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2020.07.14 CC Packet
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2020.07.14 CC Packet
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<br /> <br />REQUEST FOR COUNCIL CONSIDERATION <br /> <br />ITEM DESCRIPTION: CONSIDERATION OF RESOLUTION CERTIFYING DELINQUENT UTILITY ACCOUNTS AND PAST DUE <br />MISCELLANEOUS RECEIVABLES INVOICES TO BE PAYABLE WITH 2021 PROPERTY TAXES <br />INTERIM DEPARTMENT HEAD’S APPROVAL: <br />CITY MANAGER’S APPROVAL: <br />No comments to supplement this report ___ Comments attached ___ <br /> <br />Recommendation: To adopt the resolution certifying delinquent utility accounts and past due <br />miscellaneous receivables invoices to be payable with the 2021 property taxes. <br /> <br />Legislative History: Minnesota State Statutes provide cities with authority to levy a one‐year special <br />assessment on properties for unpaid utility bills and service charges. Authority to certify these unpaid <br />charges are also provided in the City Code. The Code defines a delinquency as unpaid charges which <br />are at least ninety (90) days past due. The Code also defines a past due miscellaneous receivables <br />invoice as any charge not paid when due; however, City staff recommends certifying unpaid amounts <br />which are at least ninety (90) days past due to be consistent with the treatment of utility accounts. All <br />customers have been advised about the certification process and given an opportunity to make full <br />payment prior to this certification. The minimum amount eligible for utility account certification is a <br />delinquency of at least $100. <br /> <br />The certified amount typically includes an interest charge of 10% per annum, as the City will not <br />receive settlement in full until December 2021. A resolution was adopted by Council on May 12, 2020 <br />waiving this interest charge, as well as late fees, through December 31, 2020, in consideration of the <br />COVID‐19 pandemic’s impact on property owners’ ability to pay for these services. <br /> <br />Explanation: Each year delinquent charges for utility services and miscellaneous receivables are <br />certified for collection with the property taxes. Through certification, the City is assured of payment <br />for these services. The certified amount must be paid with the 2021 property taxes. <br /> <br />The amount to be certified at this time to the 2021 property taxes is $103,703.89. A second <br />certification will be completed in November of this year. For a comparison, the total amount certified <br />to 2020 property taxes was $182,947.02. The amount to be certified to the 2021 property taxes for <br />past due miscellaneous receivables invoices is $3,030.00. <br /> <br /> <br /> <br />Agenda Section: Consent <br />Report Date: Jul. 8, 2020 <br />Council Meeting Date: Jul. 14, 2020
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