5.3. ERMUSR 02-09-2016 - Laserfiche WebLink

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Elk River Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: Elk River Municipal Utilities Commission Theresa Slominski—Finance and Office John Dietz,Chair Manager Allan Nadeau,Vice-Chair Daryl Thompson, Trustee MEETING DATE: AGENDA ITEM NUMBER: February 9, 2016 5.3 SUBJECT: 2015 Fourth Quarter Delinquent Items BACKGROUND: Fourth quarter delinquent items are presented for your review. We have previously reported on four different categories of delinquents as follows: • Assessments are delays in collecting the money owed and is assessed to the property taxes in the fall. • Collections amounts are those we send to the collection agency to try and collect after we have exhausted all our internal collection efforts. We receive 70% of amounts collected. • Revenue Recapture (RR) is the program through the state where funds are collected from individuals' tax refunds and remitted to us,with the balance(if any)remitted to the individual. It presents an opportunity to collect funds rather than splitting with a collection agency or having to write them off completely. • Write Offs are amounts removed from the books with no further collection efforts being extended. DISCUSSION: The attached report shows those dollars submitted to the collection agency(A),those submitted to both the collection agency and revenue recapture(B), and those submitted to revenue recapture(R). I also have for review the color-coded recap comparisons with last year, identifying the four categories and the running totals. When comparing the far right totals columns for 2014 and 2015,note that we have a larger amount for 2015. The difference is in the amounts for RR, because the prior year amount is reduced by amounts collected and we are only showing amounts submitted for the current year(so the comparative numbers are skewed.) We also have a large write-off this year for an Otsego company that closed and left us with a substantial bill. IPOWERED D 1 ® NATURE Reliable Public P OWERED T o S ERV E Power Provider 110