23CITY OF SOUTH MIAMI
OFFICE OF THE CITY MANAGER
INTER - OFFICE MEMORANDUM
To: The Honorable Mayor & Members of the City Comm
Via: Hector Mirabile, PhD, City Manager
From: Alfredo Riverol, CPA, CrFA, Chief Financial Officer
South Miami
All-AmelicaCity
1' I f' ®i
2001
Date: December 15th, 2010 Agenda Item No.:
A Resolution of the Mayor and City Commission of the City of South Miami,
Florida, authorizing the City Manager to execute an attached agreement with
the firm of Gila, LLC d /b /a/ Municipal Services Bureau (MSB) providing debt
collection services for a fee constituting twenty -two percent (22 %) of the
Subject: principal amount owed to the City and collecting said fee in addition to the
whole of said principal as part of the total payment due from the debtor. This
agreement shall be for the duration of an initial one (1) year period with four (4)
one (1) year option to renew periods for a possible total term of five (5) years,
and providing an effective date.
The City currently holds Accounts Receivable (AR) Balances of $67,415.15 for Storm Water
and $66,037.00 for Excess Trash for a total AR Balance of $133,452.15. The City desires to
make current these outstanding delinquent accounts, but does not have an agreement for debt
collection services, nor do its past records reflect one. In furtherance of the same, the City is
requesting execution of a Cooperative Purchasing Agreement with MSB based on the terns
and conditions of City of Palm Bay, Florida, Request for Proposals (RFP) Contract No. 32-0 -
2010SB for Citywide Debt Collection Services. In response to said request, MSB has agreed
Background: to provide the City with the same pricing, terms and conditions as currently received by the
City of Palm Bay. MSB would provide the requested debt collection services for a fee
constituting twenty -two pereent.(22 %) of the principal amount owed to the City and would
collect said fee in addition to the whole of said principal as part of the total payment due from
the debtor. The agreement with MSB would be for the duration of an initial one (1) year
period with four (4) one (1) year option to renew periods for a possible total term of five (5)
years. It is noteworthy that in previous years the City has used what is a "passive" collections
approach for unpaid balances, only requesting payment for the same during lien searches. In
turn, the proposed approach herein would provide the City a more "active" collections
process and would allow it a more effective address of this outstanding debt.
Account: N /A.
Expense: $0.00
Attachments: Resolution, Agreement and Background Information.
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
RESOLUTION NO.
A Resolution of the Mayor and City Commission of the City of South Miami,
Florida, authorizing the City Manager to execute an attached agreement with the
firm of Gila, LLC d /b /a/ Municipal Services Bureau (MSB) providing debt
collection services for a fee constituting twenty-two percent (22 %) of the principal
amount owed to the City and collecting said fee in addition to the whole of said
principal as part of the total payment due from the debtor. This agreement shall
be for the duration of an initial one (1) year period with four (4) one (1) year
option to renew periods for a possible total term of five (5) years, and providing an
effective date.
WHEREAS, the City desires to make current its outstanding delinquent accounts and
requires use of a debt collection service; and
WHEREAS, the City is requesting execution of a Cooperative Purchasing Agreement with
MSB based on the terms and conditions of City of Palm Bay, Florida, Request for Proposals (RFP)
Contract No. 32- 0- 2010SB, Citywide Debt Collection Services; and
WHEREAS, MSB has agreed to provide the City with the same pricing, terms and
conditions as currently received by the City of Palm Bay.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA;
Section 1. That the City Commission hereby authorizes the City Manager to execute an
agreement with the firm of Gila, LLC d/b /a/ Municipal Services Bureau (MSB) for provision of debt
collection services for a fee constituting twenty -two percent (22 1/6) of the principal amount owed to
the City and collecting said fee in addition to the whole of said principal as part of the total payment
due from the debtor. This agreement shall have a duration of an initial one (1) year period and four
(4) one (1) year option to renew periods for a possible total tern of five years.
Section 2. This resolution shall take effect immediately upon adoption.
PASSED AND ADOPTED this day of 2011.
ATTEST:
CITY CLERK
READ AND APPROVED AS TO FORM
AND SUFFICIENCY:
CITY ATTORNEY
_60c• _I
MAYOR
COMMISSION VOTE:
Mayor Stoddard:
Vice Mayor Newman:
Commissioner Palmer:
Commissioner Beasley:
Commissioner Harris:
COLLECTION SERVICES AGREEMENT
This Agreement is made and entered into this day of January 2011 (the "Effective
Date "), by and between Gila, LLC d /b /a Municipal Services Bureau, a Texas limited liability
company (hereinafter, "MSS ") with its principal place of business at 6505 Airport Blvd., Suite
100, Austin, Texas 78752, and the City of South Miami, Florida (hereinafter, the "City ")(the
City and MSB are sometimes referred to herein as the "Parties "), who agree as follows:
GENERAL IDENTIFICATION OF SERVICES
The following documents are made an integral part of this Agreement
1. Specifications prepared by the City of Palm Bay in its Request for Proposal No. 32-0 -
2010SB, Citywide Debt Collections Services.
2. Proposal Submitted for City of Palm Bay prepared by MSB dated May 10, 2010.
In the event the foregoing are contradictory or are otherwise in conflict with the terms of this
Agreement, the terms of this Agreement shall control the duties and obligations of the Parties.
I1. DUTIES AND RESPONSIBILITIES.
A. Debtor Contact. MSB will mail notices, telephone and/or otherwise contact those
individuals or entities (as referred to herein, the "Debtor ") who the City has identified to MSB as
having outstanding and unpaid fees, obligations, fines or similar items payable to the City.
MSB's contacts with Debtors will be to attempt to notify Debtors of their obligation(s) to the
City. The purpose of the contact is to offer Debtors the opportunity to resolve their obligation(s)
voluntarily before the City contemplates further action, if any. With respect to each account
referred to MSB by the City, the City, to the extent available, will provide to MSB the name and
last known address of the Debtor, all information regarding the date(s) of the obligation(s), and
the amount of any such obligation(s) for which the City is owed monies by the Debtor. The City,
to the extent available, will also supply MSB with any other information about each Debtor such
as driver's license number, social security number and /or telephone number. When appropriate
and at its sole discretion, MSB may attempt to locate Debtors when the last known address or
other information provided by the City is invalid. The information supplied to MSB by the City
must be in a format acceptable to MSB.
B. Correct Information. MSB will rely completely on the City to provide correct
information about each Debtor's existing case(s) and, specifically, about any dollar amount in
question. The City will immediately update and correct any information it has provided to MSB.
In particular, the City will immediately notify MSB of any payment or other satisfaction of
indebtedness made directly to the City or any other action affecting the amount or timing of
monies owed by any Debtor to the City, including the receipt or notification of any Debtor's
retention of counsel or the filing or suggestion of bankruptcy by any Debtor.
COLLECTION SERVICES AGREEMENT PAGE I
C. Accounts Returned. The City will allow MSB a minimum of 365 days to contact
a Debtor about his account. This time period will begin with the first day of the following
month in which the account was referred to MSB. During this 365 day period, the City agrees
not to contact Debtors or otherwise attempt to collect monies for those Debtors whose accounts
have been referred to MSB, though nothing contained herein shall limit or otherwise restrict the
City's ability to accept monies forwarded or otherwise directly paid by any Debtor to the City.
Upon written request by the City, MSB will cease contacting a Debtor whose account remains
outstanding at the time of the written request. Upon written request by the City, MSB will return
any Debtor's account to the City.
D. Debtors Referred to the City. In the event MSB receives a request from a Debtor
to resolve their obligation in a method other than by payment (i.e., a notification of bankruptcy
or other extenuating circumstances), MSB will refer those Debtors who wish to resolve their
obligation with the City other than by payment to the person designated by the City to respond to
the Debtor's request.
E. Valid Debts. The City agrees that Debtor accounts placed with MSB for
collection will be valid and legally enforceable debts and not disputed or subject to any
bankruptcy proceeding unless otherwise disclosed in writing to MSB by the City.
F. Legal Action/Credit Bureaus. The City authorizes MSB to report delinquent
accounts to the major credit bureaus unless an account is excluded from reporting by the City.
MSB shall not report accounts to the credit bureaus until the account has been worked for 60
days. In no event shall MSB be required to bring any suit for the collection of any uncollected
amounts. Should the City and MSB mutually agree that prosecution of a lawsuit is the proper
course of action against a Debtor to effect collection, MSB shall request written authorization
from the City before proceeding and the parties shall agree in writing as to how the prosecution
of the lawsuit will be effectuated.
III. COMMISSIONS ON MONIES COLLECTED
A. Basic Commission Rate. MSB will add a collection fee to the principal amount
due of twenty -two percent (22 %) for collection services. The City authorizes MSB to add the
collection fee to the principal amount due and owing to the City. On all amounts of monies
collected and /or received for accounts after the date the account is referred to MSB by the City,
regardless of whether payment is accepted directly by the City or accepted by MSB on the City's
behalf, MSB shall be entitled to retain said collection fee.
B. By way of a primary collection example, after a Debtor's account is referred to
MSB, if $100.00 is the amount due the City on that account, MSB will add $22 for a total
balance due of $122. In this example, after deduction of MSB's $22 fee, the amount due to the
City will be $100.00. Partial payments will be pro -rated for fee payments to MSS.
C. Notification of Collections. MSB will notify the City, in a mutually agreed -to
format, weekly of any monies it receives from Debtors towards payments of obligations due and
owing to the City. By the fifteenth of each month, MSB will provide detailed reporting to the
City to identify all accounts known to be resolved during the prior month. All payments
COLLECTION SERVICES AGREEMENT PAGE 2
received by MSB on behalf of the City, less MSB's fees, are to be remitted to the City on a
weekly basis, via an electronic deposit to the City's account. MSB makes no warranties or
representations, expressed or implied, about the amount of funds that will be collected and MSB
shall have no liability for any amounts uncollected. The only liability of MSB will be to forward
funds collected to the City. The City authorizes MSB to endorse negotiable instruments made
payable to the City and provided to MSB for payment of monies collected.
D. For funds collected directly by the City on Debtor accounts referred to MSB,
the City will notify MSB as soon as possible, but not less than weekly, and MSB will invoice the
City for the commission due to MSB. The City agrees to review the invoice and forward
payment to MSB within 30 days of receipt of the invoice. Should a payment of commission due
under this Agreement not be made to MSB within 45 days after the City's receipt of MSB's
invoice and the City fails to provide a written dispute as to any one particular account or the
amount due and owing under the invoice, MSB shall be entitled to immediately offset any
amount due and then owing to MSB from monies due to be forwarded to the City to satisfy any
outstanding amount then due and owing to MSB.
IV. TERM AND TERMINATION
This Agreement is for a one (1) year term to begin upon Effective Date. The Agreement
may be extended for up to four (4) one year renewal periods upon mutual agreement of the
parties, up to a cumulative total of five (5) years.
This Agreement will commence on its Effective Date and will remain in full force and
effect until terminated by either party to other, with sixty (60) days prior written notice, at the
address set forth herein. In the event this Agreement is terminated, any case information then
held by MSB will be returned to the City within thirty (30) days of the termination date.
Payment for services or goods received prior to termination date shall be made by the City
provided these goods or services were provided in a manner acceptable to the City. Payment for
those goods and services shall not be unreasonably withheld.
V. OTHER PROVISIONS.
A. Indemnification. Indemnification by MSB. To the extent permitted by applicable
law, MSB will indemnify and hold harmless the City from and against any and all losses, injury,
damages, liability, claims, suits, actions, proceedings, and expenses (including attorneys' fees)
resulting from actions performed by MSB or its agents on MSB's behalf in connection with this
Agreement. This indemnity will survive the expiration or termination of this Agreement.
B. Limitation of Liability: The City desires to enter into this Agreement only if in so
doing the City can place a limit on the City's liability for any cause of action arising out of this
Agreement, so that the City's liability for any breach never exceeds the sum of $100.00 For
other and additional good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, MSB expresses its willingness to enter into this Agreement with the
knowledge that the MSB's recovery from the City to any action or claim arising from the
Agreement is limited to a maximum amount of $100.00 less the amount of all funds actually
COLLECTION SERVICES AGREEMENT' PAGE 3
paid by the City to MSB pursuant to this Agreement. Accordingly, and notwithstanding any
other term or condition of this Agreement that may suggest otherwise, MSB agrees that the City
shall not be liable to MSB for damages in an amount in excess of $100.00 which amount shall be
reduced by the amount actually paid by the City to MSB pursuant to this Agreement, for any
action or claim arising out of this Agreement. Nothing contained in this paragraph or elsewhere
in this Agreement is in any manner intended either to be a waiver of the limitation placed upon
the City's liability as set forth in Section 768.28, Florida Statutes, or to extend the City's liability
beyond the limits established in said Section; and no claim or award against the City shall
include attorney fees, investigative costs, expert fees, suit costs or pre judgment interest.
C. Applicable Law. This Agreement will be construed in accordance with the laws
of the State of Florida. Venue shall be in Miami Dade County, Florida. The
parties hereby waive a trial by jury.
D. Force Maieure. No party shall be liable for any failure to perform its obligations
in connection with any action described in this Agreement, if such failure results from any act of
God, riot, war, civil unrest, flood, earthquake, or other cause beyond such party's reasonable
control (including any mechanical, electronic, or communications failure, but excluding failure
caused by a party's financial condition or negligence).
E. Notices required or otherwise arising from this Agreement shall be sent the
following:
Notices to MSB:
Notices to the City:
Municipal Services Bureau
6505 Airport Blvd., Suite 100
Austin, Texas 78752
Attention: Bruce Cummings
City of South Miami
South Miami, FL —
Attention:
F Audit Rights: The City reserves the right to audit the records of MSB related to
this Agreement at any reasonable time during the prosecution of the work included herein and
for a period of three years after final payment is made. MSB agrees to provide copies of any
records necessary to substantiate payment requests to the City as may be requested by the City,
solely at the cost of reproduction.
G Non - Exclusive Agreement_
The parties acknowledge that this agreement is not an exclusive agreement and the City
may employ other consultants, professional or technical personnel to furnish services for the
City, as the City, in its sole discretion, finds is in the public interest.
COLLECTION SERVICES AGREEMENT PAGE 4
H independent Consultant:
MSB and its employees, agents, contractors and subcontractors shall be deemed to be
independent contractors and not City agents or employees. MSB, its employees or agents,
contractors and subcontractors shall not attain any rights or benefits under City's Personnel
Rules and Regulations or Pension Systems nor any rights generally afforded City's classified or
unclassified employees. MSB, its agents, employees, contractors or subcontractors shall not be
deemed entitled to the Florida Workers' Compensation benefits as a City employee.
IN WITNESS WHEREOF, the parties to this Agreement have signed and delivered this
Agreement on the day and year first above written.
GILA, LLC D/B /A MUNICIPAL SERVICES BUREAU:
Name: Bruce Cummings
Title: Chief Executive Officer
CITY OF SOUTH MIAMI, FLORIDA:
Title:
COLLECTION SERVICES AGREEMENT PAGE 5
Page 1 of 1
Velez, Pablo R
From: Riverol, Alfredo
Sent: Thursday, December 16, 2010 8:47 AM
To: Velez, Pablo R
Subject: Collections
The City currently holds an Accounts Receivable (AR) balance of $133,452.15. The total AR balance consists of
Stormwater, 67,415.15 and Excess Trash 66,037.00. The City currently does not have an agreement for debt
service, nor has had one in the past from what records can show. The City's past practice for collections
consisted of sending invoices at the required time and then waiting for payment. If payment was never received;
the City would wait for lien search, if ever requested, to collect any outstanding fees.
Alfredo Riverol, CPA Cr.FA
Chief Financial Officer
City of South Miami
6130 Sunset Drive
South Miami, FL 33143
o:305- 663 -6343
f: 305 -663 -6346
p: 305 -588 -1850
arive.rol @sopthm'ramifl. ov
www southm am ft-gov
12/16/2010
September 10, 2010
Mr. Bruce Cumming, CEO
MSB
6505 Airport Blvd, Suite 100
Austin, TX 78752
Mr. Gumming:
Per directions received from Jordan Freytag, please find two original copies of the Collections Service
Agreement between the City of Palm Bay and MSB for your execution. After execution, please return
one of the originals back to me.
Since I understand Jordan will be out fora while, please let me know who will be my contact person so
we can get started as soon as possible.
Sincerely,
Yvonne McDonald, CGFO, CTP
Finance Director
Enclosures (2)
COLLECTION SERVICES AGREEMENT
This Agreement is made and entered into this I o4'+ day of September 2010; by and
between Gila, LLC d/b /a Municipal Services Bureau, a Texas limited liability company
(hereinafter, "MSB ") with its principal place of business at 6505 Airport Blvd., Suite 100,
Austin; Texas 78752, and the City of Palm Bay, Florida (hereinafter, the "City "), who agree as
follows:
1. GENERAL IDENTIFICATION OF SERVICES
The following documents are made an integral part of this Agreement
1. Specifications prepared by the City in its Request for Proposal No. 32- 0- 2010SB,
Citywide Debt Collections Services.
2. Proposal Submitted for City prepared by MSB dated May 10, 2010.
II. DUTIES AND RESPONSIBILITIES.
A. Debtor Contact. MSB will mail notices, telephone and /or otherwise contact those
individuals or entities (as referred to herein, the "Debtor") who the City has identified to MSB as
having outstanding and unpaid fees, obligations, fines or similar items payable to the City.
MSB's contacts with Debtors will be to attempt to notify Debtors of their obligation(s) to the
City. The purpose of the contact is to offer Debtors the opportunity, to resolve their obligation(s)
voluntarily before the City contemplates further action, if any. with respect to each account
referred to MSB by the City, the City will provide to MSB the name and last known address of
the Debtor, all information regarding the date(s) of the obligation(s), and the amount of any such,
obligation(s) for which the City is owed monies by the Debtor. The City, to the extent available,
will also supply MSB with any other information about each Debtor such as driver's license
number; social security number and/or telephone number. When appropriate and at its sole
discretion, MSB may attempt to locate Debtors when the last known address or other information
provided by the City is invalid. The information supplied to MSB by the City must be in a
format acceptable to MS&
B. Correct Information. MSB will rely completely on the City to provide correct
information about each Debtor's existing case(s) and, specifically, about any dollar amount in
question. The City will immediately update and correct any information it has provided to MSB.
In particular, the City will immediately notify MSB of any payment or other satisfaction of
indebtedness made directly to the City or any other action affecting the amount or timing of
monies owed by any Debtor to the City, including the receipt or notification of any Debtor's
retention of counsel or the filing or suggestion of bankruptcy by any Debtor..
C. Accounts Returned. The City will allow MSB a minimum of 365 days to contact
a Debtor about his/her/its account. This time period will begin with the first day of the following
month in which the account was referred to MSB. During this 365 day period, the City agrees
not to contact Debtors or otherwise attempt to collect monies for those Debtors whose accounts
have been referred to MSB, though nothing contained herein shall limit or otherwise restrict the
City's ability to accept monies forwarded or otherwise directly paid by any Debtor to the City.
Upon written request by the City, MSB will cease contacting a Debtor whose account remains
outstanding at the time of the written request. Upon written request by the City, MSB will return
any Debtor's account to the City.
D. Debtors Referred to the City. In the event MSB receives a request from a Debtor
to resolve their obligation in a method other than by payment (i.e., a notification of bankruptcy
or other extenuating circumstances), MSB will refer those Debtors who wish to resolve their
obligation with the City other than by payment to the person designated by the City to respond to
the Debtor's request.
E. Valid Debts. The City agrees that Debtor accounts placed with MSB for
collection will be valid and legally enforceable debts and not disputed or subject to any
bankruptcy proceeding unless otherwise disclosed in writing to MSB by the City.
F. Legal Action/Credit Bureaus. The City authorizes MSB to report delinquent
accounts to the major credit bureaus unless an account is excluded from reporting by the City.
MSB shall not report accounts to the credit bureaus until the account has been worked for 60
days. In no event shall MSB be required to bring any suit for the collection of any uncollected
amounts. Should the City and MSB mutually agree that prosecution of a lawsuit is the proper
course of action against a Debtor to effect collection, MSB shall request written authorization
from the City before proceeding and the parties shall agree in writing as to how the prosecution
of the lawsuit will be effectuated.
III. COMMISSIONS ON MONIES COLLECTED.
A. Basic Commission Rate. MSB will add a collection fee to the principal amount
due of twenty -two percent (22 %) for primary collection services and thirty percent (30 %) for
secondary collection services. On all amounts of monies collected and/or received for accounts
after the date the account is referred to MSB by the City, regardless of whether payment is
accepted directly by the City or accepted by MSB on the City's behalf, MSB shall be entitled to
retain said collection fee.
B. By way of a primary collection example, after a Debtor's account is referred to
MSB, if $100.00 is the amount due the City on that account, MSB will add $22, for a total
balance due of $122. In this example, after deduction of MSB's $22 fee, the amount due to the
City will be $100.00. partial payments will be pro -rated for fee payments to MSB.
C. Notification of Collections. MSB will notify the City, in allmutually agreed -to
format, weekly of any monies it receives from Debtors towards payments of; obligations due and
owing to the City. By the fifteenth of each month, MSB will provide detailed reporting to the
City to identify all accounts known to be resolved during the prior month. All payments
received by MISB on behalf of the City, less MSB'S fees, are to be remitted to the City on a
weekly basis, via an electronic deposit to the City's account. MSB makes no warranties or
representations, expressed or implied, about the amount of funds that will be collected and MSB
shall have no liability for any amounts uncollected. The only liability of MSB will be to forward
funds collected to the City. The City authorizes MSB to endorse negotiable instruments made
payable to the City and provided to MSB for payment of monies collected.
D. For funds collected directly by the City on Debtor accounts referred to MSB,
the City will notify MSB as soon as possible, but not less than weekly, and MSB will invoice the
City for the commission due to MSB. The City agrees to review the invoice and forward
payment to MSB within 30 days of receipt of the invoice. Should a payment of commission due
under this Agreement not be made to MSB within 45 days after the City's receipt of MSB's
invoice and the City fails to provide a written dispute as to any one particular account or the
amount due and owing under the invoice, MSB shall be entitled to immediately offset any
amount due and then owing to MSB from monies due to be forwarded to the City to satisfy any
outstanding amount then due and owing to MSB.
IV. TERM AND TERMINATION.
This Agreement is for a one (1) year term to begin upon approval and execution by the
City and .MSB. The Agreement may be extended for up to four (4) one year renewal periods
upon mutual agreement of the parties, up to a cumulative total of five (5) years.
This Agreement will commence on its Effective Date and will remain in full force and
effect until terminated by either party to other, with sixty (60) days prior written notice, at the
address set forth herein. In the event this Agreement is terminated, any case information then
held by MSB will be returned to the City within thirty (30) days of the termination date.
Payment for services or goods received prior to termination date shall be made by the City
provided these goods or services were provided in a manner acceptable to the City. Payment for
those goods and services shall not be unreasonably withheld.
V. OTHER PROVISIONS.
A. Indemnification.
(1) Indemnification by MSB. To the extent permitted by applicable law, MSB will
indemnify and hold harmless the City from and against any and all losses, injury, damages,
liability, claims, suits, actions, proceedings, and expenses (including attorneys' fees) resulting
from actions performed by MSB or its agents on MSB's behalf in connection with this
Agreement. This indemnity will survive the expiration or termination of this Agreement.
B. Limitation of Liability: The City desires to enter into this Agreement only if in so
doing the City can p' lace a limit on the City's liability for any cause of action arising out of this
Agreement, so that the City's liability for any breach never exceeds the sum of $100.00 For
other and additional good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, MSB expresses its willingness to enter into this Agreement with the
knowledge that the MSB's recovery from the City to any action or claim arising from the
Agreement is limited to a maximum amount of $1.00.00 less the amount of all funds actually
paid by the City to MSB pursuant to this Agreement. Accordingly, and notwithstanding any
other term or condition of this Agreement that may suggest otherwise, MSB agrees that the City
shall not be liable to MSB for damages in an amount in excess of $100.00 which amount shall be
reduced by the amount actually paid by the City to MSB pursuant to this Agreement, for any
action or claim arising out of this Agreement. Nothing contained in this paragraph or elsewhere
in this Agreement is in any manner intended either to be a waiver of the limitation placed upon
the City's liability as set forth in Section 768.28, Florida Statutes, or to extend the City's liability
beyond the limits established in said Section; and no claim or award against the City shall
include attorney fees, investigative costs, expert fees, suit costs or pre judgment interest.
C. Applicable Law. This Agreement will be construed in accordance with the laws
of the State of Florida. Venue shall be in Brevard County, Florida. The parties
hereby waive a trial by jury.
D. Force Maieure. No party shall be liable for any failure to perform its obligations
in connection with any action described in this Agreement, if such failure results from any act of
God, riot, war, civil unrest, flood, earthquake, or other cause beyond such party's reasonable
control (including any mechanical, electronic, or communications failure, but excluding failure
caused by a party's financial condition or negligence).
E. Notices required or otherwise arising from this Agreement shall be sent the
following:
Notices to MSB:
Notices to the City:
Municipal Services Bureau
6505 Airport Blvd., Suite 100
Austin, Texas 78752
Attention: Bruce Cummings
City of Palm Bay
120 Malabar Road SE
Palm Bay, FL 32907
Attention: Yvonne McDonald
Finance Director
F. Audit Rights:
The City reserves the right to audit the records of the MSB related to this Agreement at
any reasonable time during the prosecution of the work included herein and for a period of three
years after final payment is made. The MSB agrees to provide copies of any records necessary
to substantiate payment requests to the City as may be requested by the City, solely at the cost of
reproduction.
G. Non - Exclusive Agreement:
The parties acknowledge that this agreement is not an exclusive agreement and the City
may employ other consultants, professional or technical personnel to furnish services for the
City, as the City, in its sole discretion; finds is in the public interest.
H. Independent Consuhant:
MSB and its employees, agents, contractors and subcontractors shall be deemed to be
independent contractors and not City agents or employees. MSB, its employees or agents,
contractors and subcontractors shall not attain any rights or benefits under City's personnel
Rules and Regulations or Pension Systems nor any rights generally afforded City's classified or
unclassified employees. MSB, its agents, employees, contractors or subcontractors shall not be
deemed entitled to the Florida Workers' Compensation benefits as a City employee.
IN WITNESS WHEREOF, the patties to this Agreement have signed and delivered this
Agreement on the day and year first above written.
GILA, LLC /B /A M I'CIPAL SERVICES BUREAU:
By:
Name: Bruc Cu in s
Title: Chi' cufive Officer
CITY OF PA
M BAY, LORIDA:
7 e2
By
Name: Lee Feldman
Title: City Manager
" ' 7
� f
www.Gila[omcom
BRUCE CUMMINGS
CEO
6505 AIRPORT BLVD,
SUITE 300
AUSTIN, TEXAS
78752
800.568.7004 x. 3030
Fax 512.371.9994
December 15, 2010
Via Email
John Webster
Procurement Specialist
City of South Miami, Florida
6130 Sunset Drive
South Miami, Florida 33143
Yvonne McDonald
Finance Director
City of Palm Bay, Florida
120 Malabar Road SE
Palm Bay; Florida 32907 -3009
Dear Mir. Webster and Ms. McDonald.:
Pursuant to the agreement reached by and between City of South Miami, Florida and
City of Palm Bay, Florida, Gila, LLC d /b /a Municipal Services Bureau hereby accepts and
approves the City of South Miami, Florida's request to piggyback on to the Collection
Services Agreement dated September 10, 2010 by and between Gila, LLC and the City of
Patin Bay, Florida and to provide services to the City of South Miami, Florida under the terms
and conditions of that certain Agreement.
APPROVED AS TO FORM AND SUBSTANCE:
By ; _.
City of Palm Bay, Florida
By:
City of South Miami, Florida
Very truly yours,
Bruce Cummings
About Us - MSB
M1111 1, ll'
r
A "'S
About Its
Page I of 1
HOME ABOUT US SERVICES NEWS FAQ CAREERS CONTACT US
- -. Founded In 1991, Municipal Services Bureau (MSB) offers outsourced collections, payment
processing and call center services to governmental entities nationwide. MSB Is highly automated
ABOUT US and able to offer our clients Flexible, innovative solutions to their collections needs. The following
resources make MSB the leading government collections provider:
- Industry-specific software, customized for government collections
- Electronic transfer of accounts through a secured interface
- Online, real -time access to your accounts
- Highly trained, bilingual collection staff
- Extensive, national skip - tracing resources
- State -of- the -art VOW technology
- Sophisticated payment processing capabilities
- Wide variety of payment options
- Extended business hours, tailored to client requirements
home I ohouS us I services ( nears I fag I careers I contact us i privacy notice
6505 Airport boulevard Suite 100, Austin, Texas 78752, Tel: 1 800 568 7004
Coiedpht 2007 Alf rights reserved.
Irit p:/ /w- w-w.muaiiserv.com/about.aspx 12/15/2010
Collector's Pledge - MSB Page 1 of 1
About its > collector's pledge
HOME ABOUT US SERVICES'- NEWS FAQ CAREERS CONTACT US'
OUR PROFESSIONAL I believe that every person has worth as an individual and is entitled to be treated
with dignity and respect.
COLLECTOR'S PLEDGE
I understand that the collection industry is an Integral part of our economy and that
it is my personal responsibility to help consumers find ways to fully satisfy their
outstanding obligations with my clients.
I will always treat every Individual with dignity and respect. As I demonstrate this
behavior each day, I will encourage my co- workers to do likewise.
I believe Ill the Core values of MSB...
- EMPOWERMENT
- INTEGRITY
- COMMITMENT'
- EXCELLENCE.
- TEAMWORK
I will honor this pledge daily, knowing that my professional behavior will enhance
the reputation of my profession in the minds of consumers; government regulators,
fellow employees, my family and my clients.
home, I aboutus i services I news 1. _.fm I careers I rnuracxus 1 Priw<yuot.ce
6505 Airport 60uhevar4,. Suite 100, Austin, Texas 707SZ, Tel: 1 $00 568 7004
6by7tiggt 200Z.All'Shrt+ese+wd.
http:// ww�r :n2maiserv.gona/pled'ge.aspx 12/15/2010
CUSTOMER Focus
® Complete call escalation procedure to resolve all
customer issues within 24 hours
® Record l00% of inbound and outbound calls, and
store them for a minimum of 2 years
Calls are reviewed'.dally for quality assurance
and training
® Background checks for all employees
TECHNOLOGY
Advanced predictive dialer with automated messaging
campaigns results in more contact with debtors
in significantly less time
Fully redundant information technology infrastructure
Disaster recovery plan for go live within 48 hours of
any disaster
WEB BASED COLLECTION SYSTEM
Online access to your accounts, unlimited user
access, infinite reporting capabilities
® Monitor payments, review collectors' notations from
all phone conversations with debtors
2-11,
Gila LLC d /b /a Municipal Services Bureau (MSB) is excited to offer the City of South
Miami (City) a superior collection solution modified to meet your requirements. Our
solution marries sophisticated, advanced technology with our extensive experience
in providing collection programs exclusively to governmental entities.
MSB has developed and implemented hundreds of collection projects, giving us
the necessary tools to provide the City best -in -class collection procedures. MSB
has the ability to perform the necessary functions to provide a compliant
collection program that maximizes recovery including:
An existing, turnkey solution that will allow MSB to collect on behalf of the
City by providing our:
o Call center and trained staff;
• Skip tracing procedures;
• Interface procedures;
• Letter notification tool; and
o Software components;
open communication in order to coordinate collection services;
a A sophisticated computer hardware and software system that accepts and
accommodates the necessary data on the City's accounts;
Initial and follow -up training to all employees encompassing all areas of
collection activities, as well as all laws and regulations governing such
activities;
e Providing assurances that MSB is operating within the laws and regulations
governing collector activity; and
0 Contacting the City's debtors and requesting payment or providing
appropriate instructions to their remaining options in a professional and
business -like manner.
By implementing the collection services offered by MSB, you can achieve the
following goals:
Increased Revenue - MSB generates revenue by collecting delinquent fines, fees
and costs that would otherwise go uncollected. MSB has the ability to address
each and every account evenly and consistently— virtually regardless of the
location of the debtor.
d
M r
G aVr ON M ENi - SFRV I DES
Decreased Liability - MSB indemnifies all clients against our actions and
maintains substantial errors and omissions liability insurance and bonds. We
reduce the City's liability and exposure by utilizing MSB's services.
Virtual Staff - MSB's resources and personnel are utilized without allocating
additional City funds. It's like having additional staff working along with the
City's staff.
Premier Technolo -The City can leverage technology by benefiting from MSB's
highly automated, advanced solution. MSB has the assets in place to
immediately offer the City sophisticated, state -of -the -art, reliable software and
hardware resources as well as the skilled personnel necessary to meet the
desired goal.
Collection Work Plan
MSB will make all possible attempts to locate and collect on all accounts placed with our
office by the City. In addition we will work the accounts as long as they are with us. MSB
will use all available resources including but not limited to:
Call Center Resources
• Skip tracing for new contact information
• Collection letter series
• Predictive dialer which enhances productivity
• Agent free, interactive, background dialer for additional phone calls and
maximum coverage
• Outbound and inbound collection calls
• Toll free telephone number
• Extended evening and weekend hours totaling 84 hours:
0 7 AM to 10 PM CST Monday through Thursday
0 7AM to 9 PM CST Friday
0 7 AM to 5 PM CST Saturday
• Use of collectors specifically trained to collect debt accounts
• Multilingual assistance (over 60% of employees)
Phase I: Initial 60 Days
® Once the account is placed with MSB, it will be loaded onto our CRS
collection system. During this phase of the collection process, we attempt
contact on accounts, at a minimum, 16 times.
® An initial collection letter, approved by the City, will be sent on all files
outlining all fines and monies owed.
d i M �. i
n ,-I ..J' B`
GOV ENNIO"ENT SERVICES
• The collection letter will provide a toll free telephone number, detailed
description of the obligation and how to pay.
• All accounts with potential contact numbers will be loaded into our
Interaction Intelligence Inc. v2.3 (ININ) predictive auto dialer and called on a
regular basis until contact is made for payment. Attempts to contact the
debtor will occur every three days at a minimum.
• The dialer allows MSB to build call campaigns based on key account
factors (i.e. South Miami demographics, regional collection statistics
and specific account types and balance ranges) to allow for best
potential contacts.
• MSB will provide general account information to the City's debtors,
note any contact information changes and determine debtor
indigence.
• Any account that does not have a potential contact number, found to have a
bad phone number, or marked with mail return will run through our batch
skip process.
• Batch skipping is done using 1000's of national data bases to help
locate new contact information for the debtor.
• New addresses, home, work, and cell phone numbers may be
returned to our collection system and special call campaigns will run
in an attempt to contact the debtor.
• All new potential contact information will remain in our CRS system and
contact attempts via mail and phone calls will continue. The City will have
real time, on -line access to their accounts through the Navigate System to
review collector comments, collection activities and updated contact
information.
Phase II: Days 61— 240
* If deemed necessary to improve collections, MSB will perform smart scoring
on the City's accounts. This will give us specific information on the account
and allow us to assess the highest probability of collection.
* All of the City's accounts that remain outstanding will receive two more
collection notices during this time period. This is a progressive letter series in
which each letter will carry stronger language.
Collection efforts on our predictive dialer, interactive dialer, and manual calls
will continue on all accounts that have good contact numbers.
Skip trace efforts on accounts without contact information will continue.
Manual skip efforts will take place as needed in an attempt to find new
contact information on any account that does not have a telephone contact
or has a mail return flag.
5=10=1=
Frei
MSR
r [aVF RiSM t;:r4'r 5ER° V10ES
® Skip agents will use all available resources via Accurint, Internet and cross
reference data bases in attempt to locate the debtor.
Phase lit: Day 241— End of Contract
e Periodic additional collection notices will be mailed as needed.
o Special mailing campaigns will be created to increase payments.
Continued collection calls will be made on all accounts with good contact
numbers.
w Skip tracing continues. Once new contact information is found, calls will
begin again.
Please reference a detailed collection flow chart on the following page:
am===
S'
13 0 V E Iq N C4 E NT S F R V t r E S
Collection Flow Chart
ammmml
� f s
S
c�rxv��rz r�s�N� s�: azvi cc�
_Locating Debtors
Please read below for a detailed description of our address management and skip
tracing procedures.
Address Management Services
Our integrated systems provide us the ability to pre -scrub debtor name and address
data, enhance address information via Zip +4 appends, USPS FASTforward System
Change of Address (COA) lookups, as well as National Change of Address (NCOA)
lookups. This is done on each account submitted to MSB.
MSB's Address Management process is part of our family of products, all of which
share comprehensive operational reports and statistics. These include costing
reports tailored to debtor requirements and extremely fast processing turnaround
times.
Key benefits of the Address Management process are:.
m Automatically replaces address on file with the forwarding
address; prior to mailing, resulting in:
o Faster delivery and fewer mail returns, accelerating
recoveries
o Updated address upon which to base automated skip
tracing look -ups
• Name and address standardization reduces mail returns due to
data quality errors
• Enhancement of the address "last line" via spelling corrections,
USPS City mapping, and Zip +4 appends for USPS CASS certification
• COA lookups on all records via USPS FASTforward's 12 -plus month
database
• NCOA lookups on all FASTforward "no-hits," extending the Change
of Address lookup to 3+ years Identification of "Known Bad
Addresses," with ability to provide automated services on these
debtors.
Skip Tracing, Electronically and Manually
It is anticipated that many accounts submitted will require extensive skip tracing
efforts. Skip tracing is an industry term describing the various processes used to
attempt to locate a person whose current address or telephone number is unknown.
Without a successful skip tracing program, collection results are significantly lower.
After ail, we cannot collect from someone we cannot contact.
Sn'
._. i S B..
Once it is determined that either the phone number or address is incorrect, we
begin skip tracing procedures. Skip tracing is conducted on a local, regional and
national basis. The schedule is ongoing on a monthly, quarterly, and annual basis
as long as we have the account. Efforts include:.
9) Data Providers; MSB has the ability to utilize the following vendors who
supply NCOA programs as well as our own database of mail return
information. Online access to these providers is linked to our internal
intrashare website for collector's convenience when they are skip tracing.
MSB has access to billions of data sources through the following:
• Accurint (LEXIS NEXIS)
• Acxiom.
• ChoosePoint
• DirectoryNet
• Dolan
• FastData
• MasterFiles
• RiskWise
• Verifacts
2) Additional skip tracing resources may include the following;
® Multiple State and National Directory References
® Address Correction Deposit on file with the Postmaster
• Credit Bureaus
• Utility Records
• Driver's License Database
3) Crass Referencing of City's Accounts Against our Proprietary
Database
All new accounts submitted to MSB are skipped immediately before collectors begin
working the accounts to ensure the most recent and accurate data is available at the
time contact is attempted. The accounts are continually re- skipped on a monthly,
quarterly, and annual schedule in an effort to maintain the most current contact
information in case they move or relocate over that time. If a debtor is contacted on
one account, the collectors will do an extensive system search to make sure they
locate any additional debts owed. Each account found is updated with the latest
information obtained.
!2,,'MSB'
C�CSWE.R 7d hY�kdT 6 G C' V FCi C; k"3
MSB's batch skip tracing process can effectively skip millions of accounts at a time.
The process is developed and engineered to provide the most up to date
information for debtors who are difficult to locate. Regardless of the age of the
account or the balance owed, every account referred to MSB without valid contact
information will go through the same skip process. Batch skipping enables us to
expedite the time it takes to update contact details. Features include:
* Electronic Directory Assistance (EDA)
® Phone and SSN Append
Phone Dedupe (if a number is marked as bad; it is not returned as a good
one, nor is it kept in the search.)
a Best Address
® Best Address Dedupe (If an address is bad, it is not returned as good and
it is removed from the search.)
Credit Header with Credit Bureau (Results in more right party contacts
rates, higher levels of verification and fraud detection.)
0 Full Header
MSB accesses 6.8 billion records from over 30 sources to locate correct contact
information including:
• Bankruptcy Filings
• Vehicle Registrations
• Voter Registrations
• Driver's License Numbers
• Utility Information
• Phone Records
MSB employs a waterfall process for batch skip tracing including:
• Applying multi levels of skip processing to improve overall Right Party
Contact (RPC) results
• Waterfall effect utilizing up to 3 skip batch vendors ranked by best Right
Party Contact percent
• Manual skip tracing for remaining submissions with unattainable contact
information via batch processing will be available
• Tracking and reporting to be designed for ongoing analysis
A flow chart illustrating our waterfall skip tracing process is provided on the
following page:
MA " Si B
i m
ammmom
® Mr"
_:
r"CaVe RNMFMT seravtOV0
Letter Procedures and Capabilities
The initial notice is mailed within 72 hours of the account being transferred to the
collection department. Our written contacts are intentionally designed to be in
letter format and may be customized to meet specific circumstances. MSB may
utilize bilingual verbiage in the City's letters to ensure all debtors can make contact
to initiate payment.
Each account the City refers to MSB is scheduled a letter series once it is uploaded
into MSB's system. If there is a failure to respond to the first notice; a second notice
is automatically generated. This process is repeated. If a payment is posted in full or
the account is canceled or closed for any reason, the letters automatically cease. If a
debtor has multiple accounts and payment in full is received on only one account,
the letter series is modified and a new letter series, appropriate to the situation is
scheduled. If the City places the account on hold for any reason, the letter series is
held until MSB is informed to continue collection activity.
MSB can customize an individual letter series to meet the City's needs. Our letters are
time tested and have proven their effectiveness in communicating with debtors to
resolve accounts while complying with all federal and state collection laws. The City is
able to approve all letters and their verbiage during the implementation phase. Each
letter contains contact information in both English and Spanish, a toll -free telephone
number and the web address where on -line payments maybe made. MSB's letter
notification tool can alter the language of letters to adjust to any future needs of the
City.
All letters will comply with FDCPA regulations.
Predictive Dialer Technology
The interactive Intelligence Inc. (ININ) is a system that automates the dialing process
within a call center environment. The system dials telephone numbers downloaded
from MSB's database and detects an answered call. The system filters out calls with
no answer, busy signals, and disconnected numbers, and passes only answered calls
to the collector. The collector may also leave messages.
When an individual is reached, the debtor's detailed account information appears on
the monitor at the collector's workstation. The collector then updates the database
with verified information such as new telephone numbers, place of employment,
etc. Depending on the experience of the employee, the Dialer allows a collector to
make approximately 200 contacts a day, amounting to a sevenfold increase in
debtor contacts compared to manual calls.
MMSB'
LsU V:ER NM F':NT Vic.R V r,FI
When the Dialer reaches a disconnected number, the account is passed to the skip
tracing queue. Once valid information is found, the account is put back into
circulation.
A variety of strategies are in place to deal with each circumstance, For example,
when the Dialer receives a busy signal, the system can be programmed to re -dial
that number every 15 minutes thereafter until the line is connected. Also, if the call
is not answered, the Dialer might continue to call every 60 minutes until someone
answers.
A dynamic advantage of this system is the inbound /outbound feature. The Dialer
keeps track of the number of collectors on the dialer system and the number of
incoming calls. The Dialer equally distributes the incoming and outbound calls,
leaving no unanswered calls.
MSB realizes the importance of immediately working accounts while the information
(phone number, address, etc.) is still valid; therefore, we stress quick activity.
However, MSB also understands that various circumstances prevent one from
paying an obligation immediately, In many instances, changes in personal matters
enable the individual to pay at a later date.
The Dialer generates individual reports pertaining to the performance of each
collector. The Collection Manager evaluates each collector by the speed and
thoroughness of their work (based on experience), The Dialer generates statistical
information in the following areas:
• Time the collector spent on the Dialer
• Productivity of time spent on the Dialer
• Number of messages left
• Messages left with a person
• Wrong numbers called by the collector
• Accounts updated with new location information
• Promises and refusals to pay
• Immediate payment made with initial contact via Credit Cards or Check by
Phone
• Transferred calls from other collectors
• Supervisor reviews because of dispute
Please reference a Dialer Campaign Flow on the following page:
&E ,.
s
BWF/
.
Ca 0 v F R N M E''NT 4 E R V t C:.ES
Dialer Campaign Flow Chart
Mse- t"...cuvc U.W
A omata
�,ossage e
or�,M�c1i�n,h .
diilll
r
AS M _r
GOVERNMENT SERVIQE�
Phone System
MSB utilizes a state of the artfully integrated VOIP phone system by Interactive
Intelligence Inc (ININ). All calls can be shared with the City by e- mailing a wave file
of the recorded conversation upon request. All inbound and outbound calls are
recorded and stored for a minimum of 2 years.
The ININ Customer Interaction Center (CIC) offers the following advantages:
• innovative Pre - Integrated Application Suite -The multimedia Automatic
Call Distributor (ACD) gives MSB capability to manage calls, call
processing, voicemail, fax and unified messaging to elevate productivity,
performance, and customer service.
• ACD with Universal Queuing- This is a flexible automatic communications
distributor for language, segment or skills based call routing to quickly get
each call to the appropriate collector.
• Fully Capable Inter - active Voice Response System- MSB offers self - service
options such as methods of payment to customers waiting in queue or
calling after hours.
• Outbound Campaign Management -The Dialer pre- integrates to CIC to
blend outbound campaign calls with inbound ACD calls. Once contact is
made, the call is transferred to a collector.
• Recording Scoring and Quality Monitoring- MSB is able to digitally record
all collector inbound and outbound calls which involve client contact.
Flexible scoring helps maximize collector performance; and simplify
recording, file management and retrieval.
® Supervision and System Monitoring -The supervisory and collector system
monitoring capabilities allow MSB to view all stats in one interface. MSB
supervisors monitor these on several new 52" flat panel displays easily
visible on the collection floor.
* Complete Workforce Management - CIC's historical ACD data is combined
with projections for demand forecasts and scheduling to ensure optimal
staffing, collector performance and service.
Telephone Technioues
Just as important as achieving contact with the debtor are the telephone techniques
used in attempting to collect the account. Many debtors have multiple bills and
multiple agencies contacting them for payment. MSB's goal is to be the collector
who the debtor decides to pay and the promise the debtor honors. MSB
emphasizes being polite, courteous and professional to all debtors at all times.
The nature of the debtor has changed over the years. Debtors often are better
educated and more sophisticated than in the past. They expect to be treated as
f 'S
4 M_ -1
G 0 V EP, N M EP".T SCRV IOF `+
individuals with unique circumstances and needs. Many appreciate being listened to
and communicated with in an understanding way.
MSB develops our collectors to be effective listeners and communicators. This
results in two positives. First, it makes the MSB collector the collector the debtor
most wants to pay. Second, it significantly increases the likelihood of promises kept
by the debtor.
The MSB short -list of what makes a good telephone collector includes:
• Treating the debtor like a customer, with a customer service attitude.
• Suggesting ways for the debtor to overcome problems for payment so that
the collector creates the feeling that they are on the debtor's team.
• Being a good listener to evaluate the debtor's willingness and ability to pay.
• Perfecting the negotiating process and paraphrasing what the debtor is
saying so that a mutually acceptable solution is reached.
• Being assertive, not aggressive.
Our telephone calls are designed to help the debtor voluntarily resolve their
obligation. We are here to let the debtor know that there is an opportunity for them
to resolve the matter voluntarily. Multi - lingual assistance is provided to all
debtors.
Litigation
if MSB's collection activities have not yielded payment and MSB, through its skip
tracing capabilities, is able to identify assets owned by a defendant, MSB will
recommend initiating litigation to recover the monies owed. If a case balance is less
than $5,000 (depending on the jurisdiction), MSB will recommend filing suit in small
claims court, as small claims court typically provides an efficient, cost - effective
forum for litigating small disputes. Otherwise, MSB will recommend pursuing
litigation in the court of competent jurisdiction that provides the most efficient
docket system. Where available, MSB is also able to facilitate the filing of wage
garnishments, bank liens and writs of attachment.
MSG's General Counsel, A. Lee Rigby, coordinates MSB's Litigation Program and
oversees each step in moving cases through the litigation process. Mr. Rigby works
with MSG's clients to evaluate and select those cases which might be viable
candidates for litigation. MSB will not initiate any court proceeding without specific,
written authorization from the client and until a Litigation Plan has been agreed
upon. After a case is selected for litigation, a formal, written demand letter from an
attorney will first be sent to the defendant. In addition, follow up phone calls from
& alammmo
r S!,
4„
° ��
a a V G, RN N1 ENY SEC,'V f GES
an attorney may be placed before a lawsuit is initiated (as litigation should always be
the last resort).
Mr. Rigby also manages communications between MSB's clients and local attorneys
working on MSB's behalf in the client's jurisdiction. MSB partners with select law
firms and attorneys from The National List of Attorneys to provide legal services
across the country. The National List of Attorneys provides a $3,500,000 insurance
bond to provide security. Mr. Rigby and MSB coordinate all of these activities on the
client's behalf.
Asset Searches
MSB utilizes national databases that are successful in providing asset searches and
locating both assets and liabilities. MSB may utilize the following databases to
identify assets:
Secretary of State
® Tax Appraisal Districts
® State Comptroller
® National Secretary of State
* Nationwide Property Tax Information
® Nationwide Vital Record Information
We have provided a flowchart detailing the litigation process on the following page:
&0=�
U-11"IMSR
MOVFRNME�N'r SEUVIDES
Litigation Flow Chart
BMW=-==
B"
21�
i__ _
Payment Options
MSB offers numerous options for debtors to satisfy their obligation to the City. In
our experience, when we accept payments directly for our clients; we achieve a
higher collection rate. Debtors may choose from the following methods of payment:
All major Credit Cards
Debit Cards
® online Payments, 24X7
Electronic Check Over the Phone (Vcheck)
• Money Gram
• Cashier's Check
• Certified Check
• Personal Check mailed via USPS
Credit Bureaus
Upon request, MSB will submit accounts to a credit bureau. All correspondence
with debtors may contain this language. MSB actively reports to the following major
credit bureaus:
o TransUnion
• Experian
• Equifax
On -line Access to Accounts
The City will have the ability to access accounts on -line, in real time, 24X7 through
the Navigate System. A login name and password will be issued to allow the City's
employees to enter the secure site to review information in real -time. Accounts
may be reviewed by using several different fields such as name; account number,
address, social security number, etc. You can also view all Action Codes, Result
Codes, Status Codes and Memo Codes depending on the criteria you provide. This
technology allows the City to quickly find all information regarding a particular
account including amount due, amount paid, collectors` notes, updated address
information, etc.
The Navigate System will also allow the City the ability to generate reports. The
reports are created in real time quickly and easily. The City will be able to access the
dollar amount submitted, dollar amount collected and recalled, number of accounts
paid in full, average age of accounts, our commission amount and numerous other
account details for debtors.
SMEMM
Y I
M_
21,111,
...,.. .. r .=rt ,..."
Executing Payment Plans with Debtors
The initial recommendation to the debtor will always be to resolve their obligation
by payment in full. In the event a debtor has multiple accounts and indicates that
they cannot pay in full, an effort will be made to have them pay the first account in
full, then the second and so on. People who indicate they are indigent have the
account referred back to the City. MSB never compromises the amount due without
written authorization from you.
Our collection software automatically flags individuals who have broken payment
commitments within three working days. These accounts are noted with a special
status code, indicating a broken promise to pay by the debtor. From there, they are
placed into a special dialer campaign, designed specifically to call and collect on
accounts where promises to pay were broken.
MSB is able to provide payment updates to the City electronically.
_Collection Campaigns
MSB knows that the County will rely on our efforts to set budgets and the revenue
we generate. in the event of a shortfall MSB will work with the County to provide
customized collection campaigns. Some of the campaigns we currently run are:
Tax Refunds
During "tax season ", January - April, MSB makes additional contacts to all debtors in
the system. MSB has found that many debtors have disposable income during this
time frame due to tax returns. This campaign will help the City see increased
returns. In order to maximize this time of year when debtors may have their only
'additional income', MSB sends specific tax letter mailings in addition to the general
collection letter series. Our clients see as much as a 55% increase in their revenue
collections.
MSB's 2009 Tax Season efforts included:
a 248,527 Letters mailed
® 1,016,472 Outbound calls
W 7,413 Inbound calls received
Routinely Re- contacting Debtors
Re- contacting debtors as long as the account is outstanding yields results. This
assures the Clerk that your accounts are continuously being worked. We never stop
working an account because a person's financial situation is very fluid and usually
changes for the better as they mature. The collection rate increases dramatically
over time as you continue to collect on older cases.
am===
Is
M B
The graph above demonstrates our ability to collect on "aged" accounts. The gray
bars are the number of accounts paid in that timeframe and the purple bars are the
average days to pay.
For example, 1,566 accounts that had been with MSB for 25+ months (although their
actual age is over four years old) were paid. You can compare this with the 1,100
accounts paid that had been with MSB for 4 -6 months. In summary, the majority of
accounts paid (23 %) are in the oldest age category. This is statistical proof that we
have success with aged accounts.
Call Monitoring
The majority of our personnel who will be devoting their time to the City's collection
project will be our collection staff. MSB is dedicated to hiring, training and retaining
quality employees. One tool we use to ensure we are effectively managing ethical
collection practices is through the monitoring of our collection staff by the Quality
Assurance Department.
Call monitorings are achieved through the following means:
* Remote
*. Side -by -side
e Recorded
JULY2009 CLIENTS - client case level
Total accounts and Average Daye to Pay
1;600
"'
1,400
A
4
s
�
1,2ADO
p�/�
V
h
Y
�V
+ryV
400
�.
200
4
d
1.3 rnon 4 =6 rnon
T -12 mon 12.24 mon 25t mon
a Courts ®Avarae�e bnYs to Ftiay
The graph above demonstrates our ability to collect on "aged" accounts. The gray
bars are the number of accounts paid in that timeframe and the purple bars are the
average days to pay.
For example, 1,566 accounts that had been with MSB for 25+ months (although their
actual age is over four years old) were paid. You can compare this with the 1,100
accounts paid that had been with MSB for 4 -6 months. In summary, the majority of
accounts paid (23 %) are in the oldest age category. This is statistical proof that we
have success with aged accounts.
Call Monitoring
The majority of our personnel who will be devoting their time to the City's collection
project will be our collection staff. MSB is dedicated to hiring, training and retaining
quality employees. One tool we use to ensure we are effectively managing ethical
collection practices is through the monitoring of our collection staff by the Quality
Assurance Department.
Call monitorings are achieved through the following means:
* Remote
*. Side -by -side
e Recorded
M T ;
S'', B"
GOVERNMENT SE RV3 VI E-q
Frequency
To maintain a consistent level of quality, a set number of monitorings must be performed
for each collector on a weekly basis. The following numbers are to be followed to maintain
that level of quality:
QA Monitor is required to complete 2 monitorings per collector
Team Lead is required to perform 1 monitor per collector
Supervisor is required to perform monitors on as needed basis, i.e. client
requests and quality purposes
Tracking Reports
The call monitors are tracked by a daily tracker and reported to the Collection
Manager on a weekly basis. Data is uploaded from the Web Service Portal and is
analyzed for reporting frequency and quality trends, which may dictate additional
monitorings for collectors who are displaying deficiencies in their quality of service.
Assessing Collector Performance
The ACID Report is used to track Collectors' call statistics. This report is distributed
daily to Managers, Supervisors, Team Leads, and Collectors so that they can track
expectations and goals. This report contains the following information for Collector
calls:
® Number of calls presented
Number of calls answered
Number of calls abandoned
Number of calls qualified
Collector call talk times (average daily, weekly and monthly)
® Collector CPH (Calls Per Hour)
* Wrap up time (time after each call to complete notes, etc.)
* Percentage of paid time versus active call time
Assessment of collectors' call statistics along with the Zero Tolerance Policy and the
Attendance Occurrence Policy are all indicators of the performance of the collectors.
Daily, weekly and monthly reports are used to measure the overall performance of
the Collection Department. These reports provide a measure of how the
department as a whole, as opposed to the individual collectors, is performing. These
reports allow for the comparison of day -to -day, week -to -week, and month -to -month
data for continuing evaluation of the department's performance.
&U,M==
4 S ,..
rckvrRNMLNT 0CRVIDES
Follow All Applicable Statutes
MSB has a reputation of performing ethical collection services while maintaining
stringent compliance with all legal practices and contract provisions. This includes
the following practices:
® Member of The Association of Credit and Collection
Professionals (ACA International)
* Adhere to ACA International's Strict Code of Ethics
* Full compliance with FDCPA
® Collector's Pledge Signed by All Staff
* Compliance with All Federal; State and Local Laws
® Fully Insured
MSB is in compliance with all federal, state and local laws, including the FDCPA,
and will ensure that it maintains this status throughout the contract period.
Furthermore, MSB shall conduct work done under this contract in strict compliance
with all applicable laws related to the collection of government receivables in the
State of Florida and is licensed according to industry standards.
As with all of our clients, we will remain cognizant of the evolving changes of
collection laws and will adjust our practices as necessary to remain compliant
throughout the term of the contract. Our training program educates MSB's staff on
current legal guidelines; and our management team provides on -going notification
of new laws and regulations in order to maintain compliance.
More than simply complying with all federal, state, and local laws where we do
business, we proactively maintain a compliance program that promotes prevention,
detection and resolution of any instances of non-compliance.
The collection industry is a sensitive business, in which we deal with financial issues
that affect our clients, their debtors, our corporate reputation and ourselves. We
take very seriously the fact that our clients depend on us to assist them with the
services we have contractually agreed upon in accordance with all laws and the
highest standards of ethics.
Ethics Hotline
MSB is committed to the highest. possible standards of ethical, moral and legal
business conduct. In line with this commitment and MSB's commitment to open
communication, Lighthouse Services, Inc. (LSI) has been contracted to provide MSB
Employees with an anonymous ethics hotline and website. LSI provides an avenue
for employees to raise concerns and reassurance that they will be protected from
reprisals or victimization for reporting ethical violations in good faith.
&MMIMM,
'S p ;
E3 V, VE".R N M r ::' ".a"E0 VI ❑ Ea:
Complaint Palicv and Procedures
Complaints will be handled immediately. The complaint will be referred to Chris
Dettbarn, Director of Collection Services, and dealt with promptly. M56 will respond
in writing to any individual that requests such a response, when a dispute has not
been resolved by telephone. If a debtor states that the account was previously paid,
etc., we ask the individual to provide the necessary documentation to support their
claim. Upon receipt of documentation, the account is placed on "hold" and
forwarded to the City or dealt with as per previously agreed -upon instructions.
Upon clarification, the debtor is notified that their claim was accepted, of a new
balance or the fact that their claim was denied.
In order to resolve a dispute as quickly as possible MSB records 100% of all
outbound and inbound phone calls. In addition, we store the data for 2 years to
ensure that we have adequate access to historical data in the event of a problem.
Most agencies do not record calls because of the potential liability let alone store
the data for multiple years. MSB so trusts in its people and processes that we are
confident in letting the City have open access to all call data. Any complaint resulting
from a phone conversation with our collectors can be forwarded to the City for
review. The recordings are also used for training and, if necessary, disciplinary
purposes. Our Quality Control department regularly monitors all calls to ensure our
collectors are maintaining compliance with all state, federal and local laws as well as
all client regulations.
mSB Standard Complaint Handling Procedures
Payment made to client
• Verify in Collections Resource System (CRS) of any payments made
• If no payment made, contact client for balance due
• Send debtor letter stating balance
• FDCPA
• Obtain validation of debtor invoice from client
• Give letter to compliance officer
• Attorney Accounts
o Give letter to compliance officer
o Inform client
• Dispute Balances
• Search CRS for proper data (account is active, name,
SSN, DOB)
• Contact client about the dispute
• Send letter to debtor to contact client
5MMMIM
� n
G 0 V. E R M M E N T S E R V E C E S
Escalated Complaint Resolution Policy
In the rare event that MSB receives written notification of debtor dispute via the
Better Business Bureau or a similar consumer advocacy organization, any law office,
any state government agency, or the Federal Trade Commission, the following
procedure is implemented:
• The complaint is forwarded to the Compliance Officer for review. Based
upon the review, the Compliance Officer forwards the complaint to the
pertinent department for a full investigation. In the event the dispute is from
the Federal Trade Commission, the complaint is forwarded to the Director of
Operations for investigation.
• There is a thorough investigation conducted, based upon the nature of the
complaint. For example, if a debtor claims that they received a call after 9pm
and in violation of FDCPA, all call records are retrieved from the dialer for
review to ensure that no calls were placed outside of the allowed time
frames. if a debtor claims they are being harassed, all recordings of all calls
to that debtor are retrieved and reviewed by senior management. All calls
are recorded and kept for a period of 2 years.
Results of the investigation are forwarded to the Compliance Officer who will
then render a determination as to whether MSB is or is not in violation of
FDCPA, FCRA, and other laws. Appropriate actions taken are:
• If MSB is in compliance with all applicable laws, the
organization /agency which forwarded the complaint is notified that
MSB has reviewed the account and determined that it acted in accord
with regulations. In the account of government agencies, all
requested evidentiary support is provided. The account is closed
internally.
• If MSB is not in compliance with all applicable laws, the organization/
agency which forwarded the complaint is notified as such. In the
account of government agencies, all requested evidentiary support is
provided. MSB keeps the account open until the forwarding
organization or agency closes the account at a later point, regardless
of their determination at that time.
MSB is aware that complaints may not arise for weeks, months, or up to a
year from the date of occurrence. As such, call recordings, dialer records,
transaction paperwork, and all records as they relate to collection operations
are retained for a period of no less than two years. Financial records are
retained for time periods specified by the Sarbanes -Oxley Act and SAS 70
audit requirements.
am===
�'B
soV ��xmM Cmr scs`//cF 5
Nationwide Collection Services
We will attempt collection on any account regardless of a debtor's location and are
licensed or authorized tm collect ln all S8 states and U^S. territories us evidenced by
the table below:
&MMMMM
CITY OF SOUTH MIAMI
NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY given that the City Commission of the City of South
Miami, Florida will conduct Public Hearings at its regular City Commission
meeting scheduled for Tuesday January 4. 2011, beginning at 7:30
p.m., in the City Commission Chambers, 6130 Sunset Drive, to consider
the following item(s):
An Ordinance of the Mayor and City Commission of the City of South
Miami, Florida, amending the Land Development Code Section
20.7.51 entitled "Special exceptions" in order to revise the wording in
Section 20- 7.51(D) to replace the word "development" with the word
"new construction" for the purpose of clarifying when the time
limitation begins for development projects which have been granted
a special exception in the Hometown Overlay Zone (HD -OV);
providing for severability; providing for ordinances in conflict; and
providing an effective date.
An Ordinance of the Mayor and City Commission of the City of South
Miami, Florida, amending the Land Development Code Section
20.3.3(D) entitled 'Permitted Use Schedule' in order to permit a
community garden as a "S' Special Use in the ,all TODD(4,4- '
Transit Oriented Development District (✓:fight lnduetrie44) zoning use
district; and amending Section 20 -2.3 entitled "Definitions" to
provide a definition of a community garden; providing for sever-
ability; providing for ordinances in conflict; and providing an effective
date.
An Ordinance of the Mayor and City Commission of the City of South
Miami, Florida, relating to a request to amend the official zoning map
of the City of South Miami Land Development Code by designating a
commercial building located at 5675 Sunset Drive (aka The Dowling
Building) as an historic site and by placement of an Historic
Preservation Overlay Zone (HP -OV) over the existing zoning use
district for this property; providing for severability; providing for
ordinances in conflict; and providing an effective date.
An ordinance of the Mayor and City Commission of the City of South
Miami, Florida, to amend Section 20 -3.3 (D) of the Land
Development Code entitled "Permitted Use Schedule" in order to:
change the existing " Schoot, Elementary or Secondary" use
category and the existing'School, Vocational" use category from "P"
Permitted use category to "S" Special Use category; to create a new
use type entitled "School, Private or Charter' with all development In
the new'Schooi, Private or Charter" use category being classified as
an "S" Special Use; and amending Section 20 -3.4 entitled *Special
Use Conditions' in order to set forth general and special
requirements applicable to all three school use categories; providing
for severability; providing for ordinances in conflict; and providing an
effective date.
An Ordinance of the Mayor and City Commission of the City of South
Miami, Florida, relating to budget; authorizing an increase of
expense line item 615 - 1910 -521 -5205 (Federal Forfeiture Computer
Equipment) of $53,336.80, from the Federal Forfeiture Fund
Balance with a balance of 62+2446..08, $125.725.00, providing for
severability, ordinances in conflict, and an effective date.
An Ordinance of the Mayor and the City Commission of the City of
South Miami, Florida relating to the fee schedule; amending
ordinance 21.09 -2013 as amended by ordinances to, increasing
some fees, adding new fees and deleting some fees from the
schedule, providing for severability, ordinances in conflict, and an
effective date.
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager to purchase mapping
software from USA Software Inc. for a total cost of $15,000.00 to be
paid at $5,000.00 per year for three years and charged to account
number 608 -1910- 521 -3450 (State Contractual Services) providing
for an effective date.
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager to issue a Purchase
Order to Sun Recycling, LLC for the recycling of the City's yard
waste in the amount of $135,714.75 to be charged to Public Works
Refuse Disposal Fee - Recycling Account Number 001- 1720 - 534 -
4341; providing for an effective date.
A Resolution of the Mayor and City Commission of the City of South
Miami, Florida, authorizing the City Manager to execute an
agreement with the fine of Gila, LLC d/b /a/ Municipal Services
Bureau (MSB) providing debt collection services fora fee based on a
percentage of the principal amount owed to the City, twenty -two
percent (22 %) for primary collection services and thirty percent
(30 %) for secondary collection services. and collecting the same as
part of the total payment due from the debtor. This agreement shall
be for the duration of an initial one (1) year period with four (4) one
(1) year option to renew periods for a possible total term of live (5)
years, and providing an effective date. '
ALL interested parties are invited to attend and will be heard.
For further information, please contact the City Clerk's Office at:
305- 663 -6340.
Maria M. Menendez, CIVIC
City Clerk
Pursuant to Florida Statutes 286.0105, the City hereby advises the
public that if a person decides to appeal any decision made by this
Board, Agency or Commission with respect to any matter
considered at its meeting or hearing, he or she will need a record of
the proceedings, and that for such purpose, affected person may
need to ensure that a verbatim record of the proceedings is made
which record includes the testimony and evidence upon which the
appeal is to be based.
12/17 10- 3- 148/1620138M
SC SUNDAY, DECEMBER 26, 2010:1 25SE
iPCALENIDAR
information about these and other Wednesday, $10. 'free for members of Temple Meno-
activities. 'Duplicate games, 1 -4.p.m Mon. reservations required ,
Duplicate Bridge at Temple Beth day Saturday; $8 1, 1 1 7 1 1 305 866 -0221 or -
Am: 5950 North Kendall Dr.; PI Isidor`o Lerman Senior Adult Recta- tempiemenorah @gmall.com
necrest. 305 -667 -6667 ext 203: ' ational Group: includes a lunch Senior LIFT Center. An activity;.,
'Introduction to duplicate, 9 am follovdad by a musical program - center for senors SS and up. Fear„
Monday; $5. presented by CantorYoay. Koplowich Lures various card 'amesand
`Advance beginner lessons, 930 and Richard Shapiro', 12:30 p.m.
a.m. Tuesday; $10. - Wednesdays, The Olemherg Hall, - ; dTURN TO CALENDAR
'Intermediate lessons 9:30 a.m. 7445 Carlyle Ave, Miami Beach, $10, ,.33SE "
Cx
�r
CITY OF SOUTH miAml . '
COURTESYM)TICE
NOTICE IS HEREBY given that the City Commission of the City of South Miami, FlIarida,will conduct P4blic
Hearings at its regular City Commission meeting scheduled for Tues a da uary 4 201 beginning'at�
7:30 p.m:; following the SMCRA meeting, in the City Commission Chambers; 6130 Sunset Drive, to consider
the following term(s): '
An Ordinance amending the Land Development Code Section 204.51. entitled "Special exceptions In
order to revise the wording in Section 20- 7.51(9) to replace the word "development" with the word "new
construction" forthe purpose of clarifying, when the time limitation begins for development projects which
have been granted a special exception in the Hometown Overlay Zone {HD -OV). Sa%
An Ordinance amending the Land Development Code Section 20- 3.3(9) entitled "Penoi$ed Use Schedule" ;in"
Caserta permit a community garden as a "S" Special Use in the agTOD,D(LI -4) "Transit Oriented DeveivpmanY
District (Light industrial 4) zoning use district; and amending Section 20 -2.3 entitled "Definitions to provide
a definition of a community garden; providing for severabddy; providing for ordinances m conflict, and
providing an effective date.
An Ordinance relating to request to amend the official zoning map of the City of South Miami Land''
Development Code by designating a commercial building located at 5875 Sunset Drive (aka The Dowling
Building) as an historic site and by placement of an Historic Preservation Overlay Zone (HP OV) over the ,
existing zoning use district -for this "property. i
An .ordinance to amend Section 20 3.3 P of, the Land Development Code entitled Permitted' Use
Schedule" in order to: change the existing "School, Elementary or Secondary" use .category' and the
existing "School, Vocational" use category from' P" Permitted use category to "S" Special Use category;
to create :a new use type entitled "School, Private; or.Charter' with all, development in the new "School,
Private or Charter" use category being classified asan "'S' Special Use; and amending Section 20 -3.4
entitled "Special Use Conditions" in order to set forth general and special requirements applicable to all
three school use categories.
An Ordinance relating to budget; authorizing an increase of expense line item 615 1910- 521 -5205 (Federal
Forfeiture Computer Equipment) :of $53,336.80, from the Federal Forfeiture Fund Balance with a balance
of $212,643.03, S125225A0,.
An Ordinance relating to the fee schedule; amending ordinance 21-09-2013 as amended . by ordinances to,
' increasing some fees, adding new fees and deleting some fees from the schedule.
A Resolution authorizing the City Manager to purchase mapping software from USA'Software Inc. for a
total cost of $15,000.00 to be paid at $5,000.00 per year for three years and charged: to account number
668- 1910 - 521 -3450 (State Contractual Services).
-A Resolution authorizing the City Manager to issue'a Purchase Order to Sun Recycling, LLC for the
recycling of the City's yard waste in the amount of $135,714.75 to be charged to Public Works Refuse .
.Disposal : Fee - Recycling Account Number .001 - 1720 - 534-4341.'
A Resolution authorizing the City Manager to execute. an agreement with the firm of Gila,. LLC d /b /a/
Municipal Services Bureau (MSB) providing debt collection services for a fee based ore percentage of
the principal amount owed to the City, twenty-two percent (22 %) for primary collection services and thirty
percent (30 °l0) for secondary collection services, and collecting the same as part of the total payment due
from the debtor. This agreement shall be forthe duration of an initial one (1) year period with four (4) one (1)
year option to renew periods for a possible total term of five (5) years.
A Resolution of the May' or and City Commission of the City of South Miami, Florida, authorizing the -
City Manager to finance p to thirty eight (38) multi -space parking stations for an amount not to exceed
- $420,000 and accepting. the interest rate of 2.3550A with no prepayment penalty through SunTinst Bank,
charging Debt Service - Principal Account No. 001.1410.513.7110 and Debt Service - Interest Account No. "
001.1410.513.7210; and "providing an effective date.
For further information, piease.contact the City Clerk's Office at (305) 663 -6340.
ALL interested parties are invited to attend and will be heard.:
Maria M. Menendez, CMC
City Clerk
Pursuant to Romi Statutes 286,0105 the Pty hereby advises the public that if a person decide; to appeal any decision made by
this Beard, Agency or Commission with respect to any matter considered at its meeting or hearing, he or she will need a record of
the proceedings, and that for such purpose, affected person may need to ensure that a verbatim record of the proceedings is made
which record includes the testimony and evidence upon which the appeal is to be based.