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ITEM 2
Public Housing Authority Commission Memorandum Neighborhood Resources Memo No. HD22-08
Date:
June 20, 2022
To:
Public Housing Authority Commission
Thru:
Joshua H. Wright, City Manager
Tadd Wille, Assistant City Manager
Leah Powell, Neighborhood Resources Director
From:
Amy Jacobson, Housing and Redevelopment Senior Manager
Subject:
Resolution No. HO168 Authorizing the Approval of the Write-Off of $13,430.80 in Public Housing Tenant Accounts Receivable as Uncollectible
Proposed Motion:
Move the Public Housing Authority Commission pass and adopt Resolution No. HO168 authorizing the approval of the write-off of $13,430.80 in Public Housing Tenant Receivables as uncollectible.
Background:
The City of Chandler Housing and Redevelopment Division (the Public Housing Agency, or PHA) owns 303 public housing units. As required by U.S. Department of Housing and Urban Development (HUD) regulations, the PHA must write off collections for tenant receivables deemed uncollectible.
Discussion:
The Housing and Redevelopment Division is requesting the write-off of $13,430.80 in tenant accounts. These tenants have left the public housing program owing the City of Chandler varying amounts for back rent, maintenance, and miscellaneous charges. All the accounts have had no activity for approximately six months after having been forwarded to a collection agency in hopes the debts could be collected. To date, no payments have been received through the collection agency on these accounts. At this time, Housing staff is requesting the accounts be written off as uncollectible.
The attachment indicates the balances that are designated for write-off. The $13,430.80 staff is requesting in write-offs is categorized as follows: $2,848.14 for rent, $10,557.66 for maintenance charges, and $25.00 for late and miscellaneous charges. On an annual basis, the PHA receives approximately $1 million in rental revenue, which makes the write-offs for rent less than 1% of the rental revenue received.
In the case of each account, the debt information has been entered into a nationwide HUD Housing Authority network. Each housing agency in the country belongs to this network and all new housing applicants are checked for debts owing as part of the program screening process. Should any of the parties on the list attempt to be housed in any federally subsidized housing program in the nation, their name and information will appear flagged, and they should not be housed until the full debt is repaid to the housing agency that is owed the funds.
Financial Implications:
The total amount of uncollectible accounts for this write-off is $13,430.80. The current Public Housing budget includes a line item for the write-off of uncollectible accounts. The amount of this year's write-off is slightly more than the amount written off in 2021, which was $12,638.20. Over the past six years, the average annual amount written off is $15,170. All costs associated with the write-off of uncollectible tenant debt are paid by HUD.
Attachments
Resolution HO168 Write Off
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