Subject:
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Eligible write-offs for accounting purposes - Fiscal Year 2024.
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Recommended Action:
Recommended Action
Approval of eligible write-offs for accounting purposes - Fiscal Year 2024.
• Write-offs for approval were eligible as of September 30, 2024.
• Total eligible write-offs are from multiple funds and departments under the County Administrator and collectively total $4,410,567.32. Of this amount, $4,239,157.66, or 96.1%, are for Emergency Medical Services charges under Safety and Emergency Services, generally for medical transport services. Other departments include Airport ($6,227.00), Animal Services ($41.00), Building Development Review Services ($168.20), Business Technology Services ($118.76), Department of Administrative Services ($1,746.26), Emergency Management ($17.90), Human Resources ($7,406.86), Public Works ($20,000.02), and Utilities ($135,683.66).
• Staff in the various departments will continue to take steps to collect this debt, even after it is written off the County’s books. Approval of eligible write-offs is for accounting purposes and does not eliminate the uncollectable debt.
• Resolution 24-29 (RES 24-29) provides authority for eligible write-offs to be approved for accounting purposes by the Board of County Commissioners.
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Strategic Plan:
Deliver First Class Services to the Public and Our Customers
5.2 Be responsible stewards of the public’s resources.
Summary:
Summary
In accordance with RES 24-29 (attached), attached are requests which reflect the eligible write-offs for accounting purposes as of September 30, 2024. Each write-off item was reviewed by the County Write-Off Coordinator for compliance with all provisions of the policy. As required, a sampling of transactions was selected and reviewed by the County’s selected auditor (Clerk of the Circuit Court and Comptroller, Division of the Inspector General), and the findings report is attached.
Of the total $4,410,567.32 proposed to be written off for FY24, $4,239,157.66, or 96.1%, are for Emergency Medical Services (EMS) charges under Safety and Emergency Services. Other departments include Airport ($6,227), Animal Services ($41.00), Building Development Review Services ($168.20), Business Technology Services ($118.76), Department of Administrative Services ($1,746.26), Emergency Management ($17.90), Human Resources ($7,406.86), Public Works ($20,000.02), and Utilities ($135,683.66).
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Background Information:
On April 5, 2005, the Board of County Commissioners (Board) approved RES-05-61, which established a Uniform Write-Off Policy for Accounting Purposes. On May 21, 2024, the Board adopted amendments to this policy in RES-24-29. The policy delegates authority to the County Administrator to write off those claims not exceeding $10,000, where upon consultation with the County Attorney, it appears that the legal basis for recovery is not certain, or under the circumstances of the case, there are insufficient assets to pay the claim, and due to the legal situation, there will not be sufficient assets to pay the amount owed in the future. Claims over $10,000 require Board approval.
In accordance with RES 24-29 (attached), attached are requests which reflect the eligible write-offs for accounting purposes as of September 30, 2024. Each write-off item was reviewed by the County Write-Off Coordinator for compliance with all provisions of the policy. As required, a sampling of transactions was selected and reviewed by the County’s selected auditor (Clerk of the Circuit Court and Comptroller, Division of the Inspector General), and the findings report is attached.
Due to Public Works having a single write-off exceeding RES-24-29’s $10,000 threshold, Board approval is required. Total eligible write-offs are from multiple funds and departments under the County Administrator and collectively total $4,410,567.32 as of September 30, 2024. Approval of eligible write-offs is for accounting purposes only and does not eliminate or forgive the uncollectable debt.
The following County Administrator Departments have submitted requests:
-Airport: $6,227 for various fees with Allegiant Air, LLC and RJ Flight.
-Animal Services: $41.00 for various adoption and license fees.
-Building and Development Review Services: $168.20 for permit fees.
-Business Technology Services: $118.76 for various telephone fees.
-Department of Administrative Services: $1,746.26 for repair fees billed to the City of Oldsmar that have been unpaid following a water pump repair of the City asset.
-Emergency Management: $17.90 for unpaid invoices.
-Human Resources: $7,406.86 for retiree benefits that were generally unpaid due to cancellation and/or death.
-Public Works: $20,000.02 primarily for a $20,000 water quality monitoring charge that has been unpaid by the Florida Department of Transportation (FDOT).
-Safety and Emergency Services: $4,239,157.66 for various Emergency Medical Services (EMS) transport charges and fees. Of the total $4,410,567.32 proposed to be written off for FY24, this department makes up 96.1% of all write-offs. All EMS items where collections are capped by Federal regulations ($919,253.77) are classified as contractual credits instead of write-offs because Federal regulations prohibit collecting anything above these amounts. $2,935,745.50 are uncollectable due to legal proceedings where a court as ordered no additional funds will be paid or are available for payment on these accounts. $315,709.25 is uncollectable due to a person joining the Sunstar Membership, insurance being billed, and any remaining balance being written-off. $55,302.23 is related to COVID-19 transports and is uncollectable as a condition of accepting the CARES Act stimulus payment from Health and Human Services (HHS). The remaining total, $13,148.96 is for items less than $15.00 that have remained uncollectable.
-Utilities: $135,683.66 for various charges including $75,849.50 for water, $55,521.11 for sewer, $2,533.40 for reclaimed, $489.12 for backflow, $937.83 for MUSF, and $352.70 for other/miscellaneous. The reasons uncollectable include delinquent final bills, uncollectable charges billed by other governments, bankruptcy, and statutory restrictions.
Fiscal Impact:
There is no fiscal impact associated with write-off approval.
The write-offs do not forgive the debtor of their obligation but move the item off the County’s balance sheet for accounting purposes only. These items do not impact actual revenues or expenditures. Total amount to be written off as of September 30, 2024, is $4,4410,567.32.
Staff Member Responsible:
Shane Kunze, Financial Management & Budget Analyst, Office of Management and Budget (County Write-Off Agenda Coordinator)
Chris Rose, Director, Office of Management and Budget
Partners:
Pinellas County Clerk of the Circuit Court and Comptroller, Division of the Inspector General
Attachments:
Management Rep Letter
Summary of Eligible Write-Offs for Accounting Purposes
Department Request Forms
Resolution 24-29