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HomeMy WebLinkAboutReso 2025-183 RESOLUTION NO. 2025-183 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING A CONSULTANT SERVICES AGREEMENT FOR PROFESSIONAL DEBT COLLECTION SERVICES BETWEEN THE CITY AND CEDARS BUSINESS SERVICES, LLC WHEREAS, the City issues and manages various accounts receivables, including civil penalties, permits, utility fees, municipal code violations, and damages to City property, through several City departments; and WHEREAS, to support the recovery of delinquent accounts receivables, the City requires professional debt collection services; and WHEREAS, to procure these services, the Finance Department solicited proposals in accordance with Chula Vista Municipal Code Section 2.56.110; and WHEREAS, the City received six proposals from consultants interested in providing professional debt collection services; and WHEREAS, the City’s selection committee completed its review of proposals and selected Cedars Business Services, LLC as the consultant most qualified to provide professional debt collection services; and WHEREAS, the City desires to enter into a Consultant Services Agreement with Cedars Business Services, LLC to perform professional debt collection services; and WHEREAS, the proposed agreement with Cedars Business Services, LLC establishes an initial term of three years and eight months, with two optional one-year extensions; and WHEREAS, compensation under the agreement will be based on a percentage of funds successfully recovered, ranging from eleven percent (11%) to thirty -three percent (33%), depending on the age of the debt, with no payment for uncollected accounts; and WHEREAS, the total amount payable to the consultant for services performed through June 30, 2031, shall not exceed $1,000,000; and WHEREAS, the consultant will provide comprehensive delinquent debt collection services on behalf of the City in accordance with all applicable laws and regulations. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista, that it approves the Consultant Services Agreement for Professional Debt Collection Services, between the City and Cedars Business Services, in the form presented, with such minor modifications as may be required or approved by the City Attorney, a copy of which shall be kept on file in the Office of the City Clerk, and authorizes and directs the Mayor or City Manager to execute same. Docusign Envelope ID: 670B7CF4-3210-474D-86A1-54B44A5D637E Resolution No. 2025-183 Page No. 2 Presented by Approved as to form by Sarah Schoen Marco A. Verdugo Director of Finance/Treasurer City Attorney PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 18th day of November 2025 by the following vote: AYES: Councilmembers: Chavez, Fernandez, Inzunza, Preciado, and McCann NAYS: Councilmembers: None ABSENT: Councilmembers: None John McCann, Mayor ATTEST: Kerry K. Bigelow, MMC, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Kerry K. Bigelow, City Clerk of Chula Vista, California, do hereby certify that the foregoing Resolution No. 2025-183 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 18th day of November 2025. Executed this 18th day of November 2025. Kerry K. Bigelow, MMC, City Clerk Docusign Envelope ID: 670B7CF4-3210-474D-86A1-54B44A5D637E