5.2 ERMUSR 08-14-2018 T
oi
Elk River �.
Municipal Utilities UTILITIES COMMISSION MEETING
TO: FROM:
ERMU Commission Theresa Slominski - Finance & OfficeManager
MEETING DATE: AGENDA ITEM NUMBER:
August 14, 2018 5.2
SUBJECT:
2018 Second Quarter Delinquent Items
{
ACTION REQUESTED:
Approve the Second Quarter Delinquent Items Submitted
BACKGROUND:
Second quarter delinquent items are presented for your review. We have previously reported on
four different categories of delinquents as follows:
• Assessments are delays in collecting the money owed and lis assessed to the property
taxes in the fall. Please note this number will only be presented in the 4th quarter.
• Collections amounts are those we send to the collection aoency to try and collect after
we have exhausted all our internal collection efforts. We receive 70% of amounts
collected after the agency receives their split.
• Revenue Recapture (RR) is the program through the state where funds are collected
from individuals' tax refunds and remitted to us, with the balance (if any)remitted to
the individual. It presents an opportunity to collect funds father than splitting with a
collection agency or having to write them off completely. There is a six year limit for
keeping items on RR and if uncollected at this time, amounts are removed and written
off.
• Write Offs are amounts removed from the books with no further collection efforts
being extended.
DISCUSSION:
The attached report listing shows those dollars submitted to the colledtion agency(A), those
submitted to both the collection agency and revenue recapture (B), and those submitted to
revenue recapture (R).
I also have for review the color-coded recap comparisons with last year, identifying the
categories and the running totals. There are no amounts listed for assessments as the process for
assessments culminates in the last quarter from information previously submitted to other
collection services and if not collected, removed and assessed. Currently, all services—so even
those assessable services of sewer, water, and trash—are submitted With the amounts at RR in
the hopes that they will be collected. Items not collected by assessment time are removed from
RR and assessed instead.
Page 1 of 2
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The second quarter totals are $6,946.51. To break these totals down 1py provider, it is $5,945.24
for Electric, $276.94 for Water, $201.62 for Sewer, $143.21 for Trash, $333.76 for Franchise
Fees, and$45.74 for Storm Water.
Amounts submitted for the quarter to Revenue Recapture (R) are $6,445.51. Note that assessable
items are also included here as mentioned above, and these amounts *ere also submitted to the
collection agency (B). We have seen an increase in items we are attempting to collect with the
additional customer base we have acquired.
The amount for second quarter Write-Offs is $1,933.72, which includes small balances of$6.31
and bankruptcies or deceased parties of$340.84, amounts removed filom RR meeting the six year
limit of being with the state program $1,586.57. The biggest impact to the Write-Offs increase
over the prior year is result of removing items from the RR program.
Our budgeted amount for collections and write-offs are $105,000, or 27% uncollectible accounts
per revenue dollar. According to APPA's most recent published standard ratios (2015), the
industry standard is between .17% and.37%. Interestingly, the Northern/Central Plains average
is .09%. Our totals for the year so far are below the national average, lot .01%.
ATTACHMENTS:
• 2018 Second Quarter Delinquent Items Comparisons
• 2018 Second Quarter Delinquent Items Submitted
Page 2 of 2
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Agency Sery Addr Provider Total AR
B 18938 ZUMBRO ST 1ERUE 388.61
B 18938 ZUMBRO ST 3CTYS 13.77
B 18938 ZUMBRO ST 6CTYF 16.55
B 11951 191 1/2 AVE APT 207 1ERUE 55.2
B 11951 191 1/2 AVE APT 207 6CTYF 20.11
B 540 AUBURN PL APT B 2ERUW 39.57
B 540 AUBURN PL APT B 7CTYS 1.3
B 19064 DODGE ST 1ERUE 120.6
B 19064 DODGE ST 2ERUW 43.52
B 19064 DODGE ST 3CTYS 94.57
B 19064 DODGE ST 4CTYT 14
B 19064 DODGE ST 6CTYF 13.35
B 19064 DODGE ST 7CTYS 9.15
B 17834 INDUSTRIAL CIR#3,4,5 1ERUE 129
B 17834 INDUSTRIAL CIR#3,4,5 6CTYF 53.44
B 17834 INDUSTRIAL CIR BAY 7 1ERUE 527.01
B 17834 INDUSTRIAL CIR BAY 7 6CTYF 53.44
B 17834 INDUSTRIAL CIR BAY 6 6CTYF 10.2
B 11114TH ST UPSTAIRS 1ERUE 43.89
B 11114TH ST UPSTAIRS 2ERUW 193.85
B 11114TH ST UPSTAIRS 3CTYS 93.28
B 1111 4TH ST UPSTAIRS 4CTYT 48.54
B 1111 4TH ST UPSTAIRS 6CTYF 24.02
B 1111 4TH ST UPSTAIRS 7CTYS 15.75
B 543 5TH ST APT 3 1ERUE 44.03
B 543 5TH ST APT 3 6CTYF 15.3
B 1978 10TH ST 1ERUE 147.43
B 1978 10TH ST 6CTYF 16.02
B 10476 172ND LN 1ERUE 176.65
B 10476 172ND LN 4CTYT 27.99
B 10476 172ND LN 6CTYF 17.8
B 10476 172ND LN 7CTYS 6.72
B 300 JACKSON AVE APT 222 1ERUE 100.47
B 300 JACKSON AVE APT 222 6CTYF 28.29
B 1860 MEADOWVALE RD APT 6 1ERUE 540.06
B 1860 MEADOWVALE RD APT 6 6CTYF 8.67
B 231 ELK HILLS DR 1ERUE 1,393.53
B 231 ELK HILLS DR 4CTYT 23.92
B 231 ELK HILLS DR 6CTYF 13.5
B 231 ELK HILLS DR 7CTYS 6.1
B 22822 BALDWIN ST HOUSE 1ERUE 1,506.26
B 22822 BALDWIN ST HOUSE 4CTYT 28.76
B 22822 BALDWIN ST HOUSE 6CTYF 14.23
B 22822 BALDWIN ST HOUSE 7CTYS 6.72
B 19157 IVANHOE DR 1ERUE 199.08
B 19157 IVANHOE DR 6CTYF 17.27
B 18450 ROBINSON ST 1ERUE 414.82
B 543 5TH ST APT 2 1ERUE 158.6
B 543 5TH ST APT 2 6CTYF 11.57
6946.51 TOTAL
61