Council weighs Portnoff collections contract and explains parking-authority advance tied to RACP reimbursement

Councilman Gary Herbert told the work session that the borough plans to advertise a contract with Portnoff Group to pursue collection of delinquent electric accounts and that Portnoff would handle collections and related litigation, with fees paid by the delinquent account holder.

Herbert described the borough's financial position and noted a clean 2024 audit, and said the 2025 audit is expected by fall to inform upcoming budget discussions. "We are hoping that it will be completed by the fall... so we can then apply those learnings to budget discussions," he said.

Council members also pressed staff on earlier references to funding activity involving the parking authority and Discover Lansdale. Borough staff explained the arrangement was not a grant to Discover Lansdale but an advance to cover bills until reimbursement arrives. "I don't think it was structured really as a loan itself... the funds that were we pay the bills on behalf of that, and the parking authority pays us back," a staff member said, adding that "there's a little over 1,000,000 dollar grant that's gonna come through" and when that grant comes the parking authority will be made whole.

The Portnoff contracting item was described as a "prepare and advertise" step that will come to council for approval in two weeks; staff will include expected recovery metrics in their report to council.

Next steps: staff will return with Portnoff contract details and expected recovery estimates; council will consider formal approval at the next meeting.