John from Topeka. Found what I thought was a rate class error on a manufacturing account. The rate class is actually correct. But in the process I found the meter multiplier has been set at 40 when it should be 80 based on the transformer configuration. The utility has been collecting half of what they should have been billing. What do I do with this?
Rate class error compounded by wrong meter multiplier
Derek from Charlotte. This is the opposite of what you went looking for and it is a serious finding. The utility will eventually catch this — a meter audit or a transformer replacement will expose it. Your client needs to know now.
The client is going to be angry. They did not hire me to find ways the utility can bill them more.
Phil from Tampa. Your professional obligation is to report what you found. If the utility discovers this on their own they will issue a retroactive corrected bill — potentially years of undercharging all at once. Better for your client to know now and have time to prepare.
Meredith from Raleigh. There is also a question of your liability if you found this and did not disclose it. If your engagement letter covers billing accuracy review you may have an obligation to report errors in both directions.
My engagement letter does say I review for billing accuracy. So I have to report it.
James from Albuquerque. Frame it professionally — you found this in the course of doing your job thoroughly. The client is better off knowing now than getting a massive retroactive bill in two years with no warning.
Derek from Charlotte. Utilities typically have 3 to 5 years of retroactive collection rights for meter errors. This is not a small number. Your client needs to budget for a potential large corrected bill.