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Agenda 12/13/2016 Item #16D 2 16.D.2 12/13/2016 EXECUTIVE SUMMARY Recommendation to adopt a resolution authorizing the removal of aged accounts receivable in the amount of$134,994.96, considered uncollectible or should otherwise be removed from the financial records of the Collier County Public Library in accordance with Resolution No. 2015-219. OBJECTIVE: To reflect proper accounts receivable balances in the County's financial records by writing off uncollectible debt. CONSIDERATIONS: A review of accounts receivable for the likelihood of collection is required by Resolution No. 2015-219 during each fiscal year end. Of the nearly 2.8 million library materials checked out during FY 2015-2016, approximately 0.11% were not returned by borrowers. 99.89% were returned. The value of the materials and the processing fees incurred on these materials is $63,760.91. Additionally, $71,234.05 in overdue fines was not paid on 26,285 materials that were returned late by library patrons. Total amount unpaid is $134,994.96. After extensive research efforts on several old transactions, which include fines for overdue charges not paid and money owed for items not returned, staff recommends that it discontinue efforts to collect the miscellaneous receivables listed in the attached exhibit to this Executive Summary. This review is performed annually by the Collier County Public Library in compliance with Resolution No. 2015-219. FISCAL IMPACT: An allowance for uncollectible accounts will be charged in the amount of $134,994.96 to remove the uncollectible amounts from the Collier County Public Library general fund budget. GROWTH MANAGEMENT IMPACT: There is not growth management impact associated with this action. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, is approved as to form and legality, and requires majority vote for approval. -JAK RECOMMENDATION: That the Board of County Commissioners approves the proposed resolution authorizing the removal of aged accounts receivable in the amount of $134,994.96, considered uncollectible from the financial records of the Collier County Public Library in accordance with Resolution No. 2015-219 Prepared By: Tanya Williams, Interim Director, Library Division ATTACHMENT(S) 1.Aged Accounts_FY 2012 (PDF) 2. Resolution-Library uncollectibles -JAK signed0000 (PDF) 3. Resolution 2015-219 Aged Accounts Receivables (PDF) Packet Pg. 1168 16.D.2 12/13/2016 COLLIER COUNTY Board of County Commissioners Item Number: 16.D.2 Item Summary: Recommendation to adopt a resolution authorizing the removal of aged accounts receivable in the amount of$134,994.96, considered uncollectible or should otherwise be removed from the financial records of the Collier County Public Library in accordance with Resolution No.2015-219. Meeting Date: 12/13/2016 Prepared by: Title: Administrative Assistant—Library Name: Karen Tibbetts 10/19/2016 3:40 PM Submitted by: Title: Assistant Division Director-Library—Library Name: Tanya Williams 10/19/2016 3:40 PM Approved By: Review: Library Tanya Williams Additional Reviewer Completed 10/19/2016 5:05 PM Public Services Department Hailey Margarita Alonso Level 1 Division Reviewer Completed 10/26/2016 3:47 PM Public Services Department Steve Carnell Level 2 Division Administrator Review Completed 10/28/2016 9:26 AM County Attorney's Office Jeffrey A.Klatzkow Level 3 County Attorney's Office Review Completed 10/28/2016 1:11 PM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 10/28/2016 2:30 PM Budget and Management Office Ed Finn Additional Reviewer Completed 11/02/2016 9:58 AM County Manager's Office Leo E.Ochs Level 4 County Manager Review Completed 11/28/2016 9:33 AM Board of County Commissioners MaryJo Brock Meeting Pending 12/13/2016 9:00 AM Packet Pg. 1169 Overdue Fines, Fees and Materials Not Returned 16.D.2.a FY 2011 - 2012 Fees Owed/Materials Not Returned $ 63,760.91 Fines Only (Overdues) $ 71,234.05 0 E � I Total $ 134,994.96 L .N d Q !6 U System-wide Circulation 2,773,045 v C) Ca a, Number of Items Overdue/Fines Not Number of Items Not Percentage of items checkedas - Paid Returned out, but not returned - 26,285 3,028 0.11% .00 > 0 m 0 c 0 0 N N 0. 0 M N N N O N N 0 v U d C C, E U 4 Packet Pg. 1170 16D.2.b RESOLUTION NO.2016- A A RESOLUTION OF THE BOARD OF COUNTY o COMMISSIONERS OF COLLIER COUNTY, FLORIDA, TO REMOVE PAST AGED ACCOUNTS RECEIVABLE FROM ACTIVE ACCOUNTS RECEIVABLE FINDING THAT DILIGENT EFFORTS HAVE BEEN MADE TO v, RECAPTURE THE FUNDS AND THE FUNDS ARE NOT COLLECTIBLE OR OTHERWISE REQUIRE REMOVAL FROM COUNTY FINANCIAL RECORDS. WHEREAS, pursuant to Resolution 2015-219, the Board of County Commissioners o' (Board)has established a procedure to remove past due accounts from active accounts receivable where diligent efforts at collection have proved unsuccessful; and o WHEREAS, the Collier County Public Library attempted to research and collect 3 $63,760.91 for materials not returned and overdue fines and $71,234.05 for overdue fines of materials returned by patrons listed within active accounts receivable records and determined the accounts to have little information to make the collection successful; and a i 0 WHEREAS,all items requested for removal are aged at least five years; and WHEREAS, the Library Advisory Board is recommending that the Board remove past aged accounts receivable from active accounts receivable. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY 3 COMMISSIONERS OF COLLIER COUNTY,FLORIDA,that: 1. The Board finds that Collier County Public Library made diligent efforts to collect the total debt amount by researching the balances and reviewing any applicable records for further information. a 2. Despite diligent efforts, the Library was not able to collect the debt of materials not returned and overdue fines of$63,760.91 or the $71,234.05 in overdue fines that were not paid on materials returned by patrons. 3. The Board finds that the total amount of $134,994.96 may be removed from active accounts receivable in accordance with generally accepted account procedures and pursuant to law. THIS RESOLUTION ADOPTED after motion, second and majority vote favoring same this day of October,2016. E a 2014 Resolution—Uncollectible Fines and Fees Collier County Public Library Packet Pg.-1171 16D.2.b ATTEST: BOARD OF COUNTY COMMISSIONERS DWIGHT E. BROCK, CLERK COLLIER COUNTY, FLORIDA ° 0 0 n MS By By ,DEPUTY CLERK DONNA FIALA,CHAIRMAN N App 'I ved : ,a form and legality: ° i1 Io ri '/ s `ill Uri fr. 16 Jeffre IF. . atzkow Conn A ,.`, •ey o ar ° 0 N CD It CO *Cl. O Q M etN N ��, 0 0 0 0 a) 0 0) •N Q U) a) U a) O U c 7 LN Ce i J C O 3 O N a) C a) E <- 0 U .,1' 2014 Resolution—Uncollectible Fines and Fees Collier County Public Library Packet Pg. 1172 16,D.2.c RESOLUTION NO. 2015- 219 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF CD COLLIER COUNTY, FLORIDA, TO REMOVE AGED ACCOUNTS RECEIVABLE FROM ACTIVE ACCOUNTS RECEIVABLE, FINDING THAT DILIGENT EFFORTS HAVE BEEN MADE TO RECAPTURE THE 0 FUNDS AND THE FUNDS ARE NOT COLLECTIBLE OR OTHERWISE a REQUIRE REMOVAL FROM THE FINANCIAL RECORDS OF THE 0 COLLIER COUNTY PUBLIC LIBRARY. N WHEREAS,pursuant to Resolution No. 2006-252, the Board of County Commissioners CD (Board) has established a procedure to remove past due accounts from active accounts receivable where diligent efforts at collection have proved unsuccessful; and WHEREAS, the Collier County Public Library has attempted, without success, to ° research accounts for FY 2010-2011 to collect on its past due fines for overdue charges not paid and money owed for items not returned totaling $129,613.23. O NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA that: 1. The Board finds that the Collier County Public Library has made diligent efforts to :o collect the total debt amount by researching the balances and reviewing any applicable records 0 for further information. 2. Despite diligent efforts, it is not able to collect the debts but is able to determine that N $129,613.23 of the total transactions is not active accounts receivable. y a, 3. The Board finds that the total amount of$129,613.23 may be removed from active > accounts receivable in accordance with generally accepted accounting procedures and pursuant to law by Resolution. THIS RESOLUTION ADOPTED after motion, second and majority vote, this 2V %day a of C obw' , 2015. ° ATTEST: BOARD OF COUNTY COMMISSIONERS ai DWIGHT E. 13RO_ C -CIeERK OF COLLIER COUNTY, FLORIDA „. N By �i��farC O �� : Attest as 6 Ch i an,sDe;;t tyClerk TIM NANCE, CHAR Sian atur Approv .r 4 orm and legality: 11' � E Jeffrey KI litzkow c County A o y asw a [15-000-00002/1212741/1] Packet Pg. 1173