RES 11480 - Laserfiche WebLink

Attachment A City of Pleasanton POLICY FOR WRITE-OFF OF UNCOLLECTIBLE ACCOUNTS RECEIVABLE PURPOSE The purpose of this policy is to ensure that all reasonable diligence has been used to collect accounts receivable, improve measurement of the City's accounts receivable and ensure the most efficient use of City revenue collection resources. POLICY It is the policy of the City Pleasanton to actively pursue collection of past-due accounts receivable, regularly review the status of past-due accounts, and write-off amounts determined to be uncollectible. A write-off of uncollectible accounts receivable from the City's accounting records does not constitute forgiveness of the debt or gift of public funds. SCOPE This policy applies to all City departments and funds. PROCEDURES Collection procedures are established by the responsible departments and will vary depending on the nature of the receivable. Types of receivables covered by this policy include but are not limited to: business license tax; transient occupancy tax; water and sewer utility billings; regulatory and development impact fees; fees for services; recovery for damage to City property; fines and penalties; and legal judgments. Accounts receivable should generally be written-off during the fiscal year in which an account is determined to be uncollectible. Subsequent collection of an account previously written-off will be treated as new revenue in the appropriate fund. I. Designation of an Account as Uncollectible An account will be considered uncollectible after the appropriate collection procedures have been followed if it meets one or more of the following criteria: • The debt is disputed and the City has insufficient documentation to pursue collection efforts; • The cost of further collection efforts will exceed the estimated recovery amount; • The amount is under $20 and remains unpaid after one year; 1