December 3, 2023 Breaking News, Latest News, and Videos

Santa Monica City Hall To Hire Collection Agency:

With Santa Monica potentially facing a budget deficit from July 2015 onward, City Hall wants to make sure no stone is left unturned to ensure all funds owed to the City are paid.

Accordingly, the Santa Monica City Council approved July 9 the hiring of Pennsylvania-based NCO Financial Systems, Inc., a collections firm, to pursue unpaid invoices.

City Hall will pay NCO Financial a $200,000 fee as part of the two-year agreement.

“In order to ensure that the City is realizing the full revenue for fees, taxes, and fines that are due but not paid, the Finance Department [require] the use of collection agency services to assist with the collection of these delinquent debts,” City staff stated.

According to City staff, Santa Monica only contracted with a collection agency to collect unpaid parking citations and library fees; no collection agencies were retained by the City to collect other fees prior to July 9.

Vendor accounts – whether the vendor is an individual or business – are considered delinquent.

Some of the fees that would be marked for collection of delinquent: permits, police services for special events, utilities, fire inspections, contracted services, levied taxes “that benefit the community at large and are deposited into the General Fund,” and fines based upon zoning violations.

“The City is owed monies by individuals and businesses for services rendered, taxes, citations, including water, sanitation, fire and police services, recreational facilities, and business license taxes,” City staff stated. “Entering into an agreement with a collection agency would establish a consistent, citywide resource for the collection of delinquent monies due.

“Implementing collection agency services is part of a broader effort by staff to establish a uniform citywide approach for recovering delinquent debts owed to the City,” staff continued.

As it were, Santa Monica had one person on the City payroll dedicated to following up on delinquent accounts; that employee worked in the Finance Dept.

“The Finance Department does not currently have the resources to collect on the volume of various types of delinquent debt or the expertise to ensure full compliance with the various Federal and State laws governing collections,” City staff stated.

According to City staff, NCO Financial would collect a 22 percent fee of the actual revenue recovered for accounts less than six months delinquent.

For delinquent accounts referred to the courts for legal action, NCO Financial could collect as much as 30 percent of actual revenue recovered.

Even with the hiring of NCO Financial, the City employee in charge of following-up on delinquent accounts would maintain his or her position.

NCO Financial was selected in a bidding process. According to City staff, NCO Financial has worked with several municipalities across California and delivers “a high degree of customer service.”

The firm has more than 86 years of collection experience and has worked with government entities for about 40 years, according to City Staff. Though based in Pennsylvania, NCO Financial maintains an office in Sacramento, Calif.

Delinquent debt collection is “heavily regulated by State and Federal laws,” according to City staff, and must comply with several legislative acts and consumer protection laws.

The two-year contract was approved as part of the city council’s consent calendar.

One consent calendar item – the disposition of City-owned property at 1731-1733 20th Street – was tabled to a future meeting. The disposition requires five votes for approval; only four council members were in attendance.

Three council members did not attend the July 9 meeting: Gleam Davis, Bob Holbrook, and Kevin McKeown.

in News
Related Posts

(Video) Popular Palisadian Road Reopens After Repairs

December 1, 2023

December 1, 2023

Both lanes are now unobstructed leading to the Pacific Coast Highway @smmirrornews Temescal has reopened after weeks of repairs. #pacificpalisades...

Employee Fights Suspect Breaking Into Santa Monica Restaurant

December 1, 2023

December 1, 2023

A Mere Week After the Business Underwent Extensive Renovations and a Grand Reopening By Zach Armstrong A mere week after...

Vaccine Mandate Lawsuit Against Santa Monica School Dismissed by Judge

December 1, 2023

December 1, 2023

A Student Sought to Halt the Mandate’s Enforcement and Also Pursued Compensatory Damages.  A judge at the Santa Monica Superior...

Fairview Branch Open House: A Festive Affair Welcoming Santa Monica Back to the Library

November 30, 2023

November 30, 2023

Exciting Open House to Bring the Community Together for the Holidays By Robert Graves, Librarian II  On Tuesday, December 5,...

Kamala Harris Highlights Venice Bakery on Small Business Saturday

November 30, 2023

November 30, 2023

Harris Is Seen Ordering and Enjoying Some of the Restaurant’s Chilaquiles By Zach Armstrong Vice President and former California U.S....

(Video) Via Veneto, a classic Italian restaurant

November 30, 2023

November 30, 2023

Via Veneto, a classic Italian restaurant with real ingredients and delicacies from Italy. You can tell that the restaurant is...

Holiday Pub Crawl Coming to Santa Monica

November 29, 2023

November 29, 2023

More Than 20 Bars and Restaurants Will Offer Exclusive $6-$9 Food and Drink Specials By Zach Armstrong The holidays are...

Annual Venice Holiday Sign Lighting Coming This Weekend

November 29, 2023

November 29, 2023

The Event Is Set to Include Photo-Ops With Santa, Carnival Games, Free Food and Drinks and Live Performances The 12th...

Ribbon-Cutting Event to Celebrate New & Improved Bike Paths

November 29, 2023

November 29, 2023

The Recently Finished Safe Streets for 17th Street and Michigan Avenue Project Aims to Enhance Bike and Pedestrian Safety On...

Need Some Festive Hanukkah Catering? Here Are Some Suggestions From Rustic Canyon Restaurants

November 28, 2023

November 28, 2023

The Holidays Are Stressful, These Restaurants Can Help  By Dolores Quintana Do you need some hints on where to get...

Montana Avenue Holiday Walk: A Joyful 11 Blocks of Lights, Music, and Festive Spirit

November 28, 2023

November 28, 2023

Experience the Magic with Live Music, Santa’s Celebration, and Holiday Displays By Dolores Quintana Embrace the festive spirit as Montana...

Protesters Target AIPAC President’s Home in Brentwood – LAPD Investigates Possible Hate Crime

November 28, 2023

November 28, 2023

On Thanksgiving Morning, Two Dozen Demonstrators Caught on Camera  By Dolores Quintana On Thanksgiving morning, a group of Pro-Palestinian demonstrators...

Venice Shorts: Incinerated RV Found on Main Street

November 28, 2023

November 28, 2023

Burned out vehicles plague this exhausted neighborhood. By Nick Antonicello  The situation on the streets of Venice remains dangerous and...

Council Votes in Support of Upcoming Ballot Initiative on Mental Health Assistance

November 27, 2023

November 27, 2023

Proposition 1 Would Utilize a $6.38 Billion Bond in Existing State Funds By Zach Armstrong Santa Monica City Council voted...

 (Video) Downtown SM Eatery Closes Its Doors

November 27, 2023

November 27, 2023

The Watering Hole Located at 205 Broadway Has an Inactive Website @smmirrornews The eatery, located at 205 Broadway, has an...