Lawmaker to push for lower deposit amounts

INDIANAPOLIS | When Nancy Van Santen opened a pair of children's boutiques in Hobart and Valparaiso two decades ago, she put down a $275 deposit to get the utilities turned on. Van Santen won't be getting that money back from NIPSCO, she was told recently, until she closes shop.

"I don't know why they do that, they don't do that with residential customers," Van Santen said. "Businesses could use the money more than NIPSCO, especially small businesses."

The utility did cut a check for the $385 in interest Van Santen's deposit had earned over 23 years. But state Sen. Karen Tallian says NIPSCO should hand over the deposit, too. The Odgen Dunes Democrat says she will pursue legislation next year to accomplish just that.

"I don't want to be seen as just picking on NIPSCO, " she said. "It's not just them, it's utilities everywhere in Indiana."

Tallian also wants to lower the required deposit for residential customers to the average of one monthly bill. Utilities now can require a two-month deposit for new customers and charge twice that for those with a history of late or unpaid bills.

"This is not the answer to the energy crisis, or a long-term energy policy, but it's a small step to help some of probably the neediest consumers," Tallian said Tuesday.

Similar legislation supported by Tallian and Sen. Frank Mrvan, D-Hammond, was ignored this spring by the Republican-controlled state Senate. Tallian announced plans to renew her effort just ahead of a community meeting in Gary where organizers planned to pressure NIPSCO to restore service to perhaps thousands of Northwest Indiana customers.

NIPSCO will not say how many customers are without service, said Tom Cuddy, a spokesman for the Merrillville-based electric and natural gas provider. And utilities are not required to report shutoff data to the state, a spokeswoman for the Indiana Utility Regulatory Commission said Tuesday.

NIPSCO did not plan to attend last night's meeting at the Genesis Center, Cuddy said. The utility will host its own energy fair at the Gary convention center next month.

"We're focused on keeping our customers connected," Cuddy said. He points to the $10.7 million in low-income heating assistance funds NIPSCO has provided during the last two years, with nearly half that going to Lake County customers. A 63-cent surcharge on monthly bills funds most of that effort, Cuddy said, with the company itself putting up $1.2 million.

As for deposits, residential customers get their down payments returned after 14 months of on-time payments, Cuddy said. The same does not apply for businesses, he said, adding that Van Santen got her interest check after inquiring about her business deposit last month.

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