11-4.7 Bad Debt Collection.
Contractor shall make reasonable and material efforts to obtain payment of all delinquent accounts described in subsection 11-4.6a. and b. above. The fees levied for service to residential customers that are required to subscribe from Contractor for solid waste collection services shall constitute a civil debt and liability owing to City from the person using or chargeable for such services and shall be collectible in the same manner provided by law, subject to the following limitations:
a. Collection Efforts. Contractor shall undertake collection of the debt (including penalties and expenses of collection) as described in subsection 11-4.7 above for a period of one hundred eighty (180) days from the invoice date or until the debt is assigned to City for collection pursuant to this Subsection, whichever event first occurs.
b. Assignment of Debt. If Contractor’s collection efforts fail and Contractor can demonstrate to the City that it made reasonable and material efforts (such as (i) issuance of late payment notices, (ii) telephone requests for payment, (iii) reduction in the customer's service level as provided herein, and (iv) assistance from collection agencies if warranted and feasible), then Contractor may assign to the City its rights to collect any delinquent account (including penalties and expenses of collection) that remains unpaid for a period of sixty (60) or more days after the close of the period for which it was billed (Government Code Section 25828) and that have a delinquent amount (exclusive of interest and fees) in excess of fifty ($50.00) dollars. The procedure for making such assignment shall be as follows:
1. To initiate assignment to City, Contractor shall file with City Manager a verified statement which shall contain the specific facts of the delinquent account, including, but not limited to: name or names and address of the owner(s), the address of the service, the period of service that is delinquent, the amounts due, accrued interest, the steps taken to secure payment, and such other information as the City Manager may reasonably require.
2. Said statement shall be submitted to City quarterly by the end of each calendar quarter.
3. Upon acceptance of such assignment, City shall compensate Contractor within thirty (30) days for the delinquent amount, exclusive of interest and fees.
4. Upon acceptance of such assignment, City may then initiate any collection procedures authorized by law, including those special assessment procedures authorized by Government Code Sections 38790.1 and 25831.
The City may also collect on such assignment through the administrative citation process set forth in Section 1-9. The assignment shall constitute an administrative violation with the amount due for the violation equal to the assignment plus any fee(s) provided for in the Council-adopted master fee schedule. Payment of the citation shall relieve the debt owed to the city for the assignment. Collection of the assignment through the administrative citation process shall not preclude the inclusion of additional administrative violations on the same citation, including, for a violation of subsection 11-4.10.
Any amount collected pursuant to these procedures shall be retained by City.
5. City shall not be responsible for any bad debt incurred by Contractor prior to the actual implementation date of universal garbage service by Contractor. (Ord. #198-2017; Ord. #244-2020, S2)