Attached is a Resolution authorizing the annual write-off of certain uncollectable accounts. The City began using a new parking citation system in 2015. Outstanding citations written under the former system will continue to be included in the City’s accounts receivable records until such time as they are paid or written off according to state regulation. This item handles the delinquent accounts of the former parking system that are eligible to be written off at this time.
Following city staff collection efforts and collection notices, accounts were sent to a collection agency; these are what remain unpaid after six years. A total of 672 citations totaling $35,081.23 (including penalties), representing one year of activity, are included for write-off with this resolution. Delinquent accounts for which collection efforts have been terminated are analyzed each year to determine eligibility for write-off. Accounts meeting the criteria listed below are included on the proposed write-off list which is attached:
1.
The Statute of Limitations (six (6) years or older) has been met; $34,501.23
2.
Bankruptcy (discharge of debt); $580.00
With approval of this Resolution by Council, these accounts will be removed from the City’s accounts receivable records. The new parking citation system employs a program administered by the Washington State Department of Licensing (DOL) whereby the City submits unpaid citation information to the state. If a person has received at least 2 citations within 120 days of renewal of their vehicle registration, they are required to pay their fines to the reporting jurisdiction before they can register their vehicle. This reporting system is widely used by other cities and has had a positive impact on the collectability of citations issued under the City’s new parking citation system. |