Explanation
BACKGROUND: This ordinance requests Columbus City Council to authorize the Director of Public Utilities to write off the debts owed to the Division of Power and Water for uncollectible electricity accounts, as follows:
ACCOUNT NO. NAME SERVICE LOCATION AMOUNT
140-23-20553-10 The Penn Traffic Co. 777 Neil Avenue $19,865.80
180-23-16241-01 Big Bear Store 2801 N. High Street 31,533.93
These charges were for electric service provided between April, 2003 and June, 2003. The Penn Traffic Company, the parent company for the Big Bear Stores, filed bankruptcy in May, 2003. The City has filed a Proof of Claim for the unpaid bills, but has received no money to date. The division has been advised by the City Attorney's Office that it may be years before the bankruptcy case is discharged. Therefore, the Department of Public Utilities is requesting that these accounts be written off as uncollectible. If, and when, the city receives any proceeds from the bankruptcy court, the amounts will be reinstated.
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.
Title
To authorize the Director of Public Utilities to write off, as uncollectible, two unpaid electric accounts due the City of Columbus, Department of Public Utilities, Division of Power and Water, in the amount of Fifty-One Thousand, Three Hundred Ninety-Nine Dollars and Seventy-Three Cents. ($51,399.73)
Body
WHEREAS, the Division of Power and Water provided electric service to The Penn Traffic Company at 777 Neil Avenue; and
WHEREAS, the Division of Power and Water provided electric service to Big Bear Store at 2801 North High Street between; and
WHEREAS, the City of Columbus, Department of Public Utilities, Division of Power and Water is owed $51,399.73 for electric service provided t...
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