The following shall constitute the bad debt/uncollectible account receivable write-off policies and procedures for the town, namely:
(A) In the event that accounts receivable under this section, as amended from time to time, are not paid within the time fixed by the Town of Avilla (hereafter "the town") or a town agency or department, the same shall be deemed delinquent. A penalty of 10% of the amount of the account receivable shall attach as delinquent fees, except in the case of electric utility accounts receivable a delinquent fee of $15 shall attach.
(B) As used herein, the term "final account" shall have the following meaning: a delinquent account receivable for which the town or town agency or department has reasonably and diligently attempted collection, but in which such collection remains unsuccessful.
(C) The town or town agency or department shall prepare a semi-annual schedule of final accounts. The semi-annual schedule shall consist of the following:
(1) All final accounts which are at least 120 days delinquent; and
(2) Which the town or town agency or department has determined to be uncollectible.
(D) The town or town agency or department shall generate a statement setting forth the efforts that have been made to collect final accounts and a statement that such efforts have been unsuccessful.
(E) The town or town agency or department shall produce a statement, including the reasons therefore, that the town or town agency or department believes is economically not feasible to pursue collection measures for the specified final account.
(F) The semi-annual schedule described in division (C) hereinabove, the statement described in division (D) hereinabove, and the statement described in division (E) hereinabove, shall be submitted to the Town Council, which by resolution may declare said accounts listed as uncollectible and may authorize the town or town agency or department to cease further collection procedures and expense the amounts outstanding on the accounts as bad debts.
(G) The town or the town agency or department may attempt to recover the amount of the bad debt in a civil action against the debtor.
(Ord. 1424-12-03, passed 12-10-2003)