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HomeMy Public PortalAboutResolutions-2022-021RESOLUTION NO. 2022-021 A RESOLUTION DEFINING THE ACCOUNTS/ACCOUNTS RECEIVABLE UNCOLLECTIBLE GUIDELINES Whereas, the City of Tiffin's financial records include certain accounts receivable which are currently carried as part of the City 'Cash Balance' and, Whereas, some of the City of Tiffin's accounts receivable are uncollectible due to various factors such as bankruptcy, value of account receivable, location of creditor unknown, etc. and, Whereas, generally accepted accounting principles require the write-offs of those accounts receivable which are uncollectible and thus valueless, and, Whereas, the City Clerk and Utility Billing Clerk has recommended the following guidelines for accounts deemed uncollectible and written -off without waiving the City's legal right to collect the accounts. Now, therefore be it resolved by the City Council of the City of Tiffin, Iowa that those accounts meeting the following guidelines shall be removed from the City's cash balances an uncollectible: • Closed accounts of less than $5.00 • Accounts closed for 7 years or more • Accounts closed for 5 to 7 years and less than $50.00 • Accounts with unapplied credits of less than $5.00 and cannot be turned over to the State of Iowa Treasurer • Bankruptcies On the 1St day of March, 2022, at a regular meeting of the Tiffin City Council, Tiffin, Iowa, Councilperson Orris introduced RESOLUTION NO. 2022-021, A RESOLUTION DEFINING THE ACCOUNTS RECEIVABLE UNCOLLECTIBLE GUIDELINES and made a motion for approval. Motion seconded by Councilperson Limkemann. Ayes: Schnedler, Havens, Orris, Olney, Limkemann. Nays: None. Absent: None. Whereupon five Council members were present and voted approval and Mayor Berner declared that the RESOLUTION NO. 2022-021, A RESOLUTION DEFINING THE ACCOUNTS RECEIVABLE UNCOLLECTIBLE GUIDELINES to be adopted and signified his approval of the same by affixing his signature thereto. Passed by the City Council on the 1st day of March, 2022. City of Tiffin Steven L. Berner, Mayor ATTEST: Abigail Hor City Clerk