Truth or Consequences adopts updated utility billing and cash‑handling policies to address audit findings

The Truth or Consequences City Commission on Thursday adopted two policy resolutions aimed at strengthening utility billing, collections and cash controls after an audit identified outdated or missing procedures.

City staff and the utility director, Sonia Renfro, told the commission the new utility operations policy aligns billing and collections practices with the city code and includes clear guidance on required deposits for rental accounts, proactive red‑tag procedures, and a 90‑day meter cutoff threshold for delinquent accounts. The cash‑handling policy formalizes how the utility office processes in‑person payments, manages the safe, and documents receipts.

City manager acknowledged the policies are a work in progress. He said the administration has already tightened practice by requiring deposits for renter accounts and by hiring a collections specialist, but commissioners raised concerns about landlord accountability and asked staff to explore stronger enforcement tools such as liens and adjusted deposit amounts for repeat offenders.

"At 60 days we need to move diligently to the red‑tag process and by 90 days we need to be shutting that meter off," the city manager said, summarizing the current enforcement approach staff will embed in policy and refine.

Why it matters: Staff said the new policies address specific audit findings and will be submitted to state auditors as corrective action. Commissioners characterized the policies as necessary steps to improve internal controls and collections while urging staff to return with clearer landlord enforcement and any necessary ordinance changes.

What the commission did: The commission approved the resolution adopting the utility operations manual and the separate cash‑handling resolution; staff said they will return with amended procedures after further legal and operational review.

Next steps: Staff will refine landlord enforcement language, consider deposit adjustments for repeat offenders, reconcile any conflicts with existing ordinances, and report back to the commission for final adoption of the refined policy language.