Title
Collections - Parking & Municipal Violation Tickets - Approval
History
In 2011, the Village entered into a five (5) year agreement with Municipal Collections of America (MCOA) for collection of outstanding parking and municipal violations. This agreement expires June 30, 2016. MCOA has provided exceptional service and Staff recommends that the Village Board authorize extending the term of this agreement an additional five (5) years.
Since 2011 MCOA has assisted the Village with collecting approximately $110,000 in outstanding ordinance violation fines and $992,000 in outstanding parking violation fines. For each dollar collected, 65% was remitted to the Village and recorded as revenue and 35% was retained by MCOA. Per a Board approved Ordinance, effective January 1, 2016, the cost of collections (including debt recovery fees) is added to the original fine amount, enabling the Village to collect 100% of the outstanding fine amount. MCOA also provided assistance with the set up and implementation of the Village's participation in the State of Illinois Debt Recovery Program.
On June 6, 2016, this item was reviewed by the Finance Committee, recommended for approval and referred to the Village Board of Trustees for consideration.
Financial Impact
MCOA collection efforts will assist the Village in maximizing its municipal and parking violation revenues.
Recommended Action/Motion
I move to approve extending the agreement with Municipal Collections of America, Inc. for the collection of past due parking and municipal violation tickets for one (1) year, with the option to renew for four (4) additional one (1) year terms.