Agenda Item Name:
Title
Removal of Uncollectible Accounts From the Financial Statements
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Presenter:
Catheia Love, 3523743605
Description:
Request the Board to adopt the resolution authorizing the removal of uncollectible accounts from the financial statements.
Recommended Action:
Recommended Action
All of the receivable accounts have allowances for doubtful accounts. The receivable accounts and correlating allowances will be written down by a total amount of $1,807,644.49. A breakdown of this amount by fund and type is provided in the following attachments: (1) by fund: Write-off Summary: (2) by type: see Exhibit A which is the last page of the attached Resolution.
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Prior Board Motions:
N/A
Fiscal Consideration:
Fiscal Consideration
These write-offs are budgeted in the General Fund.
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Background:
The County’s independent auditors have recommended that we remove uncollectible accounts from the general ledger on an annual basis. Each year, an estimated amount of bad debt is recorded as a reduction in the Accounts Receivable balance. We are proposing the removal of uncollectible accounts in the General Fund 001. The net result of this action is shown in the Write-off Summary attachment.