Title
Health and Human Services Agency (HHSA) recommending the Board discharge the HHSA Director from further accountability to collect the debts identified on the attached Discharge of Accountability Report in the amount of $1,298,864.66, pursuant to Government Code Sections 25257 through 25259, for the period 2009 through 2016.
FUNDING: N/A
Body
DEPARTMENT RECOMMENDATION:
The Health and Human Services Agency (HHSA) recommending the Board discharge the HHSA Director from accountability to collect the ambulance debt as listed in the Discharge of Accountability Report (Attachment 2A). Pursuant to Government Code Section 25259, “The discharge from accountability does not constitute a release of any person from liability for payment of any amount,” however, in certain situations debts are no longer considered collectible. These situations include, but may not be limited to: (1) bankruptcy of the debtor, (2) death of the debtor, or (3) expiration of the statute of limitations on debt collections. The Discharge of Accountability Report (Attachment 2A) lists unpaid debts due to bankruptcy or death of the debtor in the amount of $83,229.74; the remaining balance of $1,215,634.92 consists of unpaid debts that are uncollectible due to expiration of the statutes of limitation and further collection efforts cannot be pursued.
DISCUSSION / BACKGROUND:
On an annual basis, the Health and Human Services Agency presents to the Board of Supervisors a list of accounts receivable that need to be discharged from accountability.
HHSA contracts with separate vendors for billing and for the collection of ambulance transportation accounts receivable. HHSA contracts with Access Capital Services, Inc., (Access) for the collection of delinquent accounts, and Access has exhausted its collection efforts for these uncollectible accounts. Additionally, the ambulance billing vendor also provided accounts for discharge. The discharge represents accounts which were deemed to be uncollectible due to bankruptcy or death of the debtor, or expiration of the statute of limitations.
Accounts are reviewed at least annually to determine if they meet any of the discharge requirements; however, due to the variety of reasons an account may become uncollectible, the dates of service may overlap with those of a prior request for Discharge of Accountability.
Upon approval by the Board, HHSA will take necessary steps to reflect the discharge of accountability with their billing and collection vendors. HHSA will coordinate with the Auditor-Controller’s Office as necessary to ensure appropriate recording of any associated financial transactions.
ALTERNATIVES:
If this item is not approved, there would be no discharge of accountability for the HHSA Director related to accounts where further collection efforts can no longer be pursued. The uncollectible accounts would remain active on the HHSA collections processes.
OTHER DEPARTMENT / AGENCY INVOLVEMENT:
N/A
CAO RECOMMENDATION:
It is recommended that the Board approve this item.
FINANCIAL IMPACT:
There is no Net County Cost associated with this Agenda item. These debts are considered uncollectible and have not been factored into fund balances or projected revenues for the Agency.
CLERK OF THE BOARD FOLLOW UP ACTIONS
N/A
STRATEGIC PLAN COMPONENT:
Health and Human Services Agency Strategic Plan Goal 2, Fiscal Responsibility.
CONTACT
Patricia Charles-Heathers, Ph.D., Director