The Ottawa City Commission on Oct. 1 voted unanimously to approve an updated municipal agreement with the Kansas Department of Administration’s State Set‑Off program to continue collection of unpaid receivables, primarily delinquent utility accounts.

Assistant Director McCurdy told commissioners the city has used the state program since 1994 and that the updated contract adds routine operational details and new processes, including a 30‑day termination clause, clarified transfer timing for remitted funds and an appeals process that can require city staff to appear at hearings. “Essentially, what happens is any outstanding receivables, which for the city is usually just unpaid utility bills...we send to the state and they collect for us,” McCurdy said during the meeting.

The revised agreement also updates fee rates that the state retains for collections, requires immediate notification when an account is collected locally so it can be removed from the program, and requires prompt notice when a debt in the system becomes part of bankruptcy proceedings. McCurdy said the city’s attorney reviewed the agreement and found it acceptable.

Commissioners asked about additional collection options. McCurdy said municipalities can contract third‑party collection agencies; many agencies also manage the state set‑off process for municipalities if authorized in writing. The staff presentation included historical collection figures for 2022–2025 and noted the city budgets the state program’s net fees in the electric fund; for 2026 the budgeted line is about $14,000, with recent actuals below $10,000.

Motion to approve the updated agreement was moved and seconded on the floor and carried on a roll‑call vote with all present commissioners voting yes. The commission did not adopt additional collection contracts at this meeting but commissioners discussed pursuing a collection agency as a separate option.