appropriate System Development Charge (SDC).  Pursuant to Charter section 10.1.12, licenses issued to the municipal government of the City and County of Denver (not including agencies or authorities sponsored or supported by the City and County of Denver) do not require payment of an SDC.  Licenses originally issued to the City and County of Denver may not be transferred to any other entity without payment of the appropriate SDC.

2.07.2  Assessment of SDC.

a.         Potable Water.  The SDC for a license for potable water will be based on one of the following methods, as determined by Denver Water:

(1)        The size of the licensed premises; unless legally subdivided, the entire premises shall be included for assessment of the SDC.

(2)        The number of residential units on the licensed premise.

(3)        The size of the tap purchased

(4)        The volume of water to be taken on an annual basis.

b.         Nonpotable Water.  The SDC for a license for nonpotable water will be based on one of the following methods, as determined by Denver Water:

(1)        The size of the licensed premises; unless legally subdivided, the entire premises shall be included for assessment of the SDC.

(2)        The size of the tap purchased.

(3)        The volume of water to be taken on an annual basis.

c.         Irrigation Water.  The SDC for any license supplying potable or nonpotable irrigation-only service, or service that is predominantly for irrigation, will be based on one of the following methods, but will not be less than the SDC for the size of the tap to be installed:

(1)        The size of the entire licensed property.

(2)        The volume of water to be taken on an annual basis.

d.         Charges for Excessive Use.  If the SDC is based on the annual allowable volume of water, additional charges of five times the applicable water rate will be assessed if the licensee’s water use during a calendar year exceeds the volume of water on which the original SDC payment was based, or in the case of the municipal government of the City and County of Denver, the amount of water approved in the water budget for the property. The Board may make adjustments to the annual allowable volume of water for weather related reasons or as part of a drought response program under Chapter 15 of these Rules.

2.07.3  Schedules of SDCs.  The Board will adopt schedules of SDCs from time to time.  SDCs may be different for customers inside Denver, outside Denver and outside the Combined Service Area; for different classes of customers; and for customers who receive different types of service.

2.07.4  Changes in SDC.  The Board shall provide notice of any proposed changes in SDCs at least 25 days prior to Board action.  Any change in SDC will be effective no sooner than 60 days following approval by the Board.

2.07.5  Deferred SDC.  If a stub-in permit is issued under Rule 2.05.1, payment of the SDC for the premises may be deferred until the stub-in is converted to a Standard Service License as required by Rule 2.05.2.

a.         Permit Fees.  No stub-in permit will be issued until the permitee has paid the following fees:

(1)        Incurred Costs.  Fees sufficient to cover Denver Water’s costs in administering the stub-in permit and installing the connection, including the cost of materials and labor for the requested stub-in.  These fees are nonrefundable and will not be applied to offset the required SDC payment if the permit is converted to a license.

(2)        Disconnection Deposit.  An amount sufficient to cover the cost of disconnecting the stub-in if it is not converted to a license as required by Rule 2.05.2.  The deposit is not refundable, but will be applied to offset the required SDC payment if the permit is converted to a license.

b.         Payments at Time of Conversion.  To convert a stub-in permit to a standard service license, the permittee must pay the SDC and any applicable Participation Charges in effect at the time of the conversion.

2.07.6  SDC Credits When Water Service Modified.  This section applies when redevelopment of a licensed premises requires replacement, enlargement or reconfiguration of the service connection to the premises. In general, an SDC payment will be required for any increased demand on Denver Water’s supply, above historic levels, that would be caused by the redevelopment. No refund will be granted if the redevelopment lowers demand below historic levels. The use of SDC credits rather than direct payment of SDC does not alter any of the Rules and deadlines applicable to water service at the licensed premises.

a.         Calculation of SDC Credit.  The SDC required for the redevelopment will be the difference between the SDC applicable to the new modified service connection and the SDC that would apply to the old service connection.  Denver Water will determine which of the methods for calculating SDC (lot size, number of units, tap size or volumetric charge) will be used to calculate the differential SDC. The amount of SDC credit will be determined as of the date of the first application for a new modified service connection at the licensed premises being redeveloped. Potential SDC credit may be reduced if the old service connection has been inactive for more than 5 years (see Rule 2.12.3). All SDC credits applicable to a licensed premises must be used within ten years of the date the first pre-existing tap was disconnected, or the unused SDC credit will be forfeited.

b.         Eligibility for SDC Credit.  To be eligible for SDC credit, the following conditions must be satisfied.

(1)        The old service connection at the licensed premises must be physically disconnected from the main, or the licensee may be required to pay a refundable deposit in an amount determined by Denver Water that will be held until the tap is cut off.

(2)        The SDC credit applies only when the new modified service connection is licensed to serve a premises which incorporates all or part of the original licensed premises, or is entirely contained within the original licensed premises.

(3)        All outstanding water and sewer bills, fees and charges must be paid.

(4)        The existing license must still be valid and must not have been cancelled for any reason under Rule 2.12, including non-use, failure to activate or failure to convert a stub-in to a tap.

c.         Consolidation of SDC Credits.  Whenever redevelopment involves modification of more than one service connection and construction of a new building, SDC credits may be combined and moved within the redevelopment project, except that SDC credits may only be used within an area bounded by dedicated streets or ways.  SDC credits may not be transferred across an existing dedicated street or way.

2.08     Participation Charges

2.08.1  Participation Policy.  Denver Water’s policy is that infrastructure needed to serve a specific area or customer should be financed by the beneficiaries, not through the rates of other customers.  Therefore, applicants for a Water Supply License may, as a prerequisite to service, be required to participate in the costs of constructing certain Denver Water facilities needed to extend water service to the particular property to be served.  The participation facilities may already have been constructed in order to serve the area, or new facilities may need to be constructed.  In either case, Denver Water will own and operate the participation facilities as part of its water system.

a.         Participation Inside Denver.  Applicants for water service inside Denver may be required to participate in the cost of transmission conduits from the nearest available source, based on the applicant’s maximum hour or maximum day demand as determined by Denver Water.

b.         Participation Outside Denver.  Applicants for water service outside Denver may be required to participate in the cost of the transmission conduits, pumping and treated water storage facilities from the nearest available source, based on the applicant’s maximum hour or maximum day demand as determined by Denver Water.

2.08.2  Method for Calculation of Participation Charges.  Participation charges are measured by the costs of constructing the participation facilities, but the applicant acquires no right to be served by means of specific facilities.  Participation charges will be assessed at the time of application for a license, using one or a combination of the following methods.

a.         Participation Contracts.  When new participation facilities must be constructed in order to provide service, Denver Water shall estimate the costs of construction and enter into a participation contract under which the applicant agrees to pay the actual costs of constructing the necessary improvements in return for entitlement to a specified capacity in the water distribution system.  The contract shall set forth the capacity for which the applicant is paying as well as the method of payment.  Denver Water may in its discretion oversize participation facilities, for which Denver Water will pay the incremental cost of oversizing, without adjusting the participation charges required of the applicant.

b.         Per Tap Participation Charges.  Where participation facilities have already been constructed to serve a particular geographic area, every water supply license issued within that area shall be assessed a per tap participation charge. Participation charges will be adjusted annually using a reasonable construction cost index.

2.08.3  Result of Failure to Pay.  If an applicant for a water supply license fails to pay participation charges for facilities deemed necessary by Denver Water to provide the capacity to serve the applicant’s property, Denver Water may refuse to provide any capacity to applicant until such payment and late charges are paid.

2.09     Other Fees and Charges as Conditions of Service.

2.09.1  Costs of Main Extensions.  In order to facilitate the development of an integrated water system and accommodate future requirements, Denver Water may require an applicant for water service, or any person requesting modification to the water system, to install, at the applicant’s expense, extensions, modifications, replacements or relocations to the distribution system that exceed the applicant’s individual requirements. Modifications to the water system may include relocation or replacement of existing service lines including meter pits serving other licensed premises as required by Denver Water. If the required extension involves pipes larger than 20 inches in diameter, participation charges under Rule 2.08 may apply.

2.09.2  Cost of Service Lines.  All costs required to connect the licensed premises to the Denver Water main shall be paid by the licensee.  Such costs typically include, but are not limited to, labor charges, corporation stop, service insulator, curb stop, stop box, service saddle, meter pit or vault, meter setter,  water meter, automatic meter reading devices, and service pipe.

2.09.3  Cost of Public Fire Hydrants.  The applicant or owner of a licensed premises is responsible for all costs to install fire hydrants as required by the local fire department or fire protection district.  Hydrants become a part of the distribution system to which they are connected and are owned and maintained in the same manner as other parts of the distribution system.

a.         Standard Location of Public Fire Hydrants.  Public fire hydrants shall be located as specified in Denver Water’s Engineering Standards, unless a physical obstruction prohibits the installation or use of a fire hydrant at a standard location.

b.         Relocation of Fire Hydrant.  Relocation of a fire hydrant shall be approved by the relevant fire department or fire protection district.  The cost of relocation is the responsibility of the party requesting the installation or whose activities necessitate the hydrant relocation.

2.10     Suspension of Service under a License.

2.10.1  Causes for Suspension of Service.  Denver Water may physically suspend the supply of water including fire protection service, to a licensed premises, without any obligation to refund any payment received from the licensee, for any of the following reasons:

a.         Failure to pay when due proper charges for water delivered, or failure to pay any other charges relating to the provision of water service to the licensed premises.

b.         Failure to comply with any of the Operating Rules or Engineering Standards of Denver Water, including any unauthorized cross connection or failure to install or maintain a required backflow prevention device, a detector check valve and meter, or a meter on the service line.

c.         Any unauthorized use of water, including use of water for purposes or on property not authorized by the license.

        2.10.2  Suspension for Non-Payment.

a.         Notice of Proposed Suspension.  When charges remain unpaid after sufficient notice, Denver Water will provide notice of proposed suspension in writing to the licensed premises; to the person normally billed for water service at the premises; and to a third party if Denver Water has been notified of the name and address of the third party.  The notice of proposed suspension shall include the following information:

(1)        The effective date of the proposed suspension, which shall be no sooner than ten (10) days following the date of the notice.

(2)        The amount of payment due, which must be paid prior to the effective date to avoid suspension of service.

(3)        A contact phone number for questions about the proposed suspension.

(4)        Notice that the owner or occupant is entitled to use the procedures contained in Chapter 16 of these Rules to dispute water charges.  Current water charges (not overdue charges) must be paid in full during the hearing process.

b.         Effect of Hearing and Appeal.  Water service to the licensed premises will not be suspended so long as the procedures described in Chapter 16 are followed, including the requirement in Chapter 16 to keep current with all ongoing water service payments and to pay a deposit equal to the disputed amount in the event of an appeal to the Manager of Denver Water.  At the conclusion of the Chapter 16 process, if the suspension is approved, water service may be discontinued, but no sooner than ten (10) days after the date of mailing of the decision that concludes the process.

c.         Reinstatement of Water Service After Suspension.  Water service will not be resumed after suspension unless and until the payment set forth in the Notice of Proposed Suspension has been made and all costs of suspension and reinstatement and other special charges, as determined by Denver Water, have been paid.

2.10.3  Suspension for Reasons other than Non-Payment.  This section applies to suspension of water service for reasons other than non-payment, emergencies, or unauthorized use of water.

a.         Notice of Proposed Suspension.  Denver Water will provide notice in writing to the licensed premises, to the person normally billed for water service at the premises, and to a third party, if Denver Water has been notified of the name and address of the third party.  The notice of proposed suspension shall include the following information:

(1)        The effective date of the proposed suspension, which shall be no sooner than fifteen (15) days following the date of the notice.

(2)        The reasons for suspension and the corrective action that must be resolved in order to avoid suspension of service.

(3)        A contact phone number for questions about the proposed suspension.

(4)        Notice that the owner or occupant is entitled to use the procedures contained in Chapter 16 of these Rules to avoid suspension of service.

b.         Effect of Hearing and Appeal.  If no request for a hearing in accordance with Chapter 16 has been received by Denver Water, then water service will be suspended on or after the date specified in the notice.  If a hearing is requested in accordance with Chapter 16, water service to the licensed premises will not be suspended so long as the procedures described in Chapter 16 are followed.  At the conclusion of the Chapter 16 process, if the suspension is approved, water service may be discontinued, but no sooner than ten (10) days after the date of mailing of the decision that concludes the process.

c.         Reinstatement of Water Service After Suspension.  Water service will not be resumed after suspension until the following conditions have been satisfied.

(1)        The corrective action necessary to resolve the problem described in the Notice of Proposed Suspension has been taken, as verified by an inspection conducted by Denver Water.

(2)        The service connection is in compliance with Denver Water’s Engineering Standards.

d.         Fees and Charges.  The actual cost of suspension and reinstatement, plus any special charges for the suspension and resumption of service, to be determined by Denver Water, shall be added to the next regular billing for the premises.

2.10.4  Suspension of Service for Emergencies or Unauthorized Use.  This section applies when the cause for the proposed suspension involves personal observation by Denver Water employees of unauthorized use of water, including failure to have or maintain a functioning accessible water meter in accordance with current Engineering Standards, or of an immediate threat of harm to property, or the public health, safety or welfare.

a.         Notice.  Denver Water will make every reasonable effort to contact the owner of the premises verbally prior to discontinuing water service.  A notice of the suspension shall be posted in a conspicuous location at the premises.  As soon as possible after the suspension, Denver Water will provide notice in writing to the licensed premises, to the person normally billed for water service at the premises, and to a third party, if Denver Water has been notified of the name and address of the third party.  The notice of suspension shall include the following information:

(1)        The reasons for suspension that must be resolved for water service to be resumed.

(2)        A contact phone number for questions about the suspension.

(3)        Notice that the owner or occupant is entitled to use the procedures contained in Chapter 16 of these Rules.

b.         Reinstatement of Water Service After Suspension.  Water service will remain suspended during the pendency of Chapter 16 procedures.  Water service will be resumed if the Chapter 16 process results in a determination that reasonable grounds did not exist for the suspension of service. If the Chapter 16 process determines that the suspension was justified, the water service will not be resumed after suspension until the following conditions have been satisfied.

(1)        The corrective action described in the Notice of Suspension has been taken, as verified by an inspection conducted by Denver Water.

(2)        The service connection is in compliance with Denver Water’s Engineering Standards.

c.         Fees and Charges.  The cost of suspension and reinstatement and special charges for the suspension and resumption of service, to be determined by Denver Water, shall be added to the next regular billing for the premises.

2.11     Revocation of Licenses.  Denver Water may revoke any license at the licensed premises, without any obligation to refund any payment received from the licensee, when repeated, deliberate or willful violations of the conditions of service, including failure to have or maintain a functioning accessible water meter in accordance with current Engineering Standards, or of these Rules have occurred at the licensed premises.

2.11.1  Notice of Proposed Revocation.  Prior to revoking any license, Denver Water will provide notice in writing to the licensed premise; to the person normally billed for water service at the premises; and, if the tenant occupant has notified Denver Water of the name and address of the landlord, also to the landlord.  The notice of proposed revocation shall include the following information:

a.         The effective date of the proposed revocation, which shall be no sooner than thirty (30) days following the date of the notice.

b.         The reasons for revocation that must be resolved prior to the effective date in order to avoid revocation of the license.

c.         A contact phone number for questions about the proposed revocation.

d.         Notice that the owner or occupant is entitled to use the procedures contained in Chapter 16 of these Rules to avoid revocation of service.

2.11.2  Effect of Hearing and Appeal.  If no request for hearing in accordance with Chapter 16 is received by Denver Water, the license will be revoked on or after the date specified in the notice. If a hearing is requested in accordance with the procedures of Chapter 16, the license will not be revoked so long as the procedures described in Chapter 16 are followed.  If water service has been suspended, the service will remain suspended during the Chapter 16 proceedings.  At the conclusion of the Chapter 16 process, the license maybe revoked but no sooner than ten (10) days after the date of mailing of the decision that concludes the process.  When a license has been revoked, the service connection may be cut off at the main.

2.11.3  New License Required.  After a license has been revoked, the subject premises shall not thereafter be served with water unless and until a new license for service is issued.  No such new license shall be issued until the following conditions have been satisfied:

a.         The corrective action described in the Notice of Proposed Revocation has been taken, as verified by an inspection conducted by Denver Water.

b.         The service connection is in compliance with Denver Water’s Engineering Standards.

c.         The applicant has paid the cost of revocation and reinstatement, including the costs incurred by Denver Water to disconnect the service, and special charges reasonably calculated by Denver Water to be necessary to prevent the recurrence of the kind of violations which caused the revocation of the previous license.

2.12     Cancellation of Licenses for Inactivity.

2.12.1  Failure to Activate License.  If a standard service license is not activated as required by Rule 2.02.1, the license will be void.  At the discretion of Denver Water, the service connection may be disconnected at the main.  Denver Water will refund any System Development Charge or other deposit previously paid in connection with the issuance of the license under the following conditions:

a.         The request for a refund must be received by Denver Water within five (5) years of the date of application for the license.  No refunds will be made after five years from the date of application for the license.

b.         The tap must be disconnected from the main at the licensee's expense.

c.         Any costs incurred by Denver Water in cancelling the license and disconnecting the service will be deducted from the SDC or deposit to be refunded.

2.12.2  Failure to Convert Stub-in Permit.  If a stub-in permit is not converted to a Standard Service License before the permit expires, no license for the premises will be issued.  At the discretion of Denver Water, the stub-in may be disconnected at the main.  The disconnection deposit paid for the permit under Rule 2.07.5 will be forfeited.

2.12.3  Inactive Water Service.  If previously active water service for any licensed premises has been inactive for a period of five (5) consecutive years, the license for that premises will be void. For purposes of this section, inactive shall mean that for five (5) consecutive years, the meter has not measured enough consumption to change the meter reading by at least one thousand (1,000) gallons. Payment of delinquent charges, service charges or any other charges shall not change an account’s status as inactive under this Rule 2.12.3. At the discretion of Denver Water, the tap and service may be disconnected at the main. After a license has been cancelled under this section, the subject premises shall not thereafter be served with water until a new license for service is issued. No such new license shall be issued until the following conditions have been satisfied.

a.         All components of the service connection must comply with Denver Water’s Engineering Standards applicable at the time of the new license application, as verified by a Denver Water inspection;

b.         The water service must be physically turned on and available for use at the premises;

c.         All charges due against the property must be paid;

d.         All costs associated with the reactivation of the tap, including a turn-on charge, must be paid; and

e.         An SDC must be paid.  If the water service was inactive for less than ten (10) years, then the SDC needed to reactivate service will be pro-rated.  Pro-ration of SDC applies regardless of whether the original SDC for the premises was paid in cash or satisfied by means of SDC credits under Rule 2.07.5.  To calculate the pro-rated SDC, the number of whole years of non-use shall be divided by ten (10), and the resulting fraction shall be multiplied by the current applicable SDC.  For water service that has been inactive for ten (10) years or more, the full current SDC shall be paid.  No refund of SDC is available for cancellation of a license for inactivity