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Council seeks more data before extending collections contract after $13.7M reported recovered
Summary
The Department of Appeals and Hearings reported its collections contractor has recovered about $13.7 million since contract placements in March 2022. Council members asked for a detailed breakdown of collections, fees paid to the vendor, and the program’s impact on residential owners and seniors and voted to bring the contract back in one week.
Detroit — The City of Detroit’s Department of Appeals and Hearings told the council that a collections vendor placed on the department’s files has recovered roughly $13,700,000 since placements began in March 2022, but council members asked for a line-by-line accounting of what was collected, what the vendor was paid and how funds are returned to the city’s general fund.
"Over the course of this contract ... since the placements were made in March of 2022, this vendor has collected over $13,700,000 on behalf of the city," Director Julianne Pastrill told the Committee of the Whole, urging the council to extend the contract for another year while staff compiles a detailed…
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