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CENTERPOINT ENERGY RESOURCES CORP. <br /> D/B/A CENTERPOINT ENERGY ENTEX <br /> AND CENTERPOINT ENERGY TEXAS GAS <br /> GENERAL RULES AND REGULATIONS <br /> APPLICABLE TO NATURAL GAS SERVICE IN TEXAS <br /> (e) Meter Exchange. <br /> (1) The Company follows the practice of testing and repairing its meters on periodic schedules in <br /> accordance with good operating practice. The "periodic meter test interval" is based on the <br /> results of accuracy tests of its meters randomly sampled of varying ages. The period of <br /> presumed accuracy is the period during which not less than 70% of the randomly sampled <br /> meters exhibit accuracy in the range of 2%fast to 2%slow. <br /> 11. DEPOSITS FROM CONSUMERS TO GUARANTEE PAYMENTS OF BILLS <br /> (a) Establishment of credit for residential applicants. <br /> (1) The Company may require a residential applicant for service to satisfactorily establish credit but <br /> such establishment of credit shall not relieve the customer from complying with rules for prompt <br /> payment of bills. Subject to these rules, a residential applicant shall not be required to make a <br /> deposit; <br /> (A) if the residential applicant has been a customer of any utility for the same kind of <br /> service within the last two years and is not delinquent in payment of any such utility <br /> service account and during the last twelve consecutive months of service did not have <br /> more than one occasion in which a bill for such utility service was paid after becoming <br /> delinquent and never had service disconnected for nonpayment;or <br /> (B) if the residential applicant furnishes in writing a satisfactory guarantee to secure <br /> payment of bills for the service required; <br /> (C) if the residential applicant demonstrates a satisfactory credit rating by appropriate <br /> means,including but not limited to,the production of generally acceptable credit cards, <br /> letters of credit reference, the names of credit references which may be quickly and <br /> inexpensively contacted by the utility,or ownership of substantial equity. <br /> (b) Reestablishment of credit. Every applicant who has previously been a customer of the Company and <br /> whose service has been discontinued for nonpayment of bills shall be required before service is rendered <br /> to pay all his amounts due the Company or execute a written deferred payment agreement,if offered,and <br /> reestablish credit as provided herein. <br /> (c) Amount of deposit and interest for residential service and exemption from deposit. <br /> (1) The required residential deposit shall not exceed an amount equivalent to one-sixth of the <br /> estimated annual billings (rounded up to the nearest $5.00). If actual use is at least twice the <br /> amount of the estimated billings,a new deposit requirement may be calculated and an additional <br /> deposit may be required within two days. If such additional deposit is not made,the Company <br /> may disconnect service under the standard disconnection procedure for failure to comply with <br /> deposit requirements. <br /> Estimated Annual Billings as such term is used in this Section shall be either(i)the 12-month <br /> billing history at the service address involved (if a billing history is available for the service <br /> address), or (ii) the average annual residential bill in the Division serving the customer (if a <br /> billing history is not available at the service address); provided, that such average annual <br />