COM 0496.000 2006-2008 - Laserfiche WebLink

Home

OOJMtV OF N,w~i ~,;r Bobby Jean l.eithead-Todd ~ Harry Kim ~ Director Mayor - - Nelson Ho Deputy Director F Of MP ~Iruntg of ~ttitrttii ' DEPARTMENT OF ENVIRONMENTAL MANAGEMENT 25 Aupuni Street • Hilo, Hawaii 96720-4252 (808) 961-8083 • Fax (808) 961-8086 http://co.hawaii.hi.us/directory/dir envmng h~ MEMORANDUM DATE June 18, 2007 r w TO Colleen Schrandt, Legislative Auditor FROM Bobby Jean Leithead-Todd, Director SUBJECT: Fiscal Year 2006 Preliminary Drafr Management Letter We have reviewed the fiscal year 2006 drafr Management Letter concerning the Collection of Receivables and concur with the audit recommendations. We are continuing to work with the Department of Finance and the Office of the Corporation Counsel to improve collection efforts. As the auditors have noted, improvements have been made and we are continuing our efforts to further reduce the receivables outstanding for more than 90 days. Our collection of solid waste (landfill) receivables has shown significant improvement over the past few years. Amounts outstanding over 90 days have been reduced from 47% of the total receivables at the end of fiscal year 2002 to 24% at the end of fiscal year 2006. The sewer receivables were significantly reduced in 2006 by the collection of the largest delinquency. To aide in the collection of sewer fees, a bill was passed by the County Council which makes the property owner ultimately responsible for the sewer bills. By ,r making the property owner responsible, we can now place a lien on the property for past due sewer charges. As noted by the auditors, this is an important step for guazanteeing future collections. While we will be enforcing the changes made by this bill, it is also ¦ important to understand that collecting on a lien can often take many years. To further increase our collection efforts, a new Credit and Collection Clerk position will of be created in FY07-08. This new position will focus on the collection of past due solid waste and sewer accounts. Having one position dedicated to collections will provide more timely and consistent collection efforts and allow us to put more focus on the lazger accounts as recommended. Hawai ~i County is an equal opportunity provider and employer.