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HomeMy WebLinkAbout~Master - 28E Agreement with Story County and Memorandum of Understanding with Iowa Department of Revenue for Parking Ticket and Accounts Receivable Collections RESOLUTION NO. 24-025 RESOLUTION APPROVING 28E AGREEMENT WITH STORY COUNTY AND AGREEMENT WITH THE STATE OF IOWA FOR PARKING TICKET AND ACCOUNTS RECEIVABLE COLLECTIONS FOR THE CITY OF AMES,IOWA WHEREAS, the City of Ames has historically relied on three methods to collect past-due parking tickets and outstanding utility bills: contracting with a collection agency for parking tickets, contracting with a separate collection agency for utility bills, and internal account collection efforts; and, WHEREAS, staff identified an opportunity to collaborate with the Story County Treasurer and the Iowa Department of Transportation to enhance the collection of unpaid parking citations. This partnership aligns with Iowa Code Section 331.553(8) provisions, which allows counties to enter into agreements,as outlined in Iowa Code Chapter 28E,wherein the County Treasurer agrees to withhold the issuance and renewal of vehicle registration until outstanding tickets are paid. The Story County Treasurer has expressed its willingness to provide this service at no cost to the City for tickets issued from January 1, 2022, onward,pending approval of a 28E agreement; and, WHEREAS,the Iowa Department of Revenue also offers another collection method for all past-due accounts through its"Setoff Program."This program allows Public Agencies in the State of Iowa to collect delinquent debts through tax refunds, casino and sports wagering winnings, State-issued vendor payments, and Iowa Lottery winnings.As part of the program,the state remits all collected debt to the city minus a $7.00 fee. The state requires a minimum debt of$50 per obligor for submission to the program.This popular program is utilized by many cities and counties across the state through the approval of a memorandum of understanding (MOU) with the Iowa Department of Revenue. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the 28E Agreement to be presented to Story County for Board of Supervisors approval, the Memorandum of Understanding (MOU)with the Iowa Department of Revenue for the purpose of participating in the state's "Setoff Program," and authorization of staff to begin utilizing the programs to collect past-due accounts are hereby approved. ADOPTED THIS 23rd day of January, 2024. Renee hall, City Clerk John A. Haila, Mayor Introduced by: Junck Seconded by: Beatty-Hansen Voting aye: Beatty-Hansen, Betcher, Corrieri, Gartin, Junck, Rollins Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 23rd day of January, 2024.