LEARN COLLECT EXCEL Presented by Mary R Baron

LEARN COLLECT EXCEL QUOTE “AN UNCOLLECTED FINE IS AN UNTAUGHT LESSON IN ACCOUNTABILITY” Chief Justice Frank X Gordon, Arizona Supreme Court “A FINE IS A COURT ORDER; A SENTENCE THAT SHOULD BE COMPLIED WITHIN A TIMELY MANNER THAT MAY OR MAY NOT BE CONVENIENT TO THE DEFENDANT” Chief Justice Sonny Hornby of the Alabama Supreme Court

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FOUNDATION Leadership Mission Philosophy Policy Procedure Budget

LEARN COLLECT EXCEL GETTING STARTED Has Anyone Attempted Collecting a Debt? Commitment from the Organization Where Do Fines/Fees Fit into a Government System Collections in a Government Entity Who Benefits From these Collection Efforts?

ELEMENTS OF A SUCCESSFUL COLLECTIONS PROGRAM Leadership and Commitment Goals Information and Communication Collections Procedures Administrative Staff Involvement Education and Training Accountability Inventory Control

LEARN COLLECT EXCEL TERMINOLOGY Audits County Administrator Clerk of the Court Collections Unit Comprehensive set of policies and procedures Participation into a State Tax/Lottery Interception Program Restitution Owed to a Victim Skip Tracing Collections Database Collectors Work lists

LEARN COLLECT EXCEL AUDIT RESULT Centralize Court Collections Departments

Appoint Project Manager Select two task force teams Seek legal advice Use the audit results to build the program Establish policy and procedures Review accounts receivable records Determine what departments and accounts to import for collections Be realistic in goals that can be reached Determine range and age of accounts to import IDENTIFY RESPONSIBILITES

LEARN COLLECT EXCEL Can you add additional collection fees? Are there ordinances that allow this? Will the organization/county/city benefit? RESEARCH ORDINANCES AND POLICIES

COLLECTIONS SOFTWARE DATABASE What do you want from a collections program Contact your procurement office to set processes in place i.e., a Request for Proposals to software company for collection database Revenue Results In-house software program Excel spreadsheets Microsoft Outlook

LEARN COLLECT EXCEL How many What is your volume of accounts How to keep staff and avoid turnovers Motivation Professionalism Productivity Establish rule for account distribution Establish rule for outbound call Establish rule for accounts HIRE EXPERIENCED COLLECTORS

LEARN COLLECT EXCEL Compliance of Court Orders Intermingled Entities Clerk of the Court Judges Taxpayer Parole Probation Defendants Superior Court Department of Corrections Justice Court

LEARN COLLECT EXCEL 1. Forms should be available to ensure the court has all the demographic information 2. Defendant understands the debt 3. Court should set up a payment plan not to exceed one year 4. Court should collect a sizeable payment for the first installment and then smaller thereafter 5. Court should advise the defendant of consequences of noncompliance with the plan 6. If payment is defaulted, court will call the defendant at work/home 7. Court should participate in a State Tax/Lottery Interception program 8. Court should establish written procedures outlining acceptable payment methods, including: cash personal checks credit cards (in person or by phone) money orders wage garnishment BEST PRACTICES FOR COLLECTIONS If a defendant cannot pay on the day of sentencing:

LEARN COLLECT EXCEL How does a Tax Interception Program assist Collections and the Taxpayer? Victims are compensated Reduction of court-ordered financial obligation Address updates Ability to set future Payment installments

change of address avoid paying debts tools asset searches

LEARN COLLECT EXCEL SKIP TRACING TOOLS SSN Trace Full Credit Bureau Phone book listing Criss-Cross Directories Voter Registration Real Property records Business license Civil Records Criminal Records Marriage Records Vehicle Registration State Vital Statistics

LEARN COLLECT EXCEL TIPS FOR FINDING DEBTORS Don’t lie when asking who you are looking for Make note of all the information gathered from a credit report i.e., age, martial status, employment Utilize public records Obituaries When calling individuals leave basic messages, i.,e., name, phone number and a reference number (not the account number) Collections and skip tracing are two different skills ( taken from a January 2008 issue of Collections and Credit ) Skip tracing is a specialty that takes TIME and PATIENCE

Education and Training Training is a key to ensuring the policy, procedures and processes are implemented Collections staff must be trained with their software program and feel comfortable with their processes Outside departments must be trained in what the new responsibilities of this unit are and how it may effect the organization

ACCOUNTABILITY Quarterly meetings Statistical reports outlining revenue increases Constant review to revise and enhance existing protocol

INVENTORY CONTROL Internal write-off policy with a clear definition of write-off and waive, vacate and set-aside Based on the Accounts Receivable reports and write-off policy, accounts are reviewed yearly to determine write-off status Once reviewed and per policy, list is submitted to Presiding Judge or Board of Supervisors for an order to write-off

LEARN COLLECT EXCEL SUCCESS MEASURES Increase in monthly payments Increase in overall revenue Control of accounts and realistic figures to collect Reputation of the program and consistent interdepartmental interaction Great Customer Service

LEARN COLLECT EXCEL SUMMARY Successful collections is essential to the Court or government organization To build a collections program takes an proactive approach It is important to the court or organization to work with defendants/debtors/customers to comply with court orders or debts Increases revenue for the organization Reduces debt Benefits the taxpayer

WHERE TO GET ADDITIONAL INFORMATION National Center for State Courts Supreme Court State Statutes Local ordinances/rules