Loading...
6.2 BID #1 Accounts Receivable CITY OF SALINA REQUEST FOR CITY COMMISSION ACTION DATE 04/1 9/04 TIME 4:00 P.M. AGENDA SECTION NO: ORIGINATING DEPARTMENT: APPROVED FOR AG EN DA: 6 ITEM NO: 2 CITY MANAGER'S OFFICE BY: Dennis M. Kissinger City Manager BY: Item: Business Improvement District #1 Accounts Receivable Recommendations. Back~round: In the Fall of 2003, City staff worked with the B.I.D. staff and Board on financial planning. This planning included establishing target ranges for year-end cash balance, year-end accounts receivable and year-end financial obligations. B.I.D. service fees are established by ordinance and are legal obligations to the City of Salina. December 31, 2003 accounts receivable significantly exceeded the target range established. April 1 st City staff review identified 28 of the total 250 accounts as significantly delinquent, and accounting for the majority of the receivables concern. Since that review, two balances have been appropriately paid, leaving 26 "problem" accounts. At an April 5 Study Session, the City Commission was briefed on this issue, including two options for a collection process. The B.I.D. Board of Advisors considered this matter at its April 13 meeting. After discussion, the Board voted to recommend the City not create any type of "amnesty program" for late fees, but to proceed with normal collection methods, following a "final letter" of communication with the subject business owners. Recommended Action: Accept recommendation from the B.I.D. Board of Advisors and authorize staff to proceed with communication and general collection process for significantly delinquent service fee accounts. No formal action is required for staff and the City Attorney to proceed.