09-30-24
In processing our quarterly bad-debt write-offs, Blue Earth County is wondering if there are any additional collection measures we can be taking for these outstanding debts before they reach the Statute of Limitations when we can no longer collect? We currently utilize Revenue Recapture when we have a SSN available, and we have explored the use of collection agencies. Are Counties utilizing any other successful collection methods for these difficult balances?
Shayne Johnson | HUMAN SERVICES SUPERVISOR
Blue Earth
County
Human Services
Desk:
507-304-4407 | Main Line: 507-304-4222
410 S 5th
Street | PO Box 3526 | Mankato, MN
We use revenue recapture (RR) and I have put judgments on people. Not saying that it is making people pay, but at least we don't have an SOL on RR debts. I have issues finding people. We are not looking at collection agencies. I contacted other counties and no one had anything good to say. Good luck!
ReplyDeleteThank you! I appreciate your response!
ReplyDeleteOlmsted County uses both revenue recapture and a collection agency to collect debts. We collect on average $30,000 per year from the collection agency and pay roughly $10,000 in fees back to them depending on the case. (22.50-38%) We net roughly $20,000 per year from the collections agency.
ReplyDeleteWatonwan County uses Revenue Recapture. I put judgments on people which allows the debt to stay on RR longer and if they are working I will then garnish wages.
ReplyDeleteWe recently added Lexis Nexis and can now find client's correct information, such as SSN; this helps us put clients on RR when we didn't have good information. We have been very successful once their taxes are intercepted to get client's on a repayment plan and the outstanding debts paid off. We also use garnishments and JOL. We do not use an outside agency.
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