Explanation
BACKGROUND
This ordinance requests Columbus City Council to authorize the Director of Public Safety to write off the debts owed to the Division of Support Services for uncollectible alarm fees. These fees represent charges owed for multiple accounts. The City of Columbus stopped charging for alarm fees in January 2023. Effective June 1, 2024, the City of Columbus no longer requires registration of alarm systems and has suspended all aspects of the False Alarm program. Alarm users in the City of Columbus no longer have any requirements to register and will not be charged for false alarms. Alarm fee invoices and amounts owed were tracked in the False Alarm Management System (FAMS). That system was also used to run reports. Unfortunately, we no longer have access to that system. Although we have the raw data that was downloaded when system access was discontinued in August 2024, there are data quality issues, including duplication of charges. Furthermore, there has been significant employee turnover in the Division of Support Services Fiscal Office over the past several years, making it difficult to accurately ascertain the full amount owed. The last known amount of uncollectible debt for unpaid alarm fees as reported to the City Auditor's Office is $968,533.00. Therefore, we are requesting approval to write off that amount as uncollectible.
FISCAL IMPACT
Formally writing off this debt as uncollectible officially recognizes that the City will forego this revenue. This step is prudent to maintaining accurate, timely, and realistic accounting records. Therefore, the Department of Public Safety is requesting that these accounts totaling $968,533.00 be written off as uncollectible.
Title
To authorize the Director of Public Safety to write off, as uncollectible, various outstanding accounts for alarm fees, in the amount of Nine Hundred Sixty Eight Thousand, Five Hundred Thirty Three Dollars and Zero Cents. ($968,533.00)
Body
WHEREAS, the Department of Public Safety, Division of Support Services formerly charged fees for the registration of alarm systems and for false alarms; and
WHEREAS, the Department of Public Safety, Division of Support Services no longer charges these fees; and
WHEREAS, outstanding invoices for alarm fees totaling $968,533.00 have been deemed uncollectible and no payments have been received since January 2024; and
WHEREAS, it is necessary in the usual daily operation of the Department of Public Safety to provide the Director of Public Safety with the authority to write off this debt as uncollectible; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Safety be and is hereby authorized to write off as uncollectible the alarm fee charges due from various accounts, in the sum of Nine Hundred Sixty Eight Thousand, Five Hundred Thirty Three Dollars and Zero Cents ($968,533.00) per the attached Form AUD-006 Uncollectible Accounts Receivable Form.
SECTION 2. That this Ordinance shall take effect and be in force from and after the earliest period allowed by law.