HomeMy WebLinkAboutResolution - 1930 - Agreement - Accounts Management Corporation - Collection Services - 01_24_1985Resolution #1930
January 24, 1985
Agenda Item #29
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RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a Professional
Services Agreement by and between the City of Lubbock and Accounts Manage-
ment Corporation, attached herewith, which shall be spread upon the minutes
of the Council and as spread upon the minutes of this Council shall
constitute and be a part of this Resolution as if fully copied herein in
detail.
Passed by the City Council this 24th day o
ATTEST:
Kane'tte Boyd, laity Secretary
APPROVED AS TO CONTENT:
` Ito ert Massengale, Assistant
City Manager
APPROVED AS TO FORM:
Mictfale Hart, Assis nt City Attorney
f January , 1985.
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A AN HEN , MA
Resolution #1930
THE STATE OF TEXAS §
§ PROFESSIONAL SERVICES AGREEMENT
COUNTY OF LUBBOCK §
THIS AGREEMENT entered into this day by and between the City
of Lubbock, hereinafter called "City", and Accounts Management
Corporation, hereinafter called "Corporation;"
WITNESSETH:
WHEREAS, the City desires to increase collections of
delinquent assessments and delinquent accounts; and
WHEREAS, the Corporation has the requisite expertise to
assist in increasing such collections and in advising the City in
ways to improve its internal collections processes; and
WHEREAS, the City desires to engage the Corporation to
collect all delinquent assessments and delinquent accounts except
insufficient funds checks upon the terms stated hereafter:
DELINQUENT PAVING ASSESSMENTS
AND PRO RATA WATER & SEWER
Corporation will establish a program in which accounts will
be assigned to Corporation for collection at a date of last
payment age of eighteen (18) months, or when two contract
payments become due, even though a payment may have been made in
less than 18 months. Corporation will be paid for such services
on a contingency fee basis, as follows:
DATE OF LAST PAYMENT CONTINGENCY FEE
18 months to
2 years
10%
of
amount
collected
2 years to 2
1/2 years
15%
of
amount
collected
3 years and
over
20%
of
amount
collected
All accounts
over $10,000
9%
of
amount
collected
II.
DELINQUENT PARKS ACCOUNTS
Corporation will assist the Parks Department in setting up
to handle receivables, including both types currently maintained
by the Parks Department and will set up a collection program for
such receivables. Corporation will be paid for such services on
a contingency fee basis, as follows:
Gravesite purchases 10%
Funeral home accounts 15%
6 months old
DELINQUENT LP&L ACCOUNTS
Corporation will establish a collection program for delin-
quent LP&L accounts. Corporation will be paid for such services
on a contingency fee basis, as follows:
DATE PAYMENT DUE CONTINGENCY FEE
Under 12 months
Over 12 months
IV.
39.5%
48%
Corporation will establish a collection program for all
other delinquent accounts, with the exception of insufficient
funds checks. Corporation will be paid for such services on a
contingency fee basis, as follows:
DELINQUENT AMOUNT CONTINGENCY FEE
$10 to $150 —��48Z�
$151 to $250 45%
$251 to $350 40%
$351 to $500 35%
V.
GENERAL PROVISIONS
1. Corporation shall keep full and complete records of its
progress under these programs in a form agreeable to City, which
form shall be approved by City prior to commencement of collec-
tion activities.
2. Corporation shall not assign any interest in this
agreement and shall not transfer any interest in this agreement,
whatsoever, without prior consent of the City.
3. Corporation shall save and hold harmless the City from
all suits, actions or claims brought on account of any activities
engaged in by Corporation pursuant to this agreement.
4. City shall assist Corporation by making available to
Corporation all records and dates on file that will assist
Corporation in the discharge of its duties under this agreement.
5. Corporation agrees that it will comply with all laws
pertaining to collections of this nature, both federal and state.
6. This agreement may be extended or amended only upon
written agreement between the parties hereto.
7. The term of this agreement shall be for one year from
the date of execution hereof by all parties.
B. This agreement may be terminated by either party during
its course by delivery of 30 days written notice of intent to the
other party at the following addresses:
ACCOUNTS MANAGEMENT CORPORATION CITY OF LUBBOCK
6420 Richmond Ave., Suite 00 P.O. Box 2000
Houston, Texas 77057 Lubbock, Texas 79457
EXECUTED THIS — DAY 0 ,
ACC N N T C RATI
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ecretary
1965.
City Secretary
AP ROVED AS TO CONTENT:
Robert Massengifle,
Assistant City Manager
APPROVED AS TO FORM:
Midyele Hart,
Assistant City Attorney