Issue - meetings

This report presents a draft Corporate Debt Policy, setting out a framework for a consistent ‘fair but firm’ approach to collecting debt, and asks the Executive to recommend the draft Policy to Council for approval.

RECOMMENDED:That Council approve the draft Corporate Debt Policy at Annex A to the report, subject to the following amendments:

a)     Removal of disconnection of water supply as a result of not paying the bill, as this is no longer classed as a priority debt;

b)     Amendment of the debt write-off list to reflect that the category of ‘Deceased and Bankrupt’ only applies where there are no assets;

c)      Amendment of the wording at paragraph 45(b) of the draft policy in relation to debt recovery officers attending a customer’s home, to ensure that it sounds supportive rather than threatening, to reflect the intention of the paragraph.

REASON:                  To ensure a consistent, ‘firm but fair’ approach to debt collection, whilst enabling the Council to maximise collection performance, in line with its Income Policy.

Members considered a report which presented a draft Corporate Debt Policy, for comment and onward referral to Full Council.

The draft Policy, attached as Annex A to the report, set out a framework for a consistent, ‘firm but fair’ approach to debt collection that would apply across the organisation to ensure that the Council continued to maximise collection performance, in line with its Income Policy.

The draft Policy had been circulated to all finance managers and key Officers involved in debt collection across the Council, as well as to efficiency partners Northgate Kendrick Ash.  Consultation had also taken place with the Social Inclusion Working Group and comments had been invited from the Citizens Advice Bureau, Christians Against Poverty and the North Yorkshire Credit Union.  Further Member consultation had been undertaken at the Audit & Governance Committee meeting on 4 November 2009; their recommended amendments were highlighted in italics in the draft policy at Annex A.

Officers reported at the meeting that the North Yorkshire Credit Union had commented favourably on the draft policy and were supportive of its aims.  Officers also suggested some amendments to the policy to address concerns raised by Members.

RECOMMENDED:That Council approve the draft Corporate Debt Policy at Annex A to the report, subject to the following amendments:

a)     Removal of disconnection of water supply as a result of not paying the bill, as this is no longer classed as a priority debt;

b)     Amendment of the debt write-off list to reflect that the category of ‘Deceased and Bankrupt’ only applies where there are no assets;

c)      Amendment of the wording at paragraph 45(b) of the draft policy in relation to debt recovery officers attending a customer’s home, to ensure that it sounds supportive rather than threatening, to reflect the intention of the paragraph.

REASON:                  To ensure a consistent, ‘firm but fair’ approach to debt collection, whilst enabling the Council to maximise collection performance, in line with its Income Policy.