HomeMy WebLinkAbout12/04/2012 12 Uncollectable Accounts Receivable by the Utility Funds Write-Off BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA. STATEMENT
Item No.
For Meeting of: December 4, 2012
ITEM TITLE: Resolution authorizing the write off of certain uncollectable
utility accounts receivable funds for the City of Yakima
SUBMITTED BY: Tammy Regimbal, Utility Services Manager, 576 -6615
CONTACT Cindy Epperson 576 -6771
PERSON/TELEPHONE:
SUMMARY EXPLANATION:
Attached is a Resolution authorizing the write off of certain uncollectible accounts receivable
owed to the City's Water, Irrigation, Wastewater and Refuse Divisions. There is a total of
$210,877.21 that has been identified for write off, representing a year of activity, since the
• _ last write -off was done in December, 2011.
Delinquent accounts are recommended for write -off for various reasons, including:
1)The Statute of Limitations (six (6) years and older) has been met;
2)Bankruptcy (discharge of debt);
3)Death of debtor; and
4)Accounts have been sent to a collection agency and returned as uncollectable.
The large majority of the write -offs meet the 6 year statute of limitations which relate to
billings done in 2007. The $210,877 represents slightly less than 1% (.82 %) of the dollars
billed that year. The utility divisions currently budget 1% to 2% of their monthly billing for bad
debts.
The Council Report of Accounts to be Written Off (attached) identifies by utility division and
dollar amount the total accounts to be written off. A list detailing the account number, name
of the customer and amount of write off is available from the Utility Services Manager upon
request.
Staff respectfully submits the attached Resolution, which if approved by Council, will
authorize the write -off of the uncollectable accounts.
Resolution X Ordinance Other
(specify)
Contract: Mail to:
Contract Term: Amount: Expiration Date:
Insurance Required? No
Funding
Source: Phone:
APPROVED FOR
SUBMITTAL: - City Manager
STAFF RECOMMENDATION:
Adopt Resolution
BOARD /COMMISSION RECOMMENDATION:
ATTACHMENTS:
Click to download
❑ Resolution authorizing the write off of certain uncollectable utility accounts
❑ Council Report of Accounts to be Written Off
• RESOLUTION NO. R -2012
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 Writeoff' 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 4th day of December, 2012.
• MAYOR
ATTEST:
CITY CLERK
•
Council Report of Accounts to be Written Off
Write -offs as Percentage of Total Billed in 2007
Water Irrigation Wastewater Refuse Total
Write off amount $58,256 $18,981 $93,433 $40,207 $210,877
Billed amount $6,317,115 $24,823,856 $13,020,548 $3,945,868 $25,765,916
Percent of write off 0.92% 0.76% 0.72% 1.02% 0.82%
•
11/20/12