HomeMy WebLinkAboutR-2005-204 Write-off of Uncollectable Utility Accounts ReceivableRESOLUTION NO. R-2005 - 204
A RESOLUTION Authorizing the write-off of certain uncollectable accounts
receivable by the utility funds of the City of Yakima.
WHEREAS, attached is a report entitled "Collection Write-off' representing
the past due but uncollectable accounts receivable by the utility funds of the City to be
discharged by City Council action, now, therefore.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF YAKIMA:
The attached "Utility Account Write-off List" is hereby approved, and the past
due accounts receivable, itemized on the attached write-off list, are hereby written off.
ADOPTED BY THE CITY COUNCIL this 13`h day of December 2005.
ATTEST:
gotit.e,„ Al 4-4-‘4,
CITY CLERK
BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No.
For Meeting Of: December 13, 2005
ITEM TITLE: A Resolution Authorizing Certain Uncollectable Utility Bills to be
Written Off
SUBMITTED BY: Rita Anson, Finance Director
Pete Hobbs, Utility Services Manager
Edna Pettyjohn, Accountant
CONTACT PERSON/TELEPHONE: Pete Hobbs, Utility Services Manager 575-6080fr-
Edna Pettyjohn, Accountant, 575-6070
SUMMARY EXPLANATION:
Attached is a resolution authorizing the write-off of certain uncollectable accounts receivable owed to the
City's Water, Irrigation, Sewer and Refuse Utilities in the amount of $180,509.27.
Accounts on the write-off list include: accounts that have been sent to a collection agency and returned as
uncollectable; accounts that have been included in a bankruptcy with a discharge of debtor; and accounts for
which neither the City nor collection agency has been able to locate the customer through the year 2000,
when the statute of limitations prevents further collection efforts. The write off of these uncollectable
amounts will be charged against the utility's "reserves". Note: The Utilities currently set aside between 1%
and 2% of their monthly billing for bad debts. (A list detailing the account number, name of the customer and
amount of write-off is available upon request from the City Clerk.)
Additional information regarding the accounts to be written -off is included on the attached Schedules:
Schedule 1: identifies the total number of accounts and dollar amount to be written off compared to the
total revenues billed.
Schedule 2: includes the amount to be written off in each utility.
Resolution x Ordinance Other (Specify)
Contract Mail to (name and address):
Phone:
Funding Source Utility Reserves
APPROVED FOR SUBMITTAL: City Manager
STAFF RECOMMENDATION: Adopt Resolution.
BOARD/COMMISSION RECOMMENDATION:
COUNCIL ACTION: Resolution adopted. RESOLUTION NO. R-2005-204
C:\Documents and Settings\phobbs\Desktop\12-13-05 Agenda Stmt - Utility Bad Debt Write-Off.doc
Page 2 Agenda Statement - 2005 Utility Write-offs;
Schedule 1:
The following schedule identifies the number of accounts and dollar amount to be written off, the
total amount of revenue billed and the write-off percentage.
NUMBER OF AMOUNT TO BE YEARLY AMT WRITE-OFF
ACCOUNTS WRITTEN OFF BILLED PERCENTAGE
1,088 $180,509.27 $17,526,017.00 1.03 %
Schedule 2:
The following schedule identifies the dollar amount to be written -off, by utility.
Utility Write off
Water $ 49,457.96
Irrigation $ 12,426.46
Wastewater $ 83,959.61
Refuse $ 34,665.24
Total $180,509.27