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• The account remains unpaid after the lesser of four years or the applicable period for commencement of a recovery action (statute of limitations); • The debtor cannot be located, nor any of the debtor's assets; • The debtor has no assets and there is no expectation they will have any in the future; • The debtor has died and there is no known estate or guarantor; • The debtor is a company which is no longer in business; • The debt is discharged through legal action (bankruptcy or court judgment); • The debt has been forgiven by action of the City Council. II. Preparation of Request for Write-Off of Accounts Receivable At least annually, each department will identify any accounts receivable for which it is responsible that meet the criteria for designation as an uncollectible account. A request for write-off of accounts receivable will be prepared by departmental staff, signed by the department head, and submitted to the Director of Finance. The request for write-off of accounts receivable must include an itemized list of the uncollectible accounts to be written off specifying the following: • Debtor name; • Account balance; • Due date; • Brief description of receivable type; • Criteria under which the account was deemed uncollectible; and • Account number of the receivable in the City's accounting system. For each uncollectible account, documentation must be attached to the request to support the uncollectible account designation and substantiate that the department has followed its collection procedures and exercised due diligence in its collection efforts. Due diligence documentation could include: • Invoices, reminder letters, or collection letters (and any documentation that are returned as undeliverable, no known forwarding address, etc.); • Information from the California Department of Corporations; • Referral to the City's collection agency; • Bankruptcy claim and any related plan or discharge; • Judgment awarded by a court or settlement agreement; and • Notice of discontinuation of services. 2