HomeMy WebLinkAbout02/01/2022 06.F. Resolution authorizing the write-off of certain uncollectable delinquent utility accounts receivable funds 1
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BUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No. 6.F.
For Meeting of: February 1, 2022
ITEM TITLE: Resolution authorizing the write-off of certain uncollectable delinquent
utility accounts receivable funds
SUBMITTED BY: Jennifer Ferrer-Santa Ines , Director of Finance & Budget
James Dean, Utility Services Manager
SUMMARY EXPLANATION:
Attached is a resolution authorizing the write-off of certain uncollectable accounts receivable owed tc
City's Water, Irrigation, Wastewater, Solid Waste, and Storm water Divisions. A total of 866 accounts tot
$228,734.84 have been identified for write-off, since the last write-off was done in February of 2021.
Delinquent accounts are recommended for write-off for various reasons, including:
1) The Statue of Limitations (six(6)years or 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 the billings dor
2015. The $228,734.84 represents less than 1% (.64%) of the dollars billed that year. The utility divis
currently reserve 1% of their monthly billing for bad debt. Since this is within the amount reserved, the
balances will not be decreased by this write-off. The resolution (attached) identifies the dollar amour
each utility division to be discharged.
ITEM BUDGETED: Yes
STRATEGIC PRIORITY: Public Trust and Accountability
APPROVED FOR SUBMITTAL BY THE CITY MANAGER
RECOMMENDATION:
Adopt Resolution
ATTACHMENTS:
Description Upload Date Type
0 Resolution 1/13/2022 Resolution
2
RESOLUTION NO. R-2022-
A RESOLUTION Authorizing the write-off of certain uncollectable accounts receivable by the
utility funds of the City of Yakima.
WHEREAS, the Utility Services Division of the City of Yakima manages the billing
process for the City's Water, Irrigation, Wastewater, Storm water and Refuse utilities, and;
WHEREAS, in accordance with best business practice, past due accounts are sent to a
collection agency for follow up, and the agency reports back uncollectable accounts that are past
the Statute of Limitations; discharged in a bankruptcy; discharged by death of the debtor; or
otherwise uncollectable; and
WHEREAS, the Utility Services Division has a detailed listing of 866 uncollectable
delinquent accounts totaling $228,734.84 to various 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 delinquent accounts in the following amounts as summarized by utility totaling
$228,734.84 are hereby recognized by the City Council as uncollectable and the Director of
Finance & Budget or his /her designee is hereby authorized to write off these debts accordingly.
Water Irrigation Waste Water Refuse Fees
$61,518.69 $14,738.42 $103,865.26 $47,972.47 $640.00
ADOPTED BY THE CITY COUNCIL this 15th day of February, 2022.
Janice Deccio, Mayor
ATTEST:
City Clerk