02-13-2023 BPU RPT 06 - Laserfiche WebLink

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W A T E R E N F R (; )' I_ i E l P U B L I C U T I L I T I E S Board of Public Utilities Meeting Date: 2-13-23 REVISED Item No. 6 RIVERSIDE PUBLIC UTILITIES BOARD OF PUBLIC UTILITIES Board Memorandum DATE: FEBRUARY 13, 2023 SUBJECT: RFP 2230 - PROFESSIONAL CONSULTANT SERVICES AGREEMENT FOR DELINQUENT DEBT COLLECTION AGENCY SERVICES WITH CEDARS BUSINESS SERVICES, LLC OF CALABASAS, CALIFORNIA FOR A THREE- YEAR TERM THROUGH jANUARY DECEMBER 31, 2025, IN THE AMOUNT OF $300,000, WITH TWO ADDITIONAL ONE-YEAR EXTENSIONS IN THE ANNUAL AMOUNT OF $100,000 ISSUE: Consider approving a Professional Consultant Services Agreement from Request for Proposal No. 2230 for Delinquent Debt Collection Agency Services with Cedars Business Services, LLC of Calabasas, California, for a term through January Decembe 31, 2025, with two additional one- year extensions in the annual amount of $100,000. RECOMMENDATIONS: That the Board of Public Utilities recommend that the City Council: 1. Approve a Professional Consultant Services Agreement from Request for Proposal No. 2230 for Delinquent Debt Collection Agency Services with Cedars Business Services, LLC. of Calabasas, CA, for a term through jaRary December 31, 2025, with two additional one- year extensions in the annual amount of $100,000; and 2. Authorize the City Manager, or designee, to execute the Professional Consultant Services Agreement, including the additional extensions and making minor and non -substantives changes. BACKGROUND: Riverside Public Utilities (RPU) Customer Service Division collects payments for Electric, Water, Wastewater, and Refuse charges from customers for services provided. In the event that RPU staff members are unsuccessful with collecting the full amount due from inactive accounts, an external collection agency is used to collect the past due amounts. RPU has not used the same external collection agency as is contracted by the City's Finance Department. The collection efforts involve specific scopes of work unique to the collection of unpaid utility amounts. The first contract for professional collection agency services was approved by the Board on January 5, 2007. Since 2007, the contracts for collection agency services were determined to not require approval from the Board of Public Utilities or the City Council. An abbreviated history of RPU's contracts for collection services is outlined in the following table.