HomeMy WebLinkAboutFS 2011-10-04 Item 2B - Resolution - Cancellation of Past Due Accounts Receivable and Returned Check Write-OffsCity of Tukwila
Jim Haggerton, Mayor
INFORMATIONAL MEMORANDUM
TO: Mayor Haggerton
Finance and Safety Committee
FROM: Peggy McCarthy, Interim Finance Director
DATE: September 30, 2011
SUBJECT: Cancellation of Accounts Receivable
ISSUE
Each year a resolution comes before the Council for the cancellation of uncollectible accounts
receivable. For 2011, these items include: False Alarms equaling $675.00, Miscellaneous
Billings equaling $92,770.37 and NSF Checks equaling $218.00, in the total amount of
$93,663.37. The items listed have been through the City's collection program or are party to
bankruptcy and have not been successfully resolved.
BACKGROUND
The process for tracking accounts receivable is quite thorough. The steps below are followed
prior to the attached write -off resolution:
Invoice is sent to recipient by Finance Department payable in 30 days.
Second notice is then sent specifying due date before receivable is forwarded to collection
agency.
Collection agency sends a series of three letters for the original amount due, with the final
letter advising that legal action will be taken if payment is not made. If there is no response
from debtor after the letter series, the debt is then reported to the National Credit Bureaus.
Collection agency then pursues legal action after the debtor is given a final opportunity to
dispute the claim. This includes attaching checking accounts, garnishments, lawsuits and
other legal methods.
DISCUSSION
The proposed miscellaneous billings write -offs are significantly higher than prior years. Of the
total listed, $75,595.31 is due to the following: $12,158.54 from hit and runs where the driver is
unknown, $45,438.57 is attributable to accidents causing damage to City property where the
driver was uninsured, and $17,998.20 is the City's portion after our deductible or other
insurance payments. The items on the proposed resolution reflect those that have been
through the process referenced above, and receivables are still due with the likelihood of
collection being very low. We do collect amounts after write -offs, but very seldom.
RECOMMENDATION
The Council is being asked to consider this item at the October 10, 2011 Committee of the
Whole meeting and subsequent October 17, 2011 Regular meeting.
ATTACHMENTS
Draft Resolution, with Attachment A
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
TUKWILA, WASHINGTON, ORDERING THE CANCELLATION
OF PAST -DUE ACCOUNTS RECEIVABLE AND RETURNED
CHECK WRITE -OFFS.
WHEREAS, certain receivables and checks have been deemed uncollectible after
efforts by both the City and a collection agency have been unsuccessful; and
WHEREAS, the City will continue to pursue these receivables when practical;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA,
WASHINGTON, HEREBY RESOLVES AS FOLLOWS:
Miscellaneous Accounts Receivable and Returned Checks. The total of
$93,663.37 is deemed uncollectible. See Attachment A.
PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at
a Regular Meeting thereof this day of 1 2011.
ATTEST /AUTH ENTICATED:
Christy O'Flaherty, CMC, City Clerk
APPROVED AS TO FORM BY:
Shelley M. Kerslake, City Attorney
Allan Ekberg, Council President
Filed with the City Clerk:
Passed by the City Council:
Resolution Number:
Attachment A Past -Due Accounts Receivable and Returned Check Write -offs
as of September 30, 2011
W: \Word Processing \Resolutions \Past Due Accts Recv Write -offs 9 -28 -11
LA: bjs
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ATTACHMENT A as of 09/30/2011
MISCELLANEOUS
.......................
........ ...............
03/27/09
06/06/09
12/31/08
06/24/09
07/21/09
07/21/09
12/08/09
09/16/09
11/01/10
12/04/09
09/23/10
09/24/09
06/14/10
11/25/09
12/07/10
03/10/09
09/12/08
03/27/09
04/23/09
06/16/10
08/13/10
12/31/08
05/19/09
08/01/08
12/31/08
03/24/11
08/13/10
12/31/08
02/26/10
12/07/09
03/27/09
12/07/09
12/07/09
12/31/08
03/25/09
03/27/09
11/24/09
11/24/09
11/25/09
03/18/10
09/16/09
10/15/09
02/26/10
03/19/09
12/31/08
05/06/09
03/03/09
Allied Group
Allied Group
Conlan Anderson
Banwer Transfer
Banwer Transfer
Banwer Transfer
Billy Baroo's
Blue Nile Studio & Coffee Shop
Breadboard Cafe
Eliduvina Chavez
City of Tukwila
Francis Dawood
DeShawn Williams
Emerald Green
Family Trust Investments
Far Fetched Import Furniture
Furniture City
Furniture City
Furniture City
Furniture City
Furniture City
Gamestop
Christopher Hunter
I Floor.Com
Info Only- Hit and Run
Info Only- Hit and Run
Jack in the Box -13050 IU
Nicole Jones
Kimco Realty Corp
Thomas P. Leae
Medina Restaurant
Landon Nguyen
Landon Nguyen
Pacific 76
Pacific 76
Quorum Real Estate
Reed Trucking & Excavating
Reed Trucking & Excavating
RocheII Apartments
Sahel Coffee & Halal Meat
Seen on Screen TV LLC
Seen on Screen TV LLC
Seen on Screen TV LLC
Simply Thai -375 Strander
Rithavy So
Trudy's Tavern
US Postal Service
General RF -00325 $ 60.00
General RF00372 85.00
General MB -00325 1,118.51
General RF -00391 60.00
General RF -00397 85.00
General RF -00400 110.00
Golf MB -00484 334.09
General RF -00437 60.00
General RF -00582 60.00
General MB -00452 6,887.95
General MB -00677 7,490.83
General MB -00429 2,931.82
General MB -00629 5,844.97
General RF -00466 60.00
General RF -00623 60.00
General RF -00300 60.00
General RF -00265 60.00
General RF -00326 60.00
General RF -00351 85.00
General RF -00524 60.00
General RT -00034 80.00
General RF -00269 60.00
General MB -00353 3,805.92
General RF -00247 60.00
General MB -00327 8,974.82
General MB -00769 3,183.72
General RF -00551 24.00
General MB -00323 4,094.13
General RF -00485 60.00
General MB -00462 1,682.33
General RF -00319 60.00
General MB -00466 961.44
Water MB -00466 1,406.67
General RF -00276 85.00
General RF -00314 60.00
General RF -00323 60.00
General MB -00445 5,940.00
General MB -00447 4,260.00
General RF -00463 60.00
General RF -00503 60.00
General RF -00427 60.00
General RF -00456 85.00
General RF -00476 135.00
General RF -00307 60.00
General MB -00330 4,139.27
General RF -00370 5.00
General RF -00295 60.00
To Evergreen Prof Recoveries 09/30/10
To Evergreen Prof Recoveries 09/30/10
To Evergreen Prof Recoveries 09 /13 /10- graffiti
Business vacated w /out notice -To EPR 09/03/10
Business vacated w /out notice -To EPR 09/03/10
Business vacated w /out notice -To EPR 09/03/10
Void per Finance Director -Aug 2009 late fees & conc adjustment
Business closed 5/18/11- To EPR 09/30/10
Business closed -To EPR 09/23/11
Unable to locate insurance - streetlight pole -To EPR- 09/03/10
damaged brickwork -amt after pymt from Evergreen Adjustment Svces
Insurance invalid - streetlight pole -to EPR 09/30/10
Insurance unknown- Jersey barrier damage -To EPR- 09/30/10
Business closed -To EPR 10/27/10
Bankruptcy 08/29/11
Business closed -To EPR 09/30/11
Business closed -To EPR 09/27/11
Business closed -To EPR 09/27/11
Business closed -To EPR 09/27/11
Business closed -To EPR 09/27/11
Business closed -To EPR 09/27/11
Business closed - To EPR 09/30/10
No insurance -DUI- Tree and shrub damage -To EPR 09/03/10
Bankruptcy 12/04/08
Streetlight pole -144th and TIB
Guardrail -4200 block Airport Way S
Amount due after pymt by EPR
No insurance - streetlight pole -To EPR 05/05/10
No insurance - DUI -To EPR 09/03/10
Stolen vehicle -no insurance - guardrail -To EPR 5/6/10
Business closed - To EPR 09/30/10
No Insurance -fire hydrant -To EPR 05/06/10
Bill total is $2,368.08
Business closed - To EPR 09/10/10
Business closed - To EPR 09/10/10
To EPR 09/07/10
Void per Finance Director & City Attorney- traffic control
Void per Finance Director & City Attorney- traffic control
Business closed - To EPR 10/27/10
Business closed 5/17/11 -To EPR 1/14/11
Business closed -To EPR 9/30/10
Business closed -To EPR 9/30/10
Business closed -To EPR 9/30/10
Business closed -To EPR 09/30/10
Amt after insur pymt - streetlight pole -To EPR 06/06/10
Amount due after pymt by EPR
In dispute
Page 1
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ATTACHMENT A as of 09/30/2011
08/27/10
Utility Construction Corp
General
MB -00672
1,562.00
Business closed- amount due after insurance payment- damage to wires
12/11/08
Lauti Vaita
Water
MB -00260
9,059.67
Unable to locate -no insurance -fire hydrants -To EPR 09/13/10
12/07/09
Ricardo Vasquez
General
MB -00463
3,361.46
Insurance invalid - streetlight pole- To EPR 05/05/10
02/26/10
Villa Nelle Apartments
General
RF -00480
60.00
Business closed -To EPR 9/30/10
06/15/11
WA Cities Insurance Authority
General
MB -00815
8,945.37
signal cabinet at APW & Minkler- amt due after insurance pymt
06/10/09
Wetzel's Pretzels
General
RF -00380
60.00
Business closed -To EPR 9/30/10
04/03/09
Daniel Wolf
Water
MB -00341
4,626.40
Insurance unknown -To EPR 09/23/10
........... ...
Miscellaneous Billing Total
.
$ 92,770.37
FALSE ALARMS:;:
04/21/10
Abu Bakr Islamic Center of WA
General
PF -01379
$ 25.00
To Evergreen Prof. Recoveries 09/23/10
11/13/08
Axia Financial
General
PF -00839
25.00
Business closed in 2009
08/04/09
Thomas Dever
General
PF -01116
25.00
To Evergreen Prof. Recoveries 09/30/10
12/30/09
Thomas Dever
General
PF -01257
25.00
To Evergreen Prof. Recoveries 09/30/10
12/30/09
Thomas Dever
General
PF -01258
25.00
To Evergreen Prof. Recoveries 09/30/10
09/24/09
East African Bazaar
General
PF -01165
25.00
Business closed -To EPR 09/30/10
07/28/09
EQPT Store
General
PF -01074
25.00
Business closed -To EPR 09/13/10
09/11/08
Go Wireless
General
PF -00759
25.00
Business closed -To EPR 09/30/10
08/24/10
Habitat for Humanity
General
PF -01464
25.00
Business closed -To EPR - 10/27/10
08/24/10
Janie Hendrix
General
PF -01467
25.00
In Dispute
08/24/10
Janie Hendrix
General
PF -01468
25.00
In Dispute
05/21/09
Innovation General Tool /Supply
General
PF -01021
10.00
Amount due after pymt by EPR
09/11/08
Integra Telecom
General
PF -00768
10.00
Amount due after pymt by EPR
09/05/08
Interstate Protection Svces
General
PF -00623
25.00
Business closed -To EPR 09/30/10
09/05/08
Interstate Protection Svces
General
PF -00624
25.00
Business closed -To EPR 09/30/10
09/05/08
I Sold of WA
General
PF -00629
25.00
Business closed -To EPR 09/30/10
09/05/08
I Sold of WA
General
PF -00630
25.00
Business closed -To EPR 09/30/10
05/11/10
King Co Housing
General
PF -01391
10.00
Amount due after pymt by EPR
08/24/10
KJC Salon and Spa
General
PF -01470
25.00
Business closed -To EPR 11/10/10
09/05/08
Medina Restaurant
General
PF -00648
25.00
Business closed -To EPR 09/30/10
12/30/09
Mitel
General
PF -01311
10.00
Amount due after pymt by EPR
09/24/09
Liberty Orejudos Residence
General
PF -01178
25.00
To Evergreen Prof Recoveries 9/10/10
09/24/09
Liberty Orejudos Residence
General
PF -01179
25.00
To Evergreen Prof Recoveries 9/10/10
08/04/09
Qaran Financial Express
General
PF -01134
25.00
Business closed -To EPR 09/30/10
12/08/09
Rochell Apartments
General
FF -00109
25.00
Business closed -To EPR 10/27/10
12/08/09
Rochell Apartments
General
FF -00110
50.00
Business closed -To EPR 10/27/10
04/21/10
Safari Restaurant
General
PF -01377
25.00
Business closed -To EPR 09/07/10
03/09/09
SS Custom
General
PF -00995
25.00
Business closed -never licensed with the City
10/17/07
Wendy's
General
10.00
Amount due after pymt by EPR
False Alarm Total
$ 675.00
RETURNEDCHCKS
03/30/10
Judy A. Desoto
TCP
CK # 7553
$ 4.00
Fraudulent check -Too small for collections
07/02/10
Gwendolyn Y. Denton
TCC
CK # 1577
14.00
To EPR 10/18/10
07/16/10
Elite BB of WA/Jevon Green
TCC
CK # 1006
200.00
To EPR 10/18/10
Returned Check Total
$ 218.00
WRITE -OFF GRAND TOTAL
$ 93,663.37
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