The owner shall make full payment of the plant investment fee using one of the following methods:

A. Pay a lump sum amount equal to the full amount of the plant investment fee prior to connection to the system.

B. Enter into a payment plan contract with the utility that meets the following prescription:

1. Contract shall be on a form provided by the city.

2. The plant investment fee principal shall be paid in annual payments not to exceed five payments.

3. The first payment shall be paid with the connection application plus an administrative fee.

4. The plant investment fee interest shall be calculated annually, using simple interest applied to the outstanding balance and billed annually with the principle. Interest shall be one percent more than the percent equal to the CPI-U (consumer price index) as published by the U.S. Department of Labor for the preceding period January 1 through December 31.

5. The contract shall stipulate that the agreement runs with the property. If the owner fails to make payment, the service to the property shall be terminated ten days after notice and the full amount of the outstanding principal and interest shall be paid in full prior to reestablishment of service. (Ord. 656 § 1(part), 2004)