Loading...
HomeMy WebLinkAboutFIN 2022-09-12 Item 1A - Resolution - Cancellation of Outstanding General Fund Claims and Payroll ChecksCity of Tukwila Allan Ekberg, Mayor INFORMATIONAL MEMORANDUM TO: Finance Committee FROM: Vicky Carlsen, Finance Director BY: Cindy Wilkins, Fiscal Specialist CC: DATE: Mayor Ekberg 9/12/2022 SUBJECT: Cancellation of Accounts Receivable ISSUE Each year a resolution comes before the Council for the cancellation of uncollectable accounts receivable. For 2022, these items include: False Alarms equaling $27,866.60, Miscellaneous Billings equals $6,457.85 for a grand total of $34,324.45. BACKGROUND The process for tracking accounts receivable is quite thorough. The steps below are followed prior to preparation of the attached write-off resolution. •Invoice is sent to the recipient by the Finance Department payable in 30 days. •If payment is not received within 30 days, the receivable is forwarded to our collection agency, Armada Corp., and placed into pre-collect status. •At this time, Armada sends a Delinquency Notice to debtor notifying them of the past-due status of the receivable and asks them to contact the City to make payment. Payments can still be made directly to the City while in pre-collect status. •Once 30 days has passed in pre-collect status, the receivable then rolls over to active collections. At the onset of active collections, a letter is sent to the debtor notifying them of status change and advising that all payments must now be made through the collection agency. •When in active collections status, debtor is contacted both by phone and letter. A search is made for assets with which the debt could be satisfied. Once the debt has been in active collections for 45 days, it is then reported to the national credit bureaus. •The last process in the collections cycle is the pursuit of legal action. This includes attaching checking accounts, garnishments and lawsuits. •It should be noted that while a debt may be written off our books: it is still active in Armada’s collection process. DISCUSSION The proposed amount of the 2022 Cancellation of Accounts Receivable is $34,324.45. This is an annual housekeeping item. 1 INFORMATIONAL MEMO Page 2 FINANCIAL IMPACT The financial impact of cancelling $34,324.45 will be to reduce our accounts receivable balance by this amount. Please note that while we are writing off the accounts receivable for accounting purposes., the accounts are still being actively worked for collection purposes except for those accounts where a responsible party cannot be identified. Accounts covered by bankruptcy law cannot be pursued. RECOMMENDATION The Council is being asked to approve the annual resolution authorizing the cancellation of Accounts Receivable and to forward this item to the Regular Meeting Consent Agenda of 09/19/22. ATTACHMENTS Proposed Draft Resolution Attachment A – 2022 AR Write-Offs Attachment B – Historical Write-Offs 2 Page 1 of 1 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, ORDERING THE CANCELLATION OF PAST DUE ACCOUNTS RECEIVABLES WHEREAS, certain receivables and checks have been deemed uncollectable 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. The total of $34,324.45 (per Attachment A) is deemed uncollectable. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this _______ day of _________________, 2022. ATTEST/AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Thomas McLeod, Council President APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Resolution Number: Office of the City Attorney 3 4 Attachment A - 2022 AR Write-Offs Eden Acct Customer Name Inv Date EDEN Billing Description GL Account Inv Amount 000139 ALLIANCE ONE RECEIVABLES MGMT 06/01/20 RN-00179 ALLIANCE ONE JUN/2020 RENT MR003100-362500/640-237104 1,049.41 000138 ALLIANCE ONE RECEIVABLES MGMT 05/01/20 RN-00178 ALLIANCE ONE MAY/2020 RENT MC009100-362500/640-237104 1,049.41 2,098.82 000420 INTEGON NATIONAL INSURANCE 11/04/20 PW-00161 CLAIM PAC2019-21 GF000100-398000 779.76 000419 SIMON SEK 11/02/20 PW-00160 PAC2019-33 (21901615)GF000100-398000 1,615.07 2,394.83 RYDTRU RYDER TRUCK RENTAL INC 05/22/20 PF-04077 POLICE FALSE ALARM #10 & 11 PD010100-342800 400.00 000428 VIRTUAL SPORTS TUKWILA WA LLC 12/01/20 PD-00364 POLICE FALSE ALARM #13 PD010100-342800 200.00 RYDTRU RYDER TRUCK RENTAL INC 07/23/20 PF-04101 POLICE FALSE ALARM #15-17 PD010100-342800 600.00 RYDTRU RYDER TRUCK RENTAL INC 11/10/20 PD-00311 POLICE FALSE ALARM #19 PD010100-342800 200.00 RYDTRU RYDER TRUCK RENTAL INC 11/19/20 PD-00334 POLICE FALSE ALARM #20-21 PD010100-342800 400.00 RYDTRU RYDER TRUCK RENTAL INC 12/01/20 PD-00365 POLICE FALSE ALARM #22 PD010100-342800 200.00 RYDTRU RYDER TRUCK RENTAL INC 12/23/20 PD-00400 POLICE FALSE ALARM #23-26 PD010100-342800 800.00 RYDTRU RYDER TRUCK RENTAL INC 12/31/20 PD-00430 POLICE FALSE ALARM #27 PD010100-342800 200.00 000207 CHURCH BY THE SIDE OF THE ROAD 03/13/20 PF-04057 POLICE FALSE ALARM #3 PD010100-342800 150.00 000214 US HEALTHWORKS MED GRP OF WA P 03/13/20 PF-04055 POLICE FALSE ALARM #3 PD010100-342800 150.00 000237 O & E LIQUOR LLC 03/13/20 PF-04046 POLICE FALSE ALARM #3 PD010100-342800 150.00 000352 SEATTLE'S BEST FLOORS LP 11/19/20 PD-00328 POLICE FALSE ALARM #3 PD010100-342800 150.00 000388 AZ TRADING INC 03/13/20 PF-04056 POLICE FALSE ALARM #3 PD010100-342800 150.00 000399 TRIPLE D PARTNERSHIP 06/11/20 PF-04080 POLICE FALSE ALARM #3 PD010100-342800 150.00 000412 KIDDER MATTHEWS 11/30/20 PD-00344 POLICE FALSE ALARM #3 PD010100-342800 150.00 000416 MOHAMMED ABAS 10/19/20 PF-04113 POLICE FALSE ALARM #3 PD010100-342800 150.00 000421 EMERALD CITY MOVING & STORAGE 11/09/20 PD-00297 POLICE FALSE ALARM #3 PD010100-342800 150.00 000427 WINNING CHRISTIAN CENTER 11/10/20 PD-00320 POLICE FALSE ALARM #3 PD010100-342800 150.00 000435 COMCAST CABLE COMM MGMTT LLC 12/02/20 PD-00374 POLICE FALSE ALARM #3 PD010100-342800 150.00 000444 SHERWIN WILLIAMS COMPANY 12/22/20 PD-00395 POLICE FALSE ALARM #3 PD010100-342800 150.00 000446 HOLMES ELECTRIC 12/23/20 PD-00402 POLICE FALSE ALARM #3 PD010100-342800 150.00 000450 VERTIV CORPORATION 12/23/20 PD-00407 POLICE FALSE ALARM #3 PD010100-342800 150.00 000451 KING CO TRANSIT 12/31/20 PD-00423 POLICE FALSE ALARM #3 PD010100-342800 150.00 MENSWE MEN'S WEARHOUSE 12/01/20 PD-00358 POLICE FALSE ALARM #3 PD010100-342800 150.00 REGALC REGAL CINEMAS INC 11/30/20 PD-00347 POLICE FALSE ALARM #3 PD010100-342800 150.00 RYDTRU RYDER TRUCK RENTAL INC 02/11/20 PF-04043 POLICE FALSE ALARM #3 PD010100-342800 150.00 UPSSUP UPS SUPPLY CHAIN SOLUTIONS 12/01/20 PD-00353 POLICE FALSE ALARM #3 PD010100-342800 150.00 000211 PETSMART INC #377 11/19/20 PD-00333 POLICE FALSE ALARM #3-4 PD010100-342800 350.00 000389 SOUND PAIN ALLIANCE PLLC 03/13/20 PF-04058 POLICE FALSE ALARM #3-4 PD010100-342800 350.00 000424 RAINIER CANCER CENTER PLLC 11/10/20 PD-00310 POLICE FALSE ALARM #3-4 PD010100-342800 350.00 000426 VIRTUAL SPORTS TUKWILA WA LLC 11/10/20 PD-00319 POLICE FALSE ALARM #3-6 PD010100-342800 750.00 000205 GRAINGER 11/30/20 PD-00350 POLICE FALSE ALARM #4 PD010100-342800 200.00 000208 CHURCH BY THE SIDE OF THE ROAD 12/02/20 PD-00372 POLICE FALSE ALARM #4 PD010100-342800 200.00 000407 RICHARD L NELSON 11/30/20 PD-00345 POLICE FALSE ALARM #4 PD010100-342800 200.00 000425 RAINIER CANCER CENTER PLLC 12/31/20 PD-00434 POLICE FALSE ALARM #4 PD010100-342800 200.00 000436 COMCAST CABLE COMM MGMTT LLC 12/23/20 PD-00408 POLICE FALSE ALARM #4 PD010100-342800 200.00 000447 HOLMES ELECTRIC 12/31/20 PD-00432 POLICE FALSE ALARM #4 PD010100-342800 200.00 LEAV LEAVITT MACHINERY USA INC 07/23/20 PF-04100 POLICE FALSE ALARM #4 PD010100-342800 200.00 OLDN OLD NAVY LLC 12/31/20 PD-00428 POLICE FALSE ALARM #4 PD010100-342800 200.00 UPSSUP UPS SUPPLY CHAIN SOLUTIONS 12/31/20 PD-00420 POLICE FALSE ALARM #4 PD010100-342800 200.00 RYDTRU RYDER TRUCK RENTAL INC 03/13/20 PF-04052 POLICE FALSE ALARM #4 - 7 PD010100-342800 800.00 000417 MOHAMMED ABAS 12/22/20 PD-00390 POLICE FALSE ALARM #4 - 8 PD010100-342800 1,000.00 000400 TRIPLE D PARTNERSHIP 11/19/20 PD-00326 POLICE FALSE ALARM #4-5 PD010100-342800 400.00 JACKSO JACKSON DEAN CONSTRUCTION 12/31/20 PD-00438 POLICE FALSE ALARM #4-5 PD010100-342800 400.00 000212 PETSMART INC #378 12/22/20 PD-00399 POLICE FALSE ALARM #5 PD010100-342800 200.00 000370 SINGH, TARAN DG FOODS 05/22/20 PF-04075 POLICE FALSE ALARM #5 PD010100-342800 200.00 000390 SOUND PAIN ALLIANCE PLLC 07/23/20 PF-04110 POLICE FALSE ALARM #5 PD010100-342800 200.00 000411 MADRONA SPECIALTY FOODS LLC 11/10/20 PD-00304 POLICE FALSE ALARM #5 PD010100-342800 200.00 5 Attachment A - 2022 AR Write-Offs Eden Acct Customer Name Inv Date EDEN Billing Description GL Account Inv Amount TUKSVC TUKWILA SERVICE CENTER 11/19/20 PD-00339 POLICE FALSE ALARM #5 PD010100-342800 200.00 GIVING GIVING TREE LEARNING CENTER IN 11/10/20 PD-00316 POLICE FALSE ALARM #5-7 PD010100-342800 600.00 000371 SINGH, TARAN DG FOODS 06/11/20 PF-04088 POLICE FALSE ALARM #6 PD010100-342800 200.00 000410 HABITAT FOR HUMANITY SEA/KC 11/09/20 PD-00298 POLICE FALSE ALARM #6 PD010100-342800 200.00 000194 SEATTLE CHAR LLC 06/11/20 PF-04084 POLICE FALSE ALARM #7 PD010100-342800 200.00 000411 HABITAT FOR HUMANITY SEA/KC 11/19/20 PD-00324 POLICE FALSE ALARM #7 PD010100-342800 200.00 000427 VIRTUAL SPORTS TUKWILA WA LLC 11/19/20 PD-00340 POLICE FALSE ALARM #7-12 PD010100-342800 1,200.00 000151 BURLINGTON COAT FACTORY OF WA 12/22/20 PD-00397 POLICE FALSE ALARM #8 PD010100-342800 200.00 000390 KING LASIK INC PS 12/31/20 PD-00442 POLICE FALSE ALARM #8 PD010100-342800 200.00 000412 HABITAT FOR HUMANITY SEA/KC 12/22/20 PD-00388 POLICE FALSE ALARM #8 PD010100-342800 200.00 000442 MARINERPOLIS USA INC 12/31/20 PD-00418 POLICE FALSE ALARM #8 PD010100-342800 200.00 GIVING GIVING TREE LEARNING CENTER IN 12/23/20 PD-00411 POLICE FALSE ALARM #8 PD010100-342800 200.00 000195 SEATTLE CHAR LLC 07/23/20 PF-04099 POLICE FALSE ALARM #8 - 10 PD010100-342800 600.00 000413 HABITAT FOR HUMANITY SEA/KC 12/31/20 PD-00422 POLICE FALSE ALARM #9 PD010100-342800 200.00 KEYBA2 KEY BANK NATIONAL ASSN 11/09/20 PD-00300 POLICE FALSE ALARM 3 - 5 PD010100-342800 550.00 000441 MARINERPOLIS USA INC 12/22/20 PD-00383 POLICE FALSE ALARM 3-7 PD010100-342800 950.00 000369 SINGH, TARAN DG FOODS 04/06/20 PF-04062 POLICE FALSE ALARMS #3-4 PD010100-342800 350.00 000193 SEATTLE CHAR LLC 04/06/20 PF-04059 POLICE FALSE ALARMS #3-5 PD010100-342800 550.00 000423 LIFE OF DECOR LLC 11/10/20 PD-00302 POLICE FALSE ALARMS #4 PD010100-342800 200.00 RYDTRU RYDER TRUCK RENTAL INC 04/06/20 PF-04061 POLICE FALSE ALARMS #8-9 PD010100-342800 400.00 000150 BURLINGTON COAT FACTORY OF WA 04/06/20 PF-04060 POLICE FALSE ALARMS 3-6 PD010100-342800 750.00 000461 JUDGE SMITH 12/31/20 PW-00183 PW CLAIM PAC2020-23 GF000100-398000 6,666.60 27,866.60 000391 KING LASIK INC PS 12/31/20 PM-00139 WO 21840133 6700 FORT DENT WAY PW401801-379002 96.33 96.33 SEFNCO SEFNCO 10/21/20 PW-00155 WO 22040113 PW401800-343403 1,867.87 1,867.87 Total Write-offs:34,324.45 6 Attachment B ‐ Historical Write‐Offs Resolution 1777 2012 8,777.89$       Resolution 1805 2013 30,702.97$     Resolution 1843 2014 36,240.62$     Resolution 1865 2015 27,887.91$     Resolution 1893 2016 47,680.46$     Resolution 1916 2017 9,005.25$       Resolution 1948 2018 12,832.35$     Resolution 1969 2019 53,109.56$     Resolution 2001 2020 17,285.74$     Resolution 2031 2021 5,492.03$       7