HomeMy WebLinkAboutReso 148-10 Write Off Uncollect ARRESOLUTION NO. 148 - 10
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
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RESCINDING RESOLUTION 93-93 AND ESTABLISHING UPDATED
PROCEDURES FOR WRITE-OFF OF UNCOLLECTIBLE
ACCOUNTS RECEIVABLE AND CREDIT BALANCES
WHEREAS, on July 26, 1993 the City Council adopted Resolution #93-93, which
established procedures for the write-off of uncollectible balances on the City's Financial
Records; and
WHEREAS, it is prudent for the City to periodically review established procedures to
determine if there can be more efficient policies developed; and
WHEREAS, Staff is recommending that the policy established by Resolution 93-93 shall
be rescinded by the City Council and updated with the adoption of new procedures; and
WHEREAS, the new procedures will continue to provide an orderly way to purge stale
accounts receivable items and unclaimed balances from the financial records; and
WHEREAS, accounts may become uncollectible due to circumstances such as, but not
limited to: the statute of limitations for a legal proceeding has been exceeded; bankruptcy has
been filed; the City is unsuccessful in locating the debtor; the cost of collection exceeds the
amount owed, etc.; and
WHEREAS, it is desirous to have procedures, which allow City Staff to administratively
dispose of accounts while maintaining appropriate oversight.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does
hereby rescind City of Dublin Resolution 93-93, a resolution "Establishing Procedures For Write-
Off of Uncollectible Accounts Receivable."
BE IT FURTHER RESOLVED that the City of Dublin does hereby adopt the following
procedures for the handling of accounts receivable which are deemed by City Staff to be
uncollectible and unclaimed credit balances:
PROCEDURE
These procedures establish the approval process required to write - off uncollectible accounts
from the City's financial records. A reasonable effort shall be made by the City to obtain
payment prior to writing off past due amounts. This may include consultation and review by the
City Attorney in cases involving material amounts. City Staff shall maintain records of such
efforts. The procedures also address the handling of credit balances which are unclaimed in
accordance with State Law.
1. Individual accounts of $500 and less may be written off upon approval of the Assistant City
Manager or the Administrative Services Director.
Reso No. 148-10, Adopted 10-5-10, Item 4.6 Page 1 of 2
2. Individual accounts of more than $500 and less than $1,000, may be written off based upon
the recommendation of the Assistant City Manager or Administrative Services Director, and with
the approval of the City Manager.
3. Individual accounts over $1,000 shall require the preparation of an Administrative Notice of
Intent to Write-Off. The accounts to be written-off shall be recommended by Staff as outlined in
number 2. The Notice of Intent shall indicate the date the write-off will occur, which shall not be
less than 10 calendar days after the date of the Notice. The Notice shall be detivered to the
Mayor and each member of the City Council.
4. In addition, the write-off of any public funds loaned which is typically disclosed as part of the
Comprehensive Annual Financial Report (CAFR), shall be disclosed as part of the CAFR for the
period when the write-off occurs. The disclosure may be included in the Notes to the CAFR.
5. Credit balances on accounts which are unclaimed may be transferred to the General Fund
administratively by Staff, upon following all of the requirements of California Government Code
section 50050 et seq.
PASSED, APPROVED AND ADOPTED this 5th day of October, 2010, by the following
vote:
AYES: Councilmembers Biddle, Hart, Hildenbrand, Scholz, and Mayor Sbranti
NOES: None
ABSENT: None
ABSTAIN: None
/V, ~
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Mayor
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City Clerk
Reso No. 148-10, Adopted 10-5-10, Item 4.6 Page 2 of 2