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File #: 0480-2020    Version: 1
Type: Ordinance Status: Passed
File created: 2/12/2020 In control: Criminal Justice & Judiciary Committee
On agenda: 3/2/2020 Final action: 3/5/2020
Title: To authorize the appropriation and expenditure of up to $4,850,000.00 from the Collection Fees fund; to authorize the City Attorney to enter into contracts with Arcadia Recovery Bureau, LLC, Capital Recovery Systems, Inc., Law Offices of Robert A. Schuerger Co., LPA, and Scott W. Schiff & Associates Co., LPA; to authorize the City Attorney to modify contracts with Linebarger, Goggan, Blair & Sampson, LLP and Apelles, LLC for the collection of delinquent accounts; and to declare an emergency. ($4,850,000.00)
Attachments: 1. 0480-2020 Collections Ord attachment 2-12-2020
Explanation

Background: This legislation will authorize the City Attorney to enter into contracts with collection agents Arcadia Recovery Bureau, LLC, Capital Recovery Systems, Inc., Law Offices of Robert A. Schuerger Co., LPA, and Scott W. Schiff & Associates Co., LPA for two (2) year terms each, and will authorize payment of court costs, and the reimbursement of any overpayments collected from the Collection Fees fund. This fund is generated by fees collected by collection agents and used to pay the associated collection costs due.

The accounts receivables collection program within the City Attorney's Claims Section has been ongoing since 1996. On September 13, 2019, the City of Columbus Purchasing Office on behalf of the City Attorney issued a Request for Proposals (RFP 013507) for collection services and received a total of twelve (12) responses. A five-member Selection Committee reviewed the proposals, and of the twelve (12), five (5) companies were invited to give presentations and to further discuss their qualifications. After thorough review and consideration, the Selection Committee chose the four (4) collection agencies listed above.

In 2009, ordinance 0130-2009 authorized a program which adjusted the fee structure of the city's debt collection program. Effective April 1, 2009, the ordinance created a new fee to be added to the total debt collected on all new and existing accounts without payment plans. This additional fee allows the city to recover one hundred percent (100%) of the debts collected, and the debtor pays the additional collection fee. This program will continue under the contracts with our chosen collection agents.

On the recommendation of the five-member Selection Committee, the City Attorney chose not to retain the services of Linebarger, Goggan, Blair & Sampson, LLP and Apelles, LLC. In an effort to transition to the new collection agents without any interruption in services, the City Attorney wishes to modify and extend t...

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