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Itasca board adopts collection fee ordinance and approves contract with Municipal Collection Services LLC
Summary
Trustees approved an ordinance creating Chapter 37 (collection services and fees), permitting a 35% surcharge for accounts sent to collections, and approved a resolution to contract with Municipal Collection Services LLC; staff said the agency typically charges about 26% and the agreement term is under review
The Village of Itasca Board on Sept. 2 adopted a new municipal code chapter to permit assessment of a collection fee for accounts turned over to third‑party collectors and approved a contract with Municipal Collection Services LLC to perform collections for the village.
Trustee Powers presented two linked items: an ordinance to add Chapter 37 to the Itasca Municipal Code allowing assessment of a surcharge of up to 35% on accounts placed with a third‑party collector, and a resolution to execute a contract with Municipal Collection Services LLC. Powers told the board the collection agency typically retains just under…
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