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HomeMy WebLinkAboutMC-1330 Adopted: August 2, 2010 Effective: September 2, 2010 1 ORDINANCE NO. MC-1330 2 3 AN ORDINANCE OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA ADDING CHAPTER 2.73 TO THE SAN BERNARDINO 4 MUNICIPAL CODE REGARDING COLLECTION OF DEBTS 5 WHEREAS, the San Bernardino Municipal Code in some places explicitly and in other places implicitly sets forth authorization for, and the manner of, collection of debt by 6 the departments of the City; and 7 WHEREAS, the Mayor and Common Council hereby find that it is a benefit to the citizens of the City of San Bernardino that there be a general rule granting the authority 8 and approving the manner of collection of debt by the departments of the City; and 9 WHEREAS, it is not intended hereby that any existing regulation regarding collection of debt shall be superseded, but that existing regulations are continued and 10 supplemented as appropriate; and 11 WHEREAS, the Mayor and Common Council further find that the citizens of the City of San Bernardino are benefitted when the departments of the City have access to 12 the full range of options for efficient and effective collection of debts; and, 13 WHEREAS, California Government Code Section 16585 provides that a city, county, or city and county may sell or transfer part or all of its accounts receivable to a 14 private debt collector or private persons or entities subject to the conditions provided in that section; and, 15 WHEREAS, the City Attorney, the City Clerk, the City Manager, and the Finance 16 Director each has some current level of authority and responsibility respecting the implementation of procedures to compel the payment of debts owed to the City. 17 NOW THEREFORE, THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN 18 BERNARDINO DO ORDAIN AS FOLLOWS: 19 Section 1. Chapter 2.73 is added to Title 2 of the San Bernardino Municipal Code to 20 read as follows: 21 Chapter 2.73 COLLECTION OF DEBTS 22 2.73.010 Definitions. 2.73.020 Manner of Collection - General 23 2.73.030 Manner of Collection - Collection Agency 24 25 2.73.010 Definitions "Debt owing to the City" (sometimes referred to as "account" or "accounts") shall mean the 26 amount of any unpaid judgment, fee, charge, fine, penalty, tax, assessment, or other sum of any nature whatsoever, imposed on a person other than the City of San Bernardino 27 pursuant to any provision of this Municipal Code. The term includes all amounts 28 Page I MC-1330 1 AN ORDINANCE OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA ADDING CHAPTER 2.73 TO THE SAN BERNARDINO 2 MUNICIPAL CODE REGARDING COLLECTION OF DEBTS 3 encompassed in the foregoing notwithstanding the separate or additional classification of 4 such amount that may be set forth in the applicable provision of the municipal code. The term includes all interest, accruals, administrative fees, fees including attorney's fees, 5 penalties, and/or costs of collection associated with the original amount. 6 2.73.020 Manner of Collection - General. 7 A. Any Debt owing to the City is subject to recovery using any procedure for debt collection permitted by law. 8 B. The procedures set forth in this chapter are in addition to and not in derogation 9 of any other provision for collection of a Debt owing to the City. IO 2.73.030 Manner of Collection - Collection Agency 11 A. The City Manager may, with the approval of the Mayor and Common Council contract for the services of a collection agency to recover amounts due as a Debt owing to 12 the City. If the election is made to use a collection agency, such use shall be consistent with the provisions set forth herein. The City Manager may delegate this authority among the 13 departments of the City as he/she may deem appropriate. 14 B. Employment of a collection agency shall not include the services of a licensed attorney and shall not include participation in any court proceeding by the collection agency 15 on behalf of the City except with the prior written approval of the City Attorney. 16 C. Prior to transfer of the accountto a collection agency, the City Manager or his/her designee shall notify the debtor in writing, at the address of record, that the alleged Debt 17 owing to the City will be turned over for private collection unless the account is paid or appealed within a designated time period. 18 D. Assignment or other legal transfer of the rights in an account to the collection 19 agency may be made with the prior approval of the City Attorney. 20 E. No Debt owing to the City shall be transferred to a collection agency ifthe account has been contested. 21 F. No contract with a collection agency for the collection of Debt owing to the City 22 shall take effect unless and until there are written policies and procedures for the internal processing of such amounts. 23 24 25 26 27 28 Page 2 MC-1330 1 2 AN ORDINANCE OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, CALIFORNIA ADDING CHAPTER 2.73 TO THE SAN BERNARDINO 3 MUNICIPAL CODE REGARDING COLLECTION OF DEBTS 4 I HEREBY CERTIFY that the foregoing Ordinance was duly adopted by the Mayor 5 and Common Council of the City of San Bernardino at ari~~~~r meeting thereof, held on the 2nd 6 _ day of August ,2010, by the following vote, to wit: 7 8 COUNCIL MEMBERS: AYES NAYS ABSTAIN ABSENT 9 MARQUEZ -----L- 10 DEJARDINS -----X- 11 BRINKER -----X- 12 SHORETT -----X- 13 KELLEY ----L- 14 JOHNSON ----L- 15 MC CAMMACK X 16 17 18 19 Q,~ City lerk The foregoing Ordinance is hereby approved this3~ay of August h~ ,2010. 20 21 Approved as to form: 22 JAMES F. PENMAN City Attorney 23 ~ t.PP~ 24 () 25 26 27 28 Page 3