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COLLECTION AGENCY SERVICES AGREEMENT
CRY OF FRESNO, CALIFORNIA
THIS AGREEMENT is made and entered into effective the 5°1 tlay of May, 2008, by and
consistent the CITY OF FRESNO, a Ca Nomla municipal corporation (thereinafter referred to as
'CityL and Transwarld Systems, Inc. a California corporation (heremefter referred to as
•Collection Agency-).
RECRALS
WHEREAS, City desires fo obtain professional collection agency services for those
accounts considered uncollectible by various City DeparfmentslOresions Including the Finance
Department- Utilities Billing and Collections Division and Business Tax Division, Fresno Police
Department, Fresno Fire Department, Fresno Area Express, Depertrnerlt of Public Utilities,
Fresno Yosemite International Airport and Chandler Executive Airport hereinafter referred to u
the -Project- and
WHEREAS, Collection Agency is engaged in the business of famishing technical and
expert services as a collection agency and hereby represents that N desires to and Is
professionally and legally capable of performing Me services called for by thk Agreement; and
WHEREAS, this Agreement will be administered for City by its Finance Director
(hereinafter referred to as 'Administrator) or hislher designed.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing and of Me covenants, coeditors,
and premises hereinafter contained to be kept and performed by the respective parties, N Is
mutually agreed As follows:
1. Was of Services. Collection Agency shall Perform to Me association of City the
services demanded in Exhibit A. inducting all work Incidental to, or necessary to perform, such
services even though nal specifically described in Exhibit A.
2. Ttmet of Awasiment and Time for Performance. This Agreement shall be
effective tram the data first set forth above ('Effective Dater and shall credited In full force and
effect through May 5, 2012, Subject to any earfier termination in accordance with thta
Agreement. The services of Collection Agency as described in Eshlbft A are to commence
upon the Effective Date and shall be completed in a sequence counsel expeditious completion,
but in any event, all such services shall be completed prior to expiration of this Agreement and
In accordance with any performance shaduk set forth In Exhibit A.
3. Compensation.
(e) CGlemon Agency's sole compensation for satisfactory performance of all
services required or rendered pursuant to this Agreement shell be as follows.
Phase I - Flat Fee - No Percentage rete. Up to 5 written collection demands are
made over a 56 -day pence:
$7.75 per account; $6.75 par account annual discount after 50Ws
account with additional discounts available based upon greater volume W
accounts placed.
Mie" II - Contingent Based! - Percentage rete:
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Balances over $1,200.00- camas Accounts (less than six (6) months
old) 20%; Over six (6) months oM 3056; Legal and Skip Tracing and
balances less men $50.00— 50%.
Balances under $1,200.08— Primes Accounts (less Men six (6)
months old 3(Y94; Over as (6) months old 40%; Legal and Skip Tracing
and balances less than $50.00 —50%.
For purposes of this section,'contingent based percentage rate'shall mean the percentage of
the total monies collected by Collection Agency from debtor on the respack" account. For
purposes of this section, "legal' shall mean any delinquent debt which all collection activity by
the Collection Agency Ise been exhausted and litigation is needed to pursue recovery of the
debt. All other collection accounts are' -legal.-
M) Detailed statements shall be rendered monthly far services performed In
the pmmifing month and will be payable In the normal curse of City business. City shell not be
obligated to reimburse any expense for which It has no received a detailed invoice with
applicable espies of representative and identiiable receipts or records substantia ing such
expense.
(c) The parties may modify this Agreement to increase or decreasa the
snipe of services or provide for Me warden of services not required by this Agreement, which
moci ication shall include an adjustment to Collection Agency's mmpensation. Any charge In
Me stupe of services meet bas made by written amendment to Me Agreement signed by an
authorized representative for each party. Collection Agency shall not be entitled to any
additional compensation if services ere performed prior to a signed wxHten amendment.
4. Termination. Remedies and Force Majeure.
(a) This Agreement shall terminate without any liability of City to Collection
Agency upon the earlier of: (i) Collection Agercys filing fes protection under the federal
bankruptcy laws, or any bankruptcy petition or petition for recetver commenced by a Mid party
against Collection Agana; hi) 7 calendar days prior written notice with or without cause by City
to Collection Agency; (a) Cthys non -appropriation 0 funds sufficient to meet its obligations
hereunder during any City fiscal year of this Agreement, or insuffident funding for Me project; or
(Iv) expiration of this Agreement.
(b) Immediately upon any termination or expiration of this Agreement,
Collection Agency shall (1) immediately stop all wont hereunder, (if) immediately muse any and
all of its subcontractors to mese work; and (jig return to City any and all uneamed Payments
and all properties and materials In the possession of Collection Agency Mat am owned by City.
Subject to the terms of thisAgreement, Collemon Agency shall be laid comperxmtion for
services satisfactorily performs prior W the effecam date of termination. Callectlon Agency
hell not be path for any work or services performed or costs Incurred which reassembly could
have been avoided.
(c) In Me event of lamination due to failure of Collection Ageray to
satisfactorily perform in accordancewi1M1 the terms of this Agreement, City may wlMWife an
amount that would dummies he payable as an offset to, but net in excess of, City's damages
caused by such failure. In no event shall any payment by City purawat to this Agreement
ronsMute a waiver by City of any breech of the Agreement which may then exist on Me part of
Collection Agency, nor shall such payment Impair or prejudice any remedy available to City with
respect to the breach.
(d) Upon any breach of this Agreement by Collection Agency, City may
(i) exercise any right, remedy lin contact, kw or equity), or privilege which may be avaitaate to
RFV Wan Page
it under applicable laws of the Slate of Callfomia or any other applicable law; (it) proceed by
appropriate court action to enforce the terms of Me Agreement; ardor (iii) recover all direct,
indirect. consequentul, economic and incidental damages far the breach of Me Agreement. A it
is determined that City Intprapery terminated Mis Agreement far "suit, such termination shall
be deemed a termination fa convenience,
(a) Collection Agency shall provide City with adequate written assurances of
haure performance, upon Administrator's request, in the event Collection Agency fails to comply
with any terms or conditions of this Agreement.
A) Collection Agency shall be liable for default unless nonpedermarco is
caused by an occurrence beyond the reasonable control of Collection Agency am without ds
fault or negligence such as, acts of God or the public enemy, acts of Cfly In 0s contractual
capacity, fires, floods, epidemics, quarantine restrictions, strikes, unusually severe weather, and
delays of common cariers. Collection Agency shall notify Administrator M warning as seen as it
is reasonably possible after the commencement of any excusable delay, setting forth Me full
particulate In connection therewith, and shall remedy such occurrence with all reasonable
dispatch, and shall promptly give %which Hobart to Administrator of Me cessation of such
occurrence.
(a) Any reports, information, or other data prepared or assembled by
Collection Agency pursuant a this Agreement shall not be made available to any Individual or
organization by Collection Agency without the prior written approval of the Administrator. During
the term of this Agreement, and thereafter, Collection Agency shall not, without Me prior written
consent of City, disclose to anyone any Confidential Information. no term Confidential
Information for the purposes of this Agreement shall include all proprietary and confidential
information of City, including but not limited to business plans, marketing plans, financial
information, materals, compgatiorm, documents, instruments, models, courts or object codes
and other information disclosed or subirdaid, easily, in wilting, or by any other medium or
media. All ContMentlal Information shall be and remain confidential and preprietary, in City.
(b) Any and all writings and documents prepared or provided by Collection
Agency pursuant to this Agreement are Me property of City at the time of preparation and shall
Its Waned over to City upon expiration or termination of the Agreement. Collection Agency shall
not permit Me reproduction or use Momf by any other penton except as otherwise expreeely
provided herein.
(a) This Section 5 shag survive aspirates or termination of Mia Agreement.
6. Professional Skill. It at further mutually understood and agreed by and between
the pari hereto Mat inasmuch as Collection Agency represents to City Met Collection Agency
is skilled In the profession am! shall perform in accordance with the standards of said profession
necessary to perform the services agreed to be done by g under this Agreement, City rellea
upon the skill of Collection Agency to do and perform sash services in a skillful manner and
Collection Agency agrees to thus perform Me services. Therefore, any acceptance of such
services by City shall not operate as a release of Collection Agency from said prafessional
standards.
>. Indemnification. To Me furthest extent allowed by few, Collection Agency shall
Indemnity, hold harnleas and defend City and each ot ns o floere, officials. employees, agents
and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages
(whether in contract, tort or WHO liability, including but not limited to persons! injury, death at
any time and property damage), and from any and all cMhms, demands and actions in law or
Nutty (including reasonable attorrreys fees and litigation expanses) that arise cul of, pertain to,
RFP9030 PoguJ
or relate to the negligence, recklessness or willful mucendlrct of Collection Agency, its
principals, officers, employees, agents or volunteers In the performance of this Agreement.
If Collection Agency should subcontract all or any gonion of to services to W performed
niter this Agreement, Collection Agency shall reqauire each svbcattractor to indemnify, bold
harmless and defend City and each of ids oflicars, officials, employees, agents aal volunteers in
accordance with the tames of the Preceding paragraph.
This section shall survive termination or expiration of this Agreement.
0. Insurance.
(a) Throughout fie lite of Mis Agreement, Collection Agency shall pay for and
maintain in full tome and effect all Insurance as required! in Exi B or as may be auffied it in
writing by City's Risk Manager or banter designee at any time and In his/eer sole discregon.
(b) If at any time during the life of the Agreement or any extension. Collection
Aggency or any of its subcorttrecdors fell to maintain any required Insurance in full force and
effrct, all services and work under this Agreement shelf be discontinued immediately, and all
payments due or that become due to Collection Agency ahell be withhold until notice is reraNed
by City Mat the repuired insurance has been restored to full force and effect and Mat Me
m
premius therefore have been mid for a period satisfactory to City. Any failure to maintain the
required insurance shall be sufficient cause for City to terminate this Agreement. Mo action
taken by City pursuant to this section shall In any way relieve Collection Agency of its
responsiblldies under this Agreement. The phrase lall to maintain any required Insurance' shall
include, without limitation, notfficetion recervatl by City Mat an insurer has commenced
proceedings, or has heti proceedings commerlcotl against it, Indicating Mat the Insurer Is
insolvent.
(c) The lett Mat Insurance is obtained by Collection Agency shall not be
deemed to release or diminish the liability of Cameron Agency, including, without limitation,
liability under the indemnity provisions of this Agreement The duty ro indemnity City shall apply
to all Gaims and (lability regardless of whether any insurance policies are applicable. The policy
limits do not act as a limitation upon the amount of Indemnfication to be provided by Collection
Agency. Approval or purohaco of anyy' insurance contracts or psh
olicies all in no way releve
from liability nor limit the liability of Collection Agency, its principle, offoers, ageme, employeas,
persona under the supervision of Collection Agency, vencors, suppliers, invitees, consultants,
sub-consultems, subcontractors, or anyone employed directly or Indirectly by any of them.
(d) Upon request of City, Collection Agency shall immediately furnish City
with a complete copy of any Insurance policy required under this Agreement, including all
endorsements, with said copy cedffied by the underwriter to W a two and correct copy of the
original polity. This requirement shall survive expiration or termination of Me Agreement.
(e) It Collection Agency should subcontract all or any portion of the services
e p
to his under this Agreement, Collection Agency shall require each submntrecdor to
provide Insurance protection in favor of City and each of Its officers, officials, employees, agents
and volunteers in accordance with the terms of this section, except Met any requiretl certlf sates
and applicable endorsements shall be on file with Collection Agency and City prior to Me
commencement of any services by the subcontractor.
(a) Prior to Caye execution of this Agreement, Collection Age rwy shall
yylem a City of Fresno conflict of interest disclosure statement in the forth as set fold In
ExhlbN C. During the term of this Agreement, Collection Agency shall have the obligation and
duty to Immediately notity City in wnting of any change o the information pmvlded by Collection
Agency in such statement.
I<31P9030 P6e0
with all applicable Collection Agency shall comply, and require its subcontractors to comply,
() professional canons and requirements governing avoidance of
impermissible client conflicts; and (ii) federal, state and local conflict of Interest taws and
regulations Including, withwrt limitation, California Government Coda Section logo at, seq., the
California Political Reform Act (California Government Code Section 671M at. seq.) and the
regulagons of the Fair Polldcal Practices Commission conceming disclosure and disqualification
(2 Caldomla Code of Regulations Section 187W at. sad.). At am time, upon wnflen reouest of
take, end require Ile subcontractors to take, reasonable steps to avoid any appaeraeMe of a
mnlllct of Interest. Upon discovery of any facts giving has to the appearance of a conflict of
Interest, Collection Agency shall Immediately notify City of Mase facts in writing.
(c) In performing the work or semcas to be provgatl hereunder, Collection
Agency shall not employ or retain the services of any person while such person either is
employed by City or is a member of any City council, commission, board, committee, or similar
City body. This requirement may be waived in writing by the City Managar, f no actual or
potential conflict is Involved.
(d) Collection Agency represents and warrants that it has not Idea[ or agreed
to pay any compensation, cormngent or oMenauxt direct or indirect, to action or forborne this
Agreement or any dghWbenefas hereunder.
(e) Neither Collection Agency, nor any of Co ection Agencys subcontractors
performing any services on this Prolan, shall bid for, assist anyone in the preparation of a bid
for, or perforin any services; pursuant to, any other contract In connection with this Pmjan
unless fully disciased to and approved by the City Manager, In advance act in venting.
Collection Agency and arty of its subcontractors shall Teva no interest, direct or Indirect, in airy
other contract with a third party in connection with Mis Pmject unless such interest ts In
accordance with all applicable law and fully disclosed to and approved by the City Manager, In
advance and In wnting. Notwithstanding any approval given by the Cay Manager under this
provision, Collection Agency shall remain responsible for mmptyfng corm Section g(b), above,
(1) If Collection Agency should submmract all or any pmhon W Me work to
be performed or services to be provided under this Agreement, Collection Agency shall Include
the provisions of this Section 9 In each subcontract and regular as subcontractors to comply
therewith.
(g) This Section 9 stall survive expiration or termination of this Agreement.
10. Recvctina Prooram. In the event Collection Agency mountains an afire o
operates a faclliry(ies), or Is required herein to maintain or operate same, within Me incorporated
limas of the City of Fresno, Collection Agency at its able cost and expense shall:
(q Immediately establish and main am a viable and ongoing recycling program,
approved by City's Solid Waste Management Division, for each office and
facility. UWmture describing City recycling programs is available from Cays
Solid Waste Management Division and by ml ng City of Fresno Recyoling
Hotline at (559) 621-1111.
(ii) Immediately comae Cays Solid Waste Management Division at
(559)621-1452and schedule a free wane audd and cooperate with such
Division in their conduct of the such for each afim and facility.
RJT`WJd Paecs
Of) Cooperate wN1 and demonstrate to the satisfaction of CWs Solid West&
Management Divsion the establishment of the recycling program In
paragraph (i) above and the ongoing mainstream thereof.
11. General Terms.
(a) Except as otherwise provided by law, all notices expressly required of
City within the body of this Agreement, and not otherwise specifically lly provided for, shall be
effective only X sgned by the Administrator or hislller designee.
(b) Records of Collection Agents expenses parading to the project shell
be kept on a generally recognized accounting basis and all as available to City or its
aNhorixed representatives upon request during regular business hours throughout the life of
MIs Agreement and for a doubt of three years after final payment or, if longer, for any period
required by law. In addition, all books, documents, papers, end records of Collection Agency
pertaining to the Project shall be available for the purpose of making settle, examinations,
excerpts, and transcriptions for the aims perod of time. This Section 11(b) shall survive
expiration or termination of this Agreements.
12. Nondeoriminalnn. To the extent required by controlling federal, state and local
law, Collection Agency shall not empty discriminatory practices in the provision of services,
employment of personnel, or In any other respect on the basis of race, Tellglous creed, color,
national origin, ancestry, phyakal dlsabllXy, mental diability, smedical condX on, mantel status,
sex, age, sexual orientation, staidly, status as a disabled veteran or veteran of me Vietnam
era. Subject to the foregoing add during the performance of this Agreement, Collection Agency,
agrees as follows:
(a) Collection Agency will comply with all applicable laws and regulations
providing Nat no person shall, on the grounds of rata, religious creed. color, national origin,
ancestry, physical disability, mental disability medical condilfon, mental status, sex, age, sexual
orientation, othnicity, status as a climbled veteran or veteran of the VlaMem are be excluded
from parmisi do In, m denied the benefits W, or be subject to discrimination under any
program or activity made possible by or resuXieg from this Agreement.
(b) Collection Agency will not discriminate agail
for employment because of race, religious creed, calm, catch
disability, mental disability, medical condition, mantel status,
ethnicity, status as a disabled veteran or veteran of me Vietnam
ensure that applicants are employed, and the employees are
without regard to their race, religious creed, color, national origin
but cot be IImXe
V or recruitment
: end selection to
(o) Collection Agency will, in all solicitations or advadisements for employees
pscbt by or an behalf of Collemon Agedy in pursuit hereof. state that all caused applicants
will receive consideration for employment without regard to race, religious creed, color, national
origin, ancestry, physical disability, mental dbability, medical condition, mental status, sex, age,
sexual orientation, ethnicity, status as a disabled veteran or w itemn of the Vietnam era.
(d) Collection Agency will send to each labor union or representatNa of
workers with which X has a collective bargaining agreement or other contract or understanding,
0.PP 9030 Page 6
notice advising such labor union or workers representatives of Collection Agencys
commitment under this section and shall post copies of the notice in conspicuous places
available to employees and applicants for employment.
13. Independent Contractor.
(a) In the furnishing of the services provided for herein, Collection Agency is
acting solely as an independent contractor. Neither Collection Agency, nor any ot its othims.
agents or employees shall be deemed an officer, agent, employee, joint venturer, partner or
associate of City for any purpce i. Cay shall have no right to control or supervise or direct the
manner or method th which Collection Agency shall perform Its work and functions. However,
CM shall retain Me fight to administer this Agreement so as to verily that Collection Agency is
performing as obligations In accordance with the terms and conditions thereof.
(b) This Agreement does not evidence a Partnership or joint venture between
Collection Agency antl City. Collection Agency shall have no auttwrity to bind City student City's
express written consent. Except to the extent otherwise provided In his Agreement. Collection
Agency shall bear its own costs aM expenses in pureuit thereof.
Because of its status as an Independent contractor, C
Sand mployees shall have absolutely no right to emplx
e
My proper ea. Collection Agency shell be solely liable
s winholEing and for providing to, or on behalf of,
9uding, without limaation, health, welfare and retiren
its other obligations under this Agreement, Collection
damnify, defend and save Cirri, harmless from all in
theory. It is acknow
providing services to
14. Nottces. My notice required or intended to be given to eaher patty under the
terms of this Agreement shell be in writing and shell b r deemed to be duly given it delivered
personally, transmittetl by facsimile followed by telephone confirmation of receipt, or sent by
United States registered or coddled mail, with postage prepad, realm receipt nauseated,
addressed to the party to which notice Is to be given at the partys address set forth on the
signature page of this Agreement or at such other address as Me padies me y from time to time
designate by carmen notice. Notices served by Unwed States mail in the manner above
described shell be deemed sudceirely served or grain at the time of the mailing thereof.
16. @)Luing Subject to Seddon 16, below, once this Agreement is signed by all
parties, it shall be binding upon, and shall inure to the benefit of, all parties, and each pames'
respective heirs, successors, assigns, transferee& agents, servants, employees and
representatives.
16. Assionment.
assignment b (Collection ThisAgreement is personal to COHINCllon Agency and there shell be no
ig Y Agency of its rights or obligation under this Agreement without he
prior written approval of the City fdanager or hidher designee. Any attempted assignment by
Collection Agency, as successors or assigns, shall to null and void unless approved In writing
by the City Maneger or flamer designee.
RFP 9030 Page
(b) Collection Agenhereby agrees not to asst9n the payment of any
monies due Collection Agency tram Cly under the terms of Nis Agreement to any other
Individualist corporations) or entiry(ies). City routine the right to pay any and all monies due
Collection Agency directly to Collection Agency.
17. Compliance With Law. In providing to services required under the Agreement,
UOlacdon Agency Mail at all times comply with all applicable laws of Me United States, the
State of California end! City, and with all applicable regulations promulgated by federal, state,
regional, or local administrative and regulatory agencies, now in force ark as toy may be
enacted issued, or amerked during the term of this Agreement.
18. Wether. The waiver by either pant of a breach by the other of any provision of
this Agreement shell not constitute a continuing waiver or a waiver of any avbsequent breach of
either the same or a different provision of MIs Agreement No provisions of this Agreement me
be waived unless in outing antl signed by all parties to this Agreement. Waiver of any ane
provision herein shall not be deemetl to be a waiver of any other provision herein.
19. Govemina law "Won
This Agreement shell be governed by, and
construed and enbroed in accortlarra with, Me lawn of the Slate of Caltloma, excluding,
however, any conflict of laws rule which wwld apply to law of another jurisdiction. Venue for
purposes of the filing of any action regarding Me enforcement or Interpretation of this
Agreement and any rights and duties hereunder Mail be Fresra County, Camomile.
20Hisardin s. The section headings in this Agreement are for convenience and
reference only and shall not be construed or held In any way to explain, modily or add to bre
Interpretation or meaning of the provisions of this Agreement.
unenfor21, a�ayea The rowson i alMa of this Agreement are severable. The invalidity, or
icy Y P Agreement shall not affect the other provisions.
22. Interpretation. The bathes acbcwledge that this Agreement In its final form Is
the result of Me combined efforts of the parties ark that, should any provision of this Agreement
be found to be ambiguous in anyway, soot ambiguity shall not be seethed by construinrgg Mia
Agreement in favor of or against either pant, but rather by construing the terms in accordance
with Meir generally accepted meaning.
23. Attorneys Fees. If either parry is required to commence any proceeding or legal
action to enforce or interpret any temp, covenant or condition of this Agreement, the prevailing
party in such proceeding or action shall be entitled a recover from the other party Its reasonable
attorneys fees and legal expenses.
24. Exhibits. Each exhibit and attachment referencetl in this Agreement is, by Ne
reference, incorporated into and made a part a this Agreement.
25. Precedence of G m xds. In the event of any conflict between the body of this
Agreement and any Exhibit or Attachment hereto, and terms erq conditions of Me body of this
Agreement shall contra and take precedence over the terms and conditions expressed within
the Exhibit or Abashment. Furthermore, any terms or conditions contained within any Exhibit or
Attachment hereto which Ineport N modify to allocation of risk between the pedis, provided
for within the body of this Agreement, Mail be null and void.
H. Cumulative Rowles. No remedy or election hereunder shall be deemetl
exclusive but shall, w1harever possible, be cumulative with all affair remedies at law or in equity.
27. No Third Pao B rmllaades. The rights, interests, dudes and obligations defined
RPYW]0 Page&
within Mis Agreement ere intentlatl fa the specific parties hereto as IdentHled in the preamble of
this Agreemem. NMwithsiantlirg anything stated to Me contrary In this Agreement, b a net
lamaetl Met any right or interests In this Agreement benefit a flow to Me Interest of any third
parties.
28. Extent of Aomament. Each party acknowledges that they have real and fully
understand the contents of and Agreement. This Agreement represents Me entire and
integrated agreement between the parties wM respect to the subject matter hereof and
supersetlea all prior neeggootiations, representations or egreemws. either written or oral. This
Agreement may be modified only by written instrument duly aottwrized and executed by both
Ciy aM Callectlon Agency.
kW 900 Pagc9
IN WITNESS WHEREOF, Me ponies have execMetl Mie Agreement at Fresno.
California, the day arM year that above written.
CITY OF FRESNO,
e California municipal camoratian
By:
n atlle
roller
Into'
Cl
Cont
ATTEST:
REBECCA E. KLISCH
City C e
By: a L—
pity S/ryel
APPROVED AS TO FORM:
JAMES C. SANCHEZ
City A
By...- 4av �/'vl
N Alger to
Se r Depu
Addresses
Cry of Fresno
Atln- Karen M. Bracey, Interim City Controller
2888 Fresno, Street, Room 2157
Fresno, CA 93721
Phone: (559)821-0808
FAX: (559) 8214638
Abacitments:
Exhibit A - Scope of Services
Exhibit B - Insurance Requirements
Exhibit C - Conflict of Interest Disclosure Form
Transworld Systems, Inc
A Celllo is w anon
By:
Nahte: AIbeBZezullnakl
Title: Executive Vice Pmskent
I cc flan or LLC, Board
Pr s. or iw P
The: /� Qr ✓Ai AJ
in cwporatio— n or LLU,
reesureq
TSecretary or
Assistant Secretary)
Collection AppChoy.
Transvorld Systems, Inc.
AM: Albert Zezulinski, Executive Vlae Pres.
589 Prudential Rd.
Homtvm, PA 19840
PNMe: (80(g 220.22]4
FAX: (216) 441 -3923
RIT W3a Page 10
Exhibit A
SCOPE OF SERVICES
Collection Agency Service Agreement between City of Fresno ("City")
and Traneworld Systeme, Inc. ("Collection Agency")
COLLECTION AGENCY SERVIPS FOR VARIOUSNT aY D PARTME
4zmTrE
General
1. Provide collection summs for unpaid ami delinquent amounts recolvables forte
followniq
• Business Vexes
• UtilWes billing
• Contract law Enforcement Senmad, DUI accounts (Business Office) and
emergency board -ups
• Airport activity, and fixed rent
• False alarms
• Non-suglGent fund returned checks for various departments
• Illegal fireworks citations
• Other accounts as designed
2. Accounts may consist of multiple chargee for a variety of services performed or
assessments made.
3. Assignable accounts will be retained by the City for a period of M months depending on
the type of amount. If the Cilys collection efforts are not successful, the amounts will be
assigned to Collection Agency.
4. Internet or Web Access is the preferable medlod for account assignment and account
status irpulry.
5. Collection Agency shall not have full rights to dw accounts. All Information pmvicad to the
Collection Agency shall be used solely for the purpose of collection and may not be
provided to any outside agency, business or person without the written consent of the City.
6. Collection Agency will proVide an acknowledgement of amounts placed wilt the Collection
Agency within five (5) days of receipt from the City.
]. City shall provide copies of documentation as requlred by the Collection Agency to respond
to poll requests. City will make every offod to provide all parhnent information to the
Collection Agency.
B. No litigations or compromised settlements of ast fined accounts shall be made by
Collection Agency without express written moment of the City.
g. Collection Agency shall make contacts with delinquent amounts under the name of the
Collection Agency.
RIT 9030 Poge far
10. The Collection Agency shall designate a manager for the City's account, who will be the
City's primary confect at the Collection Agency.
11. The Collection Agency shall be solely responsible for any costs whatsoever incurred for
collections on accounts referred to rt for collection, including, but not limited to all costs,
fees and charges for litigation involved with collection activities.
Reports and Inquiry
12. Collected Agency shall submit written status reports on all accounts on a monNly basis by
type of receivable. Reported data should provide a summary and detail aging report with
Information for each account Including: original balance, mrrent balance, money remised,
charges waived, interest charged, and date of last payment. A financial summary will also
be required showing 'prod to date" and year to date'totals for pertinent information such
as: Receipts, not accounts receivable, total accounts receivable and collection percentage.
13. A year-end report as of June 30N, should be provided annually to include a detailed listing
of all accounts by type; detailed listing & all amounts closed in ft par year by type: detail
of all activity by account in past year by type; summary of all the above reports.
Collection Activities
14. Collection Agency shall conduct si trading and reset searches on delinquent accounts.
15. Collection Agency must have fine ability to report uncollected accounts to the major credit
bureaus. At the time that the amount is assigned for collection, Ne City will advise the
Collection Agency if credit bureau reporting Is prohibited for that amount. All reporting shall
be in accordance will all applicable Federal, Sire laws Including, but not limited to the Fair
Debt Collection Practices Act, Federal Equal Credit Opportunity Act, Regulations ars! the
Consumer Credit Protection Ad.
16. At the request of the City. the Collection Agency shall remove an account medical from
all affected bureaus aro provide a copy of hat notification from all affected bureaus to the
City. The City requires that amounts be cancelled from each credit bureau upon request of
the City.
17. The City is customer service oriented and firmly palaver in a posbtve approach in dealing
with debtors. The Agency shall not use 1aRrm that may be interpreted as harassment or as
demeaning or Nat may reflect poorly on the City's efforts.
16. The City requires the Collection Agency to exemiee high crucial standards In their collection
philosophy and techniques. The Collection Agency shell conduct its collection business in e
professional manner, which will preserve ha dignity of the City and Its relationship with its
citizens.
19. The City will provide guidance on Me conduct of Na collection service as it will reflect on
the City's policies and reputation.
WT 1030 Nge 2of 3
20. If In Me discretion of the City, d is deemed Met Me Collection Agency has acted in an
improper, unethical or illegal manner Me City may require that all amounts be returned to
the City immediately.
21. The Collection Agency shall most annually Nth the City to discuss all services and olsouss
prior years results.
22. The City would like the Collection Agency to consider having accounts which are collected
by the agency within 30 days of receipt from the City to be returned to the City at 10 or a
discount from the final collection percentage.
23. The City may recall an account or redummumarm Me amount due on any cose at any time.
Recalled accounts will not be subject to Coleman fees. Collection fees for
reduced/amended accounts will be tweed upon the roducaclamended balance.
24. The City adds a collection his to all accounts sem to collections and may request the
Collection Agency to also charge for delinquent fees once sent to the Collection Agency as
allowed by City ordinance.
25. The Collection Agency shall remit to Me City all monies collected, less collection fees, with
a report including account name, account number, City Department, amount collected and
amount of collection fees.
Uncollectlble Accounts
26. The City requires Met all amounts not collected upon within 6 months to be returned to the
City with a record of efforts to collect and esolanation of why Me account is deemed
uncollectable.
27. The Collection Agency shell report annually on June 30P to the City all accounts deemed
by it to be uncollectible by July 156, along with raamns why ha account is uncollectable
and actions taken to attempt the collection.
Training
28, The Collection Agency may be asked to pedoEbally provide training to the City and other
department staff at no cost. The Collection Agency should also provide recommendations
on how Me CM can reduce future bad deal. The Collection Agency should consider
providing updates to the City on changes in state and national laws related to credit and
collections including any Agency newsletters, it available.
RfP 9030 Pe&3of3
Exhibit S
INSURANCE REQUIREMENTS
Collection Agency Service Agreement between City of Fresno ("City")
and Transworld Systema, Inc. ("Collection Agency")
COLLECTION AGENCY SERVICF, FORARIOUS CITY DEPARTMENTS
Minimum Scope of Insumnca
Coverage shall be at least as broad as:
I .
The most wrrant version a Insurance SerVices Office (ISO) Commercial General
Liability Coverage Form CG 00 01, which shall notable insurance fa "bodily
injury." "propeM damage" and'personal and advertising injury'
with coverage for
Promises and operations products and complemd operations,
and wntracWal
liability.
2.
The most current version of Insurance Service ONice (ISO) Business Auto
Coverage Form CA 00 01, which shall include coverage for all owned hired, and
nonowned automobiles or other lic rased vehicles (Code 1 -Any Auto).
3.
Wohars' Compensation insurance as required by the California Labor Code and
Employers Liabitily Insurance.
4.
Professional Liability (Encs and Omissions) Insurance approprime to Collection
Agencys profession.
Minimum Unnite of Insurance
Collection Agency shall maintain limits of liability of not less than:
1.
General Liability:
SI=000 par occurrence for bodily Injury and propeM damage
$1,000,000 par occurrence for parental and advertising injury
$2,000,000 aggregate for products W completed operations
$2,000,000 general aggregate applying separately to the work performed under
the Agreement
2.
Automobile Liability:
$1,000,000 per accident for bodily Injury and property damage
3.
Employers Debility:
$1.000,000 each seaman for Wily injury
$1,000,000 disease each em"yes
$1,000,000 disease policy limit
4.
Professional Liability (Errors and Omismom)
$1,000,000 par claim/occurrence
$2,000,000 policy aggregate
In'T 9030 Pvgc 1 ora
Umbrella or Excess Insurance
In the event Collection Agency purchases an Umbrella or Excess insurance policy(ies) to meet
the 'Minimum Limits of Insurance," Mas Insurance policy(ies) shall "follow form' and afford its
less coverage Man Me gamary Insurance policy(les).
Deductibles and SeH4nsured Retentions
Collection Agerwy shell be responsible for payment of any detlutliblas contained n any
insu"Mad polices required hereurMor antl Collection Apancy shall also be is for
payment of any as' -insured retentions. Any it ""iMac or 80" Insured
retentions must be
tl tyIs8 to, and approved is the Ciry's Risk Manager or hismrer tlesgnee. At Me option of the
Ciry'a Rask Menagar or he
desgnee, either (a) the Insurer shall retluce or eliminate such
tlaductibles or aeH-inure rdenfions ea respects City, Its
officers, officials, employees, agents
and volunteers: or (sip Collection Agency shall provide a financial guarantee, aaHsiacmry to
Ciya Res' Manager or fircher resigned guaranteeing payment of beads and heated
Invesigations, ciaem adminegrabon antl defense expenses. At rm time shell City be responsible
for the Payne
ayn eM of any deductibles or sell insured retentions.
and Insurance Provisions
-fine General Uab11H d A Liability
ob'leI' are to contain, or be endorsed
to comes, Me folbw�ng provisions:
1. City, Its officers, officials, employees, agents and volunteers are to be covered as
additional insureds.
2. The coverage shell concert no uttered limitations on the scope of pMegion
afforded to Cary, he oMrers. officials, employees, agents and volunteers.
3. Collection Agancya insurance coverage shall ba primary and no contribution
shall be required of City.
IhQ Wont ' Condensation soficv is to contest, or ba endorsed to conaan, the
following provision: Collection Agency and its insurer shall waive any right of subrogation
against City, Ha officers, off lower. employees, agents and volunteers.
If the P f I I; ti IM (Emors and Omissions) in written on a claims -made
form:
i. The "Reim Data' must be shown, and most be before the eHeotive date of the
Agreement or Me commencement of work by Collection Agency.
2. Insurance most be maintained and evidence of insurance must be pranded for at
least 5 years alter any eviration or termination of the Agreement or, In Ma
alternative, the policy shell he endorsed to pmvlde not less Man a 5 -year
discovery period. This requirement shall survive explrabon or terminal= of the
Agreement.
3. If coverage is canceled or non -renewed, and not replaced whin another
cleans -made policy forth wHM1 a 'Retro Date' prior to Me effective date of Me
Agreement. Collection Agency must purchase "extended repartirg" coverage for
a minimum of 5 years following the expiration or termination W the Agreement.
RFP W.W Page 1 of 3
4. A copy of the claims reposing requlremeras must be submmed to City for review
5. These requirements shall survive expiration or termination of the Agreement.
All ooemes or Insurance required hereunder all be endorsed to provide Mat the coverage shall
not be cancelled, non -renewed, reduced In coverage or In limits except after 30 calendar day
western notice by certified mail, return receipt requestaQ has been given to City. Upon issuance
by the insurer, broker, or agent of a notice of cancellation, non-remea 1, or reduction in
coverage or in limits, Collection Agency shall fumish City with a new ceNficam and applicable
endomemente for such policyges). In Me event any policy is due to expire during the work to he
performed for City, Collection Agency shall provide a new casiflcate, and applicable
endorsements, evidencing renewal of such policy not less Man 15 calender days prior to Me
expiration date of Me expiring policy.
Acceptability of Insurers
All policies of insurance required hereunder shall Ire placed wdh an Insurance co npanyges)
admitted by the California Insurance Commissioner to do business in the Slate of Celtiornia and
rated not less than `A -VII' In Best's Insurance Rating Guide; or authorized by Cry's Rbk
Manager.
Verification of Coverage
Collection Agency shall famish City with all comfirate(s) and applicable endorsements
effecting coverage required hereunder. All Centticetes and appficable endorsements are to be
received and approved by the Ctty's Risk Manager or Kamer desigram prior to Csys execution
of to Agreement and before work commences.
RIPW30 Pm' ]ofi
Exhibit C
DISCLOSURE OF CONFLICT OF INTEREST
COLLECTION AGENCY SERVICES FORf VARIOUCITY DEPARTMENTS
CIDEPARTM NT
aE
Explanation:
netu
AMan ZMlinski. ENicutam Vice Preald M
(name)
!WMLd5
(company)
50? PmtleM al RE
(address)
Additional page($) atachea. Horsham PA 19044
(cily State vp)
la's N010 Pegs I of I
YES'
NO
1
Are YOU Currently in Iffinmon with the City of Fresno or any" he
❑
agents?
2
Do you repreasnt any firm, organimtbn a person who ic in
❑
Ibigatbn with Me Ciry at FresrwT
3
Do you curtently represent Or perform work for any climbr who do
business wiM Me City a Fresno?
❑
a
4
Are you or any of your principals, menagers or professnnela,
owners or Investors in a business w Ichdoes business AM Ina
❑
City of Fresno, a sin
In a business which is in litgetbn wM trs City of
Fresno?
5
Are you or any of you principals, menages or profesaionais,
ed by blootl a meMege to any City Of Frecno employee who
any Signlfirant mle in is Suble" maber"this serAm'/worany
❑
Joeof your wbcontrs"ds haveorepect tohave, any
Pro,�?" or Indira", in any other conte" In conne"ion with
❑
' If the answer to any que"ion is yes, please sxnlein in Toll below.
Explanation:
netu
AMan ZMlinski. ENicutam Vice Preald M
(name)
!WMLd5
(company)
50? PmtleM al RE
(address)
Additional page($) atachea. Horsham PA 19044
(cily State vp)
la's N010 Pegs I of I