We're househacking in an Atlanta-area basement and we split the utility bills with the main-floor tenants, who are schedule to move out in the last week of August.  However, since the electricity bill is charged on the 25th of month following the service term's month (so Sep 25th), our tenants will have moved out by the time the bill is charged.  Their previous payment history has been spotty, so we we're worried they'll neglect paying if they have no incentive.  Our options seem to be:

A) Take it to small claims court if they refuse to pay, which probably won't be worth the time/effort.

B)  Hold the security deposit until bills are paid, and deduct them if they're not paid in 30 days.  Our lease's security deposit is worded:  "The balance, if any, of this deposit shall be refunded to the Lessee within 30 days after Lessee vacates, less any charges for cleaning, repair, missing items of equipment or any damages sustained by the Lessor due to breach by the Lessee.", so I think the deduction should be allowable as a "damage" since the agreement states that the bills would be split and paid within 7 days of being received.  If our tenants pushed back and we had to go to litigation, do you think a court would see it that way?

C)  Eat ~$200 of unpaid utility costs.

We're looking at option B, but what approach would you recommend?  And would you recommend changing our split-utility payment strategy in the future?

Thanks so much for you consideration!