HomeMy WebLinkAboutAGENDA REPORT 2013 1106 CCSA REG ITEM 10F ITEM 10.F.
CITY OF MOORPARK,CALIFORNIA
City Council Meeting
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ACTION: /t.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Ron Ahlers, Finance Director a4.-
By: Irmina Lumbad, Budget and Finance Manager
DATE: October 22, 2013 (City Council Meeting of November 6, 2013)
SUBJECT: Consider Approval to Write Off Delinquent Non-Sufficient Fund (NSF)
Accounts Receivable Issued Prior to July 1, 2011
SUMMARY
Pursuant to the City Council Policies Resolution No. 2013-3176, Policy 5.4: Accounts
Receivable Collection of the (City Council Policy 5.4) adopted on June 6, 2013, staff is
recommending adjustment of delinquent Non-Sufficient Fund (NSF) invoices totaling
$7,007.22.
DISCUSSION
As of September 30, 2013, the City's total outstanding NSF receivable is $12,440.87;
which reflects NSF fee and applicable penalties as prescribed by the City Council Policy
5.4 (Attachment 1). This total includes $7,007.22 or 66 invoices issued prior to July 1,
2011. Between October 2006 and February 2009, the City assigned $3,611.17 or 37
accounts to the collection agency, Financial Credit Network. Final Notice has been sent
to the remaining 29 accounts. Since then, we have seen minimal progress in collection
and any further actions would not be cost effective to the City. Staff is recommending to
write-off $7,007.22 (Attachment 2). Therefore, the outstanding NSF receivable will be
reduced to $5,433.65 ($12,440.87 less $7,007.22).
One NSF invoice in the amount of $1,000.00 for a construction inspection deposit in
2008 is not included in the write-off at this time. Staff believes it may be recoverable
because the grading permit issued for the affected property may not have been
finalized.
In order to improve collections, Finance staff immediately advises operating
departments of returned check items, as soon as notification is received from the bank.
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Honorable City Council
November 6, 2013
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Operating departments are directed to suspend any future services until the customer
brings their account to current.
FISCAL IMPACT
Except for Agency Fund (6000), Allowance for Doubtful Accounts (ADA) were
established in the respective governmental funds in fiscal year 2010/2011 and the
balances were adjusted during the annual audit process. As such, the $7,007.22
adjustment will be absorbed by the ADA; a corresponding decrease in the deferred
revenue will be recorded; and no additional expenditure is anticipated.
Below is the list of funds affected by this adjustment:
NSF WRITE
FUND FUND TITLE OFF
1000 General Fund $5,686.34
1010 Library Fund $34.40
2200 Community Development Fund $1,051.18
6000 Fiduciary General Deposit $235.30
Total $7,007.22
STAFF RECOMMENDATION (Roll Call Vote)
Authorize staff to write off $7,007.22 outstanding non-sufficient fund (NSF) accounts
receivable issued prior to July 1, 2011.
Attachments:
1. City Council Policies Resolution No. 2013-3176 Policy 5.4-
Accounts Receivable Collection
2. NSF Listing
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Attachment 1
Resolution No. 2013-3176
Page 94
Treasurer designee. In the absence of the City Manager, the City Manager may authorize
the City Treasurer to sign and the Deputy City Manager to countersign demand warrants less
than or equal to $2,500.00.
Policy 5.4: Accounts Receivable Collection
The City of Moorpark has the need to issue invoices for various types of services such as,
but not limited to, false alarms, rent for City owned facilities, grant reimbursements, not
sufficient funds (NSF) checks and emergency response (DUI and property damage). The
City's Accounts Receivable Collection Policy shall be as follows:
1. The first notice to a debtor of an amount due is the issuance of the City of Moorpark
invoice.
2. Past due accounts will be sent a past due statement at 30 and 60 days by the
Finance Department. A one-time penalty fee in the amount of ten percent(10%)and
a ten percent (10%) annual finance charge shall be added each month to any fee
imposed in the event the fee is not paid within thirty (30) days after the billing date.
The 60-day notice will state that the account will be turned over to a collection agency
unless it is immediately cleared by the date specified.
A. Where appropriate, debtor contact by telephone will be used during the
collection process. The date and discussion will be noted on internal records.
B. If the debtor responds, the Finance Department will make every effort to work
out a solution for payment (such as an installment plan for larger amounts
due).
C. If the account is paid off or cleared by other means, the correspondence will
be retained in the Finance Department customer files for such time period as
required by applicable law.
3.. When Finance has exhausted regular means of collections, accounts will be turned
over to a collection agency in a final attempt to collect before the invoice is adjusted.
Documentation required for the collection agency must include a copy of the original
invoice or a list of charges. Other available information such as address and driver's
license number will also be sent to the collection agency, if available.
4. Finance will send a Final Notice to the debtor noting that the account will be turned
over to an appropriate external collection agency and collection costs may be charged
if arrangements to pay are not made within 15 days. Note: If additional charges
appeared for an account that has already been turned over to a collection agency,the
new final notice should be for the same collection agency.
5. If the collection agency is not successful,further action will be considered as follows:
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Resolution No. 2013-3176
Page 95
A. Amounts between $500.00 and $5,000.00 will be presented to the City
Manager for review and possible filing of a small claims court action, which
may be instituted without further Council approval.
B. Amounts in excess of$5,000.00 will be presented to the City Attorney by the
City Manager for review and possible legal action, which may be instituted
without further Council approval.
6. The Finance Department will keep the City Manager informed of any collection issues
as part of the monthly report process. Should adjustments be necessary, after all
attempts have been made to collect and the Finance Director has determined that it is
not cost effective to continue with the collection process, he/she has the authority to
authorize up to $100.00 per adjustment. A report of any adjustments authorized by
the Finance Director shall be provided to the City Manager on a monthly basis. Any
amount over $100.00 up to $1,000.00 may be approved for adjustment by the City
Manager. A report of any adjustments made by the Finance Director and City
Manager shall be provided to the City Council on a quarterly basis. Any amount over
$1,000.00 must be presented semi-annually to the City Council for consideration of
an adjustment or other action. Documentation of all adjustments will be kept in a
separate file for year-end audit purposes.
7. Each department will be immediately informed, in writing, by the Finance Department
of NSF check issues each time an NSF check is received. Backup documentation
showing the name, date and type of service that the NSF check covered will be sent
to the respective department. It will be the responsibility of each department to
determine if service is continuing to be provided and should be ceased for the
individual and/or company that submitted a NSF check until payment for the NSF
check is collected. Only cash, cashier's check or money orders will be accepted as
payment to satisfy NSF checks.
Policy 5.5: Landscape and Lighting Assessment District Capital Reserve Fund
Balance
The Finance Director shall work with the responsible department head and assessment
engineer to calculate annual operating costs and the Capital Reserve Account balance for
each landscape and lighting assessment district in conjunction with preparation of the City's
annual fiscal year budget. The Capital Reserve Account fund balance to be maintained for
each landscape or lighting assessment district shall not exceed one year of projected current
operating budget for each such district.
Policy 5.6: Investments
Consistent with applicable State law, the City Council shall adopt an Investment Policy by
separate resolution and review and update said policy by December 31 of each year. The
Finance, Administration, and Public Safety Committee shall review the Investment Policy
resolution on an annual basis prior to consideration by the City Council.
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Attachment 2
NON SUFFICIENT FUND (NSF)ADJUSTMENT LISTING
Invoice Invoice Customer# Name Type NSF Fees Original Total Statu
Date Number Charges Balance s
3/18/2004 NSF0000158 0000000469 KIMBERLY LEE Parking Citations 25.00 40.00 65.00 FCN
3/18/2004 NSF0000161 0000000471 TIMMY L. SHELLENBERGER Parking Citations 25.00 40.00 65.00 FCN
3/18/2004 NSF0000156 0000000474 NOAH CULP AVRC Classes 25.00 130.00 155.00 FCN
4/23/2004 NSF0000163 0000000482 CESAR SASO Adult Sports/AVRC Classes 25.00 69.00 94.00 FCN
4/23/2004 NSF0000162 0000000483 JESSICA DIAZ Parking Citations 25.00 40.00 65.00 FCN
5/26/2004 NSF0000169 0000000494 MICHAEL A BARTON Parking Citations 25.00 280.00 305.00 FCN
11/9/2004 NSF0000177 0000000498 HANNAH CHACON Parking Citations 25.00 - 25.00 FCN
11/9/2004 NSF0000181 0000000527 MICHELLE M.JUAREZ Parking Citations 25.00 - 25.00 FCN
11/23/2004 NSF0000069 0000000537 DATHAN NEAL Parking Citations 25.00 - 25.00 FCN
1/21/2005 NSF0000118 0000000547 JANN MARIE PERKINS Hometown Holiday 25.00 36.00 61.00 FCN
2/11/2005 NSF0000070 0000000545 HAROLD EISENSTAT Bus Registration 25.00 30.00 55.00 FCN
5/12/2005 NSF0000187 0000000557 TRACEY WEBER LYON Parking Citations 25.00 40.00 65.00 FCN
6/21/2005 NSF0000175 0000000258 TRANSITION BOARD SHOP Zone Clearings 25.00 50.00 75.00 FCN
6/21/2005 NSF0000188 0000000569 TK CONSTRUCTION Bus Regist/Bldg Pmt 25.00 80.00 105.00 FCN
6/30/2005 NSF0000193 0000000570 KATHLEEN FOLSOM Bus Regist/Home Occup pmt 25.00 130.00 155.00 FCN
6/30/2005 NSF0000191 0000000571 SONORA GHOST Yourth Sports 25.00 132.00 157.00 FCN
9/9/2005 NSF0000197 0000000613 ROBBYN WHEELOCK Parking Citations 25.00 40.00 65.00 FCN
9/9/2005 NSF0000198 0000000614 FIGUEROA ENTERPRISE Bus Registrations 25.00 30.00 55.00 FCN
9/28/2005 NSF0000200 0000000617 KAREENE L PELEGRINO Parking Citations 25.00 40.00 25.00 FCN
4/14/2006 NSF0000212 0000000667 ERIC HALUB Parking Citations 25.00 50.00 75.00 FCN
4/14/2006 NSF0000214 0000000669 MONIQUE REYES AVRC Classes 25.00 42.00 67.00 FCN
6/29/2006 NSF0000219 0000000686 GEVORK ALACHADZHYAN Parking Citations 25.00 50.00 75.00 FCN
8/2/2006 NSF0000223 0000000691 PACIFIC VALLEY LANDSCAPE Bus Regist/Bldg Pmt 25.00 262.19 33.25 FCN
8/16/2006 NSF0000224 0000000320 PASHA PARAN Parking Citations 25.00 40.00 72.04 FCN
11/9/2006 NSF0000228 0000000719 ZAIDA RODRIGUEZ Park Use Fee 25.00 135.00 177.33 FCN
1/17/2007 NSF0000233 0000000724 RUDY PEREZ JR Park Use Fee 25.00 65.00 99.75 FCN
8/31/2007 NSF0000245 0000000762 PEDRO A.ACOSTA Adult Sports 25.00 250.00 26.60 FCN
8/31/2007 NSF0000246 0000000763 JENNIFER A. HERRERA Park Use Fee 25.00 265.00 321.42 FCN
9/21/2007 NSF0000255 0000000769 JACK GERSH Parking Citations 25.00 40.00 72.04 FCN
9/21/2007 NSF0000256 0000000772 DIRECT LAND TRANSPORTATION t Parking Citations 25.00 40.00 72.04 FCN
10/11/2007 NSF0000257 0000000778 TRANS-CARE TRANSMISSION, INC Adult Sports 25.00 380.00 448.88 FCN
11/30/2007 NSF0000259 0000000789 RIGHT CHOICE TRUCKING Parking Citations 25.00 50.00 83.13 FCN
12/31/2007 NSF0000262 0000000792 JEFF HAIGHT Parking Citations 25.00 40.00 72.04 FCN
9/11/2008 NSF0000276 0000000820 RICK ANDERSON Parking Citations 50.00 50.00 110.83 FCN
9/11/2008 NSF0000282 0000000825 TODD TOLLIVER Parking Citations 25.00 40.00 32.04 FCN
9/11/2008 NSF0000286 0000000830 J.T. S.TRUCKING Parking Citations 25.00 40.00 72.04 FCN
9/11/2008 NSF0000287 0000000831 C. NATHALIC ELLEN MILLKEN Library Fees 25.00 28.00 58.74 FCN
10/22/2008 NSF0000288 0000000833 ERNESTO J ACOSTA Parking Citations 25.00 40.00 25.00 Final
10/22/2008 NSF0000294 0000000838 MARC MITTELMAN INC Bldg Permit#19570 25.00 120.00 160.71 Final
Address:4721 Penrose Ave
11/19/2008 NSF0000295 0000000842 MICHAEL SCHONEMAN Bus Registrations 25.00 30.00 55.00 Final
11/19/2008 NSF0000298 0000000845 HEATHER FULLER-POLENO Park Use Fee 25.00 155.00 80.00 Final
12/2/2008 NSF0000301 0000000848 PETER BUILT ROOFING Bldg Permit#19995 25.00 160.73 185.73 Final
Address:4209 Tierra Rejada Rd
2/5/2009 NSF0000305 0000000821 JENNIFER BERGMAN Parking Citations 50.00 2.71 52.71 Final
2/5/2009 NSF0000307 0000000856 JOHN&KRISTIE GEN ESI Adult Sports 25.00 325.00 350.00 Final
3/5/2009 NSF0000310 0000000876 TIMOTHY LEYBA Parking Citations 25.00 40.00 25.00 Final
4/9/2009 NSF0000312 0000000881 CHRISTINE M.OTT Library Printing Fees 25.00 2.40 27.40 Final
5/19/2009 NSF0000318 0000000889 ROBERT L JAMES Bingo Bash 25.00 24.00 49.00 Final
5/19/2009 NSF0000317 0000000890 DAVID M HARRIS Parking Citations 25.00 40.00 25.00 Final
7/14/2009 NSF0000323 0000000897 A&M TILES Bus Registrations 25.00 90.00 115.00 Final
11/3/2009 NSF0000334 0000000910 G.MATEKO Parking Citations 50.00 80.00 130.00 Final
12/1/2009 NSF0000339 0000000917 DAWN PERKINS Bus Regist/Home Occup pmt 25.00 190.00 215.00 Final
12/29/2009 NSF0000341 0000000919 NATASHA ENSENKT Parking Citations 25.00 40.00 65.00 Final
2/23/2010 NSF0000348 0000000932 AUDREY MARIE SALGADO Animal License 25.00 75.00 100.00 Final
5/1/2010 NSF0000351 0000000935 ELIZABETH BUZA Animal License 25.00 75.00 100.00 Final
5/1/2010 NSF0000352 0000000936 RAQUEL SOLAREZ Animal License 25.00 20.00 45.00 Final
5/1/2010 NSF0000353 0000000937 HANDY WONDER WOMEN GOURG BR#034455/ZC#2010-096 60.00 328.50 388.50 Final
HOP#2622
Address:7020 Hogan St
7/28/2010 NSF0000357 0000000951 ANNETTE RUTH FULLERTON Animal License 25.00 40.00 65.00 Final
------------
11/1/2010 NSF0000370 0000000981 ALEX ANTHONY CHAVEZ Adult Sports 25.00 100.00 125.00 Final
11/16/2010 NSF0000373 0000000993 RANDY T MADDEN Admin Citation 25.00 200.00 225.00 Final
12/1/2010 NSF0000374 0000000994 RANDALL KING Parking Citations 25.00 5.5.00 80.00 Final
3/23/2011 NSF0000388 0000001007 MARIBEL GOMEZ Library Fees 25.00 4.00 29.00 5nd
3/23/2011 NSF0000387 0000001008 LYNDA JIMENEZ Parking Citations 25.00 65.00 90.00 2nd
5/3/2011 NSF0000397 0000000913 MARCELLA L RAMOS Parking Citations 35.00 58.00 93.00 BK
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Attachment 2
NON SUFFICIENT FUND (NSF)ADJUSTMENT LISTING
Invoice Invoice Customer# Name Type NSF Fees Original Total Statu
Date Number Charges Balance s
6/1/2011 NSF0000406 0000001026 DOUGLAS PAULSEN Parking Citations 60.00 116.00 60.00 2nd
6/30/2011 NSF0000407 0000001038 WEST COAST&SONS Business Registrations 25.00 90.00 115.00 Final
6/30/2011 NSF0000409 0000001044 EXECUTIVE BUSINESS CENTER AVRC Classes 25.00 295.00 320.00 2nd
TOTAL 2,050.00 6,484.13 7,007.22
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