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HomeMy WebLinkAboutBudget/Finance Committee Minutes 08.15.1995 MINUTES BUDGET/FINANCE COMMITTEE AUGUST 15, 1995 4:30 P.M. CITY HALL MEMBERS PRESENT: Chairman - Donna Kilpatrick Ron Marshall Gay Easton Bob Graham OTHERS PRESENT: Cathy Gabrian In our recent audit, there was a comment regarding bad debt expense. Don recommended that the Budget/Finance Committee establish a policy and that a resolution be prepared within the next two months. Gay Easton stated that it may be helpful to the budget process if the bad debts are done at a specific time of the year, such as the end of the calendar or fiscal year. Cathy stated that the auditors recommend that we charge off bad debts that are three years or older. We will still keep these accounts with Credit Service for up to seven years, but this will allow our accounts receivable to reflect a more realistic balance. Cathy commented that the months before and after the end of the fiscal year are extremely busy and suggested cutting it off at the end of the calendar year. This would allow the office to work with it during January, which is a slower month. Motion by Gay Easton to establish a policy for writing off bad debts, seconded by Ron Marshall. Motion carried. Bob Graham stated he feels we need to raise the security deposit that is charged to new customers. We currently charge $ 25.00 and he recommends increasing it to $ 75.00. Discussion and it was stated that the deposit is used to cover the water portion of the utility bill when a customer moves or skips out on us. (The sewer and garbage amounts are put on the property owners taxes if not paid by July each year.) In light of the upcoming water rate increase, it was the consensus of the committee to increase the security deposit to $ 75.00. The meeting adjourned at 4:50 p.m. Respectfully submitted, Cathy Gabrian Deputy City Clerk .. FIRE/AMB/POLICE 217 W. 1ST. ST. HONE: 628-5737 40" VITY HALL 115 W. I ST ST. PHONE: 628-5791 0 City of Laurel P.O. BOX 10 LAUREL, MONTANA 59044 AUGUST 2, 1995 CITY CLERK DEPARTMENT City of Laurel is an EEO Employer