HomeMy WebLinkAboutTR-86-97 THE CORPORATION OF THE MUNICIPALITY OF CLARINGTON
REPORT
Meeting: File# Fa .6_
GENERAL PURPOSE AND ADMINISTRATION COMMITTEE Res. # -5Q397
Date:
Septeinber 22, 1997 By-Law#
Report#: File #:
Subject: TR-86-97
GFINFRAT, Af:CQUNTS RECEIVABLE CO . ,E .TTON POT,Tf Y
Recommendations:
It is respectfully recommended that the General Purpose and Administration Committee recommend
to Council the following:
1. THAT Report TR-86-97 be received,
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2. THAT the policy in Appendix A as attached for collection of overdue accounts be approved,
and
3. THAT an interest charge of 1% per month on overdue accounts be approved.
BACKGROUND AND COMMENT:
1.0 Currently, the Municipality has no formal collection policy for overdue accounts (non-tax).
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These include in general such items as facility bookings, recoveries for fire calls, etc. As
Council is aware, the Treasury Department is in the process of centralizing the accounts
receivable process and assuming responsibility for invoicing of accounts receivable from the
various municipal departments.
1.1 Due to impacts of provincial downloading and grant reductions,it is imperative that overdue
accounts be collected as soon as possible on a consistent basis for all services provided.
1.2 Staff is proposing the collection policy as outlined in Appendix A.
1.3 In an effort to provide an incentive for prompt payment, staff recommend that an interest rate
of 1% per month be added to all accounts outstanding beyond 30 days of the invoice date.
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RECYCLED
PAP 821
THIS 6 PREMED EN RECYCLED PAPER
TR-86-97 Page 2
Conclusion:
2.0 It is recommended that a collection policy be approved in order to assist staff in collection
efforts. This will in turn assist in our secure financial position in light of provincial
cutbacks.
Respectively Submitted, Reviewed by,
Marie A. Marano, H.BSc.,A.M.C.T. W.H. Stockwell,
Treasurer. Chief Administrative Officer.
MAM/NT/pp
Attach:
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Appendix A
1. Invoice issued promptly after service provided.
2. Payment due in 30 days (with exceptions due upon receipt in exceptional circumstances).
3. After 30 days, warning letter issued and interest charges commence.
4. After three months from date of invoice, other collection avenues will be considered such as
a collection agency or court procedures.
5. Accounts deemed uncollectible by collection agency/treasury staff written off.
6. If accounts not maintained in good standing, the department head may suspend service until
account is settled or appropriate payment arrangements accepted.
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