THE CORPORATION OF THE CITY OF WINDSOR

POLICY

Primary Owner:	Finance–Taxation & Financial	Policy No.:	CS.A4.07
	Projects	Approval Date:	TBD
Secondary Owner:	Accounting Services	Approved By:	TBD
Subject:	ACCOUNTS RECEIVABLE (AR)	Effective Date:	IMMEDIATE
	COLLECTIONS	Procedure Ref.:	n/a
Review Date:	TBD	Pages: 6	Date: TBD
Prepared By:	Ari Varsa, Jocelyn De Luna	Replaces: Jan 21, 2013 (M20-2013)

1. PURPOSE

• 1.1. To establish a reporting structure governing collection activities that enhances the integrity of the collection process and safeguards Corporate assets.

• 1.2. Establish guidelines and control requirements for:

  • 1.2.1. Consumer and commercial reporting parameters governing usage and observance of the Ontario Consumer Reporting Act.

  • 1.2.2. Collection agency assignment.

  • 1.2.3. Returned cheques / items.

  • 1.2.4. Write-off approvals.

  • 1.2.5. AR adjustment approvals including the waiving of interest, late penalties, overdue charges, cancellations and administrative fees.

  • 1.2.6. Refunds

  • 1.2.7. Legal assignment for both small and large claims.

• 1.3. To ensure the regular review and follow up of all outstanding accounts receivable.

• 1.4. To establish procedures for the benchmarking and monitoring of the collection process as a measurement of performance.

2. SCOPE

• 2.1. This policy applies to all City of Windsor Finance employees engaged in the collection of accounts receivable or other unsecured debt as assigned, excluding municipal property taxes.

• 2.2. This Policy also applies to City of Windsor Departments that collect accounts receivable utilizing operating systems that includes: PeopleSoft, Amanda, Med-e-Care, ACTIVE Net, etc.

3. RESPONSIBILITY

3.1. City Council is responsible to:

3.1.1. Approve all non-collectable accounts receivable write-offs of the Corporation over

3.1.2.

Approve the initiation of legal proceedings for the purposes of collecting accounts receivable over $150,000, where considered appropriate.

3.1.3. Approve AR adjustment of amounts in excess of $150,000 per invoice.

3.2. The Chief Administrative Officer (CAO) is responsible to:

3.2.1. Approve all non-collectable accounts receivable write-offs up to $150,000 plus any related interest or penalties on a per account basis.

3.1.1. Approve all non-collectable accounts receivable write-offs of the Corporation over

3.2.1. Approve all non-collectable accounts receivable write-offs up to $150,000 plus any related interest or penalties on a per account basis.