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Council weighs two clerks versus a lockbox after estimate of lost interest
Summary
Councilors considered hiring two clerks to reduce check-processing lag — staff estimated $75,000'$110,000 in lost interest during peak periods — and debated lockbox services that speed deposits but complicate postmark/timeliness determinations and still require in-house data entry.
City staff told the council that delays in processing checks during peak periods cost the city an estimated $75,000 to $110,000 in forgone interest and that hiring two additional clerks could recover time and revenue.
Lisa from the clerk's office outlined the operational consequences of backlog and succession vulnerabilities: staff absences or turnover can lengthen processing times and delay closings and other transactions. She cautioned that temporary help carries a learning curve and training errors that limit immediate benefits. "With temporary help, there is a huge learning curve for them for all of the processes and the and the procedures that they have to follow," Lisa said.
Councilors asked about alternatives. Staff described lockbox services: mail is routed to a vendor, checks are deposited quickly, and scans are returned to the city, but the envelope and check separation makes postmark/timeliness verification difficult and the city still must manually enter remittance details. Councilors noted the lockbox could improve deposit timing (and therefore interest), but it would not eliminate in-house work or resolve the postmark issue for tax-timeliness calculations.
Councilors asked staff to quantify rental-car registration revenue losses and to return with clearer cost comparisons between hiring permanent staff, temporary help and contracting lockbox services. Discussion also touched on online payments and the prospect that improved online collections could reduce in-office load over time.
Next steps: staff to follow up with data on rental-car registration impacts and a cost-benefit analysis comparing permanent hires, temporary staffing and lockbox services.
