HomeMy WebLinkAboutResolution - 2221A - Agreement - Accounts Management Corporation - Financial Collection Service - 01_09_1986Resolution #2221-A
January 9, 1986
Agenda Item #36
Prepared by Legal Department for City Council
Meeting of January 9, 1986.
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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 9th ring of
ATTEST:
Ranette"Boyd, City Secretary
APPROVED AS TO CONTENT:
o ert assengale, A istant City
Manager for Financial Services
APPROVED AS TO FORM:
Mich le Hart, Assistant City Attorney
January 1004
Resolution #2221-A
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 delin-
quent 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 current and delinquent accounts except insufficient funds
checks upon the terms stated in Exhibit "A".
NOW THEREFORE, the City and the Corporation mutually agree
as follows:
1. Corporation agrees to perform collection services
for City and City agrees to compensate Corporation as stated
in Exhibit "A", attached herewith. Exhibit "A" consists of
the City Request For Proposals and the Corporation's Finan-
cial Collections Services Response Forms, which are attached
herewith and made a part hereof for all purposes.
2. The term of this Agreement shall be one (1) year
commencing on January 1, 1986 and ending on December 31,
1986. However, both parties to this Agreement shall meet on
or before September 1, 1986 for the purpose of negotiating
an optional one (1) year extension of this Agreement.
3. The Corporation shall keep full and complete re-
cords of its progress in a form agreeable to City, which
form shall be approved by City prior to commencement of
collection activities.
4. Corporation shall not assign any interest in this
Agreement and shall not transfer any interest in this Agree-
ment, whatsoever, without prior consent of the City.
5. 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 Agree-
ment.
6. City shall assist Corporation by making available
to Corporation all records and dates on file that will as-
sist Corporation in the discharge of its duties under this
Agreement.
7. Corporation agrees that it will comply with all
laws pertaining to collections of this nature, both federal
and state.
8. This Agreement may be terminated by either party
during its course by delivery of thirty (30) days written
notice of intent to the other party at the following addres-
ses:
ACCOUNTS MANAGEMENT CORP. CITY OF LUBBOCK
709 Parkwood Circle, Suite 200 P.O. Box 2000
Houston, Texas 77036 Lubbock, Texas 79457
EXECUTED this 9th day of January , 1986.
ACCOU_WS MANAGEMENT CARP.:
ATTEST:
Fiecretary
Y16!
ATTEST:
Rane �JBoyd
City Secretary
APPROVED AS TO CONTENT:
Robert Massengale
Assistant City Attorney
APPROVED :AS TO F RM-
Mi le art
As istant City Attorney
- 2 -
11MMIJIL
Executive Offices: ,
014 ACCOUNTS MANAGEMENT Corporation
5201 Indiana, Suite 200 North, Lubbock, Texas 79413 (806) 799-3215
Mr. Eads:
Attached, please find our response to the City of Lubbock's
request for proposals for Financial Collection services
(RFP# 8799).
We believe quality, blended with excellent service is the
basis for a successful business relationship.
* AMC has served the City of Lubbock for the past two years
with a net return to the City of $348,085 after cost.
Many accounts dated back to the 19401s.
* AMC has staffing and Automated Data Processing (ADP)
equipment to properly service a client such as the City
of Lubbock.
* AMC can, if the client so desires, have deliquent
accounts become a part of a debtor's credit record.
* AMC has a National skiptrace network which enables us to
locate many debtors who would normally be unfound.
This is a basic proposal. However, our experience has been
in most government contracting, a best and final offer will be
determined through negotiations between the two parties.
We appreciate the opportunity to respond.
Atlanta, Georgia
0 Corpus Christi, Texas
• Dallas, Texas
• Houston, Texas
• Lubbock, Texas
• Memphis, Tennessee
• New Orleans, Louisiana
• San Antonio, Texas
• St. Louis, Missouri
BUSINESS & PROFESSIONAL
`"TOR•.
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'yrEAMdT10�►
MANAGEMENT CONSULTANTS
SYSTEMS ANALYSIS, FORMS DESIGN
BALANCE VERIFICATION AUDIT SYSTEMS
INVESTIGAZIONS & COLLECTION SPECIALISTS
5201 Indiana Suite 200, North
Sincerely,
Becky Stevenson
Regional Marketing Manager
Consultants, Systems Analysis, Forms Design
Balance Verification Audit Systems,
Investigators & Co'llection Specialists
Lubbock, Texas 79413 Offices in
(806) 799-3215 eoryla; Corpus Christi, Texas., Dallas, Texas;
'exas; Lubbock, Texas, Memphis, Tennessee;
BECKY STEVENSON ouisiana; San Antonio, Texas; St, Louis, Missouri
No Text
Addendum #1 to Request for Financial Collection Services
Please change the following items on the Request for
Proposals for Financial_ Collection Services:
Page 2, Item 41, Paragraph #1, Sentence #6, The
agency will remit to City the total amount
collected once a week.
Page 3, Item #1, Paragraph #2, Sentence #2, If the
agency collects on the check during the 90-day
period following the return of the check to the
City, the agency shall have the right to retrieve
the check from the City and all responsibilities
and rights of collection will be restored to the
Agency.
Page 3, Item #2, There are approximately 680
overdue LP&L accounts per month with an average
size of $190.
Page 4, Item U , Sentence #3, Current account,
collection shall consist of a ten (10) day letter
statement and a twenty (20) day collection letter.
The twenty (20) day collection letter for Weed
mowing charges shall be sent by certi-tied mail
return receipt requested.
Page 4, Item 10, There are approximately 30
Funeral Home accounts receivables per month at a
price ranging from $175 to $300 and 20 Grave Site
accounts receivables per month at an amount from
$225 to $500. The Weed Mowing Charges average $40
each and there are approximately 3,000 per year.
There are approximately 1,000 Paving Assessment
accounts averaging approxi-mately $1,000 each set
up on yearly installments. In 1985, there were
approximately $200,000 Paving Assess-ments
assessed on 15 accounts, most of which were
collected within 30 days.
Page 4, Item #3, Paragraph 2, Sentence 2, The
collection agency shall remit to the appropriate
City department the gross amount of all monies
received on City accounts within five (5) working
days after the last day of each month.
Page 4, Item #4, Sentence #1, The collection
agency shall procure, pay for, and maintain during
the term of the contract, with a company
authorized to do business in the State of Texas
and acceptable to the City, the insurance coverage
listed below. Substantial compliance on insurance
coverage will be considered acceptable.
Page 5, Item #4, Subheading #5, Professional
Liability_Insurance including errors and omissions
with minimum aggregate limits of $1, 000, 000 per
occurrence.
Financial Collection Service Response Form, Item
#2, Subheading 10, All pertinent agency
information, i. e. , - annual financial reports of
the agency and insurance information.
- 2 -
mm
ACCOUNTS MANAGEMENT CORPORATION
PROPOSAL TO
THE CITY OF-LUBBOCK
FOR
FINANCIAL COLLECTION SERVICES
RFP # 8799
DECEMBER 2, 1985
...
TABLE OF CONTENTS
1.0
RATE SCHEDULE
2.0
AGENCY HISTORY AND SIMILAR EXPERIENCE
2.1 Origin and Growth
2.2 Professional Organization
2.3 Facilities
2.4 References
3.0
SUMMARY OF COLLECTION PROCEDURES
3.1 Information System and Computer Capability
3.2 Automated Data Processing Information
3.20 ADP Staff and Uses
3.21 ADP Hardware
3.22 ADP Software
3.3 Comprehensive Training and Supervision
3.4 Collection Procedures
4.0
AGENCY PERSONNEL AND JOB DESCRIPTION
4.1 Summary
4.2 Individual Job Description and Resumes
5.0
CORPORATE INFORMATION
5.1 See Agency History (2.0)
5.2 Financial Statement
w,
6.0
BONDING AND INSURANCE INFORMATION
6.1 Summary of Coverage
6.2 Letter of Insurance
6.3 Certificate of Insurance
a"
Rate Schedule
0%
A.
0
'�" 1.0
Rate Schedule
A. Check Collection - unit price per check
$12.00
1. City will post $15.00 service charged for returned
checks.
2. AMC fee will be $12.00 per check.
3. AMC will return face amount of check plus $3.00.
4. If $15.00 service charge is not collected, there will
be no charge on face amount collected.
B. Lubbock Power & Light
1. Current Accounts - 30 days or less N/A%
2. Accounts - 31-60 days N/A%
61-120 days 39.5%
121-180 days 39.5%
181-1 year 39.5%
1 year - 18 months 48%
over 18 months 48%
C. Paving Assessments
1. Current Accounts - 30 days or less 10%
2. Accounts - 31-60 days 10%
61-120 days 10%
121-180 days 15%
181-1 year 15%
1 year-18 months 20%
over 18 months 25%
D. Weed Mowing - AMC proposes a unit price of $5.00 per
account for weed mowing charges.
1. A ten (10) day letter statement will be sent on City
letterhead.
2. A twenty (20) day collection letter will be sent by
registered mail. This also will be on City letterhead.
3. Accounts will be returned at this point back to the City
in order for the legal department to file necessary
liens.
E. Water And Sewer Pro Rata
1. Current Accounts 30 days or less 10%
2. Accounts - 31-60 days 10%
61-120 days 10%
121-180 days 15%
181-1 year 15%
,.�. 1 year-18 months 20 %
over 18 months 25%
1.01
F. Funeral Home Accounts Receivable
1. Current Accounts - 30 days or less
2. Accounts - 31-60 days
61-120 days
121-180 days
181-1 year
1 year-18 months
over 18 months
G. Lot Purchases - Accounts Receivable
1. Current Accounts - 30 days or less
2. Accounts - 31-60 days
61-120 days
121-180 days
181-1 year
1 year-18 months
over 18 months
10%
10%
10%
15%
15%
15%
15%
10%
10%
10%
15%
15%
15%
15%
!"" 1.02
P"*
AGENCY HISTORY
AND
SIMILAR EXPERIENCE
2.0
ow 2.1
ORIGIN AND GROWTH
Accounts Management Corporation was organized in 1961.
During the ensuing 24 years, AMC has managed and collected
^, accounts receivable nationwide for consumer, medical, commercial,
and governmental creditor clients that are both geographically
dispersed and owed debts of virtually every conceivable type.
AMC is recognized by the American Collectors Association as one
of the five largest debt collection firms in the United States
and, as such, has consistently been invited to participate in the
prestigious "Top 100 Collectors" annual convention.
...
Accounts Management Corporation has an impeccable reputation
for producing the absolute best possible collection results for
such companies and Government entities as:
Xerox Corporation
Fed. Deposit Ins. Corp.
Texaco
Univ. of Missouri
Bell Telephone Cols.
J. C. Penny
MasterCard
First Atlanta Bank
U. S. Tel.
American Medical International
Neiman Marcus
Loews Hotels
Univ. of Texas
Gulf Oil Co.
Dept. of Human Resources
Hertz Rent-A-Car
Republic Bank
Visa
Mercantile Trust
Gen. Elect. Credit. Corp.
Hosp. Corp. of America
American General Ins.
�-* AMC now represents more than 1,200 clients through its
eleven collections offices across the nation. The Corporation
employs approximately 350 persons. In 1984 alone, our clients
referred in excess of $200,000,000.00 in accounts receivable to
AMC for collection representing only 25% of-AMC's installed and
fully operative -ADP capability.
While debt collection is AMC's principal accounts management
service, the Corporation's professional staff members assist, our
clients in many other areas that are crucial to fiscal integrity,
..-, such as management consulting, systems analysis, asset and income
verification. In the performance of these services, AMC places
primary emphasis on accounts receivable and cash management.
The Corporation participates fully in the formulation of the
high ethical standards necessary to maintain the prestige of both
AMC and the entire debt collection industry. Our senior execu-
tives contribute their time and energy to the foremost profes-
sional associations for consumer debt collection firms, i.e., the
American Collectors Association, American Commercial Collectors
Association, International Consumer Credit Association. In
P" 2.01
no,
tow addition to its participation in this and other consumer credit
trade associations, AMC provides credit counselling and similar
workshops for consumer credit organizations, in our high ethical
standards, and (2) to provide consumer credit -oriented organi-
zations with the benefit of the efficient, effective and ethical
methods of -accounts receivable management developed by AMC over
the past 24 years.
AMC has been rewarded for the development of, and rigorous
adherence to, high ethical standards. AMC's competitive edge is
a collection percentage for bad debt that is one of the very
highest in the nation. In addition, our reputation is unblemish-
ed by costly and time-consuming litigation. In 24 years, AMC has
not had a single claim filed against our $5 million coverage for
errors and omissio-ns,-nor have we had any unresolved complaints
on file with Federal, -State or local authorities in connection
with our collections or other services. TFie success of AMC and
our clients is premised on the sound principle that delinquent
accounts are collected most effectively from debtors who are
treated with consideration and respect.
The many years of experience gained by AMC and its seasoned
professionals have enabled us to devise innovative solutions to
our client's accounts receivable management and debt collection
problems. As a result, AMC is ideally situated to serve in all
facets of debt collection for all types of delinquent accounts
receivable.
2.2
PROFESSIONAL ORGANIZATION
AMC's guiding principle is the performance of "complete
professional service" for all of our clients. In order to assure
the attainment of this goal, AMC engages both in intensive
instruction and training, and in rigorous monitoring and super-
vision of our employees. Additionally, AMC believes that
responsiveness to our client's needs requires our ready accessi-
bility and constant communication with each client. Our proce-
dures reduce not only our client's financial losses from bad
low debt, but also the loss of a commodity at least equally valuable,
i.e., the time of our client's key personnel.
AMC enjoys high employee morale and very low attrition. The
members of AMC's executive management team average 25 years of
experience. Branch Managers have an average of 10 years of
experience. AMC's average collector has 5 years of experience,
which is one of the highest averages in the collection industry.
2.02
AMC's high employee morale and low personnel turnover rate,
in relation to the remainder of the consumer collection industry,
is attributable to (1) the support provided to our collectors by
more than 350 employees, (2) a profit-sharing and pension plan,
that is one of the most generous in the industry, which returns
80% of the Corporation's net- rofits to our personnel, and (3)
the hands on' support prove ed by the active shareholder (i.e.,
Mr. H. Grant Lappin, the Corporation's founder who remains the
Chairman, President and Chief Executive Officer of the Corpora-
tion) and the management of the Corporation.
In the area of consumer debt, our collectors are extremely
successful. AMC's collectors are imbued with a comprehensive
OWN understanding of the extreme sensitivity of the debtor to
delinquency. Indeed, when necessary, our collectors assist
debtors in the resolution of underlying their credit problems.
•�* If our collector is unable to resolve a debtor's credit problems,
the collector may refer the debtor to one of the nearly 200
offices of the Consumer Credit Counseling Services (CCCS)
throughout the United States. Because the AMC's approach to
delinquent debt is consistent with the philosophy and goals of
the CCCS, AMC is a long-time supporter of the CCCS and its
umbrella organization, i.e., the National Foundation for Consumer
Credit, Inc.
Additionally, AMC's high collection ratio reflects one of
the lowest accounts -per -collector ratios in the industry. AMC
does not believe in "skimming the cream," i.e., simply collecting
those amounts that can be collected most easily and profitably
with minimal effort. Instead, AMC carefully manages the workload
of each collector in order to permit that collector to expend the
m aximum reasonable effort on each account. While ACA statistics
indicate that collection firms assign from 20 to-7;006 accounts
per collector, AMC s consumer collectors were,assigned an average
only 500 accounts per collector at an given time in" 1984.
Thus, AMC is at the lowest end, of the accounts per, collector
spectrum for our industry.
Due to our collector's devotion of ample individual atten-
tion to each account assigned, many of our clients have retained
AMC, with considerable success, to "go behind" another collection
firm (i.e., to attempt to collect delinquencies initially
referred to another collection firm and returned to the client
�. uncollected). Our techniques allow AMC to collect accounts that
creditors and other collection firms previously classified as
uncollectible.
r
2.03
i
OR
2.3
FACILITIES
1. Lubbock
AMC's Lubbock branch was opened in 1979 to assist the then
financially troubled Lubbock General Hospital, in reconciling
and reducing their accounts receivable. Our Lubbock facility now
occupies approximately 2500 square feet of office space and
services approximately 100 clients.
2. Headquarters
AMC's Houston headquarters occupy approximately 30,000
square feet of modern office space in a new seven -story, 210,000
square foot building in the booming Southwest area of the City of
Houston. AMC's modular design offices provide comfort, privacy
and flexibility. The headquarters offices occupy the entire
second floor of the building and are pleasingly decorated with
modern furniture. The offices are subdivided into the Consumer
Collections Division, the Commercial Division, Medical Management
Services, National Skip -Trace Division, Administrative Services,
Automated Data Processing, Accounting, Marketing, and Personnel.
The Corporation's other offices, which serve AMC's consumer,
commercial, and governmental clients throughout the nation, are
located in the cities of Atlanta, Georgia; Dallas, Texas;
Lubbock, Texas; New Orleans, Louisiana; San Antonio, Texas; St.
Louis, Missouri; Corpus Christi, Texas; Washington, D.C.; and
Miami, Florida.
2.4
REFERENCES
CITY OF LUBBOCK TEXAS DEPT. OF HUMAN
MR. ROBERT MASSENGALE RESOURCES, MR. CLAUDE
CONTRACTING OFFICER E. HILL, CONTRACTING
P. 0. Box 2000 OFFICER, P. 0. Box 2960
Lubbock, Texas 79457 Suite M/C 180-A
806-762-6411 Austin, Texas, 78769
512-450-3011
am
FDIC, MR. TIM PADILLA UNIV. OF MISSOURI, MR.
CONTRACTING OFFICER WILLIAM MOODY, CONTRACT-
1910 Pacific, 16th Floor ING OFFICER
Dallas, Texas 75201 324 Woodshall
800-527-5810 St. Louis, MO 63121
314-553-5085
2.04
ST. LOUIS UNIVERSITY
ST. LOUIS METROPOLITAN
MS. MARY DONOBAN
SEWER DISTRICT
CONTRACTING OFFICER
MR. WILLIAM R. STAMM
221 N. Grand Avenue
CONTRACTING OFFICER
St. Louis, MO 63103
2000 Hampton Avenue
314-658-2399
St. Louis, MO 63139
314-768-6200
UNIVERSITY OF TEXAS
CITY OF PASADENA
MR. JIM CHAMBERLAIN
EMS DIVISION
CONTRACTING OFFICER
MR. BILL TAYLOR
P. 0. Box 20422
CONTRACTING OFFICER
Houston, Texas 77025
1218 S. Tatar
713-792-8415
Pasadena, Texas 77502
713-475-7808
DEL MAR COLLEGE NDSL
AMERICAN COMM. COLLEGE
MR. C.C. KELLY
MS. SALLY ADAMS
CONTRACTING OFFICER
CONTRACTING OFFICER
BALDWIN AND AYERS
2007 34th Street
Corpus Christi, Texas 78404
Lubbock, Texas 79411
512-881-6264
806-747-4339
TRINITY UNIVERSITY
NDSL AND WALTON LOANS
MS. JUDITY BUDDEN
CONTRACTING OFFICER
715 Stadium Drive
San Antonio, Texas 78284
512-736-7333
wM
2.05
o"
on
..
SUMMARY OF
COLLECTION PROCEDURES
3.0
MR
., 3.1
AMC'S INFORMATION SYSTEM & COMPUTER CAPABILITY
AMC's information system and computer capabilities are
summarized to identify application of our ADP system to meet the
City's current and all future needs and to provide additional
features to enhance performance and reporting. They are
described as follows:
* AMC's system interfaces with all major systems.
* AMC has current capabilities to provide City with instanta-
neous access to account information with a remote CRT screen
in City's facility on-line to AMC's information system.
* AMC's system automatically post payments to appropriate
account files.
* Our system contains a sophisticated search feature that vir-
tually eliminates unidentified payments.
* AMC's system will maintain and update daily record of each
account on a routine basis including any changes in name,
address or other pertinent data, skip -trace attempts, writ-
ten and verbal contacts, payments and other information.
* Our system has a word processing package to generate fast
and accurate form letters, bills and receipts as proposed.
* Our software contains a feature to update daily, any admin-
strative costs and penalties, accrued interest and principal
on all accounts.
* We have Merge feature to combine an account file with other
City debts for set-off identification and maximization of
debtor contact and collection efficiency.
* Our Search feature allows us to identify current or retired
City employees placed in error with proper information pro-
vided from City.
* Our Auto -dial feature increases collector efficiency.
* We are on-line with Chilton, a major credit bureau, for in-
stantaneous access and retrieval of over 11 million files
for skip -tracing, and asset and income verification.
* Our system produces management and fiscal reports, to moni-
tor AMC's performance, which include sophisticated liquid-
ation analysis reports graphically depicting recoveries.
3.01
3.2
AUTOMATED DATA PROCESSING INFORMATION
3.20 ADP -Staff and -Uses
AMC's advanced Automated Data Processing (ADP) technology
has enabled us to become the industry leader in computerized
collection activities. Our unique approach to computerized
collections includes the use of multiple processors for fast and
�^ efficient account processing; customized batch and on-line
systems to provide for the most effective utilization of human
and machine resources; specialized reporting for management
control; and electronic communications capabilities to provide
clients with rapid access to important information. State -of -art
ADP hardware and software is espescially crucial for consumer
accounts due to the high volumes that must be handled simul-
taneously.
Our ADP Director has 13 years of experience in the design,
�* implementation, and operation of AMC's highly sophisticated
billing, 'collection, and reporting systems and is supported by a
large, highly trained staff. The ADP Division routinely operates
two shifts: 6 a.m. to 3 p.m. and 3 p.m. to 11 p.m.
3.21 ADP -Hardware
The hardware utilized by AMC includes the following:
Computers
One IBM 4331 mainframe computer with 1 megabyte of main me-
mory and 1.142 gigabytes, or 1.142 billion bytes, of hard
disk storage.
Three Zilog Model 32 computers, each with 4 megabytes of
main memory and 336 megabytes, or .336 billion bytes, of
hard disk storage.
Several IBM PC's and XT's connected together using a Novell
Local Area Network.
Printers
Four Xerox 9700 laser printers (8,000 pages per hour) avail-
able for use through Compass Macromation.
Two IBM 3262 printers.
Three Centronics printers.
3.02
Tape Drives
Four 9-track high-speed tape drives.
Three 1/4" cartridge tape drives.
Communications
various communications equipment that provides:
Remote communications to the IBM mainframe.
Remote communications to the Zilog computers.
Zilog to IBM mainframe data transfer (and vice and versa).
Zilog to IBM PC data transfer (and vice and versa).
The above -listed hardware was chosen by AMC because it is
the best combination of hardware available to interface with the
'^ unique computer systems developed by AMC and used by all of our
various clients, The IBM mainframe is an extremely effective
"batch" processing machine. AMC uses this capability for initial
„ processing and for reporting and billing (all of which are
"batch" functions). The Zilog computers, on the other hand, are
designed for on-line, interactive processing and are used at AMC
for the daily working of accounts. Indeed, the utilization of
'" the Zilog computers has increased collection productivity by
250%.
Although these various computers use different internal
operating systems, AMC has achieved a high degree of standard-
ization to their computing activities by using the COBOL develop-
ment language for all programming efforts. This standardization
provides tremendous flexibility, both for transporting the
software to other computers (should advances in technology make
other machines more effective), and for easily modifying and
enhancing the software for rapid response to the unique require-
ments of our clients.
With the equipment currently installed, AMC has the follow-
ing capabilities:
1. Using 9 track tape as transfer media, AMC can perform
-- the initial processing of accounts (including input,
sorting, and the generation of the first dunning notice)
at a rate of approximately 5000 accounts per hour,
2. Each Zilog computer can support active collection
efforts on approximately 6000 accounts per day.
3.03
am 3.22 ADP Software
AMC's software has been designed to maximize the utilization
•- of our very substantial investment in hardware by permitting the
ordering agency or other client, either by tape or wire modem
transfer. Thus, our software permits AMC's system to read any
computer tape from 800 BPI through 6250 BPI, including the most
commonly used mainframe computer tapes such as 9-track 1600 BPI
EBCDIC, 9-track 800 BPI EBCDIC, and 9-track BPI ASCII. Similar-
ly, AMC's system has wide flexibility to read 5 and 1/4" disk-
ettes, 8" diskettes, tape cartridges and computer punchcards.
AMC's software will convert to our operating system .in -
am formation encoded by an ordering agency on any other computer
operating systems, including' -fiB-M mainframe, Digital E ui ment
Corporation, Honeywell, Burroughs, Sperry- Univac, AT&T, Data-
point, Exxon (including Zilog-,--Quix and Vydec), Xerox, IT&T,
Convergent Technologies, Tandy, Apple, NCR, IBM PC, and Hewlett-
Packard. Our unique interfacing also permits us to reconvert
information in our system (for modem, tape or other medium
transfer to the ordering agency) to the operating format in which
the information was originally transferred to AMC. Similarly,
upon request, we will convert all reports, acknowledgments and
statements into the format used by the ordering agency's ADP
system.
AMC's emphasis on the development of software to permit the
PW effective utilization of computing resources has yielded a set of
functions that we believe are unique in the collection industry.
These functions, which are subsequently discussed in detail, are
WR as follows:
(i) proprietary programs;
® (ii) remote computer terminal hookup;
(iii) cardless collections system; and
(iv) special purpose software features.
"" 1. Proprietary Programs -These programs provide management
with all information necessary for the determination of
the effectiveness of all collection activities through
.� unique presentations that include collector and project
liquidation charts. A manager can instantaneously re-
view, from many different perspectives, the performance
of a single collector or of all collectors and other
personnnel assigned to a particular project. This soft-
ware allows management to react promptly to any per-
ceived problems that otherwise would not be remedied
without delay in the collection process.
V1
3.04
2. Remote Computer Terminal Hookup -- By telephone modem
computer hookup, AMC can provide any client that so de-
sires with instantaneous access to AMC's computer
system. This hookup saves both time and money in the
transmission and receipt of account information. It
also provides the client with access to the information
available to AMC management in order to monitor perfor-
mance and to provide AMC with any relevant instructions
on the basis of that performance without the necessity
of a costly on -site visit.
3. Cardiess Collection System -- The cardless system
provides, on the collector's CRT screen, all of the in-
formation required by the collector. This has resulted
in a significant increase in collector productivity.
The cardless system also ensures that a client request-
ing a terminal hookup will have access to all of the
information available to AMC's collectors and to manage-
ment because no information will be available on paper
that is not already in AMC's ADP system.
4. Special Purposes Software Features -- These special
purpose features are incorporated within the propriet-
ary collection software. The features provide advanced
capabilities, including: automated assignment of
accounts to collectors, computeried multiple account
history available on-line. The cross-references permit
the collector to obtain complete information on debtors
from other sources, even though incomplete information
was referred by the client. The feature also permits
management to obtain, for purposes of comparison, per-
formance profiles from single perspective for a number
of different collectors and projects. The automated
call-back notification actually flashes on the screen
so that the collector is not required to review all
files manually to determine the timing of scheduled
calls. The immediate CRT screen display of each debt-
or's complete account history minimizes the computer
operating time and maximizes the actual collection time
for each collector.
r In addition to the above, our software contains numerous
other features that combine to greatly improve productivity by
�., enhancing data access and maximizing the number of debtor
contacts by each collector. These include AMC's automatic call
routing which permits us to refer any debtor call on your main
switchboard number to the proper collector. Upon receipt of a
call, the collector will immediately retrieve the debtor's file
and attempt to effect collection. This maximizes the chances for
3.05
payment in full by providing the debtor with access to a collect-
or who has all current information on the debt, so that any
impediment to payment can be quickly resolved. We find that
... debtors are more likely to maintain contact during our collection
effort if they believe that their calls will be accepted and
their problems addressed.
Our auto -dial feature permits AMC's collectors to schedule
their telephone calls in advance. Thus, our collectors can
schedule calls at various times to determine when the debtor can
be reached and, when a debtor is reached at a certain time, can
schedule follow-up calls for the same day of the week, hour, and
minute as an earlier successful call. This feature minimizes
telephone costs by increasing the success rate in debtor contact,
thereby reducing the contingent fee that we must charge ordering
agencies. Auto -dial also maximizes recovery ratios by increasing
both the number of telephone calls for each collector and the
success rate for those calls.
Our Notes feature permits the collector to utilize the word
processing package that has been incorporated into our software
to make any necessary notations in a debtor's computer account,
including auto -dial scheduling.
AMC's Merge features will pull together in single debtor
file all debts referred by other City department's or client's
for the same debtor (on the basis of name, tax identification
number and other file information that conclusively identifies
the debtor as identical for two or more obligations). Thus, a
collector can attempt to effect collection on two or more
.. obligtions in a single call. The Merge features also permit us
to retrieve information from various points in the debtor file
and place the information in the designated slot in computer
generated collection and attorney letters.
The Search feature provides the assigned collector with the
updated account file when a debtor inquires as to the account,
places all information in the proper account file(s) upon receipt
of mail return, skip -trace, receipt of payment or other account
action.
3:3 COMPREHENSIVE TRAINING AND SUPERVISION
AMC's most outstanding asset is our "professionally trained
and supervised emplo ees." Accordingly, AMC's training programs,
which are as comprehensive as any in the industry, are constantly
updated and refined in light of changes in technology, the needs
!�+ of our clients and other developments. In these programs our
` employees are trained and retrained to maintain AMC"s competitive
edge.
3.06
Although it is AMC's policy to recruit experienced personnel
whenever possible, all personnel, whether experienced or not, are
required to attend training sessions regarding AMC's operating
procedures and, Federal and State laws governing collection
activity.
AMC's professionals learn and employ time -proven methods of
ethically collecting debts with tact, wisdom, and restraint. The
training process includes classroom instruction, use of audio
training tapes (basic telephone collecting to advanced telephone
�^ collecting), use of video training tapes, on-the-job training,
and individual counselling (which includes critiques of un-
annouced reviews of collection procedures and techniques). AMC
assigns unit managers to the continuous training of collectors
and monitoring job telephone collections for each consumer
collector.
All of AMC's collectors are nevertheless required to learn,
to understand, and to comply fully with the following:
(1) Privacy Act of 1974;
(2) Fair Debt Collection Practices Act of 1977;
(3) Debt Collection Act of 1982;
(4) Fair Credit Reporting Act; and
(5) All other applicable Federal, State, and local laws and
regulations pertaining to debt collection practices.
Each employee is tested and, if successful, is thereafter
required to execute the following acknowledgements:
(i) "Collection Procedure and Code of Conduct" and;
(ii) "Acknowledgement of Training Relevant to the Privacy
Act."
Our rigorous, ongoing training programs exemplify our
concern for the maintenance of effective, efficient, and ethical
collections and accounts receivable services for our clients.
VIM
3.4 AMC COLLECTION PROCEDURES
Most debt collection contractors simply endeavor to collect
the debts assigned to the contractor. Although the performance
of these services is absolutely essential to maintian cash flow
and liquidity, AMC believes that this short-term "fix" does not
adequately address our client's overall credit/accounts receiv-
able problem. Accordingly, AMC not only collects the debts
assigned, but also consults with our clients to develop effective
im-
3.07
r
AMC's collection procedures are result -oriented! Thus, upon
referral of debt by an ordering agency, AMC immediately attempts
both to obtain a reaffirmation of and to collect the debt, or to
determine from the debtor any defenses or disputes in connection
with the debt. These priorities are pursued initially in writing
through dunning notices and letters, and then, if the dunning
notice and letters do not effect collection, through telephone.
If the debt is reaffirmed, AMC attempts to resolve the problems
that have impeded payment of the debt. If collection cannot be
effected through conventional means, our collector may recommend
litigation or other action to resolve the account.
1. Computer Processing
Upon receipt of accounts, AMC's Automated Data Processing
Division will immediately process all accounts in the order they
are referred.
2. Auto -Dunning: Initial Notice
Our auto -dunning software assures that the initial notice
with a disclosure statement, which is required on consumer debt
by the Federal Debt Collection Practices Act of 1977, will be
processed and mailed immediately upon input of the account into
the computer system. Once again, the system is management
controlled to determine exactly when the collector will receive
the account for the initial telephone attempt. We believe a ten
(10) day interval allows enough time for the debtor to respond
and for us to receive mail return on the account. Therefore, our
system ensures that, ten (10) days after the final dunning
notice is sent, the collector receives that account in his daily
work schedule if payment of another satisfactory response has not
been received from the debtor.
3. Mail Response Processing
During the ten-day interval period preceding automatic
referral to a collector, certain actions could occur. The
account could be paid in full, partially paid; a written, verbal
or no response could be received; or the notice could be received
by AMC in mail return.
A paid in full response would be immediately searched in the
computer system by an accounting clerk and posted accordingly.
The account balance would be reduced to zero ($0.00) and,
therefore, the account would never appear in a collector's work
schedule. While a partial payment received on an account would
be processed, in the same fashion as a paid in full account,
through payment posting, the Cardless Collection System would
then automatically schedule the account to appear in the appro-
priate collector's work schedule the next day. The collector's
r-+
OW
3.08
screen would indicate the payment received, so the collector can
r contact the debtor immediately to insure acount resolution
through payment in full or an approved payment schedule.
A written response would be processed immediately by a
support clerk and entered into the computer system by use of the
"notes" software and screen layout design. The system allows for
180 characters of notes each business day in the collection file
screen for each account. It would then be scheduled for the
appropriate collector's daily work activity the next day. A
verbal response (i.e., a debtor calling in) would be received
immediately by the appropriate collector by use of the "Search"
software feature within the Cardless Collection System. The
search software feature gives each collector immediate access to
every account within the system.
The system allows a user to search the account by use of the
"Search" screens. AMC's search screens greatly improve the
efficiency of our collectors, ADP clerks, managers and attoreys.
In addition, the search features facilitates frequent and
thorough account audits as quality control measures.
If no response is received, the Cardless Collection System
software automatically assigns the account to the appropriate
collector, using the ratio account schedule, at the end of the
dunning cycle. Our software fulfills AMC's ofjectives by
expeditiously referring every account not resolved by mail to a
telephone collector. The account will be in the collector's
daily work schedule immediately after the dunning cycle, in the
order referred, for the first telephone contact.
A
If mail return is received on the account during the ten-day
period prior to collector a support clerk will enter a status
code of "MR" into the computer system on that debtor's account
file, which indicates mail return received and that the placement
address is incorrect. This code suspends all further mail for
that account to control postage and handling expenses and to
computer transfer the account from the assigned collector to the
Skip -Trace Division (if telephone solicitation determines that
the telephone number is also outdated)
All mail returns are automatically transferred from the
assigned collector to the Skip -Trace Division because AMC has
found that collectors optimally spend their time in selling the
debtors to make payment in full, not in skip -tracing.
4. Collector Assignment (for all Accounts except Mail
Returns)
AMC's sophisticated, Cardless Collection Software automatic-
ally and systematically assigns all accounts to the appropriate
W" 3.09
collectors on a ratio schedule that is controlled by management,
not by the system. This automatic assignment system is a major
competitive advantage as it permits us to regulate carefully each
collector's workload. All collectors do not work the same number
of accounts effectively, as some collectors simultaneously
collect more accounts than others. This management controlled
ratio schedule enables AMC to monitor and to control the work
flow of each collector, while nevertheless ensuring that each
account is automatically assigned to a collector up to that
collector's maximum capability.
5. Responses
Both verbal and written responses are computer sorted to
expedite the conclusion of the account and are immediately
referred to and handled by an assigned collector. AMC has
defined the five types of responses and procedures utilized to
conclude those responses:
a. Payment in -Full - Upon receipt of payment in
full, AMC s proprietary software will automatical-
ly post the payment to the proper account and
schedule it to be returned to the City within 30
days as paid in full.
b. Partial Payments - Upon receipt of a partial pay-
ment, AMC s proprietary software will automatically
post the payment to the proper account and calcu-
late the current balance due. Thereafter, the pro-
per collection follow-up will be scheduled.
c. Written/Verbal, Positive/Negative - All written
and verbal responses generated by the dunning no-
tice or letter(s) will be handled by the collector
selected for account referral (on the basis of ex-
perience and workload) by the automated collection
system selected during the initial input process-
ing. The collection manager may override this func-
tion if dictated by the circumstances.
d Disputes, Compromises, Legal -Defenses, and Proof -
AMC will immediately suspend collection activity
and refer the issue to the City if AMC receives a
written notice of one or more of the following con-
ORR
(i) debtor disputes in writing the amount of debt,
claiming debt was never incurred, was paid off,
or was erroneously computed;
3.010
(ii) debtor raises legal defense against repayment
such as statute of limitations, fraud, or for-
gery;
(iii) debtor requests compromise of amount due or
forbearance due to temporary inability to repay.
AMC neither-_solici-ts nor acre is compromises
with prior- written -aut orization from the client.
AMC will apply this longstanaing policy on proposed
compromises under this contract. AMC will, first,
transfer the account to the Branch manager for review
and approval and, second, refer the matter to the City
along with recommendations and, if warranted in the
particular circumstances, a justification of the
appropriate amount of the compromise.
"
All of the accounts in this category will remain
accessible solely to the Branch Manager as an AMC
quality control measure. AMC's suspension of activity
will remain in effect until the City accepts a com-
promise, requests a return of the account for write-
off, or orders AMC to pursue collection after resolu-
tion of the problem.
a
e. Bankruptcy Any account which appears to necessi-
tate a total write-off, such as bankruptcy, shall
be returned to the City with AMC's recommendation
for write-off with available documentation to sup-
port the debt's status (i.e., bankruptcy court no-
tice).
FIR
6. No Response
Accounts on which no response was received are computer sorted,
to expedite conclusion of the accounts, by categorization into
one of the following classifications:
a. Good Address/No Response - All accounts with no
response or mail return upon completion of the dun-
ning notices shall be instantaneously computer
transferred to AMC's Collection Division for im-
mediately for telephone collection attempts.
b. Mail Return or'No Address Available - Accounts
w th mail return or assigned with no address are
computer identified as "unlocatable" and are trans-
ferred from AMC's ADP Division to AMC's Skip -
Tracing Division via CRT terminal.
3.011
AMC Skip -Trace Division
In AMC's Skip -Tracing Division, our highly trained
Skip -Trace Technicians utilize proven techniques
developed through the experience AMC has gained over
the last 24 years. For consumer accounts, the tech-
nicians attempt to locate not only the consumer debtor,
but also the officers and other principals, and any
corporate or personal cosigner or guarantor. These
sources and investigative techniques include:
AMC's extensive nationwide data base;
- Employers;
- Landlords;
- Neighbors;
- Schools;
Voter registration;
Postal service and tracers;
Tax rol ls;
Telephone directories;
City directories;
Criss-cross directories;
State license bureaus;
State motor vehicle departments;
Financial statements;
Associations;
Public utilities;
Military bases;
Labor unions;
Social organizations;
Birth and death certificates;
3. Q12
Former and/or fellow employees;
Libraries;
Relatives, friends;
Clubs; and
Banks.
All skip -trace activities are conducted within the
strictures of Federal, State, and local laws and
regulations. All findings are documented on the CRT
„ screen.
For a competitive edge, AMC employs, bilingual
skip -trace techincians (as we as bilingual col-
lectors) who greatly enhance the ability to obtain
information as to a delinquent debtor's whereabouts. As
a result, our success rate is significantly above
average.
When a debtor is located as a result of our
efforts, AMC will re -initiate the mailing of the first
notice and transfer the account to AMC's Collection
Division (which�is informed of all skip -trace activi-
ties) for collection and follow-up. If positive
identification is not obtained after reviewing all
available data bases and investigational techniques,
the account will be transferred to AMC-'s Collection
Division for extensive telephone follow-up with leads
provided by the skip -•trace division. The collectors
employ not only their own telephone techniques, but
also the expertise and resources of skip -trace tech-
nicians. Collectors will attempt contact with all
leads in an attempt to locate the debtor for payment in
full.
7. AMC Telephone Contact -- Implementation Methods and
Techn q es
a. Telephone Collection-Te-chniques - Upon completion of
the third -party collection correspondence, or
"dunning letter," cycle, AMC will implement the next
phase of our state-of-the-art collection program,
i.e., telephone contact and follow-up, and asset and
income verification. The combination of our
advanced telecommunications, electronic CRT screens,
and complete professional debt collection training,
will ensure the City the highest possible collection
ORO results in the most efficient and effective manner.
"
' 3.013
No
AMC will attempt to contact debtors by telephone
after receipt of the account from the City. If it
is determined that the last known address given by
the City is incorrect, AMC will perform further
skip -tracing in an attempt to locate the debtor.
Because the collection phase is the most sensitive and
^^ difficult, it is in this phase of a professional engagement that
an inexperienced collector could inflict the most financial and
other damage on the business of a creditor. Our understanding of
the particular debts owed to the client is developed and refined
during the consultation phase. AMC accommodates this sensitivity
and difficulty with our well -developed understanding of the
reasons that debtors become delinquent.
AMC's collectors work six days per week
throughout the year (with the exception of holi-
days). The collectors are assigned to swing -shifts,
from 8:00 a.m. to 8:30 p.m.
Our collectors are familiar with, and employ,
only those techniques that will motivate a debtor to
complete payment of all delinquent amounts; actions
or attitudes that will increase a debtor's reluc-
tance to make payment are assiduously avoided by our
collectors. AMC's collectors- are trained to be,
first and -foremost, communicators in English and,
where necessary ; in S anish. AMC s'professionals
rely further upon their Sigh1y developed skills in
such diverse areas as information gathering,
repayment source counselling, insurance subrogation
and reimbursement, arbitration and communications
(with client and debtor, and, if a loss is insured,
with insurance firms), and accounts receivable
^"
management.
Upon receipt of accounts, AMC immediately
begins to liquidate the receivables. In this
process, our collectors are required (a) to arbi-
trate disputes, (b) to assist the client in making
adjustments, (c) to correct billing errors, (d) to
locate misapplied and unidentified payments, and (e)
to resolve all outstanding claims. Our insurance
specialists are acutely aware of the importance of
establishing and maintaining beneficial relations
w-
between our consumer clients and insurance car-
riers.
�"" 3.014
b. Consumer Collections Approach - For a quarter
century? AMC has successfully collected consumer
debts that include retail and other credit extension
.�,
or loan debt; medical debt; and employee over-
payment, double payment and improper reimbursement
debt. These debts are collected expeditiously and
descretely. Our retail and other consumer credit
clients require service consistent with AMC's
inflexible corporate policy of exercising extreme
sentitivity in the collection of delinquent debt.
In the collection of delinquencies attribut-
able to consumer credit, counselling is a key
element. Upon referral of debt by a client, AMC
immediately attempts to obtain a reaffirmation of
the debt by the debtor, or to determine from the
debtor any defenses or disputes in connection with
the debt. If the debt is reaffirmed, AMC attempts
to resolve the problems that have impeded payment of
the debt. If collection cannot be effected through
^'
conventional means, our collector may recommend
ligitation or other action to resolve the account.
(i). Debtor Information - Gathering -- Upon referral
of account to AMC, the clerical, skiptrace and other
personnel who support our professional debt col-
lectors immediately compile and place the following
information in the computer file on the debtor;
1. Client number - the number assigned to the client for
all accounts.
2. Debtor number - the number assigned to the debtor in
connection with one or more claims.
3. Date - the date the account was received by AMC from
the creditor.
4. Name, address and phone number of debtor - the infor-
mation received from the client is verified for accuracy
and updated as necessary.
5. Marital status - whether single, married, separated,
divorced, divorce pending which could affect ability to
pay and legal liability .for the debt.
6. Debtor's employment - the name, address and phone num-
ber of debtor s employer and, if applicable, the employ-
^' 3.015
er of the debtor's spouse, the position with the employ-
er(s), and the annual salary or salaries.
7. Skiptraceresults - the name, address and phone num-
ber o-f any of _cTe_btor's relatives, neighbors and current
or former employers who have been, or who may be, of
assistance in skiptracing for the particular debtor.
8. Credit documentation - the type of credit involved
(credit card, medical, improper employee reimburse-
ment or other payment, loan, open account) and any cre-
dit or payment agreement or any instrument signed by the
debtor any co-signer or other guarantor of payment.
••�
9. Legal matters - the status of the debtor (e.g.,
adult rather than minor, not adjudged incompetent, not
incarcerated, pending legal proceedings, judgments and
liens).
10. Name, address -and hone -number of debtor's attorney -
(if applicable).
11. Plan of payment - details of any plan of payment esta-
blished by the client or a collector and the adherence
to dates of payments thereunder.
12. Financial information - income, assets, liabilities of
debtor, spouse, any businesses, co-signers and guaran-
tors; credit history, known liquidated, unliquidated,
n.
contingent, and disputed liability, judgments, and
liens; for large accounts, a complete asset and income
statement.
(ii) Consumer Collections Methods - Upon referral of a
consumer account by a client, AMC immediately mails to
debtor a disclosure statement and request for payment
in full within 10 days, our proprietary computer soft-
ware automatically assigns the account to the appro-
priate (on the basis of workload, experience, and area
of responsibility) specialized consumer collector for
immediate telephone follow-up. In the telephone follow-
up, the collector assiduously avoids confrontation with
the debtor.
w„Instead, the consumer collector establishes a
rapport with the debtor. The message is simple and
brief, in terms understood by the debtor. The collector
judiciously uses pauses to evoke careful thought and
response from the debtor. The collector exudes a
positive attitude to provide the debtor with confidence
that he/she can resolve his/her debt problems.
3.016
iii
Accordingly, the collector asks questions to which the
debtor will answer positively.
Thus, AMC's consumer collector controls the
conversation with the debtor. The collector elicits the
debtor's active involvement in devising a solution of
the problem, i.e., payment of the debt. The collector
provides the deTtor with alternatives that are designed
to permit the debtor to solve the debt problem. The
collector closes the conversation with the debtor's
actions necessary to resolve the debt. In this respect,
the collector dramatizes her/his instructions to the
debtor and requests that the debtor repeat the instruc-
tions.
First and foremost, AMC's consumer collectors are
expert communicators. We teach our collectors that it
is not sufficient to communicate with the debtor in a
manner that could be understood. The collector must
communicate in a manner that cannot be misunderstood.
In the course of communication with a debtor,
AMC's collector is trained to apply psychology that will
motivate the consumer debtor to pay the obligation. The
collector is required, based upon her/his average of
five years employment by AMC , to exercise professional
judgment to determine whether the debtor can be best
motivated by an appeal to honor, pride, or anxiety, or
some combination thereof. In order to appeal to the
debtor's sense of honor, the collector reminds the
debtor of his/her desire to live up to society's
standards of right and wrong, the desire to do what is
right, and the desire to be law-abiding and honest. In
the appeal to pride, the collector appeals to the
debtor's sense of pride in himself/herself and his/her
accomplishments, and to the desire for respect from
family, friends and associates. In the appeal to
anxiety, the collector reminds the debtor of his/her
desire to be free from worry, the desire to avoid a
troubled credit rating, and need for security.
Payment Source Counselling - On the basis of the infor-
mation that AMC and its subcontractors obtain on the
consumer debtor, our collectors will counsel the debtor
on potentially available sources of funds for payment in
full of the debt, including the following:
1. Checking and savings accounts.
2. Sale of stocks and bonds.
A.,
3.012
Am
3.
Income tax refund.
4.
Credit union accounts or borrowing.
5.
Salary advances or other loans from employer.
6.
Bank loans.
7.
Finance -company loans.
8.
Cash value of insurance policies.
9.
Borrowing, gifts -or -advances of inheritances
from
relatives.
10.
Home refinancing through a first, second, or
-third
mortgage or aline of credit against -home equity.
r
11.
If the debtor has farm resources, borrowing
secured
by land equity, -equipment, livestock, stored
crops,
and crop futures.
12.
Borrowing secured by persona,i property, such
as
equity in automobiles.
13.
Proceeds from the sale of personal property.
3.018
AGENCY PERSONNEL
AND
JOB DESCRIPTIONS
4.0
4.1 SUMMARY
Accounts Management Corporation - Lubbock Branch - has a total of
thirty-one (31) employees consisting of:
1 Operations Manager
1 Marketing Manager
1 Sales/Service Representative
2 Unit Managers
18 Collectors
1 Clerical Manager and a clerical support staff including
1 Bookkeeper
1 Skip Tracer
5 Research Personnel
4.2 INDIVIDUAL JOB DESCRIPTIONS
Operations Manager - Responsible for all daily operations of the
collection and clerical staff. Hiring and supervision of
development of all employees. Also in charge of coordinating
- operations with the sales department for the benefit of clients.
Marketing Manager - Responsible for coordinating and maintaining
�•+ all duties and performances levels of the marketing department.
Training and supervision of all marketing personnel, maintaining
an adequate number of new sales per month as well as servicing
existing clients. handle all major client communications and all
serious client complaints. Communication and coordination of
efforts with operations department.
'^ Unit Managers - In charge of collector development and the main
line of communications between the branch manager and the
collectors.
Receptionist -Typist - The receptionist is in charge of all typed
form correspondence within the branch. She also will greet and
write receipts for all payments made by debtors at the office.
Central File Supervisor - In charge of all clerical functions
within the office. Ma]or concerns are training of new clerical
employees and correlating the clerical effort to those of the
collection staff.
4.1
Service Representative - Responsible for communication with
clie mts with regard to complaints, verification of payment, and
additional information. He, or she, maintains and increases
volumn of placements through telephone and/or personal contact,
maintains client correspondence files.
Collectors - The Lubbock office of AMC has eighteen (18) col-
lectors. The primary responsibility of the collectors is
telephone contact with the debtor. He, or she, must be know-
ledgeable of the account, debtor, and client and use this infor-
mation to persuade the debtor that it is advantageous to pay in
full. Collectors must be knowledgeable of the Fair Debt Col-
lection Practices Act, the State Collection Practices Act (when
applicable), and our own Code of Contract.
Skip Tracers - Will investigate accounts wtih the purpose of
obtaining 'location information" as defined in the Fair Debt
Collections Practices Act. Any account with a debtor determined
as a "skip" will be turned over to the skip tracer.
Research - Researchers will transpose any information that may
mead to phone contact with a debtor provided by the client.
Bookkeeper - The bookkeeper is in charge of daily maintenance of
all payments made on accounts.
NM
'�" 4.10
era
Education
Resume
G. Mark Dove
Texas Tech University, Lubbock, Texas; Four years undergraduate
study in Business and Journalism.
Professional Experience
Accounts Management Corporation, Lubbock, Texas.
Operations Manager. Primary responsibilities include overseeing
daily operations of Lubbock branch. Coordinate effort of unit
k,
managers and supervisors. Supervision of training of personnel,
both clerical and collection, and promotion of personnel to Unit
level. Lubbock has received Branch -of -the -Month awards in the
last years.
Previoulsy served as a collector in February of 1980, promoted to
assistant manager in October, 1980. Transferred to Houston in
June, 1981 as a collector. Primary responsibilities included
implementation of day-to-day procedures and systems, and training
""`
within Houston Branch.
Promoted to Unit Manager in August, 1981. Primary
responsibilities included management of all aspects of the Unit.
Promoted to Operations Manager in December, 1981, officially
assumed those duties January 1, 1982.
4.2
Resume
Rebecca L. Stevenson
Education
Lubbock High School, Lubbock, Texas; 1969 Honor Graduate.
Professional Experience
11-79 - Present
Accounts Management Corporation, Lubbock, Texas.
Marketing Manager. Primary responsibilities include coordinating
and maintaining all duties and performance levels of the entire
Sales Department. Training and supervision of all sales per-
sonnel, maintain adequate number of new sales per -month as well
as servicing existing clients, handle all major client communi-
cations and all serious client complaints. Communication and
coordination of efforts with operations end of business. Respon-
sible for the West Texas territory from Lubbock to Amarillo, San
Angelo, Midland, Odessa, Big Spring, and Hobbs, New Mexico.
Sales Achievement Awards and President's Achievement Award
recipiant.
1977 - 1979
Tupperware Home Parties, Lubbock, Texas.
Unit Manager. Training and supervision of 30-35 dealers.
Maintain a personal party schedule, selling the Tupperware
products; obtained level of #10 in the region out of approxi-
mately 2,500 managers.
1969 - 1973
Aetna Life and Casualty, Lubbock, Texas.
Unit Supervisor. Train and supervise 8 group claims processors
to pay group health claims for Aetna - weekly and monthly
progress reports and audits.
4.20
N
Resume
Joe DeLosSantos
Education
Texas Tech University, Lubbock, Texas; BS Education
Professional Experience
1980 - Present
Accounts Management Corporation, Lubbock, Texas.
Unit Manager. Primary responsibilities include management of all
aspects of the Unit.
Previously served as a collector. Primary responsibilities
included collection and servicing of all assigned accounts.
Progressed to Unit Manager. In charge of special projects.
Currently working and supervising accounts from the City of
Lubbock.
12-77 - 11-80
Beneficial Finance, Lubbock, Texas.
Assistant Manager. Primary responsibilities were to oversee all
collections within the office.
4 21
Resume
H. Grant Lappin
Education
St. Louis University, School of Commerce and Finance, Certificate
of Completion, 1948.
Professional Experience
1961 - Present
Accounts Management Corporation, St. Louis, Missouri and Houston,
Texas.
Founder, Chairman, President, and Chief Executive Officer.
Primary responsibilities include cash management; coordination
of, and presiding over, Board of Directors; decision making and
supervision of profit sharing and pension plan investments;
review of all corporate functions and ongoing consultation with
executives; and direction of, and personal involvement in, the
performance and marketing of services to Government, including
legislative liaison, presentation of Congressional testimony, and
other efforts to expedite collection of Federal delinquencies.
Previously engaged in all marketing, client contacts, training,
and operations management.
1950-1961
�• State Loan & Finance Corporation, Washington, D.C.
Vice -President, Operations. Primary responsibilities included
management of all aspects of the operations of one-third of all
of the corporation's offices in the United States; supervision of
loans and collections of portfolio in excess of $150 million;
hiring, training, and supervision of all personnel for those
offices; supervision of all audits; operation of lines of credit
with 200 banks; recruitment and training of the corporation's
Branch Managers; and contribution to, and participation in, all
�., aspects of corporate expansion from 41 offices in 1950 to 871
offices in 1961.
Previously served as Supervisor -- Midwest.
Previously served as Branch Manager of largest corporate branch
in Camden, New Jersey.
4.22
Previously served as startup Branch Manager of branch in St.
Louis, Missouri. Departed due to ruinous competition of new
sources of consumer credit (e.g., bank and retail credit card
�.. issuers) with finance companies.
1947 - 1950
Walsh Loan & Finance Corporation, St. Louis, Missouri.
Manager. Primary responsibilities included approval of all loans
'^ and collections. Retained initially as Manager Trainee pursuant
to Public taw No. 16. Departed to accept opportunity with
national corporation.
1943 - 1947
United States Navy
Served with the amphibious forces in the South Pacific. Parti-
cipated in 19 landings. Wounded in Okinawa.
Affiliations
American Collectors Association. Member, National Legislative
Committee, and Rules and Regulations Committee.
International Consumer Credit Association.
4.220
Resume
Robert F. Leaumont
Education
Louisiana State University, B.A., 1968. Major in Management.
Professional Experience
1971 - Present
Accounts Management Corporation, Houston, Texas.
Executive Vice -President. Primary responsibilities include
supervision, management, and coordinatin of all aspects of the
corporation, including all financial, computer, sales, collection
and personnel matters; training and supervision of Vice Presi-
dent, Operations; supervision of and extensive instruction in
company's marketing, accounting, and manager training school;
selection, acquisition and supervision of the integration into
corporate operations of expanded computer system; and day-to-day
supervision and coordination of activities of more than 400
employees.
Previously served as General Operations Manager. Primary
responsibilities included management of all aspects of branch
offices; development and implementation of a state-of-the-art
collections system, systems relating to clerical functions, data
compilation, storage, updating and retrieval, skiptracing and
collection; and instruction and training of company personnel in
relation to new system.
1966 - 1971
Central Adjustment Bureau, New Orleans, Lousiana.
District Manager. Primary responsibilities included supervision
of all sales and collection personnel in the Dallas -Fort Worth
area; and development of corporate policy and procedures.
Previously served as Regional Manager. Primary responsibilities
included supervision, coordination and management of all aspects
of business of five branch offices.
Previously served as Branch Manager. Primary responsibilities
included personnel supervision, training, auditing, and counsel-
ling.
W
FM 4.23
r,
Previously served as Assistant Manager. Primary responsibilities
including the training of collectors in skiptracing, collection
procedures, and applicable laws.
t Previously served as Collector. Primary responsibilities
included all aspects of collection activities relating to medical
and student loan collections.
1965 - 1966
Grunewald Music Company
Credit and Collection Manager. Primary responsibilities included
*^ credit decision making and collection.
1964 - 1970
0' U. S. Coast Guard Reserve.
4.230
P" - -- Resume
Stephen G. Lappin
Education
University of Texas at Austin, Bachelor of Art, 1972.
Management, minor in Finance.
Professional Experience
Major in
.w 1972 to Present
Accounts Management Corporation, Houston, Texas.
FOR Vice -President, Operations. Primary responsibilities include
supervision and coordination of all branch offices, including
Branch Managers and other branch personnel.
Previously served as Administrative Assistant, Operation.
Primary responsibilities included auditing of branch offices,
management of collections, and supervision of clerical personnel.
Previously served as Branch Manager in Dallas, Texas. Primary
responsibilities included hiring and training of clerical and
collection personnel.
Previously served as Sales Consultant. Primary responsibilities
�• included training of company personnel in sales, client credit
and collection systems and consulting with clients on credit and
collection systems.
Previously served as Collector. Primary responsibilities
included all aspects of collection.
1968 - 1972
(Part -Time)
.� University of Texas, Intermural Athletic Department, Austin,
Texas.
Manager of day-to-day operations of department with more than
10,000 participants.
4.24
Resume
Mark L. Lappin
Education
a_
University of Texas at Austin, Bachelor of Arts in Business
Administration (B.B.A.), 1979. Major in Marketing, minor in
^" Management.
Professional Experience
1974 - Present
Accounts Management -Corporation
Director of Public Accounts. Primary responsibilities include
coordination of collection and other services performed by
corporation (including Government Management Services) for
government and other public clients; and communication with and
*-� preparation of specialized programs and services for public
clients.
Previously served as DFW Marketing Manager. Primary responsi-
bilities included supervision and training of Service Respresent-
atives and coordination of services to 110 clients; communi-
cations with marketing and operations department on behalf of
clients and of branch and marketing of AMC's services.
Previously served as Corpus Christi Manager. Primary Responsi-
bilities included training and supervision of Service Represent-
ative and coordination of services to 50 clients.
Previously served as Collector. Responsibilities included all
aspects of collections. Previously served as trainee responsible
for mail processing, filing, researching, skiptracing, and
collection.
4.25
n
Nn
Education
Resume
Aaron Baldridge
University of Houston, B.A., 1972. Major in Communications with
course emphasis in Management.
Professional Ex2eri_ence
1975 - Present
Accounts Management Corporation, Houston, Texas.
Director of Operations. Primary responsibilities include
auditing of clerical and collection staff in branch offices;
coordination of Marketing Department and Branch Managers; and
instruction and training of Branch Managers.
Previously served as Assistant Manager. Primary responsibilities
include training, auditing and supervision of 25 to 35 collectors
and eight clerical personnel.
Previously served as Collector. Primary responsibilities
included all phases of collection throughtout a three-year
-+
period.
1974 - 1975
Exchange Mortgage, Texas
Collection Manager. Primary responsibilities included collection
of delinquent home mortgages; supervision and coordination of
foreclosures; and management of Collection Department staff.
�...
1972 - 1974
Fort Worth Mortgage, Fort Worth, Texas.
Collector. Primary responsibilities included all aspects of
collection procedures and compliance with laws associated with
collection of delinquent home mortgages.
'" 4.26
Resume
Vic York
Education
Houston Community College, Houston, Texas.
Professional Experience
1976 - Present
Accounts Management Corporation, Houston, Texas.
Vice -President, Marketing. Primary responsibilities include
direction of marketing, promotional activities and all marketing
personnel; credit consulting and design of collection systems in
order to reduce collection costs for vast array of commercial,
medical, retail, and governmental clients; and management of 26
marketing personnel and additional support personnel in sales
departments of branch offices; and organization and presentation
of on -sit acccounts receivalbe management seminars for in-house
personnel of clients.
Previously served as Director of Marketing. Primary responsi-
bilities include management assistance to branches; training, and
cultivation of creative sales ability and attitudes in sales
personnel; development of new markets; and improvement of
productivity of existing collection sales market.
Previously served as Regional Sales Manager. Primary responsi-
bilities included supervision and development of Houston branch
sales; promotion and service to existing clients; service to
clients beyond local branch markets; and development of and
service to national clients.
Previously served as Branch Manager. Primary responsibilities
included training and supervision of 35 collectors and of
skip -trace personnel.
1972 - 1975
Associated Recovery, Formerly Financial Assistance Corporation,
Georgia and Texas.
General Manager. Responsibilities included all aspects of
Management.
1. 4.27
Previously served as Manager of Houston and Atlanta branches.
Trained and supervised staff of 13 in Houston and six in Atlanta.
Previously served as Manager, Atlanta Collection. Primary
responsibilities included hiring, training, and supervision of
personnel; preparation of payroll; and preparation of client's
statements.
1970 - 1972
The Richard's Company
Collection Manager. Responsibilities included management of
collections for regional office covering Georgia, Alabama, and
Florida.
Previously served as Collector. Primary responsibilities
included inside (telephone) and outside collections.
1967 - 1969
United States Army
4.270
Resume
Roslyn H. Simon
Education
Lee Junior College (two years), Baytown, Texas; University of
Houston (one year).
PrOffessional Experience
1971 - Present
Accounts Management Corporation, Houston, Texas.
Director of Clerical Support. Primary responsibilities include
the development and implementation of up-to-date systems for all
clerical functions of the corporation; auditing of clerical
departments of all branches; assistance in the training of
clerical and supervisory personnel; and development and manage-
ment of clerical supervisory personnel.
Previously served as Branch Manager of Central File Branch, one
of four branches of corporate headquarters. Primary responsi-
bilities included continual upgrading of clerical systems and
procedures; and training clerical support personnel.
Previously served as Clerical Department Manager. Primary
responsibilities included training and supervision of clerical
personnel incorporate headquarters.
Previously served as Sales and Service Representative and as
Skiptracer.
1963 - 1971
Guardian Financial Corporation, Texas.
Office Manager. Primary responsibilities included supervision of
'^ all credit extension, skiptracing and collection personnel;
compliance with all applicable laws; training of clerical
personnel in bookkeeping procedures; auditing and evaluation of
•- all "personnel.
Previously served as Assistant Manager with responsibility for
training of collection and clerical personnel. Previously served
as Cashier with responsibility for the receipt of payments and
for all bookkeeping functions.
•, 4.28
Resume
Richard D. Young
Education
Austin College, Sherman, Texas; Del Mar College, Corpus Christi,
Texas.
Professional Experience
1974 - Present
.� Accounts .Management Corporation, Houston, Texas.
Director of Quality Control. Primary responsibilities include
acquisition and development of data base, preparation of studies
-' and analyses, and dissemination of information seniorto corporate
executives regarding opportunities for corporate growth and the
maintenance of flexibility and quality control.
Previously served as Corpus Christi Branch Manager and then as
Houston Branch Manager. Primary responsibilities included
supervision and training of personnel, both clerical and col-
lection, and promotion of personnel to a Unit level. Received
five Manager -of -the -Month awards and one Branch -of -the -Month
award.
Previously served as first corporate Unit Manager. Primary
responsibilities included management of all aspects of the Unit
assigned to the Southwestern Bell Telephone account.
Previously served as Assistant Manager. Primary responsibilities
included implementation of day-to-day procedures and systems, and
training within Houston Branch.
Previously served as Large Balance Collector. Primary responsi-
bilities included collection and servicing of all assigned large
balance accounts.
1971 - 1974
Federated Credit Corporation, Texas.
r -
Collector. Primary responsibilities included collection of
delinquencies for the in-house finance company of a major
encyclopedia retailer, i.e., Grolier, Inc.
PM
4.29
PM
Resume
Ed Larson
Education
University of North Dakota, B.A., Business, 1965.
Professional Experience
1983 - Present
Accounts Management Corporation, Houston, Texas.
Director of Electronic Data Processing. Primary responsibilities
include management of all data functions; development and
coordination of additions to the existing computer system; and
development and implementation of innovative electronic col-
lections systems.
1968 - 1983
Houston Data Center,'Inc., Houston, Texas.
Vice President. Primary responsibilities included direction of
all systems analysis and programming functions for 400 clients.
Previously served as Manager of Programming. Primary responsi-
"" bilites included training and coordination of the efforts of a
staff of 15.
�. Previously served as Programmer/Systems Analyst in a service
bureau environment. Primary responsibilities included design,
implementation, training and maintenance of various accounting
program applications, including accounts receivable mamagement
systems, accounts payable, collection systems, general ledger and
cash management systems, inventory and purchase order systems
sales analysis, payroll and personnel systems, time and billing
systems, patient billing, insurance premium accounting claims and
reserves systems.
1966 -1968
Cameron Iron Works
Programming Team Leader. Primary responsibilities included
development and training of programmers.
sm
4.2001
5.0
r-
ACCOUNTS MANAGEMENT CORPORATION OF TEXAS, INC.
CONSOLIDATED BALANCE SHEET
AS OF JANUARY 31, 1985
ASSETS
Current Assets:
Petty Cash
1,000.00
Manager's Fund
19,500.00
AMC -TX Legal Fund
5,000.00
Operating Bank Accounts
384,122.57
C. D. Texas Commerce
230,366.33
A/R Affiliates
2,865,422.48
Advance to TIOLI
52,878.21
Notes Receivable
62,500.00
Client Advance
539,512.53
Employee Advance
9,350.91
HGL Condo Advance
45,569.41
Advance - Officers
172,662.56
Prepaid Expense
14,147.47
Prepaid Court Costs
6,118.23
Total Current Assets
Fixed Assets:
New Orleans Office Other
3,500.00
Office Furniture & Equipment
387,352.95
Accum. Deprec. Off. Furniture
182,509.33-
TCB Furn. & Equip. - Wilson's
137,503.06
Corporation Autos
221,942.11
Accum. Deprec. Automobiles
139,172.02-
Sweetwater Membership
22,500.00
Total Fixed Assets
Other Assets:
Investment in Subsidiary 8,520.00
Organization Costs 45.00
Total Other Assets
TOTAL ASSETS
4,408,150.70
451,116.77
8,565.00
4,867,832.47
5.2
Page Two
Accounts Management Corporation of Texas, Inc.
Consolidated Balance Sheet/January 1985
LIABILITIES AND EQUITY
Current Liabilities:
Client Reserve
1,095,539.64
State Income Tax
2,041.37
Accrued Payroll
133,330.63-
Payroll Taxes
13,918.84
Exchange Account
148,817.83-
Accounts Payable Affiliates
2,865,363.59
Unidentified Payments
96,204.93
Profit Sharing
2,321.69-
Total Current Liabilities
3,788,598.22
Long Term Liabilities:
Notes Payable
88,932.23
Note Payable Stafford Bank
129,323.38
Total Long Term Liabilities
218,255.61
Total Liabilities
4,006,853.83
Common Stock
8,000.00
Retained Earning Prior
424,832.03
Net Income (Loss)
428,146.61
Total Stockholders Equity
860,978.64
TOTAL LIABILITIES AND EQUITY
41867,832.47
No Text
6.1 INSURANCE & BONDING COVERAGE
N.
AMC's extensive liability insurance coverage is as varied
and comprehensive as any in the in the industry. This broad
coverage, although expensive, is intended to eliminate our
client's risk of any liability whatsoever for our efforts after
the consumer account is referred to AMC for collection.
The aggregate coverage under the corporation's Professional
Liability Insurance policy,including Errors and Omissions
coverage, is $5,000,000.00 per annum. In addition, AMC has in
force broad Worker's Compensation and Employers' Liability and
Automobile Liability policies that cover occurrences on AMC's
premises or elsewhere (e.g., a client's premises). AMC has a
Comprehensive General Liab ity policy in force that covers even
AMC's independent contractors. The Corporation effectively bonds
all of its employees for the benefit of our clients by main-
taining a Blanket Crime and Employee Dishonesty policy that
covers AMC against, and protects our clients from any loss as a
result of, fraudulent or dishonest employee conduct regardless of
whether AMC is legally liable for such conduct. Final y, 1n
order to provide against ie highly unlikely event that the
aforementioned coverage would be inadequate, AMC maintains an
"umbrella" form Excess Liability policy in the amount of
$5,000,000.00
In 24 years, AMC has not had a single claim filed against
our $5 million coverage for errors and omissions, nor have we had
any unresolved complaints on file with Federal, state or local
�^+ authorities in connection with our collections or other services.
As a result, AMC receives the lowest available rates for the
broadest coverage. Because we have scrupulously avoided costly
mistakes for which we must charge our clients-, as a competitive
edge, AMC protects every client against any loss attributable to
our actions and omissions without increasing the rate charged the
client. Thus, a consumer c ient can refer an account to AMC in
the confidence that the client will not be exposed to any
liability as a result of our collection efforts.
6.1
ALBER . KAUFMAN & CO.
nsurance THE BIG DIFFERENCE
YOUR
%WM01M! hOENT ----
�I 7111 HARWIN, SUITE 200
HOUSTON, TEXAS 77038
Col. Albert A. Kaufman, Chairman o/ Board
PHONE: (713) 266-6178
1 J Boyce Love President
May 10, 1985
Mr. H. Grant Lappin, President
Accounts Management Corporation
P. O. Box 4687
Houston, Texas 77210
Michael W. Turner, Vice President
J. F. Kaufman, Secretary - Treasurer
Re: Insurance Program - Accounts Management Corporation
Dear Mr. Lappin:
To complete your records, we are happy to give you the following summary
of your entire insurance program.
Named Insureds Under All Policies
Accounts Management Corp. of Texas
Accounts Management Corp. of Houston, Inc.
Accounts Management Corp. of Pasadena, Inc.
Accounts Management Corp. of San Antonio, Inc.
Accounts Management Corp. of Corpus Christi, Inc.
Accounts Management Corp. of Lubbock, Inc.
Accounts Management Corp. of Metairie, Inc.
Accounts Management Corp. of Atlanta, Inc.
It is agreed that all named above may also operate under the assumed
names of Accounts Management Corporation and Medical Management Services,
both of which are included as named insureds.
7
Worker's Compensation
This policy provides coverage for the statutory medical and disability
benefits for all employees injured on the job as provided under the state
in which they are employed. All executive officers are also protected.
The employer's liability limits are $100,000 each accident, $100,000
for disease (each employee) and $500,000 for disease (policy limit).
Comprehensive Automobile Liability
This policy covers your liability arising out of the use of all owned,
non -owned and hired automobiles. The limits provided are $500,000
combined single limit for bodily injury and property damage. $5,000
personal injury protection is provided on all vehicles. Uninsured
motorist coverage is provided on all units, and towing and labor in the
amount of $40 per disablement is included.
r" ALWAYS ASK KAUFMAN
6.2
On your owned automobiles, you have one hundred dollar deductible
comprehensive and five hundred dollar deductible collision.
Comprehensive General Liability
This policy covers your liability for bodily injury and property damage
claims arising out of the use of owned or leased premises and business
q activities away from the premises. The limits provided are $500,000
combined single limit for bodily injury and property damage.
Umbrella Liability
This is an excess liability policy providing a single limit of $5,000,000
excess of the limits provided in the automobile, general liability and
employer's liability section of the Worker's Compensation policy. As an
example, you would have the combined coverage of $5,500,000 bodily injury
to one person if one of your automobiles was involved in a serious accident.
Comprehensive Dishonesty, Disappearance, Destruction Bond
This policy provides insurance in the amount of $650,000 for loss of money
or securities due to dishonesty of employees or forgery of outgoing
instruments.
In addition, $5,000 coverage is provided at each location for loss of money
or securities by robbery or theft, both inside and outside the premises.
Valuable Papers
This policy covers loss or destruction of valuable papers, notes and
records. This is an all risk policy (all risk meaning all losses caused
by direct damage to the property covered except by those perils specifically
excluded) that covers at the premises, in transit, and temporarily at the
premises of others.
Limits provided at each of your locations are:
7909 Parkwood Circle #200, Houston, Texas $500,000
4204 Woodcock Drive, Suite 280, San Antonio, Texas ........... 250,000
4639 Corona Drive, Suite 72, Corpus Christi, Texas ........... 200,000
1440 Empire Central #250, Dallas, Texas ...................... 500,000
5201 Indiana, Suite 200N, Lubbock, Texas ..................... 200,000
5775A Glenridge Dr., N.E., Atlanta, Georgia .................. 100,000
4300 S. I-10 Service Rd. W., Suite 209, Metairie, Louisiana .. 250,000
Y rs 4Lo
J. BoyPresid t
,„ JBL:kar
rdrml
ISSUE DATE (MM/DD/YY)
11-21-85
PRODUCER
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS
j Albert A. Kaufman and Company
NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND,
P.O. Box 36710
EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
COMPANIES AFFORDING COVERAGE
Houston, Texas 77236
COMPANY
LETTER Zurich American Lloyds Ins. Co.
COMPANY
LETTER
INSURED
Zurich Insurance Company
COMPANY
Accounts Management Corporation
P.O. Box 4687
LETTER American Guarantee and Liability Co.'
COMPANY a
Houston, Texas 77210
LETTER United States Fire Insurance Company
COMPANY
LETTER
e
THIS IS TO CERTIFY THAT POLICIES OF INSURANCE LISTED BELOW HAVE
BEEN ISSUEDTO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED.
NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY
CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY
BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES
DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS, AND CONDI-
TIONS OF SUCH POLICIES.
Co
TR
TYPE OF INSURANCE
POLICY NUMBER
DATEYMMIIDDDTNY)
DATEY(MM/DDTION NY)
LIABILITY LIMITS IN THOUSANDS
EACH
OCCURRENCE
AGGREGATE
GENERAL
LIABILITY
BODILY
$
$
X
A
COMPREHENSIVE FORM
TMP303882201
5-10-85
5-10-86
INJURY
X
PROPERTY
$
$
PREMISES/OPERATIONS
UNDERGROUND
EXPLOSION & COLLAPSE HAZARD
DAMAGE
PRODUCTS/COMPLETED OPERATIONS
CONTRACTUAL
COMBINED
$ 500
$ 500
X
INDEPENDENT CONTRACTORS
BROAD FORM PROPERTY DAMAGE
PERSONAL INJURY
PERSONAL INJURY
$
AUTOMOBILE
LIABILITY
BODILY
I
$
X
C
ANY AUTO
AL305244801
5-10-85
5-10-86
(P�ER PERSON}
X
BODILY
ALL OWNED AUTOS (PRIV. PASS.)
X
1
ALL OWNED AUTOS (OTHERTHAN)
INJURY
(PER ACCIDENT)PR
$
X
HIRED AUTOS
PROPERTY
$
X1
NON -OWNED AUTOS
DAMAGE
BI & PD
COMBINED
$500
GARAGE LIABILITY
EXCESS LIABILITY
m
D
UMBRELLA FORM
5234398209
6-10-85
5-10-86
COMB NED
$5,n00,
$ 5,000,
OTHER THAN UMBRELLA FORM
®
�r� s
STATUTORY°
WORKERS' COMPENSATION
B
WC305244701
5-10-85
5-10-86
$ 100 (EACH ACCIDENT)
AND
(DISEASE -POLICY LIMIT)
EMPLOYERS' LIABILITY
$ 100 (DISEASE -EACH EMPLOYEE)
OTHER
Employee Dishonesty &
A
3-D Bond
TMP303882201
5-10-85
5-10-86
Depositors Forgery
DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/SPECIAL ITEMS
Mr. Robert Massingale SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EX-
PIRATION DATE THEREOF, THE ISSUING COMPANY WILL ENDEAVOR TO
g
S' MAIL WRI OTICE TO THE CERT ATE HOLDER NAMED TO THE
Director of Finance LEFT, FAILURE O IL CH NOTICE SHALL 1 OSE NO OBLIGATION OR LIABILITY
P.O. BOX 2000 OF AN KIND UP T MPANY, ITS A OR REPRESENTATIVES.
s
Lubbock, Texas 79408 AUTHO ED S T
Albe A. Kaufman and omp ny
o•� e•e •••e• e
i
ENDORSEMENT 11
To be attached to and form part of policy no. TMP 30-38-22-01
Issued to Accounts Management Corporation of Texas, et. al.
.a IT IS AGREED THAT:
1. The policy also applies to any direct loss which any person, firm,
corporation, or association, for which the professional services
of the Insured have been engaged, shall sustain of Money, Securities,
or other property belonging to such person, firm, corporation or
° —association, or for which such person-;- fi t-m, corporation or - - -
association in any capacity whether legally liable therefore or not,
through any fraudulent or dishonest act or acts committed by any
one or more of the employees as defined in Section 3, acting alone
or in collusion with others during the period of the performance
of such professional services and while the policy is in force as
°^ to the employee or employees causing such loss.
2. Liability under the policy, and the policy as extended by this
R., endorsement, shall not exceed the Total Limit of Liability stated in
the Declarations, subject nevertheless to Section II.
3. There shall be no liability under the policy as extended by this
endorsenent except for the loss of Money, Securities and other
property through the fraudulent or dishonest misapplication,
misappropriation or conversion thereof by any employee, to his own
use or otherwise, acting alone or in collusion with others.
4. This endorsement'is effective as of 12:01 a.m. on May 10,1985 standard
time as specified in the policy.
Zurich American Lloyds Insurance Co.