HomeMy WebLinkAboutFIN-19-010 - Uncollectable Miscellaneous Receivable Accounts Write-offREPORT TO:Community & InfrastructureServices Committee
DATE OF MEETING:February 25, 2019
SUBMITTED BY:Saleh Saleh,Director of Revenue, 519-741-2200 extension 7346
PREPARED BY:Saleh Saleh, Director of Revenue, 519-741-2200 extension 7346
WARD (S) INVOLVED:ALL
DATE OF REPORT:February 1, 2019
REPORT NO.:FIN-19-010
SUBJECT:Uncollectable Miscellaneous Receivable Accounts Write-off
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RECOMMENDATION:
That uncollectable Miscellaneous ReceivableAccounts amounting to $50,985be written
off against the Allowance for Doubtful Receivables.
BACKGROUND:
As per council policy FIN-FEE-517Utility and Miscellaneous Receivable policy, approval from
Council is required for accounts to be written-off and sent to an outside collection agency for
third party collection efforts.
This report represents Miscellaneous Receivables accounts that are deemed to be uncollectable
by collections staff. Miscellaneous Receivables represent services that are generally billed
Detect for alarm monitoring, Parking and Cemetery sales. Property tax and utility accounts are
not included in miscellaneous receivables.
REPORT:
Staff are recommending that accounts totalling $50,985 be written off and forwarded to a
collection agency. Staff have worked diligently in attempting to collect on these accounts but
have not been successful in the process.
The collection procedures staff have undertaken include:
Sending customers statements and demand letters.
Verbal request by telephone or in person.
Negotiating revised payment terms.
Applying any deposits held to the outstanding amounts.
***This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994for assistance.
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permitted
by the Municipal Act.
The current amount being recommended to be written off relates to 69customer accounts for
services provided in the following areas:
By-Law Enforcement1,486
Cemeteries5,688
Community Services1,559
Fire117
Operations7,845
Parking32,643
Utilities (Cuts/Repairs)1,647
Total50,985
The cumulative amount of write-offs identified in this report equal $50,985and relate to the years
2016, 2017and 2018. The cumulative write-offs are shown in the table below and the average
is well below the targeted upper limit for write-offs set at 0.3% previously approved byCouncil.
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ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
the delivery of core service.
FINANCIAL IMPLICATIONS:
The uncollectable accounts will be written off against the Allowance for Doubtful Receivables
account.
COMMUNITY ENGAGEMENT:
committee meeting.
ACKNOWLEDGED BY: Jonathan Lautenbach, Chief Financial Officer, Financial Services
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