Title
ORDINANCE NO. 3004 NEW SERIES
AN ORDINANCE OF THE COUNCIL OF THE CITY OF GLENDALE, MARICOPA COUNTY, ARIZONA, AMENDING CHAPTER 2 (ADMINISTRATION), ARTICLE I (IN GENERAL), SECTION 2-5 (ABATEMENT OF COLLECTION SUITS AND ACTIONS; RELEASE OF LIENS; DETERMINATION OF UNCOLLECTIBILITY; AUTHORITY OF FINANCE DIRECTOR AND CITY MANAGER; RECOVERY OF COLLECTION COSTS), ARTICLE V (FINANCIAL AFFAIRS), DIVISION 2 (PURCHASING PROCEDURE), SECTION 2-138 (DEFINITIONS), AND SECTION 2-150 (WAREHOUSING STORES); AND ESTABLISHING AN EFFECTIVE DATE.
Staff Contact: Vicki Rios, Director, Budget and Finance
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Purpose and Recommended Action
Recommendation
This is a request for City Council to waive reading beyond the title and adopt an ordinance amending Glendale City Code, Chapter 2, Article I, Section 2-5 - Abatement of Collection suits and actions; release of liens; determination of uncollectibility; authority of Finance Director and City Manager; recovery of collection costs and Chapter 2, Article V, Division 2, Section 2-138 - Definitions and Section 2-150 - Warehousing stores with an effective date of November 7, 2016.
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Background
Staff reviewed the provisions of certain sections of Chapter 2 related to debt collection and management of the City’s warehouse. The need for review and possible revisions of Chapter 2 was identified as part of a citywide internal audit of procurement and warehousing operations.
At the August 16, 2016, City Council Workshop, staff briefed Council and received direction to proceed with the proposed amendments to Chapter 2.
Analysis
If approved, the proposed amendments to Chapter 2 - Administration, would:
1) Give the City Manager and the Finance Director, in consultation with the City Attorney, the discretion to negotiate or abate fees or taxes in certain cases.
2) Give the responsibility for the management of the day-to-day operations of the City’s warehouse to the Warehouse Manager.
3) Correct a technical error in the code by removing reference to the “warehouse revolving fund” and replacing it with the term “liability account”.
Previous Related Council Action
At the August 16, 2016 Workshop, staff briefed Council on these updates.
Community Benefit/Public Involvement
Periodic review and revisions of the City Code provides Council with the opportunity to review and give guidance on policies. It also ensures that the information contained in the Code is clear and aligns with best practices for City operations.
Budget and Financial Impacts
De Minimis. If Council gives City senior management the discretion and authority to “write off” or “write down” certain collection accounts, the City will not be recovering the amounts it is owed. Staff believes this amount is nominal and would be counter-balanced or outweighed by gains in settlement amounts and savings in litigation and collection fees and costs.