Loading...
12/04/2012 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