5.4 ERMUSR 02-13-2018 - Laserfiche WebLink

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i Elk River Municipal Utilities UTILITIES COMMISSION MEETING TO: FROM: ERMU Commission Theresa Slominski -Finance & Office Manager MEETING DATE: AGENDA ITEM NUMBER: February 13, 2017 5.4 SUBJECT: 2017 Fourth Quarter Delinquent Items ACTION REQUESTED: Approve the 2017 Fourth Quarter Delinquent Amounts Listing. 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. Please note this number will only be presented for the 4th quarter. • 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 after the agency receives their split. • 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. There is a maximum of six years accounts may be placed with RR and after the six years, they are written off. • Write-Offs are amounts removed from the books with no further collection efforts being extended. This is the category with the most impact to the bottom line. DISCUSSION: I have for review the color-coded recap comparisons with last year(2017 Fourth Quarter Delinquent Items Comparisons), identifying the categories and the running totals. The amounts listed for assessments culminates in the fourth quarter and includes items previously submitted to other collection services, and if not collected, is removed and assessed. The assessment amount for 2017 is shown in blue at$8,352.84. The attached report listing (2017 Fourth Quarter Delinquent Items Submitted) 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). The amounts submitted for the quarter to the collection agency(A)are $180.40. Amounts submitted for the quarter to Revenue Recapture (R) are $10,344.56.Note that assessable items are also included here as mentioned above. Page 1 of 2 146