Professional Debt Collection Services

The Vendor is required to provide third-party collection services for delinquent utility accounts and other unpaid accounts receivable.
- Professional collection services that maximize revenue recovery while maintaining compliance with all applicable federal, state, and local laws and preserving appropriate customer service standards consistent with a public utility environment.
- Department bills customers monthly and in arrears, after services have been rendered and meters are read. Billing occurs every day of the month.
- Key billing and delinquency metrics include:
•    Average monthly bill for a single-family residence: approximately $105.00
•    Average monthly billings: approximately $7.2 million (FY2024- 2025)
•    Approximately 38% of accounts billed monthly receive reminder notices for unpaid balances
•    Approximately 16% of accounts billed monthly receive shut-off notices
•    Approximately 6% of accounts billed monthly become eligible for disconnection
•    Accounts become eligible for disconnection seventy-nine (79) days from the original bill date for unpaid balances exceeding $50.00
- Services shall include, but are not limited to, the following:
•    Initiate, pursue, and conduct all lawful and generally accepted collection practices for delinquent utility accounts and unpaid debt referred by department
•    Perform skip tracing and debtor location services, as necessary
•    Establish, monitor, and administer payment arrangements with debtors, when permitted and requested
•    Accept, process, and remit customer payments to department no less than monthly and within thirty (30) days of receipt
•    Process all payments in compliance with payment card industry (PCI) security standards 
•    Operate in full compliance with the fair debt collection practices act, and all other applicable federal, state, and local laws and regulations 
•    Maintain an identity theft prevention program in compliance with the fair and accurate credit transactions act
•    Conduct collection activities nationwide within all fifty (50) united states
•    Report accounts, when appropriate, to major credit bureaus in compliance with applicable laws
•    Instruct debtors to submit payments directly to the firm and not to department
•    Coordinate with department regarding any payments received directly by the department on accounts assigned to the vendor
•    Maintain the highest standards of professionalism, customer courtesy, and confidentiality
•    Conduct all debtor communications under the vendor’s name and not under the name of department
•    Provide a secure, web-based portal or secure electronic method for department staff to submit account information and monitor account status
•    Accept electronic file transfers of delinquent account data in formats compatible with department customer information system
•    Provide bilingual collection services in English and Spanish at a minimum; additional languages are desirable
•    Maintain documented disaster recovery and business continuity plans
•    Maintain complete and accurate records for each account referred by department, including correspondence, transactions, and detailed logs of collection activity, for a minimum of seven (7) years following termination of collection efforts
•    Remove credit bureau reporting at the request of department and provide documentation confirming removal
•    Permit department to withdraw accounts from collection at any time without charge or penalty
•    Immediately notify department of any account determined to be uncollectible and provide supporting documentation
•    Provide monthly written reports detailing account status, balances, payments received, dates of last activity, and collection actions taken
•    Be solely responsible for all costs incurred in connection with the collection services provided
•    Provide projected target minimum recovery rate (as a percentage of total placements).

- Contract Period/Term: 1 year