Explanation
Background: This ordinance authorizes the Franklin County Municipal Court Clerk to enter into the second year of a three-year contract with Capital Recovery Systems, Inc. commencing October 1, 2008 through September 30, 2009, for the provision of collection services for the Municipal Court Clerk's bond forfeiture judgments; authorizes an expenditure of $30,000.000.
On September 10, 2007, ordinance 1260-2007 was passed by Columbus City Council authorizing the first year of a three year contract with Capital Recovery Systems, Inc for the provision of collection services.
The collection services have been ongoing since 1998. These services have been very successful in collecting fines and costs that would otherwise be uncollectible. Since, the Franklin County Municipal Court Clerk's office does not have the resources in-house to adequately pursue these services; the Clerk believes it is in the City's best interest to out-source the collection services. The contract is self-funding in that the percentage charged for collecting the receivables is added to the total debt collected, pursuant to ORC 2335.24; thereby, negating any costs to the City of Columbus for this service.
Ordinance 1260-2007 - $160,000.00
1st Modification - Ordinance 1331-2008 - $30,000.00
Contract Compliance Number: Capital Recovery Systems, Inc.: 31-1570459, Expiration Date: 2/28/2010
Emergency: Emergency declaration is requested for the continuity of the collection process.
Fiscal Impact: This ordinance shall result in additional revenues to the general fund. No payment of services will be made until monies for the collection of the accounts receivable are deposited with the Clerk and subsequently with the City Treasurer. Funds are available in the Clerk's 2008 collection budget.
Title
To authorize the Franklin County Municipal Court Clerk to enter into the second year of a three year contract with Capital Recovery Systems, Inc. for the provision of collections services; to authorize an expenditure up to $30,000.00 from the Clerk's collection fund appropriations; and to declare an emergency. ($30,000.00)
Body
Whereas, it is necessary to enter into contract with Capital Recovery Systems, Inc. to collect the accounts receivables bond forfeiture judgments for the Franklin County Municipal Court Clerk; and
Whereas, on September 10, 2007, ordinance 1260-2007 was passed by Columbus City Council authorizing the first year of a three year contract for the provision of collection services; and
Whereas, that the proceeds are within the collection fund; and
Whereas, that the Franklin County Municipal Court has a immediate need for this service to bring in additional revenues to the general fund as well as other agencies in Franklin County; and,
Whereas, the contract was awarded pursuant to the provisions of the Columbus City Codes, Chapter 329, Section 329.13; and
Whereas, an emergency exists in the daily operations of the Franklin County Municipal Court Clerk, in that it is immediately necessary to authorize said contract for the collection services without interruption, for the immediate preservation of the public peace, health, safety and welfare, now therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
Section 1. That the Franklin County Municipal Court Clerk is authorized and directed to enter into the second year of a three year contract with Capital Recovery Systems, Inc. to review and collect the Municipal Court Clerk's accounts receivables bond forfeiture judgments.
Section 2. That the expenditure of $30,000.00 or so much thereof as may be necessary is hereby authorized to be expended from the Municipal Court Clerk's collection fund, department 2601, fund 295, subfund 02, oca 261295, object level one 03, object level three - 3336 to contract with Capital Recovery Systems, Inc. and that the Auditor is hereby authorized to draw warrants upon the treasury for services there under upon receipt of invoices from the Franklin County Municipal Court Clerk.
Section 3. That the contracts were awarded pursuant to the provisions of the Columbus City Codes, Chapter 329, Section 329.13.
Section 4. That for reasons stated in the preamble hereto, where is hereby made a part hereof, this ordinance is hereby declared an emergency measure, which shall take effect and be in force from and after its passage and approved by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.