AGENDA TITLE:
title
Adopt a Resolution Authorizing the City Manager to Execute the Write-off of Uncollectible Utility Billing Accounts for the Period of 2020 through March 31, 2026, and Approve a Total Write-off Amount Not to Exceed $3,007,846.11 (IS - FIN)
end
MEETING DATE:
July 1, 2026
PREPARED BY:
Tarra Sumner, Revenue Manager
recommendation
RECOMMENDED ACTION:
Adopt a Resolution authorizing the City Manager to execute the write-off of uncollectible utility billing accounts for the period 2020 through March 31, 2026, and approve a total write-off amount not to exceed $3,007,846.11.
body
BACKGROUND INFORMATION:
The Finance Department, through the Revenue Division, is responsible for administering the City's utility billing system and processing the write-off of accounts determined to be uncollectible. The Electric Utility, Public Works, and Finance departments utilize the utility billing system to assess and collect fees, charges, and other amounts due.
Retaining uncollectible accounts receivable on the City's books may overstate assets and result in inaccurate financial reporting. Accordingly, accounts that have exhausted reasonable collection efforts are deemed uncollectible and should be written off in accordance with the City's debt collection practices.
The utility billing module has not undergone a comprehensive write-off process since the implementation of Tyler Munis, in 2017. Staff is currently reconciling and reviewing aged accounts to ensure the City's financial records accurately reflect collectible balances. This proposed write-off represents a one-time cleanup of accumulated uncollectible accounts. Following completion of this effort, staff intends to perform write-offs on a regular basis to maintain accurate financial reporting.
The City follows a structured collection process that includes in-house collection efforts, referral to an external collection agency, and, when appropriate, the write-off of accounts determined ...
Click here for full text