HomeMy WebLinkAboutResolutions - No. 2022-100RESOLUTION NO. 2022-100
A RESOLUTION OF THE LODI CITY COUNCIL APPROVING ANNUAL
WRITE-OFF POLICY FOR GENERAL BILLING BAD DEBTS AND
AUTHORIZING THE CITY MANAGER TO APPROVE A TOTAL WRITE-OFF
AMOUNT OF $350,301.37 FOR FISCAL YEAR 2022
WHEREAS, the Finance/Revenue Division is responsible for bad debt and the writing off
of bad debt once considered uncollectible; and
WHEREAS, collections and write-offs on general billing debt has not been done since the
conversion to Tyler ERP in 2016; and
WHEREAS, several departments utilize the general billing for fees, fines, and charges of
services rendered; and
WHEREAS, this policy applies to general billing debts that have been billed in Tyler ERP
for all departments; and
WHEREAS, the write-off policy instructs departments to conduct a monthly collection
process, including the following processes:
1) In-house collection; or
2) External; debt collection; or
3) Write-off; and
WHEREAS, debt will be collected through general billing for 45 days after due date. After
45 days, the debt will be referred to an outside collection agency who will send letters for 45 days
and on the 46th day, active collections will be implemented. After four years of non-payment, the
debt will be written off in Tyler ERP following the write-off policy; and
WHEREAS, additional circumstances where difficulty may be experienced with recovering
debt and the collection process can reach a point where it is inappropriate, overly expensive, or
uneconomic to pursue further action. It would be more cost-effective for the Council or the
City Manager to write off these debts in these situations rather than pursuing further action; and
WHEREAS, at the discretion of the Council or the City Manager, debt will be written off in
the following circumstances:
a) The debtor has left the address given and cannot be traced; or
b) The amount is too small for legal action to be taken, or is not economically viable to pursue
further; or
c) The debtor is deceased and the amount is uncollectible; or
d) The debtor has become bankrupt; or
e) Recommendation of the Revenue Division that the amount is not collectible; or
f) The debt is subject to a legal judgement or court order decision; and
WHEREAS, the amount to write-off is an accumulation of bad debt from the conversion of
the Tyler ERP to the current write-off year of 2017 in the amount of $350,301.37.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council approves the Annual
Write -Off Policy for General Billing Bad Debts and authorizes the City Manager to approve a total
write-off amount of $350,301.37 for Fiscal Year 2022.
Dated: April 20, 2022
I hereby certify that Resolution No. 2022-100 was passed and adopted by the City Council
of the City of Lodi in a regular meeting held April 20, 2022 by the following vote:
AYES: COUNCIL MEMBERS — Hothi, Khan, Kuehne, Nakanishi, and
Mayor Chandler
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN COUNCIL MEMBERS — None
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OLIVIA NASHED
City Clerk
2022-100