Debts aged more than three (3) years from the date are no longer probable for collection. Due date for no longer probable is defined as:
Three (3) years from failure to return item(s) and patron account assessed fines,
fees related to library loans or assigned the cost to replace or repair an item owned by or borrowed from another library for their use.
Accounts receivable should be analyzed and accounted for at least annually by the business manager.
The Business Procedures Manual, Accounts Receivable, 10.4 Uncollected Accounts and the Georgia Code 50-16-18 shall be followed when debt is considered no longer probable for collection. Uncollected debt shall be reversed using the General Accounting Standards Board(GASB) method of debiting The Allowance for Doubtful Revenue (Contra Revenue) and crediting the Allowance for Doubtful Accounts Receivable (Contra Accounts Receivable).
The library director may utilize the services of a collection agency to collect outstanding debt as an agent for the library board, fee structure determined by the library board.
Information on debt referred to a collection agency will be maintained for the life of the credit report or seven years or recovery of the debt after the debt has been written off.
Recovery of punitive damages for bad checks and debt collection fees following debt write off will be recorded as general revenue.
Authority to write off the debt is delegated to the library director. The business manager will prepare an annual report to the board of all uncollected debt written off by the library director in a fiscal year.